NOTE 20 - PENSIONS AND OTHER POST-EMPLOYMENT BENEFIT OBLIGATIONS

20.1 Actuarial assumptions

Pension and other post-employment benefit obligations were updated based on the discount rates applicable at June 30, 2018.

20.2 Amounts recognized in the Unaudited Interim Consolidated Statement of Financial Position


	At June 30, 2018								At December 31, 2017
(in millions of Euros)	Pension Benefits			Other Benefits		Total			Pension Benefits			Other Benefits		Total
Present value of funded obligation		676			—		676			691			—		691
Fair value of plan assets		(387	)		—		(387	)		(387	)		—		(387	)

Deficit of funded plans		289			—		289			304			—		304
Present value of unfunded obligation		112			242		354			110			250		360

Net liability arising from defined benefit obligation		401			242		643			414			250		664

20.3 Amounts recognized in the Unaudited Interim Consolidated Income Statement


	Three months ended June 30, 2018									Three months ended June 30, 2017
(in millions of Euros)	Pension Benefits			Other Benefits			Total			Pension Benefits			Other Benefits			Total
Service cost
Current service cost		(3	)		(2	)		(5	)		(4	)		(3	)		(7	)
Past service cost		—			—			—			—			—			—
Net interest		(2	)		(2	)		(4	)		(2	)		(2	)		(4	)
Immediate recognition of gains / (losses) arising over the period		—			—			—			—			—			—
Administrative expenses		(1	)		—			(1	)		—			—			—

Total		(6	)		(4	)		(10	)		(6	)		(5	)		(11	)


	Six months ended June 30, 2018									Six months ended June 30, 2017
(in millions of Euros)	Pension Benefits			Other Benefits			Total			Pension Benefits			Other Benefits			Total
Service cost
Current service cost		(8	)		(3	)		(11	)		(9	)		(4	)		(13	)
Past service cost		—			—			—			18			4			22
Net interest		(4	)		(4	)		(8	)		(4	)		(5	)		(9	)
Immediate recognition of gains / (losses) arising over the period		—			—			—			—			—			—
Administrative expenses		(1	)		—			(1	)		(1	)		—			(1	)

Total		(13	)		(7	)		(20	)		4			(5	)		(1	)

20.4 Movement in net defined benefit obligations


	At June 30, 2018
	Defined benefit obligations									Plan Assets			Net defined benefit liability
(In millions of Euros)	Pension benefits			Other benefits			Total			Plan Assets			Net defined benefit liability
At January 1, 2018		801			250			1,051			(387	)		664

Included in the Consolidated Income Statement
Current service cost		8			3			11			—			11
Interest cost / (income)		8			4			12			(4	)		8
Immediate recognition of gains / (losses) arising over the year		—			—			—			—			—
Administration expenses		—			—			—			1			1

Included in the Statement of Comprehensive Income / (Loss)
Remeasurements due to:
- actual return less interest on plan assets		—			—			—			9			9
- changes in financial assumptions		(28	)		(14	)		(42	)		—			(42	)
- changes in demographic assumptions		—			—			—			—			—
- experience losses		3			2			5			—			5
Effects of changes in foreign exchange rates		10			6			16			(8	)		8

Included in the Consolidated Statement of Cash Flows
Benefits paid		(15	)		(10	)		(25	)		14			(11	)
Contributions by the Group		—			—			—			(10	)		(10	)
Contributions by the employees		2			—			2			(2	)		—

At June 30, 2018		789			241			1,030			(387	)		643

20.5 Net defined benefit obligations by country


	At June 30, 2018							At December 31, 2017
(in millions of Euros)	Defined benefit obligations		Plan assets			Net defined benefit liability		Defined benefit obligations		Plan assets			Net defined benefit liability
France		149		(3	)		146		148		(3	)		145
Germany		139		(1	)		138		142		(1	)		141
Switzerland		250		(179	)		71		251		(177	)		74
United States		491		(204	)		287		509		(206	)		303
Other countries		1		—			1		1		—			1

Total		1,030		(387	)		643		1,051		(387	)		664