PSA_GROUP_REGISTRATION_DOCUMENT_2017

PEUGEOT S.A. FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2017 Notes to Peugeot S.A. financial Statements

Other Subsidiaries 7) At 31 December 2017, the gross value of the shares in the other subsidiaries amounted to €609.4 million. The net carrying amounts of the shares of said subsidiaries were assessed on the basis of their adjusted equity. An impairment allowance of €0.1 million was recognised for DS Automobiles.

LOANS AND ADVANCES TO INVESTED ENTITIES

NOTE 6

GIE PSA TRÉSORERIE On 1 January 2017, the GIE PSA Trésorerie consortium repaid early to Peugeot S.A. the whole amount of the bond issues subscribed by the latter. The amount of these early redemptions was €1,361.2 million.

OTHER LONG-TERM INVESTMENTS

NOTE 7

Balance as of 31/12/2017

(in million euros)

Cost at 1 January 2017

151.9

additions > disposals >

-

(1.0)

Cost at 31 December 2017 Impairment at 1 January 2017

150.9 (30.5)

additions > reversals >

-

6.0

Cost at 31 December 2017

(24.5) 126.4

NET COST AT 31 DECEMBER 2017

UNITS IN FCPR INVESTMENT FUNDS Peugeot S.A. holds units in France’s Fonds d'Avenir Automobile (FAA), a private equity fund set up by the French government as part of the Automobile Pact signed on 9 February 2009. These units are measured at value in use, which corresponds to their market value at the balance sheet date. This reflects the value in use of the investments made by the fund. On the assumption that they are not publicly traded, their value is estimated at their cost during the first twelve months following acquisition, adjusted if necessary for any unfavourable subsequent event. After the first twelve months, value in use is estimated using earnings multiples.

At 31 December 2017 the monies already called and paid into the Fund were valued at €69.0 million. The total provision for FAA shares amounted to €24.5 million. An impairment reversal of €6.0 million was thus recognised over the period. FAA units not yet called at 31 December 2017 amounted to €57.4 million. The liability is carried in the balance sheet under “Due to suppliers of fixed assets” (see Note 1.C). These units are governed by the tax rules relating to FCPR investment funds, with the result that long-term capital gains on the units will be taxed at a reduced rate.

LONG-TERM LOANS AND RECEIVABLES

NOTE 8

Repayments of €3.2 million on a deposit with the European Investment Bank (guaranteeing loans issued by that institution to Group subsidiaries) were recorded for the period. The balance recognised in our financial statements at 31 December 2017 totalled €3.2 million.

The deposit of €30 million made by Peugeot S.A. on 20 December 2012, pursuant to the programme for securitising the Group’s trade receivables, was paid off in full by a repayment of €15.0 million on 31 October 2017.

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GROUPE PSA - 2017 REGISTRATION DOCUMENT