attica bank · 2017. 11. 2. · joined attica bank in 1999 –more than 35 years of experience in...

DRAFTDRAFT

D E C E M B E R 2 0 1 1C O N F I D E N T I A L

Attica Bank Presentation

November 2015

www.atticabank.gr

Together we are stronger

1

DRAFTTable of Contents

P R E S E N T A T I O NC O N F I D E N T I A L

EXECUTIVE SUMMARY 2

BUSINESS DESCRIPTION 14

LOANS 20

FUNDING 29

CAPITAL 33

OPERATING INCOME - OPERATING EXPENSES 38

OPERATIONS - HR 41

APPENDIX

APPENDIX 1 - MACROECONOMIC UPDATE 44

APPENDIX 2 – STEPS TO ENTER THE HFSF FRAMEWORK 50

APPENDIX 3 – IT INFRASTRUCTURE 51

APPENDIX 4 –RISK MANAGEMENT 52

APPENDIX 5 – FINANCIAL INFORMATION 55

APPENDIX 6 – CORPORATE GOVERNANCE 60

DRAFT

Executive Summary

P R E S E N T A T I O N

DRAFT

2

An experienced management teamE X E C U T I V E S U M M A R Y


Ioannis Gamvrilis, Chairman of the BoD Chairman of the BoD of Attica Bank since 2010

First Vice-Chairman of the Insurance Fund forIndependent Professionals (ETAA), Chairman of the

Insurance Fund for Engineers (TSMEDE) and member of the Representation of the Technical Chamber of Greece.

Civil engineer/Contractor of public and private Projects Holds a Master’s Degree in Materials Resistance from

University of Pavia.Ioannis Ioannidis, General Manager, Corporate Retail and Investment Banking Joined Attica Bank in 1999 – More than 35 years of

experience in the banking sector

Has worked since 1980, in Ergasias Bank, Bank of Central Greece and Bank of Macedonia-Thrace and Piraeus Bank.

He graduated from the Department of Economics of the AristotleUniversity of Thessaloniki . Graduate studies in Mathematics and post-graduate studies in Economics.

Christos Marantos, Chief Financial Officer Joined Attica Bank in 1996 – More than 19 years of

experience in the banking sector He is a member of the Greek Financial Chamber and

member in various scientific committees and professional organizations.

Post-graduate training in Accounting and Finance and holds a BAin Public Administration from University of Social and Political Science of Athens (Panteion)

Ioannis Tsakirakis, Deputy General Manager and Head of Credit Restructuring Joined Attica Bank in 2015 He has a long experience in the banking sector,

holding for 25 years senior level positions in many

banks (NBG, Piraeus Bank, Geniki Bank) and companies of investing portfolios with expertise in loan portfolios and stock market

He graduated from the Economic Department of Athens Universityof Economics and Business and holds a Master’s degree of

economic statistics and econometrics of the University of Athens

Ioannis Papanikos, Deputy General Manager and Head of the IT, Organisation and Operations unit Joined Attica Bank in 2015 – More than 52 years of experience

in the banking sector Long professional experience in the banking sector, having held

the positions of Deputy Governor of ATEBank and Vice-Chairman of the BoD of the Consignments and Loans fund. Worked for 38 years in the National Bank of Greece, holding high-level posts and serving as a General Internal Auditor for 7 years

Graduate of the Law School Department of Aristotle University of Thessaloniki, and the Economics and Statistics Department of University of Piraeus. Holds a master’s degree

in Business Administration from the Athens University of Economics and Business .

Source: Company Information

Alexandros Antonopoulos, Chief Executive Officer Joined Attica Bank in February 2014 – More than 20

years of experience in the banking sector Previously, he was the Chairman of the BoD of the

Deposits and Loans Fund (2010-2014). He has a long experience in the financial sector, having

worked for Bank of Cyprus, Probank and EFG Eurobank-Ergasiasas well as in investment and asset management Firms

He studied Mathematics at the University of Athens,Operational Research (MSc) at the LSE and Business Administration (MBA) at the Imperial College of the London University.

Holds a BA in Accounting and Finance from the University ofManchester

He is a UK qualified accountant, member of the Institute of Chartered Accountants in England and Wales.

Polyvios Onoufriou, Deputy General Manager, Head of Credit and Risk Management Joined Attica Bank in 2015 – More than 16 years of

experience in the banking sector in senior positions From 2013 to 2015 served as Group Financial

Transactions Manager at the Hellenic Petroleum Group

DRAFTStrategic ObjectivesE X E C U T I V E S U M M A R Y


3

Acting as a niche service provider for co-operative banks

A bank that is projected to grow in probably the most concentrated

banking sector in Europe focusing on providing credit to sectors with positive

growth prospects

Growth in net fees and commissions driven by core banking activities (LoGs,

factoring, cash transfers and e-payments) Increased efficiency through cost

containment actions already implemented (headcount reduction,

branch network restructuring, centralization of NPL legal actions)

Asset portfolio clean up by implementation of prudent provisioning

policy, enhanced underwriting procedures and strengthened NPL

management

Effective funding strategy and gradual disengagement from Eurosystem

funding

1

2

3

6

5

4

Among the 10 banks worldwide which use the latest Globus IT platform

7

DRAFT The Greek recovery and Attica BankE X E C U T I V E S U M M A R Y


4

Benefit from the Greek macro recovery in the medium to long term…

…In probably the most concentrated market in Europe with positive growthprospects post recovery…

…In which Attica is well positioned

Cleaned up legacy portfolio post CA, with cash provision for NPEs of 51%

Existing clear governance with a 100% private shareholding

A

Lower than system average dependence on Eurosystem Funding, with net Loans/Depositsat 105% (as at 30.9.2015)

B

C

D

E

F

Sound financial structure post capital increaseG.

triantpo

Text Box

DRAFTBenefit from the Greek macro recovery in the medium to long term…E X E C U T I V E S U M M A R Y


A

Significant progress has been made toward rebalancing the economy so that arecovery started in 2014 after six years of deep recession, with an expected return topre-crisis level of GDP growth rate at c. 2.7% from 2017 onwards

Following labour market reforms implemented in 2013 that have facilitated wageadjustment, the Greek government is focusing on reducing non-wage costs andrigidities to reduce unemployment

After hitting again a bottom at c. (8.3)% of GDP in 2013, the Primary balance isexpected to improve from 2016 onwards

Key indicators evolution and forecasts Greek gross domestic product (constant prices)

251 250239

226

206193

185187 182 180 185

3.5

(0.4)

(4.4)

(5.4)

(8.9)(6.6)

(3.9)

0.8

(2.3)(1.3)

2.7

(10.0)

(8.0)

(6.0)

(4.0)

(2.0)

0.0

2.0

4.0

6.0

160

180

200

220

240

260

280

300

320

2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015E 2016E 2017E

(%)

(€bn

)

GDP GDP growth

(26)%

Unemployment rate in Greece Primary balance, general government (% of GDP)

8.4 7.89.6

12.7

17.9

24.4

27.5 26.5 26.9 27.125.7

0

5

10

15

20

25

30

2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015E 2016E 2017E

(%to

tall

abor

forc

e)

Unemployment rate

(2.0)

(4.8)

(10.5)

(5.1)

(3.0) (3.7)

(8.3)

0.4

(0.3)

0.51.8

3.5

(12)

(10)

(8)

(6)

(4)

(2)

0

2

4

6

2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015E 2016E 2017E 2018E

(%)

Source: European Economic Forecast – Spring 2015

5

DRAFT …In a highly concentrated market with promisinggrowth prospects post recovery…

Following Greek banking sector consolidation (acquisitions, mergers, exit of foreign players), the four systemic banks now represent 94% of the Greek market while at the

moment the Greek banking sector consists of only 10 commercial Greek and international banks and a small number of cooperative banks

European experience has shown that in highly concentrated markets smaller banks can increase their market shares.

E X E C U T I V E S U M M A R Y


B

Market share of Top 5 Banks (%)

94.0

70.6

59.0

56.2

47.8

45.2

39.6

30.6

Greece as ofQ1 2015

Portugal

Greeceas of 2005

Spain

Ireland

Poland

Italy

Germany

+35pts

Smaller banks have disappeared through resolution or asset absorption

Bank Buyer Announced Net loans2 Deposits2

Dec-11 1.8 1.7

Jul-12 10.6 14.3

Feb-13 15.0 13.0

Mar-13 19.0 15.0

May-13 1.2 1.2

Jul-13 6.9 10.7

Jul-13 0.5 0.5

Jul-13 2.2 3.0

Apr-15 280 574

Several foreign players have left the market

Seller Target Buyer Announced ClosedNet loans–

deposits2

Oct-12 Feb-13 15.0–13.0

Oct-12 Dec-12 2.0–2.0

Apr-13 Jun-13 4.2–3.0

Remaining foreign banks in Greece

(15 branches)

6

Sources: Companies

DRAFT…In which Attica is well positionedE X E C U T I V E S U M M A R Y


Comments

Traditional full service commercial bank with a clear focus on the SME segment

Can leverage on the growth in the infrastructure and construction sector, as

demonstrated by its market share, on the back of strong relationship with civil

engineers and construction companies

Exposure to forward looking sectors such as renewable energy, tourism and

infrastructure

Participation in infrastructure projects financed by European funds

Loans breakdown by segment - FY 2014

Corporate24%

SMEs28%

Mortgages30%

Consumer9%

Credit Cards4%

Public Sector

5%

Attica1 Sector2

Corporate26%

SMEs51%

Mortgages14%

Consumer7%

Credit Cards2%

Public Sector

1%

Notes:(1) Data as at 31.12.2014. SME segment includes loans to small companies(2) Based on total Group loans; Sector represents balances of Alpha bank, Eurobank, National Bank of Greece and Piraeus bank as reported in their FY 2014 financial statements.

Market share, Greece (Gross loans) — Q3 2015 Loans breakdown by industry1 - FY 2014

Sources: Company information, Bank of Greece

Attica1 Sector2

Trade20%

Manufacturing22%Construction

26%

Shipping2%

Tourism7%

Energy10%

Other14%

Notes:(1) Excluding leasing(2) Based on total Greek corporate loans; Sector represents balances of Alpha bank, Eurobank, National Bank of Greece and Piraeus bank as reported in their FY 2014 Group financial statements.

Total loans: €2.6bn

7

Trade21%

Manufacturing19%

Construction16%

Shipping6%

Tourism5%

Energy2%

Other29%

C

30%

25%

21% 21%

2%6%

Peer 1 Peer 2 Peer 3 Peer 4 Global marketshare

Constructionsector market

share

DRAFTCleaned up legacy portfolio post CA with high cash provisions for NPEsE X E C U T I V E S U M M A R Y


Breakdown of NPEs by type – Q3 2015

8


Amendment of the civil procedure code

A recent reform of the civil procedure code for secured creditors is expected to

significantly enhance creditors position and their ability to activate, if needed, pledge or

any other security

Required period to implement the enforcement divided by 3 (1 year vs. 3 years

previously)

Significant improvement of recoverability prospects, as lenders will be entitled to

receive at least 65% of auction proceeds (no floor currently)

Faster and smoother process enabling to maximize efficiency expected to be

translated in cost reduction

D

Concentration of NPEs – H1 2015Distribution of customers per NPEs cumulative balances (%)

55.5%

77.8%

86.5%

93.5%

98.5% 99.1% 99.5% 99.8% 99.9% 100.0%

2421,209

2,418

4,835

12,088

14,505

16,923

19,340

21,758

24,171

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0

5,000

10,000

15,000

20,000

25,000

30,000

The concentration of a large part of NPEs into a limited numberof customers, increases the effectiveness of NPE managementprocesses and constitutes one of the Bank’s strong points.

Almost 78% of the Bank’s loan book was subjected to the AQR.

More than 91% of the AQR shortfall is expected to be recorded bythe end of 2015

Mortgages11%

Consumer4%Credit Cards

2%Other

4%

Corporates14%

SMEs37%

Small Businesses

28%

DRAFTClear governance with a 100% private shareholdingE X E C U T I V E S U M M A R Y


E

Comments

No integration burdens unlike systemic peers given no M&A during crisis

Clean slate to start with

Operations only in Greece providing pure play macro exposure combined with clear

governance rights to navigate through the restructuring challenge and crystalize value

uplift

Small size allowing flexibility to steer the strategy in a clear direction

Opportunity to grow in an environment where systemic peers are focused on

downsizing their operations

Main shareholder is willing to form strategic alliance not only to bring capital to support

the shortfall but, mainly, to attract the know-how in the whole spectrum of business and

especially in NPL management

Shareholding structure (%) – Q3 2015

100.0

64.642.8 33.8 33.1

35.457.2 66.2 66.9

Peer 1 Peer 2 Peer 3 Peer 4

Private shareholders Hellenic Financial Stability Fund

ETAA: Self financed pension fund insuring professionals (civilengineers, lawyers, doctors etc.)

TSMEDE: Pension fund of the construction sector (engineers andpublic works contractors) with about 110,000 members and 21,000pensioners. Part of ETAA since 2008

Free Float: About 20,000 shareholders. No single shareholder holdsmore than 5% of common shares.

ETAA –TSMEDE

51%

Other shareholders

49%

9

Sources: Companies Information, Bloomberg

DRAFTLower than system average dependence on Eurosystem FundingE X E C U T I V E S U M M A R Y


10

F

Comments

Reliance on Eurosystem funding as a percentage of total assets as at 30/09/2015 stood at c. 25% against a sector average of c. 33%.

Since the end of 2014 deposits balances have deteriorated due to increased uncertainty. During the first nine months of the year, the Bank's deposits decreased slower than the sector

average (-21% against a sector average of -26%)

Deposit levels have stabilized since the introduction of capital controls

The additional liquidity post capital increase provides room for cost effective asset liability management

Eurosystem funding (% of total Assets) Eurosystem funding (% of total assets) – Q3 2015

43% 42%39%

25% 23%


Sources: Companies, Bank of Greece

Source: Companies Information

510

150 100170

73

180

815

17.7%

3.7% 2.6%4.3%

24.6%

0%

10%

20%

30%

0

500

1,000

2012 2013 Q3 2014 2014 Q3 2015ECB ELA % of assets

DRAFT

24.0%

19.2%

15.8% 15.7%

14.4% 13.9% 13.4%

12.0% 11.6% 11.5% 11.3%10.7% 10.2% 9.9%

9.3%

Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Peer 6 Peer 7 Peer 8 Peer 9 Peer 10 Peer 11 Peer 12 Peer 13 Peer 14

Sound financial structure of the Greek banking sector post capital increaseE X E C U T I V E S U M M A R Y


G

11

European banks - Benchmark of Basel III CET1 ratio (fully-phased) – Attica Bank based on a € 750 m capital increase (pro forma)

Average CET1 fully-phased Basel III:12.8% (1)

Source: Companies InformationNote: the sample includes Aldermore Group Plc, Banca Monte dei Paschi di Siena, Banca Popolare dell'Emilia Romagna, Banco BPI, Banco Comercial Portugues, Banco Popolare Societa Cooperativa, Bank of Cyprus Public Co. Ltd., Credito Emiliano, Deutsche Pfandbriefbank AG, Die Raiffeisen Bank International, EFG International AG, Jyske Bank A/S, Spar Nord Bank A/S, Vontobel Holding AG.

(1) Average excluding Attica Bank

DRAFTOverview of the key terms of the share capital increaseE X E C U T I V E S U M M A R Y


12

ISSUER Attica Bank SA (“Attica” or the “Company”)

TRANSACTION STRUCTURE

Share capital increase with preferential subscription rights

ETAA / TSMEDE, which owns 50.67% of Attica Bank’s capital, has already expressed its commitment to subscribe to the capital increase to maintain its stake at

its current level

TRANSACTION TERMS

Indicative Subscription price of €0.30 per new share

c. 2.57 bn. new shares to be issued

Gross proceeds of approximately € 750 million

Subscription ratio of 36 new shares per 1 existing share

USE OF PROCEEDS To reinforce the capital position of the Bank, in order to be able to implement its strategy and to comply with the forthcoming requirements of the BASEL III

framework

The Major shareholder, ETAA / TSMEDE will seek to attract new investors under the aim to cover the capital shortfall with privatesector funds

However, if this desirable outcome objective is not achieved, for the remaining capital shortfall will exhaust the options offered by thenew legislation

New legal framework allows for the use of HFSF funds for the recapitalisation of non-systemic banks.

DRAFT HFSF Contingent Convertible Bonds (“CoCos”) are classified in equity

according to IFRS and eligible for Common Equity Tier 1 capital

HFSF participation to cover the capital needs related to the adverse scenario done through a mix of common equity and Cocos (25%/75%), Common shares subscribed by the HFSF will enjoy full voting rights

E X E C U T I V E S U M M A R Y


REDEMPTION DATE

Perpetual instrument

Redeemable at any time at the option of the issuer, subject to capital requirement

HFSF option to force the conversion or the redemption from 2022

RANKING

Unsecured and subordinated instrument

Junior to all creditors

Pari passu with ordinary shares

COUPON Until 2022: Discretionary 8% annual coupon, payable in cash or new shares at the share price at the coupon payment date

Post 2022: annual coupon set a 7-year mid-swap rate + a margin

CONVERSION

Mandatorily convert into ordinary shares if:

CET1 (solo or consolidated) falls below 7%

In case 2 interest payments are missed, even if not consecutive

In case of holder request (after 2022)

Conversion on ordinary shares based on:

An amount representing 116% of the initial amount of CoCos + accrued interest; and

A conversion price equal to the offer price of the forthcoming capital raise

Optional conversion at the hand of the HFSF after 2022

ADJUSTMENTS Market standards adjustments in case of corporate actions

13

DRAFT

Business Description


DRAFTBusiness DescriptionB U S I N E S S D E S C R I P T I O N


Business description

Loans/deposits breakdown – Q3 2015

Attica Bank focuses on providing credit to small and medium enterprises and private

individuals in Greece. The Bank also offers a wide range of deposit, investment and

insurance products, mutual funds and stock exchange transactions brokerage services

Business segments and products

Business banking

Focusing on SME clients, it is the main segment of the bank, mainly engaging with

businesses clients in Athens and Thessaloniki

Product range goes from various secured and unsecured loans and deposit

options to basic business needs of SME clients such as guarantees

Retail banking

Retail banking has its core focus on deposit taking and mortgage loans, with

further consumer loan options and cards business

Investment banking and treasury

Capital markets activities on ATHEX such as underwritings and secondary

offerings, brokerage and advisory services

Other segments and products

Asset management and brokerage business on the ATHEX

Bancassurance

EU-sponsored projects

Loans Deposits

Total gross loans: € 3.8bnTotal deposits: € 2.6bn

Group Companies – Q3 2015

100% 100% 55.00% 100% 100%

Mutual fund management

Venture capital fund

management

Specialised investment consulting services

Insurance brokerage

Real estate management

14


% of assets in Greece (gross loans, Q3 2015)

Source: Companies

100.0% 92.0% 85.1% 84.8%63.3%


Credit cards1.6%

Consumer loans6.1%

Mortgages13.3%

Other0.3%

Businesses70.1%

State0.9% Leasing

7.7%

Private Individuals

55.7%

Businesses13.8%

Public Sector29.1%

Other1.4%

DRAFTDistribution – Branch networkB U S I N E S S D E S C R I P T I O N


Branch network background and strategy Attica's branch network expanded significantly in the previous decade peaking at 80 branches from 61 in

2005. The growth was organically driven, as the bank added c. 5-6 branches per annum. As part of the operational restructuring plan underway, the Bank recently proceeded with the closing of 10 branches (seven located in Attica, two in Thessaloniki and one in Heraklion, Crete).

Of Attica's current network 5 are owned properties, while 65 are rented.

Key stats – Q3 2015 Average number of employees per branch : 6.5

Average net income per branch: € 1.45 m.

Average costs per branch: €0. 53 m

Branch network market share Branch network evolution

778

609

527

521

70

Peer 1

Peer 2

Peer 3

Peer 4

Branches—Greece (Q3 2015)

Banks Branches (#)

6165

7175

80 80 80 80 80

70 70

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Q32015

Branch network overview

70 branches, including

34 in Attica

8 in Thessaloniki

28 in the rest of Greece

Extended ATM network with more than 180 service points, in co-

operation with 5 co-operative banks.

15


DRAFT

As a %of totalcustomers

Distribution – E-banking

The e-banking services ensure that banking transactions can be entered into round the clock, 7 days a week, and is particularly user friendlyfor the Bank’s customers. The number of users of Attica Bank’s e-banking services has increased in recent years, with total number of usersreaching approximately 30,500 as of 30 Sept. 2015. The number of new e-banking users has been rising faster since capital controls wereintroduced in the summer of 2015

The Bank is also a member of the DIAS interbank payment system, through which all transactions are made, such as cheques clearance,money transfers between banks, payroll and pension payments

B U S I N E S S D E S C R I P T I O N


e-Banking users

13.0 13.82.4 2.7 3.011.1 15.73.9

15,30918,175

19,829

25,823

3,222 3,791 4,069 4,616

2013 2014 H1 2015 Q3 2015

Retail customers Business customers

16


DRAFTLoans - DepositsB U S I N E S S D E S C R I P T I O N


Breakdown of Loan Portfolio by Type – Q3 2015(Loans before provisions: € 3.8bn) Breakdown of Due to Customers per Type – Q3 2015

Loans to Private Individuals by Type – Q3 2015 (Total: € 0.81bn)

Loans to Businesses by Sector – Q3 2015(Total: € 2.65bn) Breakdown of Due to Customers per Type – Q3 2015

17


63.9% 63.3% 61.3% 55.7%

19.1% 17.5% 15.3%13.8%

16.3% 18.8% 22.8%29.1%

0.7% 0.4% 0.7% 1.4%

2013 Q3 2014 2014 Q3 2015

Other

Public Sector

Businesses

Individuals

Credit cards7.4%

Consumer loans28.7%Mortgages

62.5%

Other1.4%

Agriculture0.5%

Commerce22.6%

Industry14.3%

Manufacturing2.5%

Tourism7.4%

Shipping1.4%

Construction24.2%

Other27.2%

Current0.5%

Savings18.3%

Term62.2%

Sight17.4%

Other1.6%

Credit cards1.6% Consumer

loans6.1%

Mortgages13.3%

Other0.3%

Businesses70.1%

State0.9%

Leasing7.7%

DRAFTSubsidiariesB U S I N E S S D E S C R I P T I O N


Bancassurance (retail banking) Attica Bancassurance agency offer products through the Bank’s network and are

divided into two categories Specialised products (such as professional civil liability, electronic equipment

insurance, all risk insurance for construction works, travel insurance, etc.) Non-specialised products (such as car civil liability insurance, home insurance,

hospital and out-of-hospital medical care, yacht insurance, life and disabilityinsurance, personal accident insurance, pension and investment programmes,etc.)

In addition to all the above products, the Bank offers insurance for photovoltaic facilities(photovoltaic parks and household facilities), insurance for big construction works(CAR, EAR) and products addressed to professionals such as civil engineers, lawyers,doctors etc.

Turnover FY 2014€ 1.1 million

Financial consulting (corporate banking) Turnover FY 2014€ 0.3 million

Real estate management (corporate banking)

Attica Bank properties is involved in asset management, valuations prepared on behalfof the Bank and third parties and property investment and development

The company also acts as a technical consultant to the Greek State.

Turnover FY 2014:€0.03 million

Venture capital (corporate banking) Turnover FY 2014€1 million

Attica Bank was the first bank to participate in a venture capital fund

Attica Ventures aims to invest in innovative small and medium enterprises (SMEs) thatare in their development phase, hold a distinctive competitive advantage and havegood potential for equity appreciation, regardless of the industry they compete in.

The company is the only Greek venture capital management company that succeededin listing four companies in the alternative market of the Athens Exchange.

Areas of interest: F & B, telecoms, logistics, IT, energy etc.

Asset management Turnover FY 2014€1.5 million

Attica Wealth Management manages through 7 mutual funds (3 domestic and 4international) manages 180 private client accounts through discretionary portfolio management

and investment advisory mandates distribution agreements with major international fund management companies

Funds under management

93,473,5

59,3 68,896,8 104,2

1.5%1.8% 1.8%

1.4% 1.3%1.5%

2009 2010 2011 2012 2013 2014

AuM (€m) Commission fee income margin (bps)

18


• Attica Finance is a 55% subsidiary of Attica Bank Group which providesinvestment banking services, corporate finance and financial consulting.

• set up to exploit the Greek economy’s shift towards new sectors of activity• Attica Finance is active in the energy sector and has established the venture

capital fund “Attica Fund” for this purpose.

DRAFTSynergies with Cooperative BanksB U S I N E S S D E S C R I P T I O N


19

Attica Bank aims to collaborate with the Cooperative Banks to provide them a set of products and services:

PERSONNELTRAINING

SERVICES

MANAGEMENTAND CLEARING OFATM AND EFT/POS

MACHINES (ALREADYIN OPERATION)

SENDINGAND RECEIVINGREMITTANCES

THROUGH DIAS ANDTARGET SYSTEMS

USING ATTICA BANK’SNETWORK

IMPORTS – EXPORTSTHROUGH ATTICA

BANK’S NETWORK

ISSUING, MANAGEMENT AND

CLEARING OF DEBIT, CREDIT AND

PREPAID CARDS

HELP DESKSUPPORT SERVICES(ATM, CARDS, POS)

BROKERAGESERVICES

INSURANCEPRODUCTS

LEASING –FACTORING

THROUGH ATTICABANK’S NETWORK

180 COMMON ATMNETWORK

(ALREADY INOPERATION)

DRAFT

Loans


DRAFTLoan Portfolio Overview

Attica Bank keeps providing the Greek economy with liquidity

– Expanding total loan book amounting €3.8bn as of 30 September 2015

The Bank holds c. 78% of total portfolio in total business lending, c. 14% in mortgage loans and a remaining 8% in other retail loans.

Total business loans include:

– large corporate loans (debtors with consolidated turnover >€50m)

– small medium enterprises (debtors with consolidated turnover between €2.5m and €50m)

– small businesses and professionals (SBP debtors with turnover less than €2.5m)

Provisions as of 30 September 2015 stood at c.28.4% of total gross loans

Established synergies with the organization for Exports insurance

L O A N S


Loan Portfolio Breakdown – Q3 2015 Gross Loans (€m) and Provisions/Gross Loans (%) – Q3 2015

20


Comments

11.7%13.4%

14.6%

28.4%

0%

10%

20%

30%

0,00

1,00

2,00

3,00

4,00

FY 2013 Q3 2014 FY 2014 Q3 2015

Net Loans Provisions Provisions/Gross Loans (%)

€ 3,74 bn € 3,73 bn € 3,74 bn € 3,78 bnMortgages14%

Consumer3%

Credit Cards2%Other

3%

Corporates25%SMEs

32%

Small Businesses

20%

Public Sector1%

DRAFTLoansL O A N S


Mortgage loan products Attica Bank offers a large variety of home loan products that pertain to the market

(including the purchase of a plot), construction, completion, expansion and repair of ahouse or professional premises: Floating interest plan based on the interbank Euribor interest rate or the interest

rate of the European Central Bank (ECB) Fixed period programs Plans for ETAA-TSMEDE members

Despite a major drop in demand of the mortgage loan segment in the Greek bankingsystem due to the economic crisis, Attica Bank continued to implement its reliablescoring system and also adopted a scheme for adjusting debts in its existing portfoliounder favourable terms, based on social criteria

LTV values among the lowest in the Greek Banking Sector

Evolution of spreads on mortgages (%)

3.81 3.50 3.543.00 2.65 2.41 2.39 2.38

3.71 3.87

5.81 5.78 5.52

4.40 4.503.87

0.00

1.50

3.00

4.50

6.00

7.50

2009 2010 2011 2012 2013 2014 Q1 2015 H1 2015

Stock New

Mortgage loans balances(2)Mortgage loans market share(1)

Portfolio bymaturity date(3)

Portfolio bybalance range(2)(3)

Portfolio by LTV(3)

% ofloanbook

15.0 15.3 15.4 14.2 13.8 13.315.3

610 597 574 551 532 516 504

2009 2010 2011 2012 2013 2014 Q32015

(€m

)

28.1%

26.0%

23.5%

21.7%

0.7%

Peer 1

Peer 2

Peer 3

Peer 4

Attica

0-1 months0.3%

1-3 months1.1%

3-12 months5.0%

1-5 years27.9%> 5

years65.8%

<100 k.41.4%

100-500 k.45.9%

500 k.-1 m.6.8%

>1 m.5.8%

31.7%

17.1%

26.6%

18.3%

5.6%

0.8%

>100%

80%-100%

60%-80%

40%-60%

20%-40%

0%-20%

Source: Company InformationNotes:(1) Based on total Group loans; Sector represents balances of Alpha bank, Eurobank, National Bank of Greece and Piraeus bank as reported in their Group FY 2014 financial statements(2) Excludes Corporate Real Estate loans(3) As of 30.06.15

21

DRAFTLoansL O A N S


Consumer credit products Attica Bank offers competitive consumer loan products, among them indicatively the

following: Attica Interest loan (for covering personal and consumer needs, and for debt

consolidation from other Banks) Loans exclusively for ETAA-TSMEDE members, which are designed to cover both

their short-term and more permanent needs Attica XL (loan with very low interest rate with property security by the lender,

connected with the Euribor interbank interest rate) Attica Special Credit (loan with coverage through the lender’s deposits)

In the past years, the Bank has been implementing policies designed to manage and support its customers, primarily by addressing demands for loan settlement schemes by developing appropriate products.

Consumer credit products Attica Bank issues the following credit and debit cards:

Visa credit cards The Attica Gift Card Visa, which is a prepaid card that can be used over the entire

VISA network for purchases and all ATMs for withdrawal of cash. The card may berecharged unlimited times either through the Bank’s branches or through the e-banking service

Attica Debit me debit card Visa and Mastercard

The Bank has continued the policy of selective development of credit card sales through cross-selling programmes.

Consumer loans balancesConsumer loans market share (1) Credit cards balances

Credit cards market share (1)

% ofloanbook

7.8 7.0 6.7 6.6 6.5 6.16.9

318272

248 247 246 244 242

2009 2010 2011 2012 2013 2014 Q32015

(€m

)

% ofloanbook

1.5 1.6 1.5 1.5 1.6 1.61.5

63 6156 56 57 58 60

2009 2010 2011 2012 2013 2014Q3 2015

(€m

)

36.7%

21.6%

20.6%

20.1%

1.0%

Peer 1

Peer 2

Peer 3

Peer 4

Attica

52.7%

19.8%

14.6%

12.3%

0.6%

Peer 1

Peer 2

Peer 3

Peer 4

Attica

Source: Company InformationNote:1. Based on total Group loans; Sector represents balances of Alpha bank, Eurobank, National Bank of Greece and Piraeus bank as reported in their Group FY 2014 financial statements.

22

DRAFTAsset Quality - Portfolio Overview

Total portfolio NPE € 2.1bn as of 30/9/2015

50.9% of NPES are covered by provisions and 50.1% from collateral

L O A N S


Stock of NPEs (€bn) and NPE ratio (%) Stock of provisions (€m) and NPEs provision coverage (%)

NPE Coverage (€m) NPE total coverage (%) – Q3 2015

23


5461,073

873

1,056

2014 Q3 2015

Cash Collateral

51%

50%

101%

0%

20%

40%

60%

80%

100%

120%

Total Coverage

Collateral

Provisions

1.341.55

1.68

2.1136.0%41.7% 44.8%

55.8%

0%

25%

50%

0,00

1,00

2,00

3,00

2013 Q3 2014 2014 Q3 2015

436,

4

500,

4

546,

3

1.07

3,1

32.5%32.2% 32.6%

50.9%

0%

25%

50%

0,00

300,00

600,00

900,00

1.200,00

2013 Q3 2014 2014 Q3 2015

Χιλιάδες

DRAFTNPE Portfolio OverviewL O A N S


NPE (%) – Q3 2015

Evolution of Cost of Risk NPE Breakdown – Q3 2015

58% 56%50%

45%42%


24


1.03%

0.97%

1.10%

2.63%

3.59%

2.72%

2.95%

FY 2008 FY 2009 FY 2010 FY 2011 FY 2012 FY 2013 FY 2014

NPE Coverage ratio – Q3 2015

44% 51% 53% 52% 49%

83%50% 60%

127%

101%109%


Cash coverage ratio NPE Collateral coverage

Mortgages11% Consumer

4%Credit Cards

2%Other

4%

Corporates14%

SMEs37%

Small Businesses

28%

DRAFTAsset Quality - Portfolio Overview

Attica Bank presents an NPE collateral coverage ratio of 50.1% as of 30.09.2015 All collateral presented at Fair Value (real estate valuations adjusted by BoG HPI and CPI) and exclude personal and corporate

guarantees

L O A N S


Evolution of total portfolio and collateral value (€m) and collateral coverage (%)

Evolution of NPE portfolio collateral value (€m) and collateral coverage (%)

Breakdown of total collaterals by type – Total portfolio (€m) –Q3 2015

25


3,737 3,731 3,739 3,781

2,1942,040 1,981 1,824

58.7% 54.7% 53.0% 48.2%

0

1.000

2.000

3.000

4.000

5.000

2013 Q3 2014 2014 Q3 2015

Total gross loans Total collateral fair value Total collateral coverage

1,676

2,109

989 1,056

0

1.000

2.000

3.000

2014 Q3 2015

Total NPEs Total NPEs collateral fair value

59.0% 50.1%

1,432

1,824

95297

Real estate State guarantees Others Total

NPE real estate collateral breakdown

Residential Real Estate

42%

Commercial Real Estate

49%

Hotels9%

DRAFTNPL management

New organisational structure

The dedicated administrative unit has been designed based on the best national and international practices and was established in accordance with the provisions of Act No 42 of the Executive Committee of the Bank of Greece and reports directly to the CEO of the Bank. The central NPL management division is responsible for all accounts with arrears over 90 days past due, as well as restructured credit relationships and defaulted loans. The changes that have been introduced will contribute to:

– The timely identification of exposures that risk falling into the arrears status

– Fast decision-making as well as fast implementation of decisions

– Improved cure rates

– Cost savings (legal costs etc.)

Arrears Management Department

– Management of retail loans and credit cards up to 180 days past due

– Management of loans to SMEs, Medium and Large Enterprises from 90 to 180 days past due

– Analysis and assessment of borrowers’ financial condition

– Delivery of loan restructuring proposals

– Handling of borrowers’ appeals

Delinquent Loans management Department

– Management of loans that have been denounced

– Monitoring of all legal actions

– Management of foreclosures

Business Restructuring Department

– Preparation of restructuring plans for selected companies, that will enable them to meet their financial obligations to the Bank

– Investigates all options regarding additional securities/collaterals that can be obtained

– Ongoing monitoring of the company to ensure that targets defined in the restructuring plan are met

Administrative and legal support office

– Non performing loan servicing

– Provision of legal advice

– Reporting

L O A N S


CREDIT RESTRUCTURING UNITno. of FTEs: 50

Target no. of FTEs: 147

DELINQUENT LOANS MANAGEMENTARREARS MANAGEMENT

BUSINESS RESTRUCTURING

CHIEF EXECUTIVE OFFICER(CEO)

ADMINISTRATIVE SUPPORT OFFICE

26


DRAFTNPL management

Attica Bank has recently reorganised the NPL management unit by creating a clear and efficient organisation scheme to addressthe growing need for the optimisation of the arrears management process. More specifically, the Bank has launched an ambitiousproject for the design and implementation of a new organizational and functional model for the centralized management of NPLs.The project comprises of two pillars:

L O A N S


The dedicated NPL management unit will undertake the handling of the entire NPL lifecycle, including:- Communication with the client, identification and assessment of the problem- Loan restructuring assessment- Loan servicing- Effectuation of legal actions

Creation of a dedicated NPL management unit1

Design and establishment of new NPL management procedures underpinning the entire NPL management lifecycle

Re–design of existing and establishment of new NPL management framework / procedures

2

NPL management project timeline / progress

NPL managementproject launched

Redesign of NPLmanagementprocedures begins

Transfer of the 1st wave of NPL accounts to central management

unit begins

Creation of the new dedicated NPL

management unit

October December

January June

2014

2015

Clients’ relationship

managed centrally for all NPL accounts

September

NPL portfolio review and potential recovery

assessment in progress

Full servicing of NPL accounts from the centralized NPL

management unit

March 2016

27


DRAFTImpact of the project

Project implementation, in conjunction with new Special Account Management Department, is expected to have significant impactin asset quality and profitability.

L O A N S


Cost savings of €2.5m formed

Decrease in legal expenses, as a result of the centralisation of legal actions:

The number of legal actions on defaulted loans are expected to be reduced due to

the more intense restructuring effort imposed by the new NPL management team;

Optimisation of the use of legal resources engaged in the effectuation of legal

actions, targeting mainly non-permanent Bank employees used in remote

locations;

Lower number of legal actions taken by the Bank as the assessment of the

requirement to proceed to legal actions will be undertaken by dedicated

specialized employees of the centralized unit.

Personnel cost

No incremental personnel expenses to be incurred, as personnel needs will be

covered (at least initially) by employees transferred from closed branches / other

departments of the Bank.

Impact on asset quality

Moreover, the Bank, in an effort to reduce the amount of new NPLs, recently formed

the “Special Account Management Department”, with two main responsibilities:

1. Monitoring of the Bank’s portfolio: The unit applies predefined criteria to assess the

quality of the loan portfolio and enable the identification of early warning signs in

accounts and clients that are likely to default.

2. Management of accounts in pre-arrears or early arrears stage. Specialised staff will

take specific measures to promptly address potential symptoms and prevent the

accounts from default.

The new unit is expected to reduce NPL formation as it introduces an early warning

system and provides for corrective actions that will prevent the accounts from default.

Active arrears and NPL management expected to lead to:

Cured loans;

Decelerating NPL formation;

Improved NPL ratio.

28


Legal expenses

in Q3 2015

DRAFT

Funding


DRAFT

43% 42%39%

25% 23%


Eurosystem FundingF U N D I N G


29

Comments

Reliance on Eurosystem funding as a percentage of total assets as at Q3 2015 stood at

25% against a sector average of c. 32%.

Since the end of 2014 deposits balances have deteriorated due to increased

uncertainty. During the first half of the year, the Bank's deposits decreased slower than

the sector average (-21% against a sector average of - 24%)

Deposit levels have stabilized since the introduction of capital controls.

Evolution of Eurosystem funding (% of total assets)

Eurosystem funding (% of total assets) – Q3 2015


510

150 100170

73

180

815

17.7%

3.7% 2.6%

4.3%

24.6%

0%

10%

20%

30%

0

500

1000

2012 2013 Q3 2014 2014 Q3 2015

ECB ELA % of assets

DRAFTFunding and LiquidityF U N D I N G


Main factors influencing liquidity in the Greek Banking system

Shrinking deposit balances due to the deterioration of the macroeconomic environment and introduction of capital

controls since June 2015

In 2015 deposits amounting to more than € 40bn were withdrawn from the banking system

From December 2014 until September 2015, the Bank's deposits decreased at a pace slower than the system average

(- 21% against a sector average of - 26%).

Deteriorating quality of collateral used for central bank funding

Net loans to Deposits ratio (%)

The response of Attica Bank

Reasonable deposit pricing

Focus on keeping a stable customer base

Make good use of all available collateral for central bank

funding

Deposit levels have stabilised since the introduction of

capital controls.

Deposits y-o-y (%) change Deposits evolution (€m)

30


-30%

-20%

-10%

0%

10%

20%

30%

Dec

. 201

3

Mar

. 201

4

June

201

4

Sept

. 201

4

Dec

.201

4

Mar

. 201

5

June

201

5

Sept

. 201

5

Sector Attica Bank

100%

98%

105%

2013 2014 Q3 2015

3,313 3,259 3,254

2,580

2013 Q3 2014 2014 Q3 2015

DRAFTEvolution of Deposits

As at 30 September 2015, deposits stood at € 2.6bn. The Bank’s deposits are generated mainly from retail clients

Sight and savings deposit represent 36.2% of total deposits.

F U N D I N G


Evolution of deposits by segment (€m) Evolution of deposits by customer (€m)

(68.6%)

(63.9%)

(25.7%)

(63.2%) (61.3%)

(58.4%)

31


2,117 2,064 1,994

1,437

632569

498

356

539611

741

751

24 15 21

37

2013 Q3 2014 2014 Q3 2015

Other Public sector Corporations Individuals

(63.9%)

3,313 2,5803,2543,259

(19.1%)(17.5%)

(15.3%)

(13.8%)

(16.3%)(18.8%)

(22.8%)

(29.1%)

(0.7%) (0.4%) (0.7%)

(1.4%)

(63.3%) (61.3%)

(55.7%)

(77.5%) (75.5%)(77.5%)

2,600 2,526 2,457

1,605

323 329 364

473

379 384 421

461

10 20 12

41

2013 Q3 2014 2014 Q3 2015

Other Sight Savings Term

(78.5%)

3,313 2,5803,2543,259

(9.8%)(10.1%) (11.2%)

(18.3%)

(11.4%)(11.8%) (12.9%)

(17.9%)

(0.3%) (0.6%) (0.4%)

(1.6%)

(77.5%)

(62.2%)

(75.5%)

DRAFTDeposit PricingF U N D I N G


Stock of Deposits costs (bps) Term Deposits costs (bps)

208

210

212

214

216

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15168

170

172

174

176

178

Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15

32


Decrease of the deposits costs in spite of deposit withdrawal

Significant reduction in Term Deposits in the next 3 months allow for further reduction in costs

DRAFT

Capital


DRAFT2015 comprehensive assessment resultsC A P I T A L


33

2015 comprehensive assessment results

Following the 19 August 2015 agreement between Greece and the Institutions, the ECB was requested to provide a forward-looking view of the capital needs of the four Greek systemicbanks while the Bank of Greece (BoG) has conducted a similar exercise for Attica Bank

BoG closely followed the methodology and overall approach applied by the ECB

In order to assess the specific recapitalisation needs of Attica Bank, this Comprehensive Assessment comprised: an Asset Quality Review (AQR) to adjust the starting Common Equity Tier 1; and a forward-looking Stress Test to assess the evolution of the CET1 ratio over the H2 2015-2017 period

Overall, the Comprehensive Assessment identified a shortfall of €857 million in the baseline scenario and €1,021 million in the adverse scenario, after comparing the projected solvencyratios with the above thresholds defined for the exercise and without taking into account any capital mitigating actions

Excluding Cocos amounted at 95.6 mln euros and RWA adjustments.

5.9%(9.5%)

(4.9%)

(3.5%)

(11.9%)

(5.3%)

(17.2%)

(7.9%)

(25.2%)

Pre AQR CET1 ratio Adjustments toprovisions on sampled

files

Adjustments toprovisions due to

projection of findings

Adjustment toprovisions due to

collective provisioningreview

AQR adjusted CET1ratio

Impact of Baselinescenario

Baseline scenarioCET1 ratio

Impact of Adversescenario

Adverse scenario CET1ratio

Capital shortfall to 9.5%:€697M

Capital shortfall to 9.5%:€857M

Capital shortfall to 8.0%:

€1,021M

Overview of AQR Overview of Baseline Overview of Adverse

Source: Bank of Greece

Final capital needs after the assesement of the Bank's capital plan by the BoG

Baseline Scenario: €584m Adverse Scenario:€748m

triantpo

Text Box

DRAFT AQR adjustments have been determined with a gone concern approach applied with discounted collateral valuations…

More than 80% of Attica AQR adjustments relates to its corporate loan book which is mainly collateralized with real estate assets (43%)

C A P I T A L


Discount applied on collaterals in case of forced sale

Sources: ECB, BoG

25%

35%

50%

RRE

CRE

Industrial real estate

34

DRAFT…which leads to adequate provisioning position vs. peersC A P I T A L


Post AQR 2015 – NPE Coverage Ratio (Retail and Corporate Portfolios)Post AQR 2015 – NPE Ratio (Retail and Corporate Portfolios)

Source: BoG and ECB AQR 2015 Disclosures per bank.

41.0%

44.7% 45.4%

54.9%56.8%


54.2%

50.1%

54.9%

55.6%

57.6%


35

Post AQR NPE classification as per EBA definition applied in CA

DRAFTStress test approach has been performed under adverse assumptionsC A P I T A L


PPI

68

53

39

13

2

PPI 2015 H1 x2

2017 Baseline scenario

2015 Adverse scenario



-22%

Represents 79%of H1 2015 annualized PPI

Methodology and macro assumptions

Higher CET1 ratio targets vs. 2015 exercise

No further DTA creation over the 2.5 year time period (H2 2015-2017)

2014 2015

Baseline 8.0% 9.5%

Adverse 5.5% 8.0%

75

80

85

90

95

100

2010 2011 2012 2013 2014 2015 2016 2017

2014 Base 2014 Adverse 2015 Base

Real GDP (base: 2010)(1)

Note:(1) Data sourced from Eurostat, ECB

36

-10.0%

-4.4%

+0.8%

+2.7%-3.1%-1.6%

+2.9%

-2.3%

-0.6%

+3.7%

+1.2%

-1.3%

2014 Base

2014 Adverse

2015 Base

DRAFT €100.2 million of preference shares qualifying as Core Tier I capital and €215 million of guaranteed bonds

Preference shares

– Since the beginning of 2009, the Bank is participating in the governmentsupport plan for the banking sector. Under the provisions of Law 3723/2008for the enhancement of liquidity of the Greek economy in conjunction withrelevant Ministerial Decision, the Bank issued in May 2009 €100.2 million ofredeemable preference shares with indefinite duration, underwritten inwhole by the Hellenic Republic and classified as Core Tier I capital

– Preference shares were issued in exchange of Greek Government bonds ofan equal nominal value. The bond matured in May 2014 and was repaid infull.

Key terms of the preference shares

– The preference shares have a fixed non—cumulative annual return of10.0%. Payment is subject to the availability of distributable profits inaccordance with relevant Greek Company Law requirements (article 44 of2190/1920). To this date, dividends on preference shares were paid in 2010

– According to the current legal framework, if after the five-year period fromtheir issuance date, the preference shares have not been redeemed, thereis a step up feature of 2.0% per annum (Law 3844/2010). Furthermore, ifafter that period the Bank is not given permission to buyback the preferenceshares due to BoG’s capital adequacy ratio not being met, they are subjectto conversion to ordinary shares. Under the new HFSF frameworkpreference shares convert into common shares owned by the HFSF if itparticpates in the share capital of banks.

– The shares provide the Greek State with the right to participate in theBank’s BoD, with one member and also provide for certain veto rights

C A P I T A L


Greek Government guarantees scheme

Issuance of c. €100 mlnPreference Shares (Official Journal B’ 1034/1.6.2009

Pillar III Bond with Face Value of €200 mln – expired within 2011

Jan 2009

Issuance of Government Guaranteed Bond of €215 mlnfor a 3yr Term (Official Journal B’ 1117/22.7.2010)

Jun 2010

Issuance of Government Guaranteed Bond of €285 mln for a 3yr Term (Official Journal B’ 248/15.2.2011))

May 2009

Feb 2011

Jul 2013Renewal of €215 mlnGovernment Guaranteed Bond for 3yr term (Official Journal B’

1929/9.8.2013)

Renewal of Government Guaranteed Bond of €285 mln for one year (Official Journal B’ 392/19.2.2014)

Feb 2014

Under the provisions of the same law, Greek Banks participated inthe Greek Government Guarantee Scheme. As part of the scheme,Attica issued two bonds guaranteed by the Hellenic Republic with atotal value of €500m (current balance € 215m).

Guarantee fee amounted to 108 bps p.a. for the first bond and 79bps p.a. for the second bond

37

DRAFT

Operating Income - Operating Expenses


DRAFTOperating Income, Operating ExpensesO P E R A T I N G I N C O M E - O P E R A T I N G E X P E N S E S


38

Evolution of key P&L aggregates (€m)

39.6% increase in pre-provision income (from €34.0m in Q3 2014 to€47.4m in Q3 2015)

Credit risk provisions of €531m were booked in Q3 2015 as aresult of deteriorating economic conditions as reflected in the AssetQuality Review performed by the Bank of Greece

Operating income by source (€m)

OPERATING INCOME Q3 2014 Q3 2015

Net interest income 70.6 67.1

Net fee and commission income 16.6 15.2

Gain/ loss from securities 9.3 0.9

Other income 6.1 20.4

Total 102.5 103.7

Operating income by segment (€m) – Q3 2015


11.0 20.5

81.180.8

10.5 2.4102.5 103.7

Q3 2014 Q3 2015

Retail Banking Business Banking Treasury

34.0 47.464.1

531.0

(30.1)

(483.6)

Q3 2014 Q3 2015

Profit before Provisions Provisions for credit risks Profit before Taxes

DRAFTOperating Income, Operating ExpensesO P E R A T I N G I N C O M E - O P E R A T I N G E X P E N S E S


NII breakdown (€m) Net Interest Margin – NIM (%)

70.6 67.1Total NII:

The NIM (Net Interest Income / Average interest – bearing assetspost provisions) increased to 2.80% in Q3 2015 (Q3 2014:2.63%)due to the decrease in interest – bearing assets

39


2.63%2.80%

Q3 2014 Q3 2015

6.8 6.2

19.19.1

126.6

106.5

(78.0) (47.8)

(3.8)

(7.0)

Q3 2014 Q3 2015

Other interest expense(including due to financial institutions and Attica Funds bond loan)Due to customers - expenseLoans and advances to customersOther interest incomeLeasing (lessor)

DRAFT

48.3%

90.1%

26.3%

5.4%21.7%

3.8%3.7%0.6%

Q3 2014 Q3 2015

Provision for credit risks Salaries and peronnel expenses

General operating expenses Depreciation

Significant improvement of cost income ratioO P E R A T I N G I N C O M E - O P E R A T I N G E X P E N S E S


Cost / Income Ratio (excl. provisions)

Operating expenses breakdown

Breakdown of general operating expenses ( € 22.5 m as at 30.09.2015)

Q3 2014 Q3 2015

Rents 16.4% 18.9%

Advertising and promotion expenses 6.5% 2.0%

Telecommunication expenses 5.4% 6.5%

Repairs and maintenance 3.2% 4.1%

Utility Services 3.7% 4.4%

Third party fee and expenses 18.1% 19.4%

Legal expenses 6.5% 1.0%

Visa expenses 3.8% 5.3%

Other 36.2% 38.2%

TOTAL 100% 100%

40


66.9%

56.2%

Q3 2014 Q3 2015

DRAFT

Operations - HR


DRAFTOrganizational StructureO P E R A T I O N S - H R


41

AUDIT COMMITTEE

REMUNERATION COMMITTEE

BOARD OF DIRECTORS

INTERNAL AUDIT

LEGAL SERVICES

COMPLIANCE

RISK MANAGEMENT COMMITTEE

CHAIRMAN OF THE BoDEXECUTIVE COMMITTEE

RETAIL, CORPORATE & INVESTMENT BANKING

CHIEF EXECUTIVE OFFICER(CEO)

IT, ORGANISATION

& OPERATIONSCREDIT

RESTRUCTURING

HUMAN RESOURCES

CORPORATE GOVERNANCE & NOMINATION COMMITTEE

STRATEGY AND COMMUNICATION

CREDIT & RISK MANAGEMENT FINANCIAL OPERATIONS MARKETS & TREASURY

BRANCH NETWORK

BUSINESS CENTERS

RETAIL BRANCHES

E-BANKING

PRODUCT DEVELOPMENT & NETWORK OPERATIONS SUPPORT

BANCASSURANCE

SPECIAL CREDIT INSTRUMENTS,INVESMENT BANKING AND

SUBSIDIARIES

CAPITAL MARKETS

CORPORATE & PROJECT FINANCE

CREDIT

CONSUMER CREDIT

CORPORATE CREDIT

RISK MANAGEMENT

BUDGETING & MIS

FINANCE

SOFTWARE DEVELOPMENT

IT INFRASTRUCTURE AND SYSTEMS

BUSINESS OVERSIGHT

ORGANISATION & CORPORATE PLANNING

LOAN MANAGEMENT

DELINQUENT LOANS MANAGEMENT

ARREARS MANAGEMENT

BUSINESS RESTRUCTURING

TREASURY

DEPOSITS PRODUCTSCORPORATE & RETAIL BANKING

INTERBANK OPERATIONS

CUSTODY & FINANCIAL OPERATIONS SUPPORT

PROPERTY, TECHNICAL SUPPORT & PROCUREMENT

IT & TECHNOLOGY

LAW COUNSELOR

SPECIAL ACCOUNTS MANAGEMENT

STRATEGY & COMMUNICATION COMMITTEE


DRAFTOrganizational StructureO P E R A T I O N S - H R


42

Comments

Loans and deposits per branch in Greece (€m) – Q3 2015

Branch network evolution

Headcount evolution

80

70 70

2013 2014 Q3 2015

932

899902

2013 2014 Q3 2015

10 branches have been closed within 2014

The Group headcount has decreased in the last few years from 932 in 2013 down to

902 in September 2015.

Attica Bank has put in place cost cutting initiatives involving several categories of the

Bank’s expenses

Attica Bank has a low loans per branch and deposits per branch ratios, which gives a

considerable headroom for productivity improvement.


85 90 85 81

54

68

45 4249

37


Gross loans per branch Deposits per branch

DRAFTEmployee profileO P E R A T I O N S - H R


Gender – Q3 2015 Education – Q3 2015 Location – Q3 2015

44%56%

Male Female

15%

29%

12%

44%

Master's degree Bachelor's degreeHigher education Secondary education

69%

15%

16%

Attica Rest of Greece Northern Greece

43


DRAFT

Appendix


DRAFT

Appendix 1 - Macroeconomic Update


DRAFT Greece successfully concluded its negotiations with its European Partners

Following the adoption of so-called prior reforms by the Greek Parliament in July, the Greek authorities and the institutions agreed in August on a third bailout worth €86bn that will cover Greece’s financing needs until mid-2018; The agreement proposes a heavily front-loaded policy agenda, including a number of additional prior actions to be passed by the Greek parliament. They mainly concern fiscal issues, but also the resolution of NPLs, product markets and privatization.

A P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


44

Key terms of Greece’s 3rd bailout

RESTORING FISCAL SUSTAINABILITY

Greece will target a medium-term primary surplus of 3.5% of GDP (with lower targets for 2015-2017) to be achieved through a combination of:

Upfront fiscal reforms, including to its VAT and pension system (full implementation of 2010 & 2012 pension reform)

An ambitious program to strengthen tax compliance and public financial management

A plan to fight tax evasion, while ensuring adequate protection of vulnerable groups

SAFEGUARDING FINANCIAL STABILITY

Greece will immediately take steps to tackle Non-Performing Loans (NPLs)

A recapitalization process of banks should be completed before the end of 2015, which will be accompanied by concomitant measures to strengthen the

governance of the Hellenic Financial Stability Fund (HFSF) and of banks

GROWTH, COMPETITIVENESS AND INVESTMENT

Greece will design and implement a wide range of reforms in labor markets and product markets (including energy) that not only ensure full compliance with EU

requirements, but which also aim at achieving European best practices

There will be an ambitious privatization program that will target revenues of up to €6bn by 2017, and policies which support investment. In line with the 13th July

statement, a new independent fund will be established and have in its possession valuable Greek assets

A MODERN STATE AND PUBLIC

ADMINISTRATION

Particular attention will be paid to increasing the efficiency of the public sector in the delivery of essential public goods and services.

Measures will be taken to enhance the efficiency of the judicial system and to upgrade the fight against corruption

Reforms will strengthen the institutional and operational independence of key institutions such as revenue administration and the statistics institute (ELSTAT)

IMMEDIATE FINANCING

A first disbursement of funds (€86bn in total) under the program in the amount of €13bn was made on August 20th ; an additional €10bn will be earmarked

immediately for bank recapitalization and resolution. These funds are intended to allow the Greek state to cover financing needs, make overdue payments, and

address financial sector needs in order to mitigate hindrances to economic activity, as well as repay a short-term bridge loan of € 7.16bn that was disbursed on

July 20th to repay the IMF and the ECBSource: EU Commission

DRAFTA detailed action plan to tackle the NPLs issue A P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


PRIO

R A

CTI

ON

S

ALREADY IMPLEMENTED

Adopt the amendments to the corporate insolvency law

Adopt legislation to establish a regulated profession of insolvency administrators

Adopt provisions to re-activate the Government Council of Private Debt

Government

PENDING Adopt the amendments to the household insolvency law

Develop a credible strategy for addressing the issue of non-performing loansGovernment

MO

U M

EASU

RES

AUGUST 2015 Issue all necessary provisions to implement the Code of Conduct BoG

END-OCTOBER 2015

Deliver a report on the segmentation of NPLs and an assessment of banks' capacity to deal with each NPL segment BoG

Provide an analysis to identify non-regulatory constraints and impediments to the development of a dynamic NPL market HFSF and BoG

Examine and recommend specific actions to accelerate NPL resolution

Establish by law a Debt Information network and Debt Information Centre, providing legal and economic debt advisingGovernment

END-NOVEMBER

2015

Strengthen the institutional framework to facilitate NPL resolution, including (i) improve the judicial framework for corporate and household insolvency matters,(ii) establishing of a Credit and Wealth Bureau as an Independent Authority, (iii) amending the out-of-court workout law and (iv) fully operationalising thespecialist chambers for corporate insolvency within courts

Establish a permanent social safety net, including support measures for the most vulnerable debtors and differentiating between strategic defaulters and good-faith debtors

Government

Identify mechanisms and processes to accelerate NPL resolution HFSF and BoG

Nominate an executive board member and an internal team to facilitate banks' NPL resolution HFSF

Engage a single special liquidator to ensure individual liquidators are delivering effectively against operational targets and introduce a performance basedremuneration scheme in order to maximise recovery BoG and HFSF

DECEMBER 2015

Introduce coordination mechanisms to deal with debtors with large public and private debts

Adopt the necessary legal instruments setting out the applicable framework and rules for the insolvency administrator professionGovernment

END-FEBRUARY

2016

Agree on operational targets for NPL resolution including loan restructuring and the creation of joint ventures BoG and Banks

Apply NPL resolution performance criteria to banks' management against KPIs

Present and implement an NPL resolution action planHFSF

END-MARCH 2016

Revise the Code of Conduct for debt restructuring guidelines and introduce fast-track mechanismsBoG and HFSF

JUNE 2016 Assess the effectiveness of the insolvency legal and institutional framework and introduce any necessary amendments Government

Report quarterly to the BoG against key performance indicators Banks

Target Timing Key actions

Responsible party

45

DRAFTElections’s outcome point to a stable coalition governmentA P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


Elections’s outcome point to a stable coalition government

Almost 90% of Members of Parliament are supporting Euro membership and reforms, providing the new Government with legislativepower to implement the reforms required by the MoU

Last Parliamentary Elections of Sept.-2015Parliamentary Elections of Jan.-2015

SYRIZANew

Democracy Golden DawnPASOK / DIMAR

Communist Party of Greece Potami ANEL

Union of Centrist

Sept.’15 35.5% 28.1% 7.0% 6.3% 5.6% 4.1% 3.7% 3.4%

Jan.’15 36.3% 27.8% 6.3% 4.7% 5.5% 6.1% 4.8% 1.8%

149

13 13 17

76

1715

145

10 17 11

75

918

15

11% Against

89% Pro-Euro

54% Both Pro-Euro and

against35%

Pro-Euro

11% Against

Coalition Government

46

Source: Greek Ministry of Interior Affairs, Hellenic Parliament

DRAFTUpdate on capital controlsA P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


Comments

Increased penetration of debit cards

– Number of active Visa debit cards in Greece more than double inJuly from previous months

• 135% increase in card transactions in the 2 weeks after thecapital controls were imposed

• In 2014, spending on Visa cards was €1 for €37 compared to €1for €6 in Europe as a whole

Limited impact on short-term NPLs

– Early delinquency increased in July as customer contacts, cashdeposits in bank branches or loan modifications were forbiddenduring the bank holiday

– Right after the reopening of branches, payments recovered at aquick pace, indicating this was a one-off wave expected to have fullydeflated within the following three months

Timeline

Imposition of capital controls (€60 per day withdrawal limit)

Athens Stock Exchange closed

27 June

Greek banks suspend operations Bank Holiday

29 June

28 June

17 July

20 JulyGreek banks resume operations but capital

controls remain

Athens Stock Exchange re-opens

3 August

• Capital controls became gradually more flexible(e.g. €420 per week limit)

• Trade finance framework amended favourably

47

DRAFT Infrastructure sector and SMEs will significantly benefit from the Greek economy recoveryA P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


Positive growth prospects Pipeline of Greek Infrastructure projects (2014-2022)

Greek building permits (Private-Public) Greek value added breakdown by enterprises sizes in 2014

Total pipeline of unfunded Large Infrastructure projects in Greece is estimated at€13.3bn until 2022. Historically, bank financing for these type of infrastructure projectsstood at c. 50% of total investment, with the remaining funding being split betweenpublic and private sources (40% and 10% respectively). As a result, an additional c.€6.7bn will be needed as bank financing by large companies (acting as contractors /sponsors) or SMEs and SBLs acting as sub – contractors.

Despite the decreasing slope of the Greek building activity over the 2007-2014 period,the expected economic recovery will trigger the rebound of the building industry.

Attica Bank will strategically seek to expand its presence in the sector, by providingfinancing to large infrastructure projects, either through participation in syndicated loansor directly financing involved companies. The Bank targets a 3.5% market share in thefinancing of these upcoming projects.

Energy36%

Tourism Infrastructure (airports, ports, marinas)7%

Transit Transport24%

Urban Rail26%

Rail7%

Budget Breakdown

Upcoming€8bn

In Progress€12bn

Source: PwC

Total budget: € 20bn

77

65

5650

36

2316 13

2007 2008 2009 2010 2011 2012 2013 2014

Total Building Activity (Private-Public)

(83)%

Source: Hellenic Statistical Authority (Elstat)

# of permits

Source: Hellenic Statistical Authority (Elstat)

Micro€16bn33%

Small€11bn23%

Medium€8bn17%

Large€13bn27%

SMEs, €35bn 73%

Total gross loans: € 48bn

48

DRAFT

Transport Energy

1.32

5.084.89

2.73 2.96

1.130.87

5

12

28

57

3

10

Total Infrastructure BudgetA P P E N D I X 1 - M A C R O E C O N O M I C U P D A T E


Comments

From a total of around 71 infrastructure projects that will be delivered within the following 8 years, 28 refer to Roads and Ports, 12 to Rail and 10 to WasteManagement;

Energy Interconnections account for 16 projects (34% total pipeline budget) consisting mainly of projects in oil & gas and electricity;

32% of the total pipeline budget relates to rail projects (12 projects), while 23% (14 projects) to motorways

Energy34%

Tourism Infrastructure

(airports, ports,

marinas)7%

Transit Trasport

23%

Urban Rail25%

Rail7%

Waste Management

4%

Total budget (€bn) Number of projects

49

Subsector and Project BudgetBreakdown of infrastructure budget per sector

Source: PwC

DRAFT

Appendix 2 – Steps to enter the HFSF framework


DRAFTNew HFSF Framework

First week of November 2015

Submission of Capital Plan to Bank of Greece

A P P E N D I X 2 – S T E P S T O E N T E R T H E H F S F F R A M E W O R K


50

Second week of November 2015

Submission of the restructuring plan to DGcomp

Third week of November 2015

Application to enter the HFSF framework

DRAFT

Appendix 3 – IT Infrastructure


DRAFTIT – High end organisation and structureA P P E N D I X 3 – I T I N F R A S T R U C T U R E


Main applications

The Group IT is based on the following main applications– Host: Temenos T24– Portfolio Management Systems– Financial Messaging: Swift– Dealing - Trading Screen– Accounting– Information Providers: Reuters, Bloomberg– Desktop Softwares: MS Office (Microsoft)– Electronic Document Management– Collections– Card Management: outsourced

IT department organisation

The IT department is organised in three services– Application Development is in charge of implementing and integrating

IT applications– Infrastructure and Systems is organized in four distinct groups

responsible for:• Run Management• Network/Telecommunication• Systems• Technical Support (Helpdesk)

– Technology and Information is in charge of the business process analysis,business support and security:• Business Analysis and Design• Operation Support• PMO• Information Security

Core ApplicationsMarkets Data Flow

Accounting

Financial Messaging

KeyData

Collections

Document Management

Centralised Printing System

Document Management

Temenos T24

Portfolio Management

SystemsFactoringLeasing

Card Management

Outsourced

Trading

51

DRAFT

Appendix 4 –Risk Management


DRAFTRisk management

Credit, Market, Liquidity & Operational Risks are independently managed

A P P E N D I X 4 – R I S K M A N A G E M E N T


Credit risk management points

Credit Departments

Credit Committee

Credit Council

High-level Credit Committee

Board of Directors

Risk Management Committee

Risk Management Department

NPL Management Committees

Departments under the Credit Restructuring Unit

Market and liquidity riskmanagement points

Assets Liabilities Management Committee (ALCO)

Treasury Departments


Group consisting of top management staff for

addressing contingency events

Operational risk management points

Internal Audit Department

Compliance Department


INDEPENDENT RISK MANAGEMENT

52


DRAFTUnderwriting policyA P P E N D I X 4 – R I S K M A N A G E M E N T


SME/SBL/corporate Retail

Identification of customer needs

Proposal of products

Collection of documentation

Legal and technical valuation in case of real estate collateral

Identification of business needs

Proposal of products

Collection of documentation

Preparation of profile assessment

Visit to business premises if necessary

Branch

Credit bureau investigation

Risk assessment for each case

Forward for approval to the relevant approval committee

Informs branch in case of preapproval to proceed in property valuation

Credit bureau investigation

Risk assessment for each case

Review and evaluation of credit requests and proposals, before

submission for approval to the various Credit Committees

Forward for approval to the relevant approval committeeCredit

Receives & carefully examines file completeness and approvals

Matches documents with credit approvals

Controls data entries performed by the branches regarding collaterals

Releases loan amount for consumer, mortgage and energy loans

Updates the system with pending issues

Receives and carefully examines file completeness and approvals

Matches documents with credit approvals

Controls data entries performed by the branches regarding collaterals

Releases loan amount or activates credit line for short term, medium to

long term and long term loans

Updates the system with pending issues

Creditcontrol

53


DRAFTCredit approval processA P P E N D I X 4 – R I S K M A N A G E M E N T


The Group uses credit scoring for consumer loans. The final algorithm is determined by the RT ICAP S.A (stepwise logistic regression) and takes into account factors such as payment

history, demographic components (age, place of residence etc.), type of debt (Revolving, Instalment, Open) and credit bureau data (Teiresias). The algorithm leads to the calculation of

probability of default which in turn is mapped to a scale of seven degrees for consumer loans (A-B-C-D-E-F-G-NR). As the ranking of the client approaches the ratings of high credit quality

(A) the lesser is the probability of default and vice versa. In the category (NR) are classified clients for which is not possible to evaluate a credit rating.

Consumer loans

External credit ratings are obtained for businesses from the External Credit Assessment Institution ICAP Research and Investment Business Consultants S.A. ICAP Group is the only

company in Greece recognised by the Bank of Greece (July 2008) as an External Credit Assessment Institution (ECAI). Moreover, it is the only company in Southeastern Europe accepted

by the European Central Bank as Rating Tool source for the purpose of the Eurosystem Credit Assessment Framework. Ratings range from AA (exceptionally high credit rating) to H

(exceptionally high credit risk). The Bank receives credit ratings from ICAP and updates its system regularly. Ad hoc ratings are requested if specific indications occur or if a loan to a new

client is to be provided. Clients rated from AA to D are subject to standard credit approval procedures. Clients rated from E to H are subject to special credit approval procedures. In addition

to the 10 grade system, ICAP uses specific terminology for counterparties which are not rated as follows (N.R.—relates to customers for which adequate information is not available in order

to provide rating whilst N.T.—relates to customers which are not trading any longer and thus no rating is provided.)

Corporate loans

AA A BB B C D E F G H N.R. N.T.

Standard Credit Approval Procedures Special Credit Approval Procedures Not Rated Not Trading

54


DRAFT

Appendix 5 – Financial Information


DRAFTP&L HighlightsA P P E N D I X 5 – F I N A N C I A L I N F O R M A T I O N


Impact on asset qualityAmounts in €m GROUP

Q3 2015 Q3 2014 yoyInterest and similar income 122 152 (20.0%)

Less: Interest expense and similar charges (55) (82) (33.1%)

Net interest income 67 71 (4.9%)

Fee and commission income 17 20 (16.8%)

Less: Fee and commission expense (2) (4) (53.9%)

Net fee & commission income 15 17 (8.6%)Profit / (loss) on financial transactions 0 0 Profit / (loss) from investment portfolio 1 9 (93.3%)Other Income/ (Expenses) 20 6 236.4%Operating income 104 103 1.1%Personnel expenses (32) (35) (8.6%)

General operating expenses (23) (29) (21.9%)

Depreciation (4) (5) (21.4%)

Impairment losses on financial assets (531) (64) 728.2%

Total operating expenses (589) (133) n.aIncome from investment in associates 2 0 n.aProfit / loss before income tax (484) (30) n.aLess: Income tax 210 6 n.aProfit / loss for the period (273) (24) n.a

1

2

3

4

5

55


1. Decrease in Interest income (- 20.0% vs. Q3 2014)– This decrease is owed to one-off interest income from a specific category of

Greek government bonds recorded in 2014

2. The NIM (Net Interest Income / Average Interest - bearing Assets postprovisions) increased to 2.80% in Q3 2015 (vs. 2.63% in Q3 2014)– Decrease in Interest income partially offset by a much lower Interest

expense (-33.1% yoy)

3. The pre-provision profit of the Group displays a c. 40% increase y-o-y(€33.9m in Q3 2014 against €47.4m in Q3 2015, taking also into accountthe income from investment in associates)

4. Total Operating expenses excluding provisions for credit and other risksdecreased by 15.1% on a y-o-y basis.– Wages and personnel expenses were reduced by 3.0 million euros and

stood at 31.9 million euros in Q3 2015 against 34.9 million euros in Q32014, displaying a decrease of 8.6%

5. The pre-tax result of the Group in Q3 2015 following the formation of 531million euros of provisions for credit risk was a loss of 483.6 millioneuros, against a loss of 30.1 million euros in Q3 2014. Respectively, theGroup result after taxes was a loss of 273.5 million euros, against a loss of23.9 million euros recorded in Q3 2014.

DRAFTGroup P&L and balance sheetA P P E N D I X 5 – F I N A N C I A L I N F O R M A T I O N


Amounts in €m GROUP

Q3 2015 2014 2013 2012CAGR 12-14

ASSETSCash and balances with central bank 65 107 71 110 (1.3%)Due from other financial institutions 27 43 83 52 (9.2%)Derivative financial instruments - assets 0 1 0 1 48.1%Financial instruments at fair value through P&L 7 42 59 0 5607.2%Net loans and advances to customers 2,708 3,193 3,301 3,241 (0.7%)Financial assets available for sale 83 84 146 142 (22.9%)Investments held to maturity 10 10 7 20 (28.3%)Investments in subsidiaries 0 0 0 0 n.aInvestments in associates 16 15 22 21 (17.1%)Property, plant & equipment 29 30 33 35 (7.9%)Investment property 60 47 46 43 3.6%Intangible assets 35 32 27 23 17.9%Deferred tax assets 343 138 83 46 72.3%Other assets 222 214 177 163 14.5%Total assets 3,606 3,956 4,055 3,898 0.7%LIABILITIESDue to financial institutions 894 203 181 731 (47.3%)Due to customers 2,580 3,254 3,313 2,918 5.6%Debt securities issued 0 79 79 95 (8.5%)Defined benefit obligations 11 12 9 3 88.3%Other provisions 11 19 18 17 6.0%Deferred tax liabilities 4 3 2 4 (5.7%)Other liabilities 21 30 43 34 (7.3%)Total liabilities 3,522 3,601 3,645 3,802 (2.7%)EQUITYShare capital (common Shares) 314 314 310 86 91.3%Share capital (preference Shares) 100 100 100 100 0.0%Convertible bond loan 96 96 99 0 n.aShare premium 356 356 356 362 (0.8%)Reserves 1 (1) (5) (37) (83.1%)Retained earnings (784) (511) (453) (416) 10.9%Equity attributable to parent owners 82 354 408 95 92.9%Non controling interests 1 1 1 1 4.5%Total equity 83 355 410 96 92.0%TOTAL LIABILITIES & EQUITY 3,606 3,956 4,055 3,898 0.7%

Amounts in €m GROUP

Q3 2015 2014 2013 2012CAGR 12-14

Interest and similar income 122 195 191 216 (5.0%)Less: Interest expense and similar charges (55) (105) (144) (174) (22.2%)Net interest income 67 90 46 42 46.0%Fee and commission income 17 25 26 25 (0.6%)Less: Fee and commision expense (2) (5) (6) (6) (8.9%)Net fee & commission income 15 20 20 19 1.9%Profit / (loss) on financial transactions 0 (3) 7 1 n.sProfit / (loss) from investment portfolio 1 11 1 0 n.sOther Income/ (Expenses) 20 3 (3) (3) n.sOperating income 104 121 72 59 43.0%Personnel expenses (32) (49) (65) (59) (8.1%)General operating expenses (23) (45) (46) (41) 9.7%Depreciation (4) (6) (8) (7) (6.9%)Impairment losses on financial assets (531) (111) (107) (143) (11.8%)Total operating expenses (589) (212) (225) (250) (8.0%)Income from investment in associates 2 0 0 (1) n.sProfit / loss before income tax (484) (90) (153) (192) n.sLess: Income tax 210 40 41 10 96.1%Profit / loss for the period (273) (50) (112) (182) n.s

56


DRAFTGroup results by segmentA P P E N D I X 5 – F I N A N C I A L I N F O R M A T I O N


Q3 2014 FY 2014 Q3 2015 Total

Amounts in €m RetailBusiness Banking

Investment Banking & Treasury Retail

Business Banking

Investment Banking & Treasury Retail

Business Banking

Investment Banking & Treasury Q3 2014 Q3 2015 Change %

Operating Income 11.0 81.1 10.5 12.3 98.6 10.4 20.5 80.8 2.4 102.5 103.7 1.1%

- Net interest income -23.50 91.41 2.66 -30.05 116.71 3.17 -0.25 71.65 -4.27 70.6 67.1 -4.9%

- Net fee and commission income 1.74 14.62 0.22 2.63 17.82 -0.44 1.51 14.56 -0.91 16.6 15.2 -8.6%

- Income from trading & other income 2.55 5.73 7.09 2.10 4.25 5.15 7.36 12.65 1.38 15.4 21.4 39.1%

- Adjustment between segments 30.18 -30.68 0.50 37.66 -40.21 2.56 11.93 -18.10 6.18

Income from investments in associates 0.00 0.00 0.05 0.00 0.00 0.37 0.41 1.52 0.07 0.0 2.0

Profit / (loss) before taxes -67.38 28.61 8.63 -16.86 -79.85 6.72 -85.55 -397.59 -0.43 -30.1 -483.6

Taxes 6.3 210.1

Profit / (loss) after taxes -23.9 -273.5

Provisions for credit risks and securities impairment -14.82 -49.18 -0.11 -8.03 -101.97 -1.25 -94.84 -435.16 -1.00 -64.1 -531.0 728.2%

Depreciation -1.02 -3.70 -0.13 -1.35 -4.85 -0.18 -0.78 -2.90 -0.13 -4.8 -3.8 -21.4%

Total Assets 814.21 2,891.42 211.80 808.04 2,900.35 247.91 719.71 2,669.43 216.59 3,917.4 3,605.7 -8.0%

Total Liabilities -2,181.81 -1,268.80 -79.26 -2,161.92 -1,360.10 -79.26 -1,959.57 -1,562.81 0.00 -3,529.9 -3,522.4 -0.2%

57


DRAFTKey financial ratios, Q3 2014 – Q3 2015A P P E N D I X 5 – F I N A N C I A L I N F O R M A T I O N


Group Bank

BALANCE SHEET STRUCTURE Q3 2014 FY 2014 Q3 2015 Q3 2014 FY 2014 Q3 2015

Due to Customers / Loans and Advances to customers (before provisions) 87.35% 87.03% 68.24% 87.77% 87.40% 68.65%

Due to customers / Total Assets 83.19% 82.26% 71.57% 83.43% 82.48% 71.90%

Loans and Advances to customers (after provisions) / Total Assets 82.46% 80.71% 75.11% 82.30% 80.59% 75.01%

Total Equity / Total Assets 9.89% 8.97% 2.31% 9.76% 8.82% 2.10%

Total Equity / Due to Customers 11.89% 10.91% 3.23% 11.70% 10.70% 2.92%

EFFICIENCY

Annualized profit before taxes / Average Equity (RoAE) -10.08% -23.54% -294.16% -10.19% -24.15% -304.49%

Annualized profit before taxes / Average Total Assets (RoAA) -1.01% -2.25% -17.05% -1.00% -2.27% -17.11%

58


DRAFTKey financial ratios, Q3 2014 – Q3 2015A P P E N D I X 5 – F I N A N C I A L I N F O R M A T I O N


Group Bank

Q3 2014 FY 2014 Q3 2015 Q3 2014 FY 2014 Q3 2015

Total operating expenses less provisions / Total Assets 2.33% 2.54% 2.15% 2.25% 2.45% 2.07%

Operating expenses less provisions / Total operating income 66.91% 82.79% 56.17% 66.04% 82.78% 55.47%

NPE ratio 41.68% 44.80% 55.76% 41.68% 44.80% 55.76%

Provisions / NPE 32.20% 32.60% 50.89% 32.20% 32.60% 50.89%

59


DRAFT

Appendix 6 – Corporate Governance


DRAFT Board of Directors and Corporate Governance-Main CommitteesA P P E N D I X 6 – C O R P O R A T E G O V E R N A N C E


BOARD OF DIRECTORS Consists of 14 members with 4 independent non–executive members

Mr. Ioannis Gamvrilis, who is also chairman of the Engineers and Public Constructors Pension Fund, is chairman of the BoD

EXECUTIVE COMMITTEE Determines the Bank's medium-term and long-term goals as well as the Bank’s policies and the necessary means and strategies to realise them

RISK MANAGEMENT COMMITTEE

Members are appointed by the Board of Directors

Sets the risk-taking strategy for all types of risk and capital management in accordance with the business objectives of the bank, and the technical and human

resources available to it at a stand-alone and group basis

Is in charge of the development of an internal risk management system and its integration with the decision-making processes across all activities/units of the

bank and its subsidiaries

Sets the principles for the management of risks as to their recognition, forecast, measurement, monitoring and control, in line with the business strategy and the

resources available to the bank

REMUNERATION COMMITTEE

Consists of non-executive members of the BoD

Is responsible for examining, evaluating and proposing the general pay policy for staff and also makes recommendations to the Board of Directors about the pay

of senior management and supervisory executives

In order to generate long-term corporate value and to monitor the risks assumed by the bank’s executives, Attica Bank ensures that pay levels and structures

are in accordance with the overall framework within which it operates, with its business strategy, objectives, values and long-term interests

AUDIT COMMITTEE

Three non-executive members of the Board, one of whom is an independent member

Assists the BoD in exercising its duties of examining the adequacy and efficiency of the internal audit system and facilitates communication between the BoD

and the internal and external auditors

Examines the accuracy and completeness of the published financial statements

IT COMMITTEE Consists of nine members, all of them belonging to the higher levels of the Administration

Determines and manages all IT projects based on the Strategic Business Plan and the IT Strategy of the Bank

60

DRAFT

ATTICA BANK S.A.23 Omirou Str. 106 72, Athens, Greecee-mail: [email protected].: +30 210 3669000

By receiving this document, the Recipient accepts and agrees to be bound by the following obligations and limitations:

The above material has been prepared by Attica Bank for the exclusive use of the selected parties to whom it is delivered.Neither the whole ore any part of the information in this presentation may be disclosed to, or used by any other person or usedfor any other purpose without the prior consent of Attica Bank.

Neither Attica Bank nor any of its connected persons accept any liability or responsibility for the accuracy or completeness of, normake any representation or warranty, express or implied, with respect to, the information on which this material is based or thatthis information remains unchanged after the issue of this presentation. In addition, the reader of the material agrees that AtticaBank and all “connected persons” neither owe nor accept any duty or responsibility to the former, whether in contract or in tort(including without limitation, negligence and breach of statutory duty), and shall not be liable in respect of any loss, damage orexpense of whatsoever nature which is caused by any use the reader may choose to make of this material, or which is otherwiseconsequent upon the gaining of access to the report by the reader.

The content of this material should not be construed as a solicitation or a recommendation. It has been prepared for informationpurposes only and is purely indicative. It does not constitute an offer or invitation for sale or purchase of securities or any of thebusinesses or assets described herein or any form of commitment, advice, recommendation or valuation opinion on the part ofAttica Bank or its connected persons. No part of this material should form basis of or can be relied upon in connection with anycontract or investment decision or commitment relating thereto.

This material should not be regarded by the Recipient as a substitute for the exercise of its own judgment and the Recipient isexpected to rely on its own due diligence, if it wishes to proceed further.

Additionally, the Recipient should not construe the contents of this material as legal, tax, accounting or investment advice. TheRecipient should consult its own independent counsel, tax and financial advisers as to financial, tax legal and related mattersconcerning any transaction described herein. This material does not purport to be all-inclusive or to contain all of the informationthat the Recipient may require or request.

The present material may contain targets, prospects, returns and/or opinions which obviously involve elements of subjectivejudgment. Any opinions expressed in this material are subject to change without notice. Forward looking statements may also becontained. Attica Bank gives no undertaking and is under no obligation to update these targets, prospects or potential statementsfor events or circumstances that occur subsequent to the date of this material or to update or keep current any of the informationcontained herein and this material and there exists no representation that it will do so.

Actual results will vary from the projections or targets mentioned and such variations may be material.

In this notice “Attica Bank” means Attica Bank S.A. and its “connected persons” means the shareholders, subsidiaries and therespective directors, officers, employees and agents of each of them.

61

attica bank · 2017. 11. 2. · joined attica bank in 1999 –more than 35 years of experience in...

Documents