Company presentation. June 30, 2015

Transcription

1 Company presentation June 30, 2015

2 Short profile of WL BANK Established in 1877 National and international Pfandbrief bank with a balance sheet total of approx. EUR 38 billion Head office in Münster (Westphalia), representative offices in Berlin, Düsseldorf, Hamburg and Munich as well as distribution offices in Frankfurt on the Main and Heidelberg Subsidiary services provider for the Volksbanken Raiffeisenbanken cooperative financial services network along the entire value chain of the Pfandbrief bank Member of the BVR (Bundesverband der Deutschen Volksbanken und Raiffeisenbanken = central organisation of the cooperative banking association) and its protective scheme since 1 January 1995 Competence centre for Pfandbrief business, real estate financing and public sector clients Responsibility for public sector clients within the WGZ BANK Group WL BANK was awarded Prime investment status by oekom research AG in 2012 and successfully participated in the sustainability rating of imug Beratungsgesellschaft for social-ecological innovations. 1

3 Short profile of WL BANK Business areas WL BANK Customer business Real Estate Loan Business Public Sector Business Business with the cooperative financial services network (residential and commercial construction) Institutional housing sector Funds, investors (commercial/ residential/ syndicate) Pfandbrieftreasurygeschäft Treasury Business Public sector clients 2

4 Short profile of WL BANK Strategic objectives Customer business Real estate Financial Group Direct business Private clients Investors Funds/Investorsnvestors Institutional housing sector Germany Public sector clients Financial Group Direct business Pfandbrief treasury business Regulation, (over-)collateralisation requirements and liquidity management Germany Abroad 3

5 Short profile of WL BANK Shareholder structure as of June 30, ,618% 4,465% WGZ BANK Stiftung Westfälische Landschaft* 95 Volksbanken/Raiffeisenbanken 90,917% * The foundation Stiftung Westfälische Landschaft was established in 1987 in the wake of the transformation of former Bodenkreditbank Westfälische Landschaft into WL BANK. The foundation in a way preserves the rural heritage of Westfälische Landschaft, which was originally founded by farmers. According to its statutes, the purpose of the foundation is to serve the wellbeing and the efficiency of the rural areas while promoting the general interests of agriculture and forestry to the benefit of society as a whole. A Domination and Profit-/Loss-Transfer Agreement exists between WGZ BANK and WL BANK. In December 2013 the equity capital waiver was reported towards the supervisory authority. 4

6 WL BANK's business development Ratings Standard & Poor's Fitch* Public sector Pfandbriefe AAA - Mortgage Pfandbriefe AAA - Long-term liabilities AA- AA- Short-term liabilities A -1+ F1+ Outlook stable stable Financial strength - aa- Support - 1 Sustainability ratings oekom (research) imug Status: Prime Public Sector Pfandbriefe: positive Mortgage Pfandbriefe: neutral Unsecured bonds: neutral * Fitch: All members of the Volksbanken Raiffeisenbanken cooperative financial network per March 24,

7 WL BANK's business development Portfolio customer business (EUR million) June 30, 2015* Public sector business Real estate loan business *The special quota of short-term loans for liquidity management of the benchmark maturity on 1 September 2015 is not included. 6

8 WL BANK's business development Securities and promissory note loan business (EUR million) 18,652 Foreign Domestic ,321 Foreign Domestic 12,629 Foreign 10,653 Foreign Domestic Domestic Domestic Domestic Domestic Domestic Foreign Foreign Foreign Foreign June 30,

9 WL BANK's business development Balance sheet total (EUR million) June 30,

10 WL BANK's business development New commitments customer business, commitment volume (EUR million) 2.637, , , , , ,4 497, June 30, 2015 Real estate loan business Public sector business 9

11 WL BANK's business development Extract of profit and loss (EUR million) 79,0 81,2 93,7 63,0 47, ,2 34,9 43,1 39,2 16,7 21,7 6,7 4,3 4,3 2, June 30, 2015 Net interest income and comission Operating results after risk provision/result on financial investments Operating results before risk provision/result on financial investments Net profit of the year (before profit transfer) dividend 10

12 WL BANK's business development Key data / profitability (in %) Cost-Income-Ratio (incl. european bank levy) Cost-Income-Ratio (without european bank levy) Return on equity before tax** June 30, 2015 / / / Core capital ratio Aggregated capital ratio ** before allocation to reserves pursuant to 340f / 340g of the German Commercial Code (HGB) 11

13 Real estate loan business Portfolio of real estate loans, utilisation as of June 30, 2015 Total: EUR 18.7 billion* 15,1% Commercial objects Residential objects 84,9% * including undrawn commitments of EUR 1.9 billion 12

14 Real estate loan business Real estate loan portfolio structure, distribution of real estate loans by federal states (EUR million) Federal state /06/2015 % Real estate loan protfolio* 15, , , ,859.0 of which real estate loans (%) Baden-Württemberg Bavaria 1, , , , Berlin 1, , , , Brandenburg Bremen Hamburg Hesse Mecklenburg-Western Pomerania Lower Saxony , , , North Rhine-Westphalia 6, , , , Rhineland-Palatinate Saarland Saxony Saxony-Anhalt Schleswig-Holstein Thuringia Foreign countries (EU) Total 14, , , , * including undrawn commitment 13

15 Real estate loan business Portfolio of real estate loans, residential property as of June 30, 2015 Total: EUR 15.9 billion* 6,6% Multi-storey housing 34,6% 58,8% Owner-occupied houses Owner-occupied flats Share within 60 % LTV Average loan amount Residential objects 91.2 % k EUR * including undrawn commitments of EUR 1.8 billion 14

16 Real estate loan business Portfolio of real estate loans, commercial property as of June 30, 2015 Total: EUR 2.8 billion* 7,6% 1,4% Distribution centres/warehouses 42,0% Office/administrative buildings Other buildings used for commercial purpose Hotels/restaurants 48,6% Factory buildings (0,4 %) Share within 60 % LTV Average loan amount Commercial property 89.5 % 1,960.4 k EUR (2,141.0 k EUR*) *without agricultural loans * including undrawn commitments of EUR 0.1 billion 15

17 Real estate loan business distribution by rating classes (EUR million), June 30, 2015 Volume share in rating classes 1A - 2A: 94 % BVR-master scale Ratingclass PD in % no new business as from rating class 2D A-0E 1A 1B 1C 1D 1E 2A 2B 2C 2D 2E 3A 3B 3C 3D 3E 4A-4E S&P: AAA - A+ A - A- A- - BBB- BB+ - BB- < B+ Real estate loan Personal loan Total volume in EUR m * Rating classes 0A - 0E are exclusively customers with the highest creditworthiness (countries, federal states, regional authorities and banks) 0A B C D E A B C D E A B C D E A B C D E A-4E

18 Real estate loan business Risk profile of real estate loans, number of pending foreclosure sales In concrete figures December 30, 2014 June 30, 2015 Pending foreclosure sales Claims (in EUR million) Number of mortgage loans serving as cover: 74,644 In % of mortgage loans serving as cover December 30, 2014 June 30, 2015 WL BANK

19 Public sector and securities business Overview of the regional portfolio development Portfolio as of 30/06/2015 around EUR 7,9 billion WL BANK s range of customers includes more than 2,100 public sector clients: Region 31/12/ /12/ /12/ /06/2015 NRW North Mid South East Customers in total WL BANK has established itself as the competence centre for public sector clients within the Volksbanken Raiffeisenbanken cooperative financial network. Market penetration throughout Germany has substantially increased. 18

20 Public sector and securities business Portfolio development (EUR million) portfolio portfolio new business 2015* investment loans liquidity loans derivatives total 6, , , , , ,121.6 *until , including liquidity loans with maturity date in 2015 of about 594,8 mn Euro portfolio 8,000 7,000 6,000 31/12/10 31/12/11 31/12/12 31/12/13 31/12/14 30/6/15 new business 2015 (until ) by federal states North Rhine-Westphalia Hesse Lower Saxony Rhineland Palatinate Bavaria Baden-Württemberg Schleswig-Holstein Saarland Other federal states portfolio ( ) by internal rating new business 2015 (until ) by internal rating portfolio A 0B C 0D 0E 1A B 1C and worse A 0B 0C 0D 0E 1A 1B 1C and worse 0A 0B 0C 0D 0E 1A 1B 1C* 31/12/11 31/12/12 31/12/13 31/12/14 new b * and worse new b.: new business

21 Public sector and securities business Public cover pool, debtor diversification 19,204.7 EUR million 17,359.7 EUR million 14,479.2 EUR million 14,435.6 EUR million 16,2% 1,0% 16,1% 0,1% 15,1% 0,0% 14,0% 0,0% Substitute cover assets Foreign debtors 38,5% 40,3% 49,3% 54,1% 15,9% 14,7% 1,5% 10,6% 1,9% 8,7% 2,0% 2,0% 26,9% 26,9% 23,0% 21,2% Towns, local authorities, associations of local authorities, other municipal clients Public sector banks (incl. federal and state development banks Federal government/special assets of the German Federal Government German Federal States June 30,

22 Refinancing structure as of June 30, 2015 Total: EUR 31,260.3 million 10,0% 2,4% 0,5% 13,8% 18,7% 5,2% 27,6% Public sector Pfandbriefe Registered public sector Pfandbriefe Mortgage Pfandbriefe Registered mortgage Pfandbriefe Promissory note loans Bearer bonds Registered bonds Supplementary capital 21,8% 21

23 Refinancing structure Product groups as of January 1 June 30, 2015 Total: EUR 2,756.2 million (Total 2014: EUR 5,701.1 million) 25,1% Special Bonds (December 31,2014: 20.2 %) 38,6% Benchmark issues (December 31,2014: 30.7 %) Floating rate notes (December 31,2014: 14.8 %) 0.0 % Issues in foreign currencies (December 31,2014: 0.7 %) 0.0 % 36,3% Other tailor made issues (small sized/tailor-made issues/registered bonds) (December 31,2014: 33.4 %) 22

24 Refinancing structure Outstanding benchmark issues as of June 30, 2015 (EUR million) Mortgage Pfandbrief Public Pfandbrief Coupon Maturity ISIN-no % 01/09/15 A1CR % 18/05/16 A1H3U % 06/02/17 A1YC7F 2.50 % 16/06/17 A1ELV % 20/11/19 A12UGK % 29/05/20 A1R1CU % 29/03/22 A1MLZQ % 18/09/24 A12UGG 0.50 % 01/04/27 A14J5J % 18/01/30 A13SR3 23

25 Contacts Frank M. Mühlbauer Chairman of the Management Board Tel Sascha Aldag Head of Treasury Tel WL BANK Sentmaringer Weg Münster info@wlbank.de Tel Fax Reuters: WL BANK Robert Holl Deputy Head of Treasury Tel Petra Alichmann Team Assistant Tel

26 Disclaimer This document has been prepared by the WL BANK for discussion and information purposes only. The investments and investment services referred to are not available to private customers, nor for persons who are subject to US securities laws and should not be distributed in the US or to any US person nor in any jurisdiction in which its distribution would be prohibited. This document is directed exclusively to market counterparties and intermediate customers. No persons other than a market counterparty or an intermediate customer should read or rely on any information in this document. Neither this document nor any other statement (oral or otherwise) made at any time in connection herewith is an offer, invitation or recommendation to acquire or dispose of any securities or to enter into any transaction. Potential counterparties are advised to independently review and/or obtain independent professional advice and draw their own conclusions regarding the economic benefit and risks of this transaction and legal, regulatory, credit, tax and accounting aspects in relation to their particular circumstances. Distribution of this document does not oblige the WL BANK to enter into any transactions. Any offer would be made at a later date and subject to contract, satisfactory documentation, prior transaction and market conditions. The information in this document is proprietary to the WL BANK and neither this document nor any of its contents may be disclosed to or referred to any third party or used for any other purpose without the prior written consent of the WL BANK. The WL BANK makes no representations or warranty (express or implied) as to any matter or as to the accuracy or completeness of any statements made herein or made at any time orally or otherwise in connection herewith and all liability (in negligence or otherwise) in respect of any such matters or statements is expressly excluded, except only in the case of fraud or wilful default. 25