PSA_GROUP_REGISTRATION_DOCUMENT_2017

CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2017 Notes to the consolidated financial Statements at December 2017

NOTES TO THE CONSOLIDATED STATEMENTS OF CASH FLOWS NOTE 16

voluntary contributions paid into pension funds are recognised „ under cash flows from operating activities; payments made on the deferred portion of a fixed asset „ purchase are presented under cash flows from investing activities for the period (“Change in amounts payable on fixed assets”); tax payments are classified under cash flows from operating „ activities; bonds’ redemptions are classified under cash flows from „ financing activities.

The statement of cash flows is partitioned into cash flows from operating activities, cash flows from investing activities and cash flows from financing activities depending on the nature of the transactions. The Group’s main choices as regards presentation were as follows: interest flows were kept under cash flows from operating „ activities; payments received in connection with grants were allocated by „ function to cash flows from investing activities or cash flows from operating activities depending on the nature of the grant; the conversion options of convertible bonds (involving both „ optional and mandatory conversion) are presented on a capital increase line under cash flows from financing activities;

ANALYSIS OF NET CASH AND CASH EQUIVALENT REPORTED IN THE STATEMENTS 16.1. OF CASH FLOWS

Notes 31 December 2017 31 December 2016

(in million euros)

Cash and cash equivalents

12.5.C 12.6.C

11,582

11,576

Payments issued

(93)

(112)

Other

2

-

Net cash and cash equivalents - manufacturing and sales companies

11,491

11,464

Net cash and cash equivalents - finance companies

320

530

13.2.C

Elimination of intragroup transactions

(8)

(8)

TOTAL

11,803

11,986

NET CHARGES TO DEPRECIATION, AMORTISATION AND IMPAIRMENT 16.2. IN THE STATEMENT OF CASH FLOWS

Notes

2017

2016

(in million euros)

Depreciation and amortisation expense

5.2

(2,636)

(2,576)

Impairment of: capitalised development costs >

8.1.B 8.1.B 8.2.B

(80)

(47)

intangible assets >

-

2

property, plant and equipment >

43 (7)

120

4

Other

TOTAL

(2,680)

(2,497)

CAPITAL INCREASE AND ACQUISITIONS OF CONSOLIDATED COMPANIES AND 16.3. EQUITY INTEREST

the acquisition of 50% of Opel Bank SA by Banque PSA Finance, „ a finance company in partnership with BNP Paribas for €489 million (see Note 2.2); Faurecia’s acquisition of Coagent for €192 million; „ the €148 million capital increase by Automobiles Citroën and PSA „ Automobiles at Saipa Citroën Automobiles Company.

The capital increases and acquisitions of consolidated companies and of equity interests during the year for €1,095 million mainly involved the following transactions: the acquisition of Opel Automobile GmbH for a net cash impact „ of €26 million (see Note 2.1);

230

GROUPE PSA - 2017 REGISTRATION DOCUMENT