BPCE - 2020 Universal Registration Document

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ACTIVITIES AND FINANCIAL INFORMATIONS 2020

GROUPE BPCE FINANCIAL DATA

CUSTOMER DEPOSITS & SAVINGS (in billions of euros)

The cost of risk doubled to -€828.3 million ( vs. -€416.7 million in 2019), as a result of prudent provisioning. In the end, the cost of risk reached 13.12% of GNP ( vs. 6.61% in 2019). Divided by loan outstandings, it stood at 34bp in December 2020, up 15bp compared to 2019. The Banques Populaires contributed €1.3 billion to the retail banking & Insurance division’s income before tax, down -22.0% relative to 2019. CAISSES D’EPARGNE During the financial year, the Caisses d’Epargne kept up a brisk business, with €68 billion in new loans granted to finance the economy, i.e. +11% compared to 2019. As a result of the health crisis, the principal active customers decreased by -0.8% over the year 2020. On the other hand, active professional customers grew by +2.3% and active corporate customers by +2.6% compared to 2019, at a slower pace than in previous years. GROWTH OF 13.8% IN ON-BALANCE SHEET DEPOSITS AND SAVINGS (EXCLUDING CENTRALIZED SAVINGS) In a still-competitivesavings market combinedwith a health and economic crisis, the Caisses d’Epargne saw their inflows increase significantly compared to 2019, to reach €281.0 billion in on-balance sheet outstandings excluding centralized savings (+13.8% or +€34.1 billion).Outstandings increased by +3.8% in the individual customer market and by +25.7% in the professional, corporate, and institutional customer markets. Risk aversion and the desire to build up precautionary savings during the year 2020 directed the investments of individual customers towards balance sheet savings. It increased by +6.3% to €230.8 billion ( i.e. +€13.6 billion) under the combined effect of the growth in outstanding demand deposits to €48.1 billion (+17.6% or +€7.2 billion) and passbook savings accounts, up +5.9% to €118.5 billion ( i.e. +€6.6 billion). Thus Livret A savings accounts posted a strong increase in outstandings (+5.0% or +€3.6 billion), as did the Livret Jeune and Livret B accounts (+15.6% or +€2.5 billion). In Home Savings, outstandings continued to grow albeit in more limited proportions (+2.5% or +€1.5 billion), mainly due to scheduled payments and capitalization. Professional, corporate, and institutional customers also made a significant contribution to the growth in balance sheet savings. In these markets, it amounted to €108.4 billion at the end of 2020 (+27.7%, or +€23.5 billion). In particular, it continued to favor demand deposits (+39.3%, or +€18.8 billion, for outstandings of €66.5 billion), partly funded by payments from State-guaranteed loans; passbook savings accounts (+9.9%, or +€1.6 billion to €17.7 billion); and, finally, term deposits (+18.4%, or +€3.2 billion), despite the low-interest-rate environment. Off-balance sheet deposits and savings were down slightly to €137.4 billion in 2020 (-0.1%), impacted by the decline in mutual fund outstandings (-16.3%, or -€1.0 billion), not offset by the increase in life insurance outstandings (+0.7% o+r €0.9 billion).

476.7

8.4 %

439.6

137.4

137.5

● Off-balance sheet deposits and savings ● On-balance sheet deposits and savings (incl. centralized savings)

339.2

302.1

12/31/2020

12/31/2019

2020: ANOTHER VERY STRONG YEAR FOR LENDING ACTIVITY (+8.5%) The Caisse d’Epargne network was as committed as ever to its role in funding the economy and the regions, with robust growth in loan outstandings, to €315.8 billion (+8.5% or +€24.8 billion). Individual customer loan outstandings increased 6.4% on 2019 to €176.2 billion, driven in particular by an upturn in home loans (+7.0% i.e. +€10.3 billion), the outstandings of which came to €158.2 billion in 2020, with activity boosted by low interest rates. Consumer loans also contributed to the rise in total loan outstandings, with growth of +2.3% to €17.8 billion at end-2020, showing remarkable resilience for the year in spite of lockdowns. On the professional, corporate, and institutional customer markets, growth in outstandings was strong (+11.3% or +€14.2 billion), bringing them to €139.6 billion at the end of 2020, due in particular to State-guaranteed loans, outstandings of which amounted to €8.7 billion, as well as home loans at €33.7 billion (+8.1% or +€2.5 billion) and equipment loans at €80.7 billion (+4.8% or +€3.7 billion).

LOAN OUTSTANDINGS (in billions of euros)

315.8

8.5 %

291.0

43.3

35.0

80.7

77.0

191.8

178.9

● Other (incl. SGLs) ● Equipment loans ● Real estate loans

12/31/2020

12/31/2019

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UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE

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