BPCE - 2019 Universal Registration Document

FINANCIAL REPORT

CONTROLS OF ACCOUNTING AND FINANCIAL REPORTING QUALITY

Controls of accounting and financial 5.8 reporting quality

5.8.1

Roles and responsibilities in preparing and processing accounting and

financial information

GENERAL PRINCIPLES OF RESPONSIBILITY WITHIN GROUPE BPCE

it manages emergency financial plans in the event of • idiosyncratic or systemic crises and coordinates the resolution plan. MAIN CENTRAL INSTITUTION FUNCTIONS CONTRIBUTING TO THE PREPARATION AND COMMUNICATION OF ACCOUNTING AND FINANCIAL DATA AND THEIR RESPONSIBILITIES The main functions involved in preparing and publishing accounting and financial information are Accounting, Finance Control and Investor Relations. ACCOUNTING The Accounting function is responsible for producing the individual and consolidated financial statements (Groupe BPCE and BPCE SA group) and the corresponding regulatory filings (particularly COREP and FINREP). Within the Group, each entity’s Accounting function is responsible for its individual financial statements (and, if applicable, the consolidated financial statements), its regulatory reports and disclosures to the central institution. At BPCE, this role is assigned to the Accounting division, the head of which reports to the Chief Executive Officer in charge of Group Finance and Strategy. In this area, the main duties are: preparing the consolidated financial statements of Groupe • BPCE and BPCE SA group, calculating the regulatory ratios and preparing the corresponding reports; coordinating the accounting process within the Group; • providing a regulatory watch on French and IFRS accounting • standards applied by Groupe BPCE in coordination with shareholder institutions, BPCE subsidiaries and the Statutory Auditors; acting as the interface between the regulatory authorities (the • European Central Bank and the ACPR) and affiliated institutions, in accordance with Article L. 512-107 of the French Monetary and Financial Code and ensuring that the affiliated institutions comply with regulatory standards and management ratios; representing the Group in its dealings with industry bodies • ( Autorité des normes comptables, European Banking Federation, etc.); performing accounting services and preparing regulatory • reports for BPCE SA group and the entities under its authority. FINANCE CONTROL The Finance Control function is responsible for preparing operating information.

The production of accounting and financial information and verifications to ensure its accuracy are performed by the Finance functions of the entities included in the scope of consolidation. Each entity has the resources to ensure the quality of accounting and financial data, in particular by seeing that regulations and Group standards are being properly implemented, and reconciling accounting and operating results, where applicable. Each entity prepares, on a monthly or quarterly basis, financial statements and regulatory information required at the local level, along with reporting documents for the Finance and Strategy division. At Groupe BPCE, the preparation and processing of financial and accounting information falls under the responsibility of the Finance function. At the central institution, this function includes four departments of the Finance and Strategy division: The Finance and Strategy division collects the accounting and financial data produced by the entities within the Group’s scope of consolidation. It is also responsible for consolidating and verifying these data for use in Group oversight and communication to third parties (auditors, investors, etc.). In addition to consolidating accounting and financial information, the Finance and Strategy division has broad control duties: it coordinates Asset and Liability management by defining the • Group’s ALM rules and standards and ensuring they are properly applied; it manages and checks Groupe BPCE’s balance sheet ratios • and structural risks; it defines accounting standards and principles applicable to the • Group and ensures they are properly applied; it coordinates the steering and reporting of the Group’s • financial performance in accordance with strategic plan objectives; it manages the Pillar II approach and related matters within the • Group; it monitors the financial planning of Group entities and capital • transactions; it ensures the reliability of accounting and financial information • shared outside Groupe BPCE; it steers planning and strategic operations; • the Financial Management department; • the Performance Oversight department; • the Accounting department; • the Tax department. •

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UNIVERSAL REGISTRATION DOCUMENT 2019 | GROUPE BPCE