40 1 EUR Nr. Date of the deposition No. 0204.647.234 PP. E. D. C 1.1

ANNUAL ACCOUNT IN EURO (2 decimals)

NAME: IMEA

Legal form: Address: Grote Markt Nr.: 1 Postal Code: 2000 City: Antwerpen Country: Register of Legal Persons (RLP) - Office of the commercial court at: Antwerpen Internet address *:

Company number: 0204.647.234

DATE 22/11/1996 of the deposition of the partnership deed OR of the most recent document mentioning the date of publication of the partnership deed and the act changing the articles of association.

ANNUAL ACCOUNT approved by the General Meeting of 23/06/2009 concerning the financial year covering the period from 1/01/2008 till 31/12/2008

Previous period from 1/01/2007 till 31/12/2007

The amounts of the previous financial year are / are not ** identical to those which have been previously published.

COMPLETE LIST WITH name, first name, profession, residence-address (address, number, postal code, municipality) and position with the enterprise, OF DIRECTORS, MANAGERS AND AUDITORS Boute Veerle Joseph Baecklaan 46, box 5, 1080 Sint-Jans-Molenbeek, Belgium Title : Director Mandate : 30/03/2006

Brughmans Bart Bevrijdingslei 75, 2930 Brasschaat, Belgium Title : 2de Ondervoorzitter van de raad van bestuur Mandate : 27/03/2007

Coolsaet Ann p/a Arthur Goemaerelei 69, 2018 Antwerpen 1, Belgium Title : Director Mandate : 27/03/2007

De Herdt Davina Maxlaan 9, 2640 , Belgium Title : Director Mandate : 27/03/2007

Enclosed to these annual accounts: MANAGEMENT REPORT, REPORT OF THE COMMISSIONERS

Total number of pages deposited: 35 Number of the pages of the standard form not deposited for not being of service: 5.1, 5.2.1, 5.2.3, 5.2.4, 5.3.4, 5.3.6, 5.4.1, 5.4.3, 5.5.2, 5.16, 5.17.1, 5.17.2, 6, 9

Signature Signature (name and position) (name and position)

* Optional statement. ** Delete where appropriate. Nr. 0204.647.234 C 1.1

LIST OF DIRECTORS, MANAGERS AND AUDITORS (continuation of the previous page)

De Loose Miriam Vinkenlaan 14, 2920 , Belgium Title : Director Mandate : 30/03/2006 de Mooij Sofie Essenstraat 5, 2060 Antwerpen 6, Belgium Title : Director Mandate : 27/03/2007

De Preter René Florent Pauwelslei 20, 2100 Deurne (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Hemdane Mouloud Oedenkovenstraat 6, 2140 Borgerhout (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Hofkens Willy Bredabaan 182, 2930 Brasschaat, Belgium Title : Other function Mandate : 27/03/2007

Imre Nathalie Ruytenburgstraat 11, 2600 Berchem (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Koreman Roger Bikschotelaan 214, box 13, 2140 Borgerhout (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Lambrechts Rumold Sint-Niklaasstraat 20, 2260 Zoerle-Parwijs, Belgium Title : Director Mandate : 30/03/2006

Minnebo Willy Reynerslaan 29, 2070 Zwijndrecht, Belgium Title : Director Mandate : 27/03/2007 Nr. 0204.647.234 C 1.1

LIST OF DIRECTORS, MANAGERS AND AUDITORS (continuation of the previous page)

Peeters Tom Rerum Novarumlaan 77, 2170 Merksem (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Roelands Alex Helmstraat 6, 2950 Kapellen (Antw.), Belgium Title : Director Mandate : 27/03/2007

Sarens André Achterdenken 6, 9255 Buggenhout, Belgium Title : 1ste Ondervoorzitter van de raad van bestuur Mandate : 27/03/2007

Slassi Youssef Monnikenplein 11, 2610 Wilrijk (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Smit Tanja p/a Belgiëlei 15, box 10, 2018 Antwerpen 1, Belgium Title : President of the board of directors Mandate : 27/03/2007

Van Clapdurp Danny Grotenhof 45, 2640 Mortsel, Belgium Title : Lid met raadgevende stem Mandate : 27/03/2007

Van Gestel Sonia Molenlei 52, 2170 Merksem (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Vanderbecken Hugo Veldstraat 248, 2930 Brasschaat, Belgium Title : Director Mandate : 27/03/2007

Verbiese José Guldensporenlaan 25, 2820 Rijmenam, Belgium Title : Secretaris Mandate : 25/09/2006 Nr. 0204.647.234 C 1.1

LIST OF DIRECTORS, MANAGERS AND AUDITORS (continuation of the previous page)

Verstraelen Gilbert Azalealei 113, 2170 Merksem (Antwerpen), Belgium Title : Director Mandate : 27/03/2007

Vylders Ann Frankrijklei 23-25, box 8, 2000 Antwerpen, Belgium Title : Director Mandate : 27/03/2007

Wuyts Luc Handelsstraat 13, 2570 , Belgium Title : Director Mandate : 27/03/2007

Deloitte Bedrijfsrevisoren CALL . . Berkenlaan 8B, 1831 Diegem, Belgium Title : Auditor, Number of membership : 0429053863 Mandate : 27/03/2007 Represented by: Cleymans Dirk Lange Lozanastraat 270 , 2018 Antwerpen 1, Belgium Nr. 0204.647.234 C 1.2

DECLARATION ABOUT SUPPLEMENTARY AUDITING OR ADJUSTMENT MISSION

The managing board declares that the assignment neither regarding auditing nor adjusting has been given to a person who was not authorised by law pursuant to art. 34 and 37 of the Law of 22nd April 1999 concerning the auditing and tax professions.

Have the annual accounts been audited or adjusted by an external accountant or auditor who is not a statutory auditor ? YES / NO *.

If YES, mention here after: name, first names, profession, residence-address of each external accountant or auditor, the number of membership with the professional Institute ad hoc and the nature of this engagement:

A. Bookkeeping of the undertaking**, B. Preparing the annual accounts**, C. Auditing the annual accounts and/or D. Adjusting the annual accounts.

If the assignment mentioned either under A or B is performed by authorised accountants or authorised accountants-tax consultants, information will be given on: name, first names, profession and residence-address of each authorised accountant or accountant- tax consultant, his number of membership with the Professional Institute of Accountants and Tax consultants and the nature of this engagement.

Nature of the Number of Name, first name, profession, residence-address engagement membership (A, B, C and/or D)

* Delete where appropriate. ** Optional disclosure. Toel.

Nr. 0204.647.234 C 2.1

BALANCE SHEET Notes Codes Period Previous period ASSETS FIXED ASSETS ...... 20/28 452.798.950,16 311.555.584,74

Formation expenses ...... 5.1 20 ...... Intangible fixed assets ...... 5.2 21 11.681,73 ...... Tangible fixed assets ...... 5.3 22/27 309.852.695,94 310.813.186,68 ...... Land and buildings ...... 22 11.429.735,26 11.558.786,44 Plant, machinery and equipment ...... 23 292.290.557,63 294.541.439,86 Furniture and vehicles ...... 24 5.237.216,45 3.689.889,98

Leasing and other similar rights ...... 25

Other tangible fixed assets ...... 26 895.186,60 1.023.070,40 Assets under construction and advance payments ...... 27

5.4/ Financial fixed assets ...... 5.5.1 28 142.946.254,22 730.716,33 ...... Affiliated enterprises ...... 5.14 280/1 ...... Participating interests ...... 280 ...... Amounts receivable ...... 281 ...... Other enterprises linked by participating interests ...... 5.14 282/3 142.946.254,22 730.716,33 Participating interests ...... 282 142.946.254,22 730.716,33 ...... Amounts receivable ...... 283 ...... Other financial assets ...... 284/8 ...... Shares ...... 284 . Amounts receivable and cash guarantees ...... 285/8 ...... 61.106.274,93 67.299.598,63 CURRENT ASSETS ...... 29/58 ...... Amounts receivable after more than one year ...... 29 ...... Trade debtors ...... 290 ...... Other amounts receivable ...... 291 ...... Stocks and contracts in progress ...... 3 3.264.579,28 1.541.618,82 ...... Stocks ...... 30/36 ...... Raw materials and consumables ...... 30/31 ...... Work in progress ...... 32 ...... Finished goods ...... 33 ...... Goods purchased for resale ...... 34 ...... Immovable property intended for sale ...... 35 ...... Advance payments ...... 36 ...... Contracts in progress ...... 37 3.264.579,28 1.541.618,82 ...... 5.5.1/ Amounts receivable within one year ...... 5.6 40/41 16.077.583,78 27.427.190,60 ...... Trade debtors ...... 40 16.001.940,24 21.978.908,59 . Other amounts receivable ...... 41 75.643,54 5.448.282,01 ...... Current investments ...... 50/53 ...... Own shares ...... 50 ...... Other investments and deposits ...... 51/53 ...... Cash at bank and in hand ...... 54/58 3.742,11 3.649,24 ...... Deferred charges and accrued income ...... 5.6 490/1 41.760.369,76 38.327.139,97 ...... TOTAL ASSETS ...... 20/58 513.905.225,09 378.855.183,37 . Nr. 0204.647.234 C 2.2

EQUITY AND LIABILITIES Notes Codes Period Previous period EQUITY ...... 10/15 349.351.450,04 205.108.598,96 Capital ...... 5.7 10 199.411.243,63 124.096.567,97 Issued...... capital ...... 100 199.411.243,63 124.096.567,97 Uncalled capital...... 101 Share premium account...... 11 67.071.091,59 Revaluation surpluses ...... 12 59.439.283,11 63.632.525,32 Reserves ...... 13 18.674.299,70 13.162.057,49 ...... Legal reserve ...... 130 50.000,00 50.000,00 ...... Reserves not available ...... 131 4.193.242,21 In respect of own shares...... held ...... 1310 Other ...... 1311 4.193.242,21 ...... Untaxed reserves ...... 132 ...... Available reserves ...... 133 14.431.057,49 13.112.057,49 Accumulated profits (losses)...... (+)/(-) 14 4.755.532,01 4.217.448,18 Investment grants ...... 15 ...... Advance to associates on the sharing out of the assets ...... 19 ...... PROVISIONS AND DEFERRED TAXES ...... 16 1.046.047,61 1.219.223,21 ...... Provisions for liabilities and charges ...... 160/5 1.046.047,61 1.219.223,21 ...... Pensions and similar obligations ...... 160 ...... Taxation ...... 161 ...... Major repairs and maintenance ...... 162 54.437,50 98.289,85 ...... Other liabilities and charges ...... 5.8 163/5 991.610,11 1.120.933,36 ...... Deferred taxes ...... 168 .. AMOUNTS PAYABLE ...... 17/49 163.507.727,44 172.527.361,20 ...... Amounts payable after more than one year ...... 5.9 17 119.932.609,18 122.503.380,25 ...... Financial debts ...... 170/4 119.932.609,18 122.133.538,61 ...... Subordinated loans ...... 170 ...... Unsubordinated debentures ...... 171 ...... Leasing and other similar obligations ...... 172 ...... Credit institutions ...... 173 119.932.609,18 122.133.538,61 ...... Other loans ...... 174 ...... Trade debts ...... 175 . Suppliers ...... 1750 ..... Bills of exchange payable ...... 1751 ...... Advances received on contracts in progress ...... 176 ...... Other amounts payable ...... 178/9 369.841,64 ...... Amounts payable within one year ...... 42/48 42.955.466,53 48.168.393,32 ...... Current portion of amounts payable after more than one year falling due within one year...... 5.9 42 2.200.929,43 2.113.407,06 Financial debts ...... 43 24.622.570,98 ...... Credit institutions...... 430/8 ...... Other loans ...... 439 24.622.570,98 ...... Trade debts...... 44 9.367.310,52 12.305.900,07 . Suppliers ...... 440/4 9.367.310,52 12.305.900,07 ..... Bills of exchange payable...... 441 ...... Advances received on contracts in progress ...... 46 4.060.017,16 3.368.595,79 ...... Taxes, remuneration and social security ...... 5.9 45 1.697.694,75 843.618,07 ...... Taxes ...... 450/3 1.697.694,75 828.310,22 ...... Remuneration and social security ...... 454/9 15.307,85 ...... Other amounts payable ...... 47/48 1.006.943,69 29.536.872,33 ...... Accrued charges and deferred income ...... 5.9 492/3 619.651,73 1.855.587,63 ...... 513.905.225,09 378.855.183,37 TOTAL LIABILITIES ...... 10/49 ...... Nr. 0204.647.234 C 3

INCOME STATEMENT Notes Codes Period Previous period

Operating income ...... 5.10 70/74 119.320.873,75 112.139.748,80 ...... Turnover ...... 70 112.601.574,81 109.488.114,28 Increase (decrease) in stocks of finished goods, work and contracts in progress ...... (+)/(-) 71 1.722.960,46 -372.015,66 Own construction capitalised ...... 72 ...... Other operating income ...... 74 4.996.338,48 3.023.650,18 ...... Operating charges ...... 60/64 99.318.992,84 94.063.448,83 ...... Raw materials, consumables ...... 60 31.969.966,02 20.098.160,36 ...... Purchases ...... 600/8 31.969.966,02 20.098.160,36 ...... Decrease (increase) in stocks ...... (+)/(-) 609

Services and other goods ...... 61 49.446.135,42 45.643.828,69 ...... Remuneration, social security costs and pensions ....(+)/(-) 5.10 62 Depreciation of and amounts written off formation expenses, intangible and tangible fixed assets ...... 630 14.078.387,86 13.632.144,33 Amounts written down stocks, contracts in progress and trade debtors - Appropriations (write-backs) ...... (+)/(-) 5.10 631/4 -449.694,91 1.168.739,27 Provisions for risks and charges - Appropriations (uses and write-backs) ...... (+)/(-) 5.10 635/7 -173.175,60 -892.650,75 Other operating charges ...... 5.10 640/8 4.447.374,05 14.413.226,93 ...... Operation charges carried to assets as restructuring costs ...... (-) 649

Operating profit (loss) ...... (+)/(-) 9901 20.001.880,91 18.076.299,97

Financial income ...... 75 8.233.157,53 38.511,71 ...... Income from financial fixed assets ...... 750 8.112.500,00 ...... Income from current assets ...... 751 84.005,72 2.061,28 ...... Other financial income ...... 5.11 752/9 36.651,81 36.450,43 ...... Financial charges ...... 5.11 65 5.972.680,73 5.603.125,36 .. Debt charges ...... 650 5.972.411,40 5.603.008,77 ...... Amounts written down on current assets except stocks, contracts in progress and trade debtors ...... (+)/(-) 651 Other financial charges ...... 652/9 269,33 116,59 ...... Gain (loss) on ordinary activities before taxes ...... (+)/(-) 9902 22.262.357,71 12.511.686,32 Nr. 0204.647.234 C 3

Codes Period Previous period

Extraordinary income ...... 76 26.651.457,21 ...... Write-back of depreciation and of amounts written down intangible and tangible fixed assets ...... 760 19.538.602,06 ...... Write-back of amounts written down financial fixed assets .. 761 ...... Write-back of provisions for extraordinary liabilities and charges ...... 762 Gains on disposal of fixed assets ...... 763 ...... Other extraordinary income ...... 764/9 7.112.855,15 ...... Extraordinary charges ...... 66 27.792.268,29 ...... Extraordinary depreciation of and extraordinary amounts written off formation expenses, intangible and tangible fixed assets ...... 660 127.883,80 ..... Amounts written down financial fixed assets ...... 661 ...... Provisions for extraordinary liabilities and charges - ...... Appropriations (uses) ...... (+)/(-) 662 ...... Loss on disposal of fixed assets ...... 663 ...... Other extraordinary charges ...... 5.11 664/8 27.664.384,49 ...... Extraordinary charges carried to assets as restructuring costs ...... (-) 669

Profit (loss) for the period before taxes ...... (+)/(-) 9903 22.262.357,71 11.370.875,24

Transfer from postponed taxes ...... 780 ...... Transfer to postponed taxes ...... 680 ...... Income taxes ...... 5.12 67/77 419.111,73 308,52 . Income taxes ...... 670/3 419.111,73 308,52 ...... Adjustment of income taxes and write-back of tax provisions ...... 77 . Profit (loss) for the period ...... (+)/(-) 9904 21.843.245,98 11.370.566,72

Transfer from untaxed reserves ...... 789 ...... Transfer to untaxed reserves ...... 689 ...... Profit (loss) for the period available for appropriation (+)/(-) 9905 21.843.245,98 11.370.566,72 Nr. 0204.647.234 C 4 APPROPRIATION ACCOUNT

Codes Period Previous period Profit (loss) to be appropriated ...... (+)/(-) 9906 26.060.694,16 15.988.076,93 Gain (loss) to be appropriated ...... (+)/(-) (9905) 21.843.245,98 11.370.566,72 Profit (loss) to be carried forward ...... (+)/(-) 14P 4.217.448,18 4.617.510,21

Transfers from capital and reserves ...... 791/2 4.456.430,89 ...... from capital and share premium account ...... 791 ...... from reserves ...... 792 4.456.430,89 ...... Transfers to capital and reserves ...... 691/2 1.319.000,00 1.201.456,00 ...... to capital and share premium account ...... 691 to the legal reserve ...... 6920 to other reserves ...... 6921 1.319.000,00 1.201.456,00

Profit (loss) to be carried forward ...... (+)/(-) (14) 4.755.532,01 4.217.448,18

Owner's contribution in respect of losses ...... 794 ...... Profit to be distributed ...... 694/6 19.986.162,15 15.025.603,64 ...... Dividends ...... 694 19.986.162,15 15.025.603,64 Director's or manager's entitlements ...... 695 Other beneficiaries ...... 696 Nr. 0204.647.234 C 5.2.2

Codes Period Previous period

CONCESSIONS, PATENTS, LICENCES, KNOWHOW, BRANDS AND SIMILAR RIGHTS

Acquisition value at the end of the period ...... 8052P xxxxxxxxxxxxxxx 1.305.896,05 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8022 Sales and disposals ...... 8032 58.408,52 Transfers from one heading to another ...... (+)/(-) 8042

Acquisition value at the end of the period ...... 8052 1.247.487,53 ...... Depreciation and amounts written down at the end of the period ...... 8122P xxxxxxxxxxxxxxx 1.294.214,32 ...... Movements during the period ...... Recorded ...... 8072 ...... Written back ...... 8082 Acquisitions from third parties ...... 8092 ...... Cancelled owing to sales and disposals ...... 8102 46.726,79 Transfers from one heading to another ...... (+)/(-)...... 8112

Depreciation and amounts written down at the end of the period ...... 8122 1.247.487,53 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... 211 ...... Nr. 0204.647.234 C 5.3.1

STATEMENT OF TANGIBLE FIXED ASSETS

Codes Period Previous period

LAND AND BUILDINGS

Acquisition value at the end of the period ...... 8191P xxxxxxxxxxxxxxx 16.545.438,91 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8161 204.445,85 Sales and disposals ...... 8171 26.646,77 Transfers from one heading to another ...... (+)/(-) 8181

Acquisition value at the end of the period ...... 8191 16.723.237,99 ...... Revaluation surpluses at the end of the period ...... 8251P xxxxxxxxxxxxxxx 899.783,17 ...... Movements during the period Recorded ...... 8211 Acquisitions from third parties ...... 8221 Cancelled ...... 8231 Transfers from one heading to another ...... (+)/(-) 8241 -18.303,62

Revaluation surpluses at the end of the period ...... 8251 881.479,55 ......

Depreciation and amounts written down at the end of the period ...... 8321P xxxxxxxxxxxxxxx 5.886.435,64 ...... Movements during the period ...... Recorded ...... 8271 310.444,13 ...... Written back ...... 8281 ...... Acquisitions from third parties ...... 8291 ...... Cancelled owing to sales and disposals ...... 8301 3.593,87 ...... Transfers from one heading to another ...... (+)/(-) 8311 -18.303,62 ...... Depreciation and amounts written down at the end of the period ...... 8321 6.174.982,28 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... (22) 11.429.735,26 ...... Nr. 0204.647.234 C 5.3.2

Codes Period Previous period

PLANT, MACHINERY AND EQUIPMENT

Acquisition value at the end of the period ...... 8192P xxxxxxxxxxxxxxx 488.091.679,02 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8162 12.211.037,66 Sales and disposals ...... 8172 6.332.478,31 Transfers from one heading to another ...... (+)/(-) 8182

Acquisition value at the end of the period ...... 8192 493.970.238,37 ...... Revaluation surpluses at the end of the period ...... 8252P xxxxxxxxxxxxxxx 142.013.499,47 ...... Movements during the period Recorded ...... 8212 Acquisitions from third parties ...... 8222 Cancelled ...... 8232 Transfers from one heading to another ...... (+)/(-) 8242 -2.072.762,74

Revaluation surpluses at the end of the period ...... 8252 139.940.736,73 ......

Depreciation and amounts written down at the end of the period ...... 8322P xxxxxxxxxxxxxxx 335.563.738,63 ...... Movements during the period ...... Recorded ...... 8272 12.233.804,56 ...... Written back ...... 8282 ...... Acquisitions from third parties ...... 8292 ...... Cancelled owing to sales and disposals ...... 8302 4.104.362,98 ...... Transfers from one heading to another ...... (+)/(-) 8312 -2.072.762,74 ...... Depreciation and amounts written down at the end of the period ...... 8322 341.620.417,47 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... (23) 292.290.557,63 ...... Nr. 0204.647.234 C 5.3.3

Codes Period Previous period

FURNITURE AND VEHICLES

Acquisition value at the end of the period ...... 8193P xxxxxxxxxxxxxxx 22.160.450,22 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8163 2.975.966,12 Sales and disposals ...... 8173 544.484,04 Transfers from one heading to another ...... (+)/(-) 8183

Acquisition value at the end of the period ...... 8193 24.591.932,30 ...... Revaluation surpluses at the end of the period ...... 8253P xxxxxxxxxxxxxxx 282.711,58 ...... Movements during the period Recorded ...... 8213 Acquisitions from third parties ...... 8223 Cancelled ...... 8233 Transfers from one heading to another ...... (+)/(-) 8243 -5.769,62

Revaluation surpluses at the end of the period ...... 8253 276.941,96 ......

Depreciation and amounts written down at the end of the period ...... 8323P xxxxxxxxxxxxxxx 18.753.271,82 ...... Movements during the period ...... Recorded ...... 8273 1.406.255,37 ...... Written back ...... 8283 ...... Acquisitions from third parties ...... 8293 ...... Cancelled owing to sales and disposals ...... 8303 522.099,76 ...... Transfers from one heading to another ...... (+)/(-) 8313 -5.769,62 ...... Depreciation and amounts written down at the end of the period ...... 8323 19.631.657,81 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... (24) 5.237.216,45 ...... Nr. 0204.647.234 C 5.3.5

Codes Period Previous period

OTHER TANGIBLE FIXED ASSETS

Acquisition value at the end of the period ...... 8195P xxxxxxxxxxxxxxx 1.278.838,00 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8165 Sales and disposals ...... 8175 Transfers from one heading to another ...... (+)/(-) 8185

Acquisition value at the end of the period ...... 8195 1.278.838,00 ...... Revaluation surpluses at the end of the period ...... 8255P xxxxxxxxxxxxxxx ...... Movements during the period Recorded ...... 8215 Acquisitions from third parties ...... 8225 Cancelled ...... 8235 Transfers from one heading to another ...... (+)/(-) 8245

Revaluation surpluses at the end of the period ...... 8255 ......

Depreciation and amounts written down at the end of the period ...... 8325P xxxxxxxxxxxxxxx 255.767,60 ...... Movements during the period ...... Recorded ...... 8275 127.883,80 ...... Written back ...... 8285 ...... Acquisitions from third parties ...... 8295 ...... Cancelled owing to sales and disposals ...... 8305 ...... Transfers from one heading to another ...... (+)/(-) 8315 ...... Depreciation and amounts written down at the end of the period ...... 8325 383.651,40 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... (26) 895.186,60 ...... Nr. 0204.647.234 C 5.4.2

Codes Period Previous period

OTHER ENTERPRISES LINKED BY PARTICIPATING INTERESTS - PARTICIPATING INTERESTS AND SHARES

Acquisition value at the end of the period ...... 8392P xxxxxxxxxxxxxxx 730.716,33 ...... Movements during the period Acquisitions, including produced fixed assets ...... 8362 142.385.871,89 Sales and disposals ...... 8372 170.334,00 Transfers from one heading to another ...... (+)/(-) 8382

Acquisition value at the end of the period ...... 8392 142.946.254,22 ...... Revaluation surpluses at the end of the period ...... 8452P xxxxxxxxxxxxxxx ...... Movements during the period Recorded ...... 8412 Acquisitions from third parties ...... 8422 Cancelled ...... 8432 Transfers from one heading to another ...... (+)/(-) 8442

Revaluation surpluses at the end of the period ...... 8452 ......

Amounts written down et the end of the period ...... 8522P xxxxxxxxxxxxxxx ...... Movements during the period ...... Recorded ...... 8472 Written back ...... 8482 Acquisitions from third parties ...... 8492 Cancelled owing to sales and disposals ...... 8502 Transfers from one heading to another ...... (+)/(-) 8512

Amounts written down at the end of the period ...... 8522 ...... Uncalled amounts at the end of the period ...... 8552P xxxxxxxxxxxxxxx ...... Movements during the period ...... (+)/(-). 8542 Uncalled amounts at the end of the period ...... 8552 ...... NET BOOK VALUE AT THE END OF THE PERIOD ...... (282) 142.946.254,22 ...... OTHER ENTERPRISES LINKED BY PARTICIPATING INTERESTS - AMOUNTS RECEIVABLE

NET BOOK VALUE AT THE END OF THE PERIOD ...... 283P xxxxxxxxxxxxxxx ...... Movements during the period ...... Additions ...... 8582 Repayments ...... 8592 Amounts written down ...... 8602 Amounts written back ...... 8612 Exchange differences ...... (+)/(-) 8622 Other ...... (+)/(-) 8632

NET BOOK VALUE AT THE END OF THE PERIOD ...... (283) ...... ACCUMULATED AMOUNTS WRITTEN OFF ON AMOUNTS...... RECEIVABLE AT THE END OF THE PERIOD...... 8652 ...... Nr. 0204.647.234 C 5.5.1

INFORMATION RELATING TO THE SHARE IN THE CAPITAL SHARE IN THE CAPITAL AND OTHER RIGHTS IN OTHER COMPANIES

List of both enterprises in wich the enterprise holds a participating interest (recorded in the heading 28 of assets) and other enterprises in which the enterprise holds rights (recorded in the headings 28 and 50/53 of assets) in the amount of at least 10% of the capital issued.

Information from the most recent period for Shares held by which annual accounts are available NAME, full address of the REGISTERED OFFICE and for the enterprise governed by subsi- directly Primary Mone- Capital and reserves Net result Belgian law, the COMPANY NUMBER diaries financial tary (+) or (-) Number % % statement unit (in monetary units) Eandis CVBA 31/12/2007 EUR 20.405 0 (Eandis wordt voor 100% beheerd door de vlaamse gemengde distributienetbeheerders) Brusselsesteenweg 199 9090 Melle Belgium 0477.445.084 27832 7,99 0,00

IGAO 31/12/2007 EUR 254.467.197 13.337.468 Stadhuis, Grote Markt 1 2000 Antwerpen Belgium 0204.889.734 1347828 55,43 0,00 Nr. 0204.647.234 C 5.6 OTHER INVESTMENTS AND DEPOSIT, DEFFERED CHARGES AND ACCRUED INCOME (ASSETS)

Codes Period Previous period

INVESTMENTS: OTHER INVESTMENTS AND DEPOSITS

Shares ...... 51 ...... Book value increased with the uncalled amount ...... 8681 Uncalled amount ...... 8682

Fixed income securities ...... 52 ...... Fixed income securities issued by credit institutions ...... 8684

Fixed term deposit with credit institutions ...... 53 ...... Falling due less or up to one month ...... 8686 between one month and one year ...... 8687 over one year ...... 8688

Other investments not yet shown seperately ...... 8689 ...... Period DEFFERED CHARGES AND ACCRUED INCOME Allocation of heading 490/1 of assets if the amount is significant.

Deferred charges 29.965.329,58 Accrued income 11.795.040,18 Nr. 0204.647.234 C. 5.7

STATEMENT OF CAPITAL AND STRUCTURE OF SHAREHOLDINGS

Codes Period Previous period STATEMENT OF CAPITAL Social capital Issued capital at the end of the period ...... 100P XXXXXXXXXXXXXX 124.096.567,97 Issued capital at the end of the period ...... (100) 199.411.243,63

Codes Amounts Number of shares

Changes during the period: Capital investment of ex-IGAO 75.314.675,66 1.347.827 Structure of the capital Different categories of shares A1 shares - communities 139.587.926,08 4.800.253 A2 shares - Electrabel n.v. 59.823.317,55 2.057.250 Registered shares...... 8702 XXXXXXXXXXXXXX 6.857.503 Bearer shares and/or dematerialized shares...... 8703 XXXXXXXXXXXXXX

Uncalled Capital called, Codes capital but not paid Capital not paid

Uncalled capital ...... (101) XXXXXXXXXXXXXX Capital called, but not paid ...... 8712 XXXXXXXXXXXXXX Shareholders having yet to pay up in full

Codes Period

OWN SHARES

Held by the company itself Amount of capital held ...... 8721 ...... Number of shares held ...... 8722 ...... Held by the subsidiaries Amount of capital held ...... 8731 ...... Number of shares held ...... 8732 ...... Commitments to issue shares Following the exercising of CONVERSION RIGHTS

Amount of outstanding convertible loans ...... 8740 ...... Amount of capital to be subscribed ...... 8741 ...... Corresponding maximum number of shares to be issued ...... 8742 ...... Following the exercising of SUBSCRIPTION RIGHTS ...... Number of outstanding subscription rights ...... 8745 ...... Amount of capital to be subscribed ...... 8746 ...... Corresponding maximum number of shares to be issued ...... 8747 ...... Authorized capital, not issued ...... 8751 ...... Nr. 0204.647.234 C. 5.7

STATEMENT OF CAPITAL AND STRUCTURE OF SHAREHOLDINGS

Codes Period

Shared issued, not representing capital

Distribution Number of shares held ...... 8761 6 ...... Number of voting rights attached thereto ...... 8762 ...... Allocation by shareholder Number of shares held by the company itself ...... 8771 ...... Number of shares held by its subsidairies ...... 8781 ...... Nr. 0204.647.234 C 5.8

PROVISIONS FOR OTHER LIABILITIES AND CHARGES

Period ALLOCATION OF THE HEADING 163/5 OF LIABILITIES IF THE AMOUNT IS CONSIDERABLE

Electricity 991.610,11

...... Nr. 0204.647.234 C 5.9

STATEMENT OF AMOUNTS PAYABLE, ACCRUED CHARGES AND DEFERRED INCOME Codes Period ANALYSIS BY CURRENT PORTIONS OF AMOUNTS INITIALLY PAYABLE AFTER MORE THAN ONE YEAR

Amounts payable after more than one year, not more than one year

Financial debts ...... 8801 2.200.929,43 Subordinated loans ...... 8811 Unsubordinated debentures ...... 8821 Leasing and other similar obligations ...... 8831 Credit institutions ...... 8841 2.200.929,43 Other loans ...... 8851 Trade debts ...... 8861 . Suppliers ...... 8871 Bills of exchange payable ...... 8881 Advance payments received on contracts in progress 8891 ...... Other amounts payable ...... 8901

Total amounts payable after more than one year, not more than one year ...... (42) 2.200.929,43 ...... Amounts payable after more than one year, between one and five years Financial debts ...... 8802 43.246.657,89 Subordinated loans ...... 8812 Unsubordinated debentures ...... 8822 Leasing and other similar obligations ...... 8832 Credit institutions ...... 8842 43.246.657,89 Other loans ...... 8852 Trade debts ...... 8862 . Suppliers ...... 8872 Bills of exchange payable ...... 8882 Advance payments received on contracts in progress 8892 ...... Other amounts payable ...... 8902

Total amounts payable after more than one year, between one and five years ...... 8912 43.246.657,89 ...... Amounts payable after more than one year, over five years ...... Financial debts ...... 8803 76.685.951,29 ...... Subordinated loans ...... 8813 Unsubordinated debentures ...... 8823 Leasing and other similar obligations ...... 8833 Credit institutions ...... 8843 76.685.951,29 Other loans ...... 8853 Trade debts ...... 8863 . Suppliers ...... 8873 Bills of exchange payable ...... 8883 Advance payments received on contracts in progress ...... 8893 Other amounts payable ...... 8903

Total amounts payable after more than one year, over five years ...... 8913 76.685.951,29 ...... Nr. 0204.647.234 C 5.9

Codes Period AMOUNTS PAYABLE GUARANTEED (headings 17 and 42/48 of liabilities)

Amounts payable guaranteed by Belgian public authorities

Financial debts ...... 8921 Subordinated loans ...... 8931 Unsubordinated debentures ...... 8941 Leasing and other similar obligations ...... 8951 Credit institutions ...... 8961 Other loans ...... 8971 Trade debts ...... 8981 . Suppliers ...... 8991 Bills of exchange payable ...... 9001 Advance payments received on contracts in progress 9011 ...... Remuneration and social security 9021 ...... Other amounts payable ...... 9051

Total amounts payable guaranteed by Belgian public authorities ...... 9061 ...... Amounts payable guaranteed by real guarantees given or irrevocably promised by the enterprise on its own assets Financial debts ...... 8922 Subordinated loans ...... 8932 Unsubordinated debentures ...... 8942 Leasing and other similar obligations ...... 8952 Credit institutions ...... 8962 Other loans ...... 8972 Trade debts ...... 8982 . Suppliers ...... 8992 Bills of exchange payable ...... 9002 Advance payments received on contracts in progress 9012 ...... Taxes, remuneration and social security ...... 9022 Taxes ...... 9032 Remuneration and social security ...... 9042 Other amounts payable ...... 9052

Total amounts payable guaranteed by real guarantees given or irrevocably promised by the enterprise on its own assets...... 9062 .. AMOUNTS PAYABLE FOR TAXES, REMUNERATION AND SOCIAL SECURITY

Taxes (heading 450/3 of the liabilities)

Expired taxes payable ...... 9072 Non expired taxes payable ...... 9073 1.697.694,75 Estimated taxes payable ...... 450

Remuneration and social security (heading 454/9 of the liabilities) Amount due to the National Office of Social Security ...... 9076 Other amounts payable relating to remuneration and social security 9077 ...... Nr. 0204.647.234 C 5.9

Period ACCRUED CHARGES AND DEFERRED INCOME

Allocation of the heading 492/3 of liabilities if the amount is considerable Accrued charges 220.522,51 Deferred income 399.129,22 Nr. 0204.647.234 C 5.10

OPERATING RESULTS

Codes Period Previous period

OPERATING INCOME Net turnover Broken down by categories of activity Allocation into geographical markets Other operating income

Total amount of subsidies and compensatory amounts obtained from public authorities ...... 740

OPERATING COSTS Employees recorded in the personnel register Total number at the closing date ...... 9086 Average number of employees calculated in full-time equivalents ...... 9087 Number of actual worked hours ...... 9088

Personnel costs Remuneration and direct social benefits ...... 620 Employers' social security contributions ...... 621 Employers' premiums for extra statutory insurances ...... 622 Other personnel costs ...... 623 Old-age and widows' pensions ...... 624

Provisions for pensions Additions (uses and write-back) ...... (+)/(-) 635

Amounts written off Stocks and contracts in progress Recorded ...... 9110 Written back ...... 9111 Trade debtors Recorded ...... 9112 630.845,79 1.878.274,94 Written back ...... 9113 1.080.540,70 709.535,67

Provisions for risks and charges Additions ...... 9115 Uses and write-back ...... 9116 173.175,60 892.650,75

Other operating charges Taxes related to operation ...... 640 839.387,38 12.004.145,77 Other charges ...... 641/8 3.607.986,67 2.409.081,16

Hired temporary staff and persons placed at the enterprise's disposal

Total number at the closing date ...... 9096 Average number calculated as full-time equivalents ...... 9097 Number of actual worked hours ...... 9098 Charges to the enterprise ...... 617 Nr. 0204.647.234 C 5.11

FINANCIAL AND EXTRAORDINARY RESULTS

Codes Period Previous period FINANCIAL RESULTS Other financial income Amount of subsidies granted by public authorities, credited to income for the period Capital subsidies ...... 9125 Interest subsidies ...... 9126

Allocation of other financial income Various financial income 36.651,81 36.450,43 Amounts written down off loan issue expenses and repayment premiums ...... 6501 ...... Interests recorded as assets ...... 6503 ...... Value adjustments to current assets ...... Appropriations ...... 6510 ...... Write-backs ...... 6511 ...... Other financial charges ...... Amount of the discount borne by the enterprise, as a result of negotiating ...... amounts receivable ...... 653 ..... Provisions of a financial nature Appropriations ...... 6560 Uses and write-backs ...... 6561

Allocation of other financial income Various financial costs 269,33 116,59

Period EXTRAORDINARY RESULTS Allocation other extraordinary income

Allocation other extraordinary charges Nr. 0204.647.234 C 5.12

INCOME TAXES AND OTHER TAXES

Codes Period INCOME TAXE Income taxes on the result of the current period 9134 419.111,73 Income taxes paid and withholding taxes due or paid ...... 9135 392.600,87 Excess of income tax prepayments and withholding taxes recorded under assets ...... 9136 Estimated additional taxes ...... 9137 26.510,86

Income taxes on previous periods 9138 Taxes and withholding taxes due or paid ...... 9139 Estimated additional taxes estimated or provided for ...... 9140

In so far as income taxes of the current period are materially affected by differences between the profit before taxes, as stated in the annual accounts, and the estimated taxable profit

An indication of the effect of extraordinary results on the amount of income taxes relating to the current period

Codes Period Status of deferred taxes Deferred taxes representing assets ...... 9141 Accumulated tax losses deductible from future taxable profits ...... 9142

Other deferred taxes representing assets

Deferred taxes representing liabilities 9144 ...... Allocation of deferred taxes representing liabilities

Codes Period Previous Period

THE TOTAL AMOUNT OF VALUE ADDED TAX AND TAXES BORNE BY THIRD PARTIES The total amount of value added tax charged To the enterprise (deductible) ...... 9145 23.370.710,56 19.811.744,22 By the enterprise ...... 9146 31.855.867,57 26.384.807,37

Amounts retained on behalf of third parties for Payroll withholding taxes ...... 9147 14.510,59 18.103,33 Withholding taxes on investment income ...... 9148 2.499.412,29 886.784,79 Nr. 0204.647.234 C 5.13

RIGHTS AND COMMITMENTS NOT REFLECTED IN THE BALANCE SHEET

Code Period

PERSONAL GUARANTEES GIVEN OR IRREVOCABLY PROMISED BY THE ENTERPRISE AS SECURITY FOR DEBTS AND COMMITMENTS OF THIRD PARTIES ...... 9149 535.785,00 ...... Of which ...... Bills of exchange in circulation endorsed by the enterprise ...... 9150 ...... Bills of exchange in circulation drawn or guaranteed by the enterprise ...... 9151 Maximum amount for which other debts or commitments of third parties are guaranteed by the enterprise ...... 9153

REAL GUARANTEES

Real guarantees given or irrevocably promised by the enterprise on its own assets as a security of debts and commitments from the enterprise Mortgages Book value of the immovable proporties mortgaged ...... 9161 Amount of registration ...... 9171 Pledging on goodwill - amount of registration ...... 9181 Pledging of other assets - Book value of other assets pledged ...... 9191 ...... Guarantees provided on future assets - Amount of assets involved ...... 9201 ...... Real guarantees given or irrevocably promised by the enterprise on its own assets as a security of debts and commitments from third parties Mortgages Book value of the immovable proporties mortgaged ...... 9162 Amount of registration ...... 9172 Pledging on goodwill - amount of registration ...... 9182 Pledging of other assets - Book value of other assets pledged ...... 9192 ...... Guarantees provided on future assets - Amount of assets involved ...... 9202 ......

GOODS AND VALUES, NOT DISCLOSED IN THE BALANCE SHEET, HELD BY THIRD PARTIES IN THEIR OWN NAME BUT AT RISK TO AND FOR THE BENEFIT OF THE ENTERPRISE

Recharges of budget meters - payments to be received 6.205,42 SUBSTANCIAL COMMITMENTS TO ACQUIRE FIXED ASSETS

SUBSTANCIAL COMMITMENTS TO DISPOSE FIXED ASSETS

FORWARD TRANSACTIONS Goods purchased (to be received) ...... 9213 ...... Goods sold (to be delivered) ...... 9214 ...... Currencies purchased (to be received) ...... 9215 ...... Currencies sold (to be delivered) ...... 9216 ......

INFORMATION RELATING TO TECHNICAL GUARANTEES, IN RESPECT OF SALES OR SERVICES

INFORMATION CONCERNING IMPORTANT LITIGATION AND OTHER COMMITMENTS NOT MENTIONED ABOVE In the framework of the Multicurrency Treasury Bill Programme to finance the working capital and the investments of the mission charged associations, IMEA has given a mandate to Eandis CVBA to conclude with Dexia Bank België nv on the issuance of a Commercial Paper of Eandis , for the account of the various Distribution System Operators, amounting to 522.000.000,00 EUR. All mixed Distribution System Operators jointly guarantee vis à vis each holder of a commercial paper issued by Eandis, to repay at first demand each amount related to each commercial paper and to the global maximum amount of commercial paper of 522.000.000,00 EUR. Part of the ongoing projects (unbundling programmes, low/high calorific gas, portfolio and smart meters) chargeable to IMEA: 2.519.510,32 EUR. Guarantees obtained from energy suppliers amounted to 103.385,23 EUR. The off-balance sheet rights and commitments mention the actualized value (29.818.000,00 EUR) of future obligations to the Eandis staff Nr. 0204.647.234 C 5.13

RIGHTS AND COMMITMENTS NOT REFLECTED IN THE BALANCE SHEET

INFORMATION CONCERNING IMPORTANT LITIGATION AND OTHER COMMITMENTS NOT MENTIONED ABOVE (concerning pensions, reimbursement of healthcare costs, tariff benefits, jubilee bonuses). A bank guarantee has been offered in favour of the CREG amounting to 2.000,00 EUR to cover for the charges of the federal contribution credited by IMEA to their social customers. In the framework of the short term Credit Programme in the form of a revolving credit amounting to 500.000.000,00 EUR, of which 375.000.000,00 EUR was taken up by the end of 2008, by Eandis CVBA in order to finance the working capital and the investments of the mission charged associations, (Distribution System Operators ) each Distribution System Operator acts for its share but vis à vis third parties the Distribution System Operators are jointly responsible. The Distribution System Operators are severally responsible vis à vis each other for the payment commitments as to this mandate.

IF THEREIS A SUPPLEMENTARY RETIREMENTS OR SURVIVOR'S PENSION PLAN IN FAVOUR OF THE PERSONNEL OR THE EXECUTIVES OF THE ENTERPRISE, A BRIEF DESCRIPTION OF SUCH PLAN OF THE MEASURES TAKEN BY THE ENTERPRISE TO COVER THE RESULTING CHARGES

Code Period

PENSIONS FUNDED BY THE ENTERPRISE Estimated amount of the commitments resulting for the enterprise from past services ...... 9220 ...... Methods of estimation ...... NATURE AND BUSINESS PURPOSE OF OFF-BALANCE SHEET ARRANGEMENTS.. Provided the risks or benefits arising from such arrangements are material and where the disclosure of such risks or benefits is necessary for assessing the financial position of the company; if required, the financial impact of these arrangements have to be mentioned too: Nr. 0204.647.234 C 5.14

RELATIONSHIPS WITH AFFILIATED ENTERPRISES AND ENTERPRISES LINKED BY PARTICIPATING INTERESTS

Codes Period Previous period AFFILIATED ENTERPRISES Financial fixed assets ...... (280/1) ...... Investments ...... (280) Amounts receivable subordinated ...... 9271 Other amounts receivable ...... 9281

Amounts receivable ...... 9291 ...... After one year ...... 9301 Within one year 9311 ...... Current investments ...... 9321 ...... Shares ...... 9331 Amounts receivable ...... 9341

Amounts payable ...... 9351 ...... After one year ...... 9361 Within one year ...... 9371

Personal and real guarantees Provided or irrevocably promised by the enterprise, as security for debts or commitments of affiliated enterprises ...... 9381 Provided or irrevocably promised by affiliated enterprises as security for debts or commitments of the enterprise ...... 9391

Other substancial financial commitments ...... 9401 ...... Financial results . Income from financial fixed assets ...... 9421 ...... Income from current assets ...... 9431 ...... Other financial income ...... 9441 ...... Debts charges ...... 9461 ...... Other financial charges ...... 9471 ...... Gains and losses on disposal of fixed assets Obtained capital gains ...... 9481 ...... Obtained capital losses ...... 9491 ...... ENTERPRISES LINKED BY PARTICIPATING INTERESTS

Financial fixed assets ...... (282/3) 142.946.254,22 730.716,33 Investments ...... (282) 142.946.254,22 730.716,33 Amounts receivable subordinated ...... 9272 Other amounts receivable ...... 9282

Amounts receivable ...... 9292 5.159.794,13 After one year ...... 9302 Within one year 9312 5.159.794,13 ...... Amounts payable ...... 9352 27.002.881,00 29.618.736,14 After one year ...... 9362 27.002.881,00 Within one year ...... 9372 29.618.736,14 Nr. 0204.647.234 C 5.14

RELATIONSHIPS WITH AFFILIATED ENTERPRISES AND ENTERPRISES LINKED BY PARTICIPATING INTERESTS

Period

TRANSACTIONS WITH RELATED PARTIES OUTSIDE NORMAL MARKET CONDITIONS

Mention of such operations if they are material, stating the amount of these transactions, the nature of the relationship with the related party and other information about the transactions necessary for the understanding of the financial position of the company: Nr. 0204.647.234 C 5.15

FINANCIAL RELATIONSHIPS WITH

Codes Period DIRECTORS AND MANAGERS, INDIVIDUALS OR BODIES CORPORATE WHO CONTROL THE ENTERPRISE WITHOUT BEING ASSOCIATED THEREWITH OR OTHER ENTERPRISES CONTROLLED BY THESE PERSONS, OTHER ENTERPRISES CONTROLLED BY THE SUB B. MENTIONED PERSONS WITHOUT BEING ASSOCIATED THEREWITH

Amounts receivable from these persons 9500

Conditions on amounts receivable

Guarantees provided in their favour 9501

Guarantees provided in their favour - Main condition

Other significant commitments undertaken in their favour 9502

Other significant commitments undertaken in their favour - Main condition

Amount of direct and indirect remunerations and pensions, included in the income statement, as long as this disclosure does not concern exclusively or mainly, the situation of a single identifiable person To directors and managers ...... 9503 43.227,08 To former directors and former managers ...... 9504

Codes Period AUDITORS OR PEOPLE THEY ARE LINKED TO

Auditor's fees ...... 9505 15.000,00 ...... Fees for exceptional services or special missions executed in the company by the auditor

Other attestation missions ...... 95061 12.700,00 ...... Tax consultancy ...... 95062 ...... Other missions external to the audit ...... 95063 ...... Fees for exceptional services or special missions executed in the company by people they are linked to

Other attestation missions ...... 95081 ...... Tax consultancy ...... 95082 ...... Other missions external to the audit ...... 95083 ......

Mention related to article 133 paragraph 6 from the Companies Code Nr. 0204.647.234 C 7

VALUATION RULES SUMMARY OF MAJOR VALUATION POLICIES

1. Off-balance sheet rights and commitments

Bank guarantees offered by certain energy companies, as well as the DSO's portion in the actualized value of future obligations to the Eandis staff are recognized in the out of balance items. Also the obligations relating to ongoing projects have been recognized. On the CREG's demand, a guarantee was offered relating to payments for the federal contribution and the charges of budget meters not yet paid for relating to the DSO's role as social supplier have also been recognized. Next, guarantees have been offered relating to the Commercial Paper programme, the revolving credit that had been granted, and a bank guarantee has been offered relating to the bank loans for the account of Eandis.

2. Tangible fixed assets

Based on a technical inventory of the tangible fixed assets in combination with current unit prices, an economic reconstruction value (iRAB or initial Regulated Asset Base) has been determined. For the activity electricity this value was determined on 31 December 2001. As agreed by the CREG, this value was included in the accounts and caused the recording of an (iRAB) surplus value. For the activity gas this value was determined on 31 December 2002, which resulted in a reconstruction value and a (iRAB) surplus value.

Up until and including the reporting year 2006 depreciation was conforming to the guidelines laid down by the Flemish Tutelle Authority, as they had been applied earlier, but being different from the guidelines issued by the VREG. Due to the out of court settlement agreement with the CREG, signed on 1 October 2007 and ratified by the Flemish Minister of Internal Affairs, Urban Policy, Housing and Citizenship both the value of the tangible fixed assets on 31 December 2006 and the arrangements relating to the depreciation have been finally determined.

Due to this agreement the value as per 1 January 2007 has been brought in line with the regulated asset value ratified by the CREG for the activities electricity and gas.

The value of the tangible fixed assets also fluctuates in function of: " the addition of new investments at purchase or cost price including all directly attributable costs; " the subtraction of intervention payments by third parties based on the relevant cost of purchase; (The sum of the above two elements gives an indication of the net cost of purchase.) " the subtraction of the net book value (being the balance between the acquisition value and the cumulative depreciation) of disposed assets; " the subtraction of the depreciation on the net value of purchase; The depreciation charges are determined as follows: 2% cables, lines, pipes and administrative buildings 3% cabins, stations, substations, connections and metering equipment 10% teleread meters and budget meters, optical fibres (for the accounting year 2007 at 5%) and teletransmission, central remote control, telecontrol and dispatching, CHP installations, lab equipment, tools and office furniture, other tangible fixed assets 20% vehicles 33% IT hardware Land is not depreciated. All infrastructure elements owned on 31 December, irrespective of their date of acquisition, are depreciated for a complete accounting year. " the subtraction of the recording at the rate of 2% per year of the revaluation surpluses as present on 31 December 2006. This amount of liabilities is transferred from the revaluation values to the non-available reserves. Every four years the depreciation on the revaluation surpluses will be evaluated in relation to the actual surplus value relating to the disposals and, if necessary, the currently used percentage will be adapted.

3. Financial fixed assets

These are recognized at cost of purchase.

4. Amounts receivable after more than one year

These receivables are recognized in the balance sheet at nominal value.

5. Stocks and contracts in progress

The contracts in progress are stated at cost price.

6. Amounts receivable within one year

These receivables are recognized in the balance sheet at nominal value.

The receivables related to works finished and services delivered, with the exception of claims for damages and the accounts receivable from municipalities, expired for more than six months and which have been entrusted to the Legal Department, are considered to be doubtful. A write-down of 100 per cent (excluding VAT) is carried out for this purpose.

The receivables from energy supplies within the framework of the distribution system operators' social public service obligations (SODV) Nr. 0204.647.234 C 7

VALUATION RULES have been recognized in the balance sheet at nominal value. The receivables from final invoices are considered to be doubtful if they have remained unpaid after expiry date in the following cases: bankruptcy, judicial settlement and judicial procedure. For these receivables a provision of 100 per cent (excluding VAT) is recognized for receivables below the limit amount to be fixed by the Board of Directors and for 80 per cent (excluding VAT) for all other cases. For all other expired SODV receivables a provision is recorded for 100 per cent of the unpaid amount (excluding VAT) if they are older than one year and have not been integrated into an agreed upon payment plan; these accounts receivable are thus considered to be doubtful.

If a receivable is expected to be is no longer collectible or if the collection costs exceed the amount of the receivable, the receivable is derecognized utilizing the provision for that purpose. The related VAT is recuperated if the necessary attestations can be obtained.

In the framework of the full liberalization of the Flemish energy market on 1 July 2003, a provision for doubtful debts was recorded for all accounts receivable older than six months on 31 December 2003 with regard to debtors. This additional provision is used in function of the realization of receipts on these accounts receivable or is used for the definitive write-off thereof.

7. Complement to the annual charges for our public service obligations

In the system of yearly meter readings, the consumption amounts of energy having been supplied but not yet billed are calculated in volume on the basis of the total amounts of energy bought (allocation), less the consumption volumes billed related to the accounting year under consideration. This so-called non-registered consumption is valued making use of the actual invoices during the accounting year, adapted to the average billing parameters being applied during the accounting year.

8. Accruals

The deferred charges and accrued income comprise the management costs transferred by the operating company to the distribution system operator conforming to the relevant stipulations in the by-laws and/or board decisions and which correspond to the pension charges paid as lump sums for the benefit of the staff formerly attributed to the distribution activities on the territory of the distribution system operator. These costs are taken into the charges by the distribution system operator and are spread out over a maximum period of twenty years, according to the principle of periodical matching of benefits and charges.

As to the distribution grid fee, the CREG guarantees that the non-realized benefits can actually be integrated into the future tariffs thanks to the regulatory asset, which is recognized as a non-disputed receivable on the asset side of the balance sheet.

The accrued charges and deferred income also include the interests on loans which have already been charged in the current accounting year but which have to be paid in the course of the following year.

9. Changes in the valuation policies

None.

10. Changes in the presentation

None. Nr. 0204.647.234 C 8

MANAGEMENT REPORT