PERNOD-RICARD_REGISTRATION_DOCUMENT_2017-2018

6

PERNOD RICARD SA FINANCIAL STATEMENTS NOTES TO THE PERNOD RICARD SA FINANCIAL STATEMENTS

Prepaid expenses and deferred charges Note 6

At 30.06.2018

At 01.07.2017

Increases

Decreases

€ thousand

Prepaid expenses (1)

11,032 20,181 605,338 636,551

(571)

(6,396) (2,819)

4,065

Bond redemption premiums

-

17,362 561,596 583,023

Unrealized foreign exchange losses (2)

561,596 561,025

(605,338) (614,553)

TOTAL

The reduction in the Prepaid expenses item is mainly due to the completion of repurchases for the 2010 and 2011 plans. (1) The unrealized foreign exchange losses amounting to €562 million at 30 June 2018 are mainly due to the revaluation of assets and liabilities at the closing (2) EUR/US dollar exchange rate on 30 June 2018.

Composition of share capital Note 7 At 30 June 2018, the share capital comprised 265,421,592 shares with a par value of €1.55 per share. The total share capital thus amounted to €411,403,467.60.

Shareholders’ equity Note 8

Changes in accounting policies

Allocation of earnings

Distribution of dividends

At 30.06.2018

At 01.07.2017

Results 2018

€ thousand

Capital

411,403

- - - - -

- - - - - - - - -

- - - - -

- - - - - -

411,403

Share premiums Statutory reserves Regulated reserves

3,039,030

3,039,030

41,140 179,559 195,013

41,140 179,559 195,013

Other reserves

Retained earnings

1,891,345 966,776 (249,496) 6,474,770

966,776 (966,776)

(533,408)

2,324,713 565,823 (266,870)

Profit for the financial year Interim dividends to be paid (1)

-

565,823

- -

(17,374) (550,782)

-

TOTAL 6,489,811 The Board of Directors’ meeting on 18 April 2018 decided to pay an interim dividend of €1.01 per share in respect of FY18, i.e. a total of €267 million. This (1) interim dividend was paid on 6 July 2018. 565,823

Provisions Note 9

Changes in accounting policies

Increases in the year

Reversals (used)

Reversals (not used)

At 30.06.2018

At 01.07.2017

€ thousand

Provisions for risks and charges Provision for currency losses Other provisions for risks (1) Provisions for pensions and other long-term employee benefits

161,160 261,122

161,441 274,646

- -

(161,160) (252,607)

- -

161,441 283,161

57,865 480,147

6,768

- -

(14,570) (428,337)

- -

50,063 494,666

TOTAL 1

442,855

Provisions for depreciation and amortization On financial assets (2)

88,142

19,850

- - - - - -

-

- - - - - -

107,992

On trade receivables On other receivables

3,408 3,114

4,303

(3,408)

4,303 3,055

- -

(59)

On marketable securities

-

-

-

TOTAL 2

94,664 574,811

24,153 467,008

(3,467)

115,350

OVERALL TOTAL 610,015 Change due to the €10 million provisions on the bonus share allocation plan, the €7 million reversal of the provision for compensation risk, and the net (1) allocation of an €11 million provision for risk. Changes related to allowances for impairment of investments. (2) (431,804)

216

PERNOD RICARD REGISTRATION DOCUMENT 2017/2018