201506 Investors presentation CARREFOUR BANQUE G4 … · Carrefour Banque France ata glance Key highlights as at 30 June 2015 −arrefour Banque is the French captive personal financial

CARREFOUR BANQUEINVESTOR PRESENTATION S1 2015

Agenda

CARREFOUR BANQUE (FRANCE) 3

SFC (SPAIN) 23

FIMASER (BELGIUM) 27

CARREFOUR BANCA (ITALY) 30

Investor Presentation – June 2015Page 2

CARREFOUR BANCA (ITALY) 30

CARREFOUR BANQUE CONSOLIDATED 33

APPENDICES 36

FRANCE

Carrefour Banque France at a glance

Key highlights as at 30 June 2015

− Carrefour Banque is the French captive personal financial services arm of the largest European retailer

− Carrefour Banque is duly authorized as a credit Institution by the French Banking Authority (ACPR)

� Strong commercial footprint in France:

- 215 retail outlets for Carrefour Banque in

Carrefour hypermarkets in France

- 2.2m holders of PASS credit card

- 1,896 employees in France

� Solid and stable shareholding structure since 1985:

- 60% Carrefour SA, international food retailer

- 40% BNP Paribas Personal Finance, consumer

finance specialist


� Strong and stable revenues:

- Sustained growth of net banking income (+11.8%

from 2011 to 2014)*

- Stable credit outstanding volume (since 2011

around €2.8bn )

� Solid profitability and low risk profile:

- S&P rating: BBB+/A-2 stable outlook

- Strong capital structure: Tier-1 Basel III ratio at

14.24%*

- Solid cost income ratio at 51.7%*

- Stable market share in consumer finance in France

since 2011 : 5.3% (source : ASF **)

* Consolidated Carrefour Banque - Carrefour Banca - Fimaser** The credit market is 60% ASF & 40% banks

G4 at a glance : France, Spain, Belgium & Italy

Breakdown overview - key

− Carrefour Banque France refinances almost all the perimeter

− A credit outstanding is an unsecured loan

BUSINESS OVERVIEW (in M €)

Carrefour Banque

France

Servicios Financieros Carrefour

Spain

Fimaser

Belgium

Carrefour Banca

Italy


* Earmarket : specific purchase loans provided to customers of Carrefour Banque for purchases of specifically earmarked goods at Carrefour Banque Stores

CREDIT OUTSTANDING 2,710 1,841 217 228

Personal Loans (%) 49.7% 31.1% 9.8% 63.3%

Revolving Credit (%) 38.2% 63.3% 84.8% 36.0%

Earmarket Credit (%) * 12.1% 5.6% 5.4% 0.7%

SECTION 1PRESENTATIONPRESENTATION

Focus on Carrefour Banque’s shareholders

− Carrefour Banque enjoys 2 strong committed and complementary shareholders:

A stable capital structure since 1985

Carrefour

Rated BBB+ stable (S&P)

� Founded in 1959, headquartered in Boulogne-

Billancourt (France)

� 2nd largest food retailer in the world

� 1st retailer in France / in Europe

� Presence in 35 countries

� Over 11,900 stores and +380,000 employees

� Over €100.5bn net sales under banners

Rated A+ negative (S&P)

� 100% parent BNP Paribas

� Leading specialist player in Europe

� Over 20,000 employees throughout more than

28 countries over four continents

€66.8bn in outstanding loans

BNPP Personal Finance


� Over €100.5bn net sales under banners

� 12.5 million checkouts every day in stores

worldwide, more than 100 million customers

shop in our stores worldwide

� €66.8bn in outstanding loans

� 27m customers

Core subsidiary

� Same brand name franchise which increases

customer’s loyalty to Carrefour

� Strong commercial relationships

� Carrefour’s dedicated business line with an

increasing contribution to the group’s total

earnings

Strategically important subsidiary

� Capital commitment

� Ongoing liquidity support

� Provider of expertise in risk management and

sharing information technology development

cost

� Business support: outsourcing, risk committee,

etc.

* BNPP as BNPP PF is not directly rated by Moody’s

From loyalty cards to banking

Carrefour Banque: a successful 34-year story

Creation of “Société des Paiements PASS” (S2P) as banking subsidiary of Carrefour

Launch of Epargne Libre Carrefour savings accounts

Launch of the first bank cards

SecuritisationCopernic 2009-1 ( 730M€ AAA)

Launch of brand name “Carrefour Banque” in France

Merger and Acquisition of the Italian subsidiary Carrefour ServiciFinanziari

Launch of savings accounts “Compte Sur Livret”

Launch of mobile application

Launch of the PASS Payment Card

Fimaser

Subsidiary

100%

2013/09

Transfer of

Carma shares

to Carrefour

2014/12

Launch of the range PASS MasterCard

Securitisation

under MCCP*

400M€ AAA

(2015-1)


2013

20142015

Launch of personal

loans business

Launch of Carrefour Horizons

life insurance

Merger of the finance (S2P) and insurance (Carrefour Assurance) networks into

“Carrefour Banque”

Subsidiarising of CARMA and Carrefour Servici Finanziari

SecuritisationCopernic 2012-1

(500M€ AAA)

Inaugural Fixed Rate

Bond 710M€ issue 2015/09

FRN• 300M€ issue 2016/04• 500M€ issue 2018/03

Securitisation MCCP*•400M€ AAA (2013-1)•110M€ AAA (2014-1)

* MCCP: Master Credit Cards PASS

(2015-1)

FRN•500M€ issue 2020/03

Carrefour Spain

55.9%

6.8%

99.9%

Development in Europe

Carrefour Banque: European Bank since 2010

− Initially integrated into "France hypermarkets“ division,

Carrefour Banque is now an independent business unit and

has integrated all the financial services in Europe.

− This organization of the banking and insurance activities is

coupled with a geographical expansion to cover the G4

zone : France, Spain, Belgium and Italy

− Objectives of this organization

� Economies of scale with the implementation of centralized

platforms and expertise

Carrefour Banque : an active shareholder


SFC

(Spain)

CetelemSpain

37.3% CB branch since

10/2011

CB subsidiarysince

09/2013

Carrefour Banca

(Italy)

Fimaser

(Belgium)

platforms and expertise

� A better control of the activity and risks

� A centralized funding

� An extension of the product range to the G4 countries

− Changes in share capital in December 2014

� Carrefour Banque transferred its stake of 50.01 % held in

Carma* to Carrefour

� Carrefour Banque keeps managing Carma on behalf of

Carrefour

* Carma : insurance company

Consolidated* financial ratios

− Satisfactory and steady results

� An improving solvency ratio

- As at 30 June 2015, solid capital position with tier 1

ratio Basel III of 14.24%

- Distribution of dividend

2009 - 2010 : 50% 2011 : 0%

2012 : 75% 2013 - 2014 : 50%

- Target: to pave the way for the ongoing conversion

into subsidiaries and a European expansion

A strong and stable financial position built over the years

10,9%

11,1% 13,5% 13,3%

13,4%14,3% 14,2%

22,0%

14,9%

14,2%

12,0%

9,7%

9,2%

44,7%

48,7%

49,2% 51,9%

55,0%53,9%

51,7%

25%

30%

35%

40%

45%

50%

55%

60%

10%

12%

14%

16%

18%

20%

22%

24%

Solvency Ratio ROE Cost Income


into subsidiaries and a European expansion

� ROE decrease

- Mainly due to our policy of reinforcement of equity

capital

� Slight decrease cost-to-income

- Thanks to the progression of our Net Banking Income

concurrently with operating costs under control

* Consolidated •2010-2012 Carrefour Banque - Carrefour Banca - Carma•2013 Carrefour Banque - Carrefour Banca - Fimaser - Carma•2014 Carrefour Banque - Carrefour Banca - Fimaser

Net Income S1 2015 €24.7 m

S&P RatingsA-2 (Short)BBB+ (Long)Stable

Net Banking Income S1 2015 € 209.1m

Solvency Ratio S1 2015 (Basel III)

14.24%

9,7%20%8%

2009 2010 2011 2012 2013 2014 S1 2015

Carrefour Banque : funding profile

− A strong liquidity position: a positive headroom of €2.2bn on

€6.6bn of funding as at 30 June 2015:

� Multiple sources of funding: bank credit lines,

securitisations, bond issues, deposit certificates, savings…

� Diversification of bank counterparties

� Liquidity reserve equivalent to 17 months of activity at the

end of June 2015

A diversified and well-balanced funding mix

− Bank facilities: significant amount of mid-term credit lines

provided by diversified, highly rated banks

Sources of funding (as at 30 June 2015, €m)

601

1710

537

537

592

4000

5000

6000

7000Daily lines

Back up securitisation

Securitisation

Bond

Total 6,638 Total 4,172

Liquidity Headroom: 2,211


provided by diversified, highly rated banks

(97% of credit lines mature beyond 1 year)

− Equal support from BNPP (loan with tacit agreement to

renew) and Carrefour SA for a total of €1bn

− Amount of committed credit lines which are available for

drawdown: €2,115m

− Access to ECB refinancing through the retained

securitisation tranche of FCT Copernic 2012-1

− Class A-1 Notes: €500m (publicly placed)

− Class A-2 Notes: €126.5m (ECB retained)

With a back up securitisation of €5m

500

500

1115

1088

1088

490

490

601

1710

-254

-1000

0

1000

2000

3000

En M

€

Savings Acounts

BMTN

Certificates of

Deposits

Committed credit

lines

Carrefour Facility

BNPP Facility

Funding Sources Drawings

300

700

900

1100

1300

1500

Asset & Liability Management profile

Debt Duration & repayment profile as at end of June 2015

� 25 month average duration on Assets

�� 23 month average duration on Liability Funding sources


30

185 150

750

155

285

5027

110

400410

300

500

500

-100

100

300

500

2015 2016 2017 2018 2019 2020

Committed credit lines Medium Term Negotiable Notes Securitisation Bond

CB’s liquidity is « adequate » (S&P credit opinion 2015)

– « CB’s liquidity benefits from cautions management »

– « Our assessment includes potential shareholder support because we believe the shareholders will continue to provide

liquidity support if needed »

SECTION 2ACTIVITY FIGURESACTIVITY FIGURES

Credit & Insurance : key figures

Credits Solutions New Business Card Products Insurance Products

New Credit business

(€m)

Payment using

PASS Cards (€m)

Insurance Premium

Collected (€m)

Managed Outstanding

(€m)

Good performance in a challenging market

− Despite the current economic environment and major regulatory changes, Carrefour Banque maintains a strong

position thanks to an appropriate risk management

− Breakdown income : 58 % of interest income / 42% of fee incomes (savings, insurance, or card products)


-2.1%

(€m)

-2.0%

PASS Cards (€m)

-2.7%

Collected (€m)

-4.1%

(€m)

Due to our prudential approach of our lending policy

-3.2% since 2011 Number of PASS Cards

2.163 m

Insurance customers

Over 461,700

* * * *

2,800 2,788

2,855 2,830 2,827

2,710

2011 2012 2013 2014 S1 2014 S1 2015

1,573

1,372 1,331 1,261

646 632

2011 2012 2013 2014 S1 2014 S1 2015

* Change between S1 2015 / S1 2014

239256

272 283

143 139

2011 2012 2013 2014 S1 2014 S1 2015

7,836 7,802 7,705 7,720

3,833 3,757

2011 2012 2013 2014 S1 2014 S1 2015

Credit products

Balanced diversification of outstanding loans

Credit outstanding(Euro millions)

1,113 1,133 1,167 1,129 1,036

344 359 362 375 329

Personal loans Revolving credit Earmarked credit

2,788 2,8552,800 2,8302,710

12%

2,788 2,855

12%

2,800 2,8302,710

13% 13% 13%


* Earmarket : specific purchase loans provided to customers of Carrefour Banque for purchases of specifically earmarked goods at Carrefour Banque Stores

1,343 1,296 1,326 1,326 1,345

1,113 1,133 1,167 1,129 1,036

2011 2012 2013 2014 S1 2015

38%

50%

40%40% 41% 41%

48% 46% 46% 47%

Good performance for the savings accounts

− Strong customer confidence on our brand, global balance is at € 2.39bn

− OPCVM Assets : drop in the outstanding due to a decline in performance based on monetary rates close to zero

Mutual savings (Axa, Axa IM, BNP AM) Savings products (Carrefour Banque)

Life Insurance OPCVM Compte sur Livret

Collected savings(€m) Assets Managed (€m)Collected savings(€m)

Savings : key figures


* Change between S1 2015/ S1 2014

-7.4%+4.4%

Savings Accounts

Over 377,000

Savings Accounts

Over 76,000

Savings Accounts

Over 27,000

* * -6.1% *

1,413 1,429 1,475 1,536 1,507 1,573

2011 2012 2013 2014 S1 2014 S1 2015

383

274243

223 233 216

2011 2012 2013 2014 S1 2014 S1 2015

0

460

565 507

640 601

2011 2012 2013 2014 S1 2014 S1 2015

Carrefour Banque’s strategy

− A philosophy in line with Carrefour’s missionOffering the best financial and insurance products to the

largest number of people at the best value for money

− All credits are originated on a face to face basis

− Over the past 34 years, the company has acquired an

excellent reputation on the financial services market. This allowed us to add innovative new products and

improve our client base beyond that of Carrefour

A consumer credit expert at the service of the group

Origination channel for personal loans

3.2% 3.6% 4.1% 4.2% 4.3%

16.5% 18.0% 16.9% 15.4%21.0%

1.4% 1.0% 0.8% 1.3%1.6%

78.9% 77.3% 78.3% 79.1%73.1%

2011 2012 2013 2014 S1 2015

Sales Units Other Website Call Center


11.0% 11.0% 9.0% 8.2% 8.1%

13.0% 14.5% 17.4% 19.0% 20.4%

20.0%20.4% 20.5%

21.9%22.8%

1.0%0.9% 0.6%

0.5%0.4%10.0% 8.5% 7.4%

6.9%7.1%

45.0% 44.8% 45.1% 43.5% 41.3%

2011 2012 2013 2014 S1 2015

Call Center Website OUT Carrefour Other ATM Sales Units / Store

− Key ambitions and looking ahead � A well-adjusted « IN » and « OUT » commercial expansion,

backed by diversification of its distribution channels

� A real ambition to support clients through cross-selling

financial solutions, making clients’ day-to-day life easier

� A geographical, operational and managerial expansion

� Ongoing financial innovation in services and products

� A technological innovation on payment methods meeting

and anticipating clients’ needs

OUT **

51.3%

IN *

48.7%

Drawing type for revolving loans (IN vs OUT)

* in : Carrefour outlets and subsidiaries** out : outside Carrefour’s network

2011 2012 2013 2014 S1 2015

Portfolio Personal Loan overview

Loan types

− Carrefour Banque offers a wide range of credit solutions in order to respond to our customers’ needs (no

restructured loan *)

59.9% 59.1% 57.8%59.6%

61.6%

40.0%

50.0%

60.0%

70.0%

80.0%


* Repurchase loan : if share repurchase > share project•internal debt : If internal share > external share•external debt : If internal share < external share

0.0%

10.0%

20.0%

30.0%

40.0%

2011 2012 2013 2014 S1 2015

Personal loans (%) Home improvement loans(%)

External debt consolidation loans (%) Internal debt consolidation loans (%)

Asset quality : S&P and ACPR* feedbacks

− Risk position according to ‘Standard & Poors’ credit

opinion dated September 10, 2015

- Strengths :

- “Good credit risk management »

- “Adequate capitalization considering the bank’s risk

position”

- “We also anticipate that the bank will contain its cost of risk

and pursue its sound management of liquidity“

A « moderate » risk position (S&P credit opinion) A reliable management (ACPR* - audit Q1 2013)

− Efficient risk management performed by Carrefour

Banque

− “ Recent investigations lead to an overall favourable

opinion thanks to the relevant, responsive and

independent nature of the credit risk monitoring ”

− “ The underwriting policy seems to be well-structured

and to fit with undertaken risks ”

− “ No reservation about the bank’s provision rates […]


- “Core status to parent, retailer

Carrefour S.A., and strategic

importance to BNP Paribas Personal

Finance”

- Outlook stable :

“We could upgrade the bank by one

notch if we take a similar action on

Carrefour”

− “ No reservation about the bank’s provision rates […]

according to practices observed by the inspection ”

− “Servicing and recovery management appear generally

rigorous and effective ”

- *ACPR : “Autorité de contrôle prudentiel et de résolution” is the French supervisory body of banking and insurance

Asset quality : Strong and committed

governance

− A “partnership” committee with BNPP Personal

Finance

Support provided for quarterly committee :

- Underwriting and recovery benchmark indicators

- Litigation process management

- Regulatory amendments and impacts on risk management

Participants :

- Risk Management of both entities

- Partnership Management Department

− A strategic risk committee : A decision-making entity

dedicated to the credit policy

“ Joint presidency of the credit risk management committee

shared between the Deputy CEO and the COO France,

promotes early solving of discrepancies. Promotion of dialogue,

as early as possible, is a strength of the organization “ *

Support provided for quarterly credit risk committee :

- Support presentations

- Completed by action plans

Strengths of Carrefour Banque


- Partnership Management Department

An organisation based on 3 pillars - Preventive risk: scores, expert systems, fraud detection

- Curative risk: scores, amicable and judicial recovery

- Risk analysis: generation risk, provisioning, Basel II

- Completed by action plans

- Presentation of underwriting, recovery and fraud indicators

- Regulatory amendments and impacts on risk management

- Minutes of resolutions

Participants :

- Risk Management

- Business Management

- Finance Management

- Compliance Management

* Source : ACPR

Asset quality : Underwriting and Servicing

− Personal Loans

− Raising required delegation levels on risky loans

− Uplift of scoring scale levels from 2 to 3

− Revolving Receivables

− Decrease of underwritten credit limit for new revolving

account

− Credit policy amendments relating to the increase of

credit limit

Underwriting : main improvements Non performing loans (in € m) under control


− Following the new rules and policies, we stabilised the Non Performing Loans thanks to a more restrictive policy on personal loans and credit cards

− The NPL coverage is stable since 2013 around 75%

− Dedicated teams for each steps of the recovery process

− Management consistency

− Unchanged recovery objectives and performances

− Target of 92% amicable recovery after 4 months (before

transfer to litigation recovery)

A performing servicing process

FINANCIAL STATEMENTSSpain, Belgium, Italy

SPAIN

Financial ratios

A strong and stable financial position built over the years

− SFC is a subsidiary held at 55, 9% by Carrefour Spain,

37,3% by Cetelem Spain and 6.8% by Carrefour Banque

France

− SFC posted brilliant results and constantly improved

over the years :

9,0%

13,1% 14,4%12,4% 12,1%

47,9%

33,6%

24,4%

43,0%22,5%

24,1%

26,1% 27,0% 27,1%

5%

10%

15%

20%

25%

30%

10%

20%

30%

40%

50%

60%

Solvency ratio ROE Cost Income


�A satisfying solvency ratio - As at 30 June 2015, solid capital position with tier 1 (Basel III)

ratio at 12.1%

�ROE significantly improves- Mainly thanks to a strong commercial performance after a

decrease mainly due to the distribution of dividend

- in 2011 : 0%, 2012 : 50%

- In 2013 - 2014 : 100%

�Adequate cost-to-income- Below that of other rated consumer finance subsidiaries of

European food retailers

Net Income 2014+76.2%

€ 91.4m

Net Banking Income 2014+ 16.4%€ 243.7m

Solvency Ratio S1-2015 (Basle III)

+12.1%

9,0%

0%0%

2011 2012 2013 2014 S1 2015

Key figures

− The credit outstanding business still improved through an activity focused on known customers

Credits Solutions New Business Card Products

New Credit business (€m) Payment using

Tarjeta PASS (€m)

Managed Outstanding (€m)



+18.7 %* +11.9 %*

Tarjeta PASS (€m)

+17.7%*


+21.5% since 2011 Essentially on Revolving loan Number of Tarjeta Pass over

2,361 m

690 686779

940

438520

2011 2012 2013 2014 S1 2014 S1 2015

2,7852,954

3,1843,482

1,6361,831

2011 2012 2013 2014 S1 2014 S1 2015

1,515 1,510 1,5931,750

1,565

1,841

2011 2012 2013 2014 S1 2014 S1 2015

Asset quality

− A strict monitoring of Non Performing

Loans

Non performing loans (€ M)

242.8238.1

202.1208.2111.4%

119.4%

126.4% 125.9%

100%

120%

140%

200.0

300.0

Gross non performing assets (€m) - left_axis

Loan loss reserves / Gross non performing asset (%) - right_axis

Non performing ratio (%) - right_axis


− A slight increase of NPL on S1 -2015

due to the strong activity

− With a secured and conservative

coverage rate of NPL above 100%

202.1

16.1% 14.9% 11.5% 11.3%

0%

20%

40%

60%

80%

100%

0.0

100.0

200.0

2012 2013 2014 S1 2015

BELGIUM

Key figures


Payment using

Visa Carrefour (€m)Managed Outstanding (€m)


− Fimaser is a subsidiary of Carrefour Banque France

− Regulatory pressures that limit credit business (« zérotage »)

New Credit business (€m)


-17.1%* -3.7%*

Visa Carrefour (€m)

- 4.1%*

-2.9% since 2011 Mainly revolving loans Number of Visa Carrefour over

190,000


223

236 236

229226

217

2011 2012 2013 2014 S1 2014 S1 2015

254268

290 292

142 137

2011 2012 2013 2014 S1 2014 S1 2015

238251

273 273

156

129

2011 2012 2013 2014 S1 2014 S1 2015

Asset quality


− A strict monitoring of Non Performing Loans

with a secured coverage rate of NPL above23.5

24.326.4

23.6 22.9

130.4%135.5%

120%

150%30.0





with a secured coverage rate of NPL above

100%

− Non Performing Loans decrease thanks to a

good performance of collection and litigation

processes

105.0%113.3% 114.3%

10.5% 10.3% 11.2% 10.3% 10.6%

0%

30%

60%

90%

0.0

10.0

20.0

2011 2012 2013 2014 S1 2015

ITALY

Key figures

Improvement of its outstanding credits


Payment using

Carta PASS (€m)

Managed Outstanding (€m)

* *

− Carrefour Banca is a branch of Carrefour Banque France

− Uptrend confirmed for the first half of 2015

New Credit business

(€m)


+11.1% +18.0% +10.3% * * *

+40,4% since 2011 Good balanced : Personal Loan 54% /

Revolving credit 46%

Number of Carta Pass

101.473

162

190 199220

207228

2011 2012 2013 2014 S1 2014 S1 2015


6875

65

73

35 39

2011 2012 2013 2014 S1 2014 S1 2015

209191

153 145

7285

2011 2012 2013 2014 S1 2014 S1 2015

Asset quality


− A strict monitoring of Non Performing Loans36.0

41.7

81.0% 82.4%70%

80%

90%

100%

35.0

40.0

45.0





− The absolute value of NPL increases

concurrently with the cover rate (82.4% vs

65%, prudential approach)

− 93% of non performing loans are held by

litigation.

20.322.5

25.265.9%

75.6% 76.0%81.0% 82.4%

12.5% 11.7% 12.6%16.4% 18.3%

0%

10%

20%

30%

40%

50%

60%

70%

0.0

5.0

10.0

15.0

20.0

25.0

30.0

2011 2012 2013 2014 S1 2015

CARREFOUR BANQUECONSOLIDATED ACCOUNTS

Consolidated* income statement in IFRS

Carrefour Banque posted satisfactory and steady results

− Stabilisation of the Net Profit thanks to the control of the Cost Of Risk

− The net income of 2015 integrates the capital gain made on disposal of Carma shares in December

Income statement

(in thousands of euros)FY 2011 FY 2012 FY 2013 FY 2014

Var.

2014/2013S1 2014 S1 2015

Var. S1

2015/ S1

2014


* Consolidated•2010-2012 Carrefour Banque - Carrefour Banca - Carma•2013 Carrefour Banque - Carrefour Banca - Fimaser - Carma•2014-2015 Carrefour Banque - Carrefour Banca - Fimaser

NET BANKING INCOME 401,167 403,383 424,157 448,300 5.7% 244,958 209,108 -14.6%

GROSS OPERATING PROFIT 197,156 187,660 182,588 193,876 6.2% 109,384 94,273 -13.8%

Cost of risk -85,990 -78,686 -101,232 -102,046 0.8% -66,948 -58,522 -12.6%

CURRENT PRE-TAX PROFIT 111,166 108,448 87,771 88,974 1.4% 42,436 35,751 -15.8%

Income taxes -39,251 -42,837 -31,145 -23,621 -24.2% -16,151 -11,029 -31.7%

Non-controlling interests 2,430 2,680 2,497 10,925 337.4% -2,109 0 -100.0%

NET PROFIT ATTRIBUTABLE TO THE GROUP 69,486 62,930 54,129 54,428 0.6% 24,177 24,721 2.3%

Consolidated* balance sheet in IFRS

− In 2014, integration of the cession of Carma

Balance sheet

(in thousands of euros)

IFRS

31/12/2011

IFRS

31/12/2012

IFRS

31/12/2013

IFRS

31/12/2014

Var.2014 /

2013H1 2014 H1 2015

Var. H1

2015 / H1

2014

Cash, central banks and postal cheque accounts 152,824 75,493 206,392 294,712 367,194 251,381

Financial instruments at fair value through profit or loss 21,033 31,415 10,009 8,752 10,401 8,573

Hedging derivatives 66,895 11,407 5,059 4,082 10,599 7,120

Available-for-sale financial assets 196,275 221,459 225,271 150,573 236,713 150,732

Loans and advances to credit institutions 624,790 1,223,686 1,317,875 1,306,618 1,317,582 1,350,351

Transactions with customers 3,337,215 3,341,621 3,231,191 3,206,194 3,198,402 3,146,465

Current and deferred tax assets 56,433 72,695 58,387 76,438 67,357 70,896

Accrual accounting adjustments and other assets 450,391 387,140 335,878 284,776 356,985 232,426

Participating interests, interests in related undertakings

and other long-term investment securities2,036 2,036 2,037 2,037 2,037 2,037

Property, plant & equipment and intangible assets 126,137 148,037 161,827 168,660 163,389 170,474

Goodwil l 4,150 4,150 4,150 0 4,150 0

TOTAL ASSETS 5,038,180 5,519,139 5,558,077 5,502,842 -1% 5,734,808 5,390,454 -6%


* Consolidated •2010-2012 Carrefour Banque - Carrefour Banca - Carma•2013 Carrefour Banque - Carrefour Banca - Fimaser - Carma•2014-2015 Carrefour Banque - Carrefour Banca - Fimaser

TOTAL ASSETS 5,038,180 5,519,139 5,558,077 5,502,842 -1% 5,734,808 5,390,454 -6%

Balance sheet

(in thousands of euros)

IFRS

31/12/2011

IFRS

31/12/2012

IFRS

31/12/2013

IFRS

31/12/2014S1 2014 S1 2015

Central banks and postal cheque accounts 16,805 0 0 0 0 0

Financial instruments at fair value through profit or loss 17,757 25,814 10,838 9,926 10991 9030

Hedging derivatives 44,863 61,066 29,507 27,196 31348 21594

Interbank and equivalent transactions 1,710,648 773,762 449,424 361,391 33224 14523

Transactions with customers 386,428 943,107 627,019 542,490 667279 628745

Debt securities in issue 1,660,623 2,570,367 3,278,716 3,642,322 3780582 3827621

Current and deferred tax l iabil ities 35,323 23,044 11,331 11,373 16108 13929

Technical provisions of insurance entities 191,183 197,734 203,893 0 253853 0

Accrual accounting adjustments and other l iabilities 365,067 277,546 268,897 237,657 254592 200517

Provisions 7,104 11,319 18,677 23,208 19732 23720

Non-controll ing interests 36,110 47,515 45,104 0 48346 0

Shareholders' equity attributable to the Group: 566,269 587,865 614,671 647,279 618753 650775

Share capital and associated reserves 300,405 300,404 300,404 300,404 300404 308457

Consolidated reserves 196,379 224,531 260,138 292,446 294172 317596

Net profit for the period 69,486 62,930 54,129 54,428 24177 24721

TOTAL LIABILITIES AND EQUITY 5,038,180 5,519,139 5,558,077 5,502,842 -1% 5,734,808 5,390,454 -6%

APPENDICESINCOME STATEMENT - STATUTORY ACCOUNTSINCOME STATEMENT - STATUTORY ACCOUNTS

France

Satisfactory and steady results

‒ In 2013, the full impact “lagarde law” has been constated

‒ In 2014,

• the operating income has decreased of 6,2%, due to an increase of business investments (49% more

depreciation charges)

• The net income has improved because it integrates the capital gain made on disposal of Carma shares in

December

Income statement

(in € M)FY 2011 FY 2012 FY 2013 FY 2014

Var.

2014/2013


* statutory : Carrefour Banque - Carrefour Banca

(in € M)FY 2011 FY 2012 FY 2013 FY 2014

2014/2013

NET BANKING INCOME 365 375 397.7 405.3 1.9%

GROSS OPERATING PROFIT 185 172 178.6 173.0 -3.2%

COST OF RISK -81 -79 -101.6 -100.8 -0.8%

OPERATING INCOME 102 93 77.0 72.2 -6.2%

NET INCOME 63 52 46.2 64.9 40.4%

Spain

After years of steady results, a great increase in 2014

− Economic reforms encourages the relaunch

− Reinforcement of the commercial momentum (Carta Pass reworking in 2014 : new features, a wider offer)

Income statement

(in € M)FY 2011 FY 2012 FY 2013 FY 2014

Var.

2014/2013


NET BANKING INCOME 202.8 204.8 209.4 243.7 16.4%

GROSS OPERATING PROFIT 151.7 151.2 150.7 178.5 18.4%

COST OF RISK -67.3 -63.8 -76.6 -47.9 -37.4%

OPERATING INCOME 84.4 87.4 74.1 130.6 76.2%

NET INCOME 59.0 61.2 51.9 91.4 76.2%

Belgium

Fimaser posted stable results over the last years

− Stable results ( except 2013 due to a sale of its porfolio)

Income statement

(in € M)FY 2011 FY 2012 FY 2013 FY 2014

Var.

2014/2013

NET BANKING INCOME 24.5 25.9 27.5 26.0 -5.6%


NET BANKING INCOME 24.5 25.9 27.5 26.0 -5.6%

GROSS OPERATING PROFIT 12.0 12.5 14.1 11.1 -21.2%

COST OF RISK -7.0 -6.5 -7.2 -4.5 -38.2%

OPERATING INCOME 5.0 5.9 6.9 6.3 -9.6%

NET INCOME 3.6 3.3 4.5 3.1 -30.6%

Italy

Carrefour Banca

− A tough economic environment

− Improvement of the commercial activity neutralised by the prudential approach of cost of risk

− Reinforcement of the interconnection with Carrefour (launch of PASS days from fall 2014...)

Income statement

(in € M)FY 2011 FY 2012 FY 2013 FY 2014

Var.

2014/2013


NET BANKING INCOME 16.0 17.6 19.3 19.7 2.3%

GROSS OPERATING PROFIT 5.9 6.5 5.6 5.9 5.7%

COST OF RISK -5.3 -6.4 -8.0 -10.4 30.2%

OPERATING INCOME 0.6 0.1 -2.4 -4.5 86.8%

NET INCOME -0.2 -0.4 -1.5 -3.0 97.6%

USEFUL INFORMATION

Your Contact Persons

Alessandra GIROLAMI Head of Financial

Communication and investor [email protected]

Relations

+ 33 (0)1 41 04 28 83

Matthew MELLIN Investor Relations Director [email protected]

Mathilde RODIE Investor Relations Director [email protected]


Frédéric MAZURIER Deputy CEO / CFO + 33 (0)1 60 76 48 00 [email protected]

Dominique MOLLIET Treasurer + 33 (0)1 60 76 48 15 [email protected]

Disclaimer

This document is for discussion and information purposes only. It is highly confidential and is the property of Carrefour Banque (“the Originator”). It should not be transmitted to any person other than to a limited number of

sophisticated or sufficiently experienced prospective investors in order to assist them in determining whether they have an interest in the type of securities described herein and is solely for their internal use. This document is

confidential and may not be distributed, passed on, published, reproduced, transmitted, communicated or disclosed, directly or indirectly, in whole or part, to any other person without the Carrefour Banque prior written

consent.

This document is not a personalised recommendation and it does not purport to be a comprehensive review of any prospective investors’ investment objective, financial situation or particular need.

This document is for distribution only under such circumstances as may be permitted by applicable law. Recipients of this document should inform themselves about and observe any applicable legal or regulatory requirements

in relation to the distribution or possession of this document to or in that jurisdiction. In this respect, none of the Managers nor any of their affiliates, directors, employees, agents or advisers nor any other person accept any

liability to anyone in relation to the distribution, possession or delivery of this document in, to or from any jurisdiction. This document is not directed at, or intended for distribution or use by, any person or entity who is a

citizen or resident of any jurisdiction where such distribution, publication, availability or use would be contrary to applicable laws or regulations of such jurisdictions.

This document should not be construed as an offer, solicitation or recommendation with respect to the purchase, sale or subscription of any interest or security or as an undertaking, promise, warranty or representation by the

Managers to the future provision of services or product or to complete a transaction subject to the terms and conditions described in this document or any other terms and conditions. Any undertaking provided for in this

document should be treated as preliminary only and is subject to a formal approval and written confirmation in accordance with each Manager’ current internal procedures.

None of the Managers has verified nor independently analysed the information contained in this document. Accordingly, no representation, guarantee, warranty or undertaking, express or implied, is made to recipients as to or

in relation to the accuracy, correctness or completeness or otherwise of this document or as to the reasonableness of any assumption contained in this document. The information contained in this document sets out the

principle features of the transaction describe herein and is subject to change without notice. The information contained in this document does not take into account specific tax rules or accounting methods applicable to

counterparties, clients or potential clients of the Managers. Therefore, the Managers shall not be liable for differences, if any, between its own valuations and those valuations provided by third parties; as such differences may

arise as a result of the application and implementation of alternative accounting methods, tax rules or valuation models.

Transactions relating to financial instruments involve risks of adverse or unanticipated market, economic, political or legal developments, risk of illiquidity and the financial outcome of any particular transaction depends on this

variety of factors including but in no way limited to, credit risk (including in relation to the counterparty, the underlying debtor, the swap provider, the liquidity provider, the assignor), investor interest, grade of potential

investor market, selling restrictions in target jurisdictions, rating of the bonds or commercial paper issued, tax considerations, legal documentation, particular features of underlying assets, and availability of collateral. Past

performance, simulated performance or historical data are not reliable indicators of future yields or returns.


performance, simulated performance or historical data are not reliable indicators of future yields or returns.

The delivery of this document does not imply in any way an obligation on anyone to update the information contained herein at any time, which is qualified in its entirety by the information specified in the relevant legal

documentation for this transaction.

When you enter into a transaction, you will be deemed to act for your own account and to understand and accept its terms and conditions and associated risks. None of the Managers does act as an advisor, nor owe any

fiduciary duty and this document and the information it contains shall not be construed as financial, legal, regulatory, tax, accounting or other advice. You should also make your own evaluation of the document, the

information herein contained and the investment. You should consult with your advisors concerning these matters before undertaking the proposed transaction and obtain independent professional advice from appropriate

professional advisors if you deem it appropriate before undertaking any action.

Under no circumstance shall the Managers or any of their directors, officers, employees be responsible or liable, directly or indirectly, to any person or entity for any direct or consequential damage, loss, cost, charge, expense or

other liability whatsoever, in whole or in part, resulting from, caused or alleged to be caused by or in connection with the use of or reliance on the information and the contents in this document and/or any omission, condition

or other circumstances within or outside the control of the Managers or any of their directors, officers or employees in connection with the procurement, collection, compilation, analysis, interpretation, communication or

delivery of the information and the contents of this document.

The distribution of this document in other jurisdictions than France and United Kingdom may be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any

such restriction

www.carrefour-banque.fr

Etablissement de crédit et de courtage en assurances

Société anonyme au capital de 101 346 956,72 euros – RCS Evry 313

811 515

1 place Copernic – 91051 Evry cedex – n° ORIAS 07 027 516

Documents

201506 Investors presentation CARREFOUR BANQUE G4 … · Carrefour Banque France ata glance Key highlights as at 30 June 2015 −arrefour Banque is the French captive personal financial