Itaú CorpBanca Colombia Institutional Presentation

Transcription

1 Itaú CorpBanca Colombia Institutional Presentation June 2017

2 Agenda 1. Itaú Unibanco 2. Itaú CorpBanca 3. Itaú CorpBanca Colombia

3 Itaú Unibanco At a Glance Leading position in Brazil through key competitive strengths US$ 72.3 billion market cap 1 95,065 employees in Brazil and abroad 4,955 branches and CSBs in Brazil and abroad 46,572 ATMs in Brazil and abroad Brazilian multinational bank Major provider of finance for the expansion of Brazilian companies Among the best talent pool in the Brazilian financial system For the 13th consecutive time Itaú Unibanco was elected by the Interbrand consultancy the most valuable brand in Brazil (USD$ 8.5 billion in 2016) Global Footprint of Brazil s Top Private Sector Bank As of June 30, 2017 Financial Highlights and Ratios As of and for the quarter ended June 2017 Highlights Total Assets Total Loans (1) Stockholders Equity Recurring Net Income 2016 (2) Recurring Net Income 1Q17 (3) Long Term Foreign Currency (Itaú Unibanco Holding) Financial Ratios Recurring ROE 2016 (4) USD Bn USD Bn USD 35.8 Bn USD 6.7 Bn USD 1.9 Bn Moody s: Ba3 Fitch BB+ 20.3% Recurring ROE 1Q17 (5) Efficiency Ratio 4Q16 (6) Efficiency Ratio 1Q17 (6) BIS III CET I Ratio (7) 21.5% 44.8% 45.7% 14.7% (1) Includes endorsements and sureties. (2) Represents Net Income adjusted for certain non recurring events described, please refer to Historical Series Spreadsheet. (3) Represents Net Income adjusted for certain non recurring events described in the 2Q17 MD&A Executive Summary. (4) Calculated using Recurring Net Income / Average Equity. For annualized calculation method, please refer to Historical Series Spreadsheet. (5) Calculated using Recurring Net Income / Average Equity. For annualized calculation method, please refer to the 2Q17 MD&A Executive Summary. (6) See Efficiency Ratio slides for criteria. 3 1/ Source: Bloomberg. As of June 2017 Exchange rate of BRL 3,3082 / US$1 as of June 30, 2017

4 Itaú Unibanco Universal Bank¹ Approximately 28.7 million credit card accounts and 25.7 million debit card accounts; Leader in Brazilian credit card market, extensive number of joint ventures and partnerships with retailers branches and client service branches and ATMs in Brazil; Premier banking brand in Brazil; Strategically positioned for growth in mortgage market (partnerships with Lopes). Total portfolio for individuals of USD$ 4.3 billion; Lease and finance through over 12 thousand dealers; One of the largest players based on direct premiums; Association with Porto Seguro for auto and residential insurance; 2Q17 net income: USD$ million. Small and Medium Enterprises with annual sales up to USD$ 9 million; Itaú Unibanco Risk-based pricing model Leader in performance in Brazil Intensive use of technology Large distribution network Diverse lines of products and services Full coverage of corporate clients with annual sales above USD$ 60 million; Leadership in IB products with top positions in major league tables Treasury operations for the conglomerate Purpose: to be recognized as the bank expert in Latin America Presence in Latin America: Mexico, Colombia, Peru, Paraguay, Chile, Argentina, Uruguay. Corporate clients with annual sales from USD$ 9 million to USD$ 60 million. Total assets under administration of approximately USD$ 302 billion; Leader in Private banking services in Latin America. 4 1 As of June 2017 Exchange rate of BRL 3,3082 / US$1 as of June 30, 2017

5 Itaú Unibanco Global Footprint Itaú Unibanco has an important presence in key financial centers supported by a unique recognition and reputation We want to be recognized as: The bank expert in Latin America CIB London, Lisbon, Madrid, Paris, Frankfurt CIB NY, Cayman, Bahamas Institutional clients / Asset NY, Cayman Institutional clients / Asset London Private Banking Zurich Private Banking NY, Cayman, Bahamas, Miami CIB / Institutional clients / Asset Tokyo, Dubai, Hong Kong CIB Mexico CIB Brazil, Argentina, Chile, Peru, Colombia, Uruguay, Paraguay, Panamá Institutional clients / Asset Brazil, Argentina, Chile, Uruguay Private Banking Brazil, Chile, Paraguay Retail Banking Brazil, Argentina, Chile, Paraguay, Uruguay, Colombia, Panamá Highlights In line with our Latin America expansion strategy, and with a vision to create value and sustainable performance, in June 2015, the merger of Banco Itaú Chile and CorpBanca was approved by the shareholders of both institutions. In September 2015 the merger was approved by the Chilean regulator. The transaction creates an important platform for expansion and search for new business in the region. In Chile, it will allow us to move from the 7th to the 4th position in the ranking of the largest banks in terms of loans. On April 1st, 2016, the merger of operations between Banco Itaú Chile and CorpBanca was consummated ( Legal Day One ). 5

6 Itaú Unibanco Retail Footprint in Latin America June 2017 Mexico CIB Employees: 9 Colombia¹ Panamá Employees: 3,622 Branches and CSBs : 176 ATMs: 176 Peru Representative office IBBA Brasil Employees : 81,252 Branches and CSBs: 4,413 ATMs: 45,353 CIB Minorista Chile Employees : 5,966 Branches: 215 ATMs: 493 Argentina Employees : 1,665 Branches and CSBs : 87 ATMs: 178 Uruguay Paraguay Employees : 1,109 Branches and CSBs : 25 Points of Service OCA : 35 ATMs: 61 Employees : 802 Branches and CSBs : 39 ATMs: 311 Non-Bank Correspondents : 50 6 (1) Considers employees and branches from Panama.

7 Itaú Unibanco Evolution and Breakdown of Total Assets ,8 USD$ billions % Loans ¹ % Cash, Cash Equivalents and Short-term Interbank Deposits % Securities Q % 1.8% Other Permanent Securities Breakdown Loans Breakdown 2 Corporate Pension Plans Fund Quotas Domestic Government Bonds Corporate Securities Derivatives International Government Bonds LatAm SMEs Credit Cards Mortgage (includes individuals and companies) Payroll Loans to individuals + BMG Personal Loans Vehicles 7 (1) Net of Allowance for Loan Losses (2) Gross Loans, including endorsements and sureties Exchange rate of BRL 3,3082 / USD as of June 30, 2017

8 Itaú Unibanco Evolution and Breakdown of Funding Funding from Clients¹ Without CorpBanca With CorpBanca In USD$ millions Demand and savings Deposits Time Deposits + Debentures + Funds from Bills Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Assets under administration + Technical Provisions for Insurance Pension Plan and Premium Bonds Total funds from Clients + Interbank Deposits (1) Includes institutional clients in the proportion of each type of product invested by them. Ratio between Loan Portfolio and Funding 2 (USD Bn, %) % Funding (Maturity Breakdown) 95.6% 90.3% 85.5% 86.5% 89.0% 88.8% 88.9% 90.0% 89.8% % 78.3% 74.4% 74.4% 76.2% 75.4% 74.3% 74.6% 73.9% Over 365 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Funding from Clients Loan Portfolio/ Funding (4) Loan Portfolio (3) Loan Portfolio/ Gross Funding Reserve requirements and Cash (3) (2) Includes demand, savings and time deposits plus debentures, mortgage-backed notes, onlending, borrowings, funds from acceptance and issuance of securities abroad, net of reserve requirements and available funds; (3) The loan portfolio balance does not include endorsements and sureties. (4) Gross funding, ex-deductions of reserve requirements and cash and cash equivalents Exchange rate of BRL 3,3082 / USD as of June 30, 2017

9 Itaú Unibanco Recurring ROE Consolidated ROE / ROA 24.7% 24.7% 24.9% 24.9% 24.5% 24.5% 24.8% 24.8% 24.1% 24.1% 22.1% 22.1% 19.6% 20.6% 20.6% 19.6% 19.9% 19.9% 1.8% 1.8% 1.8% 1.8% 1.7% 1.7% 1.8% 1.8% 1.8% 1.8% 1.6% 1.6% 1.4% 1.4% 1.6% 1.6% 1.6% 1.6% 3Q14 3Q14 4Q14 4Q14 1Q15 1Q15 2Q15 2Q15 3Q15 3Q15 4Q15 4Q15 1Q16 1Q16 2Q16 2Q16 3Q16 3Q16 Annualized Recurring Annualized Return Recurring on Average Return Equity on Average (quarterly) Equity (quarterly) Annualized Recurring Annualized Return Recurring on Average Return Assets on Average (quarterly) Assets (quarterly) Brazil ROE ¹ 25.5% 25.5% 25.4% 25.1% 24.2% 22.8% 20.7% 21.1% 20.8% 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 Annualized Recurring Return on Average Equity (quarterly) 9 (1) Includes units abroad ex-latin America

10 Itaú Unibanco Efficiency and Risk-Adjusted Efficiency Ratios Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 Quarterly Efficiency Ratio (%) Quarterly Risk-Adjusted Efficiency Ratio (%) Trailing 12-month Efficiency Ratio (%) Trailing 12-month Risk-Adjusted Efficiency Ratio (%) Risk-Adjusted Efficiency Ratio = Non-Interest Expenses (Personnel Expenses + Administrative Expenses + Operating Expenses + Other Expenses) + Cost of Credit (Managerial Financial Margin + Commissions and Fees + Result of Insurance, Pension Plan and Premium Bonds Tax Expenses for ISS, PIS, Cofins and Other Taxes) 10

11 Itaú Unibanco Information Technology Total number of transactions Share of transactions per channel Standard Channels 1 Electronic Remote Channels 2 Branches ATM Telephone Internet Mobile 11 (1) Standard channels: Branches, ATM, Telephone. (2) Electronic Remote Channels: Mobile and Internet

12 Agenda 1. Itaú Unibanco 2. Itaú CorpBanca 3. Itaú CorpBanca Colombia

13 Itaú CorpBanca Highlights We are the 4th largest private bank in Chile and the 5th 1 banking group in Colombia Regional footprint & main indicators June 30, Itaú CorpBanca 2 3 Itaú (Panamá) Assets: US$ 0.6 BN Headcount: 48 Itaú CorpBanca Colombia Assets: US$ 9.8 BN Headcount: 3,604 Branches: 176 US$ 4.7BN 4 Market Cap US$ 43.6BN Assets US$ 31.6BN Loans Market share % Itaú CorpBanca Chile Assets: US$ 33.2 BN Headcount: 5,958 Branches: 214 9,610 Headcount # 390 Branches # US$ 58.5BN 3 Recurring Net Income , , US$ 74.6BN 3 Recurring Net Income 2Q % Recurring RoTAE % Recurring RoTAE 9 2Q17 RoTAE RoTAE 6.2% -7.9% 13.4% 1.3% 13 1 For assets and loans, rankings consider Grupo Aval as the combination of Banco de Bogotá, Occidente, Popular, AV Villas; 2 Consolidated information as of June 30, 2017; 3 Figures were converted at an exchange rate of CLP/USD; 4 As of August 11, 2017; 5 As of June 30, 2017; 6 As of May 31, 2017; 7 Considers employees of New York as of June 30, 2017; 8 Considers Colombia and Panamá as of June 30, 2017; 9 Tangible Equity: Shareholders equity net of goodwill, intangibles from business combination and related deferred tax liabilities. Source: SBIF

14 Itaú CorpBanca Relevance in LatAm and South America Itaú CorpBanca is currently the 4th largest private bank in Chile. The merger positions Itaú CorpBanca and Itaú LatAm as the 3rd largest bank in terms of assets within South America (ex-brazil) Banks by Assets in Latin America 1 Banks by Assets in South America (ex-brazil) 5 US$ BN US$ BN Itaú Unibanco Banco do Brasil Caixa Bradesco Santander BBVA Citibank Scotiabank Banco del Estado de Chile Itaú CorpBanca Santander BBVA Itaú LatAm Banco del Estado de Chile Grupo AVAL Banco de la nación Argentina Banco de Chile Bancolombia BCI Itaú CorpBanca US$ BN 7 Loan Portfolio as of June 2017 Itaú CorpBanca represents 22% of Itaú Unibanco s consolidated loan portfolio 7 Itaú Unibanco's Loan Portfolio 8 Itaú CorpBanca's Loan Portfolio 14 1 Data as of March 31, Includes Brasil, México, Argentina, Perú, Chile and Colombia; 2 Includes Brasil, México, Argentina, Perú, Uruguay, Paraguay, Venezuela, Chile y Colombia; 3 In September 30, 2016 Bradesco begins to consolidate HSBC Brasil in its publication; 4 Includes Chile y Colombia (Itaú CorpBanca Chile with ~US$33MMM in assets); 5 Data as of March 31, Includes Argentina, Perú, Chile y Colombia; 6 Includes Argentina, Perú, Uruguay, Paraguay, Venezuela, Chile y Colombia; 7 Considering the consolidated loan portfolios of Itaú Unibanco and Itaú CorpBanca reported in their respective 2Q 17 MD&As and a R$ / US$ and a Ch$ / US$ foreign exchange rates as of ; 8 As of June 30, 2017, Itaú Unibanco held a 35.71% equity stake in Itaú CorpBanca but as the controlling shareholder, fully consolidates Itaú CorpBanca s Financial Statements. Source: Central Banks, local regulators, companies filings, Itaú CorpBanca.

15 US$BN Introduction Shareholders Structure after Merger Shareholders - % Total share capital July 31, th largest Market Cap among Peers August 11, 2017 ITAÚ CORPBANCA Total shares: 512,406,760,091(100%) #4 Itaú Unibanco Saieh Family 1 IFC Others 35.71% 31.00% 3.32% 29.97% 7.68 ADRs holders and Foreign investors 10.84% Securities Brokerage 8.69% Santo Domingo Group 1.92% Insurance Companies 1.07% AFPs 0.52% Other minority shareholders 6.93% Includes 182,125,023 shares owned by Cía. Inmobiliaria y de Inversiones Saga SpA that are under custody. PEER-A PEER-B PEER-C ITAUCORP PEER-D 15 Note: Figures were converted at an exchange rate of Ch$ US$1 (as of August 11, 2017). Source: Itaú CorpBanca & Santiago Stock Exchange.

16 Introduction Strong and integrated Corporate Governance Board Chile Itaú CorpBanca CEO Milton Maluhy Audit Committee CAE Emerson Bastián CFO Gabriel Moura CRO Mauricio Baeza Treasury Pedro Silva Marketing & Products Rogério Braga Colombia Álvaro Pimentel Wholesale Christian Tauber Retail Julián Acuña Human Resources Marcela Jiménez Legal & Compliance Cristián Toro IT & Operations Luis Rodrigues 3 Board Colombia Chairman Milton Maluhy Itaú CorpBanca Colombia CEO Álvaro Pimentel CFO María C. Vandame CRO Edson Da Silva Treasury Derek Sasoon Communic. & Institut. Relat. Carolina Velasco Franchise, Products & Digital Luciana Hildelbrandi Wholesale Jorge Villa Retail Claudia Vélez Human Resources TBD Legal & General Secretary Dolly Murcia IT Lilian Barrios Operations Liliana Suárez Ricardo Villela Marino Board Chile 1 2 Chairman Jorge Andrés Saieh Guzmán Eduardo Mazzilli de Vassimon Boris Buvinic Guerovich Andrés Bucher Cepeda Pedro Samhan Escandar Fernando Concha Ureta Jorge Selume Zaror Fernando Aguad Dagach Gustavo Arriagada Morales Bernard Pasquier Roberto Brigard Holguín Luis Fernando Martínez Lema Carmiña Ferro Iriarte Rafael Pardo Soto Board Colombia Chairman Milton Maluhy Juan Echeverría González Gabriel Moura Rogério Braga Mónica Aparicio Smith Matrix reporting to CEO Colombia and functional reporting to ITCB Functional reporting to CEO Colombia and matrix reporting to ITCB for coordination of specific themes Itaú Unibanco and CorpGroup appoint the majority of the members of the board of directors; 2- Pursuant to the Shareholders Agreement, the Directors appointed by Itaú Unibanco and CorpGroup shall vote together as a single block according to Itaú Unibanco s recommendation. 3- Responsible for the technological integration process in Colombia

17 Ratings Improvements will contribute to lowering cost of funds Current International Ratings Financial Capacity Moody's S&P Rating Scale Rating Scale LT ST LT ST Timeline S&P Extremely strong Aaa AAA A+ A+ A+ Very strong Aa1 Aa2 Aa3 P-1 AA+ AA AA- A-1+ A A- A- A- A A A Strong A1 A+ A2 A A-1 BBB+ BBB+ BBB+ BBB+ Adequate A3 Baa1 Baa2 Baa3 P-2 P-3 A- A-2 BBB+ +3n +1n BBB A-3 BBB- BBB BBB 17 Source: Itaú CorpBanca, Moody s, S&P

18 Agenda 1. Itaú Unibanco 2. Itaú CorpBanca 3. Itaú CorpBanca Colombia

19 Itaú CorpBanca Colombia Our History In the last years we have had interesting experiences and learned to know people, their tastes, their customs and their dreams. After one century Itaú arrives to Colombia, we are working in having a bank made for you. Change in the controlling Shareholder, Introduction of Itaú brand and acquisition of Assets and Liabilities from Itaú BBA 1 Footprint Assets: USD 10,2 Bn # Headcount: # Branches: 176 Acquisition of Helm Bank and its subsidiaries Acquisition of Santander and brand change: Banco CorpBanca Footprint 2012 Assets: USD 3,0 Bn. Headcount: # Branches: 82 Footprint Assets: USD 9,3 Bn. # Headcount: # Branches: 170 Banco Santander in Colombia Highlights 2011 Assets: USD 2,6 Bn. # Headcount: # Branches: Source: Itaú CorpBanca Colombia, 1. Itaú CorpBanca Colombia acquired the Assets and Liabilities from Itaú BBA Colombia at their book value. Transaction approved by the SFC on April Assets book value of COP 398 thousand millions and Liabilities book value of COP 84.5 thousand millions as of February Numbers as of June Helm CorpBanca Legal merger took place on June 2014

20 Itaú CorpBanca Colombia Highlights Bank #6 in Colombia, with over 485 thousand clients1 and presence in 30 locations in Colombia and one in Panama. Itaú CorpBanca Colombia s Footprint as of June 30, 2017 MS: 5,3% 2 #Player: 6 TIER I: 9,28% Total Capital Ratio: 12,72% NPLs 30-days: 3,6% Net Inc. FY16: USD~ -49,68 MM Net Inc. 2Q17: USD~ -21,46 MM USD$ 10BN Assets USD$ 7BN Gross Loans 485M Clients # Headcount # 2 Two brands in Colombia 176 ATMs # 176 Branches # 20 Source: Itaú CorpBanca Colombia, Exchange rate of COP 3038,26 per 1 USD as of June 30, : Depuration in the number of accounts due to the technologic migration process. 2. Bank and subsidiaries. includes Panamá

21 Itaú CorpBanca Colombia Shareholders Structure On May 22 nd 2017 the Itaú brand was introduced in Colombia. The Bank and it s subsidiaries changed their legal names. Shareholders Structure Financial Group in Colombia Itaú CorpBanca en Chile CorpGroup Helm Minority Itaú CorpBanca Colombia Itaú Corredor de Seguros 66.28% 12.36% 20.82% 0.54% 94.0% 94.5% 95.0% 100% Itaú CorpBanca Colombia Itaú Fiduciaria Itaú Securities Services Itaú Comisionista de Bolsa Itaú (Panamá) 1 100% Itaú Casa de Valores (Panamá) 21 Source: Itaú CorpBanca Colombia 1 Itaú (Panamá) has International License

22 Itaú CorpBanca Colombia Risk Ratings Itaú CorpBanca Colombia has an Investment Grade rating of BBB-, and two local ratings in Colombia: one AAA and one AA+ FITCH S&P Moody s Colombia Sovereign BBB / Stable Mar./2017 BBB / Negative Jan./2017 Baa2 / Stable May./2016 Banco CorpBanca Colombia IDR (Issuer Default Rating) BBB- / Negative Apr./2017 Banco CorpBanca Colombia National, Long-Term AA+ / Negative Apr./2017 AAA / Stable Mar./2017 Banco CorpBanca Colombia National, Short-Term F1+ Apr./2017 BRC 1+ Mar./2017 Fitch s sustains its rating downgrade in national scale on the deterioration in loan-portfolio quality and profitability. Fitch includes a Target Profit to regain Stable outlook. AA+ Banks in Colombia: Sudameris, Finandina, Procredit 22 Source: Itaú CorpBanca Colombia, rating agencies, FitchRatings, INC

23 Itaú CorpBanca Colombia Net Interest Margin Taking into account the downward cycle of the interest rates from the Central Bank at the end of 2016, where the reference rate dropped by 150 bps in 1H17, the Bank s NIM has increased 50 bps. NIM (%) 1 5, Average NIM , Average NIM 4,4 1H17 Average NIM jun-15 jul-15 aug-15 sep-15 oct-15 nov-15 dec-15 jan-16 feb-16 mar-16 apr-16 may-16 jun-16 jul-16 aug-16 sep-16 oct-16 nov-16 dec-16 jan-17 feb-17 mar-17 apr-17 may-17 jun-17 NIM CenBank Rate Loans and Deposits Implicit Rates (%) 13% 12% 11% 10% 9% 8% 7% 6% 5% 4% 3% jun-15 jul-15 aug-15 sep-15 oct-15 nov-15 dec-15 jan-16 feb-16 mar-16 apr-16 may-16 jun-16 jul-16 aug-16 sep-16 oct-16 nov-16 dec-16 jan-17 feb-17 mar-17 apr-17 may-17 jun-17 11,79 7,88 7,06 6,25 5,32 Loans Bonds TDs CenBank Savings 23 Fuente: Superintendencia & Itaú CorpBanca Colombia 1 NIM Loans Interest Deposits Interest expenses / Gross Loans. Includes the cost of bonds, rediscounted loans and foreign currency loans. Annualized monthly NIM

24 Itaú CorpBanca Colombia Loan Provisions The Bank made relevant LLPs on 4Q16. In 2017 the expense returns to previous levels, ending with a Ratio of LLP / Gross Loans equal to the average of Banks LLP Expense / Gross Loans (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks Risk Indicator = Allowance for Loan Losses / Gross Loans (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks 24 Source: Superintendencia & Itaú CorpBanca Colombia 1. Quarterly Expense

25 Itaú CorpBanca Colombia Credit-Risk Ratios 2017 shows an increase in the loan-portfolio quality of the average of banks, in NPLs as well as B,C,D,E Loans. Itaú CorpBanca maintains better quality and coverage levels than the total banks for NPLs. The system increased its B, C, D, E Loans decreasing the gap with Itaú CorpBanca. NPLs 30 days (%) B, C, D, E Loans / Gross Loans (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks Itaú CorpBanca Total Banks Coverage (%) 1 B, C, D, E Loans Coverage (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks Itaú CorpBanca Total Banks 25 Source: Superintendencia & Itaú CorpBanca Colombia, 1: Loan Loss Provisions / Past Due loans above 30 days

26 Itaú CorpBanca Colombia Loan-portfolio quality by type The Bank has been no stranger to the increase in the loan-portfolio quality of the Financial system in Colombia. Still, it maintains levels of past due loans above 30 days, below those of the average of total banks. Commercial >30 days (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks Consumer >30 days (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks Mortgage >30 days (%) Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Itaú CorpBanca Total Banks 26 Source: Superintendencia & Itaú CorpBanca Colombia 1. Includes past due payments from 1 to 4 months

27 Itaú CorpBanca Colombia Funding Evolution In 2017 The Bank mantains its funding structure with 62% in time deposits and bonds. The proportion of value at risk on the capital adecuacy ratio has decreased. The Bank is using hedges as an instrument to reduce risk. Funding Mix (%) 7% 7% 7% 8% 8% 10% 12% 12% 12% 42% 42% 40% 40% 49% 53% 51% 53% 50% Checking Savings TDs 39% 42% 44% 43% 36% 30% 28% 27% 31% Bonds 11% 9% 9% 9% 8% 8% 8% 8% 7% Jun-15 Sep-15 Dic-15 Mar-16 Jun-16 Sep-16 Dic-16 Mar-17 Jun-17 VaR weight on capital adequacy ratio (USD millions, %) % 0.99% 1.30% 1.37% 0.90% 0.91% 1.30% 0.99% 1.23% 1.28% 0.89% 0.86% 0.93% 0.73% 1.09% 1.12% 0.90% 0.90% VAR Ratio Itaú CorpBanca Ratio Banks Jun-15 Sep-15 Dic-15 Mar-16 Jun-16 Sep-16 Dic-16 Mar-17 Jun Source: Superintendencia & Itaú CorpBanca Colombia, 1 Total Capital Adequacy ratio minus capital adequacy ratio without VaR. Exchange rate of COP 3, / US$1 as of June 30, 2017

28 Itaú CorpBanca Colombia Term Deposit Certificates As of June 2017 The Bank has TDs for USD $3.547 million where 53% of them have duration of 18 months or more. The average duration for The Bank s TDs went from 0,5 years to 0,8 years between June 2016 and June As of June, the System shows a similar composition where 50% of the TDs have a duration over 1,5 years. TDs by duration - Itaú (%, USD billion) TDs by Duration Banks (%, USD billion) June 2017 June 2016 June 2017 June % 16% 17% 18% 53% $3,5 17% 39% $3,7 50% $48,4 18% 45% $40,0 28% 19% 17% 15% 13% 23% Less than 6 months From 6 months and less than 12 months From 12 months and less than 18 months 18 months or more Less than 6 months From 6 months and less than 12 months From 12 months and less than 18 months 18 months or more 29 Source: Superintendencia & Itaú CorpBanca Colombia Exchange rate of COP 3, / US$1 as of June 30, 2017

29 Itaú CorpBanca Colombia Funding mix and Loan Portfolio The Bank s funding mix has a greater share of term deposits and bonds compared to that of the total banks, showing convergence of its liquidity indicators towards Basel III. In the composition of loans by type The Bank is similar to the average of the system. At the moment The Bank s focus in terms of Loan Portfolio is profitability more than growth in market share. Funding Mix (USD Bn,%) Gross Loans by type (USD Bn,%) Itaú CorpBanca Jun/17: 7,1 Bn Growth 2016/2017: -6,0% Itaú CorpBanca Jun/17: 7,1 Bn Growth 2016/2017: +0% TDs 50% -4,1% Commercial 66% -0,6% Savings 31% -18,9% Consumer 23% -0,8% Bonds 12% +48,7% Mortgage 11% +6,1% Checking 7% -12,0% Microloans 0% Banks Jun/17: 132,3 Bn Growth 2016/2017: +11,4% Banks Jun/17: 133,2 Bn Growth 2016/2017: +10,0% TDs 37% +25,7% Commercial 57% +9,4% Savings 40% +0,7% Consumer 27% +10,8% Bonds 11% +11,8% Mortgage 13% +11,2% Checking 12% +4,3% Microloans 3% +6,8% 30 Source: Superintendencia & Itaú CorpBanca Colombia Exchange rate of COP 3, / US$1 as of June 30, 2017

30 Itaú CorpBanca Colombia Loan Portfolio 4% 3% 3% 7% 38% 11% Loans by Segment 1 As of June 2017 the bank has 7 customer segments 33% 38% 33% 11% 7% Corporate Individuals Medium Enterprises Small Enterprises 4% Construction 3% Institutional 3% Private Banking 31 Source: Itaú CorpBanca Colombia 1. Gross Loans

31 Itaú CorpBanca Colombia Liquidity Itaú CorpBanca strengthened its liquidity management, sufficiently fulfills regulatory indicators and maintains a ratio of Net Loans over Funds below one. The Bank manages its liquidity under Basel III standards with an LCR above 100% Liquid Coverage Ratio - IRL 30 days - (USD Bn) 600% 550% 500% 450% 400% 350% 300% 250% 200% 150% 100% 8/1/16 7/2/16 8/3/16 7/4/16 7/5/16 6/6/16 6/7/16 5/8/16 4/9/16 4/10/16 3/11/16 3/12/16 2/1/17 1/2/17 3/3/17 2/4/17 2/5/17 1/6/17 1/7/17 440% Ratio between Loan Portfolio and Funding (%, USD billion) % 97.0% 89.2% 92.2% 90.3% 95.1% 93.7% 96.1% 95.0% Net Loans Deposits Ratio Jun-15 Sep-15 Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun Source: Itaú CorpBanca Colombia, 1: Funding: Savings and Checking accounts, Term Deposit and Bonds Exchange rate of COP / US$1 as of June 30, 2017

32 Itaú CorpBanca Colombia Capital Ratios Itaú CorpBanca shows a Regulatory Capital above required levels with a Tier 1 of 9,3% (regulatory minimum of 4,5%). As of March 2017 Itaú CorpBanca has a consolidated regulatory capital ratio close to that of its peers. Non-consolidated regulatory capital ratio Jun/17 (USD MM, %) Consolidated regulatory capital ratio Mar/17 1 (%) 12,7% 21.3% 1, ,3% ,068 Non- Consolidated 16.8% 13.5% 12.8% 15.5% 779 Tier1+Tier2 Consolidated 14,5% 13,9% 12,9% 12,4% 12,3% Tier 1 Consolidated 10.5% 9.2% 10.6% 9.2% 8.1% Tier 1/ Deductions Good will Tier 1 Subordinated Debt Other Regulatory Capital Bancolombia Bogotá Occidente Itaú Davivienda 33 Source: Superintendencia & Itaú CorpBanca Colombia Exchange rate of COP 3038,26 / US$1 as of June 30, : Source: Annual reports of each bank.

33 Itaú CorpBanca Colombia P&L 1H2017 and Profitability Ratios On 1H17 the bank shows losses of USD 21 million. However, the NIM increases 10%. A lower result on Derivatives and Portfolio Income is registered given a non recurring sale 1 on 1H16 and a different risk profile aligned with Itaú s standards. The expenses are impacted by the fiscal reform with higher VAT and income tax and the change of brand. Net Income Jun (USD millions) ,2 4, Annual Growth Interest Income from Loans and Leases Interest Expense Derivatives and portfolio income Net Commissions and fees Net LLP Administrative expenses Personnel expenses Other Expenses Taxes Net Income +6% +3% -57% -6% +14% +16% +20% +26% -72% -173% ROE & ROA (%) Dec-16 Mar-17 Jun ROE ROA Dic-15 Mar-16 Jun-16 Sep System 2 35 Source: Itaú CorpBanca Colombia 1 Sale of CIFIN (credit bureau) months net Income over 12 months average of equity and assets Exchange rate of COP 3038,26 / US$1 as of June 30, 2017

34 Itaú CorpBanca Colombia Institutional Presentation June 2017