BPCE - 2020 Universal Registration Document

FINANCIAL REPORT

IFRS CONSOLIDATED FINANCIAL STATEMENTS OF GROUPE BPCE AS AT DECEMBER 31, 2020

Restructuring Natixis Investment Managers (NIM) simplified the organizational structure of its asset management holding companies in the United States. As of January 1, 2020, Natixis US Holdings, Inc. absorbed Natixis Investment Managers LLC, a holding company with a non-material interest (1%) in Natixis InvestmentManagers LP, a company whose remaining capital (99%) was wholly owned by Natixis US Holdings Inc. As part of this transaction, Natixis US Holdings Inc. was transformed into Limited Liability Company (LLC) and then renamed Natixis Investment Managers US Holdings LLC.

On January 1, 2020, Natixis Investment Managers LP absorbed Natixis Investment Managers Holdings LLC, a holding company with a non-material indirect interest (1% to 2%) in various US affiliates (including Loomis, Harris, AEW Capital Management, Vaughan Nelson). The remaining capital in these affiliates was wholly owned by Natixis Investment Managers LP. As part of this transaction, Natixis InvestmentManagers LP was transformed into a Limited Liability Company (LLC) and renamed Natixis Investment Managers LLC. In the first quarter of 2020, Natixis ASG Holdings Inc. absorbed Alternative Strategies Group LLC, a wholly owned subsidiary. Alternative Strategies Group LLC was previously the holding company of AlphaSimplex Group LLC, of which it held all the capital.

3.5

GOODWILL

VALUE OF GOODWILL

3.5.1

12/31/2020

12/31/2019

in millions of euros

4,665

4,489

Opening net value

Acquisitions Disposals (1) Impairment Other changes

52

233

(282)

(2)

(88)

(1) 34

Foreign exchange rate adjustments

(128) 4,307

CLOSING NET VALUE 4,665 Acquisition of a 55% stake in La Banque Postale AM following the merger of Natixis IM’s fixed-income and insurance asset management activities with the latter. (1) The Disposals line includes the goodwill booked following the loss of control of Coface (see Note 1.3). (2)

At December 31, 2020, gross goodwill stood at €4,775 million and total impairment came to -€468 million. Certain goodwill items recognized in the United States give rise to tax amortization over 15 years leading to a difference

between the carrying amount of the goodwill and its tax base. This difference in treatment generated a deferred tax liability of €321 million at December 31, 2020, comparedwith €347 million

5

at December 31, 2019.

Breakdown of goodwill

Carrying amount

12/31/2020

12/31/2019

in millions of euros

Regional Banks (1) Banque BCP France

633

633

42

42

Other

8

8

Retail banking

683 170 170

683 170 170

Oney Bank

Other Networks

Financial Solutions & Expertise

20 39

20 39

Insurance

Equity interests (Coface) (2)

282 137

Payments

137

Retail Banking and Insurance Asset & Wealth Management Corporate & Investment Banking

1,049 3,123

1,331 3,190

135

144

TOTAL GOODWILL 4,665 Regional banks: Banque de Savoie, goodwill carried by Banque Populaire du Sud (transfer of Banque Dupuy, de Parseval’s and Banque de Marze’s goodwill, post-merger), (1) goodwill carried by Banque Populaire Aquitaine Centre Atlantique (transfer of the goodwill of CCSO – Pelletier post-merger) and goodwill carried by Banque Populaire Méditerranée (transfer of Banque Chaix’s goodwill, post-merger). Including +€138 million recognized on the acquisition of Oney Bank by BPCE in 2019 and +€32 million in goodwill recorded on the books of Oney Bank. (2) Including -€282 million corresponding to the cancellation of goodwill following the loss of control of Coface (see Note 1.3). (3) Including +€52 million following the acquisition of a 55% stake in La Banque Postale AM following the merger of Natixis IM’s fixed-income and insurance asset management (4) activities with the latter (see Note 1.3). 4,307

261

UNIVERSAL REGISTRATION DOCUMENT 2020 | GROUPE BPCE