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Investor Presentaiton

Total Operating Expenses down by 18% yoy Cost to Income Ratio (C/I ratio)1 56% FY2018 59% 59% 58% 57% 57% 1H2019 FY2019 1Q2020 2Q2020 1H2020 • Total operating expenses (€ mn) -18% yoy 97 99 93 96 84 81 41 43 38 43 35 34 56 56 55 55 53 49 47 1Q2019 2 2 2Q2019 3Q2019 4Q2019 1Q2020 2Q2020 Other operating expenses Staff costs Special Levy and contributions to SRF and DGF (€ mn) 6 6 6 7 9 6 1Q2019 2Q2019 3Q2019 4Q2019 1Q2020 2Q2020 Group Financial Results for the six months ended 30 June 2020 • • . Cost to income ratio¹ at 57%, broadly flat qoq Total operating expenses of €81 mn for 2Q2020, down 3% qoq and 18% yoy Staff costs reduced to €47 mn in 2Q2020 relating to mostly one-off cost savings from special annual leaves to vulnerable groups and the suspension of the NHS contribution during the COVID-19 lockdown Operating expenses for 2Q2020 amounted to €34 mn, broadly flat qoq Special levy and contributions to SRF and DGF for 2Q2020 reduced to €6 mn, due to the seasonality of Deposit Guarantee Fund (DGF) contribution (1) Excluding Special Levy and contributions to SRF and DGF (2) The interest income, non-interest income, staff costs, other operating expenses and loan credit losses related to Project Helix are disclosed under 'Provisions/net loss relating to NPE sales, including restructuring expenses' since they are considered one-off items Bank of Cyprus Holdings 30
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