2017 REGISTRATION DOCUMENT

BOURBON 2017 Registration Document 129 CONSOLIDATED FINANCIAL STATEMENTS Notes to the consolidated financial statements 4 3 exchange rate (business plan and normative cash flows): €1 = USD1.20. Over the past three years, BOURBON has gone through the Oil & Gas industry’s worst crisis since the early 1980’s, with a 30 to 40% contraction in offshore oil and gas services that started suddenly in 2015 following the collapse in Brent oil prices. This market contraction severely hit companies that provide services to the oil companies. While the oil companies now seem to have resumed their investments in corporate acquisitions, shale gas, onshore projects and renewable energies, the gradual growth in investments in the offshore sector is not expected until 2019. The Group expects the contraction of the market for offshore oil and gas services to continue somewhat in 2018, which would then be comparable to 2017 in terms of activity, before a gradual resumption of the oil companies’ offshore investments and exploration expenses in 2019, to meet demand and overcome the depletion of existing fields. The activity forecasts used in the business plan are based, in particular, on the assumptions that the price per barrel of Brent will stabilize around US$60-65 in 2018, reaching US$65-70 in 2020, with a possible shortfall of supply relative to demand (predicted by the International Energy Agency – IEA) following oil companies’ historic reduction in exploration and production investments since mid-2014. The first phase of the recovery should result in a progressive increase in utilization rate beginning in 2019. Some players (Clarksons, Petrodata) predict that utilization rates will rise to over 70% as of late 2018 while other, more conservative, ones (Pareto), see them rising more gradually, in the region of 65% in late 2018. The Group has adopted a rather conservative approach in the face of this gradual recovery in activity, given that over 30% of the worldwide fleet of offshore oil and gas support vessels is currently stacked ( source: Clarksons ) due to vessel overcapacity, affecting the Deepwater Offshore and Shallow Water Offshore commodity segments. The Group believes that most of these stacked vessels will return to operation and that daily rates are not likely to increase before 2020-2021, while other market players deem that a large proportion of the vessels will never return to operation and are expecting an increase in rates by the end of 2018 or the beginning of 2019. The Crewboats segment has held up relatively well, as it is a less expensive and safer alternative to the helicopter, whereas the Subsea segment continues to diversify by expanding its range of activities (“turnkey” projects, ROV construction support, diving, floatel, and well stimulation). On the other hand, the Deepwater Offshore and Shallow Water Offshore segments are expected to recover more slowly due to the overcapacity of vessels affecting these convenience segments. The business plan takes into account the #BOURBONINMOTION strategic plan announced by BOURBON on February 13, 2018, which aims to respond to a market that is demanding increasingly efficient optimization of costs. In particular, the Smart Shipping program should make it possible to reduce operating costs by connecting modern vessels. The savings generated are expected to produce their full effect around 2020-2021 in the deepwater offshore and shallow water offshore commodity segments, where the reduction of operating costs has become a key component in competitiveness. The result of the value in use assessment is set forth below: (in € millions) Goodwill Economic assets as of 12.31.2017 including goodwill* ** Value in use* Excess of estimated value in use over the value* of assets including goodwill ** Marine Services – DEEP - 686.1 737.1 51.0 Marine Services – SHALLOW 6.1 610.7 694.6 83.9 Marine Services – CREW - 290.5 732.6 442.1 Subsea Services 19.2 424.7 838.3 413.6 * Adjusted data: operating joint ventures over which the Group exercises joint control are fully consolidated. ** Economic assets = goodwill, intangible assets, property, plant and equipment, and working capital requirement, excluding vessels planned to be sold in the relatively short term and for which individual impairment allowances have been recognized (see note 3.3). Taken together, these value in use assessments did not generate the recognition of any impairment at December 31, 2017.