2019 Universal registration document and annual financial report - BNP PARIBAS8

1 Presentation of the BnP PariBas GrouP

1

Presentation of operating divisions and business lines

BNL bc is developing innovative, tailor-made, service delivery models based on a multi-channel retail network, organised by region (direzioni regionali) and with separate Retail Banking (including a network of financial advisors), Private Banking and Corporate Banking Departments: The retail network comprises:

■ 721 branches, including Open BNL omni-channel branches (approximately 92 branches) serving customers 24/7;

■ 36 Private Banking centres;

■ 45 small business centres;

■ 43 branches dealing with SMEs, large corporates, local authorities and public sector organisations;

■ 1 trade centre in Italy for its clients cross-border activities;

■ 2 Italian desks to assist Italian companies abroad and multinational companies with direct investments in Italy.

In addition, there are 1,800 ATMs, approximately 78,000 card payment terminals (POS), a network of nearly 451 financial advisers (called Life Bankers ) and a growing range of online and mobile digital banking solutions, in particular, Hello bank!.

BNL bc has also continued to develop new digital uses with, for example, the services launched jointly with Telepass (a toll service operator in Italy) and Arval for SMEs and individuals, which can, amongst other things, combine bank accounts, toll payments and vehicle rentals as well as a range of mobility-related services: BNL bc already has over 73,000 customers for this service, 77% of whom are new customers.

BELGIAN RETAIL BANKING (BRB) BNP Paribas Fortis is the no. 1 bank for retail customers(1) in Belgium and has a strong position in the corporate and small business sector, with 3.5 million customers. BNP Paribas is also the leading Private Bank in Belgium.

Corporate Banking, an area in which BNP Paribas Fortis is number one in Belgium(2), offers a comprehensive range of financial services to corporates, public sector entities and local authorities.

RPB serves individual customers, entrepreneurs, and small and medium enterprises through its different integrated networks, thus fitting into a hybrid banking strategy where the customer chooses between the branch network and digital channels:

■ the commercial network comprises 590 branches (of which 267 are independent) and 18 centres of a new dedicated structure, the Banque des Entrepreneurs (the bank for small businesses). In addition, there are 270 Fintro franchises(3) and 658 retail outlets in partnership with Bpost Bank. Its 590 branches are organised as 41 branch groups reporting to 9 regions;

■ RPB s digital platform manages a network of 2,734 ATMs, online banking services (Easy Banking) and mobile banking (2.1 million total aggregate active users);

■ the bank is also available for customers thanks to the Easy Banking Centre which handles up to 40,000 calls per week.

The offer is completed by the Hello bank! digital bank. which has over 506,000 customers.

Private Banking services are aimed at individual customers with invested assets of more than EUR 250,000. The Wealth Management Department within Private Banking caters to customers with invested assets of more than EUR 5 million. Private Banking customers are served via 32 Private Banking centres, 1 Private Banking Centre by James(4) and 2 Wealth Management centres.

With a very large corporate and midcap customer base, Corporate Banking Belgium is a leader in both categories as well as a challenger in public and non-profit banking.

BNP Paribas Fortis continued its digital development and customer experience improvements. New functions were added to the Easy Banking app, making it possible to apply for consumer credit online. A new robotics and AI-based customer service centre was also set up to optimise the handling of customer queries.

LUXEMBOURG RETAIL BANKING (LRB) With a 16%(5) market share of the retail banking market and 20%(6) of the SME market, BGL BNP Paribas is the no. 2 bank in Luxembourg.

LRB is actively involved in financing the economy and constantly fine- tunes its strategy and network to align it with changing customer behaviour patterns, with a particular focus on digital.

Drawing on the expertise of its 700 employees(7), LRB supports its customers to bring their plans to fruition, with:

■ a network providing banking services, on a daily basis, close to 183,000 customers through:

■ 41 branches throughout the country and 128 ATMs for individual and business customers,

■ a comprehensive and diverse range of products and services offered through its innovative multi-channel presence, encompassing a branch network, online, phone and mobile banking,

(1) Source: Benchmarking Monitor 2019.

(2) Source: Greenwich 2019, in terms of market penetration.

(3) In December 2019, Fintro had 270 branches, 1,326 employees and EUR 11.52 billion in assets under management (excluding insurance business) for 324,456 active clients.

(4) Private Banking centre providing remote services through digital channels.

(5) Source: TNS ILRES Bank Survey 2019.

(6) Source: TNS ILRES SME Bank Survey 2018.

(7) Excluding functions.