Areva - Reference Document 2016

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20.2 Notes to the consolidated financial statements for the year ended December 31, 2016 FINANCIAL INFORMATION CONCERNING ASSETS, FINANCIAL POSITION AND FINANCIAL PERFORMANCE

Concerning the quality subjects mentioned previously For all of the quality subjects, AREVA has not constituted a specific provision associated with potential liability-related actions. In fact, as of this date, AREVA is not aware of customer or third-party claims for any of the quality subjects mentioned above. However, the group cannot exclude the possibility of claims from third parties. In early February 2017, EDF notified AREVA in particular that the company reserves the right to ask for redress and to take any legal action as the result of AREVA NP breaches of its contractual, legal or regulatory obligations or related to the industrial code. Independently of these potential claims, AREVA continues discussions with customers, the safety authorities and the certifying bodies in order to deal with these subjects as quickly as possible for the benefit of the safety of the facilities. For more information on disputes, see note 34. 1.2. ESTIMATES AND JUDGMENTS To prepare its financial statements, AREVA must make estimates, assumptions and judgments impacting the carrying amount of certain assets and liabilities, income and expense items, or information provided in some notes to the financial statements. AREVA updates its estimates and judgments on a regular basis to reflect past experience and other factors deemed pertinent, based on economic conditions. As a function of changes in these assumptions or in circumstances, the amounts appearing in its future financial statements may differ from current estimates, particularly in the following areas: p the highly probable nature of the loss of control of assets and operations classified in the “held for sale” category, in accordance with IFRS 5 (see notes 1.3.1.1 and 3), and estimates relative to the net income from sales of assets and operations classified as “held for sale” (see note 3); p operating margins on contracts recognized according to the percentage of completion method (see notes 1.3.7 and 24), which are estimated by the project teams and reviewed by management following the group’s procedures; p cash flow forecasts and the discount and growth rates used for impairment tests for goodwill and other plant, property and equipment and intangible assets (see notes 1.3.9, 10, 11 and 12); p all assumptions used to assess the value of pension commitments and other employee benefits, including future payroll escalation and discount rates, retirement age and employee turnover (see notes 1.3.15 and 23); p all assumptions used to assess the value of provisions for end-of-lifecycle operations and the assets corresponding to the third-party share, in particular: ○ the estimated costs of those operations, ○ the inflation and discount rates, ○ the schedule of future disbursements, ○ the operating period of the facilities (see notes 1.3.17 and 13), ○ the scenario chosen with regard to knowledge of the initial condition of the facilities, of the target final condition, and of the waste treatment and removal methods, ○ the procedures for final shut-down; p the assumptions used to assess provisions for contract completion, in particular for waste treatment methods that do not presently exist: the estimated costs of those operations, the schedule of future disbursements, and the inflation and discount rates;

p the assumptions used to value provisions for restructuring and provisions for voluntary departure plans (see notes 1.3.16 and 24); p estimates and judgments regarding the outcome of disputes in progress and, more generally, estimates regarding all of the provisions and contingent liabilities of the AREVA group (see notes 1.3.16, 24 and 34); p estimates and judgments relative to the recoverability of accounts receivable from the group’s customers and other accounts receivable (see notes 1.3.11 and 1.3.12.3); p estimates and judgments regarding the material or durable nature of the impairment of available-for-sale financial assets (see notes 1.3.12, 13 and 15); p estimates of future taxable income used to recognize deferred tax assets (see notes 1.3.22 and 9); p the share in equity and net income of joint ventures and associates that had not yet reported their year-end financial statements at the date of year-end closing of AREVA’s financial statements. 1.3. ACCOUNTING PRINCIPLES PursuanttoEuropeanRegulation1606/2002ofJuly19,2002,AREVA’sconsolidated financial statements were prepared in accordance with International Financial Reporting Standards (IFRS) adopted by the European Union at December 31, 2016. They include the International Accounting Standards (IAS), the IFRS and the interpretations issued by the IFRS Interpretations Committee (IFRS-IC) and by the former Standing Interpretation Committee (SIC). These financial statements are also consistent with IFRS standards drawn up by the International Accounting Standards Board (IASB), insofar as the mandatory adoption date of the standards and amendments published by the IASB and not yet adopted by the European Union at December 31, 2016 is later than that date. Mandatory effective date of January 1, 2016 for new standards and interpretations p Amendments resulting from annual improvement processes for the 2010-2012 period; p Amendments resulting from annual improvement processes for the 2012-2014 period; p Amendment to IAS 19 “Employee Benefits: employee contributions to defined benefit plans”; p Amendment to IFRS 11 “Acquisition of an interest in joint operations”; p Amendments to IAS 16 and IAS 38 “Acceptable methods of depreciation and amortization”; p Amendments to IFRS 10, IFRS 12 and IAS 28 “Investment Entities”; p Amendment to IAS 1, first part of the “Disclosure Initiative”. The mandatory effective date of January 1, 2016 of the amendments has no significant impact on the group’s consolidated financial statements. New standards and interpretations which do not yet have a mandatory effective date New standards and interpretations adopted by the European Union which do not yet have a mandatory effective date p IFRS 9 “Financial Instruments” was published on July 24, 2014 and adopted by the European Union on November 22, 2016. It will be mandatory for financial years beginning January 1, 2018 and will replace IAS 39 “Financial Instruments: Recognition and Measurement”. It defines new principles for the classification andmeasurement of financial instruments, the impairment of financial assets due to credit risk, and general hedge (or micro-hedge) accounting. The group carried

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2016 AREVA REFERENCE DOCUMENT