NATIXIS - 2018 Registration document and annual financial report

5 FINANCIAL DATA

Consolidated financial statements and notes

Other share-based plans 12.2.4 a) Employee stock option plans under the Company employee savings plan

Plan

2013

2014

2014

2015

2016

2018

Entity

Natixis

Natixis

Coface

Natixis

Natixis

Natixis

Plan announcement date

04.04.2013

03.14.2014

06.12.2014

03.12.2015

03.10.2016

03.23.2018

Plan maturity Reference price Subscription price Face value discount

5 years 3.491 € 2.800 € 19.79%

5 years 5.051 € 4.041 € 20.00%

5 years 10.400 € 8.320 € 20.00% 255,347

5 years 6.618 € 5.295 € 19.99%

5 years 4.094 € 3.276 € 19.98%

5 years 6.252 € 5.002 € 19.99%

Number of shares subscribed Total subscribed amount (in millions of euros)

8,439,630

9,951,325

8,505,624

7,989,447

11,982,805

€23.6m

€40.2m

€2.1m 0.84%

€45m 0.14%

€26m 0.08%

€60m

Risk-free interest rate

1.26%

0.84%

(0.15)%

Annual security borrowing rate (repos) Market participant’s borrowing rate (five years)

0.50%

0.16%

0.16%

0.05%

(0.12)%

0.05%

6.72% 25.74%

5.47% 21.28%

5.47% 21.30%

4.45% 19.57%

3.93% 19.43%

3.34% 16.22%

Lock-up cost

At December 31, 2018, Natixis recorded an expense of €2.3 million for the discount granted on subscription to employee stock options under the Company employee savings plan, measured taking into account the five-year lock-up period applicable to the issued securities. For the record, there were no capital increases reserved for employees in 2017.

CAPITAL MANAGEMENT

NOTE 13

Share capital 13.1

Ordinary share At January 1 Capital increase

Number of shares

Par value

Capital (in euros) 5,019,776,381

3,137,360,238

1.60 1.60

12,928,354

20,685,366

AT DECEMBER 31

3,150,288,592

5,040,461,747

Equity instruments issued 13.3 Perpetual deeply subordinated notes and 13.3.1 preference shares In accordance with IAS 32, issued financial instruments are classified as debt or equity depending on whether or not they incorporate a contractual obligation to deliver cash to the holder. Since December 31, 2009, issues of perpetual deeply subordinated notes and preference shares have been recognized as equity instruments issued in accordance with a clause concerning dividend payments which has become discretionary, and have been booked to “Consolidated reserves” in the consolidated balance sheet. The conversion of these debt instruments into equity instruments had generated a gain of €418 million recognized in income on June 30, 2009. Issues after June 30, 2009 were always classified as equity given the discretionary nature of their interest.

3,716,978 treasury shares at December 31, 2018, and 1,431,936 shares at December 31, 2017. The capital increase in 2018 is linked to the award of free shares to some Natixis employees under the 2013 and 2016 Retention and Performance Plans, for which payment is share-based (see Note 6.17 and Note 12.2.2.) . Capital management 13.2 Natixis’ main capital management objectives are to ensure that the Group meets the capital requirements imposed by its external environment and maintains an adequate rating to support its activity and maximize shareholder value. Natixis adapts the management of its capital structure in line with changes in economic conditions and in the risk profile of its operations. Its objectives, policies and procedures remained unchanged in 2018.

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Natixis Registration Document 2018