Crédit Mutuel Group - 2018 Activity Report FOCUS ON RESULTS Change in shareholders’ equity In € millions 2017 2018 Financial strength: Crédit Mutuel STRESS TEST 2018:CRÉDIT MUTUEL CET1 capital 44,359 47,511 ranked fi rst among French banks Percentage of earnings retained in reserves 94.9% NO. 1 AMONG FRENCH BANKS CRÉDIT MUTUEL’S SOUND FINANCIAL POSITIONIn the stress test results published by the European Strengthening shareholders’ equity is a key priority for the Banking Authority on November 2, 2018, the Crédit group, as this determines its fi nancial strength and its ability Mutuel group was the highest-ranked French bank, Financial structure to fi nance growth. exhibiting a CET1 capital ratio of 13.2% in 2020, for the most adverse scenario – the ratio stood at 17.4% at end 17.5% As well as earnings for the year, rising equity is due to the December 2017. 60,000 – 17.4% retention in reserves of a large part of the previous year’s net The group ranked fi fth among commercial banks in the profi t (94.9% of 2017 earnings). euro zone. 50,000 – 15.7% 40,000 – 44,359 47,511 The Crédit Mutuel group thus confi rms its strong fi nancial 41,762 position and the relevance of its growth model, which 30,000 – • Total capital requirements provides each of the 2,100 local banks, 19 federations and 6 federal banks with a safe foundation for growth while 20,000 – • Common Equity Tier 1 + 5.6% recognizing their diversity. 21,271 20,375 21,763 – CET 1 ratio 10,000 – SHAREHOLDERS’ EQUITY ATTRIBUTABLE TO THE GROUP 0 – SUPPORTED BY THE STRENGTH OF ITS BRANCH 2016 2017 2018 As at December 31, 2018, shareholders’ equityattributable NETWORK to the group stood at €54.167 billion, enabling it to post CET1 in which over 95% of lendingdecisions are made, the group regulatory capital of €47.511 billion, up 7.5%. This level of CET1 is continuing to embrace digitalization to create more intense, Prudential ratios | Capital requirements capital, combined with the quality of the group’s assets, leads proactive, d effi cien relationst between advisors and customan ers, to a CET1 solvency ratio of 17.5%, well above regulatory founded on a basis of continuing trust. These efforts will be Total Capital Ratio requirements. based in particular on developing artifi cial intelligence in all business lines and on continuously enhancing the functions of 20.4% Local websites and mobile apps. In the course of this transformation, Total capital ratio surplus relationship banking: Crédit Mutuel, both innovation and data security are priority areas. 840 bps SREP 2018 a key player in the local economy 12.00% In 2018, the intense commitment of employees in our various networks helped to grow the number of members and customers to 32.5 million (up 2.9%). CET1 surplus CET1 900 bps CET1 17.5% Including buffers and P2R 8.50% 28 29