NATIXIS - 2018 Registration document and annual financial report

5 FINANCIAL DATA

Parent company financial statements and notes

In accordance with delegated regulation 2015/63 and implementing regulation 2015/81 supplementing the BRRD Directive on ex-ante contributions to financing mechanisms for the resolution, the Single Resolution Board set the level of contributions to the Single Resolution Fund. Contributions paid to the fund may be made in cash security deposits recognized as assets on the balance sheet (15% in cash security deposits) and in contributions recorded in income as “Taxes other than on income”. Guarantee mechanism for the assets 14. of the former GAPC hive-off vehicle On November 12, 2009, an arrangement was made by BPCE to protect a portion of the portfolios of the former GAPC hive-off vehicle (1) with retroactive effect at July 1, 2009. With this guarantee mechanism, Natixis was able to free up a significant portion of its equity allocated to segregated assets and to protect itself against the risk of loss from these portfolios subsequent to June 30, 2009. This protective arrangement was based on two mechanisms: a sub-participation in terms of risk which acted as a financial a guarantee on 85% of the nominal value of assets recognized as “securities held for investment”, “securities held for trading”, “securities held for sale” and “receivables”. Under this guarantee, Natixis is protected from the very first euro in default up to 85% of the default amount; two total return swaps (TRS), one in euros and another in a dollars, which transferred to BPCE 85% of the profit or loss recognized as from July 1, 2009. The instruments hedged by these TRS were mostly represented by “securities held for trading” and to a lesser extent by “securities held for sale”. At

the same time, Natixis bought an option from BPCE which, if exercised, would allow it to recover in 10 years’ time any net positive performance by the portfolio in exchange for payment of a premium. At December 31, 2018 (as was the case at December 31, 2017), the financial guarantee now has almost no impact in accounting and prudential terms, as the positions which it backed have almost all been sold or closed. The same is true of the guarantee comprising TRS and an option, with the option in the money. Extraordinary gain (loss) 15. Non-recurring income and expense items are determined based on their amount, their unusual nature with respect to current operations, and the likelihood of the events in question repeating. Corporate income tax 16. Due to additional contributions, the corporate tax rate used to calculate the expense payable for the year was 34.43% for France. Applicable local corporate tax rates were used for foreign subsidiaries. Changes in accounting methods and 17. comparability of financial statements There were no changes to accounting methods in respect of the 2018 fiscal year.

The GAPC hive-off vehicle was closed in the second quarter of 2014 in accordance with Natixis’ strategic plan. (1)

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Natixis Registration Document 2018