UPDATE A04 THE 2016 REGISTRATION DOCUMENT

Transcription

1 UPDATE A04 OF THE 2016 REGISTRATION DOCUMENT FINANCIAL REVIEW AT 30 SEPTEMBER 2017

2 Disclaimer The financial information for the third quarter and first nine-month period ended 30 September 2017 for Crédit Agricole S.A. and the Crédit Agricole Group comprises this quarterly financial report and the attached press release and presentation, available at This report may include prospective information on the Group, supplied as information on trends. This data does not represent forecasts within the meaning of European Regulation 809/2004 of 29 April 2004 (chapter 1, article 2, 10). This information was compiled from scenarios based on a number of economic assumptions for a given competitive and regulatory environment. Therefore, these assumptions are by nature subject to random factors that could cause actual results to differ from projections. Likewise, the financial statements are based on estimates, particularly for the calculation of market values and asset impairments. Readers must take all of these risk factors and uncertainties into consideration before making their own judgement. Applicable standards and comparability The figures presented for the nine-month period ended 30 September 2017 have been prepared in accordance with IFRS as adopted in the European Union and applicable at that date, and with prudential regulations currently in force. This financial information does not constitute a set of financial statements for an interim period as defined by IAS 34 "Interim Financial Reporting" and has not been audited. Note: Both Crédit Agricole S.A. and the Crédit Agricole group consolidation scopes have not materially changed since the registration with the AMF of the annual report of Crédit Agricole S.A. dated 21 March 2017 under the reference D and the update A.01 of the 2016 annual report which includes regulatory information for the Crédit Agricole group. The sum of the values contained in the tables and analyses may differ slightly from the totals due to rounding effects. Unlike publications for previous quarters, the income statements contained in this report show non-controlling interests with a minus sign such that the line item "net income Group share" is the mathematical addition of the line item "net income" and the line item "non-controlling interests". On 1 January 2017, Calit was transferred from Specialised financial services (Crédit Agricole Leasing & Factoring) to International retail banking-italy. Historical data have not been re on a pro forma basis. Since July , Pioneer Investments is included in the scope of consolidation of Crédit Agricole Group as a subsidiary of Amundi. Historical data have not been re on a proforma basis. Pioneer Investments integration costs in both first and second quarter have been re in specific elements, adversely to the treatment applied in both publications made previously. Group net income group share has been adjusted. AMF Only the French version of this updates has been submitted to the Autorité des Marchés Financiers (AMF). It is therefore the only version that is binding by law. The original French version of this update was registered with the Autorité des Marchés Financiers on 10 November 2017 in accordance with article of the AMF s General Regulation. It updates the registration document registered with the AMF on 21 March 2017 under number D It may be used in support of a financial transaction if accompanied by a transaction circular approved by the AMF. This document was produced by the issuer and is binding upon its signatories. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 2/103

3 Contents Disclaimer... 2 Applicable standards and comparability... 2 Highlights of the quarter...5 Results for the third quarter and first nine months Q3 & : excellent performances... 5 Crédit Agricole Group... 7 Crédit Agricole S.A Strong results in both Q3 and the first nine months Continued refocusing: acquisitions in core businesses and asset disposals Further improvement in financial solidity Corporate social responsibility Crédit Agricole S.A Consolidated results Result by business line Crédit Agricole S.A Asset gathering Insurance (CA Assurances) Asset management (Amundi) Wealth management (CA Indosuez Wealth) Retail Banking in France (LCL) International retail banking (IRB) Retail banking in Italy (IRB Italy) Other international retail banking (Other IRB) Specialised financial services (SFS) Consumer finance (CACF) Leasing & factoring (CAL&F) Large customers (CACIB and CACEIS) Corporate and investment banking (CIB) Asset servicing (CACEIS) Corporate centre Crédit Agricole Group Consolidated results Result by business line Regional Banks Financial structure Solvency Crédit Agricole S.A Crédit Agricole Group Liquidity and Funding Balance sheet Crédit Agricole S.A Breakdown of share capital Data per share RWAs, capital allocation and profitability by business line Appendices Appendix 1 Specific items Crédit Agricole Group Crédit Agricole S.A Appendix 2 Crédit Agricole Group: and income statement Appendix 3 Crédit Agricole Group: Consolidated income statement by business line Appendix 4 Crédit Agricole S.A.: and income statement Appendix 5 Crédit Agricole S.A.: Consolidated income statement by business line Appendix 6 By business lines: reconciliation between and Appendix 7 Credit risk Appendix 8 Detail of net equity and subordinated debt Developments in legal risk Other recent information Press releases Rating change Developments in governance Composition of the Board of Directors THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 3/103

4 Composition of the Board Committees Composition of the Executive Committee Composition of the Management committee Financial Agenda & Contacts Agenda Contacts Person responsible for the registration document Statutory auditors Cross reference table THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 4/103

5 Highlights of the quarter Results for the third quarter and first nine months 2017 Q3 & : excellent performances Credit Agricole Group* Stated net income Group share Q3: 1,907m +36.8% Q3/Q3 9M: 5,614m +35.1% 9M/9M Stated revenues Q3: 7,885m +11.1% Q3/Q3 9M: 24,062m +6.8% 9M/9M Fully-loaded CET1 ratio 14.9% 540bp above the P2R 1 Continued organic growth in all business lines Major refocusing on core businesses: disposal of BSF, consolidation of Pioneer, announced acquisitions of three savings banks in Italy and of Banca Leonardo 9M NIGS 2 already greater than FY-16 NIGS Q3 3 NIGS: 1,759m, -4.5% Q3/Q3 (9M 3 : 5,430m, +15.3% 9M/9M) Cost of credit risk down to 18bp 4 * Crédit Agricole S.A. and 100% of the Regional Banks Crédit Agricole S.A. Stated net income Group share Q3: 1,066m -42.8% Q3/Q3 (Q3-16 included the Eureka capital gain, 1.27bn)) 9M: 3,262m +0.4% 9M/9M Stated revenues Q3: 4,575m +22.4% Q3/Q3 9M: 13,983m +13.9% 9M/9M Fully-loaded CET1 ratio 12.0% +30bp /30/06/17 pro forma for Pioneer (MTP target of 11%) NIGS at same level as 9M-16 which included Eureka gain for 1.27bn, improvement of business lines profitability Q3 3 NIGS: 966m, -5.2% Q3/Q3 (9M 3 : 3,048m, +36.6% 9M/9M), earnings per share 3 : 0.31 Underlying 3 revenues +3.5% Q3/Q3 (9M 3 : +7.9%), positive impact of Pioneer consolidation partly offset by an adverse Q3-16 base for comparison in capital markets Underlying 3 costs still well under control: +6.8% Q3/Q3 excl. SRF and +2.0% on a constant scope 5, continued investment in new activities, particularly in insurance Positive impact of refocusing operations: non-cash portion of NIGS 6 down from 32% in 2015 to 6% in Cost of credit risk 31bp 4 down -10bp Q3/Q3, unallocated provision for legal risk of 75m 1 Pro forma P2R for 2019 as notified by the ECB in NIGS: net income Group share 3 In this quarterly financial report, refers to figures adjusted for the specific items described on p. 74 onwards 4 Average over last four rolling quarters, annualised 5 Aggregating contributions of Amundi and Pioneer Investments to income and taking into account the amortisation of distribution contracts in 2016 and Portion of NIGS due to contribution from equity-accounted companies, net of dividends received from them 7 Based on the consensus (compiled by the Group prior to publication of results), re for the contribution of BSF THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 5/103

6 This press release comments on the results of Crédit Agricole S.A. and those of Crédit Agricole Group, which comprises the Crédit Agricole S.A. entities and the Crédit Agricole Regional Banks, which own 56.6% of Crédit Agricole S.A. Please see p.74 (Crédit Agricole S.A.) and p.74 (Crédit Agricole Group) of this press release for details of specific items, which are re in the various indicators to calculate results. A reconciliation between the income statement and the income statement can be found on p. 75 onwards for Crédit Agricole Group and on p. 78 onwards for Crédit Agricole S.A. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 6/103

7 Crédit Agricole Group For the first nine months 2017, net income Group share for Crédit Agricole Group amounted to 5.6 billion euros, an increase of +35.1% versus the first nine months of 2016, which had been affected by significant negative specific items. This net income for the first nine months is already higher than the full year 2016 net income. Adjusted for specific items, net income Group share was 5.4 billion euros, an increase of +15.3% versus the first nine months of These results reflects strong business momentum in the Group s various components retail banks, specialised businesses and the Large customers business line coupled with tight cost control enabling the Group to invest in new business activities, and particularly in insurance. The cost/income ratio remained stable at 62.7%. These results include the first-time contribution of Pioneer Investments in the third quarter. During the third quarter, the Group continued to refocus on its core businesses, reducing its holding in Banque Saudi Fransi and signing an agreement to acquire three Italian savings banks and a majority holding in Banca Leonardo. The financial position remains very strong: at end-september, the fullyloaded Common Equity Tier 1 ratio was 14.9%, among the best in the sector and more than 5 percentage points above the regulatory minimum. In line with the "Strategic Ambition 2020" medium-term plan (MTP), the Group s stable, diversified and profitable business model drives healthy organic growth in all its business lines, largely through synergies between the specialised business lines and the retail networks, and ensures a high level of operating efficiency while generating capacity to invest in business development. The third quarter saw several major achievements under the Strategic Ambition 2020 plan: - First-time consolidation of Pioneer led to a sharp increase in Amundi s contribution to the Group s results. Amundi-Pioneer is now the ninth largest asset manager in the world and the largest in Europe, with top ranking positions in France, Italy, Austria and Germany; - Insourcing by Crédit Agricole Assurances of new creditor insurance business for the Regional Banks began in September and will be completed in April 2018; CNP will continue to co-insure 50% of in-force business until extinction. The Insurance business line also continued to roll out its group insurance offering; the investments required for these new activities weighed on the business line s expenses this quarter; - Refocusing on core businesses continued, with the disposal of 16.2% of the Group s 31.1% stake in Banque Saudi Fransi (BSF) in Saudi Arabia and deconsolidation of the residual 14.9% interest, generating a capital gain of 117 million euros; - Cariparma signed an agreement with the fund Atlante II and the Italian Interbank Deposit Protection Fund in view of acquiring, for 130 million euros, 95% of three Italian savings banks, Cassa di Risparmio (CR) di Cesena, CR Rimini and CR San Miniato, which operate in regions bordering the Group s core territories in Italy; this transaction will increase the Group s distribution capacity in Italy by about 20% (430,000 customers, 220 branches); the transaction will be finalised after the savings banks have been recapitalised by 470 million euros and have been cleaned of 3 billion euros of non-performing loans; - Lastly, on 31 October, Indosuez Wealth Management signed an agreement to acquire 67.67% of Banca Leonardo; this company provides wealth management services and has 5 billion euros in assets under management. These two acquisitions, like Pioneer before them, are fully in keeping with the MTP objectives and will strengthen the Group s position in Italy, its second domestic market, which contributed 147 million euros to third-quarter net income Group share. They are subject to the usual regulatory authorisations. Their closing is expected in the fourth quarter 2017 (for the three savings banks) and in H (for Banca Leonardo). These acquisitions will have an impact of -12 basis points on Crédit Agricole Group s CET1 ratio. In the third quarter 2017, Credit Agricole Group's net income Group share amounted to 1,907 million euros versus 1,394 million euros in the third quarter THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 7/103

8 Specific items 8 this quarter had a positive effect of +149 million euros on net income Group share, including the partial disposal of BSF (+117 million euros), and provisions for home purchase savings plans (+78 million euros, including +52 million euros for the Regional Banks). As a reminder, in the third quarter 2016, specific items had a negative impact of -447 million euros, including the LCL liability management operation ( 197 million euros) and recurring volatile accounting items (including issuer spread for -182 million euros, DVA debt valuation adjustment, hedging of loan portfolios in the Large customers division and home purchase savings provision). Excluding these specific items, net income Group share was 1,759 million euros, a decrease of -4.5% compared with the same quarter Consolidated results of Crédit Agricole Group in Q3 17 and Q3 16 m Q3-16 Q3/Q3 Q3-16 Q3/Q3 Revenues 7,885 7, % 7,807 7, % Operating expenses excl. SRF (4,974) (4,710) +5.6% (4,947) (4,710) +5.0% Contribution to SRF Gross operating income 2,911 2, % 2,860 3,067 (6.8%) Cost of credit risk (317) (597) (46.8%) (317) (597) (46.8%) Cost of legal risk (75) (50) +50.0% (75) (50) +50.0% Equity-accounted entities % (10.8%) Net income on other assets 1 (47) ns 6 (47) n.m. Change in value of goodwill Income before tax 2,760 1, % 2,597 2, % Tax (743) (348) x 2.1 (719) (577) +24.5% Net income from discontinued operations (2) (0) ns (2) (0) n.m Net income 2,015 1, % 1,876 1,934 (3.0%) Non controlling interests (108) (91) +18.4% (117) (93) +25.7% Net income Group Share 1,907 1, % 1,759 1,841 (4.5%) Cost income ratio excl. SRF (%) 63.1% 66.4% -3.3 pp 63.4% 60.6% +2.8 pp The decrease was primarily due to an increase in the effective tax rate to 29.1% versus 24.3% in the third quarter 2016, which had benefited from a reduced rate of tax on various transactions. Underlying pre-tax income increased by +3.4% versus the third quarter 2016, thanks to a sharp decrease in loan loss provisions (-46.8%) in a climate of improving credit risk in all business lines, with the Regional Banks and Large customers business line even recording collective provision reversals. The decrease in cost of credit risk more than offset a non-allocated 75 million euro provision for legal risk (50 million euros in the third quarter 2016) as well as the decrease in operating income caused by an unfavourable base for comparison in terms of revenues coupled with continued investment in business development in line with the MTP in terms of operating costs. Underlying revenues were virtually stable, up +0.4% year-on-year to 7,807 million euros, as the positive impact of the Pioneer consolidation was largely offset by an adverse base for comparison due to a particularly high contribution from capital markets business in the third quarter 2016 stemming from increased market activity following the UK referendum on the European Union. 8 See p. 74 for details of specific items for Crédit Agricole Group and p. 75 for a reconciliation of and results. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 8/103

9 Underlying operating expenses increased by +5.0% year-on-year in the third quarter 2017, driven by the consolidation of Pioneer coupled with investment in MTP projects, mainly in Insurance. The cost/income ratio increased by +2.8 percentage points to 63.4%. In the first nine months 2017, net income Group share 9 increased by +15.3% year-on-year thanks to a strong performance in the first half ( net income Group share up +27% versus the first half of 2016) and the developments described above. Underlying revenues were up +2.5%, operating expenses excluding SRF up +2.7% and cost of credit risk down -40.0%, excluding the 115 million euros unallocated legal provision charge recognised in the first and third quarters of 2017 (40 million euros and 75 million euros respectively) versus 100 million euros in the second and third quarters 2016 (50 million euros each). Consolidated results of Crédit Agricole Group in 9M 17 and 9M 16 m 9M-16 9M/9M 9M-16 9M/9M Revenues 24,062 22, % 24,080 23, % Operating expenses excl. SRF (15,167) (14,757) +2.8% (15,108) (14,716) +2.7% Contribution to SRF (285) (282) +1.2% (285) (282) +1.2% Gross operating income 8,610 7, % 8,686 8, % Cost of credit risk (1,113) (1,855) (40.0%) (1,113) (1,855) (40.0%) Cost of legal risk (115) (100) +15.0% (115) (100) +15.0% Equity-accounted entities % % Net income on other assets (0) (19) (98.4%) 5 (19) n.m. Change in value of goodwill Income before tax 8,065 5, % 7,922 6, % Tax (2,185) (1,491) +46.6% (2,208) (1,939) +13.9% Net income from discontinued operations n.m n.m Net income 5,923 4, % 5,757 4, % Non controlling interests (310) (265) +16.7% (327) (269) +21.5% Net income Group Share 5,614 4, % 5,430 4, % Cost income ratio excl. SRF (%) 63.0% 65.5% -2.5 pp 62.7% 62.6% +0.1 pp In the third quarter 2017, the Regional Banks enjoyed sustained business momentum. The loan book increased by +6.0% year-on-year at end-september, including +8.0% for home loans (+0.7 of a percentage point market gain over the year to end-june, latest available data) and +8.2% for consumer finance (including +14.3% for the loan book managed by CACF, which now represents 58% of total consumer finance loans booked in the balance sheet of the Regional Banks). Customer savings increased by +4.6% year-on-year, driven by demand deposits (+17.3%). Life insurance assets under management increased by only +1.5%, but the proportion of unitlinked inflows rose by +7.4 percentage points year-on-year to 24.4% in the third quarter Lastly, the number of property and personal insurance contracts increased by +6.0% compared to end-september 2016, of which +8.7% in comprehensive household. This commercial performance made a significant contribution to growth in Credit Agricole S.A.'s business lines, whose products are distributed by the Regional Banks as the Group's leading distribution channel and leading retail bank in France. 9 See p. 74 for details of specific items for Crédit Agricole Group and p. 75 for a reconciliation of and results. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 9/103

10 The Regional Banks' contribution to Credit Agricole Group's net income Group share was 774 million euros, virtually unchanged either year-on year (-0.4%) or quarter-on-quarter (-0.9%). As in the second quarter, their contribution was supported by a sharp decrease in cost of risk (-66.2% year-on-year in the third quarter, while the second quarter 2017 recorded a net reversal), offsetting the -9.2% decrease in gross operating income caused by lower revenues (-2.0%) coupled with higher costs (+2.8%). Also, this quarter, the negative impact on revenues of the operation to simplify the Group s structure (Eureka) was much lower than in the first half (only one additional month of interest expense on the loan funding the transaction, which was implemented on 3 August 2016). The increase in operating costs was due to IT investment regulatory requirements and digital transformation and the branch refurbishment programme scheduled in the MTP. In the first nine months, the Regional Banks contributed 2,310 million euros, a decrease of -3.3% due mainly to the costs and loss of revenue related to the Eureka operation, which did not impact results before their implementation date on 3 August The performance of the other Credit Agricole Group business lines is described in detail in the section of this press release on Credit Agricole S.A. In the quarter, Crédit Agricole Group s financial solidity remained robust, with a fully-loaded CET1 ratio of 14.9%, down -0.1 percentage point relative to end-june 2017 solely due to the consolidation of Pioneer as of 3 July ( 43 basis points). Excluding Pioneer, therefore, the ratio improved by +0.3 percentage point. It provides a substantial buffer (540 basis points) above the distribution restriction trigger applicable to Credit Agricole Group as of 1 January 2019, set at 9.5% by the ECB. The TLAC ratio was 20.6% at 30 September 2017, excluding eligible senior preferred debt, versus 20.8% at end- June 2017 and 20.3% at end-december This level already respects the 2019 minimum requirement of 19.5% without taking into account senior preferred debt, whereas the regulatory calculation of this ratio allows for the inclusion of eligible senior preferred debt (up to 2.5%). At end-october 2017, the Group had issued 6.2 billion euros equivalent of senior non-preferred debt since the beginning of the year. The phased-in leverage ratio came to 5.5%, a decrease of -30 basis points compared with end-june Credit Agricole Group's liquidity position is robust. Its banking cash balance sheet, at 1,121 billion euros at 30 September 2017, showed a surplus of stable funding sources over stable assets of 121 billion euros, up +4 billion euros compared with end-june 2017 and +17 billion euros compared with end-september The surplus exceeded the MTP target of over 100 billion euros. The surplus of stable funds finances the HQLA securities portfolio generated by the LCR requirement for customer and customer-related activities. Liquidity reserves, at market value and after haircuts, amounted to 254 billion euros. Short term debt net of Central Bank deposits (28 billion euros) was covered more than 4 times by HQLA securities (119 billion euros). Crédit Agricole Group issuers raised 28.4 billion euros equivalent of medium- and long-term debt in the first nine months 2017, 53% of which was raised by Crédit Agricole S.A. (15.2 billion euros equivalent), versus just over 33 billion euros for the whole of Besides, debt securities amounting to 2.6 billion euros were also collected by the Group s retail networks (Regional Banks, LCL and CA Italia) during the first nine months * * * THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 10/103

11 Dominique Lefebvre, Chairman of SAS Rue La Boétie and Chairman of Credit Agricole S.A.'s Board of Directors, commented: In the third quarter, Crédit Agricole Group continued to demonstrate its ability to maintain a high level of profitability and strong business momentum while at the same time investing in its future development, in line with the Strategic Ambition 2020 plan objectives. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 11/103

12 Crédit Agricole S.A. Strong results in both Q3 and the first nine months - Stated net income Group share for the first nine months 2017 at the same level as 2016, even though the previous year included the Eureka gain, net income Group share +37% 9M/9M - Q3 net income Group share close to one billion euros - Q3: Continued good business momentum: cross selling and commercial initiatives - Continued cost control while maintaining investment in future development Continued refocusing: acquisitions in core businesses and asset disposals - Partial disposal of the BSF stake 16.2% for 1.3bn - Completion of the acquisition of Pioneer Investments for 3.5bn, first-time contribution to earnings - Acquisition of a 95% stake in three Italian banks for 130m and a 67.67% stake in Banca Leonardo (expected to close in Q4 and in H respectively) - Positive impact of refocusing operations: non-cash portion of NIGS 10 down from 32% in 2015 to 6% in Further improvement in financial solidity - Fully-loaded CET1 ratio of 12.0%, up +30bp since 30 June 2017 pro forma for the acquisition of Pioneer Investments, adjustment of the dividend provision to 0.52 over nine months ( in Q3) - Ratings: upgrade to positive outlook by S&P, ratings 12 upgrade by DBRS (long-term) and Scope Ratings (short-term) Crédit Agricole S.A.'s Board of Directors, chaired by Dominique Lefebvre, met on 7 November 2017 to examine the financial statements for the third quarter and first nine months In the third quarter 2017, net income Group share was 1,066 million euros versus 1,864 million euros in the third quarter 2016, which included the gain on the operation to simplify the Group s structure (Eureka) for 1,272 million euros. In the first nine months of the year, net income Group share was 3,262 million euros versus 3,249 million euros for the same period of The Group s organic growth over the year and, to a much lesser extent, the consolidation of Pioneer Investments, therefore compensated for the Eureka gain. Specific items 13 in the third quarter had an impact of +100 million euros on net income Group share, including the positive impact of the BSF partial disposal 14 (+114 million euros in contribution from equity-accounted entities, excluding transaction costs). In the third quarter 2016, specific items had an impact of +845 million euros, mainly comprising the Eureka gain. Excluding these specific items, net income Group share for the third quarter 2017 came to 966 million euros, a year-on-year decrease of -5.2%. The decrease stemmed mainly from the return to a more normal effective tax rate, which rose from 16.6% in the third quarter 2016 to 27.0% in the third quarter The resulting increase in the tax charge (+85.7% year-on-year) and the slight decrease in gross operating income ( 2.0%) more than offset the decrease in credit risk provisions (-41% year-on-year). It should be noted that the Group decided to recognise a non-deductible provision to legal risk unallocated to any specific file of 75 million euros (50 million euros in the third quarter 2016) and continued its development investment, recorded under operating expenses, in line with the MTP. 10 Portion of NIGS coming from contribution from equity-accounted companies and net of dividends received from them 11 Based on the consensus (compiled by the Group prior to Q results), re for the contribution of BSF, excluding contribution from the three Italian banks and Banca Leonardo 12 Unsolicited ratings 13 See p. 74 for details of specific items for Crédit Agricole S.A. and p. 78 for a reconciliation of and results. 14 Sale of a 16.2% stake for 1.3 billion euros THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 12/103

13 Underlying earnings per share amounted to 0.31 euros, down -6.4% year-on-year, in line with the decrease in attributable net income Group share (after deduction of AT1 coupons, that are directly charged to the net equity Group share, but are deducted for the calculation of the earnings per share, see p. 72) Consolidated results of Crédit Agricole S.A. in Q3 17 and Q3 16 m Q3-16 Q3/Q3 Q3-16 Q3/Q3 Revenues 4,575 3, % 4,564 4, % Operating expenses excl. SRF (2,902) (2,693) +7.8% (2,875) (2,693) +6.8% Contribution to SRF - 5 (100.0%) - 5 (100.0%) Gross operating income 1,672 1, % 1,689 1,724 (2.0%) Cost of credit risk (262) (443) (41.0%) (262) (443) (41.0%) Cost of legal risk (75) (50) +50.0% (75) (50) +50.0% Equity-accounted entities % (18.3%) Net income on other assets (7) (50) (85.3%) (2) (50) (95.4%) Change in value of goodwill - - n.m. - - n.m. Income before tax 1, x 2.4 1,472 1, % Tax (367) 33 n.m. (364) (196) +85.7% Net income from discontinued operations (2) 1,272 n.m. (2) (0) n.m. Net income 1,198 1,962 (38.9%) 1,105 1,134 (2.5%) Non controlling interests (132) (98) +35.0% (139) (115) +21.3% Net income Group Share 1,066 1,864 (42.8%) 966 1,019 (5.2%) Earnings per share ( ) (46.0%) (6.4%) Cost income ratio excl. SRF (%) 63.4% 72.0% -8.6 pp 63.0% 61.0% +2.0 pp Despite a slight increase, net earnings remained high at close to one billion euros, which is the second best third-quarter performance since 2006, beaten only by the third quarter 2016, with which it is directly compared in this press release. This performance was, like previous quarters, driven by strong business momentum in all Crédit Agricole S.A.'s business lines and distribution networks, as well as the Regional Banks which distribute the products of its specialised business lines. The macro-economic environment continued to improve in the Group s core European markets and the impacts of this improvement are amplified by cross selling driven by the Customer-focused universal banking model central to the Strategic Ambition 2020 plan. Business momentum therefore remained strong in all business lines during the third quarter: - In Insurance, 158,000 new property & casualty contracts, net of lapses, were written during the quarter (+700,000 or +5.8% in force over one year). Now the fourth largest insurer in comprehensive household insurance, Crédit Agricole Assurances has moved up one place in the 2017 rankings. As a result, premium income in property & casualty increased by +7.1% year-on-year in the third quarter. Life insurance net inflows totalled +1.0 billion euros in the third quarter with a slight decrease in euro business inflows (-0.1 billion euros) but a further acceleration in unit-linked inflows (+1.1 billion euros, up +1.9 point): unit-linked accounts represented 30.1% of gross inflows (an increase of +8.1 percentage points year-on-year) and 21% of savings and retirement outstandings; - In Asset management (Amundi), assets under management stood at 1,400 billion euros driven by a scope effect following the consolidation of Pioneer Investments (+243 billion euros of assets under management at 3 July 2017) coupled with a positive market effect and, most importantly, strong net inflows of billion euros over the quarter (+60.0 billion euros over nine months, including only one quarter s contribution from Pioneer Investments), driven by the Retail segment (+13.1 billion euros in the third quarter) and medium/long-term assets (+14.7 billion euros); THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 13/103

14 - The Retail banks, especially in France and Italy, delivered further strong growth in loans and customer assets compared with previous quarters. At LCL, home loans grew by +9.6% over one year, business loans by +11.3%, demand deposits by +16.0% and the number of property & casualty insurance contracts increased by a net 16,000 (stock up +7.4% over one year). Retail banking in Italy continued to outperform the local market in home loans (+9.9%), while off-balance sheet customer assets grew by +9.4% over one year; - Specialised financial services accelerated their development, with +7.1% growth in the managed loan book in consumer finance compared to end-september 2016 (+9.4 billion euros of new managed business), +3.6% of new leasing business, particularly abroad (+13.4%) and +7.4% growth in factored receivables compared to the third quarter 2016; - Large customers continued to gain market share in capital markets activities, particularly in credit. CACIB s Capital markets business ranked No.4 worldwide 15 on bonds issued by financial institutions in euros in the nine first months 2017;it was world leader in green financing (green bonds) all currencies combined 16. In Investment banking, advisory business performed well, confirming its fourth place in M&A advisory in France 17 with 30 deals. Financing activities ranked world No.4 in syndicated loans in the Europe, Middle East and Africa (EMEA) region 18 Lastly, illustrating its Distribute to Originate risk distribution policy, CACIB s average primary syndication rate in the twelve months to September 2017 was 38%, +5 percentage points more than in the twelve months to end-september 2016 and +11 percentage points more than in 2013, when the policy was first introduced. In Asset servicing (CACEIS), assets under custody increased by +7.3% and assets under administration by +12.3% compared with end-september This excellent business momentum was not reflected in the +3.5% year-on-year growth in revenues (-0.8% on a constant scope 19 ) due to an adverse base for comparison, as the capital markets business had made a particularly high contribution in the third quarter 2016, mainly as a result of strong market activity following the UK s referendum on the European Union. Consequently, in 2016, the seasonal profile in the capital markets was the reverse of a typical year, with its contribution to revenues increasing gradually from the first to the third quarter 2016, whilst the opposite is more usual. The usual seasonal profile was restored in 2017 with revenues lower in the third quarter than the second and lower in the second quarter than the first. Consequently, capital markets revenues were down -28.3% year-on-year in the third quarter. However, capital markets revenues for the first nine months, which eliminates the differences in the quarterly profile between the two years, was up +3.8%, signalling a continued positive trend in this business. Consequently, Large customers suffered a -14.7% decrease in revenue in the third quarter but an increase of +3.5% over nine months. Retail banking also saw a decrease in revenues, at LCL (-3.4%) because of the fall in renegotiation fees and the impact of previous renegotiations on interest margin, and at International retail banking excluding Italy (-9.0%) because of Egypt s devaluation in November 2016 (rise of +28% excluding the forex effect). The Insurance business recorded good investment income, and decided to apply a modest recognition of investment margin in life insurance, allowing a further strengthening of reserves. Insurance revenues were therefore down by -4.8%, even though business volumes increased. The other business lines delivered good revenue growth in line with business volumes, in particular Asset management (+4.6% on a constant scope 19 ), Specialised financial services (+2.8%) and, within the Large customers division, Asset servicing (+8.0%). Corporate centre s revenue also improved by +197 million euros thanks to the decrease in funding costs and the full impact of the Eureka operation on the quarter (versus only two months of investment of the cash generated by the operation in the third quarter 2016, excluding the unwinding of Switch 1 which had already been effective over the entire quarter). 15 Bookrunner (source: Thomson Financial at 30/09/2017) 16 Bookrunner all currencies combined (source: Thomson Financial at 30/09/2017) 17 Market share (source: Thomson Financial at 30/09/2017) 18 Mandated Bookrunner (source: Thomson Financial at 30/09/2017) 19 Aggregate of the contributions to net income of Amundi and Pioneer Investments and taking into account the amortisation of distribution contracts in 2017 and 2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 14/103

15 Underlying operating expenses increased by +6.8% year-on-year in the third quarter and by +2.0% on a constant scope 19. The increase stems mainly from Insurance (+4.6%), International Retail Banking Italy (+4.7%) and, to a lesser extent, Specialised financial services (+2.3%) and Asset servicing (+3.4%), although these two latter businesses showed positive jaw effects. The growth in operating expenses reflects the scale-up of new activities, such as the insourcing of creditor insurance and the development of group insurance in the insurance business, as well as development projects. Lastly, it should be noted that Wealth management recognised a reversal of pension provisions in the third quarter 2016 following a law in Switzerland reducing the conversion rate and, therefore, the employer s obligation (+26 million euros, +21 million euros on net income Group share). This reversal is not recurring in nature and accounts for almost one percentage point of the +2.0% growth in operating expenses for Crédit Agricole S.A. on a constant scope 19. The cost/income ratio excluding SRF stood at 63.0%. The cost of credit risk fell to 262 million euros from 443 million euros in the third quarter 2016 (-41.0% or +181 million euros year-on-year) and 351 million euros in the second quarter 2017 (-25.4% or +89 million euros). All businesses contributed to the decrease, except for Retail banking in Italy (+13.1% or 9 million euros compared to the third quarter 2016), which sold a portfolio of non-performing loans held by Calit, its leasing subsidiary, resulting in a loss of -18 million euros. The main contributors to the decrease were Large customers (from a cost of credit risk of -116 million euros in the third quarter 2016 to a net reversal of +21 million euros, an improvement of +137 million euros) due to reversals of collective provisions considered to be surplus to requirements, Specialised financial services (-18.4% or +29 million euros) in line with trends in previous quarters, and LCL (-18.4% or +10 million euros), despite a collective impairment charge of 25 million euros to cover potential defaults after Hurricane Irma in the Caribbean. Cost of credit risk represented 31 basis points of outstandings, 20 a decrease of -4 basis points quarter-onquarter and -10 basis points year-on-year, and still below the Medium-term plan assumption of 50 basis points. Thanks to the reversals in the third quarter, Financing activities in the Large customers division delivered a cost of credit risk of 19 basis points over four rolling quarters, down -13 basis points year-on-year and -11 basis points quarter-on-quarter. The two main contributors to credit risk provisions - Consumer finance and Retail banking in Italy - which accounted for 74% of consolidated credit risk in the third quarter, recorded improvements of respectively -18 basis points to 116 and -12 basis points to 89. In Retail banking in Italy, new defaults were down -47% 21 year-on-year in the third quarter and the impaired loans ratio fell decreased by 1 percentage point to 12.4% 21 (versus 13.4% at end-september 2016 and 12.5% at end-june 2017), while the coverage ratio improved to 48% 21 (versus 45.6% at end-september 2016 and 48.2% at end-june 2017). The three Italian banks to be consolidated within the next few months, after the disposal of 3 billion euros of non-performing loans, will have even better ratios than those of International Retail Banking Italy at present. In this improving credit risk environment, the Group decided to add 75 million euros to provisions for legal risk unallocated to any specific file, recognised in the Large customers business line. A similar provision of 50 million euros was recognised in the third quarter 2016, also in Large customers. The contribution from equity-accounted entities was down -18.3% to 122 million euros excluding the capital gain on BSF, mainly due to loss of the Eurazeo contribution following its disposal in the second quarter 2017, and the deconsolidation as of 20 September 2017 of the Group s interest in BSF following the partial disposal (decrease from 31.1% to 14.9%). Underlying income before tax, discontinued operations and non-controlling interests increased by +10.7% to 1,472 million euros. The effective tax rate was 27.0% versus 16.6% in the third quarter 2016, which had benefited from a reduced rate of tax on several transactions during the quarter. This rate is significantly lower than the standard corporate income tax rate in France due to the generation of earnings in countries with a lower tax rate and to the tax credit available on Additional Tier 1 debt instruments (interest payments are deducted directly from equity, for -92 million euros in the third quarter), representing an impact of more than two percentage points on the 20 Average loan loss reserves over last four rolling quarters, annualised 21 Excluding Calit, the leasing subsidiary which was part of Specialised financial services until end-2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 15/103

16 effective tax rate. The tax charge was therefore up +85.7% year-on-year in the third quarter, to 364 million euros. Net income attributable to non-controlling interests was up significantly, by +21.3% to 139 million euros, due to the decrease in the Group s interest in Amundi to 68.5% as of the second quarter 2017 versus 74.1% in the same period of 2016 and up to and including the first quarter 2017, but also this quarter due to the consolidation of Pioneer Investments, which contributed to the growth of almost 50% of Amundi s net income (at 100%). Excluding Amundi, non-controlling interests would have been down slightly. Consequently, net income Group share came to 966 million euros, a decrease of -5.2% compared with the third quarter For the first nine months 2017, net income Group share was 3,262 million euros versus 3,249 million euros in the same period of 2016, virtually unchanged even though 2016 had benefited from the 1,272 million euro Eureka gain. Strong organic growth delivered by the businesses, and, to a lesser extent, the integration of Pioneer Investments, therefore offset the non-recurrence of this gain, with limited support from specific items, 22 which had an impact of +214 million euros on net income Group share in the first nine months Additionally to the specific items of the third quarter mentioned above, the most significant specific item compared with the third quarter 2016 was the gain on disposal of the Group s interest in Eurazeo (+107 million euros) in the second quarter. In the first nine months of 2016, specific items had an impact of +1,018 million euros on net income Group share, including the Eureka gain referred to above. Excluding these specific items, net income Group share came to 3,048 million euros, an increase of +36.6% compared with the first nine months of Underlying earnings per share came to 0.96 euro, an increase of +36.9% compared with the first nine months of See p. 74 for details of specific items for Crédit Agricole S.A. and p. 78 for a reconciliation of and results. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 16/103

17 Consolidated results of Crédit Agricole S.A. in 9M 2017 and 9M 2016 m 9M-16 9M/9M 9M-16 9M/9M Revenues 13,983 12, % 13,962 12, % Operating expenses excl. SRF (8,693) (8,474) +2.6% (8,635) (8,433) +2.4% Contribution to SRF (242) (240) +1.1% (242) (240) +1.1% Gross operating income 5,047 3, % 5,086 4, % Cost of credit risk (972) (1,292) (24.8%) (972) (1,292) (24.8%) Cost of legal risk (115) (100) +15.0% (115) (100) +15.0% Equity-accounted entities % % Net income on other assets (8) (46) (83.4%) (3) (46) (94.1%) Change in value of goodwill - - n.m. - - n.m. Income before tax 4,630 2, % 4,449 3, % Tax (1,030) (234) x 4.4 (1,046) (678) +54.2% Net income from discontinued operations 43 1,283 n.m n.m. Net income 3,643 3, % 3,447 2, % Non controlling interests (381) (316) +20.6% (399) (326) +22.2% Net income Group Share 3,262 3, % 3,048 2, % Earnings per share ( ) (3.7%) % Cost income ratio excl. SRF (%) 62.2% 69.0% -6.9 pp 61.8% 65.2% -3.3 pp The nine-month period cancels out 2016 s atypical seasonal profile and the adverse base for comparison in the third quarter. The key income indicators have therefore returned to their trend: strong growth in revenues, good control over operating expenses and decrease of the cost of credit risk, mitigated by a higher level of legal provisions (115 million euros versus 100 million euros in the first nine months of 2016) and an increase in the effective tax rate from 23.9% in the first nine months 2016 to 26.2% in the first nine months As in the third quarter, the tax credit on Additional Tier 1 coupons decreased the effective tax rate by more than 2 points. Underlying revenues were 13,962 million euros, a year-on-year increase of +7.9% or +6.2% on a constant scope. All divisions contributed to the growth and in particular Asset gathering, following the consolidation of Pioneer Investments and organic growth in asset and wealth management, and the Corporate centre, thanks to the Eureka impact and a decrease in funding costs. In the first nine months of the year, Large customers delivered +3.5% yearon-year growth in revenues. Underlying operating expenses were up slightly to 8,635 million euros, an increase of +2.4% excluding the SRF contribution, which itself increased by +1.1% (242 million euros versus 244 million euros in the first nine months of 2016). On a constant scope, operating expenses excluding SRF increased by only +0.8%, reflecting excellent cost control. All business contributed to this cost control. The most substantial jaws effect 23 came from LCL (+5.2 percentage points excluding SRF), Specialised financial services (+2.9 percentage points excluding SRF), and Large customers (+2.1 percentage points excluding SRF), particularly Asset financing (+5.0 percentage points excluding SRF). The cost/income ratio excluding SRF improved by 3.3 percentage points to 61.8% compared with the first nine months of Lastly, cost of credit risk excluding unallocated legal provisions fell by -24.8% to 972 million euros versus 1,292 million euros in the first nine months of 2016 (or +320 million euros). As in the third quarter, the main contributors to the improvement were Large customers (-53.0% or +188 million euros) and Specialised financial services (-22.1% or +96 million euros). At LCL, cost of credit risk increased by +14.4% (-19 million euros), mainly due to non-recurring 23 Difference between growth in revenues and growth in operating expenses THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 17/103

18 reversals in the first quarter 2016 which lowered the base for comparison, and the provisions in the third quarter 2017 related to Hurricane Irma, but the cost of risk nonetheless remains very low in this business line. At end-september 2017, Crédit Agricole S.A. s capital ratios improved yet further, with a fully-loaded CET1 ratio of 12.0%, down -40 basis points versus June but up +30 basis points since 30 June 2017 pro forma for the acquisition of Pioneer Investments. This pro forma increase was due to the partial disposal of the interest in BSF and deconsolidation of the remaining stake (+17 basis points), net income allocated to retained earnings net of the dividend provision and Additional Tier 1 interest payments (+11 basis points), quasi-stability of AFS unrealised gains (+1 basis point), and finally the neutral effect of risk-weighted assets and other various items. Risk-weighted assets totalled 293 billion euros at end-september 2017 versus 301 billion euros at end- December 2016, a decrease of -2.7% partially due to the forex effect. The acquisitions announced but not yet finalised (three Italian savings banks and Banca Leonardo) will have an impact of approximately -15 basis points. It should be noted that at end-september 2017, capital ratios including the fully-loaded CET1 were calculated based on a dividend assumption of 50% of net earnings per share, i.e euro per share, which corresponds to 0.18 euro for the third quarter 2017 (0.15 euro assumed for the calculation at end-march and 0.34 euro at end-june). The phased-in leverage ratio was 4.4% at end-september 2017 as defined in the Delegated Act adopted by the European Commission. Crédit Agricole S.A. s average LCR ratio over twelve months stood at 137% at end-june 2017, above the Medium-Term Plan target of over 110%. At end-october 2017, Credit Agricole S.A. had completed 104% of its medium- to long-term market funding programme of 16 billion euros for the year: 16.6 billion euros equivalent were raised on the markets, of which 10.4 billion euros equivalent of senior preferred debt (unsecured) and secured senior debt and 6.2 billion euros equivalent of senior non-preferred debt. * * * Philippe Brassac, Chief Executive Officer, commented: In the first nine months of the year, Crédit Agricole S.A. has succeeded in equalling last year s performance in terms of net income, despite the Eureka gain of more than one billion euros recognised in the first nine months of This result alone, which was achieved despite continued investment in development under the MTP, confirms the Group s profitability and its ability to deliver growth in all its business lines. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 18/103

19 Corporate social responsibility This quarter, Crédit Agricole S.A. achieved some excellent extra-financial ratings: - Crédit Agricole S.A. is now among the top European banks in the MSCI 24 worldwide index. ESG Ratings after its rating was raised from BBB to A. This upward notch was achieved due to progress made in data security and protection, and more particularly the publication of a Personal Data Charter and a Group Ethics Charter, the creation of a Group Security Committee and implementation of a programme to strengthen security, and efforts to embed environmental risk in the credit analysis process. - The Anglo-Dutch extra-financial rating agency Sustainalytics raised Crédit Agricole S.A. s rating from 76 to 80, making it the best-rated bank. The upgrade was due to progress in the range of products to promote the energy transition (energy saving loans, green bonds, low carbon funds, etc.). In addition, Crédit Agricole is the first bank to obtain ISO certification for its anti-bribery and corruption system. Delivered by Euro Compliance 25, this ISO certification is recognition of the Group's determination and the quality of its anti-corruption and bribery programme. It confirms that corruption and bribery risks are properly identified and analysed and that the programme applied by Crédit Agricole is designed to mitigate these various risks by drawing on best international practices. It covers all Crédit Agricole Group s business lines and is in addition to the BS certification delivered by SGS in July The Group reported on progress at end-june 2017 in the strong commitments made at the time of the COP 21: - 49 billion euros in arrangements supporting the energy transition out of the 60 billion euros announced over three years ( ); - more than 1.7 billion euros of cash invested in green bonds out of the 2 billion euros planned by Credit Agricole S.A. and Credit Agricole CIB by end-2017; - 21% increase in renewable energy financing in France in 2016 (514 million euros versus 425 million euros in 2015), compared with a commitment of a 100% increase by 2018; million euros of financing made available by Amundi through its joint venture with EDF, Amundi Transition Energétique (ATE), out of the 5 billion euros planned by 2020 through ATE and another specialist fund management company, a joint venture between Amundi and Agricultural Bank of China. 24 Morgan Stanley Capital International 25 Euro compliance is a certification and training organisation specialising in anti-bribery and corruption THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 19/103

20 Consolidated results Crédit Agricole S.A. In the third quarter 2017, net income Group share came to 1,066 million euros. Specific items for the quarter had a positive impact of +100 million euros on net income Group share, due mainly to the disposal of a 16.2% interest in BSF for 114 million euros. Pioneer integration costs had an impact of -14 million euros on operating expenses and expenses related to the acquisition of three Italian banks amounting to -3 million euros (for the quarter) were recognised in gains and losses on other assets. Lastly, the net balance of recurring volatile accounting items amounted to +3 million euros, comprising issuer spread for -16 million euros before tax, hedges of loan portfolios in the Large customers division for -13 million euros and a reversal of provisions for home purchase savings plans for +40 million euros. DVA (Debt Valuation Adjustment, i.e. gains and losses on financial instruments related to changes in the Group s issuer spread) had a virtually nil impact this quarter. In the third quarter 2016, specific items had an impact of +845 million euros on net income Group share, comprising +1,254 million euros related to the operation to simplify the Group s structure (Eureka), -187 million euros related to the liability management operations for Retail banking in France (LCL) and -222 million euros of recurring volatile accounting items (-350 million euros on revenues before tax). Excluding these specific items, net income Group share for the third quarter 2017 came to 966 million euros, a decrease of -5.2% compared with the third quarter Underlying earnings per share came to 0.31 euros, down -6.4% compared with the third quarter 2016, in line with the decrease in attributable net income Group share (after deduction of AT1 coupons, that are directly charged to the net equity Group share, but are deducted for the calculation of the earnings per share, see p. Erreur! Signet non défini.) m Crédit Agricole S.A. and Q3-16 consolidated results and Q3-16 Q3/Q3 Q3-16 Q3/Q3 Revenues 4,575 3, % 4,564 4, % Operating expenses excl.srf (2,902) (2,693) +7.8% (2,875) (2,693) +6.8% SRF - 5 (100.0%) - 5 (100.0%) Gross operating income 1,672 1, % 1,689 1,724 (2.0%) Cost of risk (262) (443) (41.0%) (262) (443) (41.0%) Cost of legal risk (75) (50) +50.0% (75) (50) +50.0% Equity-accounted entities % (18.3%) Net income on other assets (7) (50) (85.3%) (2) (50) (95.4%) Change in value of goodwill - - n.m. - - n.m. Income before tax 1, x 2.4 1,472 1, % Tax (367) 33 n.m. (364) (196) +85.7% Net income from discontinued or held-for-sale operations (2) 1,272 n.m. (2) (0) n.m. Net income 1,198 1,962 (38.9%) 1,105 1,134 (2.5%) Non controlling interests (132) (98) +35.0% (139) (115) +21.3% Net income Group Share 1,066 1,864 (42.8%) 966 1,019 (5.2%) Earnings per share ( ) (46.0%) (6.4%) Cost/Income ratio excl.srf (%) 63.4% 72.0% -8.6 pp 63.0% 61.0% +2.0 pp Underlying revenues were up +3.5% compared with the third quarter Underlying revenues of the business lines (excluding Corporate centre), were down -1%. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 20/103

21 Underlying operating expenses remained well under control, up +2.0% excluding SRF and on a like-forlike basis 26. Cost of credit risk was down -41.0% to -262 million euros versus -443 million euros in the third quarter 2016, excluding the non-specific legal provision of 75 million euros recognised in the third quarter 2017 versus 50 million euros in the third quarter Cost of credit risk relative to outstandings was 31 basis points 27 versus 41 basis points in the third quarter 2016, below the Medium-Term Plan (MTP) assumption of 50 basis points. The contribution from equity-accounted entities (excluding impact of the partial disposal of BSF) was down -18.3%, from 149 million euros in the third quarter 2016 to 122 million euros in the third quarter Underlying pre-tax income before discontinued operations and non-controlling interests increased by +10.7% to 1,472 million euros. The effective tax rate increased significantly in the third quarter 2017, to 27.0%. The tax charge therefore increased more than pre-tax income, to 364 million euros or +85.7% year-on-year. Net income attributable to non-controlling interests was up significantly, by +21.3% to 139 million euros, due to the decrease in the Group s interest in Amundi to 68.5% as of the second quarter of 2017 versus 74.1% in the same period of 2016 and up to and including the first quarter of 2017, but also this quarter due to the consolidation of Pioneer Investments, which contributed to the almost +50% growth in Amundi s net income at 100%. Excluding Amundi, non-controlling interests were down slightly. Consequently, net income Group share came to 966 million euros, a decrease of -5.2% compared with the third quarter For the first nine months 2017, net income Group share was 3,262 million euros versus 3,249 million euros in the same period of 2016, virtually unchanged even though 2016 had benefited from the 1,272 million euros gain on the Eureka operation Specific items for the first nine months had a positive impact of +214 million euros on net income Group share. Compared with those of the third quarter referred to above, the changes comprised the impact on net ncome Group share of the liability management operations for 26 million euros (39 million euros before tax), the impact of the Eurazeo disposal for 107 million euros and recurring specific items, i.e. issuer spread for -69 million euros before tax, DVA for -39 million euros, loan portfolio hedges in Large customers for -34 million euros and provisions for home purchase savings plans for +140 million euros. In the first nine months 2016, specific items had an impact of 1,018 million euros on net income Group share, mainly comprising the Visa Europe gain for +327 million euros (+355 million euros before tax) and the LCL provision for network optimisation for -26 million euros (-41 million euros before tax), dividends received from the Crédit Agricole Regional Banks for +285 million euros (+286 million euros on revenues before tax), upfront payments related to the restructuring of the Group s long-term funding under the Eureka project for -448 million euros (-683 million euros on revenues before tax) and recurring volatile accounting items for -188 million euros (-302 million euros on revenues before tax). Excluding specific items, net income Group share was up +36.6% year-on-year, to 3,048 million euros. Underlying earnings per share reached 0.96, up by +36.9% compared with the first nine months Aggregating the contributions to net income of Amundi and Pioneer Investments and including amortisation of distribution contracts in 2017 and Average loan loss reserves over last four rolling quarters, annualised THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 21/103

22 Crédit Agricole S.A. and 9M-16 consolidated results and m 9M-16 9M/9M 9M-16 9M/9M Revenues 13,983 12, % 13,962 12, % Operating expenses excl.srf (8,693) (8,474) +2.6% (8,635) (8,433) +2.4% SRF (242) (240) +1.1% (242) (240) +1.1% Gross operating income 5,047 3, % 5,086 4, % Cost of risk (972) (1,292) (24.8%) (972) (1,292) (24.8%) Cost of legal risk (115) (100) +15.0% (115) (100) +15.0% Equity-accounted entities % % Net income on other assets (8) (46) (83.4%) (3) (46) (94.1%) Change in value of goodwill - - n.m. - - n.m. Income before tax 4,630 2, % 4,449 3, % Tax (1,030) (234) x 4.4 (1,046) (678) +54.2% Net income from discontinued or held-for-sale operations 43 1,283 n.m n.m. Net income 3,643 3, % 3,447 2, % Non controlling interests (381) (316) +20.6% (399) (326) +22.2% Net income Group Share 3,262 3, % 3,048 2, % Earnings per share ( ) (3.7%) % Cost/Income ratio excl.srf (%) 62.2% 69.0% -6.9 pp 61.8% 65.2% -3.3 pp Underlying revenues were up +7.9% year-on-year to 13,962 million euros, driven by an improved contribution from all business lines as well as Corporate centre compared with the same period of the previous year. Underlying revenues of the business lines (excluding Corporate centre) increased by +4%. Underlying operating expenses remained well under control, up by +2.4% to 8,635 million euros or +0.8% excluding SRF and on a like-for-like basis. 28 Cost of credit risk was down -24.8% to 972 million euros versus 1,292 million euros in the first nine months Furthermore, the Group set aside a non-specific legal provision of 115 million euros in the first nine months versus 100 million euros in the same period of These provisions are not tax-deductible. The contribution from equity-accounted entities increased by +15.4% in the first nine months, to 454 million euros, despite the disposals of a 15.42% interest in Eurazeo in the second quarter and a 16.2% interest in BSF in September Underlying pre-tax income before discontinued operations and non-controlling interests increased by +38.0% to 4,449 million euros. The effective tax rate (excluding contribution from equity-accounted entities, which have already paid taxes) increased to 26.2% versus 23.9% in the first nine months The tax charge therefore grew faster than pre-tax income, increasing by +54.2% year-on-year to 1,046 million euros. This effect was coupled with a capital gain of 43 million euros on disposals (CARE, the reinsurance subsidiary of CA Assurances for 31 million euros in the second quarter and Credicom in consumer finance in the first quarter). Non-controlling interests increased by +22.2%, mainly due to the reduction in the group's percentage of interest in Amundi, from 74.1% to 68.5%. Underlying net income Group share came to 3,048 million euros, representing a year-on-year increase of +36.6%. 28 Aggregate of the contributions to net income of Amundi and Pioneer Investments and including amortisation of distribution contracts in 2017 and 2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 22/103

23 Result by business line Crédit Agricole S.A. Crédit Agricole S.A.'s stable, diversified and, profitable Customer-focused universal banking model has a low risk profile that guarantees a high level of recurring net income. The following chart shows a breakdown of revenues and net income Group share by business line (excluding Corporate centre) for the first nine months: Crédit Agricole S.A. Underlying revenues excl. Corporate centre, Underlying revenues excluding Corporate centre, : 14,361 million euros, +3.6% year-on-year AG: Asset gathering, including Insurance; RB: Retail banking, SFS: Specialised financial services; LC: Large customers; CC: Corporate centre Crédit Agricole S.A. Underlying Net income Group share excl. Corporate centre, AG: Asset gathering, including Insurance; RB: Retail banking, SFS: Specialised financial services; LC: Large customers; CC: Corporate centre Underlying net income Group share excluding Corporate centre, : 3,655 million euros, +12.1% year-on-year No business line represents more than 27% of net income Group share excluding Corporate centre, and no core business more than 37%. The largest contributor is Asset gathering with 37%, which comprises business lines with strong commercial momentum requiring little capital for their organic growth. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 23/103

24 The following sections discuss the activity and results of each of Credit Agricole S.A.'s business lines. Asset gathering This business line encompasses insurance (Crédit Agricole Assurances), asset management (Amundi) and wealth management (Indosuez Wealth Management). m Asset gathering and income statement Q3/Q3 Stated 9M/9M Revenues 1,302 1, % 3,703 3, % Operating expenses (680) (653) +37.3% (1,876) (1,817) +13.6% SRF - - (100.0%) (2) (2) +41.2% Gross operating income (1.3%) 1,825 1,825 (1.3%) Cost of risk 0 0 ns (1) (1) (90.8%) Equity-accounted entities % % Net income on other assets (0) (0) x 17.5 (0) (0) ns Change in value of goodw ill - - ns - - ns Income before tax (0.9%) 1,848 1,848 (0.7%) Tax (113) (119) (19.9%) (405) (422) (15.5%) Net income from discontinued operations (1) (1) ns x 77.4 Net income % 1,473 1, % Non controlling interests (63) (57) +41.3% (155) (142) +17.8% Net income Group Share % 1,318 1, % Cost/income ratio excl. SRF (%) 52.2% 50.2% +7.1 pp 50.7% 49.1% +6.1 pp Underlying: specific items this quarter include the integration costs of Pioneer in operating expenses, - 27m this quarter and - 59m in (respectively - 14m and - 28m in net income Group share), which have been re in the P&L Activity At 30 September 2017, assets under management stood at 1,834 billion euros, an increase of +24.4% or 371 billion euros compared with 30 September 2016, thanks to the consolidation of Pioneer Investments assets for 243 billion euros. In the first nine months 2017, assets under management increased by 331 billion euros, with net inflows contributing 72 billion euros (60 billion euros for Amundi, 4 billion euros for Wealth management and 3 billion euros for life insurance). This represents annualised inflows equal to 6.3% of opening assets under management (proforma of the integration of Pioneer as of 3 July), confirming the business line's strong momentum. Apart from this solid commercial performance, the business recorded a positive market and currency effect of +16 billion euros. Assets under management, after elimination of double counting, amounted to 1,559.1 billion euros at 30 September 2017, a year-on-year increase of +29.4%. Asset gathering assets under management after elimination of double counting ( bn) bn Sept.15 Dec. 15 March 16June 16 Sept.16 Dec. 16 March 17June 17 Sept.17 Sept. / Sept. Sept. / Dec. Asset management Amundi* , , , , , , % +29.3% Savings/retirement % +2.7% Wealth management % +3.4% Assets under management - Total* 1, , , , , , , , , % +21.9% AuM excl. double counting* 1, , , , , , , , , % +26.6% THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 24/103

25 Results Pioneer integration costs amounting to -27 million euros before tax (an impact of -14 million euros on net income Group share) were reclassified as specific items in the third quarter There were no specific items in the third quarter 2016 and net income was therefore the same as net income in that period. The first nine months 2017 include Pioneer Investments integration costs for -59 million euros before tax (an impact of -28 million euros on net income Group share), reclassified as specific items. By contrast, there were no specific items in the first nine months 2016 and net income was therefore the same as net income in that period. In the third quarter 2017, net income Group share for the Asset gathering business amounted to 469 million euros, an increase of +4.6%. Insurance and Asset management delivered growth of +0.7% and +37.9% respectively, Wealth management was down -44.7%, due to an adverse base for comparison with the third quarter 2016, which benefited from a provision reversal with an impact on net income of +21 million euros. In the first nine months 2017, net income Group share came to 1,347 million euros, an increase of +8.4% compared with the first nine months Asset gathering contributed 37% of Crédit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the first nine months 2017 and 26% of revenues on the same basis. At 30 September 2017, capital allocated to Asset gathering was 8.9 billion euros, of which 2.8 billion euros for Asset and Wealth management and 6.1 billion euros for Insurance. The business line's risk-weighted assets totalled 25 billion euros, of which 11.7 billion euros for Asset and Wealth management and 13.3 billion euros for Insurance. Insurance (CA Assurances) The Insurance business line reflects the results of CA Assurances, a 100% subsidiary of Crédit Agricole S.A., which covers all insurance businesses : life/savings, property & casualty, death & disability, creditor and group insurances. Insurance and income statement m Stated Q3/Q3 Stated 9M/9M Revenues (4.8%) 1,614 1,614 (4.2%) Operating expenses (153) (153) +4.6% (547) (547) +3.1% Gross operating expenses (8.4%) 1,067 1,067 (7.6%) Income before tax (8.4%) 1,067 1,067 (7.6%) Tax (45) (45) (44.2%) (177) (177) (38.7%) Net income from discontinued operations (1) (1) ns x 77.4 Net income Group share % % Cost/income ratio (%) 30.2% 30.2% +2.7 pp 33.9% 33.9% +2.4 pp Underlying: no specific items this quarter, therefore = Activity In the third quarter 2017, Crédit Agricole Assurances reported premium income of 6.7 billion euros (versus 6.9 billion euros in the third quarter 2016), with strong growth in unit-linked (UL) inflows and continued diversification of the business mix. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 25/103

26 In Savings/Retirement, premium income amounted to 5.0 billion euros. Crédit Agricole Assurances further diversified its product mix towards UL business, as illustrated by the strong growth in UL's contribution to gross inflows in the third quarter (30.1%, i.e. an increase of +8.1 percentage points year-on-year) and the fall in euro (traditional life) business inflows compared with the third quarter Net inflows in savings/retirement amounted to +1.0 billion euros in the third quarter 2017, including +1.1 billion euros in UL contracts (+0.8 billion euros in the third quarter 2016) and -0.1 billion euros in euro contracts (+0.5 billion in the third quarter 2016). Assets under management continued to grow, reaching billion euros 29 at end- September 2017, a year-on-year increase of +3.4% driven mainly by +14.0% growth in UL assets. At end- September 2017, UL contracts represented 21% of total assets under management, +1.9 percentage points compared with end-september Insurance Savings/retirement assets under management ( bn) bn Sept. 15 Dec. 15 March 16 June 16 Sept. 16 Dec. 16 Mars 17 June 17 Sept. 17 Sept./Sept. Unit-linked % In Euros % Total % Share of unit-linked 19.0% 19.0% 18.6% 18.8% 19.1% 19.5% 20.3% 20.8% 21.0% +1.9pp Insurance Breakdown of investments (excl.unit-linked contrats) 0,9% 0,8% 0,6% 6,5% 6,3% 7,1% 6,0% 6,1% 6,0% Alternate investments Real estate (buildings, shares, shares in SCIs) Other shares of net hedging 82,7% 83,5% 81,2% Interest rate products (bonds, etc ) Short term investments Other (private equity, convertible bonds, etc ) 1,8% 2,7% 0,9% 2,1% 2,4% 2,4% Market value September 16 Market value December 16 Market value September 17 In protection of assets and individuals (property & casualty, death & disability, creditor and group insurance), premium income increased by +7.5% 30 year-on-year in the third quarter 2017 to 1.6 billion euros. As in previous quarters, premium income from property & casualty insurance continued to enjoy above-market growth in France, supported by good momentum in new business, particularly in the motor and household segments. Premium income thus rose by +7.1% 30 year-on-year in the third quarter to 758 million euros. The number of in-force contracts increased by more than 158,000 written in the third quarter 2017 and almost 700, Savings/retirement/death & disability assets under management 30 On a like-for-like basis THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 26/103

27 compared to end-september 2016, the portfolio increase by 5.8% since end-september 2016 (sharp growth of new contracts and decrease of termination rate). In the Death & disability/creditor/group insurance segment, premium income rose by +8% 30 year-on-year in the third quarter 2017, to 857 million euros, driven by growth in all three business segments, including +5.2% growth for death & disability, +6.9% in insurer and a 1.6x increase in group insurance. Creditor insurance enjoyed buoyant momentum in the third quarter, driven by strong growth in new mortgage lending (+7.2% year-on-year). Protection of individuals and assets Premium income ( m) Savings/retirement net inflows ( bn) Q1/Q1 Q2/Q2 Q3/Q3 +8.5% 2,16 2, % +7.5% 1,58 1,71 1,50 1,62 1,37 1,48 0,77 0,84 0,71 0,76 0,79 0,87 0,81 0,87 0,79 0,86 Q1-16 Q1-17 Q2-16 Q2-17 Q ,8 +0,7 UL: +37.5% Q3/Q (0.4) (0.2) (0.1) Property & Casualty Death & disability / Creditor / Group Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 unit-linked contracts euro contracts Results There were no specific items in the third quarter or first nine months of either 2017 or Underlying net income Group share is therefore the same as net income Group share for those four periods. In the third quarter 2017, Crédit Agricole Assurances net income Group share amounted to 308 million euros, up +0.7% year-on-year. Underlying revenues were 507 million euros in the third quarter, a year-on-year decrease of -4.8%. Crédit Agricole Assurances posted good investment income, and decided to apply a modest recognition of investment margin in life insurance, allowing a further strengthening of reserves. The policyholder participation reserve amounted to 9 billion euros which represent 4.5% of savings in euros. In Property and casualty insurance, the combined ratio remained stable at 96.6% 31, despite adverse weather events during the period. Operating expenses were up +4.6% year-on-year in the third quarter, due to the development of new activities (group insurance and insourcing of creditor insurance). The cost/income ratio increased by +2.7 percentage points to 30.2%. The tax rate is low rate due to the disposal of securities taxable at the reduced rate. In the first nine months 2017, Crédit Agricole Assurances net income Group share was 917 million euros, an increase of +6.0% compared with the first nine months The cost/income ratio stood at 33.9%. Credit Agricole Assurances contributed 25% of Credit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) for the first nine months and 11% of revenues on the same basis. 31 Ratio of (claims + operating expenses + commissions) to premium income, net of reinsurance. Pacifica scope THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 27/103

28 At 30 September 2017, capital allocated to Insurance was 6.1 billion euros and risk-weighted assets totalled 13.3 billion euros. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 28/103

29 Asset management (Amundi) Asset management comprises the results of Amundi, a subsidiary owned 70.0% by Crédit Agricole Group, including 68.5% held by Crédit Agricole S.A. At the time of Amundi's 1.4 billion euros rights issue at end-march 2017, Crédit Agricole Group sold some of its preferential rights to reduce its percentage interest in Amundi to 70.0%, including 68.5% held by Credit Agricole S.A., versus 75.7% and 74.1% respectively before that date. The reduction in percentage interest is effective as of the second quarter of The financial statements for the third quarter 2017 include a full contribution from Pioneer Investments, Unicredit's asset management company, which was acquired on 3 July. Integration expenses related to this acquisition have been classified as specific items, including those recognised in the first half in an amount of 32 million euros before tax, although they were not classified as specific items in the first and second quarters. In the third quarter, these expenses amounted to -27 million euros before tax, an impact of -14 million euros on net income Group share (-59 million euros and -28 million euros in the first nine months). m Asset management and income statement Q3-16 Q3/Q3 9M/9M Revenues % 1,521 1, % Operating expenses* (342) (211) +61.9% (867) (808) +23.4% Gross operating income % % Cost of risk (2) (1) x 3.4 (5) (5) x 12.7 Equity-accounted entities % % Tax (77) (58) +32.6% (214) (231) +20.4% Net Income % % Net Income Group share % % Cost/income ratio (%) 55.8% 53.3% +2.5 pts 57.0% 53.1% +0.1 pts Underlying: Pioneer Investments integration costs of -27 million euros before tax in, an impact of -14 million euros on net income Group share, were included in specific items, -59 million euros/-28 million euros in the first nine months see p. 81 Activity Amundi s assets under management 32 amounted to 1,400 billion euros at end-september 2017, a year-onyear increase of +32.8% driven by the consolidation of Pioneer Investments (242.9 billion euros) and sustained net inflows 32 (+60.0 billion euros in the first nine months), particularly in the Retail segment (+36.0 billion euros), and a positive market effect (+14.7 billion euros over the same period). In the third quarter 2017, net inflows totalled billion euros; of which billion euros in the Retail segment and billion euros in the institutional segment, with a strong return to Treasury products (+16.5 billion euros). The French networks posted net inflows of +1.8 billion euros. By asset class, net inflows into medium- and longterm assets totalled billion euros in the third quarter Assets managed, advised and distributed including 100% of AuM and inflows of Asian JVs except Wafa in Morocco (AuM at percentage of ownership interest) THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 29/103

30 Asset management Assets under management (1) ( bn) 1,054 1, Scope effect +32.8% Institutionals* Net inflows Retail Market effect 1,400 Sept. 16 Dec. 16 Sept % vs Dec 16 Equities Treasury Fixed income Real, alternative and structured assets Multi-assets * Institutionals, sovereigns and corporates (1) Assets managed and distributed including 100% of AuM and inflows of Asian JVs except Wafa in Morocco (AuM at percentage of ownership interest) Results There were no specific items in the third quarter or the first nine months The third quarter and first nine months 2017 include the restatement of Pioneer Investments integration costs for, respectively 27 million and 59 million euros before tax. Underlying net income Group share is therefore higher than net income Group share. In the third quarter 2017, Amundi s net income Group share was 137 million euros, a year-onyear increase of +37.9% driven by the consolidation of Pioneer Investments, acquired on 3 July. On the other hand, net income was penalised by the negative impact of the decrease in Crédit Agricole S.A.'s percentage interest from 74.1% to 68.5%. Underlying net income at 100% (before non-controlling interests) amounted to 202 million euros, a year-on-year increase of +12.0% on a like-for-like basis 33. Still on a like-for-like basis, revenues were up +4.6% and operating expenses +1.4%. The cost/income ratio excluding SRF stood at 55.8%, a deterioration of 2.5 percentage points compared with the third quarter 2016 but an improvement of 1.8 percentage points on a like-for-like basis. It should be noted that the contribution from equity-accounted entities, which reflect the joint ventures in China, India, South Korea and Morocco, increased by +26.9% year-on-year In the first nine months 2017, net income Group share was 347 million euros, an increase of +15.6% compared with the first nine months On a like-for-like basis 33, the increase was only +4.7% due to the decrease in percentage interest effective in two of the three quarters of Underlying net income at 100% on a like-for-like basis 33 increased by +11.0%. The cost/income ratio excluding SRF stood at 53.1%, a 0.1 percentage point improvement year-onyear. Asset management contributed 9% to Crédit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the first nine months 2017 and 11% of revenues on the same basis. 33 Aggregating the contributions to net income of Amundi and Pioneer Investments and including amortisation of distribution contracts in 2017 and 2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 30/103

31 Wealth management (CA Indosuez Wealth) The Wealth management business reflects the results of Crédit Agricole S.A.'s wholly-owned subsidiary CA Indosuez Wealth (group), which itself owns 100% of its subsidiaries CA Indosuez (Switzerland) SA, CA Indosuez Wealth (France), CA Indosuez Wealth (Europe) and 70% of CFM Indosuez Wealth in Monaco. Wealth management and income statement m Q3/Q3 9M/9M Revenues % % Operating expenses (158) (158) +31.9% (464) (464) +11.7% SRF - - ns (1) (1) ns Gross operating income (60.2%) (9.6%) Cost of risk 2 2 ns 4 4 ns Net income on other assets 0 0 ns % Income before tax (56.1%) % Tax 2 2 ns (14) (14) (24.3%) Net income (41.4%) % Non controlling interests (4) (4) (8.7%) (12) (12) +8.8% Net income Group Share (44.7%) % Cost/income ratio excl. SRF (%) 87.2% 87.2% pp 81.7% 81.7% +3.2 pp Underlying: no specific items this quarter, therefore = Activity Assets managed referred to in activity figures only include those of Indosuez Wealth Management group. As a reminder, LCL's private banking customer assets amounted to 44.1 billion euros at end-september 2017, up +4.9% compared with end-september The results generated by LCL's private banking business are booked by LCL. Wealth management's assets under management increased by +3.5% over one year to 158 billion euros at end-september 2017, a rise of +6 billion euros since the beginning of the year. Net inflows in the third quarter 2017 amounted to +1.9 billion euros. The impact from the refocusing policy to countries accepting the automatic exchange of information is still negative, but it is drawing to an end (-0.1 billion in the third quarter), but conversely the takeover of HSBC's customers in Monaco continues to support net inflows: +0.7 billion euros in the third quarter (+2.5 billion euros in the past 12 months). Wealth management breakdown of assets under management ( bn) bn Sept.15 Dec. 15 March 16June 16 Sept.16 Dec. 16 March 17June 17 Sept.17 Sept. / Sept. Sept. / Dec. LCL Private Banking % +3.9% CAI Wealth Management % +3.2% Of which France % +7.4% Of which International % +1.7% Total % +3.4% Results There were no specific items in the third quarter or first nine months of either 2017 or Underlying net income Group share is therefore the same as net income Group share. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 31/103

32 In the third quarter 2017, net income Group share for the business line was down sharply to 24 million euros versus 43 million euros in the third quarter The decrease was entirely due to an adverse base for comparison in the third quarter 2016, when a provision reversal reclassified in operating expenses increased net income Group share by +21 million euros. In the first nine months 2017, Wealth Management s net income Group share was 82 million euros, a yearon-year increase of +7.5%. It included a 1 million euros contribution to the Single Resolution Fund (SRF). Wealth management contributed 2% of Crédit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the first nine months, and 4% of revenues on the same basis. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 32/103

33 Retail Banking in France (LCL) For Crédit Agricole S.A., Retail banking in France only includes the results of its subsidiary LCL owned by 95.1%. The results of Crédit Agricole's Regional Banks have no longer been included in the Crédit Agricole S.A. scope since the beginning of Retail Banking in France (LCL) and income statement m Q3/Q3 9M/9M Revenues (3.4%) 2,664 2, % Operating expenses excl. SRF (595) (595) (0.7%) (1,814) (1,814) (3.3%) SRF (15) (15) (21.5%) Gross operating income (9.4%) % Cost of risk (45) (45) (18.4%) (149) (149) +14.4% Tax (59) (56) +10.7% (194) (172) +6.6% Net income Group share (12.3%) % Cost/income ratio excl. SRF (%) 70.2% 70.8% +1.9 pp 68.1% 69.7% -3.7 pp Activity LCL continued to enjoy sustained business momentum in the third quarter. The loan book was up +9.7% yearon-year, to 110 billion euros at end-september Home loans grew by +9.6% year-on-year although business slowed in the third quarter 2017 with new lending of +3.7 billion euros (versus +5.7 billion euros in the second quarter of 2017), consumer loans grew by +4.4% and business loans by +11.3%. Similarly, total customer assets grew by +5.2% to billion euros at end-september On-balance sheet deposits rose by +7.6% to billion euros at end-september 2017, driven by a +16.0% increase in demand deposits. LCL continued to deliver an excellent performance in property and casualty insurance products, with the number of in-force contracts rising by +16,000 in the third quarter 2017 (+7.4% year-on-year). Retail Banking in France (LCL) Loans outstanding Loans outstanding ( bn) Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 Mar. 17 Jun. 17 Sept. 17 Sept./Sept. SMEs and small businesses % Consumer credit % Home loans % TOTAL % THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 33/103

34 Retail Banking in France (LCL) Customer savings Customer savings ( bn)* Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 Mar. 17 Jun. 17 Sept. 17 Sept./Sept. Securities % Mutual funds and REITs (6.7%) Life insurance % Off-balance sheet savings % Demand deposits % Home purchase savings plans % Bonds (3.7%) Passbooks* % Time deposits (6.7%) On-balance sheet savings % TOTAL % Passbooks* o/w ( bn) Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 Mar. 17 Jun. 17 Sept. 17 Sept./Sept. Livret A % LEP (3.9%) LDD % * Including liquid company savings The interest rate on fixed-rate home loans 34 in the French market remained stable in the third quarter, averaging 1.56% in September. Renegotiations totalled 0.6 billion euros in the third quarter 2017, a decrease of -60% compared with the second quarter 2017 and -86% compared with the third quarter Since the start of 2017, renegotiated outstandings have declined steadily, from 2.1 billion euros in January to 0.2 billion euros in September In the first nine months, they totalled 6.9 billion euros, versus 11.9 billion euros in the whole year 2016 Lastly, early repayments are slowing, totalling 1.4 billion euros in the third quarter 2017, a decrease of -18% or -0.4 billion euros quarter-on-quarter. LCL Renegotiations and early repayments of home loans * Source: Crédit Logement; ** Source: Thomson Reuters/Datastream Results The change in the provision for home purchase savings plans is classified as a recurring specific item in LCL's financial statements. In the third quarter 2017, this item had an impact of +8 million euros on revenues and +5 million euros on net income Group share. In the third quarter 2016, the only specific item was the liability management operation, which had an impact of -187 million euros on net income Group share and -300 million euros on revenues. There was no change in the provision for home purchase savings plans. 34 Source: Credit Logement monthly observatory THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 34/103

35 The specific P&L adjustments made to reconcile and amounts and changes for the third quarter and first nine months 2017 and comparable data for 2016 are detailed in the appendix, p. 82. Excluding these specific items, LCL's net income Group share for the third quarter 2017 came to 137 million euros, a decrease of -12.3% compared with the third quarter The change was mainly due to the continued fall in renegotiations in the third quarter (0.6 billion euros) compared with the previous year (4.4 billion euros), a decrease of -86%. Revenues amounted to 841 million euros in the third quarter, a year-on-year decrease of -3.4%. This figure includes the positive impact of early repayment fees for +10 million euros and renegotiation fees for +4 million euros, a total of +14 million euros (versus +31 million euros in the third quarter 2016 and +27 million euros in the second quarter 2017). Re for these positive effects, which were down sharply in the third quarter of 2017, revenues proved resilient with a year-on-year decrease of -1.5%. The decline in interest income continues in a climate of interest rates which remain low, but fee and commission income accelerated in the third quarter, increasing by +6.4% year-on-year, driven by growth in account management and payment system fees and strong momentum in insurance. Fee and commission income represented 47% of revenues. Changes in detailed revenues ( m) Revenues ( m) Q3-15 Q4-15 Q1-16 Q2-16 Q3-16* Q4-16 Q1-17 Q2-17 Q3/Q3 Net interest income (9.2%) Home purchase savings plans (PEL/CEL) 4 (3) (17) N.S. Net interest income excl. HPSP (10.8%) Fee and commission Income % - Securities (1.6%) - Insurance % - Account management and payment instruments % N.S. TOTAL (2.5%) TOTAL excl. HPSP (3.4%) * Excluding adjustment of funding costs As reported in the first quarter of 2017, revenues had reached a historic low in the first quarter of 2016, before rising gradually in the following quarters (excluding home purchase savings plans), mainly due to renegotiation fees and early repayment fees. In the third quarter 2017, the base for comparison was extremely unfavourable as the third quarter 2016 delivered the highest level of revenues in the year, at 870 million euros. This was mainly due to a large volume of renegotiations, seven times as high as this quarter. Quarter-on-quarter, revenues were down -1.9% (return to a typical seasonal profile), of which 1.4 percentage points were due to the decrease in early repayment fees and renegotiation fees (+14 million euros versus +27 million euros in the second quarter 2017). THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 35/103

36 LCL Changes in revenues, from Q3-15 to (3) (17) Q3-15 Q4-15 Q1-16 Q2-16 Q3-16* Q4-16 Q1-17 Q2-17 Net interest income excl. HPSP Fee and commission Income Home purchase savings plans (PEL/CEL) * Excluding adjustment of funding costs Operating expenses totalled 595 million euros in the third quarter 2017, a slight year-on-year decrease of -0.7%. The cost/income ratio stood at 70.8%. Cost of risk was 45 million euros in the third quarter, a year-on-year decrease of -18.4%. It should be noted that a provision of -25 million euros was recognised this quarter to cover the consequences of Hurricane Irma. Despite this item, cost of risk remained well contained (17 basis points of outstandings). 35 In the first nine months 2017, LCL s net income Group share was 429 million euros, a year-onyear increase of +22.8%. The cost/income ratio stood at 69.7% (excluding the SRF contribution of 15 million euros), an improvement of 3.7 percentage points LCL contributed for 12% to Crédit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the third quarter 2017 and for 18% of revenues (excluding Corporate centre). At 30 September 2017, capital allocated to LCL was 4.1 billion euros and RWA totalled 43.4 billion euros. 35 Relative to consolidated outstandings, calculated on an average annualised basis over four rolling quarters THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 36/103

37 International retail banking (IRB) International retail banking encompasses the local banking networks in Italy, grouped under the name "Gruppo Bancario Crédit Agricole Italia", notably Cariparma, Friuladria and Carispezia, as well as all of the Group's retail banks abroad, mainly Crédit Agricole Poland, Crédit Agricole Ukraine, Crédit Agricole Egypte and Crédit du Maroc. Crédit Agricole Leasing Italy (Calit) was transferred from SFS/CAL&F to IRB Italy as of January International retail banking and income statement m Q3/Q3 9M/9M Revenues (2.1%) 1,864 1,864 (1.5%) Operating expenses (excl. SRF) (364) (364) +1.0% (1,090) (1,090) (0.4%) SRF & Italian rescue plan - - n.m. (18) (18) +80.0% Gross operating incom e (6.3%) (4.1%) Cost of risk (113) (113) +4.2% (325) (325) (6.7%) Net income on other assets (8) (3) n.m. (7) (2) n.m. Incom e before tax (15.2%) (2.8%) Tax (42) (44) (16.5%) (133) (135) (5.8%) Net Incom e (14.6%) (1.4%) Non controlling interests (28) (28) (12.2%) (85) (85) (4.0%) Net Incom e Group Share (15.6%) (0.3%) Cost/incom e ratio (%) 58.9% 58.9% +1.8 pp 58.5% 58.5% +0.7 pp The only specific items in the third quarter and first nine months 2017 were costs related to the acquisition of the three Italian banks in an amount of -5 million euros recognised in Gains or losses on other assets, i.e. an impact of -3 million euros on net income Group share. There were no specific items in In the third quarter 2017, IRB s net income Group share was 67 million euros, a year-on-year decrease of -15.6%. Underlying revenues were down -2.1% year-on-year, mainly due to the impact of the devaluation of the Egyptian pound in November Underlying operating costs were up +1.0% due to investment in Italy under the MTP. The cost/income ratio excluding SRF stood at 58.9%. In the first nine months 2017, net income Group share came to 209 million euros, a slight decrease of -0.3% compared with the first nine months The cost/income ratio excluding SRF was 58.5%, stable compared with the first nine months The cost/income ratio excluding SRF was 58.5%, stable compared with the first nine months IRB contributed 6% of Credit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the first nine months, and 13% of revenues on the same basis. At 30 September 2017, capital allocated to IRB was 3.3 billion euros and risk-weighted assets totalled 34.4 billion euros. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 37/103

38 International Retail Banking Geographical breakdow Outstanding loans by entity 8% 2%1% Italy 2% Poland 8% Morocco Egypt 79% Ukraine Other 8% Outstanding on-b/s deposits Q3-17 by entity 2% 8% 4% 1% 76% Italy Poland Morocco Egypt Ukraine Other Revenues by entity Italy 8% 4%2% Poland 7% Morocco 13% Egypt 67% Ukraine Other Italy, the Group s second largest domestic market after France, accounts for between two-thirds (revenues) and four-fifths (loans) of this business, followed by Ukraine and Egypt (8% to 10%). Although IRB Italy is only 76.5% owned by the Group (61.2% for Carispezia), it accounts for 62% of IRB s net income Group share. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 38/103

39 Retail banking in Italy (IRB Italy) International retail banking in Italy encompasses the Gruppo Bancario Crédit Agricole Italia networks, which operates under the Crédit Agricole, Cariparma, Friuladria and Carispezia brands. Crédit Agricole Leasing Italy (Calit) was transferred from SFS (CAL&F) to IRB-Italy as of January m IRB Italy and income statement Q3/Q3 9M/9M Revenues % 1,249 1, % Operating expenses (excl. SRF) (243) (243) +4.7% (716) (716) +3.3% SRF & Italian rescue plan (18) (18) +80.0% Gross operating income (2.3%) % Cost of risk (80) (80) +13.1% (239) (239) +0.4% Net income on other assets (8) (3) n.m. (8) (3) n.m. Income before tax (15.4%) (0.9%) Tax (28) (30) (19.8%) (90) (92) (7.4%) Net income Group share (15.1%) % Cost/income ratio excl. SRF* (%) 58.9% 58.9% +1.7 pp 57.3% 57.3% +0.4 pp Underlying: restatement in of costs related to the acquisition of the three Italian banks in an amount of -5 million euros recognised in Gains or losses on other assets, i.e. an impact of -3 million euros on net income Group share. See p. 82 Activity Business momentum remained strong in the third quarter At end-september 2017, customer savings totalled 64.2 billion euros, 36 a year-on-year increase of +4.8%. Growth in off-balance sheet savings excluding institutional assets under custody was particularly strong, with an increase of +9.4% to 30 billion euros. Deposits totalled 34.1 billion euros at end-september 2017, a year-on-year increase of +0.6% excluding the Calit scope effect. Loans outstanding were up +1.7% at end-september 2017 to 37.1 billion euros excluding the Calit scope effect, compared with +2.4% for the Italian market as a whole. 37 Growth continued to be driven by home loans, which increased by +9.9% year-on-year. Loans to large corporates increased by +2.8% year-on-year. IRB Italy Loans and customer savings outstanding Cariparma ( bn) Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 March 17 June 17 Sept. 17 Sept./Sept. Total loans outstanding % o/w retail customer loans % o/w SMEs and small businesses (5.9%) o/w Large corporates % On-balance sheet customer assets* (0.1%) Off-balance sheet customer assets** % Total assets ( bn) (34.7%) * pro forma the reclassification in Q3-16 of financial clients deposits from on-b/s deposits to market funding ** excluding assets under custody Results The only specific items in the third quarter and first nine months 2017 were costs related to the planned acquisition of the three Italian banks in an amount of -5 million euros recognised in Gains or losses on other 36 Excluding assets under custody of institutional clients 37 Source: ABI (Italian Banking Association) THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 39/103

40 assets, i.e. an impact of -3 million euros on net income Group share. There were no specific items in In the third quarter, IRB Italy's net income Group share was 41 million euros, a year-on-year decrease of -15.1% including Calit (+6% excluding Calit). Underlying revenues were 412 million euros, a year-on-year increase of +1.7%. Excluding the Calit scope effect, revenues were stable, with a good performance in fee income (+3.3% year-on-year), particularly in off-balance sheet customer savings. Underlying operating expenses excluding SRF totalled 243 million euros, a year-on-year increase of +4.7% due to investments related to the MTP (Promotori network, digital, IT expenses). The cost/income ratio excluding SRF for the third quarter stood at 58.9%, a 1.7 percentage-point increase year-on-year. Cost of risk increased by +13.1% to 80 million euros compared with the third quarter 2016 but decreased by -17% excluding Calit. Calit incurred an -18 million euros loss on the disposal of a portfolio of non-performing loans in its property activities. Cost of risk relative to outstandings came to 89 basis points, 38 down 12 basis points over one year (101 basis points in the third quarter 2016). This fall was due to an improvement in the quality of IRB Italy's portfolio, with a further -47% 39 decrease in new defaults in the third quarter compared with the same period of The impaired loans ratio excluding Calit stood at 12.4% 39 versus 13.1% at end-december 2016 and 13.4% at end-september The coverage ratio including collective reserves improved to 48% 39 versus 46.5% at end-december 2016 and 45.6% at end-september 2016 (+2.4 percentage points over one year). In the first nine months 2017, net income Group share was 131 million euros, including a contribution to the Single Resolution Fund (SRF) and the Italian bank bailout plan for -18 million euros, a year-on-year increase of +2.5%. The cost/income ratio excluding these items stood at 57.3%, a year-on-year slight increase of +0.4 percentage point. 38 Average loan loss reserves over last four rolling quarters, annualised 39 Excluding Calit THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 40/103

41 Other international retail banking (Other IRB) m IRB excluding Italy and income statement Q3/Q3 9M/9M n.m. Revenues (9.0%) (9.1%) Operating expenses (excl. SRF) (121) (121) (5.8%) (374) (374) (6.9%) Gross operating income (13.2%) (12.3%) Cost of risk (33) (33) (12.3%) (86) (86) (22.1%) Non controlling interests (12) (12) (18.2%) (35) (35) (15.6%) Net Income Group Share (16.4%) (3.2%) Cost/income ratio (%) 58.8% 58.8% +2.0 pp 60.8% 60.8% +1.4 pp Activity International retail banking excluding Italy (Other IRB) also delivered strong business momentum and a sustained financial performance this quarter. When expressed in euros, though, its performance was affected by a negative currency effect, mainly due to the devaluation of the Egyptian pound last November. On-balance sheet deposits totalled 10.5 million euros at end-september 2017, a year-on-year increase of +8%, 40 driven by strong growth in Poland (+10%) and Ukraine (+4%). Total customer assets increased by +13% 40 yearon-year to 11.8 billion euros. Loans outstanding stood at 9.9 billion euros at end-september 2017, a year-onyear increase of +6% 40. The surplus of deposits over loans (net of provisions) amounted to 1.3 billion euros at end-september IRB excluding Italy Customer assets and loans IRB Others ( bn) Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 March 17 June 17 Sept. 17 Sept./Sept. Total loans outstanding (3.4%) o/w retail customer loans (4.3%) o/w SMEs and small businesses (25.1%) o/w Large corporates % On-balance sheet customer assets (2.5%) Off-balance sheet customer assets % Total assets ( bn) (3.1%) Results There were no specific items in the third quarter or first nine months of either 2017 or Stated net income Group share is therefore the same as net income Group share. In the third quarter 2017, Other IRB's net income Group share was 26 million euros, a year-on-year decrease of -16.4% but an increase of +28% 40 excluding the currency impact. Revenues were down -9% year-on-year to 206 million euros, but up +9% 40 excluding the currency impact. Operating expenses were up +4% 35 over the same period. The cost/income ratio stood at 58.8%, an increase of +2 percentage points year-on-year. Cost of risk decreased by -12.3% year-on-year to -33 million euros and by -2% 40 excluding the currency impact. More particularly: 40 Excluding currency impact THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 41/103

42 - Egypt delivered strong revenue growth of +51% 40 excluding the currency impact, operating expenses contained to below inflation and controlled cost of risk despite the impacts of the devaluation on US dollar outstandings. - in Poland, revenues began to recover but there was a slight deterioration in cost of risk. - Ukraine delivered a further good performance with strong growth in local currency, mainly due to a sharp improvement in cost of risk. - Crédit du Maroc delivered a further decrease in cost of risk and +13% growth in net income, excluding the currency impact. In the first nine months 2017, Other IRB s net income Group share was 78 million euros, a decrease of -3.2% compared with the first nine months The cost/income ratio stood at 60.8%, a +1.4 percentage-point increase year-on-year. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 42/103

43 Specialised financial services (SFS) Specialised financial services business line includes consumer credit (CA Consumer Finance - CACF) and leasing and factoring activities (CA Leasing & Factoring - CAL&F). It should be noted that Crédit Agricole Leasing Italy (Calit) was transferred from SFS/CAL&F to IRB-Italy as of 1 st January There were no specific items in the third quarter or first nine months of either 2017 or Underlying net income Group share is therefore the same as net income Group share. m Specialised financial services and income statement Stated Q3/Q3 Stated 9M/9M Revenues % 2,050 2, % Operating expenses excl. SRF (337) (337) +2.3% (1,021) (1,021) +1.5% SRF - - n.m. (14) (14) +9.3% Gross operating income % 1,015 1, % Cost of risk (128) (128) (18.4%) (338) (338) (22.1%) Equity-accounted entities % % Net income on other assets (1) (1) n.m. (1) (1) (13.1%) Income before tax % % Tax (60) (60) +25.7% (205) (205) +33.7% Net income from discontinued operations (2) (2) n.m n.m. Net income % % Non-controlling interests (24) (24) +14.9% (88) (88) +28.3% Net income Group share % % Cost/Income ratio excl. SRF (%) 49.9% 49.9% -0.2 pp 49.8% 49.8% -1.4 pp Underlying: no specific items this quarter, therefore = In the third quarter 2017, SFS's net income Group share was 191 million euros, a year-on-year increase of +21.6%. The cost/income ratio excluding SRF stood at 49.9%, a 0.2 percentage point improvement year-on-year. In the first nine months 2017, net income Group share was 580 million euros, a year-on-year increase of +31.8%. The cost/income ratio excluding SRF was 49.8%, a 1.4 percentage point improvement compared with the first nine months SFS contributed 16% of Crédit Agricole S.A.'s net income Group share of the business lines (excluding Corporate centre) in the first nine months 2017, and 14% of revenues on the same basis. At 30 September 2017, capital allocated to SFS was 5.2 billion euros and risk weighted assets totalled 54.4 billion euros. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 43/103

44 Consumer finance (CACF) m CA Consumer Finance and income statement Stated Q3/Q3 Stated 9M/9M Revenues % 1,648 1, % Operating expenses excl. SRF (270) (270) +2.9% (811) (811) +2.1% SRF - - n.m. (8) (8) +3.9% Gross operating income % % Cost of risk (114) (114) (17.9%) (304) (304) (21.6%) Equity-accounted entities % % Net income on other assets (1) (1) x 98.1 (1) (1) (30.4%) Income before tax % % Tax (45) (45) +28.6% (158) (158) +41.2% Net income from discontinued operations (2) (2) n.m n.m. Net income % % Non-controlling interests (24) (24) +16.4% (88) (88) +29.1% Net income Group share % % Cost/Income ratio excl. SRF (%) 49.9% 49.9% +0.1 pts 49.2% 49.2% -1.5 pp Underlying: no specific items this quarter, therefore = Activity New business continues to grow, totalling +9.4 billion euros in the third quarter 2017, a year-on-year increase of +1.7%, driven mainly by a good performance from the car finance partnerships (+6.2%). The managed loan book increased by +7.1% year-on-year to 80.4 billion euros at end-september 2017, driven by sustained business momentum in the Group s banks (+10.5%) and the car finance partnerships. CACF Consumer finance gross managed loans ( bn) (1/2) +7.1% Other Crédit Agricole Group Car finance partnerships Consolidated loan book Sept. 16 Dec. 16** Mar. 17 Jun. 17 Sept. 17* (*) The geographical breakdown was 38% in France, 30% in Italy and 32% in other countries (**) Disposal of 380m of doubtful loans by Agos (consolidated loan book) in December 2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 44/103

45 CACF Consumer finance gross managed loans (2/2) ( bn) Sept. 15 Dec. 15 * Mar. 16 Jun. 16 Sept. 16 Dec. 16 * Mar. 17 Jun. 17 Sept. 17 Sept./Sept. Consolidated loan book % Car finance partnerships % Crédit Agricole Group % Other (21.0%) Total % O/w Agos (total managed loan book) (8.3%) * Disposal of doubtful loans by Agos for 579m in 2015 and for 380m in 2016 (consolidated loan book) Results There were no specific items in the third quarter or first nine months of either 2017 or Underlying net income Group share is therefore the same as net income Group share. In the third quarter 2017, net income Group share was 152 million euros, a year-on-year increase of +22.1%. Revenues amounted to 540 million euros, a year-on-year increase of +2.6%, driven by strong business momentum during the quarter. Operating expenses excluding SRF increased by +2.9% due to marketing expenditure (CA-Consumer Finance s new visual identity) and digital investment (Digi Conso 3.0 platform and development of electronic signatures). The cost/income ratio excluding SRF stood at 49.9%, almost stable compared with the third quarter Cost of risk was down sharply by -17.9% year-on-year in the third quarter. The cost of risk relative to outstandings 41 amounted to 116 basis points, down -18 basis points compared with the third quarter The contribution of equity-accounted entities was 68 million euros, an increase of +23.2% thanks to some excellent performances from partnerships this quarter. The decision was also taken not to renew the partnership with Ford Credit Europe (in the Nordic countries Forso). Consequently, Ford exercised its call on CA- Consumer Finance s interest in Forso and Forso s contribution to Crédit Agricole S.A. since the beginning of 2017 was transferred from Equity-accounted entities to Gains or losses on discontinued operations in the third quarter In the first nine months 2017, net income Group share was 474 million euros, a year-on-year increase of +36.8% driven by +8.5% growth in gross operating income (jaws effect of more than 3 points) and a -21.6% decrease in the cost of risk. Operating expenses included -8 million euros contribution to the Single Resolution Fund (SRF). The cost/income ratio excluding SRF stood at 49.2%, a +1.5 percentage point improvement year-on-year. 41 Average loan loss reserves over last four rolling quarters, annualised THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 45/103

46 Leasing & factoring (CAL&F) Crédit Agricole Leasing & Factoring (CAL&F) encompasses leasing business for corporate clients (operating assets and property) and factoring services. Crédit Agricole Leasing Italy (Calit) was transferred from CAL&F to IRB Italy as of 1 January m Crédit Agricole Leasing & Factoring and income statement Stated Q3/Q3 Stated 9M/9M Revenues % % Operating expenses excl. SRF (67) (67) (0.1%) (210) (210) (0.8%) SRF - - n.m. (6) (6) +18.6% Gross operating income % % Cost of risk (13) (13) (22.4%) (34) (34) (26.4%) Equity-accounted entities - - n.m. - - n.m. Net income on other assets 0 0 (85.5%) (0) (0) n.m. Income before tax % % Tax (15) (15) +17.6% (47) (47) +13.1% Net income from discontinued operations - - n.m. - - n.m. Net income % % Non-controlling interests 0 0 n.m. (0) (0) (88.0%) Net income Group share % % Cost/Income ratio excl. SRF (%) 49.8% 49.8% -1.8 pp 52.3% 52.3% -1.0 pp Underlying: no specific items this quarter, therefore = Activity The leasing book decreased by -9.6% compared with 30 September 2016 due to the transfer of Calit to Retail banking in Italy, i.e. 2.0 billion euros of leasing business at end At constant scope, the leasing book was up +3.6%, driven by strong business in the international markets (+13.4%, principally in Poland). Factored turnover increased by +7.4% compared with the third quarter 2016 to 17.4 billion euros, with new business of 2.1 billion euros during the quarter, a year-on-year increase of +16.3%. Crédit Agricole Leasing & Factoring Leasing book and factored receivables ( bn) Sept. 15 Dec. 15 Mar. 16 Jun. 16 Sept. 16 Dec. 16 Mar. 17 * Jun. 17 * Sept. 17 * Sept./Sept. Leasing portfolio (9.6%) incl. France % Factored turnover % incl. France % * Contribution of Crédit Agricole Leasing Italy transferred in IRB-Italy business line Results There were no specific items in the third quarter or first nine months of either 2017 or Underlying net income Group share is therefore the same as net income Group share. In the third quarter 2017, CAL&F's net income Group share was 39 million euros, a year-on-year increase of +19.6%. Revenues amounted to 135 million euros in the third quarter 2017, a year-on-year increase of +3.5%, driven mainly by growth in the leasing book in Poland and factored turnover in France. At constant scope, revenues were up +10.3%. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 46/103

47 Operating expenses excluding SRF were stable over the period at 67 million euros (-0.1%). At a constant scope, they were up +3.1%. The cost/income ratio excluding SRF for the third quarter stood at 49.8%, a 1.8 percentage point improvement year-on-year. Cost of risk was down -22.4% compared with the third quarter In the first nine months 2017, CAL&F s net income Group share was 105 million euros, a year-on-year increase of +13.0%. It included a -6 million euros contribution to the Single Resolution Fund (SRF). The cost/income ratio excluding SRF stood at 52.3%. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 47/103

48 Large customers (CACIB and CACEIS) The Large customers business line includes Capital markets, Investment banking, Structured finance and Commercial banking within Crédit Agricole Corporate & Investment Bank (CACIB) and Asset servicing (CACEIS). m Large customers and income statement Q3/Q3 9M/9M Revenues 1,236 1,250 (14.7%) 4,027 4, % Operating expenses excl. SRF (741) (741) +0.4% (2,284) (2,284) +1.4% SRF (138) (138) -6.9% Gross operating income (30.0%) 1,605 1, % Cost of credit risk n.m. (166) (166) (53.0%) Cost of legal risk (75) (75) +50.0% (115) (115) +15.0% Equity-accounted entities (21.8%) (3.9%) Tax (197) (201) x 2.1 (447) (487) +72.8% Net Income Group share (41.9%) 1,132 1, % o/w CIB (45.3%) 1,043 1, % o/w Asset Servicing % % Cost/income ratio excl. SRF (%) 59.9% 59.3% +8.9 pts 56.7% 55.1% -1.2 pp Underlying: re for accounting impacts (loan portfolio hedges, DVA), see p. 83 In the third quarter 2017, the Large customers business line delivered net income Group share of 397 million euros, a year-on-year decrease of -13.3%. Specific items 42 in the quarter were: - DVA (Debt Valuation Adjustment), recognised in CIB/Capital markets and investment banking: no change this quarter; - Loan portfolio hedges: -13 million euros in revenues and -9 million euros in net income Group share, recognised in CIB/Financing activities. - Disposal of a 16.2% interest in BSF (Banque Saudi Fransi) for +114 million euros in net income Group share, recognised in CIB/Financing activities. Re for these items, net income Group share for the Large customers business line amounted to 292 million euros, a year-on-year decrease of -41.9%. Results for this quarter include a nondeductible -75 million euros charge to non-specific legal provisions (-50 million euros in the third quarter 2016). In the first nine months 2017, net income Group share was 1,091 million euros, a year-on-year increase of +6.8%. This figure includes a non-deductible charge of -115 millions euro to non-specific legal provisions (-100 million euros in the first nine months 2016). The cost/income ratio excluding SRF stood at 55.1%, a 1.2 percentage-point improvement year-on-year. Specific P&L items for the first nine months 2017 and 2016 include the same recurring items as in the third quarter 2017 and 2016, plus the disposal of a 16.2% interest in BSF. Their pre-tax impact was +3 million euros for the first nine months 2017 and -59 million euros for the first nine months The specific P&L adjustments made to reconcile and amounts and changes for the third quarter and first nine months 2017 and comparable data for 2016 are detailed in the appendix, p. 83. Large customers contributed 30% of Crédit Agricole S.A.'s net income Group share of the business lines (excluding the Corporate centre) in the first nine months 2017, and 29% of revenues on the same basis. 42 See p. 74 for details of specific items in the third quarter of 2017 and 2016 and the first nine months of 2017 and 2016 THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 48/103

49 At 30 September 2017, capital allocated to Large customers was 10.5 billion euros, of which 6 billion euros for Financing activities, 3.7 billion euros for Capital markets and investment banking and 0.9 billion euros for Asset servicing. Risk-weighted assets totalled billion euros, of which 62.6 billion euros for Financing activities, 38.7 billion euros for Capital markets and investment banking and 9 billion euros for Asset servicing.. Corporate and investment banking (CIB) m Corporate and investment banking and income statement Underlying: re for accounting impacts (DVA, loan portfolio hedges), see p. 74 Q3/Q3 9M/9M Revenues 1,039 1,052 (17.9%) 3,426 3, % Operating expenses excl. SRF (589) (589) (0.4%) (1,827) (1,827) +1.0% SRF (138) (138) (0.5%) Gross operating income (33.0%) 1,461 1, % Cost of credit risk n.m. (166) (166) (53.0%) Cost of legal risk (75) (75) +50.0% (115) (115) +15.0% Equity-accounted entities (21.8%) (3.9%) Tax (185) (190) x 2.2 (409) (449) +80.1% Non-controlling interests (8) (5) (67.3%) (22) (21) (10.7%) Net Income Group share (45.3%) 1,043 1, % Cost/income ratio excl. SRF (%) 56.7% 56.0% +9.9 pts 53.3% 51.6% +2.9 pts In the third quarter 2017, CIB's net income Group share was 368 million euros. Excluding the specific items referred to above, net income Group share was 263 million euros, down -45.3% compared with the third quarter 2016 notably due to low volatility in the markets. It should be noted that the base for comparison is particularly challenging since the third quarter 2016 had a favorable post-brexit effect. Underlying revenues amounted to 1,052 million euros, a year-on-year contraction of -17.9%. THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 49/103

50 Corporate and investment banking revenues by business 4, % 4,142 9M/9M Fin Mkts Asset servicing Commercial banking and other Structured finance Investment banking Capital markets (14.7%) 1,465 1,493 1,399 1, ,207 1,252 1, Q1-16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Underlying: re for accounting impacts (DVA, loan portfolio hedges), see p. 74 Operating expenses totalled 589 million euros in the third quarter 2017, remaining stable compared to the third quarter The cost/income ratio excluding SRF stood at 56.0%. Cost of credit risk saw a net reversal thanks to the release of collective provisions this quarter (down -53.0% 9M/9M. Cost of risk to outstandings 43 for Financing activities remained low at 19 basis points, a year-on-year decrease of -12 basis points. Share of income from equity-accounted entities amounted to 46 million euros, a year-on-year decrease of -21.8% in the third quarter due to the disposal of a 16.2% stake in BSF during the quarter and an unfavourable currency effect. CIB's net income Group share comprises the contribution from Financing activities for 174 million euros (-15.3% year-on-year) and from Capital markets and investment banking for 89 million euros (-67.7%). In the first nine months 2017, net income Group share was 1,001 million euros, a year-on-year increase of +5.2%. This figure includes a charge of 115 million euros to non-specific legal provisions. The cost/income ratio excluding SRF stood at 51.6%. The specific P&L adjustments made to reconcile and amounts and changes for the third quarter and first nine months 2017 and comparable data for 2016 are detailed in the appendix, p Average loan loss reserves over last four rolling quarters, annualised THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 50/103

51 JULY 2017 JULY 2017 Financing activities m Financing activities and income statement Q3/Q3 9M/9M Revenues (10.7%) 1,671 1, % Operating expenses excl. SRF (220) (220) (5.6%) (693) (693) (0.5%) SRF (33) (33) (6.6%) Gross operating income (14.2%) % Cost of credit risk n.m. (173) (173) (50.4%) Cost of legal risk (38) (38) (25.0%) (58) (58) (23.3%) Equity-accounted entities (21.8%) (3.9%) Tax (149) (153) x 7.6 (267) (285) x 2.5 Non-controlling interests (6) (4) (26.1%) (16) (14) +4.7% Net Income Group share (15.3%) % Cost/income ratio excl. SRF (%) 43.5% 42.4% +2.3 pts 41.5% 40.2% +0.8 pts Structured finance delivered a -9% year-on-year decrease in revenues in the third quarter, to 276 million euros. They reflect a low demand for credit corresponding to the award criteria. However, aeronautical and rail financing activities resist. In the first nine months 2017, CACIB has also gained 1.7 percentage points of market share in the syndicated credit market in EMEA region, where it ranked no. 4 with 5.8% of the market at end- September In Financing activities, the average primary syndication rate under the Distribute to Originate model was 38% in the twelve months to September 2017, 5 percentage points more than at end-september 2016 and 11 percentage points more than at the end of 2013, the year in which this policy was intensified. Major deals completed by Financing activities during the quarter were: RENVICO France EUR Mandated Lead Arranger Financial Adviser EUROPCAR EUR 1,540,000,000 Bridge Facility & RCF Acquisition of Goldcar Global Coor dinator, MLA & Bookr unner, Facility Agent ASIA CUBE GLOBAL COMMUNICATIONS LTD Hong Kong HKD 7,137,000,000 Term Loan & Revolving Credit Facilities MLA & Bookrunner Commercial banking posted a -12% year-on-year decrease in revenues at 244 million euros in the third quarter. Revenues were affected by a sluggish syndication market, while funds financing and export business continued to grow. In the third quarter half of 2017, Financing activities as a whole delivered net income Group share of 280 million euros. Excluding specific items, i.e. loan portfolio hedges of -9 million euros and the disposal of a 16.2% in BSF for +114 million euros, net income Group share was 174 million euros, a year-onyear decrease of -15.3%. In the first nine months 2017, net income Group share was 646 million euros, a year-on-year increase of +12.0%. It included a -33 million euros contribution to the Single Resolution Fund (SRF). The cost/income ratio excluding SRF stood at 40.2%, stable year-on-year. The specific P&L adjustments made to reconcile and amounts and changes for the third quarter and first nine months 2017 and comparable data for 2016 are detailed in the appendix, p Bookrunner (source: Thomson Financial at 30/06/2017) THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 51/103

52 SEPTEMBER 2017 SEPTEMBER 2017 SEPTEMBER 2017 JUNE 2017 Capital markets and investment banking m Capital markets and investment banking and income statement Q3/Q3 9M/9M Revenues (23.9%) 1,755 1, % Operating expenses excl. SRF (369) (369) +3.0% (1,134) (1,134) +1.9% SRF (105) (105) +2.0% Gross operating income (52.2%) % Cost of credit risk 1 1 (94.9%) 7 7 n.m. Cost of legal risk (38) (38) n.m. (58) (58) % Tax (36) (36) (45.8%) (143) (164) +23.1% Non-controlling interests (2) (2) (85.6%) (6) (7) (30.1%) Net Income Group share (67.7%) % Cost/income ratio excl. SRF (%) 69.3% 69.3% pts 64.6% 62.4% +4.8 pts Revenues from Capital markets amounted to 462 million euros in the third quarter, down -28% year-on-year. Revenues were affected this quarter by low volatility impacting the business of Rate & Change. The Credit and Securitization business performed well. It should be noted that the third quarter 2016 was particularly active thanks to the post Brexit effect. However, capital markets revenues for the first nine months, which eliminates the differences in the quarterly profile between the two years, was up +3.8%, signalling a continued positive trend in this business. In the first nine months 2017, CACIB's ranks fourth in the world in the bond issuance on behalf of financial institutions, in euros. In green financing, CACIB remains global leader in Green bonds, with 45 deals in the first nine months. 45 Lastly, VaR was extremely low this quarter, at 6.6 million euros on average across the quarter. Investment banking achieved a very good performance this quarter with significant operations in all business lines. CACIB ranked fourth in the French M&A advisory market in the nine months 2017 with 30 deals completed during the period. Major mandates won by Capital markets and investment banking in the third quarter 2017 were: BELFIUS BANK EUR750,000, % Non-Preferred Senior Due 2022 JointBookrunner REPUBLIC OF FINLAND USD1,000,000, % Senior Unsecured Notes Due 2020 JointBookrunner SOFTBANK GROUP CORP EUR 1,500,000, % Senior Notes Due 2025 EUR 750,000, % Senior Notes Due 2029 USD 1,350,000, % Senior Notes Due 2024 USD 2,000,000, % Senior Notes Due 2027 JointBookrunner ACCIONA EUR EUR Perpetual Convertible Bond Sole Global Coordinator Joint-Bookrunner Convertible Bonds Bookrunne In the third quarter 2017, Capital markets and investment banking's net income Group share was 89 million euros. Excluding DVA (no change in the third quarter 2017 but -28 million euros in the third quarter 2016), net income Group share was 89 million euros, down -67.7% year-on-year. In the first nine months 2017, net income Group share was 356 million euros, a decrease of -5.3% compared with the first nine months The first nine months included a -105 million euros contribution to the Single Resolution Fund (SRF), DVA of -61 million euros and a non-specific legal provision charge of 57.5 million euros (-20 million euros recognised in the first quarter 2017 and million euros in the third quarter). The cost/income ratio excluding SRF was 62.4%. 45 Bookrunner all currencies (source: CACIB at 30/09/2017) THIRD QUARTER & FIRST NINE-MONTH 2017 RESULTS 52/103