MAROC_TELECOM_REGISTRATION_DOCUMENT_2017

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FINANCIAL REPORT Consolidated financial statements at 31 December 2015, 2016 and 2017

4.3 _ Consolidated financial statements at 31 December 2015, 2016 and 2017 LIST OF CONTENTS TO THE NOTES TO THE FINANCIAL STATEMENTS Pursuant to regulation (EC) no.b1606/2002 of the European Parliament of 19bJulyb2002,Maroc TelecomGroup’s consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IAS/IFRS), as endorsed by the European Union. STATUTORY AUDITORS’ REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2017 121 CONSOLIDATED STATEMENT OF FINANCIAL POSITION 122 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 123 CONSOLIDATED STATEMENT OF CASH FLOW 124 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 125 NOTE 1 — ACCOUNTING PRINCIPLES AND VALUATION METHODS 127 NOTE 2 — SCOPE OF CONSOLIDATION 134 NOTE 3 — GOODWILL 136 NOTE 4 — OTHER INTANGIBLE ASSETS 137 NOTE 5 — PROPERTY, PLANT, AND EQUIPMENT 139 NOTE 6 — INVESTMENTS IN EQUITY AFFILIATES 142 NOTE 7 — NONCURRENT FINANCIAL ASSETS 142 NOTE 8 — CHANGE IN DEFERRED TAXES 143 NOTE 9 — INVENTORIES 144 NOTE 10 — TRADE ACCOUNTS RECEIVABLE AND OTHER 145 NOTE 11 — CURRENT FINANCIAL ASSETS 146 NOTE 12 — CASH AND CASH EQUIVALENTS 146 NOTE 13 — DIVIDENDS 147 NOTE 14 — PROVISIONS 147 NOTE 15 — BORROWINGS AND OTHER FINANCIAL LIABILITIES 149 NOTE 16 — TRADE ACCOUNTS PAYABLE 152 NOTE 17 — REVENUES 153 NOTE 18 — COST OF SALES 153 NOTE 19 — PAYROLL COSTS 153 NOTE 20 — TAXES, DUTIES, AND FEES 154 NOTE 21 — OTHER OPERATING INCOME AND EXPENSES 154 NOTE 22 — DEPRECIATION, IMPAIRMENT AND PROVISIONS 154 NOTE 23 — INCOME FROM EQUITY AFFILIATES 155 NOTE 24 NET FINANCIAL INCOME OR EXPENSE 155 NOTE 25 TAX EXPENSE 156 NOTE 26 NONCONTROLLING INTERESTS 157 NOTE 27 EARNINGS PER SHARE 157 NOTE 28 SEGMENT DATA 158 NOTE 29 RESTRUCTURING PROVISIONS 160 NOTE 30 RELATED-PARTY TRANSACTIONS 160 NOTE 31 CONTRACTUAL COMMITMENTS AND CONTINGENT ASSETS AND LIABILITIES 161 NOTE 32 RISK MANAGEMENT 164 NOTE 33 EVENTS AFTER THE END OF THE REPORTING PERIOD 165

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MAROC TELECOM ____ 2017 Registration Document