KBC Bank & Insurance Group

General Meeting of Shareholders

25 April 2002

2

KBC Bank & Insurance GroupResults

Consolidated profit (in EUR m)

- Contribution, banking- Contribution, insurance- Contribution, holding company

Consolidated profit (%)

- Contribution, banking- Contribution, insurance

(*) 2000: excluding gain realized on sale of investment in CCF.

1 166

877321- 31

75.0%27.5%- 2.5%

1 022

698360- 35

68%35%- 3%

- 12.3%

- 20.4%+ 12.2%+10.3%

- --

2000 (1) 2001 %

3

KBC Bank & Insurance GroupRatios

Profitability/EfficiencyReturn on equityCost/income ratio, bankCombined ratio, insurance

Solvency

Tier-1 ratio, bankSolvency ratio, insurance

(*) 2000: excluding gain realized on sale of investment in CCF.

23.366.5

106.3

9.5%307%

17.370.5

103.8

8.8%318%

2000 (1) 2001

4

KBC Bank & Insurance GroupMain developments

Positive developments Increase in market share

Home loans : 25.6% (+ 0.5%) Deposit books : 20.0% (+ 0.6%) Savings certificates : 17.8% (- 0.1%) Unit-linked life assurance : 20.2% (+ 0.5%)

Increase in profit contribution from Central Europe Excellent result in non-life insurance business 2.5 bn EUR growth in assets under management

Negative developments Unfavourable economic situation

High provisions for loans Adverse financial markets

Fees from securities business: - 12% (organic) Negative result, equity and derivatives subsidiaries Premium income, unit-linked life assurance : - 15.7%

5

In millions of EUR 2001

Gross incomeGeneral admin. expenses

Operating result

Value adjustments and provisions Extraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %

4656- 3094

1562

- 334

49

1277

- 243

- 158

877 (1)

4977- 3510

1467

- 376

80

1171

- 313

- 160

698

6.913.4

- 6.1

12.8

-

- 8.4

28.8

1.5

- 20.4

KBC Bank2001 Results

(1) excl. gains on CCF

Organic %

- 1.43.3

- 10.9

- 4.5

-

- 9.5

19.1

1.5

- 18.9

6

Interest margin : 2.02% (s.q.)

Commissions: Securities : 52% Payments : 17% Insurance : 4% Other :

27%

Fin. Transact. : profit : (m EUR) Shares : 57 (2000 : 272) Bonds : 218 (2000 : 26)

Net interest income+ 9.2%

Commision income (+2.2%)

Other income(+7.1%)

Fin.Transact. (+5.9%)

53%8%

21%

18%

KBC BankBreakdown of gross income

7

In millions of EUR 2001

Gross incomeGeneral admin. expenses

Operating result

Value adjustments and provisions Extraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %

4656- 3094

1562

- 334

49

1277

- 243

- 158

877 (1)

4977- 3510

1467

- 376

80

1171

- 313

- 160

698

6.913.4

- 6.1

12.8

-

- 8.4

28.8

1.5

- 20.4

KBC Bank2001 Results

(1) excl. gains on CCF

Organic %

- 1.43.3

- 10.9

- 4.5

-

- 9.5

19.1

1.5

- 18.9

8

KBC BankProvisioning for credit risks

Specific provisions- Domestic- International

General provision

Loan loss ratio- Domestic- International

Non-interest-bearing

270.4103.2167.1

71.2

0.240.48

2.1%

1999 2000 2001In millions of EUR

285.1252.6

32.5

-43.8

0.530.09

2.1%

330.7166.6164.1

-9.3

0.350.38

2.8%

9

In millions of EUR 2001

Gross incomeGeneral admin. expenses

Operating result

Value adjustments and provisions Extraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %

4656- 3094

1562

- 334

49

1277

- 243

- 158

877 (1)

4977- 3510

1467

- 376

80

1171

- 313

- 160

698

6.913.4

- 6.1

12.8

-

- 8.4

28.8

1.5

- 20.4

KBC Bank2001 Results

(1) excl. gains on CCF

Organic %

- 1.43.3

- 10.9

- 4.5

-

- 9.5

19.1

1.5

- 18.9

10

In millions of EUR 2001Premium income, non-life Premium income, life Net technical charges(*)Investment income(*) Gross margin

General admin. expenses

Recurring result

Non-recurring resultExtraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %820

1 688- 2 330

631 809

- 409

401

8- 2

407

- 51

4

360

7691 881

- 2 517615 748

- 376

372

25- 5

392

- 74

2

321

6.6- 9.9- 7.42.6 8.2

8.7

7.7

- 69.2- 67.2

3.8

- 30.4

-

12.2(*) excl. effect of value adjustments, unit-linked life assurance

KBC Insurance2001 Results

11

KBC InsuranceBreakdown of premium income

Premium-income

Non-life assuranceTraditional life

assuranceUnit-linked life

assurance

Trad. Life (+7.1%)

Non-life (+ 7%)

Unit-linkedclass 23 (-15.7%)

48%

34%18%

via :Agents (%)

Banks(%)

68.8

38.0

1.0

8.8

46.6

97.0

12

In millions of EUR 2001Premium income, non-life Premium income, life Net technical charges(*)Investment income(*) Gross margin

General admin. expenses

Recurring result

Non-recurring resultExtraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %820

1 688- 2 330

631 809

- 409

401

8- 2

407

- 51

4

360

7691 881

- 2 517615 748

- 376

372

25- 5

392

- 74

2

321

6.6- 9.9- 7.42.6 8.2

8.7

7.7

- 69.2- 67.2

3.8

- 30.4

-

12.2(*) excl. effect of value adjustments, unit-linked life assurance

KBC Insurance2001 Results

13

KBC InsuranceNon-recurring result

Non-recurring income

- Gains on shares- Changes in premium reserve- Provision for Y2K

Non-recurring provision

- Provision for financial risk- Extra provisions

Non-recurring result

2000 (1) 2001

144.8

91.923.329.6

-89.9-29.6

25.3

37.2

37.2- -

29.4

7.8

14

In millions of EUR 2001Premium income, non-life Premium income, life Net technical charges(*)Investment income(*) Gross margin

General admin. expenses

Recurring result

Non-recurring resultExtraordinary result

Profit before tax

Taxes

Minority interests

Profit after tax

2000 %820

1 688- 2 330

631 809

- 409

401

8- 2

407

- 51

4

360

7691 881

- 2 517615 748

- 376

372

25- 5

392

- 74

2

321

6.6- 9.9- 7.42.6 8.2

8.7

7.7

- 69.2- 67.2

3.8

- 30.4

-

12.2(*) excl. effect of value adjustments, unit-linked life assurance

KBC Insurance2001 Results

15

KBC Bank & Insurance GroupProfit Contribution by Activity

31 Dec. 00 : 1181 m EUR

31 Dec. 00 : 1022 m EUR

Retail bancassurance

Central Europe

Corporate services

Asset management

Market activities

Groupitems

% profitcontribution 36% 36% 13% 21% 19% 5% 7% 12% 9% 9% 15% 16%

-13.7%

+43.3%

-79.6%

+38.4%

-12.6%

- 4.3%

In m

illio

ns o

f E

UR

422

364

147

211228

47

100

138109

95

168175

16

Allocated equity

(in EUR m)

KBC Bank & Insurance Group Profitability – areas of activity

Retail bancassurance

Corporate services

Market activities

Central Europe

Asset management

Group item

2700

2502

1133

1897

-

-377

%of totalequity

ROE

35%

32%

14%

24%

-

-5%

13.9%

8.3%

4.1%

7.5%

-

-

At 31 Dec. 2001%

profitcontri-bution

36%

21%

5%

12%

9%

18%

17

Retail bancassuranceIntegration of Banking & Insurance

Merger of ICT departments

Joint marketing, communication and logistics at KBC Bank and Insurance Holding Company

Total ±2000 employees

18

Retail bancassuranceCross-selling in Belgium

Total customers, bank1 337 000 Total customers, insurance

744 000

Cross-selling

555 200 customers with at least 1 bank AND 1 insurance product + 4.2 % from 31 Dec. 2000 36.4 % of all customers target 40 %

555 200Shared customers

19

Retail bancassurance Merger process on schedule

Conversion and integration of insurer completed

Merger process at KBC Bank completed by 2004 Closure of bank branches

± 1500 ± 850

1 IT system IT-related work nearly finished 2 250 000 customers already on new system,

300 000 more to go

Downsizing Gradual reduction in workforce by 1 650 (11%) by end of

2004

20

Retail BancassuranceIntegration of retail bank branches

907850

1471

1272

11501118

800

900

1000

1100

1200

1300

1400

1500

1600

1999 2000 2001 2002 2003 2004

planned-300

achieved-321

21

Retail bancassurance Merger process on schedule

Conversion and integration of insurer completed

Merger process at KBC Bank completed by 2004 Closure of bank branches

± 1500 ± 850

1 IT system IT-related work nearly finished 2 250 000 customers already on new system,

300 000 more to go

Downsizing Gradual reduction in workforce by 1 650 (11%) by end of

2004

22

KBC Bank & Insurance GroupInvestments in Central Europe

PolandKredyt BankAgropolisaWarta

Czech & Slovak Rep. CSOBCSOB Pojist'ovnaIPB Pojist’ovnaPatria

HungaryK&H BankK&H LifeArgosz

66.6% 49.9% 40.0%

83.8%100.0% 65.0% 100.0%

59.0%50.0% 98.8%

Ownership

450.77.2

127.2

1 363.315.563.053.5

273.22.5

30.5

Investment in EUR m

Total investment: 2.8 bn EUR

5.5%1%

13% non-life

18.5% 0.6% non-life

11% life/ 5% non-lifena

13.4%2.1%3.5%

Marketshare

Slovenia *NLB 34.0% 435.0 45.0%

* Decision in principle : being finalized

23

19991998

Net earnings

P/E (year-end)

Gross dividend

Payout ratio

Net asset value

Price/NAV (year-end)

2.69

25.0

1.09

40.6%

32.3

2.1

3.26

16.4

1.23

37.7%

33.8

1.6

2000

3.90

11.8

1.42

36.4%

35.2

1.3

KBC Bank & Insurance GroupKey figures per share

2001

3.39

11.1

1.48

43.6%

33.8

1.1

24

KBC share pricein EUR

25

30

35

40

45

50

55

De

c-0

0

Jan

-01

Fe

b-0

1

Ma

r-0

1

Ap

r-0

1

Ma

y_0

1

Jun

-01

Jul-

01

Au

g-0

1

Se

p-0

1

Okt

-01

No

v-0

1

De

c-0

1

Jan

-02

Fe

b-0

2

Ma

r-0

2

Ap

r-0

2

25

0.70

0.75

0.80

0.85

0.90

0.95

1.00

1.05

1.10

1.15

Dec

-00

Jan-

01

Feb

-01

Mar

-01

Apr

-01

Mei

-01

Jun-

01

Jul-

01

Aug

-01

Sep

-01

Oct

-01

Nov

-01

Dec

-01

Jan-

02

Feb

-02

Mar

-02

Apr

-02

KBC relative to DJ Euro Stoxx Banks KBC relative to Bel-20

Relative performance of KBC share price

26

Profit for the period available for appropriation

Profit brought forward from the previous financial year

Profit to be appropriated

Proposed profit appropriation:

* Allocation to own funds

- To the legal reserve (1) - To other reserves

* Profit to be paid out

- Dividends (301 464 574 shares) - Directors - Profit to be carried forward

KBC Bank & Insurance GroupProposed profit appropriation

(1) to raise it to 10 % of capital

555 557 037.57

447 657.47

556 004 703.04

501 057.76105 000 000.00

446 167 569.521 303 595.333 032 480.43

27

KBC Bank & Insurance Group

If the proposed appropriation of profit is approved,dividends (No. 35) will be payable as follows from 29 April 2002 :

Gross amount

% withholding

taxNet amount

on ordinary shares 1.48 EUR 25 % 1.110 EUR

on shares with VVPR strip 1.48 EUR 15 % 1.258 EUR

KBC Bank & Insurance Group

General Meeting of Shareholders

25 April 2002