SCH2017_DRF_EN_Livre.indb

5 Consolidated financial statements at December 31, 2017 Notes to the consolidated financial statements

Equity

NOTE 21

21.1 – Capital Share capital

Schneider Electric’s capital management strategy is designed to: E ensure Group liquidity; E optimize its financial structure; E optimize the weighted average cost of capital. The strategy must also ensure the Group has access to different capital markets under the best possible conditions. Factors taken into account for decision-making purposes include objectives expressed in terms of earnings per share, ratings or balance sheet stability. Finally, decisions may be implemented depending on specific market conditions.

The company’s share capital at December 31, 2017 amounted to EUR2,387,664,968 represented by 596,916,242 shares with a par value of EUR4, all fully paid up. At December 31, 2017, a total of 626,070,223 voting rights were attached to the 596,916,242 shares outstanding.

Changes in share capital Changes in share capital since December 31, 2015 were as follows:

Cumulative number of shares

Total (in euros)

Capital at Dec. 31, 2015 Exercise of stock options Employee share issue Capital at Dec. 31, 2016 Exercise of stock options Employee share issue CAPITAL AT DEC. 31, 2017

588,734,472 2,354,937,888

921,535

3,686,140 11,371,008

2,842,752

592,498,759 2,369,995,036

2,004,115 2,413,368

8,016,460 9,653,472

596,916,242 2,387,664,968

The share premium account increased by EUR148,868,602 following the exercise of options and the increases in capital.

21.2 – Earnings per share Determination of the share base used in calculation

Full year 2017

Full year 2016

Basic

Diluted

Basic

Diluted

(in thousands of shares)

Common shares* Performance shares

557,731

557,731

561,222

561,222

- -

6,337

- -

5,503

Stock options

303

421

Average weighted number of shares

557,731

564,371

561,222

566,946

* Net of treasury shares and own shares.

2017 REGISTRATION DOCUMENT SCHNEIDER ELECTRIC

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