Areva - Reference Document 2016

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20.2 Notes to the consolidated financial statements for the year ended December 31, 2016 FINANCIAL INFORMATION CONCERNING ASSETS, FINANCIAL POSITION AND FINANCIAL PERFORMANCE

NOTE 6. RECONCILIATION BETWEEN OPERATING INCOME AND EBITDA

(in millions of euros)

2016

2015

Operating income Goodwill impairment

(442)

(1,287)

0

26 27 13

Net increase in depreciation and impairment of intangible assets, net of reversals Net increase in depreciation and impairment of property, plant and equipment, net of reversals

18 12

Impairment of current assets, net of reversals

5

(57) 648

Provisions, net of reversals (*)

(278)

Investment subsidies recognized through profit and loss

0 0

0 0

Costs of end-of-lifecycle operations performed

EBITDA

(684)

(630)

(*) including increases and reversals of provisions for employee benefits.

NOTE 7. GENERAL AND ADMINISTRATIVE EXPENSES AND OTHER OPERATING INCOME AND EXPENSES

GENERAL AND ADMINISTRATIVE EXPENSES In 2016, general and administrative expenses included 121 million euros in costs kept within AREVA SA and not rebilled to the subsidiaries under agreements in effect. Those costs are not representative of the costs AREVA SA will have to bear

once the restructuring operations have been completed. They are destined to be borne by NewCo and NewNP once the restructuring has been completed (NewCo capital increase and sale of New NP) and the corresponding agreements have been set up.

OTHER OPERATING EXPENSES

(in millions of euros)

2016

2015

Restructuring and early retirement plan costs*

(13)

(23) (26)

Goodwill impairment

- -

Impairment of property, plant and equipment and intangible assets, net of reversals

(9) (2)

Income on disposals of assets other than financial assets

(5)

Other operating expenses

(62) (80)

(213) (274)

TOTAL OTHER OPERATING EXPENSES * Net of reversals of provisions for employee benefits.

OTHER OPERATING INCOME

(in millions of euros)

2016

2015

Income on disposals of assets other than financial assets

-

-

Other operating income

195 195

8 8

TOTAL OTHER OPERATING INCOME

Restructuring costs are recognized for the 2015 and 2016 financial years and are described in notes 1 and 24. Impairment of goodwill, intangible assets and property, plant and equipment in 2015 and 2016 is described in notes 10, 11 and 12 respectively.

The other operating expenses and other operating income mainly include a provision of 180 million euros set up in 2015 for the anticipated costs of legal and financial restructuring and reversed in 2016 due to the fact that the initial plan had not been implemented but was rather replaced by a plan to contribute AREVA NP operations to a new entity, New NP.

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2016 AREVA REFERENCE DOCUMENT