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4Financial position – resultsNotes to the parent company financial statementsNote 5 - Statement of changes in equityReserves(€ millions)Numbersof sharesSharecapitalAdditionalpaid-incapitalLegal Tax-regulatedreserves reservesOtherreservesUntaxedprovisionsRetainedearnings(losses)Net income(loss)for the yearTotalEquity at 31 December 2010before appropriation of net income 49,545,002 74 95 24 6 1,425 1 – 272 1,897- Appropriation of net incometo retained earnings– – – – – – – 252 (252) –Dividend paid for 2010 – – – – – – – – (20) (20)Net loss for 2011 – – – – – – – – (331) (331)Equity at 31 December 2011before appropriation of net loss 49,545,002 74 95 24 6 1,425 1 252 (331) 1,546- Appropriation of net incometo retained earnings– – – – – – – (331) 331 –Capital increase 100,037,488 150 – – – – – – – 150Share award plans 473,742 1 – – (1) – – – – –Reverse stock split(cancellation of old shares) (150,056,232) – – – – – – – – –Reverse stock split(allocation of new shares) 25,009,372 – – – – – – – – –Net loss for 2012 – – – – – – – – (28) (28)Equity at 31 December 2012before appropriation of net loss 25,009,372 225 95 24 5 1,425 1 (79) (28) 1,668Recommended appropriation:- Appropriation of net loss to retainedearnings – – – – – – – (28) 28 –Equity at 31 December 2012after appropriation of net loss 25,009,372 225 95 24 5 1,425 1 (107) – 1,668During the first-half of 2012, two successive capital increases were carried out as part of a share award plan for amounts of €706,000 and€5,000. These amounts were deducted from the restricted reserves account set up for this purpose.Note 6 - Debt (see Note 15 to the parent company financial statements)This item includes current accounts with Sequana subsidiaries amounting to €12 million, €2 million in bank overdrafts, bank borrowingsof €24 million and a €1 million loan contracted from one of the Company’s subsidiaries. In 2011, these amounts were €43 million,€5 million, €36 million and €1 million, respectively.The year-on-year decrease of €31 million in current account balances held with subsidiaries mainly resulted from the repayment of the€30 million balance with Arjowiggins SAS at end-April.The interest rate on the average €43 million of outstanding debt owed by Sequana in 2012 was 3.44%, excluding commissions.Note 7 - Operating lossThis item is mainly composed of overhead costs of the Sequana holding company.170 | Sequana | 2012 Document de référence (English version)