NATIXIS - 2018 Registration document and annual financial report

PRESENTATION OF NATIXIS Natixis’ businesses

The drastic run-off of assets led to the closure of GAPC on June 30, 2014. Since June 30, 2009, a portion of the GAPC portfolios has been covered by a guarantee from BPCE. The monitoring system and guarantee mechanism remain strictly unchanged since June 30, 2014. Since June 30, 2016, in view of the current value of the Option (see “TRS” and “Option” below) , Natixis has not recorded any capital savings on assets hedged by the TRS. General mechanism of the guarantee The guarantee, which was agreed in principle and announced in August 2009, was formally approved on November 12, 2009 by the corporate bodies of BPCE and of Natixis, with retroactive effect to July 1, 2009. The general mechanism behind the guarantee is based on the establishment of: Two Total Return Swap (TRS) agreements, one in US dollars i. and the other in euros, covering 85% of the net value of the assets recognized in the trading portfolio and risks linked to counterparties not providing collateral. The purpose of these TRS is to transfer 85% of the gains or losses of the accounting units in which the assets are recognized at their fair value through profit or loss. On top of these two TRS, Natixis purchased an option from BPCE (the “Option”) allowing it, should it be exercised, to recover, in 10 years’ time, the capitalized net performance of the portfolios covered by the TRS and to terminate the TRS; A financial guarantee covering 85% of the nominal value of ii. the assets recognized under IFRS as “loans and receivables” (L&R) and “available-for-sale assets” (AFS), as determined at the effective date of the guarantee (i.e. June 30, 2009), less any amortization expensed prior to June 30, 2009. Pursuant to the terms of this financial guarantee, in the event of non-payment confirmed on the scheduled contractual payment date of sums due in respect of any of the assets in the guaranteed portfolio, Natixis will be paid by BPCE from the first euro up to 85% of the amount due. The payment will be made in the currency in which the defaulting asset is denominated. The

expiry date of the financial guarantee is the date from which Natixis is no longer required to pay over to BPCE the sums recovered on assets in the guaranteed portfolio having defaulted. It post-dates the expiry date of the guarantee by 15 years. The guarantee covers portfolio assets held both by Natixis and by its subsidiaries, and agreements between Natixis and its subsidiaries have been put in place with respect to this mechanism.

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INSURANCE 1.3.3

Insurance division The Insurance division consists of a holding company, Natixis Assurances, which owns various operating insurance subsidiaries that develop and manage a comprehensive range of insurance solutions for individuals and professionals. The division is structured around two large business lines and one activity common to all of Groupe BPCE: the Personal Insurance business, which focuses on the a development of portfolios for life insurance, investment and retirement savings, and a very wide range of personal protection coverage (death benefit, work cessation and dependency) and payment protection solutions; the Non-Life Insurance business, focused on developing a portfolios for motor and multi-risk home insurance, personal accident insurance, legal protection, healthcare, and property and casualty insurance; Insurance Solutions handles insurance segments for a Groupe BPCE that are not dealt with by its insurance subsidiaries, e.g. the Group’s insurance program. Natixis’ Insurance division had 1,741 full-time equivalent (FTE) employees at the end of 2018, compared to 1,601 at the end of 2017. The Insurance business generated total revenue from direct sales of €12.0 billion in 2018.

The Insurance division is composed of several legal entities (excluding investment vehicles):

Group company

Legal form

Location France France France France

% voting rights

% of ownership

Natixis Assurances

Joint stock company Joint stock company Joint stock company Joint stock company Joint stock company

100% 100% 100% 100% 100%

100% 100% 100% 100% 100%

BPCE Vie

BPCE Prévoyance BPCE Assurances

Natixis Life BPCE APS

Luxembourg

Simplified joint-stock company France

53%

53%

BPCE Relation Assurances EIG

Economic Interest Group

France France

100%

100%

BPCE IARD

Joint stock company Joint stock company

49.48%

49.48%

ADIR

Lebanon

34% 51%

34% 51%

Ecureuil Vie Développement

Simplified joint-stock company France

The Group’s five biggest entities are:

of the Insurance division with various resources necessary for operating insurance activities; BPCE Assurances, a non-life insurance company that offers a a full range of property and casualty insurance products (auto insurance, multi-risk home insurance, personal accident coverage, health insurance, legal protection and business and personal protection insurance for professionals);

BPCE Vie, a mixed life insurance company that offers a a comprehensive range of policies and agreements with commitments that are tied to the length of the policyholder’s life. BPCE Vie accounts for the majority of the Personal Insurance business’s workforce and provides the other entities

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Natixis Registration Document 2018