Page 208 - 2012 Annual Report

208

VIVENDI

l

2012

l Annual Report

FINANCIAL REPORT – CONSOLIDATED FINANCIAL STATEMENTS – STATUTORY AUDITORS’ REPORT ON THE

CONSOLIDATED FINANCIAL STATEMENTS – STATUTORY AUDITORS’ REPORT ON THE FINANCIAL STATEMENTS –

STATUTORY FINANCIAL STATEMENTS

4

II - APPENDICES TO THE FINANCIAL REPORT: UNAUDITED SUPPLEMENTARY FINANCIAL DATA

2. RECONCILIATION OF ACTIVISION BLIZZARD’S REVENUES AND EBITA

ADJUSTED NET INCOME PER SHARE

Year ended December 31,

2012

2011

Basic

Diluted

Basic

Diluted

Adjusted net income

(in millions of euros)

2,550

(a)

2,547

2,952

(a)

2,949

Number of shares

(in millions)

Weighted average number of shares outstanding

(b) (c)

1,298.9

1,281.4

Potential dilutive effects related to share-based compensation

(d)

-

3.5

-

2.4

Adjusted weighted average number of shares

1,298.9

1,302.4

1,281.4

1,283.8

Adjusted net income per share

(in euros)

(b)

1.96

2.30

(a)

Includes only the potential dilutive effect related to employee stock option plans and restricted stock plans for Activision Blizzard in a non-significant

amount.

(b)

The weighted-average number of shares and adjusted net income per share have been adjusted for all periods previously published in order to reflect

the dilution arising from the grant to each shareowner on May 9, 2012, of one bonus share for each 30 shares held, in accordance with IAS 33 -

Earnings per share

. Please refer to Section 1.1.8 of the Financial Report above.

(c)

Net of treasury shares (please refer to Note 18 to the Consolidated Financial Statements for the year ended December 31, 2012).

(d)

Does not include accretive instruments as of December 31, 2012 and December 31, 2011 which could potentially become dilutive. The balance of

common shares in connection with Vivendi SA’s share based compensation plan is presented in Note 21.2.2 to the Consolidated Financial Statements

for the year ended December 31, 2012.

2.

RECONCILIATION OF ACTIVISION BLIZZARD’S REVENUES AND EBITA

(1)

Note: For a definition of EBITA, please refer to Section 4.2 of this Financial Report.

As reported below, the reconciliation of Activision Blizzard’s revenues and

EBITA to IFRS as of December 31, 2012 and December 31, 2011 is based

on:

✱

Activision Blizzard’s data prepared in compliance with US GAAP

standards, in US dollars, contained in its Form 10-K for the year ended

December 31, 2012 and non-GAAP measures published by Activision

Blizzard on February 22, 2013; and

✱

data relating to Activision Blizzard established in accordance with

IFRS standards, in euros, as published by Vivendi in its Audited

Consolidated Financial Statements for the year ended December 31,

2012.

NON-GAAP MEASURES OF ACTIVISION BLIZZARD

Activision Blizzard provides net revenues, net income (loss), earnings

(loss) per share, operating margin data and guidance both including (in

accordance with US GAAP) and excluding (non-GAAP) certain items. The

non-GAAP financial measures exclude the following items, as applicable

in any given reporting period:

i.

the change in deferred net revenues and related costs of sales with

respect to certain of the company’s online-enabled games;

ii.

expenses related to equity-based compensation;

iii.

expenses related to restructuring;

iv.

impairment of intangible assets acquired through business

combinations;

v.

the amortization of intangible assets acquired through business

combinations; and

vi.

the income tax adjustments associated with any of the above items.