BPCE - 2019 Universal Registration Document

RISK REPORT

RISK MANAGEMENT SYSTEM

Recovery Plan 6.3.5

BPCE’s Supervisory Board approved the Group’s Recovery Plan (RP) for 2019. The plan is in line with European regulatory measures on the recovery and resolution of banks and investment firms, and with the provisions of the French Monetary and Financial Code. The objective of the Recovery Plan is to identify measures to restore the Group’s financial solidity in the event it deteriorates significantly. The plan presents the options available to the Group to launch a crisis management system. It assesses the relevance of the different options in various crisis scenarios and the methods and resources available for their implementation. The Recovery Plan is mainly based on the: Group’s organizational structure and the specific implications • of its cooperative status; identification of the Group’s critical responsibilities; • capital and liquidity management systems; • analysis of financial crisis scenarios; •

identification of options impacting the restoration of the • Group’s financial position and their impacts on the Group’s business model; preventative oversight of leading indicators on financial and • economic conditions; establishment of the organizational structures needed to • implement the recovery. This system is monitored and coordinated by a permanent office at BPCE. The Recovery Plan is kept up to date and approved by the Supervisory Board, aided by its Risk Management Committee for these purposes. The Recovery Plan is updated annually. In addition to updating its Recovery Plan, the Group ran a test in 2019 to make sure it would be able to mobilize quickly to handle a financial crisis impacting its solvency. During the simulation, the Group successfully rallied several teams and its Executive Management Committee.

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UNIVERSAL REGISTRATION DOCUMENT 2019 | GROUPE BPCE