BPCE - 2018 Registration document

FINANCIAL REPORT IFRS Consolidated Financial Statements of BPCE SA group as at December 31, 2018

Gains and losses recognized directly in other comprehensive income

Recyclable

Non-recyclable

Equity financial assets recognized at fair value through other comprehensive income

Revaluation of own credit risk on financial liabilities designated at fair value through profit or loss

Debt financial assets recognized at fair value through other comprehensive income

Available- for-sale financial assets of insurance businesses

Revaluation (actuarial gains and losses) on defined- benefit plans

Total equity attributable to equity holders of the parent

Net income attributable to equity holders of the parent

Change in fair value of hedging derivatives

Total consolidated equity

Non- controlling interests

Foreign exchange rate adjustments

625

1,070

(381)

(58)

(119)

20,210

7,565

27,775

(410)

(403)

(813)

16

16

(1,052)

(301)

(1,353)

(75)

(75)

5 5

(210)

(295) (983) (237)

(505)

(1,747)

(2,730)

(524)

221

33

(109)

(3)

(382)

(619) 1,515

845 845

845 463 (44)

670 433

(524)

221

33

(109)

(3)

896 (41)

3

106

1,291

(348)

(167)

(122)

845

18,882

7,018

25,900

(845)

5

(1,016)

1,016

(231)

60

(109) (109)

(188)

(59)

(247)

106

45

1,016

(288)

(167)

(122)

18,694

6,959

25,653

(402) 201 665 (64) 286 (42) 685 643 (114)

(512)

(914)

201 399 (64) (68)

(266)

46

(732)

(446)

92

(48)

(300)

22

(46)

213

25

68

26

685 685

782 850

1,467 1,492

92

(48)

(300)

22

(46)

213

25

(2)

(2)

(17)

(28)

(45)

198 26,652 Including a variation in the translation difference of -€22 million (-€16 million attributable to equity holders of the parent and -€6 million attributable to non-controlling interests) following the sale of two Natixis (3) group entities (Caspian 1A and 1B) and the liquidation of Nexgen Financial Holding. Other changes also include interest on perpetual deeply subordinated notes for the portion subscribed for by non-controlling interests. (4) The impact of the first-time application of IFRS 9 on the opening balance sheet at January 1, 2018 is presented in detail in Note 5.3.6. (5) Capital increase by BPCE SA group completed in the first half of 2018 following a dividend payout to the Banque Populaire banks and the Caisses d’Epargne (+€201 million). (6) Issuance of €700 million in AT1 deeply subordinated notes by BPCE SA group in Q4 2018. The redemption in 2018 of two perpetual deeply subordinated notes issued by Natixis in 2008 and fully subscribed for (7) by non-controlling interests amounted to -€254 million. These redemptions led to the reversal of the capital gain recorded in equity in the amount of -€43 million (-€31 million attributable to equity holders of the parent and -€12 million attributable to non-controlling interests). Including a reduction in retained earnings of -€68 million (-€114 million attributable to equity holders of the parent and +€46 million attributable to non-controlling interests) arising from the impact of (8) acquisitions and other movements. This reduction was mainly due to the following: the impact of new put options granted to minority shareholders relating to the acquisitions made, for -€49 million (-€35 million attributable to equity holders of the parent and -€14 million attributable to ● non-controlling interests). These put options concern the M&A business line, with the acquisitions of Vermilion (-€15 million) and Fenchurch (-€27 million), and the payments business line, with the acquisition of Alter CE (-€8 million); the impact of existing put options granted to minority shareholders at the start of the year, for -€69 million. This impact was partly due to the change in the fair value of these put options for -€64 million ● (-€56 million attributable to equity holders of the parent and -€18 million attributable to non-controlling interests), generated by the revaluation of financial debt for -€32 million, and by the effects of the unwinding of the discount on this financial debt for -€31 million, and partly due to the transfer of the change in the share of the net minority position of the entities representing these put options, for -€5 million (-€4 million attributable to equity holders of the parent and -€1 million attributable to non-controlling interests); the impact of changes in the percentage ownership of consolidated entities without a loss of control, for -€6 million (-€4 million attributable to equity holders of the parent and -€2 million attributable to ● non-controlling interests). This mainly concerned the increase in the percentage ownership of the consolidated entity Caspian PE (from 55% to 72%), for -€3 million, and the fall in the percentage ownership of the consolidated entity Ossiam (from 83% to 75%), for -€1 million; the recognition of goodwill from BPCE IE directly in equity, in accordance with the accounting treatment of the acquisitions of jointly-controlled entities, for -€1 million. ● Including a variation in the translation difference of -€57 million (-€40 million attributable to equity holders of the parent and -€17 million attributable to non-controlling interests) following the repayment of (9) $669 million in retained earnings by Natixis’ New York branch. Other changes include interest on perpetual deeply subordinated notes for the portion subscribed for by non-controlling interests. (10) (3) 716 (266) (155) 46 (97) 685 19,604 7,048

413

Registration document 2018