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PRESENTATION toPRESENTATION to
US investorsUS investorsOctober 2002October 2002
2
Investor Relations*As at March 31, 2002 - Other figures as at June 30, 2002, Findomestic excluded
Group network: 417 branches
Market share*:
Tuscany, by loans 12.4% - by funding 15.5%
Italy, by loans 1.2% - by funding 1.1%
900,000 customers
Euro 26.2 bn total funding
Euro 12.1 bn customer loans
2001 ROE : 11.3% (13.7% adj)
50% share capital of FINDOMESTIC Banca (Italian consumer credit leader)
Strong regional presence & national leadership in consumer credit
BANCA CR FIRENZE Group - HighlightsBANCA CR FIRENZE Group - Highlights
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Investor Relations
GROUP HISTORYGROUP HISTORY
Banca CR Firenze turning point
2000 - New Board and top management
2000 - The bank goes public: I.P.O.
2001 - Stake in Findomestic is increased to 50%
1829 - The bank is founded in Florence 1970 / 1985 -
1992 & 1997 - Incorporation as joint-stock company and Group constitution
1999 - The Foundation reduces its stake in favour of two new partners: Sanpaolo IMI e BNP Paribas
The shareholding portfolio takes shape
4
Investor RelationsAs at Sept. 23, 2002 - Source : Datastream
Banca CR Firenze
Banking Index
MIDEX Index
2002
SHARE PRICE PERFORMANCESHARE PRICE PERFORMANCE
Since the IPO CR Firenze has been one of the best performers among the Italian financial institutions
J F M A M J J A S O N D J F M A M J J A S40
50
60
70
80
90
100
110
120
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Investor RelationsInstitutional investors - Fidelity - official, all others - estimates
Since the IPO the floating shares increased from 25% to 27% of the share capital
Important partners & leading institutional investors
SHAREHOLDER STRUCTURESHAREHOLDER STRUCTURE
CR Firenze Foundation
Altro
Others
Fidelity Invest.Others
BNP Paribas
Sanpaolo IMI
19.5%
41.8%
27.1%
7.0% 4.7%5.5%
Shareholders' Agreemnt
44%
BNP Paribas7%
Sanpaolo IMI15%
Ente CR Firenze22%
Agreement among the three main shareholders (44% of the share capital)
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Investor Relations
Infogroup Datacentro
Centro
Telemktg.Citylife
PerseoFinance
Pro.Du.Ser.
CR PISTOIA
e PESCIACR ORVIETO CR MIRANDOLA
CR
CIVITAVECCHIA
FindomesticLiberamente
Network
Product Companies Service Companies
Consumer Credit Financial Planners
BANCA CR FIRENZE(Parent Company)
Specialized units by Sanpaolo IMI and BNP Paribas
Eptaconsors
Centrovita
Centro
Leasing
Centro
Factoring
Cerit
CR Firenze
Gest. Int.le
100.0%
51.0%
51.0% 51.0%73.6% 60.9%
80.0%
50.0%
41.0% 46.0%
22.2%
Arval
Italia22.5% 100.0% 100.0%
37.5%50.0%
60.0% 47.8%
XX% - Consolidated stake
THE GROUP STRUCTURETHE GROUP STRUCTURE
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Investor Relations
Commercial banking
Lending
Asset management
Strategic investments
Consumer credit
As at June 30, 2002
Contribution to net income
Consumer credit26%
Service companies
2%
Commercial Banking
59%
Product companies
13%
BUSINESS MODELBUSINESS MODEL
High diversification of income sources
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Investor Relations
5,000
Private Customers 800,000
75,000 500,000
82% 17.5% 0.5%
Mo
nth
ly i
nco
me
- E
ur o
Assets - Euro
Mass market
Affluent
Private Bkg.
Group - As at June 30, 2002
SMALLBUSINESS
CORPORATE
Top1%
Big6%
Mid-size9%
Small 20%
Micro64%
> 25
> 2.5
> 1
> 0.25A
nn
ual
sal
es -
Eu
r o m
n
Companies100,000
CUSTOMER SEGMENTATIONCUSTOMER SEGMENTATION
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Investor Relations
9.7
1.6
9.6
2
9.9
2.2
2000 PF 2001 PF 1H 2002
Customer loans
11% 12%
5% 6%
31%35%
2%
38%
6%
54%
Companies*
Financialcompanies
Other
Public bodies
FindomesticBanks
Eu
ro b
n
CUSTOMER LENDINGCUSTOMER LENDING
Growth coupled with diversification
*Non-financial and family companies, Findomestic excluded
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Investor Relations
Net NPLs ratio Coverage ratio
2.20%1.65%
1.13%
1.70%
48%52% 53.60% 54.4%
2000 2001 1Q 2002 1H 2002
5 – Excellent 33.9% 37.7% +3.8
4 – Good 21.0% 21.0% ----
3 – Acceptable 19.1 % 20.4% +1.3
2 – Risky 23.7% 18.7% -5.0
1 – Critical 2.3% 2.5% +0.2
1H 2001 1H 2002Loans by rating
+ 510 bp78.8%
ASSET QUALITYASSET QUALITY
The Internal Rating System proved to be effective ...
… in monitoring credit quality
Group
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Investor Relations
2000/2001 - Offer restructuring
2001 - CR FIRENZE Gestion International,80% owned mutual fund factory (JV with Sanpaolo IMI)
2001 - Strong commitment to improve AUM Net inflows +20% Market share increased by 2.3% in Tuscany
1,353
1,8402,013
2Q 2001 Dec. 2001 1H 2002Euro mln
Ass
ets
man
aged
Equity funds22.0%
Bond funds75.0%
Balanced funds3.0%
Mutual fund portfolio composition
ASSET MANAGEMENTASSET MANAGEMENT
2002 - Net inflows still positive AUM / Indirect funding ratio at 56.5% Ready to switch to equity portfolios
as the market recovers
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Investor Relations
Return on strategic shareholdings
*Group - As at June 30, 2002
Consumer Credit
Leasing
Asset Management
Factoring
Insurance
18%
21%
14% 14%
1999 2000 2001 1H 02**
Net equity dedicated to strategic shareholdings*
31%
**Estimated annual rate of return
16.5%
7%
4%2%
1.5%
STRATEGIC INVESTMENTSTRATEGIC INVESTMENT
Capital has been allocated to companies which have developed as market leaders
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Investor Relations
357
204
349
203
360
219
184
114
0
200
400
Eu
ro m
ln
1999 2000 2001 1H 2002
65.8%67.0%
68.2%67.5%
Cost / Income ratio
Personnel expenses
Other expenses
1H 2002 figures are not fully comparables because changes in the scope of consolidation
Strong commitment to reduce the present level
COST / INCOMECOST / INCOME
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Investor Relations
CONSOLIDATED 2002 INTERIM RESULTSCONSOLIDATED 2002 INTERIM RESULTS
Euro millions
NET INTEREST INCOME
Non-interest income
Equity subsidiaries
TOTAL INCOME
OPERATING INCOME
NET INCOME
Total costs*
Personnel expenses
1H 2001 pf
273.3
171.1
20.1
464.5
142.3
43.4
322.2
186.5
1H 2002
293.1
161.1
24.0
478.2
149.5
46.1
328.7
184.4
Change
7.3%
- 5.8%
19.4%
3.0%
5.0%
6.3%
2.0%
-1.2%
* Goodwill amortization excluded