NATIXIS_REGISTRATION_DOCUMENT_2017

FINANCIAL DATA Consolidated financial statements and notes

SEGMENT REPORTING

NOTE 9

In November 2017, Natixis presented its new 2018-2020 strategicplan, “NewDimension”.NewDimensionsets out three strong initiatives aimed at developing solutions offering high added value to our clients: to deepen the transformationof our business model, which we achieved under the New Frontier plan, to allocate a significantportion of our investmentsto digital technologies, reflecting our clear resolve to differentiate ourselves to become a benchmark in the areas where Natixis’ teamsboast strongand recognizedskills. The entity has since been organized around four core businesses: Asset & Wealth Management , which includes asset a managementwithin Natixis InvestmentManagers and wealth management; Corporate& InvestmentBanking , which advisesbusinesses, a institutional investors, insurance companies, banks and public sector entities and offers them a diversified line of financing solutions as well as access to the capital markets. Its duties are threefold:to strengthenthe bank’s customerorientation,to serve as a meetingplace betweenissuersand investorsand to roll out the “Originate to Distribute” model to optimize the rotation of the bank’s balance sheet via active managementof the loan book; Insurance , which is Groupe BPCE’s single platform for the a distribution of personal insurance and non-life insurance products; Specialized Financial Services , which combines Payments a and Specialized Financing with Factoring, Leasing, Consumer Finance, Sureties & Financial Guarantees, and Film Industry Financing; and Financial Services with Employee Savings and Securities.These business lines are the key growth drivers for the retail bankingbusinessof GroupeBPCE. Coface,PrivateEquity (proprietaryactivity retaineduntil it is put into run-off, and portionof sponsoredfunds) and NatixisAlgeria are considered non-strategic and are now grouped within the CorporateCenter. Based on this new organization,Managementmonitorsdivisional performance, draws up business plans and manages the business from an operational perspective. In accordance with IFRS 8 “OperatingSegments”,this is the segmentationused by Natixisto define its operatingsegments. Asset Management: asset management activities are a combinedwithin Natixis InvestmentManagers. They cover all asset categories and are carried out mainly in the US and France. These activitiesare performedby autonomousentities (specialized asset management companies and specialized distribution units) coordinated by a holding company that ensures the organization’s consistency by overseeing its strategic direction.These companiesare thus able to focus on their core business and on achieving robust performance, while retaining the option of developingtheir own institutional clientele and drawing on the business line’s other support functions, based on appropriate economic models. A number Asset & Wealth Management 9.1

of these asset managershave forged a strong reputation,such as Loomis Sayles, Harris Associates,AEW, DNCA and Natixis AssetManagement. Together, these specialized asset management companies enable the Group to provide a full range of expertisemeeting demand from all customersegments.Coverageof the various customer segments is optimized by the organization of distribution around a shared platform and the business franchises developed over the long term by the asset management companies. Since the start of 2014, Private Equity companiesfor third party clients have been transferred to Natixis InvestmentManagersand a sponsoringvehicle was set up to monitor Natixis’ commitments in the funds. The teams have extensive expertise in equity financing for generally unlisted, small and medium-sized enterprises in France and Europe via sponsored equity holdings. This businessline coversthe PrivateEquity segmentsfor third party investors, such as Private Equity deals (top-line funding for mature companies), venture capital (new, innovative companies)and funds of funds. WealthManagement: this businessline encompasseswealth a management activities in France and Luxembourg, financial planning solutions, and services for independent wealth management advisors (IWMAs). Natixis Wealth Management holds a key place on the French market. The bank mainly develops its customer base from the clientele of the Caisse d’Epargneand Banque Populairebanks, and to a lesser extent from that of Natixis. Wealth Management offers advisory services, financial planning and expertise, and fund managementsolutions. Corporate & Investment Banking 9.2 Corporate & Investment Banking advises businesses, institutional investors, insurance companies, banks and public sector entities and offers them a diversified line of customized financingsolutionsas well as accessto the capitalmarkets. Building on the technical expertise of its teams, Natixis designs tailoredsolutionsfor its customersincorporatingthe most recent marketdevelopments. In 2016, its organizational structure was adapted to better support its customers, by strengtheningstrategic dialog, and to accelerate the implementationof the “Originate to Distribute” model.This led to the creationof two newbusinesslines: Investment Banking , whose mission is to develop strategic a dialog with customers and incorporates the Strategic and Acquisition Finance, Capital & Rating Advisory, Equity Capital Markets, Strategic Equity Transactions and Corporate Loan Structuringbusinesslines. It also includesBond origination; Global Finance which combines all the players in the a “Originateto Distribute”chain:

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loan origination; j loan syndication; j portfolioManagement. j

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Natixis Registration Document 2017