LISI GROUP - 2016 Financial report

LISI 2016 FINANCIAL REPORT

149

Dear Shareholders,

In accordance with the terms of our appointment by your Shareholders’

General Meeting, we present our report for the financial year ended

December 31, 2016, on:

–

the audit of the annual financial statements of LISI, as attached to

this report;

–

the justification of our assessment;

–

specific verifications and legally required information.

The financial statements were approved by the Board of Directors.

Our role is to express an opinion on these financial statements based

on our audit.

I. Opinion on the financial statements

We have carried out our work in accordance with the professional

standards in use in France; these standards require us to apply

due diligence in obtaining reasonable assurance that the annual

financial statements do not contain significant anomalies. An audit

involves verifying, through surveys or other selection methods, the

items supporting the figures and information which feature in the

annual financial statements. It further involves an assessment of

the accounting principles used, any significant estimates made

and the overall presentation of the annual financial statements. We

consider that the items we have gathered form both a sufficient and

an appropriate basis for our opinion.

We certify that the accounts comply with French accounting rules and

principles and provide a true and fair view of the earnings derived from

the Company’s activity during the year, as well as the financial situation

and net worth at the end of the financial year.

II. Justification of our assessments

As per Article L. 823-9 of the French Commercial Code regarding the

justification of our assessments, we inform you of the following:

■■

Your Company sets up provisions for the impairment of equity

interests when their value in use appears to be less than their net

book value, as described in paragraph b “Financial fixed assets”

of Note 3.1 to the annual financial statements “Accounting

principles and policies”. Our work consisted in assessing the data

and assumptions on which these estimates rely, reviewing the

Company’s calculations, and examining management’s approval

procedures for these estimates.

■■

These assessments form part of our task as Auditors of the

consolidated annual financial statements, taken as a whole, and

have therefore helped us to form our unreserved opinion, as it is

described in the first part of this report.

III. Verifications and specific information

We have also carried out verifications specifically required by law,

in accordance with French professional regulations.

We have no comments to make on the sincerity and consistency with

the consolidated financial statements of the information provided in

the management report of the Board or the documents sent to the

shareholders on the financial position and the financial statements.

With regard to the information supplied in application on the provisions

of Article L. 225-102-1 of the French Commercial Code on payments

and bonuses paid to corporate officers as well as on commitments

approved in their favor, we have checked their consistency with the

accounts or with the data used in the drawing-up of these accounts,

and, where relevant, with the items gathered by your Company from

companies controlling or controlled by your Company. On the basis of

our work, we vouch for the precision and honesty of this information.

AUDITORS’ REPORT ON THE COMPANY FINANCIAL STATEMENTS

– FINANCIAL YEAR ENDED DECEMBER 31, 2016

Exincourt and Paris-La Défense, March 28, 2017

The Auditors

EXCO CAP AUDIT

ERNST & YOUNG et Autres

Philippe Pourcelot

Henri-Pierre Navas

Documents specific to the Shareholders General Meeting