BPCE_REGISTRATION_DOCUMENT_2017

SOCIAL, ENVIRONMENTAL AND SOCIETAL INFORMATION Sustainable and responsible value creation

Sustainable and responsible value creation 6.3

6.3.1

Contribution to regional economic development

the policy applied to establishing branches in the regions is - aligned with the new customer relationship model: digital channelsand multi-mediaplatformsare being ramped up, calling for the branches to be more specialized by customer segment, with advisors maintaining their role in securing the commercial relationship. In terms of accessibility, the goals of the Banco 2020 plan stipulatethat the distance from the point of sale with the furthest customer may not exceed 10 minutes in an urban setting or 20minutesin a rural setting. FINANCING LOCAL PUBLIC STAKEHOLDERS AND THE SOCIAL AND SOLIDARITY-BASED ECONOMY The Banque Populaire banks and the Caisse d’Epargne are major sources of financing for local authorities, social housing and structuresin the socialand solidarity-based economy. Detailed information on these initiatives is provided in Section6.2.2. RESPONSIBLE PROCUREMENT POLICY: THE AGIR PROJECT CSR forms one of the key pillars of the BPCE Procurement department’s2020 procurementperformanceplan. The group has set the following targets for 2020: increasing the number of Group companies with Responsible ● Supplier Relations and Procurement certification from 7 to 14; raising the percentage of tenders in compliancewith standardized ● procurement processes including CSR to 80%; paying suppliers in28 days, on average. ● Incorporating CSR into the procurement policy In September 2012, BPCE Procurementlaunched“Agir ensemblepour des achats responsables” (Working Together for Responsible Procurement).This responsibleprocurementapproach (“AgiR”) is part of an overall goal to achieve comprehensive,sustainableperformance involvingGroup companiesand suppliers.The approachbuilds on the commitmentsmade by Groupe BPCE when it signed the Responsible Supplier Relations Charter in December2010.

FINANCING THE ECONOMY: LOCAL ROOTS – A KEY ASSET The 14 Banque Populaire banks and 16 Caisses d’Epargne embody Groupe BPCE’s close ties with the regional economy, sharing the values of social cohesion and support for local employment: Groupe BPCE is set to once again be the No. 1 bank issuing ● personal microloans with support (1) to individual customers, with 5,554 loans totaling € 14.26 million (34.66%market share volume at end-2016).The group is also still the No. 1 bank for professional microloans (2) (roughly one-third market share at end-2016); detailed informationon this activityis provided inSection6.2.2; in 2017, donations by the Banque Populaire banks and Caisses ● d’Epargne to general interest projects in local areas amounted to € 31 million ( versus € 32.8 million in2016): € 11.1 million was earmarked by the Banque Populaire banks for - three uses: patronage by the Banque Populaire banks in their local regions, either directly or via their regional foundations,the Banque Populaire Corporate Foundation,and the charity fund of the Fédération Nationaledes Banques Populaires, € 19.7 million was earmarked by the Caisses d’Epargne for three - uses: Caisse d’Epargne regional patronage initiatives (directly or via regional foundations), the Caisse d’Epargne network endowment fundand FondationBelém, in 2017, 87% of the group’s suppliers (3) were SMEs (4) , 37% of - purchases (5) were made from SMEs, and 29% from ISEs (6) . Groupe BPCE companies give preference to local suppliers: 73% of suppliershave a local presencein their respectiveregions (7) . These companies contribute to local employment and economic development throughtheir sub-contractingchain, although historically located in the cities, the Banque Populaire - banks and the Caisses d’Epargne also play a role in the development of rural areas: 399 branches are located in rural areas (8) , via their branches, the Banque Populaire banks and the Caisses - d’Epargne are also present in 34% of priority neighborhoodsas identified by municipal policy (9) , with 436branches,

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Fonds de cohésion sociale (social cohesion fund)/Caisse des Dépôts. (1) http://www.mtn-i.com/latest-news-asia-pacific/2017-award-winners (2)

From the sample of 30,404 suppliers with a SIREN number and approved by INSEE; this amount represents 89% of total purchases. (3) Definition of small and medium-sized enterprises: companies with fewer than 250 employees and revenues below €50,000 K. (4)

From the sample of purchases taken from the Codex 2016 database on suppliers with a SIREN number and approved by INSEE; this amount represents 89% of total purchases. (5) Definition of intermediate-sized enterprises: companies with 250 to 5,000 employees and revenues greater than or equal to €50,000 K and less than €1,500,000 K. (6) Average calculated based on entity reports according to the Group’s regional breakdown. (7) Definition: INSEE, French “communes” that do not fall under definitions of urban units, i.e. “communes” without zones of continuous development inhabited by 2,000 residents and (8) “communes” in which less than half of the municipal population resides in a continuous development zone. Calculated based on 2009 census. Neighborhoods identified as being a priority in municipal policy are defined by French law number 2014-73 of February 21, 2014 on urban planning and cohesion. The areas concerned are (9) determined using the single criteria of population revenue; 1,300 such neighborhoods have been identified. The list is established in decrees 2014-1750 and 2014-1751 of December 30, 2014, for mainland France and the overseas territories respectively. The boundaries of each area can be viewed at geoportail.gouv.fr.

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Registration document 2017