PSA_GROUP_REGISTRATION_DOCUMENT_2017

CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2017 Notes to the consolidated financial Statements at December 2017

Undrawn syndicated lines of credit The Group’s manufacturing and sales companies have the following additional borrowing capacity under revolving lines of credit expiring at various dates through to 2021:

31 December 2017

31 December 2016

(in million euros)

Peugeot S.A. and GIE PSA Trésorerie

3,000 1,200 4,200

3,000 1,200 4,200

Faurecia

UNDRAWN CONFIRMED LINES OF CREDIT

The Peugeot S.A. and GIE PSA Trésorerie credit line is comprised of two tranches for €2,000 million and €1,000 million, respectively, both falling due in November 2020. This credit facility was undrawn at the period-end. This facility is subject to the respect of: a level of net debt of manufacturing and sales companies of less „ than of €6 billion; a ratio of the net debt of manufacturing and sales companies to „ consolidated equity of less than 1.

The net debt of manufacturing and sales companies is defined and disclosed in Note 12.3. The Group’s equity is that listed under “Total Equity” in liabilities. All of these clauses were complied with at 31 December 2017. Faurecia’s additional borrowing capacity, other than trough Peugeot S.A., results from a syndicated line of credit arranged on 15 December 2014. It comprises only one €1,200 million tranche expiring in December 2019. This line of credit was renegotiated on 24 June 2016 to extend the maturity to five years from that date, namely 24 June 2021. This credit facility was undrawn at the period-end.

BREAKDOWN OF FINANCIAL ASSETS 12.5. Other non-current and current financial assets A.

31 December 2017

31 December 2016

Non-current

Current

Non-current

Current

(in million euros)

Loans and receivables

255

1,261

285

627

Financial assets classified as “at fair value through profit or loss”

223

-

380

-

Derivative instruments

9

8

20

2

TOTAL FINANCIAL ASSETS, NET

487

1,269

685

629

Financial investments B. Short-term investments are investments of surplus cash flows for which the remaining maturity and investment horizon is less than 12 months. They total €165 million (€110 million as of 31 December 2016).

Cash and cash equivalents C. Cash primarily represents cash in bank current accounts, and excludes bank overdrafts. Cash equivalents consist primarily of cash investments and negotiable debt securities that are readily convertible to known amounts of cash, subject to an insignificant risk of change in value and held in order to meet short-term cash commitments with an original maturity of three months or less according to IAS 7.

Cash and cash equivalents include:

31 December 2017

31 December 2016

(in million euros)

Mutual fund units and money market securities

8,719 2,863 11,582

8,389 3,187 11,576

Cash and current account balances

Total - manufacturing and sales companies o/w deposits with finance companies

(8)

(8)

TOTAL

11,574

11,568

Cash includes the proceeds from borrowings arranged to meet future financing needs (see Note 12.3.A).

At 31 December 2017, cash equivalents mainly included money market funds for €4,610 million, bank deposits and overnight money market notes in the amount of €1,489 million, and commercial paper for €104 million.

All of these instruments comply with the “Committee of European Securities Regulators” (CESR) definition of Short-Term Money Market Funds.

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GROUPE PSA - 2017 REGISTRATION DOCUMENT