LOREAL_Registration_Document_2017

5 2017 Parent Company Financial Statements * CHANGES IN SHAREHOLDERS’ EQUITY

CHANGES IN SHAREHOLDERS’ EQUITY 5.3.

The share capital comprises 560,519,088 shares with a par value of €0.2 each following transactions carried out in 2017: subscription to 1,509,576 shares following the exercise of options, and grant of 375 free shares; s

cancellation of 2,846,604 treasury shares. s Changes in shareholders’ equity are as follows:

Reserves and retained earnings

Additional paid-in capital

1976 revaluation reserve

Share capital

Regulated provisions

Total

Net profit

€ millions

Balance at 31 December 2014 before appropriation of net profit

112.2 2,316.8

43.7 2,346.0 4,938.0

87.1 9,843.8

Changes in share capital

1.0

337.7

338.7 -362.8

Cancellation of Treasury stock Appropriation of 2014 net profit

-0.6

-362.2

3,426.6 -3,426.6

0

Dividends paid for 2014

-1,511.4 3,055.4

-1,511.4 3,055.4

2015 net profit

Other movements during the period

-6.4

-6.4

Balance at 31 December 2015 before appropriation of net profit

112.6 2,654.5

43.7 5,410.4 3,055.4

80.7 11,357.3

Changes in share capital

0.4

162.8

163.2 -498.5

Cancellation of Treasury stock Appropriation of 2015 net profit

-0.6

-497.9

1,313.5 -1,313.5

0

Dividends paid for 2015

-1,741.9 3,014.4

-1,741.9 3,014.4

2016 net profit

Other movements during the period

11.5

11.5

Balance at 31 December 2016 before appropriation of net profit

112.4 2,817.3

43.7 6,226.0 3,014.4

92.2 12,306.0

Change in accounting policy at 1 January 2017 (1)

-4.7

-4.7

Balance at 1 January 2017 before appropriation of net profit

112.4 2,817.3

43.7 6,221.3 3,014.4

92.2 12,301.3

Changes in share capital

0.3

118.0

118.3 -498.2

Cancellation of Treasury stock Appropriation of 2016 net profit

-0.6

-497.6

1,156.7 -1,156.7

0.0

Dividends paid for 2016

-1,857.7 3,051.7

-1,857.7 3,051.7

2017 net profit

Other movements during the period BALANCE AT 31 DECEMBER 2017 BEFORE APPROPRIATION OF NET PROFIT

-1.2

-3.2

-4.4

112.1 2,935.3 89.0 13,111.0 First application of regulation No. 2015-05 issued by the Autorités des Normes Comptables (ANC) relative to derivative financial instruments and hedging operations (see (1) note 1). 42.5 6,880.4 3,051.7

Reserves include an amount of €9.9 million in 2017 corresponding to unpaid dividends on treasury shares, compared with €14.2 million in 2016 and €12.8 million in 2015.

Accelerated tax-driven depreciation at 31 December 2017 amount to €88.8 million compared with €91.9 million at 31 December 2016 and €74.3 million at 31 December 2015. Details of option plans and free share plans are provided in note 17.

REGISTRATION DOCUMENT / L'ORÉAL 2017

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