PSA_GROUP_REGISTRATION_DOCUMENT_2017

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

INCOME TAXES NOTE 21

In view of the Group’s tax regime (see Note 1.I), tax income and expense recognised in profit and loss are as follows:

31/12/2017

31/12/2016

(in million euros)

Tax payable to Peugeot S.A. by profitable members of the tax group (1) Return by profitable members of the tax group of tax savings previously transferred by Peugeot S.A. grantees

25.9

(57.6)

14.4

33.4

Group relief

192.0

205.2 (31.1)

Adjustments for tax expense

(55.0)

Change in provision for tax savings to be transferred to loss-making subsidiaries

-

- -

Change in provision for tax risks NET INCOME TAX BENEFIT

(0.3) 177.0

149.9 In 2017, the tax due to Peugeot S.A. from consolidated subsidiaries was a negative amount of €25.9 million, in accordance with the rules (1) governing tax consolidation and the allocation of fax credits. In 2017, the overall income of the Group as consolidated entity for tax purposes was a profit of €55.7 million at the standard tax rate, and a profit of €212.2 million at the reduced rate. In 2017 the tax group had unused tax loss carryforwards totalling €11,788.4 million.

FINANCIAL COMMITMENTS NOTE 22

31/12/2017

31/12/2016

(in million euros)

Commitments received Syndicated line of credit (1) >

3,000.0

3,000.0

Bank guarantee >

1.2

16.5

433.6

448.0

Income tax reallocations (2) >

TOTAL

3,434.8

3,464.5

Commitments given Guarantees for loans obtained by: Peugeot S.A. subsidiaries (3) >

994.9

890.8

Other companies >

-

-

Other commitments given on behalf of: Peugeot S.A. subsidiaries (4) >

410.0 233.5

312.2

GM US subsidiaries (5) > Other companies (6) >

-

62.3

6.2

TOTAL

1,700.7

1,209.2

Commitments received include: Peugeot S.A. and GIE PSA Trésorerie have, from April 2014 forward, a confirmed line of credit in the amount of €3 billion with a maturity (1) extended to 10 November 2015. It comprises a €2 billion five-year tranche A extended to 2020 and a €1.0 billion three-year tranche B extended to 2018, retaining the two optional one-year extensions. A first request was made on 8 November 2016 to extend tranche B until 8 November (tranche A would run until 10 November 2020). It was undrawn at 31 December 2017. Allocations to certain subsidiaries of income tax previously paid by Peugeot S.A., which these subsidiaries have undertaken to repay to (2) Peugeot S.A. when they return to profit. Commitments given include: €600 million in guarantees made by Peugeot S.A. in 2011 as part of a €600 million bond issue by GIE PSA Trésorerie maturing (1) September 2033. €334.5 million the other guarantees mostly concern loans obtained by subsidiaries from the European Investment Bank and the EBRD. €60.4 million in guarantees given in 2012 by Peugeot S.A. as part of the debt incurred by PCMA Russie. €44.2 million, the equivalent of outstanding loans by Banque PSA Finance to Group subsidiaries at 31 December 2017, that Peugeot S.A. is (4) committed to repaying in the event of default by the subsidiaries concerned. €99.2 million, representing the letters of intent signed by Peugeot S.A. to guarantee the rental payments due under the leases signed by France and UK Retail. €13.8 million, representing tax guarantees to the Italian authorities. €233.5 million correspond to the guarantees given in 2017 by Peugeot S.A. to GM US, following the acquisition of Opel. (5) €62.3 million correspond to the guarantees given by Peugeot S.A. for the Rueil rental. (6)

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GROUPE PSA - 2017 REGISTRATION DOCUMENT