NEOPOST_REGISTRATION_DOCUMENT_2017

5

Financial statements

Parent company statements of financial position

The employment and competitiveness tax credit ( Crédit d’Impôt pour la Compétitivité et l’Emploi – CICE ) coming from the tax consolidation amounted to 1.6 million euros as at 31 January 2018 compared with 1.4 million euros as at 31 January 2017. For 2017, the tax benefit coming from the tax consolidation was 1.6 million euros (1.9 million euros for 2016). 8.3 million euros in tax proceeds was recognized , on January 2018, in respect of the claim relating to a contribution of 3%,

settled during dividend distribution by the Company in 2013, 2014 and 2015. Losses carried forward amounted to 56.7 million euros as at 31 January 2018. A tax loss carry forward of 4.9 million euros was used as at 31 January 2017. The group tax result submitted to ordinary tax rate is a loss and the group tax result submitted to the reduced tax rate is a profit. Net income amounted to 78.9 million euros (280.1 million euros as at 31 January 2017).

Income before tax

Theoretical tax

Net income

Current income

74.8

2.1

76.9

Extraordinary income (loss)

(5.8)

2.0

(3.8)

Sub-total

69.0

4.1

73.1

Tax credits offsetting

-

1.7

1.7

Additional 3% tax on dividends

-

(0.9)

(0.9)

Claim of additional 3% tax on dividends

-

8.3

8.3

Effect of tax consolidation

-

(3.3)

(3.3)

TOTAL

69.0

9.9

78.9

Information on associated companies Note 12

Figures for associated companies break down as shown below:

Associated companies Majority stake Minority stake

31 January 2018

Financial assets

1,475.5

1,465.1

10.4

Receivables

219.7

219.7

-

Financial debt

0.6

0.6

-

Financial expenses

3.0

3.0

-

Financial income (interest)

24.4

24.4

-

Financial income (dividends)

101.5

100.8

0.7

Risk management and financial instruments Note 13

accounted for in compensation of unrealized gains or • losses on assets or liabilities hedged by these instruments; deferred if these instruments have been allocated to • operations related to the following year. The effects of interest rate hedges (swaps, forward rate agreements, caps, etc .) are calculated using a prorata temporis over the contract’s length, and accounted for in interest expenses for the year.

The n°2015-05 Autorité des normes comptables (ANC) regulation of July 2, 2015 regarding forward financial derivative instruments and hedging operations is applicable since 1 st January 2017. The foreign exchange forward contracts and options outstanding as at 31 January are reassessed at that date. Unrealized gains or losses resulting from this revaluation are:

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REGISTRATION DOCUMENT 2017 / NEOPOST