BPCE_REGISTRATION_DOCUMENT_2017

2017 ACTIVITIES AND FINANCIAL INFORMATION Groupe BPCE financial data

credit revenues were up 10.2% comparedto 2016 to € 297 million. ● The business recorded continuedgrowth in securitizationactivities, in both Europe and the US, as the roll-outof these activitiesin Asia continued; revenues from Repo activities were up +19.1% to € 218 million ● compared to 2016, powered by strong business in both France and the US, and taking into account increased revenues from the solutions range. Acquisition& Strategic Finance revenues experiencedgrowth thanks to auspiciousmarket conditionsin the Leverage Finance and Sponsor Financesectors. At € 599 million, Equities revenues grew by 18.0% year-on-year at constant exchange rates, buoyed by Equity Derivatives and the Solutions activities rounding out and rolling out its offering abroad, including Equity Finance. At € 1,328 million, revenues in Global Finance including GTB (Global Transaction Banking) increased 4.9% compared to 2016 at constant exchange rates. In origination,new business increased by 4.0% versus 2016 and was particularlydynamic in structured financing, especially in real estate financing in the US. Originationrevenues rose compared to 2016, as significantfees and commissionswere recorded for the period in the infrastructure, aviation and real estate financing segments. CommoditiesTrade Finance remained strong in 2017, boosted by an

increase in drawdown amid more supportive oil price conditions compardto 2016. Revenuesfrom InvestmentBanking includingM&A activitieswere up 27.9% at constant exchange rates compared to 2016 for cumulative revenues of € 362 million. Excluding the scope effect for the consolidation of US subsidiary Peter J. Solomon Company (PJSC) revenues since the end of the second quarter of 2016, revenues posted a 18.8% increase during the period. The Investment Banking business line also benefited from: strong growth in Acquisition & Strategic Finance, with 50% of revenues recognized under Investment Banking; dynamic trade on the equity capital markets in the first half of 2017 when Europeanbanks carried out several capital increases;and robust M&A activity, driven by Natixis Partners France and Spain. In 2017, Corporate & Investment Banking’s expenses totaled € 2,194 million, up 7.3% compared to 2016 at constant exchange rates. Gross operating income amounted to € 1,387 million, up 13.3% compared to 2016. The cost/income ratio was 61.3% in 2017, up 1.3 points versus 2016 (62.6%). At € 115 million, cost of risk fell 41.1% compared to 2016, which recorded higher provisions on oil sector exposures due to the sharp decline inthe price perbarrel that lasted untilearly 2016.

4

4.3.7

Corporate Center

Corporate Center

Change

2017

2016 pf 1,222 (1,286)

€m

%

in millions of euros

Net banking income Operating expenses

352

(870)

(71.2%)

(1,236)

50

(3.9%)

Gross operatingincome

(884)

(64)

(820)

ns

Cost/incomeratio

ns

ns (8)

--

Cost ofRisk

(163)

(155)

ns

Share in incomeof equity-accounted associates

216

206 105

10

4.9%

Gains or losseson otherassets

86

(19)

(17.9%)

Incomebeforetax

(831)

85

(915)

ns

The Corporate Center generated income before tax of - € 831 million in 2017, versus 85 million in 2016, which includedthe capital gain of € 831 million on the sale of Visa Europe shares. This figure included the followingactivitiesand items in2017: Natixis’ equity interests, primarily including Coface. The Corporate ● Center’sannual revenuecame to € 1.4 billion, down 4% on 2016, in line with the 4% decline in trade credit insurance and 2% gain in factoring. Coface’s loss ratio net of reinsurance was 51.4% compared to 65.5% in 2016, i.e. an improvement of 14.1 points thanks to the efficiency of claims expense managementplans and an improvedeconomicclimate. It should also be noted that Natixis

Private Equity continued its withdrawal strategy and that the disposal of Corporate Data Solutions entities was completed in mid-2017; the sale of the Caceis holdingby Natixisin the last quarterof 2017, ● which generateda capital gainof € 74 million; the contribution of € 207 million by CNP Assurances, up 7.1% ● year-on-yearor € 14 million; the contribution to the Single Resolution Fund and the Deposit ● Guarantee Fund of - € 260 million, in operating expenses, i.e. a - € 30 million increase on2016;

227

Registration document 2017