MAROC_TELECOM_REGISTRATION_DOCUMENT_2017

4

FINANCIAL REPORT Consolidated financial statements at 31 December 2015, 2016 and 2017

The “Noncurrent provisions” item mainly includes provisions for retirement benefits, provisions for disputes with third parties, provisions for life annuities as well as noncurrent provisions for taxes.

The “Current provisions” item includes provisions for restructuring expenses, provisions for disputes with third parties, provisions for employee-related expenses, and current provisions for taxes.

2017

Change in scope of consolidation

Translation adjustment

(in MAD million)

2016 470

Charges

Used

Reversals Reclassification

2017 570

Noncurrent provisions Provisions for life annuities Provisions for termination benefits Provisions for disputes with third parties Provisions for voluntary redundancy plan Provisions for employee-related expenses Provisions for disputes with third parties Other provisions Current provisions

126

- 57

24

- 5

10

18

- 1

17

400

43

- 45

20

10

428

28 23

76

- 11

3 1

- 3 - 2

94 32

9

1,208

160

- 12

15

- 419

- 115

838

386

- 386

822

156

- 12

15

- 33

- 115

834

Other provisions

4

0

4

TOTAL

1,679

286

- 69

0

39

- 424

- 104 1,408

The decrease in provisions in 2017 is mainly due to the consumption of provisions for restructuring charges in the amount of 386million dirhams.

2016

Change in scope of consolidation

Translation adjustment

(in MAD million)

2015 535

Charges

Used

Reversals Reclassification

2016 470

Noncurrent provisions Provisions for life annuities Provisions for termination benefits Provisions for disputes with third parties

53

-55

0

-9

-72

18

19

-1

18

381

42

-45

0

-9

-2

33

400

29

7 4

-9

0 0 0

0 0

1

28 23

Other provisions Current provisions

106 834

-69 -37

-16 -42

624

-155

-16

1,208

Provisions for voluntary redundancy plan

131

255

386

Provisions for employee-related expenses

0

Provisions for disputes with third parties

365 338

369

-135

0

-16

-37

275 -317

822

Other provisions

-20

0

0

TOTAL

1,369

677

-210

0

-25

-109

-24

1,679

148

MAROC TELECOM ____ 2017 Registration Document