Saint Gobain - Registration document 2016

9 FINANCIAL AND ACCOUNTING INFORMATION 1. 2016 Consolidated Financial Statements

NOTE 6

AND OTHER NON-CURRENT ASSETS INVESTMENTS IN EQUITY-ACCOUNTED COMPANIES

Changes in investments in equity-accounted companies 6.1 Changes in investments in equity-accounted companies in 2016 and 2015 can be analyzed as follows:

2016

2015

(in € millions)

At January 1 Equity in associates and joint ventures

308

355

Goodwill

11

31

INVESTMENTS IN EQUITY-ACCOUNTED COMPANIES

319

386

Movements during the year Group share in net income of equity-accounted companies

36

43

Dividends paid

(16)

(14)

Translation adjustments

7

(31)

Transfers, share issues and other movements

3

(1)

Changes in Packaging Sector

0

(2)

Changes in Group structure and acquisitions

27

(62)

TOTAL MOVEMENTS

57

(67)

At December 31 Equity in associates and joint ventures

364

308

Goodwill

12

11

INVESTMENTS IN EQUITY-ACCOUNTED COMPANIES

376

319

The principal financial aggregates of equity-accounted companies are as follows:

2016

2015

Associates

Joint ventures

Total

Associates

Joint ventures

Total

(in € millions)

Net sales

710

673

1,383

713

729

1,442

Net income

26

54

80

17

87

104

Shareholders’ equity

580

401

981

486

368

854

Total assets and liabilities

984

604

1,588

796

531

1,327

Transactions with equity-accounted 6.2 companies - related-parties conducted by the Group in the normal course of its businesses with equity-accounted companies and joint ventures. These transactions are carried out on an arm’s The consolidated financial statements include transactions length basis. The assets and liabilities of equity-accounted companies at December 31 are as follows:

follows: Purchases and sales with equity-accounted companies are as

2016

2015

(in € millions)

Purchases

2

2

Sales

43

54

Transactions with key shareholders 6.3 Some subsidiaries of the Saint-Gobain Group, particularly in the Building Distribution Sector, carry out commercial transactions with subsidiaries of the Wendel Group. These transactions are carried out on an arm’s-length basis. Other non-current assets 6.4 Investments classified as “available-for-sale” are carried at fair value. Unrealized gains and losses on these investments are recognized in equity, unless the investments have suffered a material or other-than-temporary decline in value, in which case an impairment loss is recorded in the income statement.

Dec. 31, 2016 Dec. 31, 2015

(in € millions)

Financial receivables

1

1

9

Inventories

0

0

Short-term receivables

8

17

Cash and cash equivalents

0

0

Provisions for asset impairment

0

0

Short-term debt

2

2

Cash advances

0

0

235

SAINT-GOBAIN - REGISTRATION DOCUMENT 2016