ESG Strategy and Digital Transformation slide image

ESG Strategy and Digital Transformation

€0.6 bn NPE sale agreed in 4Q2021, reducing NPE ratio to 7.5%¹ REMU properties NPES Helix 3 Corporate Re-performing NPES 3 SMEs Agreement for the sale of €568 mn NPEs and c.€120 mn REMU properties as at 30 Sep 2021 5% Commercial 1% 1% 26% Gross cash consideration of c. €385 mn Completion expected in 1H2022 €568 mn 49% Retail Housing 44% Retail other Accounting profit of c.€10 mn recorded in 3Q2021; +8 bps on CET1 as at 30 Sep 2021 • Overall by completion, total positive impact of 69 bps on the CET1 ratio 32% Land Residential 42% €120 mn 43% reduction of NPES (€ bn) 5 p.p. reduction in NPE ratio 10% reduction of REMU stock Book value (€ bn) Overall, by completion c.70 bps capital accretive CET1 ratio² 1.34 -43% -5 p.p. 12.4% 0.77 Dec 21 Dec 21 pro forma for HFS -10% 1.40 1.26 1.22 7.5% 14.7% 15.1% 15.8% Dec 21 Dec 21 pro forma for HFS Jun 21 Sep 21 Dec 21 Sep 21 Dec 214 Dec 21 pro forma for HFS 4 7237 Pro forma for HFS 2) 3) 4) Allowing for IFRS 9 and temporary treatment for certain FVOCI instruments transitional arrangements In pipeline to exit NPEs subject to meet all exit criteria; the analysis is performed on a customer basis CET1 (includes unaudited/un-reviewed profits for the year ended 31 December 2021 56
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