BPCE_REGISTRATION_DOCUMENT_2017

FINANCIAL REPORT IFRS Consolidated Financial Statements of BPCE SA group as at December 31, 2017

7.1.5

Restructuring due to financial difficulties

12/31/2017

12/31/2016

Off-balance sheet commitments

Off-balance sheet commitments

Loans and receivables

Loans and receivables

Total

Total

in millions of euros

Impaired restructured loans Performing restructured loans

3,858

36 15 51

3,894

4,444

177

4,621

815

830

966

18

984

TOTALRESTRUCTUREDLOANS

4,673 (881) 2,846

4,724 (879) 2,869

5,410

195

5,605

Impairment

2

(1,043)

(1,043)

Guaranteesreceived

23

3,356

3

3,359

Breakdown of gross outstandings

12/31/2017

12/31/2016

Off-balance sheet commitments

Off-balance sheet commitments

Loans and receivables

Loans and receivables

Total

Total

in millions of euros

Restructuring: amendments to terms and conditions

3,013 1,660 4,673

36 15 51

3,049 1,675 4,724

4,020 1,390 5,410

174

4,194

Restructuring: refinancing

21

1,411

TOTALRESTRUCTUREDLOANS

195

5,605

Geographic region of counterparty

Fiscal year 2017

Fiscal year 2016

Off-balance sheet commitments

Off-balance sheet commitments

Loans and receivables

5

Loans and receivables

Total

Total

in millions of euros

France

2,880 1,793 4,673

22 29 51

2,902 1,822 4,724

2,804 2,606 5,410

29

2,833

Other countries

166 195

2,772 5,605

TOTALRESTRUCTUREDLOANS

Credit risk mitigation mechanisms: assets obtained by taking possession of collateral 7.1.6 The followingstatementshows by type the carryingamount of assets (securities,buildings,

etc.) obtainedduring the period by taking possession

of collateral or other forms of credit enhancement.

Fiscal year 2017

Fiscal year 2016

in millionsof euros

Investmentproperty Equity and debt instruments

76 76

TOTALASSETS OBTAINEDBY TAKING POSSESSIONOF COLLATERAL

MARKET RISK 7.2 Market risk refers to the possibility of financial loss due to market trends, suchas: interest rates: interest rate risk is the risk that the fair value or ● future cash flows of a financial instrument will fluctuate due to changes inmarketrates of interest; exchange rates; ● prices: marketprice risk is the risk of a potentialloss resultingfrom ● changesin marketprices,whetherthey are causedby factorsspecific to the instrument or its issuer, or by factors affecting all market tradedinstruments.Variable-income securities,equityderivativesand commodity derivatives arexposed tothis type of risk; and more generally, any market parameter involved in the valuation of ● portfolios.

Systems for the measurement and monitoring of market risks are presented inthe risk managementreport. The informationprovidedin the risk managementreportrequiredunder IFRS 7 andrelating to the management of market risk comprises: VaR forthe BPCE SA group scope; ● the conclusions of the global stress tests. ● RATE RISK Interest rate risk is the risk that unfavorablechanges in interest rates will adversely impact the Group’s annual results and net worth. Exchange rate risk is the risk of losses resulting from changes in exchange rates. INTEREST RATE RISK AND EXCHANGE 7.3

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Registration document 2017