2018 Registration document and annual fi nancial report - BNP PARIBAS 139

32018 REVIEW OF OPERATIONS

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Alternative Performance Measures (APM) Article 223-1 of the AMF s General regulation

3.8 Alternative Performance Measures (APM) Article 223-1 of the AMF s General regulation

Alternative Performance Measures Defi nition Reason for use

Operating division profi t and loss account aggregates (revenues, operating expenses, gross operating income, operating income, pre-tax income)

Sum of Domestic Markets profi t and loss account aggregates (with Domestic Markets profi t and loss account aggregates, including 2/3 of private banking in France, Italy, Belgium and Luxembourg), IFS and CIB BNP Paribas Group profi t and loss account aggregates = Operating division profi t and loss account aggregates + Corporate centre profi t and loss account aggregates Reconciliation with Group profi t and loss account aggregates is provided in the table Core business results

Representative measure of the BNP Paribas Group s operating performance

Profi t and loss account aggregates, excluding PEL/CEL effect (revenues, gross operating income, operating income, pre-tax income)

Profi t and loss account aggregate, excluding PEL/CEL effect Reconciliation with Group profi t and loss account aggregates is provided in the table below

Representative measure of the aggregates of the period excluding changes in the provision that accounts for the risk generated by PEL and CEL accounts during their lifetime

Profi t and loss account aggregates of Retail Banking activity with 100% of Private Banking

Profi t and loss account aggregate of a Retail Banking activity including the whole profi t and loss account of Private Banking Reconciliation with Group profi t and loss account aggregates is provided in the table below

Representative measure of the performance of Retail Banking activity including the total performance of Private Banking (before sharing the profi t & loss account with the Wealth Management business, Private Banking being under a joint responsibility of Retail Banking (2/3) and Wealth Management business (1/3)

Cost/income ratio Costs to income ratio Measure of operational effi ciency in the banking sector

Cost of risk/Customer loans at the beginning of the period (in basis points)

Cost of risk (in m) divided by customer loans at the beginning of the period Details of the calculation are provided in the tables below

Measure of the risk level by business in percentage of the volume of outstanding loans

Doubtful loans coverage ratio

Relationship between stage 3 impairments and impaired outstandings (stage 3), balance sheet and off-balance sheet, netted for collateral received, for customer items and credit institutions, including liabilities at amortised cost and debt securities at fair value through equity (excluding insurance business)

Measure of cover for doubtful loans

Net income Group share excluding exceptional items

Net income attributable to equity holders excluding exceptional items Details of exceptional items are provided in the tables hereafter

Measure of BNP Paribas Group s net income excluding non-recurring items of a signifi cant amount or items that do not refl ect the underlying operating performance, notably transformation and restructuring costs.

Return on Equity (ROE) Details of the ROE calculation are provided in the tables hereafter.

Measure of the BNP Paribas Group s return on equity

Return on Tangible Equity (ROTE)

Details of the ROTE calculation are provided in the tables hereafter

Measure of the BNP Paribas Group s return on tangible equity