BFCM SA INVESTOR PRESENTATION

Transcription

1 SA INVESTOR PRESENTATION Credit update November

2 Disclaimer 2 This presentation has been prepared by Banque Fédérative du Crédit Mutuel ("") solely for use in the roadshow presentation. Statements that are not historical facts, including statements about Crédit Mutuel CIC s (the CM5 CIC Group ) and s beliefs and expectations, are forward looking statements. These statements are based on current plans, estimates and projections, and therefore undue reliance should not be placed on them. Forward looking statements speak only as of the date they are made, and neither CM5 CIC Group nor undertakes any obligation to update publicly any of them in light of new information or future events. This presentation is confidential and is not to be reproduced by any person, nor be distributed to any person other than its original recipient. CM5 CIC Group and take no responsibility for the use of these materials by any such person. This presentation is not an offer to sell or the solicitation of an offer to purchase any notes and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever Crédit Mutuel & Crédit Mutuel group represent the financial perimeter of CM5 CIC until December 2010 and of CM10 CIC starting as of January 2011 (pages 30,31) CM5 CIC is constituted by the addition of Centre Est Europe, Sud est, Ile de France, Savoie Mont Blanc and Midi Atlantique Fédérations of Crédit Mutuel As of January 2011, Five other Fédérations will join the Group : Loire Atlantique, Normandie, Centre, Dauphiné Vivarais and Méditerranée to constitue CM10CIC

3 Origins of Crédit Mutuel Group (CM Group) 3 Co operatives roots > At the end of the 19th century, Frédéric Guillaume Raiffeisen ( ), elaborated a new concept to fight against the poverty of farmers and handworkers > He imagined and encouraged the creation of mutual local banks managing the deposits and loans of their members, financing the local farming sector and development of new technologies, under the responsibility of the community members The framework of the Crédit Mutuel is founded: > 1882, creation of the first Caisse de Crédit Mutuel in Alsace (North Eastern part of France) > Loans are granted only to members > Each member of the Caisse has only one vote > No remuneration for the board s members > The financial surplus is not distributed to the members but placed into a non distributable reserve These principles still apply today > Crédit Mutuel is a co operative group at the service of its members > Which promotes a rational development

4 Crédit Mutuel: a co operative retail oriented Group 4 1,250 Caisses de Crédit Mutuel (CCM) hold the capital of their central bank, the Caisse Fédérale de Crédit Mutuel (CFCM) > CCM and CFCM share a unique banking license The Caisse Fédérale de Crédit Mutuel holds 95% of S.A., a commercial bank which : coordinates the activities of its subsidiaries > finance, insurance, real estate, IT. manages the liquidity and the debt issues of the Group CM Group serves 17.5 million customers > through 4,500 branches in France, Germany, Spain and West European countries 4 million members Vote for their representatives own 1,250 local Caisses de Crédit Mutuel, which own the Caisse Fédérale de Crédit Mutuel S.A. Retail banking, insurance and related activities are the recurrent and dominant sources of revenues > These related activities include private banking, private equity, Corporate & Investment banking > Around 85% of Net Banking Income is derived from the bancassurance activity

5 Agenda 5 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

6 Activity: solid performance and improvement of the loan to deposit ratio 6 Market shares in France of CM (end of 2009) > Total customer deposits: 9% > Total customer loans: 13% (21% in home loans) > Insurance: 4.3% in Life & 4.2% in Non Life > Mutual funds: 5.5% Increasing market presence in Western Europe > Acquisition of 333 branches in Germany in 2008 > Co acquisition of 123 branches in Spain in 2010 (in partnership with Banco Popular Espanol) Outstanding Loans bn % CM Group clients value a strong partner to support their projects > 228bn in customer loans, up 1.9% over one year > of which 110bn in home loans (+5.7%) in the sound French residential real estate market CM Group clients maintain strong confidence in the Group s financial strength > 34.5bn increase in savings to 409.7bn Of which 7.7bn up in clients deposits Of which 6.3bn up in insurance savings Of which 20.5bn up in financial savings Increase in margin forecast: +4bp in retail banking activities y o y 200 H H Outstanding Deposits bn +5.6% H H1 2010

7 Dynamism and resilient business model lead to an overall good performance in H1 10: 1.1bn Net Income (x2 vs. H1 09) 7 CM Group s profitability driven by: Commercial dynamism > A strong rise in revenues has been confirmed: NBI +16% to 5.5bn in H1 10 > Proven strength of bancassurance model: +18% NBI > Recovery of CM CIC CIB (Corporate and Investment Banking) with a 580m contribution to NBI Revenues by Business Lines Revenues ( m) H H Δ 10/09 Retail banking 3,632 4, % Insurance % Private banking % CIB % Private Equity % Corporate center % Total NBI 4,741 5, % Operating efficiency > Recurrent ability to industrialize processes and reduce cost to income ratio > EBITDA margins up +15 points over 2 years to 41% in H A continued reduction in the cost of risk for the Group : 0.6bn ( 27%) > Conservative and prudent approach to risk taking, strong risk management and monitoring m 6,000 5,000 4,000 3,000 2,000 1,000 0 m 1,200 1, , Operating Efficiency Cost of Risk & Profitability , H H H ,483 Net Banking Income EBITDA 1,692 2,236 H H H , Net profit Cost of risk

8 Agenda Liquidity Capital Risks Covered Bonds Appendices 8 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

9 Market Overview Liquidity Capital Risks Covered Bonds Appendices 9 Numerous shocks have impacted liquidity in the short and mid/long term markets in H1 10 > Sovereign debt crisis > Discussions of new regulatory rules for financial institutions > Stress test results 2010 Senior Unsecured Supply by European Financials Mainly offset by the current Eurozone liquidity surplus > The ECB 1 year tender of 442bn maturing in June 2010 was smoothly absorbed by the banking industry Current stage shows progressive return to normality > The ECB last significant tender redemption happened on September 30 th, with 225bn to be rolled over in an unlimited 3 month tender > Having borrowed only 134bn vs. 225bn tendered, European banks ensured a much larger than expected drop in excess liquidity, signaling a healthier outlook for money markets > Banks from core geographies including Italy have a good access to the senior unsecured and covered bond markets 2010 Covered Bond Supply by European Financials Euro zone Sovereign Debt Crisis End of ECB 60bn Covered Bond Purchase Programme Source: Bloomberg, Dealogic as of 18 October 2010

10 Strong Customer Liquidity Liquidity Capital Risks Covered Bonds Appendices 10 Outstanding Loans, Customers Deposits & Savings The retail banking activity is highly funded by customer deposits > 146bn customer deposits as of June 30 th, 2010 > + 9bn y o y: twice the growth in granted loans Loans outstanding Savings Customer deposits > Regular debt issues by within the retail network, savings campaigns In addition, customers hold a large amount of Insurance savings and off balance sheet savings > 59bn Insurance savings > 203bn Financial savings (Mutual funds, securities, etc.) > A network of internationally recognized private banks bn H Loans to Deposits ratio / Loans to Savings ratio As a result, the group has a permanent access to a stable and cheap source of funding 1,8 1,6 1,5 1,6 1,4 Loans to deposits ratio at 1.6x and loans to savings ratio at 0.6x 1,2 1,0 0,8 Ratio Loans / Customer deposits Ratio Loans / Savings 0,6 0,4 0,2 0,5 0,6 0, H1 2010

11 Sound Credit Ratings Liquidity Capital Risks Covered Bonds Appendices 11 Short term P 1 A 1 F1+ Senior Unsecured Debt Ratings Long term Aa3 A+ AA Outlook Stable Stable Stable as of March 2010 October 2010 June 2010 CM CIC Covered Bonds Debt Ratings Long term Aaa AAA AAA Outlook Stable Stable Stable

12 Strong Capacity to Generate Liquidity Liquidity Capital Risks Covered Bonds Appendices 12 Debt Breakdown (1) CM Group applies a strict framework for the management of liquidity risk > Monitored by SA which has the global vision of liquidity risk of the Group > Based on a centralized ALM management, which defines common rules to all group entities The Group liquidity management policy relies on > Applying a regulatory one month liquidity ratio for all the entities of the group > Liquidity buffer negociable & ECB eligible, appropriate to specific and systemic stress The liquidity buffer is exclusively composed of ECB eligible assets > Limiting transformation ratios for commercial banking to 90% by time band from 3 months to 7 years > Limiting the reliance on the interbank market > Diversifying funding sources Banque de France by type of investors 5% Corporates Banks 2% 53% Insurance 2% by geography France 59% UK 20% by currencies Network (2) 3% Funds 15% Asia & ME US 3% 8% Financial institutions 20% Europe 10% (1) Short, medium and long term funding excluding deposits (2) Bonds issued by for the retail network As of September 2010

13 Medium and Long Term Funding Issuing Policy Liquidity Capital Risks Covered Bonds Appendices MLT issuance plan of 13bn > 14 bn raised as at October > already completed Some of AA Senior Unsecured Bond 2010 Issues Size Format Maturity Spread > bor 6M+ Total MLT outstanding: 54bn > Collateralized Public Issues: 26bn > Unsecured Public Issues: 23bn > Retail Network Issues: 5bn Jan Y bp Mar 10 1,250 3Y bp Jul 10 1,000 10Y bp Sep Y bp Oct 10 (LT2) 1,000 10Y bp A competitive position in tough debt markets AAA CM CIC Covered Bond 2010 Issues Size Format Maturity Spread > bor 6M+ Jan 10 1,500 5Y bp Feb 10 1,000 7Y bp Jun 10 1,000 3Y bp Sep 10 1,000 10Y bp

14 Agenda 14 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

15 Group s equity capital: 10.3% T1 ; 9.5 % Core T1 15 Capital s breakdown H Core capital is constituted by members shares and reserves > Each member cannot hold up to 50,000 > Average investment is 16,000 > Regular and continual inflow of subscription by the members > Massive inflow of member s subscription by special campaign Members equity 21% Non distributable reserves 60% Minority interests 12% Perpetual Subordinated Notes 7% TOTAL 100% Hybrid instruments Core Tier 1 bn 20, ,0 3.3 Low pay out policy and automatic capitalization > more than 90% of annual net profit are locked in bylaw non distributable reserves 10, ,0 0, H Total Regulatory Capital RWA ( bn) 147,6 152,3 152,4 Core Tier One 9.5% 10% 10.3% 8.8% bn H1 2010

16 Agenda Liquidity Capital Risks Covered Bonds Appendices 16 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

17 A 228bn loan portfolio with balanced and good quality assets Liquidity Capital Risks Covered Bonds Appendices 17 Breakdown of Assets portfolio by categories of loans bn loans as of June 30 th 2010 > Of which redeemable: +7.4% > 88% in local banking activities Individuals consumer finance 12% Others 9% Corporate, SME & private 31% Home loans are the core of lendings > 48% ( 110.4bn) of total outstanding > Y o Y increase: +5.7% > Low risk as the French property market is very sound bn Individuals home loans 48% Breakdown of Assets portfolio by internal rating % E E D, E+ A,B,C % % % % 0 Home Loans Equipment Consumer Finance Overdrafts Operations

18 Credit risk Liquidity Capital Risks Covered Bonds Appendices 18 Credit risk evolution and provisions for doubtful loans > Stabilization of doubtful loans > 600m increase in credit reserves Cost of risk > The increase of Group s average cost of risk is due to the integration of new Consumer Finance Businesses > General reduction in cost of risk confirmed in 2010 CM Group doubtful loans & credit reserves ( bn) H Gross outstanding customer loans NPL Loans loss reserves Doubtful loan ratio 3.1% 4.7% 4.9% Stock of provisions to NPL 72% 63% 63% CM Group cost of risk % H annual base Retail banking w/o Consumer Finance Individuals o/w Home loans Retailers, Craftsmen, Self Employed, etc SME CIB Private banking Consumer Finance Targo bank Consumer Finance Cofidis TOTAL

19 Agenda Liquidity Capital Risks Covered Bonds Appendices 19 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

20 A sound French housing market Liquidity Capital Risks Covered Bonds Appendices 20 Structurally the French home loan market is a sound and strong market > Low home ownership ratio (59%) among the lowest in Europe > Favorable structural factors (growing population, pension planning, strong and structural demand) Prices recovered by 2.2% in 2009 > After a 10% decrease in 2008, less than most European markets > and are stabilizing since the beginning of the year Sales volumes have increased by 4% from Q to Q > Following a 7% decrease in 2009 House Price Index (Base=Sep/05) Source: CGEDD, Banque de France, Eurostat Activity in volume (real estate) Low risk with only prime home loans and conservative origination policy > Borrowers repayment cannot exceed 33% of the disposable income > Close analysis of the client (work status, regularity of income, credit history) > Home loans are attributed to the client and not to the asset > 89% of home loans have a fixed rate to maturity Number of transactions Source: FNAIM/CGEDD Source: CGEDD

21 CM Group, strong presence in the French home loan business Liquidity Capital Risks Covered Bonds Appendices 21 Crédit Mutuel Group is one of the leader in this low risk profile French Home Loans market > #3 in household home loans with a 21% market share as of year end 2009 > 110bn outstanding home loans as of end June 2010 Strengths of CM Group home loan business > Strong franchise in retail banking > Knowledge of the local market and of clients > Cross selling with insurance business line Focus on organic growth bn Total Credit Outstanding = 228 bn overdrafts 14% lease, eqpmt & others 26% Outstanding Home Loans 93.3 consumer finance 12% Home loans 48% +5.7% (12 months) Dec Dec Dec Jun Dec Jun. 2010

22 CM CIC Covered Bonds: the AAA issuer of CM Group Liquidity Capital Risks Covered Bonds Appendices 22 CM CIC Covered Bonds (CM CIC CB) > A French credit institution, licensed and supervised by the Autorité de Contrôle Prudentiel (ACP), the French Banking Supervisory Authority > Audited by PricewaterhouseCoopers and Ernst & Young CM CIC CB has a limited purpose designed to be bankruptcy remote > Its single purpose is to issue covered bonds and provide funding to the Group s entities > Limited recourse and non petition clauses included in all contracts signed with third parties > Double recourse to SA and to the collateral surety ( cover pool of home loans) In case of a Borrower Event of Default: automatic enforcement of the Collateral Surety > Regulated by common law: European collateral directive provisions transposed into the French Monetary and Financial Code (Article L July 2005) > Segregation of the assets by the Collateral Providers (CM5 CIC) to the benefit of the Issuer (CM CIC CB) > Assets will be entirely transferred in case of enforcement of the Collateral Surety > CM CIC Covered Bonds will benefit from the new legal framework (SFH) which has been approved by French Parliament in October 2010 (Bankruptcy law, UCITS 22.4 compliance, etc.)

23 CM CIC Covered Bonds Cover Pool Liquidity Capital Risks Covered Bonds Appendices 23 Only prime residential mortgages and guaranteed home loans (no RMBS, no securitization, no substitution assets) Underlying properties exclusively located in France % of CM CIC CB's Cover Pool > 10% > 5% and < 10% > 2% and < 5% > 1% and < 2% < 1% Only residential loans under French law Only loans originated by CM Group are eligible > Mastering the underwriting procedures > Unique IT system to support the different processes No loans in arrears in the cover pool Restrictive eligibility criteria Home Loan origination > Present in the whole country > Over weighted in the wealthy areas (Paris, Lyon, Strasbourg, French Riviera )

24 To conclude 24 A group with a strong identity and sound credit profile Its image as a safe retail bank has been strengthened during the financial crisis A business model serving members and clients, combining constant progress and caution A well balanced asset portfolio with high quality standards Satisfactory level in Group s capital (with a 10.3% T1 ratio and 9.5% core T1 ratio) Good capacity to source liquidity internally (deposits) and externally (debt markets) Equipped in human, material and financial resources for a continuous growth

25 Agenda 25 Crédit Mutuel Group Highlights Focus on Liquidity Focus on Capital Focus on Risks Focus on CM CIC Covered Bonds Appendices Contact details

26 26 1. Positioning & Rankings

27 Crédit Mutuel Group s World & Western Europe rankings in terms of Tier 1 capital 27 Top 25 : Western Europe ($M) 2010 Crédit Mutuel, a major player with solid rankings Source: The Banker Regional ranking World ranking Bank Country Tier 1 capital 1 4 Royal Bank of Scotland UK 123, HSBC Holdings UK 122, BNP PARIBAS France 90, SANTANDER Spain 81, Barclays UK 80, Lloyds Banking Group UK 77, Crédit Agricole Group France 75, Unicredit Italy 56, Groupe BPCE France 54, Société Générale France 49, Deutsche Bank Germany 49, ING Bank Netherlands 49, Rabobank Group Netherlands 46, Intesa San paolo Italy 43, Commerzbank Germany 42, Crédit Mutuel Group France 39, BBVA Spain 39, Crédit Suisse Group Switzerland 35, UBS Switzerland 30, Nordea Group Sweden 28, Dexia Belgium 25, Standard Chartered UK 24, Caja de Ahorros y Pen. De Barcelona la Caixa Spain 23, Danske Bank Denmark 22, KBC Group Belgium 22,228

28 A local bank with very solid positions thanks to powerful competitive strengths 28 A powerful distribution capacity, demonstrated by leading positions in France > Logistical and technological capacities to support growth of distribution network Retail banking rd largest retail bank 3 rd home loan provider 3 rd banking network for consumer credit Corporate banking rd largest bank for SME 2nd largest agricultural bank 1 st bank for associations & work councils An innovative strategy to meet clients' needs > Major player in the growth of electronic payment methods > Pioneer of bancassurance in France in 1970 and in mobile phone distribution in 2005 > Pioneer in CCTV, alarm and equipment protection systems Bancassurance Pioneering technological bank 1 1st Non life l insurance 2 2 nd biggest in electronic money in France 4 4th in life bancassurance 1 Top mobile phone bank

29 Crédit Mutuel topped rankings for customers relationship Award for Best Bank «Podium TNS Sofres» 2010 award for best bank in customers relationship

30 CM10 CIC (*) = Networks 30 A cooperative bank with a low risk profile, focused on retail banking via different networks CM10 network CIC network + Normandie (Caen) + Ile de France (Paris) Centre Est Europe BSD-CIN + CIC-EST (Strasbourg) Centre Loire Atlantique (Orléans) Sud Est & (Lyon) Centre Ouest Savoie Mont Blanc (Nantes) (Annecy) Dauphiné Vivarais (Valence) Midi-Atlantique Midi Méditéranée (Toulouse) (Marseille) CIO-BRO S-Bordelaise Lyonnaise Banque + (*) CM5 CIC becomes CM10 CIC in January 2011

31 Fédérations Centre Est Europe ; Sud-Est ; Île-de-France ; Savoie-Mont Blanc ; Midi Liquidity Atlantique ; Capital Dauphiné-Vivarais Risks Covered ; Bonds Appendices Loire Atlantique Centre Ouest ; Normandie ; Centre ; Méditerranéen CM10 CIC organisation As of January % 100 % 51 % 50 % 31 Caisses 80 % ACM 20 % Caisse Fédérale de Crédit Mutuel 95 % () 5 % 50 % 20 % plateforme 50 % 19.9 % Local Banks = Caisses de Crédit Mutuel de : 92.3 % 4,99 % Centre Est Europe Sud Est Île-de-France Savoie-Mont Blanc Midi Atlantique Loire Atl. Centre Ouest Centre Normandie Dauphiné Vivarais Méditerranéen SME BECM Finance * Asset Management * Bail * Covered Bonds * Epargne Salariale * Gestion * Laviolette Financement * Securities * Titres Sofémo FactoCIC BECM ESN * = CM-CIC IT Euro Information EID --EIP EIS --Sicorfé EPS EIDS ETS Euro GDS Euro P3C Euro TVS EurAfric Information IID // DPS Keynectis CardProcess NRJ Mobile Axxès Insurance ACM GACM ACM Vie SAM ACM Vie SA Sérénis Vie ACM IARD Sérénis IARD ACM Services Partners RACC Seguros RMA Watanya Astree ICM Life ICM Ré Procourtage Real estate * Agence Immobilière * Lease * Participation Immobilière SAR Est Sofedim CMH * = CM-CIC Private bk CIC Bq Transatlantique BT Luxembourg BT Belgium Banque de de Luxembourg CIC Suisse Banque Pasche Dubly Douilhet BLC Gestion GPK Finance SA CIC Banque Privée Private equity CIC Finance Bq de de Vizille IPO Holding, Nord CIC Nord Ouest Est CIC Est Ouest CIC Ouest Sud Ouest CIC Société Bordelaise Sud Est CIC Lyonnaise de banque 100 % 100 % 100 % 100 % 100 %

32 A progressive and well controlled European development, purely retail banking focused 32 Norway Sweden Ireland No presence in Ireland United Kingdom Denmark Netherlands Germany Belgium Lux. Poland Iberian Peninsula < 3.1% of consolidated NBI Portugal Morocco Spain Algeria Tunisia Switzerland Italy Italy < 0.2% of consolidated NBI Czech Rep. Austria Slovenia Croatia Bosnia Slovakia Hungary Serbia Macedonia Albania Greece Central & Eastern Europe < 0.3% of consolidated NBI Romania No presence in Greece

33 Latest developments: strategic positions reinforced throughout the financial crisis Internal growth 33 Opening of new branches Partnerships in IT, insurance with other Crédit Mutuel Fédérations Acquisitions Banco Popular France Citibank Deutschland Cofidis 50% of Banque Casino Alliances & Partnerships Long term alliance with Banco Popular 5% stake acquired in Nov 2010 Industrial Partnership with Dexia Acceleration of strategic focus on core business model (retail banking) with organic growth completed by acquisitions and partnerships > Wider product coverage > Geographical conquest

34 34 2. Financials

35 Income statement for H1 10 vs H1 09 H1 10 CM Group P&L ( m) Retail Banking Insurance CIB Private Banking Private Equity Holding Interco TOTAL NBI 4, (222) 5,483 % of consolidated NBI 73.9% 10.0% 10.2% 3.5% 1.8% 0.7% 100.0% Overheads (2,511) (189) (139) (149) (13) (468) 222 (3,247) Cost to income ratio 59.6% 33.0% 24.0% 75.3% 13.3% 59.2% EBITDA 1, (429) 0 2,236 Cost of risk (652) 0 58 (5) 0 (37) 0 (636) OPERATING PROFIT 1, (466) 0 1,600 Net gains/losses on other assets & equity accounted cies 6 12 (0) (0) 0 6 (0) 24 PRE TAX PROFIT 1, (460) 0 1,624 Income tax (357) (120) (138) (9) (2) 114 (0) (513) NET PROFIT (346) 0 1, H1 09 CM Group P&L ( m) Retail Banking Insurance CIB Private Banking Private Equity Holding Interco TOTAL NBI 3, (196) 4,741 % of consolidated NBI 73.6% 8.3% 13.3% 4.3% 0.3% 0.2% 100.0% Overheads (2,371) (182) (135) (144) (12) (401) 196 (3,049) Cost to income ratio 65.3% 44.3% 20.5% 68.3% 75.3% 64.3% EBITDA 1, (393) (0) 1,692 Cost of risk (716) 0 (143) 2 (0) (14) 0 (871) OPERATING PROFIT (407) (0) 821 Net gains/losses on other assets & equity accounted cies (0) (0) 34 PRE TAX PROFIT (402) (0) 854 Income tax (209) (61) (108) (18) (1) 115 (0) (281) NET PROFIT (287) (0) 573

36 Income statement for FY 2009 vs FY 2008 FY 2009 CM Group P&L ( m) Retail Banking Insurance CIB Private Banking Private Equity Holding Interco TOTAL NBI 7, , (590) 10,226 % of consolidated NBI 75.2% 9.4% 15.0% 3.9% 0.5% 1.9% 100.0% Overheads (4,712) (364) (271) (303) (28) (965) 590 (6,052) Cost to income ratio 61.3% 38.0% 17.7% 76.4% 57.3% 59.2% EBITDA 2, , (775) 0 4,174 Cost of risk (1,538) 0 (379) 1 0 (71) 0 (1,987) EBIT 1, (846) 0 2,187 Net gains/losses on other assets and equity accounted cies (0) 0 0 (126) 0 (83) PRE TAX PROFIT 1, (972) 0 2,103 Income tax (497) (165) (273) (24) (1) (668) NET PROFIT (680) 0 1,435 FY 2008 CM Group P&L ( m) Retail Banking Insurance CIB Private Banking Private Equity Holding Interco TOTAL NBI 4, (370) 5,795 % of consolidated NBI 78.1% 12.7% 0.4% 6.9% 1.8% 0.0% 100.0% Overheads (3,242) (313) (239) (272) (38) (652) 370 (4,387) Cost to income ratio 67.3% 40.1% 935.5% 63.6% 34.3% 75.7% EBITDA 1, (214) (651) 0 1,409 Cost of risk (421) 0 (530) (108) 1 (6) 0 (1,064) EBIT 1, (744) (656) Net gains/losses on other assets and equity accounted cies (0) 37 PRE TAX PROFIT 1, (744) (649) Income tax (358) (95) 268 (5) (0) 127 NET PROFIT (476) (333)

37 Balance Sheet & Key Figures 37 Elements of balance sheet ( m) June 2010 June 2009 Total Assets 447, ,535 Customer leases incl. Finance leases 228, ,081 Assets under management and in custody 409, ,165 o/w customer deposits 146, ,167 o/w insurance savings 59,359 53,077 Equity capital & super subornitated loans 24,439 22,632 Employees at end of period 50,451 49,996 Number of points of sale 3,875 3,906 Number of customers 15,957,469 15,836,082

38 38 3. CM CIC Covered Bonds : Investor Report

39 Investor Report September Collateral Description TOTAL_LOAN_BALANCE AVERAGE_LOAN_BALANCE NUMBER_OF_LOANS WA_SEASONING 52 WA_REMAINING_TERM 189 NUMBER_BORROWERS NUMBER_OF_PROPERTIES WA UNINDEXED LTV 0,66 WA INDEXED LTV 0,60 WA INT FL OAT RATE 3,43 Unindexed LTV ranges Indexed LTV ranges Total Loan Balance Nb borrowers Total Loan Balance Nb borrowers 0% to 40% % to 50% % to 60% % to 70% % to 80% % to 85% % to 90% % to 95% % to 100% % to 105% % to 999% Current arrears ranges distribution Nb months in arrears Total Lo an Balance Number of loans > 0

40 Portfolio Breakdown September Unindexed LTV ranges 0 to 40% > 40% to 50% >50% to 60% > 60% to 70% > 70% to _80% > 80% to 85% > 85% to 90% > 90% to 95% > 95% to 100% > 100% to 105% SEASONING in months 1m to m to m to m to m to PROPERTY TYPE FLAT HOUSE OCCUPENCY TYPE BUY to LET OWNER SECOND HOME LOAN_PURPOSE CONSTRUCTION PURCHASE RENOVATION PAY_FREQUENCY MONTHLY QUARTERLY INT_RATE_TYPE FLOATING RATE FIX RESET < 2 years FIX RESET 2y to 5y FIX RESET> 5y RANKS GARANTORS NO PRIOR RANKS RANKS in numbers GARANTORS NO PRIOR RANKS

41 Asset Cover Test September 2010 ASSET COVER TEST 41 Date of Asset Cover Test 19 oct 10 Adjusted Aggregate Asset Amount (AAAA) R Aggregate Covered Bond Outstanding Principal Amount (AAAA) = A + B + C + D (Y + Z) R Asset Cover Test Ratio 1,12 Adjusted Aggregate Asset Amount (AAAA) Aggregate Covered Bond Outstanding Principal Amount Asset Cover Test Result (PASS/FAIL) PASS A A = min(a1;a2) A1 Adjusted Home Loan Outstanding Principal Amount A2 a*b Unadjusted Home Loan Outstanding Principal Amount (a) Asset Percentage (b) 77,20% B Cash Collateral Account 0,00 C Aggregate Substitution Asset Amount (or ASAA ) 0,00 ASAA level limit 20,00% ASAA level is acceptable TRUE D Permitted Investments 0,00 Y Payments under Issuer Hedging Agreement 0,00 Y is equal to: (i) ZERO before any Issuer Hedging Agreement shall be entered into by the Issuer subject to, and in accordance with, the hedging Strategy (ii) otherwise, an amount equal to the payments due under the Issuer Hedging Agreements (plus interest thereon) within the period of alpha pl us 2 months preceding the relevant Asset Cover Test Date where alpha means the period between 2 interest payment Z WAM * Covered Bond Outstanding Principal Amount * 1,00% WAM 2,77 years Negative Carry Adjustement 1,00% Name of Series Outstanding Principal Amount Scheduled Maturity Date Remaining Maturity Series juil. 12 1,74 years Series nov. 10 0,04 years Series oct. 18 7,97 years Series nov. 11 1,04 years Series mai 11 0,53 years Series nov. 13 3,11 years Series janv. 15 4,26 years Series avr. 17 6,52 years Series juin 13 2,65 years Series sept. 20 9,89 years

42 42 4. Contact details

43 Contact details 43 Christian Klein, Managing Director CFO > / T : +33 (0) Christian Ander, Head of Funding & Capital Raising > andercr@cmcic.fr / T : +33 (0) Jerome Linder, Head of FIG > linderje@cmcic.fr / T : +33 (0) Eric Cuzzucoli, Head of Funding > cuzzucec@cmcic.fr / T : +33 (0) cb.com Sandrine Cao Dac Viola, Head of Investor Relations > caodacsa@cmcic.fr / T : +33 (0) / F : +33 (0)