TECHNICOLOR_REGISTRATION_DOCUMENT_2017

- 6 FINANCIAL STATEMENTS

Notes to the consolidated financial statements

Results of discontinued operations 12.1.1.

December 31,

2017

2016*

(in million euros)

DISCONTINUED OPERATIONS Revenues

131

257

Cost of sales Gross Margin

(52)

(43) 214 (18)

79

Selling and administrative expenses Research and development expenses

(13) (1) (2) (5) (4) 54

(1)

Restructuring costs

(11)

Net impairment gains (losses) on non-current operating assets

-

Other income (expense)

(87)

EARNING BEFORE INTEREST & TAX FROM DISCONTINUED OPERATIONS

97

Net financial income (expense)

(1)

(2) (1)

Share of income (loss) from associates

-

Income tax

(7) 46

(14) 80

NET INCOME (LOSS)

In 2017, the profit of €46 million from discontinued operations consists mainly the result of Patent Licensing business. In 2016, the gain of €80 million includes mainly the result of Patent Licensing business offset partly by impact of settlements of some risk and litigation which were related to businesses discontinued several years ago (see note 10.2).

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TECHNICOLOR

REGISTRATION DOCUMENT 2017