Registration document 2007 - Total.com

3
TOTAL S.A. 2006 parent company accounts
and proposed dividend
Net income for TOTAL S.A., the parent company, was 5,252 M€
in 2006 compared to 4,143 M€ in 2005. After reviewing the
accounts, the Board of Directors decided to propose at the May
11, 2007 shareholders’ meeting a dividend of 1.87 € per share
for 2006, par value 2.50 € per share, an increase of 15%
compared to the previous year.
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Management Report of the Board of Directors
Summary of results and financial position
Chemicals results
Under IFRS rules for discontinued operations, the historical statements on income and ROACE have been restated to exclude the
contribution of Arkema.
(in M€) 2006 2005 2004
Sales 19,113 16,765 14,886
Adjusted operating income 1,215 1,148 960
Adjusted net operating income (a) 884 967 936
Cash flow from operating activities (b) 972 946 600
Investments 995 1,115 949
Divestments at selling price 128 59 122
Return on average capital employed (ROACE) 13% 15% 15%
Return on average capital employed excluding deferred tax credits related to Arkema activities 13% 12% 13%
(a) Includes deferred tax changes related to Arkema activities of 18 M€ in 2006, 151 M€ in 2005 and 148 M€ in 2004.
(b) Includes expenses related to AZF for 316 M€ in 2004, 77 M€ in 2005 and 57 M€ in 2006.
For the full year 2006, adjusted net operating income for the
Chemicals segment decreased by 9% to 884 M€ from 967 M€ in
2005. However, excluding the deferred tax credits related to
Arkema activities, it increased by 8%. Expressed in dollars, the
corresponding $0.1 billion increase reflects the positive effects of
growth and productivity programs.
TOTAL – Registration Document 2006
The ROACE for the Chemicals segment was 13% in 2006
compared to 15% in 2005 (12% in 2005 excluding the deferred
tax credits related to Arkema).
The pay-out ratio for TOTAL, based on adjusted net income,
would be 34%, compared to 32% in 2005.
Taking into account the interim dividend of 0.87 € per share paid
on November 17, 2006, the remaining 1.00 € per share will be
paid on May 18, 2007.