Bipiemme Group: FY 2013 results

Transcription

1 Bipiemme Group: FY 2013 results

2 Disclaimer (1/2) This document has been prepared by Banca Popolare di Milano S.c.a r.l. (the Company and, together with its subsidiaries, the Group ) solely for information purposes and for use in presentations of the Group Industrial Plan /2018. The information contained herein has not been independently verified. No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained herein. Neither the Company nor any member of the Group nor any of its or their respective representatives, directors, officers, employees or advisors accept any liability whatsoever (in negligence or otherwise) in connection with this document or any of its contents or in relation to any loss arising from its use or form any reliance placed upon it. All the prospective information herein contained have been predisposed on the basis of certain assumptions that may not be correct and therefore the results herein reflected may vary. This document includes certain forward looking statements, projections, objectives and estimates reflecting the current views of the management of the Company with respect to future events. Forward looking statements, projections, objectives, estimates and forecasts are generally identifiable by the use of the words may, will, should, plan, expect, anticipate, estimate, believe, intend, project, goal or target or the negative of these words or other variations on these words or comparable terminology. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts, including, without limitation, those regarding the Group s future financial position and results of operations, strategy, plans, objectives, goals and targets and future developments in the markets where the Group participates or is seeking to participate. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements as a prediction of actual results. The Group s ability to achieve its projected objectives or results is dependent on many factors which are outside management s control. Actual results may differ materially from (and be more negative than) those projected or implied in the forward-looking statements.

3 Disclaimer (2/2) Such forward-looking information involves risks and uncertainties that could significantly affect expected results and is based on certain key assumptions. All forward-looking statements included herein are based on information available to the Group as of the date hereof. The Group undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by applicable law. All the forward looking statements and estimates written and oral that may be referred to Group or to other persons acting on its behalf are expressly qualified, in their integrity, by these precautionary statements. In forming their own opinion the readers have to take into consideration the abovementioned facts. This document and the information contained therein does not constitute an offer of securities for sale or an invitation to purchase or subscribe for any securities in the United States, Australia, Canada or Japan or any other jurisdiction where such an offer or solicitation would require the approval of local authorities or otherwise be unlawful (the Other Countries ). The securities referred to herein have not been registered and will not be registered in the United States under the U.S. Securities Act of 1933, as amended (the Securities Act ), or pursuant to the corresponding regulations in force in the Other Countries. The securities may not be offered or sold in the United States unless such securities are registered under the Securities Act, or an exemption from the registration requirements of the Securities Act is available. The Company has no intention to make any offer in the Unites States. The information herein may not be reproduced or published in whole or in part, for any purpose, or distributed to any other party. By attending the Group Industrial Plan /2018 presentation or otherwise accessing this document you agree to be bound by the foregoing limitations.

4 Index Highlights FY 2013 Annexes 4

5 Highlights: Strong operating trend STRONG RESULT (STATED) ALSO ON NORMALISED 1 BASIS m +89.8% m +30.1% Gross operating profit Normalised Gross operating profit 1. ex one-off items 5

6 Highlights: Back to profit STRONG RESULT (STATED) m m + 460m 30 ALSO ON NORMALISED 1 BASIS + 140m Net profit Net profit normalised (ex one-off) 1. Ex one-off items 6

7 Highlights: Increase in doubtful loans coverage ratio +2.5 p.p. 36.0% 34.3% 33.5% Dec '12 Sept '13 Dec '13 Doubftful loans coverage Significant growth in coverage for all impaired loans categories: NPL s: Watchlist 55.5% +200 bps QoQ 22.8% +300 bps QoQ Restructured: 9.9% +200 bps QoQ Past-due: 8.0% +50 bps QoQ and on performing loans: coverage: 0.7% +10 bps QoQ 7

8 Index Highlights FY 2013 results Annexes 8

9 FY 2013 results: Direct Funding Vs. Sept-13 ( bn) ,2 4,4 4,3 12,2 10,3 10,4 0,2 0,2 0,1 stable 21,9 21,9 22,0 Dec 12 Sep 13 Dec 13 c/a & deposits Other technical forms Securities & Fin. liab at FV Repos Trend in funding vs Dec-12 shows: increase in core funding +0.6% (current accounts & deposit) decrease in institutional funding due to a 1.25bn EMTN bond that matured in the period, only partially offset by new placements significant decrease in financial liabilities at FV (- 733m) due to option exercises on callable securities with high spreads leading to positive impact on net interest income switch from matured retail bonds towards AuM and Insurance products QoQ trend shows: core funding +0.3% substantial stability on all categories 9

10 FY 2013 results: Indirect customer funding ( bn) Vs. Sept-13 ASSET UNDER MANAGEMENT AUM +10.3% YoY and +3.2% QoQ, mainly % driven by net inflows YTD from both mutual funds and insurance products and GPM 13,8 14,7 15,2 (+ 1,072m) ASSET UNDER CUSTODY 16,9 16,0 16,0 AuC -4.9% YoY and stable QoQ due to customer shift towards AuM and insurance products Dec '12 Sept '13 Dec '13 AuC AuM FUNDS BY ASSET CLASS AuC BY ASSET CLASS 43% 15% 17% Equity Balanced Liquidity 38% 22% Equity Governments 23% 2% Flexible Bond 40% Bonds and other 10

11 FY 2013 results: Liquidity Use of eligible securities 1 ( bn) Debt maturities by year ( bn) ,0 2,6 3,6 4,3 4,5 3,5 4,6 4,6 4,1 Dec '12 Dec '13 Feb Mar 14 '13 LTRO Repo&Other Eligible securities (unencumbered) ,1 1, ,5 2, ,3 0, Wholesale Retail Sound liquidity position: net liquidity balance 2 : about 4.5bn spot and 4.4bn at 3 months ECB exposure down to 4.1bn due to a partial repayment( 0.5bn)in February 2014 The group s liquidity profile is strong thanks to 3.6bn eligible securities, which does not take into account 0.3bn of marketable securities and a wide buffer of other eligible assets (residential mortgages, SMEs and retail loans) 1. Includes eligible securities received as collateral 2. Figures as at 4 March Source: weekly liquidity report 11

12 FY 2013 results: Financial assets m Dec-12 Sept-13 Dec-13 YoY change BPM & other commercial banks Banca Akros 9, , , (280) 35 TOTAL NET FINANCIAL ASSETS 10,240 10,083 9,835 (405) m Dec-12 Sept-13 Dec-13 YoY change Breakdown of net financial assets 10,240 10,083 9,835 (405) o/w Governments (o/w: over 99% Italian) 8,414 8,281 8,288 (126) Financial and others (162) Equity stakes Mutual funds and private equity (30) Net hedging and trading derivatives (121) As at 31 December 2013 the AFS reserve on Italian government bonds (before fiscal effect) was positive for about 165m in spite of som Italian government bond disposals in 2013 which generated significant capital gains The spread duration of the Italian government bond portfolio is about 3 years, unchanged. 12

13 FY 2013 results: Loans to customers ( bn) ,2 0,1 Vs. Sept % 18,0 17,6 17,3 16,7 16,2 16,0 Dec '12 Sept '13 Dec '13 Mortgages Other Repos Loans to customers down QoQ (-2.2%), in line with the sector: Group s market share 1 substantially stable YoY. The current economic slowdown drove down loans to customers in 2013 (-4.2% YoY). In detail: retail loans were stable, whilst corporate banking and small business loans decreased; positive contribution from WeBank (+43.6% YoY) and ProFamily (+10.2% YoY) 1. Ex repos with central banks 13

14 FY 2013 results: Total gross doubtful loans (1/2) 4,204 4,368 4,791 4, , Dec '12 Mar '13 Jun '13 Sept '13 Dec '13 NPL Watchlist Restructured Past due Doubtful loans trend still affected by the difficult macro scenario (Italian GDP 2013 estimates -1.8%) Gross doubtful loans growth in 2013(+25.6%YoY) slowed down compared with 2012 (+34.6%YoY) On a QoQ basis, gross doubtful loans growth (+5.8%QoQ) was negatively affected by 4 new positions (totalling 250m). Net of these flows, the trend improves compared with previous quarters. Gross NPLs on total loans was 7.2%, below the sector average (8.1%) 14

15 FY 2013 results: Total net doubtful loans (2/2) 2,763 3,376 3,320 2,887 3, Dec '12 Mar '13 Jun '13 Sep '13 Dec '13 NPL Watchlist Restructured Past due Net doubtful loans (+1.7% QoQ) shows a better trend vs previous quarters, due to the Group s prudent approach in terms of loans classification and evaluation This affected the net watchlist QoQ, down by 32m (-2.3%) Net NPLs on total loans was 3.4%, below sector average (4.3%) 15

16 FY 2013 results: Coverage on doubtful loans (1/2) SIGNIFICANT QoQ COVERAGE GROWTH ON ALL DOUBTFUL LOANS CATEGORIES AND TOTAL LOANS Coverage (%) Sep-13 Dec-13 bps Tot. doubtfull loans NPL s Watchlist Restructered Past-due Performing loans Tot. loans

17 FY 2013 results: Doubtful loans: coverage details (2/2) coverage % Dec '11 Dec '12 Mar '13 Jun '13 Sept '13 Dec '13 Dec '13 with cancellations Total net doubtful loans Net NPLs Net Watchlist Net Restructured Net Past due Net performing loans Total net adjustments The comparison vs 2011 highlights significant coverage growth: NPLs (+850bps), watchlist (+360bps); total loans (+800bps) A remarkable growth in coverage was recorded also in 2013 vs 2012: significant increase in the coverage of doubtful loans from 34.3% to 36.0% total loans coverage up from 4.5% to 6.0% (+150bps) Considering cancellations on single positions, the coverage on total net doubtful loans is 42.4% and on NPLs and watchlist 63.8% and 22.8% respectively 17

18 FY 2013 results: Net interest income Yearly trend ( m) Quarterly trend ( m) -2.5% -4.2% % On a like-forlike basis Q3 '13 Q4 '13 one-off Net interest income down 2.5% YoY in spite of resilient contribution from commercial income; volumes decreased and interest spread shrank(-4bps) Lower cost of funding more than offset the decrease in lending rates Net interest income down 2.4% QoQ (on a like-for-like basis) mainly due to: higher cost of institutional funding (tap issue of an EMTN senior bond) slight commercial income growth QoQ due to higher margin on funding(+ 4.8mln) 1. One-off from an operating point of view booked in Q

19 FY 2013 results: BPM Group customer spread quarterly trend ,80 3,64 3,42-7bps 3, , ,18 Spread: +23bps YoY 2,24 2,01 1,87 1, , ,98 1,56 1,63 1,55 1,51 1,43 1,34 1,25 1,21 3M Euribor: -37bps YoY -30bps Q1 '12 Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13 Q4 '14 deposit rates lending rates spread Customer spread increased in 2013, reversing the trend recorded in 2012, thanks to: the fall in deposit rates (-30bps) lower lending rates (-7bps) 3M Euribor in 2013: -37bps Customer spread basically stable QoQ, due to the same decrease in lending and deposit rates 19

20 FY 2013 results: Non net interest income Yearly trend ( m) Quarterly trend ( m) % % % +58.3% % -46.1% % % Net fees & comm. Net income from fin.act. Other Q3 '13 Q4 '13 Net fees & comm. Net income from fin.act. Other Non net interest income up 22.4% YoY thanks to a positive contribution from all the categories: net commissions up 9.6% YoY; income from financial activities(+ 72m). the increase in other revenues (+ 8.6m YoY) and income from investments valued at equity (+ 25.7m) was also good The QoQ comparison shows: good trend in net commission (+14% QoQ). income from financial activities down owing to some one-offs (details in slide 22) 20

21 FY 2013 results: Net commission Yearly trend ( m) Quarterly trend ( m) % Management, trading & adv. Others Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Management, trading & adv. Others Net commissions up 9.6% YoY thanks to higher income from fees from management, trading and advisory services (+29.4% YoY). Net commissions up 14.8% QoQ due to AuM&AuC fees and to the recovery in traditional banking fees 21

22 FY 2013 results: Net income from financial activities Yearly trend ( m) Quarterly trend ( m) % Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Net income from financial activities was positive at 201m in FY2013 (+56.2% YoY) mainly driven by: good trend in ordinary operating activity gains from disposal of government bonds held in parent company s portfolio good contribution also from Banca Akros: m (+22.5% YoY) Net income from financial activities in Q4 ( 18m) was affected by the following one-offs: revaluation of Bank of Italy stake (+ 13m) net adjustment on a financial holding (- 50m) 22

23 FY 2013 results: Operating costs Yearly trend ( m) Normalized 1 quarterly trend ( m) 1, % Staff Administrative Depreciations Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Staff Administrative Depreciations Operating costs down 16.6% YoY. In detail: staff costs -25% vs 2012 which was affected negatively by 213m related to the «Fondo Solidarietà». staff costs on like-for-like basis would still be down (-1.0%); other administrative costs +2.1% YoY, due to: developing projects related to the business plan and the merger of Banca Popolare di Legnano into BPM The QoQ comparison highlights: staff costs -9.3% thanks to the exit of people under the early retirement plan (Fondo Solidarietà) and to the recovery in the variable part of salaries linked to the results; other administrative costs +33.4% owing to the above mentioned Business Plan and an increase in advertising expenses (+ 4.2m) Net of one-off items related to Early Retirement Plan «Fondo di Solidarietà»

24 FY 2013 results: Net adjustments on loans and other operations % m 163bps 177bps Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Net adjustments on loans and other op. Cost of credit (annualized) Net adjustment on loans and other operations (+4.1% YoY) in line with the cautious evaluation approach on loan portfolio, coherent with: the ongoing weak macroeconomic scenario the will to increase coverage ratios, also in consideration of the AQR start-up Total adjustments were 590m, equal to 177bps annualized cost of credit in

25 FY 2013 results: Core Tier 1 ratio 10.35% 8.90% 1.69% Penalty value of add ons 1.45% Estimated Basel 3 fully loaded impact: up to -10 bps Reported CT1 ratio 7.21% Dec '13 Rights issue 500m Dec '13 0,00% pro-forma Core Tier 1 ratio calculated using standard Basel 2 methodology 25

26 Bipiemme Group Reclassified income statement Change Amount % Net interest income 837, ,613 (21,189) -2.5 Non-interest income: 845, , , o/w - Net fees and commission income 544, ,937 47, Net incom e (loss) from financial activities 200, ,526 72, Operating income 1,682,983 1,549, , Administrativ e expenses: (913,970) (1,110,555) 196, a) personnel expenses (608,720) (811,681) 202, b) other adm inistrative expenses (305,250) (298,874) (6,376) -2.1 Depreciations and ammortisation (72,646) (72,310) (336) -0.5 Operating costs (986,616) (1,182,865) 196, Operating profit 696, , , Net adjustments to loans and other operations (589,659) (566,254) (23,405) -4.1 Net prov isions for risks and charges (9,619) (31,999) 22, Profit (loss) from equity and other inv estments (258) (366,820) 366, Profit (loss) before tax from continuing operations 96,831 (598,224) 695,055 n.s. Tax on income from continuing operations (67,442) 163,374 (230,816) n.s. Income (loss) after tax from continuing operations 29,389 (434,850) 464,239 n.s. Net profit (loss) for the period 29,389 (434,850) 464,239 n.s. Minority interests 200 5,156 4, Net profit 29,589 (429,694) 459,283 n.s. Analisi flussi deteriorati febbraio

27 Reclassified P&L: quarterly evolution Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Ne t inte re st inc ome 2 0 6, , , , , , , ,4 4 4 Non- inte re st inc ome : 19 6, , , , , , , , Net fees and commission income 142, , , , , , , ,228 - Other operating income 54,399 54,227 86, ,578 39,034 55,157 11,940 88,033 - Share of Profit (loss) on investments valued under the equity method 28,140 7,423 3,886 7,904 9,782 4,625 4,077 3,193 - Net income (loss) from financial activitie 18,272 33,928 69,205 79,368 14,135 38,829 (3,290) 78,852 - Other operating income/expenses 7,987 12,876 13,447 18,306 15,117 11,703 11,153 5,988 Ope ra ting inc ome 4 0 3, , , , , , , ,7 0 5 Administrative expenses: (229,220) (220,279) (235,755) (228,716) (430,073) (219,546) (217,475) (243,461) a) personnel expenses (137,340) (151,410) (158,006) (161,964) (340,419) (156,868) (145,239) (169,155) b) other administrative expenses (91,880) (68,869) (77,749) (66,752) (89,654) (62,678) (72,236) (74,306) Depreciations and ammortisation (19,324) (17,943) (17,977) (17,402) (17,874) (17,438) (18,668) (18,330) Ope ra ting c osts (2 4 8,5 4 4 ) (2 3 8,2 2 2 ) (2 5 3,7 3 2 ) (2 4 6,118 ) (4 4 7,9 4 7 ) (2 3 6,9 8 4 ) (2 3 6,14 3 ) (2 6 1,7 9 1) Ope ra ting profit 15 4, , , ,9 5 7 (6 5,0 4 2 ) 13 5, , ,9 14 Net adjustments to loans and other operations (328,950) (96,893) (99,692) (64,124) (356,888) (74,939) (82,875) (51,552) Net provisions for risks and charges 5,081 (6,345) (5,962) (2,393) (21,931) (3,181) (2,784) (4,103) Profit (loss) from equity and other investments 43 (301) 1 (1) (6,905) 3 (360,063) 145 P rofit (loss) be fore ta x from c ontinuing ope ra tions (16 9,3 5 1) 5 2, , ,4 3 9 (4 5 0,7 6 6 ) 5 7,7 18 (3 2 1,5 8 0 ) 116,4 0 4 Tax on income from continuing operations 64,058 (23,500) (50,000) (58,000) 125,335 (32,275) 122,717 (52,403) Inc ome (loss) a fte r ta x from c ontinuing ope ra tions (10 5,2 9 3 ) 2 8, , ,4 3 9 (3 2 5,4 3 1) 2 5,4 4 3 (19 8,8 6 3 ) 6 4,0 0 1 Ne t profit (loss) for the pe riod (10 5,2 9 3 ) 2 8, , ,4 3 9 (3 2 5,4 3 1) 2 5,4 4 3 (19 8,8 6 3 ) 6 4,0 0 1 Minority interests 498 (39) (75) (184) 1,651 (13) 3, Ne t profit (10 4,7 9 5 ) 2 8, , ,2 5 5 (3 2 3,7 8 0 ) 2 5,4 3 0 (19 5,6 2 8 ) 6 4,2 8 4 FY 2013 RESULTS 27

28 ANNEXES FY 2013 RESULTS 28

29 P&L net of non recurring items A = B + C B C D = E + F E F C hange A -D C hange C - F V o ci N et result N et inco me fro m no nrecurrin g o peratio ns N et inco me fro m recurring o peratio ns N et result N et inco me fro m no nrecurrin g o peratio ns N et inco me fro m recurring o peratio ns A mo unt % A mo unt % N et int erest inco me 8 3 7, , , ,6 13 ( 2 1,18 9 ) ( 2 1,18 9 ) N o n- int erest inco me: 8 4 5,559 ( 3 6,18 6 ) 8 8 1, ,10 1 4, , , , Net fees and commission income 544, , , ,937 47, , Other operating income 300,742 (36,186) 336, ,164 4, , , , Share of Profit (loss) oninvestments valued under the equity method 47, ,353 21, ,677 25, , Net income (loss) from financial activitie 200,773 (36,186) 236, ,526 4, ,883 72, , Other operating income/expenses 52, ,616 43, ,961 8, , Op erat ing inco me 1,6 8 2,9 8 3 ( 3 6,18 6 ) 1,719,16 9 1,54 9,714 4, ,54 5, , , Administrative expenses: (913,970) (16,345) (897,625) (1,110,555) (213,394) (897,161) 196, (464) -0.1 a) personnel expenses (608,720) (16,345) (592,375) (811,681) (213,394) (598,287) 202, , b) other administrative expenses (305,250) 0 (305,250) (298,874) 0 (298,874) (6,376) -2.1 (6,376) -2.1 Depreciations and ammortisation (72,646) 0 (72,646) (72,310) 0 (72,310) (336) -0.5 (336) -0.5 Op erat ing co st s ( 9 8 6,6 16 ) ( 16,3 4 5) ( 9 70,2 71) ( 1,18 2,8 6 5) ( 2 13,3 9 4 ) ( 9 6 9,4 71) 19 6, ( ) Op erat ing p ro f it 6 9 6,3 6 7 ( 52,53 1) 74 8, ,8 4 9 ( 2 0 8,751) 575, , , Net adjustments to loans and other operations (589,659) 0 (589,659) (566,254) (255) (565,999) (23,405) -4.1 (23,660) -4.2 Net provisions for risks and charges (9,619) 3,051 (12,670) (31,999) (14,464) (17,535) 22, , Profit (loss) from equity and other investments (258) 0 (258) (366,820) (367,102) , (540) Pro f it ( lo ss) b ef o re t ax f ro m co nt inuing o p erat io ns 9 6,8 3 1 ( 4 9,4 8 0 ) 14 6,3 11 ( 59 8,2 2 4 ) ( 59 0,572 ) ( 7,6 52 ) 6 9 5,0 55 n.s. 153,9 6 3 n.s. Tax on income from continuing operations (67,442) 606 (68,048) 163, ,542 (55,168) (230,816) n.s. (12,881) N et p ro f it ( lo ss) f o r t he p erio d 2 9,3 8 9 ( 4 8,8 74 ) 78,2 6 3 ( 4 3 4,8 50 ) ( 3 72,0 3 0 ) ( 6 2,8 2 0 ) 4 6 4,2 3 9 n.s. 14 1,0 8 2 n.s. M inority interests 200 (3) 203 5,156 4, (4,956) n.s. (719) n.s. N et p ro f it 2 9,58 9 ( 4 8,8 77) 78,4 6 6 ( 4 2 9,6 9 4 ) ( 3 6 7,79 6 ) ( 6 1,8 9 8 ) 4 59,2 8 3 n.s. 14 0,3 6 3 n.s. FY 2013 RESULTS 29

30 Balance sheet evolution Assets Cash and equivalents 363, , , , ,892 Financial assets at fair value and hedging derivatives: 11,045,773 11,446,135 11,834,884 11,626,960 11,901,399 - Financial assets held for trading 1,449,237 1,679,815 1,705,445 1,798,512 1,821,675 - Financial assets designated at fair value 219, , , , ,321 - Financial assets available for sale 9,189,022 9,290,612 9,639,583 9,319,355 9,539,376 - Hedging derivatives 178, , , , ,320 - Changes in fair value of hedged item s (+ / -) 10,105 11,568 13,150 20,866 24,707 Loans and advances to banks 1,813,458 1,838,143 2,106,886 2,635,231 2,718,371 Loans and advances to customers 33,345,026 34,080,872 34,038,161 35,089,999 34,790,891 Fixed assets 1,229,975 1,185,833 1,176,934 1,171,192 1,174,152 Other assets 1,555,884 1,425,699 1,582,527 1,870,486 1,604,300 Total assets 49,353,318 50,225,617 50,966,376 52,622,341 52,475,005 Liabilities and Shareholders Equities Due to banks 5,913,928 6,173,275 6,281,204 6,284,368 6,292,005 Due to customers 26,423,495 26,536,411 27,073,851 25,932,864 26,297,613 Debt securities in issue 10,114,241 9,777,327 10,182,184 11,635,397 11,223,349 Financial liabilities and hedging derivatives: 1,487,047 1,872,708 1,968,230 2,323,552 2,671,336 - Financial liabilities held for trading 1,163,738 1,309,253 1,315,536 1,448,291 1,585,447 - Financial liabilities designated at fair value 276, , , ,946 1,009,898 - Hedging derivatives 23,348 28,671 34,146 42,305 45,049 - Changes in fair value of hedged item s (+ / -) 23,222 25,082 27,056 29,010 30,942 Other liabilities 1,191,645 1,584,861 1,214,926 1,761,078 1,271,219 Provisions for specific use 578, , , , ,766 Share capital and reserve 3,596,116 3,512,686 3,487,463 3,938,195 4,444,780 Minority interests (+/-) 19,061 19,468 19,520 41,574 41,631 Net profit (loss) of the period (+ / -) 29, , ,607 57, ,694 Total liabilities and Shareholder Equity 49,353,318 50,225,617 50,966,376 52,622,341 52,475,005 FY 2013 RESULTS 30

31 Fees and commission Change Amount % Fees and commission income 632, ,724 48, Fess and commission expense (87,569) (86,787) (782) -0.9 Total net fees and commission 544, ,937 47, Breakdown guarantees giv en and receiv ed 18,507 19,736 (1,229) -6.2 credit deriv ativ es - (23) management, trading and adv isory serv ice 238, ,072 54, collection and payment serv ices 79,845 82,622 (2,777) -3.4 serv icing for securitization transaction management of current accounts 66,791 74,220 (7,429) other serv ices 141, ,310 5, Total net fees and commission 544, ,937 47, FY 2013 RESULTS 31

32 Asset quality Gross exposition Change (A - B ) Change (A - C ) A % B % C % A mo unt % A mo unt % Impaired loans 5,278, ,990, ,204, , ,074, a) Non performing 2,537, ,346, ,931, , , b)watchlist 1,761, ,735, ,538, , , c) Restructured 813, , , , , d) Past due 166, , , , , P erforming loans 30,186, ,946, ,236, , ,049, T o tal lo ans and advance to customers 35,465, ,936, ,440, , , Total adjustment A C o verag e % B C o verage % C C o verag e % Change (A - B ) Change (A - C ) A mo unt % A mo unt % Impaired loans 1,902, ,670, ,441, , , a) Non performing 1,407, ,255, ,077, , , b)watchlist 401, , , , , c) Restructured 80, , , , , d) Past due 13, , , , P erforming loans 217, , , , , Total adjustment 2,120, ,855, ,649, , , Net exposure Change (A - B ) Change (A - C ) A % B % C % A mo unt % A mo unt % Impaired loans 3,376, ,319, ,762, , , a) Non performing 1,130, ,090, , , , b)watchlist 1,359, ,390, ,237, , , c) Restructured 733, , , , , d) Past due 152, , , , , P erforming loans 29,968, ,761, ,027, , ,059, T o tal lo ans and advance to customers 33,345, ,080, ,790, , ,445, FY 2013 RESULTS 32