SOPRA_STERIA_REGISTRATION_DOCUMENT_2017

PARENT COMPANY FINANCIAL STATEMENTS Notes to the balance sheet

3.2. Other assets

3.2.1. TRADE ACCOUNTS RECEIVABLE

2017

2016

(in thousands of euros)

Non-Group clients and related accounts

245,318 143,285 19,487

261,647 148,264 16,062

Accrued income

Group clients

Doubtful debtors

544

535

Provision for doubtful debtors

-529

-535

TOTAL

408,105

425,973

Trade accounts receivable are recognised as assets and are stated at their carrying amount. Accrued income is essentially comprised of production recognised for fixed-price projects using the percentage-of-completion method. Invoices are generally prepared for these contracts upon completion of the services rendered, which are covered over the lifespan of the projects through payments on account.

In December 2017, the Company sold a portion of its trade accounts receivable. These sales were made without recourse in the amount of €36.984 million and with recourse in the amount of €19.836 million. At 31 December 2016, the Company had also sold a portion of its trade accounts receivable with recourse in the amount of €25.000 million.

3.2.2. OTHER RECEIVABLES, PREPAYMENTS AND ACCRUED INCOME

2017

2016

(in thousands of euros)

Staff costs and related accounts

165 231

294 280

Social security

State and local authorities p Corporate income tax

5,510

4,836

p VAT

18,084 41,213 146,971

17,351 41,413 112,315

p Other tax

Group and associates

Impairment of current accounts

-48

-48

Other receivables Prepaid expenses

9,850 4,906

8,501 6,023

TOTAL

226,882

190,965

The Other tax item includes in particular tax credits not used at 31 December 2017. It mainly consists of research tax credit receivables totalling €34.101 million. The Corporate income tax item in the amount of €5.510 million consists of: p a corporation tax instalment payment surplus of €1.743 million; p accrued income in respect of the refund of the 3% contribution on dividends paid in financial years 2015, 2016 and 2017 in the total amount of €3.767 million.

Group and associates increased by nearly €34 million. This increase is mainly due to the current account advance to the Sopra Banking Software subsidiary, allowing it to complete the acquisition of the Cassiopae group. Prepaid expenses relate to services invoiced in 2017 and attributable to subsequent years. They mainly concern costs associated with hardware and software maintenance contracts and leases of movable and immovable property.

3.2.3. DEBT ISSUANCE COSTS AND TRANSLATION ADJUSTMENTS – ASSET

2017

2016

(in thousands of euros)

Debt issuance costs

368

622

Translation adjustments – Asset

10,509 10,700

7,173 7,795

TOTAL

206

SOPRA STERIA REGISTRATION DOCUMENT 2017