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Crédito Agrícola Group A Brief Presentation Meet your partner in Portugal
Crédito Agrícola Group
A Brief Presentation
Meet your partner in Portugal
2
Index
1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
3
Crédito Agrícola Group has a remarkable century-old history in Portugal
Over 100 years of history generating value for members, customers, local communities and employees
1896 The first agricultural co-operative credit law is created to serve farmers seeking funds.
1911 Crédito Agrícola was formally created in Portugal, under a co-operative structure. Its model, notwithstanding adaptations from time to time, is still current.
1976Following the revolution in 1974, all private financial institutions were nationalized, except for Crédito Agrícola and non-Portuguese financial institutions.
1982 Crédito Agrícola reaches autonomy from the State-owned Bank and the network’s dispersion reaches its peak with 223 local banks.
1991Caixa Central was empowered with the mission of supervision, guidance and financial representation of SICAM (comprising the local banks and Caixa Central itself).
1994Caixa Central broadens its scope of activities (universal bank) and invests in other businesses (beyond retail banking) to provide a global financial service.
2013/2015 Crédito Agricola begins a reorganization process as part of a corporate strategy to reinforce the Group’s business and positioning in Portugal and abroad.
1929For political reasons, control over agricultural loans and other specialized credit was transferred to a State-owned Financial Institution.
1978The National Federation of Agricultural Co-Operative Credit Institutions (FENACAM) was created to support and represent the interests of its members, both national and internationally.
1984 Caixa Central is founded to become the financial head of the Group.
1992 Beginning of international business activity.
2011Crédito Agrícola celebrates its 100th birthday.
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Corporate Mission Development Strategy
To be the driver for the sustainable development of local communities, through long-term relationships with customers based on proximity and wich contribute to fulfil their financial and protection needs and expectations (“one stop shopping”).To be recognized as a role model in the financial industry among members, customers, regulatory bodies, partners, employees and the other stakeholders.
To satisfy customers financial and protection needs, as well as to fulfil their financial aspirations
To promote the local communities development
To leverage sustainable investment projects
To improve relationship with customers through agile processes and excellence in service
Core Values
Soundness
Proximity
Co-operative values
Simplicity
Trust
To focus on targeting business opportunities that are expected to return on-going profitability
and enhance the co-operative values
Crédito Agrícola Group’s Corporate Mission, Core Valuesand Development Strategy
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Crédito Agrícola Group has a comprehensive geographical coverage to fulfil its corporate mission
Crédito Agrícola Group’s Current Network Footprint
● The Crédito Agrícola Group covers most of continental Portugal and the Azores Islands.
● Crédito Agrícola Group’s presence is visible in 278 out of 308 municipalities in Portugal (90%) through a network of 675 branches.
● Crédito Agrícola covers 633 out of the 3,092 parishes in Portugal (20%) and:
- In 369, Crédito Agrícola has the only existing branch- In 616, the only connection to the banking system is provided by
a Crédito Agrícola’s ATM.
● These branches are complemented by an extensive ATM network(1,497 machines).
400,000 MEMBERS
675BRANCHES
1.6 MILLION CUSTOMERS
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The Group has accelerated the process of mergers to reach the optimal scale to act in each local marketLocal Banks: Number and Dimension (2003-2015)
Net Assets per Local Bank (EUR Million)
Aver
age
num
ber o
f loc
atio
ns p
er L
ocal
Ban
k
Number of Local Banks
125
2003 20042005
20062007
20082009
2015
120 115 105110 100 95 90 85 80
3
6
9
12
67 7282
92103
117128
154
Some Local Banks have decided to merge in order to reach the optimal dimension, not only in terms of organizational structures (e.g. commercial, risk, operational support), but also in terms of capital structure to finance corporate projects on a regional scale.
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The Crédito Agrícola Group Shareholding Structure
(*) FENACAM owns 98,8% of its own shares.(**) Consolidation by the equity method.
SICAM (perimeter) is represented by Caixa Central, upon which powerswere conferred in the areas of oversight, intervention and guidance of banks.
FCR Agrocapital 1**
CA Vida
CA Serviços
CA Seguros
FCR Central Frie
Crédito AgrícolaSGPS
Rede Nacional de Assistência, S.A.**
CA Seguros & Pensões SGPS Agrocapital SCR CA ImóveisCA Gest CA Consult
CCAM Gestãode InvestimentosUnipessoal Lda.
Head of the Group(Caixa Central)
FENACAM*
FII Imovalor CAFII CA Imobiliário
FII CA ArrendamentoHabitacional
79.85%
98.57%
1.39%
20.13%
82.85%
11.76%
12.36% 74.19%
92.77% 87.64% 25.81%
97.37%
0.03%
20.00%
2.78%
2.59%
100%
100%
100%
100% 100%
28.57% 3.33%
7.13%
27.78%
100%66.67%20.25%
1.07%
0.10%
79.20%
CA Informática
Local Banks
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Software & IT / Communications
● Caixa Central - Caixa Central deCrédito Agrícola Mútuo, CRL, is a co-operative bank with responsibility regarding the Group’s coordination and joint banking strategy development, institutional representation (including domestic clearing and capital markets), supervision and guidance (as empowered by the National Central Bank), Group’s treasury and liquidity management, shared services provision and retail bank for the Lisbon and Oporto markets.
Head of the Group Assets Management
● Private equity company that manages risk capital funds invested in industries such as agriculture and forestry.
Private Equity(Agrocapital SCR, SA)
● Fund and Assets & Liabilities Management
● FENACAM - Federação Nacional das Caixas de Crédito Agrícola Mútuo, was the first structure with national coverage aiming to preserve the Local Banks (“CCAM”) interests and to represent them in Portugal and internationally.
National Federation
● 82 Local Banks (“CCAM”) represent the core of the Crédito Agrícola Group, with:● > 400,000 Members● > 1,600,000 Customers
Local Banks
● Sistema Integrado do Crédito Agrícola Mútuo (“SICAM”), develops the Bancassuranceactivities and sells other finantial products and services.
SICAM
● Non-life and Life Insurance companies use the Group´s retail network to distribute their offer which is widely recognized in the market.
Insurances(life&non-life)
● Responsibility for providing software development services and IS/IT and communications equipment purchasing services provision (shared services).
Crédito Agrícola Group currently comprises 82 Local Banks, Caixa Central, Specialized Companies and FENACAM
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1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
Index
10
Crédito Agrícola is one of the leading Portuguese financial groups, with net assets over EUR 15 BillionCrédito Agrícola Group’s Key Financials
(a) Includes mathematical provisions and financial liabilities under insurance contracts, within SICAM perimeter, considered for accounting purposes.(b) Note that ratios were calculated according to the applicable accounting principles (PCSB for 2002 to 2006; NCA for 2007; NIC and Basel II from 2008 onwards).
(In EUR Million; as of 31st Dec) 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Resources from customers (on & off balance) 7,479 7,897 8,480 9,282 9,832 10,406 11,048 10,927 10,944 11,413 11,763 12,513 13,184
… of which Deposits 7,194 7,582 8,128 8,637 9,122 9,528 9,965 9,939 9,821 10,113 10,123 10,537 10,910
… of which Funds and Capitalization Insurance (a) 285 315 352 645 710 878 1,083 988 1,123 1,300 1,640 1,976 2,274
Loans to Customers (gross) 6,690 6,942 7,290 6,901 7,389 8,300 8,781 8,534 8,507 8,301 8,136 8,099 8,373
Loans to Customers (net) 6,010 6,191 6,413 6,620 7,109 7,926 8,366 8,041 7,914 7,660 7,472 7,261 7,555
Total Net Assets 8,290 8,693 9,370 10,601 11,180 12,122 12,948 14,224 14,241 15,113 14,621 15,051 14,936
Net Equity 566 652 721 765 887 987 1,075 1,122 1,047 1,100 1,141 1,211 1,205
Common Equity Tier 1 n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. 13.1% 13.1%
Core Tier 1 Capital Ratio (Basel II) (b) 9.1% 10.4% 10.5% 11.6% 11.6% 12.2% 12.1% 12.7% 12.5% 11.6% 11.9% n.a. n.a.
Solvency Ratio (Basel II) (b) 11.3% 12.9% 14.0% 14.4% 14.4% 13.3% 12.7% 13.4% 12.7% 10.9% 10.8% 13.1% 13.5%
Net Loans to Deposits Ratio 83.5% 81.7% 78.9% 76.6% 77.9% 83.2% 84.0% 80.9% 80.6% 75.7% 73.8% 68.9% 69.2%
Financial Margin 305 315 311 375 405 425 341 335 381 367 307 307 310
Commissions (net) 54 56 57 85 76 81 82 93 97 102 101 101 98
Insurance Technical Margin n.a. n.a. n.a. 142 114 14 9 5 10 -4 -9 -21 20
Gross Income (Operating Profit) 381 396 394 581 611 537 457 478 505 493 486 577 515
Net Profit 85 90 78 89 120 121 52 36 55 45 -3 27 54
Efficiency Ratio (%) 55.6% 53.5% 57.8% 45.5% 46.4% 56.8% 68.8% 68.3% 65.4% 67.0% 68.2% 57.5% 63.8%
Return on Equity (%) 15.0% 13.8% 10.8% 11.6% 13.5% 12.2% 4.9% 3.2% 5.3% 4.1% -0.3% 2.2% 4.5%
Return on Net Assets (%) 1.0% 1.0% 0.8% 0.8% 1.1% 1.0% 0.4% 0.2% 0.4% 0.3% 0.0% 0.2% 0.4%
Local Banks (#) 120 118 111 105 100 92 88 85 84 84 83 82 82
Branches (#) 598 616 628 632 647 670 680 689 686 686 683 683 675
Staff 4114 4204 4326 4392 4365 4335 4296 4212 4158 4121
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On December 2015, Crédito Agrícola’s market share accounts for 6.5% of deposits and 4.2% of granted loans
Crédito Agrícola’s Market Shares
Geographic Market Share - Deposits
Source: Portuguese Central Bank (Banco de Portugal); December 2015
Geographic Market Share - Granted loans
Global Market Share: 6.5%
Global Market Share: 4.2%
CA ≥ 25%
15% ≤ CA < 25%
10% ≤ CA < 15%
5% ≤ CA < 10%
CA < 5%
CA ≥ 25%
15% ≤ CA < 25%
10% ≤ CA < 15%
5% ≤ CA < 10%
CA < 5%
Viana do Castelo
BragaVila Real
Bragança
Porto
Aveiro
Coimbra
Leiria
Lisboa
Setúbal
Santarém
Portalegre
Évora
Beja
Faro
Viseu
Guarda
Castelo Branco
AçoresAçores
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1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
Index
13
In 2015, Crédito Agrícola had the lowest cost to income ratioand liquidity ratio and had the 4th highest CET1 ratio
Benchmark among the 7 major Financial Groups in Portugal – 2015
Common Equity Tier 1 (BIS III) - phase in
A
15.7% 13.6% 13.1%11.1% 10.8%
8.8%
13.3%
B C D E F
Loans to Deposits Ratio (%)
IndicativeLiquidityRatio Cap: 120%
A
105% 101% 69% 85% 113%113% 90%
B C D E F
Cost-to-Income Ratio
Average: 60.2%
A
45.1% 41.5%
58.5% 53.1% 66.6%78.9%77.6%
B C D* E F
Return on Equity (%)
A
5.3% 4.5%10.4%
-1.8%-2.8%
11.0%
B C D* E F
Source: Banks’ results by December 2015. The bank A does not include the acquisition concluded in December 20th 2015.
Minimum: 8.5%
-16.5%
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Crédito Agrícola has an extensive network of branchesand, in 2015, ranked in 3rd
Retail Banks in Portugal (# branches)
In 2015, the 7 major Banks in Portugal closed 204 branches and some of them plan to close some more branches in result of acquisition
and/or optimization processes.
Sources: Press releases. The bank A includes the acquisition concluded in December 20th 2015.
Bank Dec. 14 Dec. 15 Change
1594
752-19
204 -27
2 720 695 -25
683 675 -8
4 695 671 -24
5 631 596 -35
6 546 495 -51
7 436 421 -15
TOTAL 4,509 4,305 -204
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Index
1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
16
As a universal bank, Crédito Agrícola offers a wide range of financial products and services to individuals and corporations
Savings and Checking Accounts
● Corporate accounts (Euro or foreign currency)
● Direct debits● Standing orders● Payment management
Deposits● Cash deposits● Fixed and variable rate Savings● Structured deposits
Investment Accounts
● Custodian operations and Market orders● Structured products● Mutual investment funds● Portfolio management
Electronic Payments Systems
● Debit & credit cards● Corporate credit cards● Co-branded and private labels● POS & ATM
Leasing & Invoicing
discounting
● Vehicle leasing● Equipment leasing● Real Estate leasing● Invoice discounting
Loans / Credits (individuals and
corportate)
● Mortgage loans● Consumption credit● Cash advances / Overdrafts● Credit for investment● Commercial paper issuing● Current-account credit facility
Support service for payments and receipts
● Transfers● Payments of wages and suppliers● Salary management● Direct Debit Systems
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Life & Non-life Insurances
● Life and Health insurance● Retirement / education insurance
and savings & pension funds● Property and casualty insurance● Professional and personal responsibility
InternationalBusiness
● Trade Finance● Correspondent Banking● International payments● Emigrant remittances● Tax-efficient investments
Specialized Financial Services
● Cash management● Money and capital markets● Financial instruments● Foreign Exchange● Securities brokerage and custody● Commodities risk management
Asset Management
● Structured products● Securities investment Funds● Real Estate investment Funds● Integrated asset management
Management & Financial
Advisory
● Business & corporate strategy● Mergers & acquisitions● Corporate finance● Organization & governance● Internationalization
Venture Capital & Vehicles
(mandates)
● Operational management: Mandates:- FCR Central – FRIE- FCR Agrocapital 1Co-management:- FEII Floresta Atlântica
● Other financial instruments
NON - EXHAUSTIVE
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Crédito Agrícola is the financial partnerfor a wide range of industries
Our industry expertise allows us to
support Companies and Projects in a
wide range of industries.
Manufacturing
BusinessServices
Entertainment,Media and
Technologies
Forest, Paper& Packaging
Agro-Industrial
Automotive
Pharmaceuticals
Retail& Consumer
Healthcareand Social
Services
Power & Utilities
Public Sector
Transport& Logistics
C
M
Y
CM
MY
CY
CMY
K
AF Cartaz Agricultura Tablet 48x68.pdf 1 10/05/16 12:56
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Beyond its 675 branches, the Crédito Agrícola Group offers state-of-the-art electronic interfaces in the digital world
675 Branches
www.creditoagricola.pt Call Center 808 20 60 60CA MobileCA On-line / CA Imóveis
> 1,400 ATM and B24 Redes Sociais
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The Crédito Agrícola Group is enhancing its international presence through investment and commercial agreementsCrédito Agrícola geographical footprint (2015)
EUROPE
Belgium
Germany
Luxembourg
France
AFRICA
Cape Verde
Spain
Portugal
Switzerland
Domestic network
Representative Offices
Agents
IFI / SFE
Partnerships
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Crédito Agrícola Group’s communication strategy is focused on transparency and simplicity to customers and members
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Index
1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
23
Recognition of Crédito Agrícola Group’s excellence by the banking and insurance industries
Portuguese Industry Awards for Crédito Agrícola Group
Customer Service Award 2015
Most Profitable Bank in its Segment
2012
• in Exame 2012
Best Major Life Insurance Company
2012
• in Exame 2012, 2006
Best Non-Life Insurance Company
in its Segment
2013
2015
• in Exame 2015, 2013, 2010, 2009, 2008
CA Rendimento- AWARD“Gestão Nacional de Organismos
de Investimento Colectivo”
1st Place“Fundos de Obrigações de Taxa
Indexada Euro”
CA Monetário - 1st Place“Fundos de Mercado Monetário
Euro”
CA Flexível- 1st Place“Fundos Flexíveis
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Crédito Agrícola: a positive reputation in the global banking industry
Crédito Agrícola ranked 5th in terms of soundness in Portugal (2015)
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Crédito Agrícola: natural partner for the development of local communities
In over 100 years of activity, Crédito Agricola has contributed to economically, socially and culturally develop the regions where Local Banks are integrated (co-operative principles and values being an intrinsic feature).
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1 History and Ownership Structure
Key Financials
Competitive Landscape
Value Proposition
Industry Awards
Main Contacts
2
3
4
5
6
Index
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Contacts: Caixa Central – Caixa Central de Crédito Agrícola Mútuo, C.R.L.
Rua Castilho, 233/233A, 1099-004 Lisbon, Portugalwww.creditoagricola.pt
Compliance
Tel.: (+351) 21 380 56 33 Fax: (+351) 21 380 56 32
Tel.: (+351) 21 380 55 62 Fax: (+351) 21 112 92 69
Mrs. Helena AparícioDepartment Head & Compliance [email protected]
Mr. Paulo BugalhoDepartment Head [email protected]
Financial
Tel.: (+351) 21 380 55 35 Fax: (+351) 21 387 45 86
International Business
Mr. João Barata Lima Department Head [email protected]
Mr. Duarte VidalCorrespondent Banking & Trade Finance [email protected]
Crédito Agrícola Group
A Brief Presentation
Meet your partner in Portugal
