AGM / EGM
The Board of Directors must call an Annual General Meeting of Shareholders once a year for ordinary management actions: approval of the financial statements, election of board members, etc. The Extraordinary General Meeting of Shareholders is called to approve strategic and exceptional decisions: a merger, and increase or decrease in capital, etc.

Annual financial statements
The annual financial statements include the balance sheet, the income statement and the notes to the financial statements. [French] Corporations with an Executive Board have three months after year-end closing in which to prepare the financial statements; other listed companies have four months.

Annual General Meetings of Shareholders
Every year, the shareholders meet in an Annual General Meeting of Shareholders to approve the financial statements and vote on resolutions on the agenda. Decisions are made by a majority of voting rights. See also AGM/EGM.

Annual income
Annual publication of the company establishing the difference between a company’s income and expenses for a given accounting year.

Annual report
Document containing all of the legal, financial and accounting information which give a picture of a company for a given year. Once filed with the AMF, it becomes a public document that may be accessed by any person at any time.

Assets (balance sheet)
Left side of the balance sheet with all of the assets or rights which constitute a company's property as of closing.

Autorité des Marchés Financiers (AMF)
The institution responsible in France for monitoring all financial markets. It is generally responsible for protecting investments and for monitoring the legality of market transactions and the quality of information delivered by issuers.




Balance sheet
Snapshot of a company's assets, liabilities and shareholders’ equity at a given moment in time. The left side of the balance sheet is devoted to assets and lists in detail what the company owns, while the right side of the balance sheet is devoted to liabilities and shareholders’ equity and lists items that fund the assets.




CAC 40
The Paris stock exchange’s main index, consisting of the 40 most widely traded securities. It is calculated on a base of 1,000 at December 31, 1987. It is weighted by the market capitalization of the companies it comprises. The Conseil Scientifique des Bourses de Valeur decides which companies will be included in the CAC 40 based on many criteria. (CAC = “Cotation Assistée en Continu”, or continuous automated trading)

CACEIS CT
Custodian and transfer services of the AREVA Share.
Please contact it at the following adress and phone:
CACEIS CT
Investor Relation Department
14, rue Rouget de l'Isle
92130 Issy les Moulineaux - Cedex 09 - France
Tel.: +33 (0)1 57 78 34 44
Fax: +33 (0)1 57 78 34 00

Capital gain
On the stock exchange, a capital gain is the positive difference between the sales price and the purchase price of shares. If the difference is negative, it is a capital loss.

Capital loss
On the stock exchange, a capital loss is the loss resulting from the sale of a share at a lower price than its purchase price.

Cash
When the figure is positive, it represents the amount of cash available and appears at the bottom of the asset side of the balance sheet; when it is negative, i.e. an overdrawn bank account, it appears at the bottom of the liabilities side of the balance sheet. Net cash position represents the difference between the two.

Cash flow
Cash flow is an accounting measure of cash generated by a company’s business and indicates its ability to fund its own operations (finance growth, pay down debt and pay its shareholders from internal funds).

Consensus
Average of estimates developed by all financial analysts tracking a stock. A consensus gives a good picture of what the financial markets think of a company and its potential at a given point in time.

Consolidated financial statements
Consolidated financial statements are issued publicly whenever business corporations have exclusive or joint control over one or more other companies. They include the financial statements of the parent company and of its subsidiaries.

Consolidated net income
What remains of earnings once the company has paid what it owes to its creditors and to the French government. Consolidated net income is the share of income that may be distributed to shareholders in the form of dividends or kept in reserve to supplement the company's capital.

Consolidation of financial statements
An accounting method used to present the financial position of companies of the same group as though they were a single company. In that case, financial data for a group with several subsidiaries are expressed in terms of consolidated sales revenue or consolidated net income.

Corporate valuation
A process whose purpose is to determine the value of a company and thus the value of the share to be offered to shareholders.

Current operating income
Current operating income (or earnings before income tax, EBIT) depicts the growth in wealth produced by the company's industrial and commercial operations. Unlike EBITDA (Earnings before income tax, depreciation and amortization), which focuses on the operating cycle, EBIT also includes net amortization and provisions recorded during the period.




Dividend
Share of corporate profits distributed to each shareholder in proportion to the number of shares he or she owns. It is the return on the capital invested by the shareholders. The amount of the dividend is subject to a vote by the Annual General Meeting of Shareholders, which reviews and approves the financial statements for the period ended.




Earnings per share (EPS)
The consolidated net earnings of the company divided by the number of outstanding shares for a given period.

EBIT
Earnings Before Interest and Taxes. See Operating income.

EBITDA
Earnings Before Interest, Taxes, Depreciation and Amortization. EBITDA is a sub-total on the income statement corresponding to operating income plus amortization, depreciation and provisions. It represents the company’s income from operating activities.

Euronext
Europe’s first cross-border stock exchange created through the merger of the stock and derivatives markets of Amsterdam, Brussels and Paris on September 22, 2000. In 2002, the Portuguese stock exchange, BVLP, and the London International Financial Future and Options Exchange (LIFFE) also joined Euronext.

Exceptional items
Includes non-recurring income and expenses, particularly capital gains and losses on sales of assets.




Financial analyst
A professional who works in a bank or a stock exchange firm member firm and who produces reports on listed companies for investors. He or she analyzes the company’s environment, strategy, financial statements and earnings. Based on this information, the analyst calculates estimated earnings, generally over the next three years.

Financial marketplace
Marketplace where capital is traded on a short-term or even daily basis. It is open to any financial player who buys and sells specific securities of various kinds.

Float
Proportion of a company’s share capital that can be traded on the stock exchange. For example, shares held by the French government or as part of a shareholders' agreement are not part of the float. The larger the float, the higher the share’s liquidity.




Goodwill
When positive, difference between the purchase price of an acquired company and its book value (net asset amount). The term "badwill" is used when the difference is negative.

Governance
Governance refers to the measures taken to ensure the operation and control of a company. These measures stress the transparency of information.




Half-year results
Semi-annual publication of the company establishing the difference between a company’s income and expenses at the half-year point of the accounting year.




Income statement
This statement contains all of the transactions carried out over an accounting period. Transactions with a positive impact are shown as income, while those with a negative impact are shown as expenses. The difference between the income and expenses constitutes the net income for the year (profit or loss).

Information management
Operating information systems for third parties.

International Financial Reporting Standards (IFRS)
New international accounting standards, formerly referred to as IAS. The European regulation IAS 2005 requires listed European companies to prepare and publish consolidated financial statements that comply with IFRS no later than the fiscal year beginning January 1, 2005. Adoption of IFRS have significant impacts, especially on the format of the financial statements, on financial indicators and ratios, and on net income volatility.

Investment certificate (IC)
Non-voting share traded on the stock market. IC holders have the same rights as shareholders, except voting rights during annual general meetings of shareholders.

ISIN code
The ISIN code of a company consists of 12 letters, the first 2 of which represent the stock market on which it is listed. This code is used to distinguish between different shares listed on the stock market.




Liabilities and Shareholders’ Equity (balance sheet)
Right side of the balance sheet; represents all of a companies liabilities and commitments as of the end of a closing date.




Market capitalization
Value of a company calculated by multiplying the number of shares constituting the company’s capital by the market price of one share at a given point in time.

Market index
Numerical indicator used to measure market trends. This indicator is based on the average prices of a representative sample of securities.

Mine tailings
Earth, sand or rock that does not contain ore but that must be extracted to gain access to the ore itself. Very little or no radioactivity.




Net financial income
Net financial income includes income and expenses directly related to the company’s borrowing and investing activities. Most companies are not financial entities, which is why this heading generally relates to financial expenses net of financial income.

Nominative account
Pure Nominative Account: The securities account is opened with the company issuing the securities (shares, bonds, etc.), which entrusts management (Custodian Service) to a financial institution.

Administered Nominative Account: The securities account is opened with the company that issued the shares, but the owner of the securities entrusts management to the broker of his or her choice. The owner bears the related expenses.

The Bearer Account, unlike the Nominative Accounts, is held by a brokerage institution. The account owner is unknown to the company that issued the shares. The owner bears the related custodian expenses

Notes to the financial statements
Explanatory notes to the balance sheet and income statement (e.g. consolidation method, inventory valuation, debt maturity, explanation of provisions, etc.).




Operating margin
Sum obtained by subtracting total operating expenses from sales, i.e. all of the expenses relating to the current operations of the company.




Par value
The par value of a share is the interest in the share capital represented by that share.

Pay-out ratio
Ratio between the amount of dividends distributed and the amount of net earnings.

Price Earnings Ratio (PER)
Earnings capitalization rate. This is the ratio of the share price to the earnings per share of a given company. It expresses the price of a company in number of years of earnings.




Quorum
Proportion of share capital that must be present or represented at an Annual General Meeting of Shareholders for it to deliberate legitimately. For an Annual General Meeting, a quorum of 25% is required on the first notice of meeting. For an Extraordinary General Meeting, a one-third quorum is required on the first notice of meeting and a one-quarter quorum is required on the second notice.




Rating agency
Private organization that gives an opinion on the quality of a public or private borrower based on its own criteria. A high rating entitles the borrower to better rates; a low rating, in addition to the negative psychological impact it has, means the borrower must settle for a higher rate.

Return on Average Capital Employed (ROACE)
A profitability ratio expressed in percent. It is equal to the ratio of operating income after tax to invested capital, which gives an indication of the return on the capital used by the company for its operating activities.




Sales revenue
The combined total of sales of goods and services of a company over a given period of time.

Security
A negotiable security issued by a company or by a government that represents a receivable or a related right. The two major categories of securities are stocks and bonds.

Share
Negotiable security representing a fraction of the capital of a corporation (“Société anonyme” in France) or a French “Société en commandite par actions” (limited partnership with shares) which is delivered to the shareholders in exchange for a contribution to capital. This security gives the bearer certain rights: the right to earnings in the form of a dividend, the right to vote in Annual General Meeting of Shareholders, and the right to information and to a share of the proceeds in the event of liquidation.

Share capital
In accounting, the shareholders' contributions constitute a company's share capital. It is always the product of the par value of the shares multiplied by the number of shares.

Share price
The price of a share is its value in euros (in the case of securities listed on the Paris stock exchange) at a given point in time. It reflects the law of supply (sales) and demand (purchases).

Shareholder
A holder of at least one share of a company.

Shareholders' equity
This represents the book value of a company. It consists of the company’s capital and reserves, retained earnings, and minority interests.

Shareholding
List of all of a company’s shareholders.

Stock market
Market where securities and derivatives are traded. It determines the price of securities through the law of supply and demand, enables issuers to raise capital and provides liquidity to investors.

Subsidiary
Company in which a “parent” company holds more than 50% of the capital.




Voting rights
A voting right is a right attached to a share. It allows the shareholder to take a position on resolutions presented during the Annual General Meeting of Shareholders.




Working capital requirement (WCR)
This is equal to the difference between requirements linked to the operating cycle and resources produced by that cycle. It therefore corresponds to the amount of money that a company needs to be able to function.




Yield
The relationship, expressed as a percentage, between the dividend paid on a share and the share's market price. Yield is generally calculated based on the total dividend, including the dividend tax credit if any.