Societe Generale S.a. Class A · EURONEXT:GLE

Societe Generale S.a. Class A — Debt Investor Presentation (September 2015)

80 slides from Societe Generale S.a. Class A's debt investor presentation, September 2015

  1. Slide 1: Presentation to Debt Investors

    SOCIETE GENERALE PRESENTATION TO DEBT INVESTORS September 2015

  2. Slide 2: Disclaimer

    DISCLAIMER The information contained in this document (the “Information”) has been prepared by the Société Générale Group (the “Group”) solely for informational purposes. The Information is proprietary to the Group and confidential. This presentation and its content may not be reproduced or distribu

  3. Slide 3: Agenda

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  4. Slide 4: Strong Q2 reflecting business dynamics and quality of the model

    SOCIETE GENERALE GROUP dd STRONG Q2 REFLECTING BUSINESS DYNAMICS AND QUALITY OF THE MODEL Significant growth in revenues: Group NBI at EUR 6.9bn in Q2 15, up +16.4% (+8.9%*(1)) vs. Q2 14 and EUR 13.2bn in H1 15, up +14.4%, (+6.7%*(1)) vs. H1 14 Accelerated business Improvement of Cost to Income rati

  5. Slide 5: Key figures

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  6. Slide 6: Revenue growth, in line with roadmap

    SOCIETE GENERALE GROUP dd REVENUE GROWTH, IN LINE WITH ROADMAP… Net Banking Income(1) (in EUR bn) +1% +5% +3% 2013-2016 +3% CAGR TARGETS +1.0%  +2.8%(2)  +5.0%  +3.5%(2)  12.9 H1 13 – H1 15 CAGR 12.4 RUSSIA 5.3 4.8 4.2 4.3 3.7 3.6 11.7 12.6 3.1 3.3 H1 13 H1 15 H1 13 H1 15 H1 13 H1 15 H1 13 H1 15

  7. Slide 7: With a disciplined capital usage

    SOCIETE GENERALE GROUP dd … WITH A DISCIPLINED CAPITAL USAGE Risk Weighted Assets (RWA)(1) (in EUR bn) 2013-2016 +1% +5% +5% +4% CAGR TARGETS +1.4%  -0.8%(2)  +5.9%  +2.9%(2)  H1 13 – H1 15 CAGR 360.6 RUSSIA 345.8 144.2 128.5 108.6 102.5 91.7 94.2 349.3 329.8 92.7 91.2 H1 13 H1 15 H1 13 H1 15 H1

  8. Slide 8: Efficiency gains from cost reduction efforts

    SOCIETE GENERALE GROUP dd EFFICIENCY GAINS FROM COST REDUCTION EFFORTS Cost to Income of Businesses(2)  Operating expenses H1 13 – H1 15 CAGR: H1 13 H1 14 H1 15 End-2016 TARGET +1.8%(1) • Large part of increase due to business growth and 63.3% 63.0% 62.2% 63.0% FRENCH RETAIL BANKING  introduction

  9. Slide 9: Additional EUR 850m of savings planned by end-2017

    SOCIETE GENERALE GROUP dd ADDITIONAL EUR 850M OF SAVINGS PLANNED BY END-2017 Cost Savings vs. Transformation Costs (EUR m)  Continuing the current cost reduction effort 2015-2017 400 • Further implementation of cost levers from 2013-2015 850 existing 2013-2015 plan 450 • Ongoing focus on review and

  10. Slide 10: Downward trend in cost of risk confirmed

    SOCIETE GENERALE GROUP dd DOWNWARD TREND IN COST OF RISK CONFIRMED Cost of Risk (in bp)(1)  French Retail Banking • Downward trend mainly on corporates H1 14 Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 H1 15 End-2016 Target  66 54 57 51 FRENCH 47 38 43 45-50 RETAIL  International Retail Banking and Financial B

  11. Slide 11: Getting closer to our 2016 ROE targets

    SOCIETE GENERALE GROUP dd GETTING CLOSER TO OUR 2016 ROE TARGETS Group and Core Businesses ROE(1) 16% 15% 18% 15% 14% 2014 16% 14% H1 15 ≥10% 13% H1 15 excl. Russia ~10% 10% End-2016 6% ROE TARGET 4% GROUP FRENCH RETAIL INTERNATIONAL GLOBAL BANKING BANKING RETAIL BANKING AND AND INVESTOR FINANCIAL S

  12. Slide 12: Consolidated results

    SOCIETE GENERALE GROUP dd CONSOLIDATED RESULTS Group Results (in EUR m)  Continued strong growth in NBI • Solid Retail banking activities In EUR m Q2 14 Q2 15 Change H1 14 H1 15 Change • Good performance of Global Banking and Investor Net banking income 5,900 6,869 +16.4% +14.8%* 11,556 13,222 +14.

  13. Slide 13: Liquidity and capital

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  14. Slide 14: High quality capital and very solid ratios

    SOCIETE GENERALE GROUP dd HIGH QUALITY CAPITAL AND VERY SOLID RATIOS  Common Equity Tier 1 ratio(1): 10.4% at end- CET1 Ratio(1)  -12bp June, up +31bp vs. Q1 15 +17bp +26bp -13bp +11bp  Solid capital generation allowing for RWA growth (2013-2016 CAGR: 4%) and 50% payout 10.4% Q2 15 Dividend Capit

  15. Slide 15: AT1 issues: large buffers

    SOCIETE GENERALE GROUP AT1 ISSUES: LARGE BUFFERS Available distributable items(1) Buffer to coupon restrictions* EUR 11bn EUR 18bn EUR 15bn EUR 12bn EUR 9bn 8.0% 7.125% 1.0% 6.250% 0.8% 5.375% 0.5% 2.5% 1.9% 0.3% 1.3% 0.6% Combined buffer requirement G-SII buffer Capital conservation buffer 4.5% Min

  16. Slide 16: Strong liquidity position

    SOCIETE GENERALE GROUP STRONG LIQUIDITY POSITION Short term wholesale resources (in EUR bn)  Robust balance sheet structure with an and short term needs coverage (%) overall stabilization 140 120 • Short term funding at 8% of funded balance 115 100 sheet at end-June 2015 104 96 180% 80 168% • L/D r

  17. Slide 17: Liquid asset buffer

    SOCIETE GENERALE GROUP LIQUID ASSET BUFFER Liquid asset buffer (in EUR bn)  Further strengthening of liquid asset buffer 159 144 140 146 152 to EUR 152bn in June 2015 • Up by + EUR 6bn since March 2015 • Covering 259% short term funding (excl. long 49 term debt maturing within a year), +9pts since

  18. Slide 18: Robust balance sheet

    SOCIETE GENERALE GROUP ROBUST BALANCE SHEET Group balance sheet (in EUR bn)  EUR 1.4trn balance sheet out of which EUR 0.7trn funded balance sheet 1360 1360 • Excluding contribution of insurance INSURANCE 115 115 INSURANCE • Netting of derivatives, repos and other assets and liabilities DERIVATIVES

  19. Slide 19: Strengthened funding structure

    SOCIETE GENERALE GROUP STRENGTHENED FUNDING STRUCTURE  Significant shift towards stable resources vs. Funded balance sheet (in EUR bn) short term funding 696 696 • Short term funding at 8% of funded balance sheet, 669 669 down vs. 25% at mid-2011 69 58 CENTRAL BANKS 33 18 • Decline in the loan to d

  20. Slide 20: Group funding

    SOCIETE GENERALE GROUP GROUP FUNDING 2015 long term funding programme(1) Parent company funding programme EUR 25-27bn Issued by parent company EUR 18.1bn Senior debt EUR 14.7bn o/w unsecured debt EUR 13.7bn Average maturity: 4.6 years Average spread: Euribor MS 6M+26bp o/w covered bonds EUR 1.0bn Su

  21. Slide 21: Diversified access to long term funding sources

    SOCIETE GENERALE GROUP DIVERSIFIED ACCESS TO LONG TERM FUNDING SOURCES Long term funding breakdown(1)  Access to diversified and complementary investor Subordinated debt(5) bases through: LT Interbank 13% • Subordinated issues liabilities(4) Structured private 28% placements • Senior vanilla issuan

  22. Slide 22: Ratings

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  23. Slide 23: Societe Generale Group credit ratings overview

    SOCIETE GENERALE GROUP CREDIT RATINGS OVERVIEW DBRS Key strengths reflected in Societe Generale’s ratings are its solid franchises, Senior Long-term debt AA (low) (UR-Neg) sound capital and liquidity and improving profitability. Senior Short-term debt R-1 (middle) (Stable) • Strong franchise Intrins

  24. Slide 24: Business performance

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  25. Slide 25: French Retail Banking: positive commercial trends

    FRENCH RETAIL BANKING dd POSITIVE COMMERCIAL TRENDS Loan Production  Dynamic customer acquisition across three (in EUR bn) brands, notably mass affluent and HNWI clients supporting cross selling opportunities • 185,000 net new current accounts in H1 15, +69% 10.0 vs. H1 14 8.6 6.7 6.8 5.6  Deposit

  26. Slide 26: French Retail Banking: strong contribution to Group results

    FRENCH RETAIL BANKING dd STRONG CONTRIBUTION TO GROUP RESULTS Net Banking Income(1) (in EUR m)  Positive revenue trend continues (+3.1%(1) vs. 2,080 2,082 2,136 2,164 2,119 H1 14) • Net interest income up +3.5%(1) vs. H1 14, driven by 826 857 850 854 FEES 824 strong commercial activity Deposit coll

  27. Slide 27: International Retail Banking: solid growth

    INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES dd SOLID GROWTH International Retail Banking  International Retail Banking Loan and Deposit Outstandings Breakdown (in EUR bn – change vs. end-Q2 14, in %*) • Continued strong deposit collection vs. Q2 14, particularly in the Balkans (+18.9%*) TOT

  28. Slide 28: International Retail Banking: overall robust performance

    INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES dd OVERALL ROBUST PERFORMANCE Net Banking Income (in EUR m)  Strong contribution apart from Russia 1,887 1,854 • Solid increase in revenues (+6.1%*(1) vs. Q2 14), 279 -30.1%* 161 RUSSIA with strong dynamics in Insurance (+8.1%*) and Financial Serv

  29. Slide 29: Global Banking and Investor Solutions: sustained commercial trend

    GLOBAL BANKING AND INVESTOR SOLUTIONS dd SUSTAINED COMMERCIAL TREND, REVENUES UP +16.6% VS. Q2 14 Net Banking Income (in EUR m)  Dynamic growth in Global Markets and Investor Services: NBI +16.2% vs. Q2 14 2,295 2,115 2,189 2,590 2,675 TOTAL • Equities: +61.1%, overall strong performance of all act

  30. Slide 30: Proven track record in profitability

    GLOBAL BANKING AND INVESTOR SOLUTIONS dd PROVEN TRACK RECORD IN PROFITABILITY Group Net Income by Business (in EUR m)  Global Markets and Investor Services 1,031 1,031 1,213 TOTAL • Solid contribution to Group net income: 148 ASSET AND WEALTH MANAGEMENT EUR 384m in Q2 15 (+13.3%), ROE at 16.8% in Q

  31. Slide 31: Corporate Centre results

    SOCIETE GENERALE GROUP dd CORPORATE CENTRE: GROSS OPERATING INCOME(1) IN LINE WITH 2016 OBJECTIVE Corporate Centre Results   NBI impact from revaluation of own financial In EUR m Q2 14 Q2 15 H1 14 H1 15 liabilities Net banking income (348) 187 (682) 113 • EUR +312m in Q2 15, EUR+374m in H1 15 Net

  32. Slide 32: Conclusion

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  33. Slide 33: Strategic milestones reached, successful ongoing transformation

    SOCIETE GENERALE GROUP dd STRATEGIC MILESTONES REACHED, SUCCESSFUL ONGOING TRANSFORMATION  Very good H1 15 • Strong commercial dynamics and solid growth of NBI • Improved cost/income ratio, notably through the successful implementation of the cost reduction plan • Cost of risk curbed in all busines

  34. Slide 34: Key figures

    SOCIETE GENERALE GROUP dd KEY FIGURES Chg In EUR m Q2 15 Chg Q2 vs. Q1 H1 15 Q2 vs. Q2 Net banking income 6,869 +8.1% +16.4% 13,222 Operating expenses (4,124) -7.2% +7.6% (8,566) Net cost of risk (724) +18.1% -3.7% (1,337) Financial results Group net income 1,351 +55.6% +25.2% 2,219 ROE 11.2% 9.1% R

  35. Slide 35: Appendices

    INTRODUCTION KEY FIGURES LIQUIDITY AND CAPITAL RATINGS BUSINESS PERFORMANCE CONCLUSION APPENDICES

  36. Slide 36: Quarterly income statement by core business

    SUPPLEMENT – SOCIETE GENERALE GROUP QUARTERLY INCOME STATEMENT BY CORE BUSINESS International Retail Banking and Global Banking and French Retail Banking Financial Services Investor Solutions Corporate Centre Group In EUR m Q2 14 Q2 15 Q2 14 Q2 15 Q2 14 Q2 15 Q2 14 Q2 15 Q2 14 Q2 15 Net banking inco

  37. Slide 37: Half year income statement by core business

    SUPPLEMENT – SOCIETE GENERALE GROUP HALF YEAR INCOME STATEMENT BY CORE BUSINESS International Retail Banking and Global Banking and French Retail Banking Financial Services Investor Solutions Corporate Centre Group In EUR m H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 Net banking inco

  38. Slide 38: Quarterly non economic and other important items

    SUPPLEMENT – SOCIETE GENERALE GROUP QUARTERLY NON ECONOMIC AND OTHER IMPORTANT ITEMS In EUR m Net banking Operating Group net Q2 14 income expenses Others Cost of risk income Revaluation of own financial liabilities* (21) (14) Corporate Centre Accounting impact of DVA* (2) (1) Group Accounting impac

  39. Slide 39: Half year non economic and other important items

    SUPPLEMENT – SOCIETE GENERALE GROUP HALF YEAR NON ECONOMIC AND OTHER IMPORTANT ITEMS In EUR m Net banking Operating Group net H1 14 income expenses Others Cost of risk income Revaluation of own financial liabilities* (179) (117) Corporate Centre Accounting impact of DVA* 3 2 Group Accounting impact

  40. Slide 40: IFRIC 21 and SRF impact

    SUPPLEMENT – SOCIETE GENERALE GROUP IFRIC 21 AND SRF IMPACT International Retail Global Banking and French Retail Banking Banking and Financial Corporate Centre Group Investor Solutions Services H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 H1 14 H1 15 Total IFRIC 21 impact - NBI -26 -26 Total IFR

  41. Slide 41: CRR/CRD4 prudential capital ratios

    SUPPLEMENT – SOCIETE GENERALE GROUP CRR/CRD4 PRUDENTIAL CAPITAL RATIOS 31 Dec.14 30 June 15 In EUR bn Shareholder equity group share 55.2 56.1 Deeply subordinated notes* (9.4) (8.3) Undated subordinated notes* (0.3) (0.4) Dividend to be paid & interest on subordinated notes (1.1) (1.0) Goodwill and

  42. Slide 42: CRR leverage ratio

    SUPPLEMENT – SOCIETE GENERALE GROUP CRR LEVERAGE RATIO CRR fully loaded leverage ratio(1) In EUR bn 31 Dec.14 30 June 15 Tier 1 44.6 45.9 Total prudential balance sheet(2) 1,208 1,257 Adjustement related to derivatives exposures (83) (87) Adjustement related to securities financing transactions* (20

  43. Slide 43: Balance sheet metrics meet 2016 targets

    SUPPLEMENT – SOCIETE GENERALE GROUP BALANCE SHEET METRICS MEET 2016 TARGETS New 2016 New 2017 2013 2014 H1 15 2016 Targets ambitions ambitions CET 1 10.0% 10.1% 10.4%  ≥10% Close to 11 % Tier 1 11.8% 12.6% 12.7%  ≥12.5% Total Capital Ratio 13.4% 14.3% 15.2%  ≥15% >18% Short term wholesale funding

  44. Slide 44: Risk-weighted assets

    SUPPLEMENT – RISK MANAGEMENT RISK-WEIGHTED ASSETS* (CRR/CRD 4, in EUR bn) TOTAL 95.3 94.7 94.2 104.7 105.7 103.1 132.9 151.6 144.2 17.9 18.2 19.7 350.7 370.2 361.2 43.9 28.6 43.9 43.7 OPERATIONAL 28.6 25.3 MARKET 21.2 28.6 25.4 CREDIT 24.1 19.3 6.4 6.0 4.4 4.0 0.1 6.0 4.0 0.1 0.1 0.0 0.1 24.0 0.3 30

  45. Slide 45: Breakdown of commitments by sector

    SUPPLEMENT – RISK MANAGEMENT BREAKDOWN OF SOCIETE GENERALE GROUP COMMITMENTS BY SECTOR AT 30 JUNE 2015 Telecoms EAD Corporate: 3.3% Transport & logistics 6.3% Finance & insurance EUR 324bn* Personnel & domestic 22.8% services 0.1% Collective services Real Estate 6.6% 7.3% Business services Public ad

  46. Slide 46: Geographic breakdown of commitments

    SUPPLEMENT – RISK MANAGEMENT GEOGRAPHIC BREAKDOWN OF SG GROUP COMMITMENTS BY SECTOR AT 30 JUNE 2015 On-and off-balance sheet EAD* On-balance sheet EAD* All customers included: EUR 780bn All customers included: EUR 591bn Latin America and Africa and Latin America Caribbean Middle East Africa and and

  47. Slide 47: GIIPS sovereign exposures

    SUPPLEMENT – RISK MANAGEMENT GIIPS SOVEREIGN EXPOSURES(1) Net exposures(2) (in EUR bn) 30.06.2015 31.03.2015 o.w. positions in o.w. positions in o.w. positions in o.w. positions in Total Total banking book trading book banking book trading book Greece 0.0 0.0 0.0 0.0 0.0 0.0 Ireland 0.1 0.0 0.1 0.2

  48. Slide 48: Insurance subsidiaries' exposures to GIIPS sovereign risk

    SUPPLEMENT – RISK MANAGEMENT INSURANCE SUBSIDIARIES' EXPOSURES TO GIIPS SOVEREIGN RISK Exposures in the banking book (in EUR bn) 30.06.2015 31.03.2015 Gross exposure Gross exposure (1) Net exposure (2) Net exposure (2) (1) Greece 0.0 0.0 0.0 0.0 Ireland 0.4 0.0 0.4 0.0 Italy 2.5 0.1 2.5 0.1 Portugal

  49. Slide 49: Group exposure to GIIPS non sovereign risk

    SUPPLEMENT – RISK MANAGEMENT GROUP EXPOSURE TO GIIPS NON SOVEREIGN RISK(1) On-and off-balance sheet EAD (in EUR bn) 0.2 3.0 14.9 0.9 10.2 4.5 0.2 0.9 RETAIL SECURITISATION 7.0 7.6 CORPORATES FINANCIAL INSTITUTIONS (INCL. LOCAL GOVERNMENTS) 0.6 2.1 3.0 0.2 1.8 0.3 0.7 0.1 GREECE IRELAND ITALY PORTUGA

  50. Slide 50: Change in gross book outstandings

    SUPPLEMENT – RISK MANAGEMENT CHANGE IN GROSS BOOK OUTSTANDINGS* End of period in EUR bn 421.4 414.0 411.2 409.8 423.5 425.9 419.6 436.7 450.2 Global Banking and 142.6 Investor Solutions 115.0 122.3 126.6 136.8 111.4 109.2 108.6 124.2 International Retail 118.4 118.3 117.7 112.6 114.0 113.4 112.8 111

  51. Slide 51: Doubtful loans

    SUPPLEMENT – RISK MANAGEMENT DOUBTFUL LOANS In EUR bn 30/06/2014 31/12/2014 30/06/2015 Gross book outstandings* 429.4 427.0 458.4 Doubtful loans* 25.2 23.7 24.1 Gross non performing loans ratio* 5.9% 5.6% 5.3% (Doubtful loans / Gross book outstandings) Specific provisions* 13.8 13.1 13.4 Portfolio-b

  52. Slide 52: Change in trading VaR and stressed VaR

    SUPPLEMENT – RISK MANAGEMENT CHANGE IN TRADING VAR* AND STRESSED VAR Quarterly average of 1-day, 99% Trading VaR* (in EUR m) 31 31 25 24 24 22 20 20 19 Trading VaR* CREDIT 13 19 7 8 7 8 INTEREST RATES 16 11 6 17 23 15 15 17 23 17 18 16 EQUITY 11 14 13 14 11 10 9 7 8 3 3 3 3 2 2 2 2 2 2 1 3 5 6 FOREX

  53. Slide 53: Diversified exposure to Russia

    SUPPLEMENT – RISK MANAGEMENT DIVERSIFIED EXPOSURE TO RUSSIA EAD as of Q2 15: EUR 16.3bn(1) FINANCIAL OTHER INSTITUTIONS CORPORATES CORPORATES SOVEREIGN TIER 1(2) 2%3% 11% 22% ONSHORE CAR LOANS 29% MORTGAGES OFFSHORE 40% 22% RETAIL 44% 22% CONSUMER LOANS 5% OTHER (1) EAD net of provisions (2) Top 500

  54. Slide 54: French Retail Banking: change in net banking income

    SUPPLEMENT – FRENCH RETAIL BANKING CHANGE IN NET BANKING INCOME  Commissions: +3.6% vs. Q2 14 2,065 2,019 2,118 2,055 2,153 NBI in EUR m • Financial commissions: +22.7% 171 209 Financial commissions 168 179 170 • Service commissions: -1.4% 679 645 Service commissions 654 658 677  Interest margin:

  55. Slide 55: French Retail Banking: customer deposits and financial savings

    SUPPLEMENT – FRENCH RETAIL BANKING CUSTOMER DEPOSITS AND FINANCIAL SAVINGS Change Average outstandings Q2 15 vs. Q2 14 in EUR bn 283.2 +5.1% 269.4 271.2 271.9 276.4 LIFE INSURANCE 88.4 +4.0% Financial 85.0 85.2 85.7 87.3 savings: EUR 112.5bn MUTUAL FUNDS +4.5% 23.4 +11.0% OTHERS (SG redeem. SN) 21.1

  56. Slide 56: French Retail Banking: loan outstandings

    SUPPLEMENT – FRENCH RETAIL BANKING LOAN OUTSTANDINGS Change Average outstandings Q2 15 vs. Q2 14 in EUR bn 174.9 175.4 176.7 174.5 174.4 +1.3% INDIVIDUAL CUSTOMERS o.w.: 84.9 84.8 84.8 85.4 87.2 +2.7% - HOUSING - CONSUMER CREDIT AND 11.2 11.1 11.1 11.0 11.0 -1.8% OVERDRAFT BUSINESS CUSTOMERS* 77.4 7

  57. Slide 57: International Retail Banking and Financial Services quarterly results

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES QUARTERLY RESULTS Financial International Services to Insurance Other Total retail Banking corporates In EUR m Q2 14 Q2 15 Change Q2 14 Q2 15 Change Q2 14 Q2 15 Change Q2 14 Q2 15 Q2 14 Q2 15 Change Net banking income 1,358 1,261 -2.6%

  58. Slide 58: International Retail Banking and Financial Services half year results

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES HALF YEAR RESULTS Financial International Services to Insurance Other Total retail Banking corporates In EUR m H1 14 H1 15 Change H1 14 H1 15 Change H1 14 H1 15 Change H1 14 H1 15 H1 14 H1 15 Change Net banking income 2,646 2,471 -2.3%

  59. Slide 59: Quarterly results of International Retail Banking by zone

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES QUARTERLY RESULTS OF INTERNATIONAL RETAIL BANKING: BREAKDOWN BY ZONE Africa, Asia, Total International Western Europe Czech Republic Romania Russia (1) Other Europe Mediterranean basin retail Banking and Overseas In EUR m Q2 14 Q2 15 Q

  60. Slide 60: Half year results of International Retail Banking by zone

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES HALF YEAR RESULTS OF INTERNATIONAL RETAIL BANKING: BREAKDOWN BY ZONE Africa, Asia, Total International Western Europe Czech Republic Romania Russia (1) Other Europe Mediterranean basin retail Banking and Overseas In EUR m H1 14 H1 15 H

  61. Slide 61: Loan and deposit outstandings breakdown

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES LOAN AND DEPOSIT OUTSTANDINGS BREAKDOWN Loan outstandings breakdown Deposit outstandings breakdown (in EUR bn) (in EUR bn) Change Change June.15 vs. June.14 June.15 vs. June.14 1.5 -3.5%* 1.4 O.w. EQUIPMENT 14.8 +4.1%* 15.6 FINANCE(1)

  62. Slide 62: Insurance key figures

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING & FINANCIAL SERVICES INSURANCE KEY FIGURES Life insurance outstandings and unit linked Personal protection insurance premiums Change breakdown (in EUR bn) (in EUR m) Q2 15 vs. Q2 14 87.0 87.9 90.2 92.8 93.2 204 202 203 191 198 20% 20% 20% 22% 22% UNIT LINKED

  63. Slide 63: SG Russia

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING AND FINANCIAL SERVICES SG RUSSIA(1) In EUR m Q2 14 Q2 15 Change H1 14 H1 15 Change Net banking income 310 192 -24.9%* 603 337 -24.9%* Operating expenses (210) (173) -0.3%* (419) (325) +4.3%* Gross operating income 99 19 -76.8%* 185 13 -90.9%* Net cost of ris

  64. Slide 64: Presence in Central and Eastern Europe

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING & FINANCIAL SERVICES PRESENCE IN CENTRAL AND EASTERN EUROPE Clients NBI Net income C/I RWA 8.0m EUR 562m EUR 91m 59.6% EUR 29.8bn NBI RWA Loans Deposits Q2 15 L/D Ratio Ranking (In EUR m) (In EUR m) (In EUR m) (In EUR m) Czech Republic 256 11,963 18,938 24,1

  65. Slide 65: Presence in Africa

    SUPPLEMENT – INTERNATIONAL RETAIL BANKING & FINANCIAL SERVICES PRESENCE IN AFRICA Clients NBI Net income C/I RWA 3.7m EUR 294m EUR 49m 53.7% EUR 16.7bn NBI RWA Loans Deposits Q2 15 L/D Ratio Ranking (In EUR m) (In EUR m) (In EUR m) (In EUR m) Morocco 106 6,586 6,760 5,616 120% 4th(2) Algeria 34 1,76

  66. Slide 66: Global Banking and Investor Solutions quarterly results

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS QUARTERLY RESULTS Global Markets and Asset & Wealth Total Global Banking and Investor Financing and Advisory Investor Services Management Solutions In EUR m Q2 14 Q2 15 Change Q2 14 Q2 15 Change Q2 14 Q2 15 Change Q2 14 Q2 15 Change Net banking inco

  67. Slide 67: Global Banking and Investor Solutions half year results

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS HALF YEAR RESULTS Global Markets and Asset & Wealth Total Global Banking and Investor Financing and Advisory Investor Services Management Solutions In EUR m H1 14 H1 15 Change H1 14 H1 15 Change H1 14 H1 15 Change H1 14 H1 15 Change Net banking inco

  68. Slide 68: Risk-weighted assets

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS RISK-WEIGHTED ASSETS IN EUR BN GLOBAL MARKETS GLOBAL MARKETS AND INVESTOR INVESTOR SERVICES SERVICES 70.2 70.5 63.0 10.6 15.0 14.0 2.2 0.1 2.2 22.1 20.7 0.2 20.7 1.7 0.2 22.0 22.6 17.0 12.7 11.6 8.7 26.1 27.2 25.3 Q2 14 Q1 15 Q2 15 Q2 14 Q1 15 Q2 15

  69. Slide 69: Revenues

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS REVENUES Global Markets and Investor Services revenues Asset and Wealth Management revenues (in EUR m) (in EUR m) PRIME SERVICES 144 142 188 184 SECURITIES 101 SERVICES 183 117 OTHERS 104 170 6 163 5 6 853 799 EQUITIES 7 3 52 496 49 435 652 50 55 52

  70. Slide 70: Key figures

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS KEY FIGURES Private Banking: Assets under management(1) Lyxor: Assets under management(2) (in EUR bn) (in EUR bn) 116 118 118 116 108 99 100 86 85 84 JUN.14 SEPT.14 DEC.14 MAR. 15 JUN.15 JUN.14 SEPT.14 DEC.14 MAR. 15 JUN.15 Securities Services: Asse

  71. Slide 71: CVA/DVA impact

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS CVA/DVA IMPACT NBI impact Q2 14 Q3 14 Q4 14 Q1 15 Q2 15 Equities 2 (1) 3 8 (6) Fixed income, credit, currencies, commodities 10 (7) (3) (5) 34 Financing and Advisory 9 (12) (29) (9) 22 Total 22 (20) (30) (6) 50 PRESENTATION TO DEBT INVESTORS SEPTEMB

  72. Slide 72: Awards

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS AWARDS Financing and Advisory Global Markets and Investor Services DCM - League Table DCM - League Table #6 All Euro Bonds ECM #4 All CEEMEA Emerging Market #5 All Euro Corporate Bonds # 2 France #9 All Euro Bonds #2 All EMEA Corporate Bonds # 4 Ger

  73. Slide 73: Landmark transactions in Q2 2015

    SUPPLEMENT – GLOBAL BANKING AND INVESTOR SOLUTIONS LANDMARK TRANSACTIONS IN Q2 2015 SG CIB as acted as Sole Financial Advisor raising USD 11.5bn in a Indiana Toll Road: acquisition of a highway concession company. senior secured term loan for Cheniere Corpus Christi Holdings, LLC, Among its differen

  74. Slide 74: Details on Group funding structure

    SUPPLEMENT – FUNDING DETAILS ON GROUP FUNDING STRUCTURE 31 DECEMBER 2014 30 JUNE 2015 DUE TO CUSTOMERS 377 350 o.w. Securities sold to o.w. Securities sold to customers under repurchase customers under repurchase agreements: EUR 23bn agreements: EUR 22bn DUE TO BANKS 102 91 o.w. Securities sold to b

  75. Slide 75: EPS calculation

    SUPPLEMENT – OTHER INFORMATION AND TECHNICAL DATA EPS CALCULATION Average number of shares (thousands) 2013 2014 H1 15 Existing shares 789,759 801,831 805,803 Deductions Shares allocated to cover stock options and 6,559 4,404 3,943 restricted shares awarded to staff Other treasury shares and share b

  76. Slide 76: Net asset value, tangible net asset value and ROE equity

    SUPPLEMENT – OTHER INFORMATION AND TECHNICAL DATA NET ASSET VALUE, TANGIBLE NET ASSET VALUE AND ROE EQUITY End of period 31 Dec.13 31 Dec.14 30 June15 End of period 31 Dec.13 31 Dec.14 30 June15 Shareholder equity group share 50,877 55,229 56,146 Shareholder equity group share 50,877 55,229 56,146 D

  77. Slide 77: Methodology (1/3)

    TECHNICAL SUPPLEMENT METHODOLOGY (1/3) 1- The Group’s consolidated results as at June 30th, 2015 were examined by the Board of Directors on August 4th, 2015. The financial information presented in respect of H1 2015 has been prepared in accordance with IFRS as adopted in the European Union and appli

  78. Slide 78: Methodology (2/3)

    TECHNICAL SUPPLEMENT METHODOLOGY (2/3) 6- The Group’s ROTE is calculated on the basis of tangible capital, i.e. excluding cumulative average book capital (Group share), average net goodwill in the assets and underlying average goodwill relating to shareholdings in companies accounted for by the equi

  79. Slide 79: Methodology (3/3)

    TECHNICAL SUPPLEMENT METHODOLOGY (3/3) 8 – Non-economic items and restatements 1. Non-economic items correspond to the revaluation of own financial liabilities and DVA. Details of these items, and other items that are restated, are communicated on pp 30 and 31 of this presentation with respect Q2 14

  80. Slide 80: Investor Relations team

    INVESTOR RELATIONS TEAM ANTOINE LOUDENOT, STÉPHANE DEMON, MARION GENAIS, KIMON KALAMBOUSSIS, MURIEL KHAWAM, JONATHAN KIRK, ELODIE THEVENOT-BEJAOUI  +33 (0) 1 42 14 47 72 [email protected] www. societegenerale.com/en/investors

Société Générale — Debt Investor Presentation (September 2015) on 6ix