BPCE_REGISTRATION_DOCUMENT_2017

5 FINANCIAL REPORT

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

Note 15

Fair value of financial assets and liabilities at amortized cost

For financial instruments not measured at fair value on the balance sheet, fair value calculations are provided for information purposes and must only be interpreted as estimates. In most cases, the values indicated are not liable to be realized and generally may not be realized in practice.

These fair values are thus only calculatedfor informationpurposes in the notes to the financial statements.They are not indicatorsused in the interest of overseeing retail banking activities, for which the managementmodel is based oncollectionof expected cash flows. The simplified assumptions used to measure the fair value of instruments at amortized costs are presented inNote 4.1.6.

12/31/2017

12/31/2016

Measurement techniques using observable data (Level 2)

Measurement techniques using unobservable data (Level 3)

Measurement techniques using observable data (Level 2)

Measurement techniques using unobservable data (Level 3)

Price quoted in an active market (Level 1)

Price quoted in an active market (Level 1)

Fair value

Fair value

in millions of euros

FINANCIALASSETS AT AM80 ORTIZED COST Loans and receivablesdue from creditinstitutions

124,608

120,582

4,026 125,175

23 113,022 12,130

Loans and receivablesdue from customers

243,114

1,536 101,990 139,588 249,809

544 86,999 162,266

Held-to-maturity financial assets FINANCIALLIABILITIES AT AMORTIZED COST Amounts dueto credit institutions

2,449

2,247

79

123

3,466

3,107

200

159

122,298

109,309 12,989 112,160

91,729 20,431 60,731 43,231 133,104 97,345

Amounts dueto customers

116,014 210,036 20,228

110,367

5,647 103,962

Debt securities

991 136,408 72,637 230,449

Subordinated debt

19,562

666 22,148

20,540

1,608

Note 16

Interests in non-consolidated structured entities

NATURE OF INTERESTS 16.1 IN NON-CONSOLIDATED STRUCTURED ENTITIES

An interest in an entity corresponds to all types of relationship, contractual or not, that exposes BPCE SA group to a risk of fluctuationsin returns relating to the entity’s performance.Interests in another entity may be evidencedby, among others, the holding of equity instruments or debt securities, as well as, by other types of relationship, such as financing, short-term credit facilities, credit enhancement, provision of guarantees or structured derivatives. As a result, the following are not included in the scope of this note: structured entities which are associated with BPCE SA group ● through a current transaction alone. This corresponds to an unstructuredfinancial instrumentwhich generally does not have a material impact on the variabilityof the structuredentity’s returns and which could be concluded by BPCE SA group with structured entities or classically-governedentities alike. The main kinds of current transactions are: plain vanilla fixed-income, foreign exchange and other - underlying derivatives, as well as securities lending/borrowing and repurchase agreementransactions, plain vanilla guarantees and financing granted to family - non-tradingreal estate companies (SCI) or to certain holdings; external structuredentities in which BPCE SA group simply acts as ● an investor.

A non-consolidatedstructuredentity is a structuredentity that is not controlled and is therefore not accounted for using the full consolidationmethod.As a result, the interestsheld in a joint venture or associate which is classed as a structured entity falls within the scope of this note. The same is true of controlled structured entities that are not consolidateddue tothreshold reasons. This includes all structuredentities in which BPCE SA group holds an interest andintervenesin one or more of the following capacities: originator/structurer/arranger; ● placement agent; ● manager; ● in any other capacitythat has a major impact on the structuringor ● management of the transaction ( e.g. provision of financing, guarantees or structuring derivatives, tax investor, major investor,etc.).

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Registration document 2017