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

Operations held for sale

(in millions of euros)

December 31, 2016 December 31, 2015

Operations held for sale in 2015 New NP

339

318

AREVA TA

- -

- -

Nuclear Measurements

Sub-total

339

318

Operations held for sale in 2016 NewCo

7,342 7,682

TOTAL (*) * see note 3.

318

Provisions for end-of-lifecycle operations for facilities entering in the scope of article 20 of the law of June 28, 2006, codified in articles L. 594-1 et seq. of the French Environmental Code Provisions for end-of-lifecycle operations of facilities covered by the law of June 28, 2006 pertaining to the sustainable management of nuclear materials and nuclear waste were broken down as follows at December 31, 2016 andDecember 31, 2015:

In 2016, excluding expenses for the year and unwinding expense, the main change in liabilities comes from the change in the discount rate applied by the group (from 4.50% to 4.10%). An audit is in progress by the administrative authority (DGEC, the General Directorate of Energy and Climate) of the dismantling estimate for the Georges Besse I enrichment plant. Once the conclusions of that audit have been finalized, they will be analyzed and included in the valuation of the dismantling estimate for that facility in 2017.

December 31, 2016 December 31, 2015 NewCo NewCo

(in millions of euros)

Dismantling of regulated nuclear facilities, excluding long-term radioactive waste management

4,645

4,310

Dismantling of used fuel, excluding long-term radioactive waste management

-

-

Retrieval and packaging of legacy waste, excluding long-term radioactive waste management

1,217 1,186

1,204 1,148

Long-term radioactive waste management Post-closure disposal center monitoring costs

52

44

Total provisions for end-of-lifecycle operations of facilities covered by the French law of June 28, 2006 Provisions for end-of-lifecycle operations of facilities not covered by the French law of June 28, 2006

7,100

6,706

242

215

TOTAL PROVISIONS FOR END-OF-LIFECYCLE OPERATIONS

7,342

6,921

Nature of the commitments As operators of regulated nuclear facilities (INB), the legal entities that make up the group have the legal obligation to secure and dismantle these facilities when they are shut down permanently in whole or in part. They must also retrieve and package, in accordance with applicable standards, the waste generated by operating activities which could not be processed during treatment. These facilities concern the front end of the cycle, in particular the Tricastin site, and the back end of the cycle as regards the la Hague recycling plant and the MOX fuel fabrication plant of MELOX. In December 2004, the CEA, EDF and AREVA NC signed an agreement concerning the Marcoule security-regulated nuclear facility (INBS) which transfers the responsibilities of site owner-operator to the CEA, which will be responsible for funding the site cleanup effort. This agreement does not cover final disposal costs

for long-lived high- andmedium-level waste. Accordingly, provisions for theMarcoule site include only AREVA’s share of waste shipping and final waste disposal costs. Determination of provisions for end-of-lifecycle operations In accordance with the article 20 of the French program law no. 2006-739 of June 28, 2006 on the sustainable management of radioactive materials and waste, codified in articles L. 594-1 et seq. of the French Environmental Code, AREVA submits a report to the administrative authority every three years on cost estimates and calculation methods for provisions, in addition to an annual update of this report. Themethods used by AREVA to value the cost of end-of-lifecycle operations, summarized hereunder, are described in these documents.

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2016 AREVA REFERENCE DOCUMENT