Saint Gobain - Registration document 2016

9 FINANCIAL AND ACCOUNTING INFORMATION 1. 2016 Consolidated Financial Statements

Authority in the building insulation Investigation by the French Competition 7.2.2.2 products sector On August 6, 2014, Saint-Gobain Isover and Compagnie Group) received a notice of complaints from the French de Saint-Gobain (as the parent company of Saint-Gobain before the Versailles Commercial Court for one of its 2007, relating to a certification request lodged by Actis mineral wool manufacturers’ association (FILMM), of which products, and in relation to a dispute between Actis and the Saint-Gobain Isover was a member. strategic and confidential information, between 2002 and Saint-Gobain Isover and Compagnie de Saint-Gobain are 2016. The Competition Authority’s final ruling has been challenging this complaint. The hearing was held on May 11, The only complaint made was of having exchanged allegedly Competition Authority (Autorité de la Concurrence française). writ on Saint-Gobain Isover, the Centre Scientifique et In the civil law area, in March 2013 Actis served a civil liability Court (Tribunal de Grande Instance) for the adverse Technique du Bâtiment, and the FILMM before the Paris Civil investigation by the Competition Authority. In an order dated consequences of facts forming the subject of the proceedings while waiting for the decision from the December 16, 2014, the pre-trial judge declared a stay of Competition Authority. Investigation by the Anti-trust Division of 7.2.2.3 the United States Department of Justice in the United States drywall industry In July 2015, the Anti-trust division of the United States potential anti-competitive practices, specifically a price Department of Justice opened a criminal investigation into investigation followed complaints filed in late 2012 in the form agreement, in the United States drywall industry. This manufacturers in the sector, including CertainTeed, by some of class actions in the civil courts against eight drywall of their customers. civil proceedings, CertainTeed and its attorneys have not On the basis of testimony and documents submitted in the CertainTeed, and as a result filed a motion for summary identified any element that might create liability for This application was accepted on February 18, 2016 by the judgment in May 2015 in order to end the civil proceedings. possible. competent court. An appeal against this decision is still postponed to a date not yet known.

Environmental related litigation 7.2.3 PFOA matters in the United States 7.2.3.1

(New Hampshire), and two former facilities in North (SG PPL) facilities in Hoosick Falls (New York) and Merrimack (polytetrafluorethylene) have never been manufactured by Bennington (Vermont) in the United States. PFOA and PTFE these plants. SG PPL is a processor of PTFE which it contained traces of PFOA. purchases from third party suppliers and which in the past private wells near current Saint-Gobain Performance Plastics advisories have been found in municipal water systems and SG PPL has voluntarily provided bottled water in all three residents and businesses in the Hoosick Falls and North communities, installed point-of-entry treatment systems to the municipal water supply in Hoosick Falls. In addition, it has Bennington areas, and installed carbon filtration systems on communities in the Merrimack area. The investigations are voluntarily committed to fund water line extensions in certain on-going and the scope of responsibility for SG PPL arising these sites has not yet been established. Responsibility, if any, from environmental remediation and clean-up obligations at particular the Hoosick Falls’ site. is expected to be shared with other parties as regards in economic damages claims have been filed in civil courts in PFOA-related lawsuits alleging both health-related and Environmental Protection Agency (EPA) or state health Levels of PFOA (perfluorooctanoic acid) in excess of U.S. in the form of proposed class actions. It is difficult to predict New York, New Hampshire and Vermont, some of which are the timing or outcome of any such litigation, or whether any additional litigation will be brought against SG PPL. On 31 December 2016, the Company established a provision in various costs. the amount of USD 23 million in connection with defense and could have or which has had, in the last twelve months, a Company and/or the Group might be threatened) which Company and/or Group. significant impact on the financial or profit position of the (including pending proceedings or proceedings where the other government, court or arbitration proceedings exist described above, to the best of the Company’s knowledge no Some of the Group’s companies may also be the subject of authorities. Apart from the proceedings and litigation other claims made by their employees or by the tax Other proceedings and disputes 7.2.4

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SAINT-GOBAIN - REGISTRATION DOCUMENT 2016

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