Societe Generale S.a. Class A · EURONEXT:GLE
Societe Generale S.a. Class A — Investor Day (June 2010)
26 slides from Societe Generale S.a. Class A's investor day presentation, Jun 15, 2010
Slide 1: Deliver growth with lower risk
15 June 2010 Deliver growth with lower risk Frédéric Oudéa Chairman & CEO
Slide 2: Key takeaways
Key takeaways Ambition Ambition SG SG 2015 2015 Main Main financial financial targets targets Enhance Enhance aa client-oriented client-oriented Universal Universal Group Group net net earnings earnings target target around around Banking Banking model model refocused refocused onon 33 core
Slide 3: SG in context: transforming itself in a new environment
SG in context: transforming itself in a new environment Sept. 11, Lehman 2001 Greek crisis Environment Enron Subprime Internet Weak growth in Western Europe, bubble Favourable Financial and scarcity of resources, environment, Fraud globalisation economic crisis deleveraging IFRS Basel II Basel III 1
Slide 4: Lessons from the crisis: a portfolio of robust businesses
Lessons from the crisis: a portfolio of robust businesses Solidity Solidity and and growth growth Strong Strong resilience resilience of of Competitive Competitive CIB, CIB, standing standing of of French French Networks Networks International International Retail Retail Banking Banking by by its it
Slide 5: Lessons from the crisis: a necessary transformation, already under way
Lessons from the crisis: a necessary transformation, already under way Reducing Reducing risks risks First First changes changes to to the the operational operational model model Î Significant reduction in market risk Î Operating efficiency plan: first step in the Î Strengthening of the Risk Departm
Slide 6: Lessons from the crisis: agile management of the business portfolio
Lessons from the crisis: agile management of the business portfolio Anticipate Anticipate consolidation consolidation to to achieve achieve critical critical mass mass Enhance Enhance growth growth potential potential of of 33 pillars pillars activities activities Active Active restructuring restruc
Slide 7: Lessons from the crisis: strict management of scarcer resources
Lessons from the crisis: strict management of scarcer resources Liquidity: Liquidity: Capital Capital ratio: ratio: Balance Balance sheet: sheet: scarcer scarcer and and more more expensive expensive higher higher requirements requirements lower lower use use required required Î Rigorous and reinfor
Slide 8: Q2 to date
Q2 to date French Networks Continued strong commercial activity, full year guidance comforted International Retail First signs of recovery in CEE & Russia, still positive trends in other geographies Revenues should be above the Q1 10 level Corporate & Investment Banking Satisfactory results in
Slide 9: 2010-2015 environment: constraints and uncertainty
2010-2015 environment: constraints and uncertainty Annual GDP growth 2010-2015 Different economic outlooks depending (Source: SG) on geographic area 5% 4% Changes in Euro zone 3% Stronger solidarity mechanisms 2% Concerted efforts to reduce public deficits 1% 0% Africa Med. Russia CEE US France
Slide 10: SG in context: transforming itself in a new environment
SG in context: transforming itself in a new environment Sept. 11, Lehman 2001 Greek crisis Environment Enron Subprime Internet Weak growth in Western Europe, bubble Favourable Financial and scarcity of resources, environment, Fraud globalisation economic crisis deleveraging IFRS Basel II Basel III 1
Slide 11: Ambition SG 2015: a universal bank…
Ambition SG 2015: a universal bank… A client driven model serving serving clients clients over over the the long-term long-term A diversified model multi-business multi-business and and multi-client multi-client A balanced model combining combining financing financing solutions solutions and and ass
Slide 12: … refocused on 3 pillars and 2 businesses in synergy
… refocused on 3 pillars and 2 businesses in synergy Financial HNWIs VSEs/SMEs Sovereigns institutions Large Individuals Professionals Local authorities corporates International International French French Corporate Corporate & & Retail Retail Banking Banking Networks Networks Investment Investment
Slide 13: Growth potential driven by a portfolio of promising businesses
Growth potential driven by a portfolio of promising businesses International International Corporate Corporate & & French French Networks Networks Retail Retail Banking Banking Investment Investment Banking Banking 33rdrd largest largest network network in in Largest Largest privately-owned privatel
Slide 14: Ambition SG 2015: deliver growth with lower risk
Ambition SG 2015: deliver growth with lower risk French French Be Be the the benchmark benchmark for for customer customer satisfaction satisfaction Develop Develop intra-Group intra-Group Networks Networks synergies synergies International International Top Top 33 in in CEE CEE and and
Slide 15: Balanced capital allocation
Balanced capital allocation +3%/ year EUR ≈ 41bn excluding CRD3 EUR 34bn impact 1/ of capital to SG CIB including 3 1.8 33% CRD3 impact 27% 7.3 Capital reallocation from 4.9 businesses in synergy towards 25-27% 33% Retail Banking activities 6.2 Potential external growth 7.1 primarily funded by
Slide 16: French Networks: Be the benchmark for customer satisfaction
French Networks Be the benchmark for customer satisfaction 3rd largest network in France with 3 complementary brands Support functions, IT and production Maximise customer satisfaction for each brand Marketing & Marketing & distribution distribution Attract 2 million additional individual cust
Slide 17: International Retail Banking: Top 3 in CEE & Russia
International Retail Banking Top 3 in CEE & Russia 20 million clients in 2015 Create a leading player in Russia Russia CEE Intensify client relationships in the most mature entities Accelerate growth in areas with potential for higher banking penetration, and seize external growth opportunit
Slide 18: Corporate and Investment Banking: Top 5 position in Europe
Corporate And Investment Banking Top 5 position in Europe Expand the worldwide leadership position in SGCIB NBI 2009-2012 equity derivatives and cross-asset structured products ≈ 9.5 ≈ 9.5 Develop structured financing by capitalising on ≈ 8.0 ≈ 8.0 high growth segments 14% 3.4 18% 3.0 Leverage
Slide 19: Specialised Financial Services and Insurance (1/2)
Specialised Financial Services and Insurance Consolidate leadership positions and keep on refocusing (1/2) Strengths Priorities 4th largest “bancassurer” in France Increase product range and distribution Insurance Insurance in French and International Retail Foreign subsidiaries supporting mos
Slide 20: Global Investment Management and Services (2/2)
Global Investment Management and Services Consolidate leadership positions and keep on refocusing (2/2) Strengths Priorities Solid positioning, resilient Organic and/or targeted external Private Private business, liquidity provider growth Banking Banking Significant synergies with the Retail B
Slide 21: Transform the operational model and maintain strict risk management
Societe Generale Group Transform the operational model and maintain strict risk management Increase Increase operating operating efficiency efficiency Maintain Maintain strict strict risk risk management management Retail Retail Information Information System: System: Industrialisation Industrialisa
Slide 22: 2012 financial targets
2012 financial targets Average GDP growth 2009-2012 SG targets Revenue CAGR 2009-2012 ≈ +4%* France: 1.6% C/I ratio 2012 <60% Euro Zone: 1.5% Russia: 3.8% Group net earnings 2012 ≈ EUR 6bn CEE: 2.5% After tax RoE 2012 ≈ 14-15% USA: 2.6% Core Tier One Ratio 2012 ≥≥ 8%** * At constant exchan
Slide 23: A renewed management team for a long-term ambition
A renewed management team for a long-term ambition Frédéric OUDEA Chairman and Chief Executive Officer Séverin CABANNES Jean-François SAMMARCELLI Bernardo SANCHEZ INCERA Deputy Chief Executive Officer Deputy Chief Executive Officer Deputy Chief Executive Officer Michel PERETIE Jacques RIPOLL Didier
Slide 24: Agenda
Agenda French French Networks Networks J.F. Sammarcelli Be Be the the benchmark benchmark for for customer customer satisfaction satisfaction V. Taupin International International Retail Retail Banking Banking B. Sanchez Incera Top Top 33 in in CEE CEE & & Russia Russia J.L. Mattei Corporate Corpora
Slide 25: Disclaimer
Disclaimer This document contains a number of forecasts and comments relating to the targets and strategies of Societe Generale Group. These forecasts are based on a series of assumptions, both general and specific, notably – unless specified otherwise – the application of accounting principles and
Slide 26: Societe Generale Investor Day 2010
SOCIETE GENERALE INVESTORday 2010