Saint Gobain - Registration document 2016

9 FINANCIAL AND ACCOUNTING INFORMATION 1. 2016 Consolidated Financial Statements

Trade and other accounts receivable a)

At December 31, 2016 and 2015, inventories were as follows:

follows: Trade and other accounts receivable can be analyzed as

Dec. 31, 2016 Dec. 31, 2015

(in € millions)

Gross value Raw materials

Dec. 31, 2016 Dec. 31, 2015

(in € millions)

1,327

1,282

Gross value

5,361

5,201

Work in progress

318

284

Provision for impairment

(426)

(450)

Finished goods

4,678

4,610

TRADE ACCOUNTS RECEIVABLE

4,935

4,751

GROSS INVENTORIES

6,323

6,176

Discounts and advances to suppliers

567

504

Provision for impairment Raw materials

Prepaid payroll taxes

24

16

(143)

(149)

Other prepaid and recoverable taxes (other than income tax)

Work in progress

(11)

(13)

348

323

Finished goods

(294)

(299)

Miscellaneous operating receivables

248

252

TOTAL PROVISION FOR IMPAIRMENT

(448)

(461)

Other non-operating receivables and provisions Provision for impairment of other operating receivables

339

326

NET VALUE

5,875

5,715

(11)

(16)

The net value of inventories was €5,875 million at December 31, 2016 compared with €5,715 million at December 31, 2015. Impairment losses on inventories recorded in the 2016 income statement totaled €176 million (€208 million in 2015). €152 million in 2016 (€125 million in 2015). Reversals of impairment losses on inventories amounted to Operating and non-operating receivables 3.5.2 and payables and payables are stated at their carrying amount which approximates their fair value as they generally have maturities of less than three months. Provisions for impairment are booked to cover the risk of total or partial non-recovery. Trade accounts receivable and payable and other receivables provisions are set aside when appropriate. credit risk is limited due to its diversified business line-up, broad customer base and global presence. Past-due trade receivables are regularly monitored and analyzed, and The Group deems that its exposure to concentrations of For trade receivables transferred under securitization programs, the contracts concerned are analyzed and if substantially all the risks associated with the receivables are not transferred in substance to the financing institutions, they remain on the balance sheet and a corresponding liability is recognized in short-term debt (further information is

OTHER RECEIVABLES

1,515

1,405

€69 million (€69 million in 2015). receivable in 2016 primarily reflect €84 million in additions (€99 million in 2015) and €98 million in reversals (€103 million in 2015), resulting from recoveries as well as write-offs. Bad debt write-offs are also reported under this caption for Change in impairment provisions for trade accounts Net past-due trade receivables amounted to €904 million at December 31, 2016 and €902 million at December 31, 2015, including €187 million over three months past due (€177 million at December 31, 2015).

Trade and other accounts payable b)

be analyzed as follows: Trade and other accounts payable and accrued expenses can

Dec. 31, 2016 Dec. 31, 2015

(in € millions)

TRADE ACCOUNTS PAYABLE

5,805

5,716

Customer deposits

1,056

927

Payables to suppliers of non-current assets

277

250

Grants received

88

97

Accrued personnel expenses

1,178

1,107

Accrued taxes other than on income

416

394

Other operating payables

521

566

provided in Note 8.3.8).

Other non-operating payables

100

107

OTHER PAYABLES

3,636

3,448

220

SAINT-GOBAIN - REGISTRATION DOCUMENT 2016

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