BPCE - 2018 Registration document

5 FINANCIAL REPORT

IFRS Consolidated Financial Statements of Groupe BPCE as at December 31, 2018

Note 7

Risk exposures

Information relating to capital management as well as regulatory ratios are presented in the Risk Management section. Information on financial assets with past due payments and remodeling due to financial difficulties is provided in the section on “Credit Risk” in Chapter 3 “Risk Management”.

Information on liquidity risk (analysis of financial assets and liabilities and commitments by contractual maturity date) is provided in the section on “Liquidity, Interest Rate and Exchange Rate Risks” in Chapter 3 “Risk Management”.

7.1

CREDIT RISK AND COUNTERPARTY RISK

Highlights Credit risk is the risk that one party to a financial transaction fails to fulfill his obligations, causing the other party to incur a financial loss.

Perf. exposures (watchlist)

Performing exposures

In default

IAS 39

Sector provisions

Collective provisions

Specific provisions

Stage 2

Stage 3

Stage 1

12-month ECL

Lifetime ECL

Lifetime ECL

IFRS 9

If significant increase in credit risk

Deterioration of the credit risk to the point where the asset is non-performing

Significant inc./dec. in credit risk

Significant inc./dec. in credit risk

Transition IMPACTS

Minor impact

Major impact

the breakdown of gross exposure by geographic region; ● concentration of credit risk by borrower; ● the breakdown of exposure by credit rating. ● This information forms an integral part of the financial statements certified by the Statutory Auditors.

Certain disclosures relating to risk management required by IFRS 7 are also provided in the risk management report. They include: the breakdown of gross exposures by category and approach ● (separation of credit and counterparty risk);

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Registration document 2018