2017 REGISTRATION DOCUMENT

BOURBON 2017 Registration Document 148 CONSOLIDATED FINANCIAL STATEMENTS 4 Notes to the consolidated financial statements Cost of net debt equals all interest expenses and income produced by the elements composing the financial debt during the year. Other financial income and expenses include realized and unrealized exchange rate gains and losses as well as the fair value of derivative instruments. The other financial income and expenses as of December 31, 2017 are broken down below: (in € millions) 12.31.2017 Other financial expenses and income (134.9) - Net foreign exchange income/loss (82.9) of which unrealized foreign exchange income/loss (72.7) - Other financial expenses* (41.9) of which fair value of derivative instruments (13.0) - Other financial income 17.9 of which fair value of derivative instruments 16.4 - Net allocations to financial assets and provisions (28.0) * At December 31, 2017, other financial expenses included an expense of -€12.9 million relating to the non-amortized cost of the debt payable immediately, due to the absence of sufficient details on the progress of the renegotiation of this debt and to the uncertain nature of related future flows. Likewise, interest rate swaps were attached to some of these borrowings, whose future flows are no longer expected, resulting in the elimination of the item covered and the disqualification of these hedging instruments. The change in the fair value of these instruments has been recognized in net income (loss). The same applies to the stock of financial instruments previously recognized in other comprehensive income, now reclassified to net income (loss) in the amount of €(6.6) million. 3.16 DEFERRED TAXES As of December 31, the balances for deferred tax assets and liabilities were as follows: (in € millions) 12.31.2017 12.31.2016 Deferred tax assets 11.5 21.8 Deferred tax liabilities (22.8) (30.8) Net deferred tax (11.3) (8.9) Analysis of deferred taxes (in € millions) 12.31.2017 12.31.2016 Deferred tax assets 11.5 21.8 Retirement benefit obligations 0.0 1.4 Consolidation restatements 2.4 10.8 Restatements of depreciation and amortization 7.3 7.7 Other temporary differences 1.8 1.9 Deferred tax liabilities (22.8) (30.8) Consolidation restatements (4.0) (4.4) Restatements of depreciation and amortization (0.3) (6.0) Other temporary differences (18.4) (20.3) At December 31, 2017, in light of the tax position of the companies concerned, no deferred tax assets were recognized on the tax losses, which amounted to €726.2 million.