EDF_REGISTRATION_DOCUMENT_2017

6.

FINANCIAL STATEMENTS Income Statement

EQUITY NOTE 27

SHARE CAPITAL 27.1 At 31 December 2017, EDF’s share capital amounts to €1,463,719,402 comprising 2,927,438,804 fully subscribed and paid-up shares with nominal value of €0.50, owned 83.50% by the French State, 15.18% by the public (institutional and private investors) and 1.20% by current and retired Group employees, with 0.12% held by EDF as treasury shares. In March 2017, the capital increase with preferential subscription rights led to a €316 million increase in the share capital and an issue premium of €3,689 million net of expenses, following the issuance of 632,741,004 new shares (see note 3.1). In June 2017, payment of the interim dividend for 2016 in the form of a scrip dividend led to a €73 million increase in the share capital and an issue premium of €951 million following issuance of 145,476,587 new shares. The legal formalities for this operation were finalised in June 2017. In December 2017, payment of part of the interim dividend for 2017 in the form of a scrip dividend led to a €20 million increase in the share capital and an issue premium of €378 million following the issuance of 40,084,530 new shares. Under Article L. 111-67 of the French Energy Code, the French State must hold more than 70% of the capital of EDF at all times. 27.2 A share repurchase programme authorised by the General Shareholders’ Meeting of 9 June 2006 was implemented by the Board of Directors, within the limit of 10% of the total number of shares making up the Company’s capital. The initial duration of the programme was 18 months, renewed for 12 months then by tacit agreement every year. A liquidity contract exists for this programme, as required by the French market regulator AMF (Autorité des Marchés Financiers). At 31 December 2017, treasury shares deducted from consolidated equity represent 3,430,016 shares with total value of €40 million. 27.3 The General Shareholders’ Meeting of 18 May 2017 decided to distribute an ordinary dividend of €0.90 per share in respect of 2016, offering shareholders the choice of payment in cash or shares (scrip option). TREASURY SHARES DIVIDENDS

In application of Article 24 of the Company’s articles of association, shareholders who had held their shares continuously for at least 2 years at the year-end and still held them at the dividend distribution date benefit from a 10% bonus on their dividends. The number of shares carrying an entitlement to the bonus dividend cannot exceed 0.5% of the Company’s capital per shareholder. The bonus dividend amounts to €0.99 per share. As interim dividends of €0.50 per share had been paid in the form of new shares or cash on 31 October 2016, the balance payable for 2016 amounted to €0.40 per share benefiting from the ordinary dividend and €0.49 per share benefiting from the bonus dividend. The balance of the dividend was paid out on 30 June 2017. The French government opted for the scrip dividend for the balance of 2016 dividends payable. The amount of the cash dividend paid to shareholders who did not opt for the scrip dividend for 2016 amounts to €75 million. On 7 November 2017, EDF’s Board of Directors decided to distribute an interim dividend of €0.15 per share in respect of 2017. This interim dividend amounting to a total of €433 million was paid out in the form of new shares (scrip option) or cash on 11 December 2017. The French government opted for the scrip interim dividend for the 2017 interim dividends payable. The amount of the cash dividend paid to shareholders who did not opt for the scrip interim dividend for 2017 amounted to €35 million. At 31 December 2017, perpetual subordinated bonds are carried in equity at the amount of €10,095 million (net of transaction costs). Interest paid by EDF to the bearers of perpetual subordinated bonds issued in January 2013 and January 2014 totalled €565 million in the year 2017 and €582 million in the year 2016. The resulting cash payout is reflected in a corresponding reduction in Group equity. In January 2018, EDF paid interest of around €376 million to the bearers of perpetual subordinated bonds. EQUITY INSTRUMENTS 27.4

Perpetual subordinated bonds in the accounts of EDF

(in millions of currencies) Entity

Issue

Issue amount

Currency

Repayment option

Rate

EDF EDF EDF EDF EDF EDF EDF EDF

01/2013 01/2013 01/2013 01/2013 01/2014 01/2014 01/2014 01/2014

1,250 1,250 1,250 3,000 1,500 1,000 1,000

EUR EUR GBP USD USD EUR EUR GBP

7 years 12 years 13 years 10 years 10 years 8 years 12 years 15 years

4.25% 5.38% 6.00% 5.25% 5.63% 4.13% 5.00% 5.88%

750

Other equity instruments Other equity instruments are financial instruments issued by the Group that qualify as equity instruments under IAS 32.

In December 2017, the Dalkia group’s Cogestar entities issued an instrument consisting of convertible bonds. At 31 December 2017, the total amount of the instrument recorded in equity is €124 million (€86 million at 31 December 2016) (see note 5.2).

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EDF I Reference Document 2017