EDF_REGISTRATION_DOCUMENT_2017

FINANCIAL STATEMENTS Income Statement

31.2.2

Post-employment and other long-term employee benefit expenses

2017 (725)

2016 (659)

(in millions of euros) Current service cost

Past service cost

-

-

Actuarial gains and losses – other long-term benefits Net expenses recorded as operating expenses

(68)

(177) (836) (739)

(793) (634)

Interest expense (discount effect)

Return on fund assets

220

252

Net interest expense included in financial result

(414)

(487)

EMPLOYEE BENEFIT EXPENSES RECORDED IN THE INCOME STATEMENT

(1,207)

(1,323)

Actuarial gains and losses – post-employment benefits

598 161 759 759

(643)

Actuarial gains and losses on fund assets

854 211 211

Actuarial gains and losses

GAINS AND LOSSES ON EMPLOYEE BENEFITS RECORDED DIRECTLY IN EQUITY

Actuarial gains and losses on post-employment benefits break down as follows:

2017

2016 (165)

(in millions of euros)

6.

Experience adjustments

462

Changes in demographic assumptions Changes in financial assumptions (1)

-

23

68

(678) (820)

ACTUARIAL GAINS AND LOSSES ON OBLIGATIONS including: Actuarial gains and losses on post-employment benefits Actuarial gains and losses on other long-term benefits

530

598 (68)

(643)

(177) Financial assumptions mainly concern the discount rate, inflation rate and wage increase rate, and in 2016, assumptions regarding the value of benefits in kind (1) (electricity/gas).

The actuarial gains and losses on obligations generated over 2017 amount to €530 million, and are mainly attributable to experience adjustments.

In 2016, actuarial gains and losses on obligations amounted to €(820) million, mainly related to the effect of revised financial assumptions (including the changes in assumptions for the discount rate and inflation).

31.2.3 AT 31 DECEMBER 2017

Provisions for employee benefits by nature

Provisions in the balance sheet

Obligations Fund assets

(in millions of euros)

Provisions for post-employment benefits at 31/12/2017

31,214 (11,621)

19,593

comprising: Pensions

24,266 (10,859)

13,407

Benefits in kind (electricity/gas)

4,758

-

4,758

Retirement gratuities

873

(747)

126

Other

1,317 1,487

(15)

1,302 1,487

Provisions for other long-term employee benefits at 31/12/2017 comprising: Annuities following work-related accident and illness, and invalidity

-

1,250

- - -

1,250

Long service awards

208

208

Other

29

29

32,701

(11,621)

21,080

PROVISIONS FOR EMPLOYEE BENEFITS AT 31/12/2017

369

EDF I Reference Document 2017