2007 operating income: 6.3% of sales revenue

The group's operating income for 2007 was €751 million, up 84.5% from €407 million in 2006.

This increase is the combined result of:

> 68.4% growth in operating income in the nuclear businesses, to €520 million. This improvement reflects increased profitability in the Front End and Reactors & Services divisions.

> the Transmission & Distribution division reported operating income of €397 million in 2007, more than the double of the €191 million in operating income reported in 2006. The division's operating margin rose to 9.2% in 2007. The Products business unit recorded the biggest improvement, with cost reductions in purchasing and the redefinition of the industrial footprint producing the expected results.

2007 operating income by division

Division In €M	2007	2006
Front-End	496	456
Reactors & Services	(179)	(420)
Back-End	203	273
Nuclear power subtotal	520	309
Transmission & Distribution	397	191
Other	(166)	(94)
TOTAL	751	407

2007 net income attributable to equity holders of the parent: €743 million

Net income attributable to equity holders of the parent rose to €743 million in 2007, up 14.5% from €649 million in 2006.

 Net financial income decreased to €64 million in 2007, compared with €97 million in 2006.
 The 2007 tax expense was €81 million.
 The group's share in the net income of associates totaled €148 million in 2007, compared with €220 million in 2006. This drop reflects the change in net income of STMicroelectronics.  

Changes in net income group share 2007
In millions of euros