UniCredit Bank AG

BUSINESS OVERVIEW
Divisions of HVB Group
The market-related activities of HVB Group are divided into the following globally active divisions: Corporate
& Investment Banking, Retail and Wealth Management (renamed Private Banking as of 1 April 2010).
Also shown is an "Other/consolidation" segment that covers Global Banking Services ("GBS") and Group
Corporate Centre activities and the effects of consolidation.
Largely the same principles used at year-end 2008 are being applied in 2009. As of 1 January 2009, HVB started
using risk-weighted assets compliant with Basel II as the criterion applied to allocate tied equity capital. The
interest rate used to assess the equity capital allocated to the companies assigned to several divisions (HVB,
UniCredit Luxembourg S.A.) was 3.97% in 2008. This rate was determined for 2009 and, since 1 January 2009,
amounts to 4.30%. This rate was redetermined 2010 and has been 4.09% since 1 Januar 2010.
Corporate & Investment Banking division
The Corporates & Commercial Real Estate Financing and Markets & Investment Banking divisions have been
reorganised and consolidated to form a new division known as Corporate & Investment Banking ("CIB"). This
move is intended to help HVB evolve into an integrated corporate and investment bank and can also be viewed
as a consequence of the financial and economic crisis. The investment banking products have been revised to
make them more accessible for customers and the customer relationship is more fully emphasised. The formation
of CIB serves to secure a standardised business logic, a stricter, more uniform process and management
environment, and an increase in efficiency.
In the new organisational structure, four independent product units act as suppliers of specialised products for the
regional distribution network in corporate banking and for the other divisions. These are: Markets, Financing &
Advisory ("F&A"), Global Transaction Banking ("GTB") and Leasing. At the same time, Markets and F&A
represent the centres of competence within UniCredit Group.
HVB serves its approx. 78,000 corporate customers through its distribution network, concentrating on their
needs in areas such as restructuring, growth and cross-border expansion. HVB's customers in Germany include
corporations with revenues in excess of EUR 3 million, the public sector, commercial real estate customers and
institutionals. The corporate banking business provides various relationship models based on different customer
requirements.
CIB covers a broad range of banking services to corporate customers. Lending is, and is set to remain, HVB's
core business, associated with an appropriate proportion of its customers' other financial activities. HVB aims to
build stable, strategic business partnerships by leveraging physical and logical proximity, and providing advice
and solutions in both commercial and investment banking. HVB aims at actively driving and shaping strategic
issues with its customer as part of a dialogue. This also includes HVB's expertise in sector-specific underlying
conditions and developments.
HVB supports its customers through its European network. The division also has a presence in all the key
financial centres in the world.
HVB's market activities focus on the oversight of IPOs and capital increases, and the syndication of equities,
bond products and structured products. These operations are conducted primarily by the Equity Capital Markets
unit for equity products and structured products based on equities, and the Debt Capital Markets unit for debt
instruments such as corporate bonds, Pfandbriefs and debentures, and the associated risk transfer. The Corporate
Treasury Sales unit provides financial risk management involving a wide range of advisory services and products
covering the hedging of entrepreneurial risks, such as liquidity management (including asset management,
deposits and investments), foreign exchange and innovative derivatives.
F&A combines financing and advisory expertise in an integrated product platform. The broad range of structured
transactions in financing activities includes advising the customer on corporate strategy and, in M&A situations,
on acquisition and project loans, more complex transactions, syndications and subordinated capital. HVB's
shipping activities are also included in F&A.
GTB bundels HVB's competencies (product development and services) in e-business, cash management and
foreign trade financing. The Leasing unit covers a wide range of products from small contracts to special
financing solutions for larger transactions.
Major subsidiaries assigned to this division include UniCredit Luxembourg S.A., which is assigned to several
divisions, UniCredit Leasing Finance GmbH, HVB Global Assets Company L.P., HVB Capital Asia Ltd., and
HVB Capital Partners AG.
Retail division
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