EDF_REGISTRATION_DOCUMENT_2017

6.

FINANCIAL STATEMENTS Income Statement

FINANCIAL RESULT NOTE 13

2017

2016

(in millions of euros)

Income from investments (1)

1,828

2,240

Income from other securities and receivables related to fixed assets (2)

496

555

Interest and similar income and expenses (3)

(1,325)

(2,856)

Reversal of provisions and impairment and transfers of charges (4)

948

1,535

Foreign exchange result

(172)

466

Gains ■ Losses ■

2,256

3,061

(2,428)

(2,595)

Result on sales of marketable securities

(140)

(35)

Net income ■ Net charges ■

18

9

(158)

(44)

Financial amortisation, provisions and impairment (5) , including:

(2,623)

(3,169)

Discount expense on employee benefits ■ Discount expense on nuclear provisions ■

(585)

(688)

(1,881)

(2,178)

(988)

(1,264)

FINANCIAL RESULT

The change in dividends received principally concerns: (1) Enedis (€659 million in 2017 and €551 million in 2016); - C3 (the holding company which carries EDF Investissements Groupe) (€334 million in 2017 and €345 million in 2016); - EDF International (€200 million in 2017 and €500 million in 2016); - EDF Holding (€517 million in 2016, no equivalent in 2017); - PEI (€101 million in 2017 and €55 million in 2016); - EDF Immo (€234 million in 2017 and €61 million in 2016); - RTE (€129 million in 2017, no equivalent in 2016); - CTE (€60 million in 2017, no equivalent in 2016); - EDEV (€123 million in 2017, no equivalent in 2016). - In 2017, this item includes income of €64 million (€100 million in 2016) for the cost of bearing the CSPE financial receivable. (2) The decrease essentially results from changes in the unrealised foreign exchange gain or loss on currency instruments (€1,401 million). (3) This change mainly reflects the recovery of a provision for unrealised foreign exchange losses on perpetual bonds, amounting to €524 million (see note 27). (4) The change mainly reflects the effect of discounting provisions for the back-end of the nuclear cycle, decommissioning and last cores, amounting to €297 million, (5) and effects associated with changes in provisions for long-term and post-employment benefits amounting to €103 million. In 2017, the discount expense on nuclear provisions decreased, because the real discount rate showed a smaller decrease from 2016 than for the comparative period 2016/2015 (the rate was 2.6% at 31 December 2017, 2.7% at 31 December 2016 and 2.9% at 31 December 2015).

EXCEPTIONAL RESULT NOTE 14

At 31 December 2017, exceptional items resulted in net income of €1,232 million. The main items are the following: a net gain of €388 million on the sale of the CTE investment securities upon ■ completion of the RTE operation (see note 2.4); net gains of €872 million on sales of investment securities included in dedicated ■ assets, undertaken as part of operational portfolio management; net reversals of €62 million from excess tax depreciation. ■

At 31 December 2016, exceptional items resulted in net income of €4,277 million. The main items are the following: a net gain of €3,780 million on the transfer of all the shares in RTE to the new ■ company C25 (see note 2.4); net gains of €367 million on sales of investment securities included in dedicated ■ assets, undertaken as part of operational portfolio management; net reversals of €126 million from excess tax depreciation. ■

434

EDF I Reference Document 2017