Under the Euro Medium Term Note Programme ... - Finance - EDF

Risk Factors
over €2.5 billion by 2015: margins, operating costs and investments. The EDF Group cannot
guarantee that the programmes to improve performance that it implements will have the
expected results or that those results will be achieved on schedule.
Risks associated with amendments to the IFRS standards applicable to the EDF
Group
The EDF Group’s consolidated financial statements for the financial year ended 31
December 2011 have been prepared in accordance with the international accounting
standards published by the International Accounting Standards Board (IASB), as approved
by the European Union on 31 December 2011.
This accounting standards framework is evolving and new standards and interpretations are
currently in the process of being drafted and/or approved by the competent international
bodies. The EDF Group is studying the potential impact of these standards and
interpretations, but cannot foresee their development or potential impact on its consolidated
financial statements.
Risks associated with EDF’s capital structure and the listing of its shares
Significant volatility in share price
Stock markets have experienced significant fluctuations in recent years, which have not
always been related to the performance of the specific companies whose shares are traded.
Such fluctuations may significantly affect the EDF share price.
The EDF share price may also be significantly affected by a number of factors that affect the
EDF Group, its competitors, general economic conditions and/or the energy industry in
particular, which may be due, for example, to political decisions concerning energy policy.
Fluctuation in foreign exchange rates
EDF shares are listed only in euros and any future payments of dividends will be made in
euros. The equivalent amount in foreign currencies of the share price or of any dividends
paid to an EDF shareholder could be adversely affected by a fall in the value of the euro.
Risks associated with sales of EDF shares by the French government
As of 31 December 2011, the French government held 84.44% of EDF’s share capital. If the
French government decides to further reduce its equity stake in EDF, such sales by the
French government, or the perception that such sales are imminent, could adversely affect
EDF’s share price.
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