EDF_REGISTRATION_DOCUMENT_2017

THE GROUP'S PERFORMANCE IN 2017 AND FINANCIAL OUTLOOK Outlook

5.4

OUTLOOK

2018 targets confirmed The Group is continuing with the deployment of its strategic plan and confirms its 2018 targets (1) : Operating expenses (2) : €800 million decrease compared with 2015; ■ EBITDA (3) : between €14.6 billion and €15.3 billion; ■ Cash flow (3) (4) excluding Linky, new developments and 2015-2020 assets ■ disposal plan: slightly positive or close to balance; Net investments excluding Linky, new developments and 2015-2020 assets ■ disposal plan: around €11 billion; Total net investments excluding acquisitions and 2015-2020 assets disposal ■ plan: less than or equal to €15 billion; Assets disposal plan: around €10 billion over the 2015-2018 period (5) ; ■ Net financial debt/EBITDA (3) : less than or equal to 2.7x; ■ Targetted payout ratio, based on net income excluding non-recurring items (6) : ■ 50%.

Beyond 2018 In 2019, in a context marked by an expected decline in nuclear generation in France compared to 2018, the measures to reduce operating expenses (2) will be increased, with the target being revised upwards to €1.1 billion compared to 2015. The 2019 target payout ratio of net income excluding non-recurring items (6) is confirmed at 45-50%.

5.

See press release of 13 November 2017. (1) Sum of personnel expenses and other external expenses. At comparable scope and exchange rates. At constant pension discount rates. Excluding change in the operating (2) expenses of the service activities. At comparable exchange rates and “normal” weather conditions, on the basis of a nuclear output in France of >395TWh. At constant pension discount rates. (3) Excluding any interim dividend for the 2018 fiscal year. (4) Asset disposals signed or realised. (5) Adjusted for the remuneration of hybrid bonds accounted for in equity. (6)

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DF I Reference Document 2017