Presentation (correction slide 18) - Dexia.com

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Neither Dexia nor its representatives may be held liable for any loss resulting from the use of these forecasts 

and/or comments relating to the strategies of the Dexia Group to which the presentation may refer. 

2

Dexia Group 

Dexia 2014: A Retail Group 

with 10 million clients 

Pierre Mariani 

CEO

Dexia 2014: A Retail Group with 10 million clients 

1 

Financial restructuring 

Scaled down non-commercial revenue and 

development of commercial franchises 

2 

Rebalancing the Group towards Retail 

Significant investments in Retail franchises 

3 

Capturing Retail upside in a fast growing market 

Disciplined and sustainable growth in Turkey 

4 

Achieving operational excellence 

Efficiency measures, intra-group synergies and industrialisation 

4

Dexia 2014: A Retail Group with 10 million clients 

Income evolution (% of total) 

Non commercial 

revenue 

Divestitures 

Crediop/Sabadell 

20% 

17% 

8% 

28% 

PWB 

~18% 

AMS 

~21% 

RCB 

Turkey 

~27% 

RCB BE 

& Lux 

~33% 

Increased weight of Retail & 

Commercial activities, accounting 

for around 60% of 2014 revenues: 

• ~4 m clients in Belgium & Luxembourg 

• ~6 m clients in Turkey 

Profitable and efficient AMS 

businesses, at par with competitors 

PWB refocused on Belgium and 

France, with a production adapted 

to market funding capacities 

Legacy division significantly downsized 

and funded long-term 

2007 

2014E 

5 

Note: 2007 figures pro-forma estimated; PWB excl. Crediop/Sabadell

Financial restructuring: Scaled down non-commercial 

revenue and development of commercial franchises 

Income evolution (EUR bn) 

October 2008-2011 

- Key objectives - 

Manage and reduce the Legacy burden 

6.9 

Non 

commercial 

revenue 

Divestitures 

Cred./Sab. 

~5.1 

~5.5 

~6.3 

Stabilize, and reinvest in core client 

franchises 

Adapt our cost base through increased 

efficiency and intra-group synergies 

2012-2014 

- Key objectives - 

5.0 

~4.7 

~5.2 

~6.2 

Continue downsizing portfolios 

Leverage investments in Retail in 

Belgium and Turkey 

2007 

2010E-2011E 

Average 

2012E 

2014E 

Continue efficiency measures and move 

towards industrialisation 

6 

Note: 2007 figures pro-forma estimated; PWB excl. Crediop/Sabadell; Assuming sale of Crediop and Dexia Sabadell at book value

Financial restructuring: Well on track to reach short-term 

funding commitment by 2014 

Short-term funding need (EUR bn) 

Short-term funding (% of total balance sheet) 

7 

Bonds & loans sales of EUR 45 bn between October 2008 and September 2010 

Medium- and long-term funding issuance of EUR 80 bn between October 08 and June 10 

Improvement of short-term funding mix with reduced reliance on Central Bank and 

State Guarantee funding

Financial restructuring: Non-commercial revenue already 

largely decreased by end 2011 


- 

 

2007-2011 

- Main drivers of income evolution - 

Reduced risk profile on proprietary trading and size 

of portfolios: 

~EUR -440 m in 2010-2011E Average vs. 2007 

1.6 

- 

 

Cost of state guarantee: 


- 

 

Loss of revenues from divestitures: 


Non 

commercial 

revenue 

- 

 

Capital losses on deleveraging: 


+ 

 

2012-2014 

- Main drivers of income evolution - 

Decreasing cost of state guarantee: 

~EUR +150 m in 2014E vs. 2012E 

Divest. 

2007 

2010E-2011E 

Average 

2012E 

2014E 

- 

Loss of revenues from assets sold/amortized : 

~EUR -310 m in 2014E vs. 2012E 

8 

Note: 2007 figures pro-forma estimated

Rebalancing the Group towards Retail: Significant 

investments in Retail franchises 


Rebalance core businesses 

• PWB re-focused on core franchises and 

normalized funding structure 

• Commercial drive maintained in Turkey 

throughout the crisis 

• E.g. 180 new branches opened in 

Turkey from 2007 until end 2010 

• RCB Belgium/Luxembourg and AMS 

businesses protected by maintaining 

client focus throughout the crisis 

• E.g. Deposit base in Belgium 26% 

above pre-crisis level 

Invest in Retail Banking for future 

growth 

• EUR 350 m in Belgium to reinforce 

franchise and regain market share 

• Decision to invest EUR 250 m in Turkey, 

leveraging DenizBank successful branch 

formats and scalable operations 

9 

Note: 2007 figures pro-forma estimated; PWB excl. Crediop/Sabadell

Capturing Retail upside in a fast growing market: 

Disciplined and sustainable growth in Turkey 

~5.5 

~0.9 

~1.1 

~1.2 

~1.9 

2012E 


~6.3 

PWB 

~1.2 

AMS 

~1.3 

RCB 

Turkey 

~1.7 

RCB Be 

&Lux 

~2.0 

2014E 

CAGR 

2012-14E 

~7% 

~13% 

~8% 

~17% 

~4% 

Manage Retail growth in Turkey 

• Gradual increase of branch opening 

pace to reach 7% share of doors 

• Increased Retail contribution 

(representing 63% of local net income 

in 2014E) 

• Prudent risk control and reinforced cost 

management 

Optimize existing client franchises 

• PWB: Prioritize margins vs. market 

share, while benefiting from improved 

long-term funding mix 

• RCB Belgium & Luxembourg: Increase 

cross-selling and revenue with a focus 

on Affluent/Private and SME 

• AMS: Remain at par with large 

competitive platforms 

Divest Crediop and Sabadell 

10 

Note: PWB excl. Crediop/Sabadell - Assuming sale of Crediop (Mid 2012) and Sabadell (Mid 2013) at book value

Achieving operational excellence: Efficiency measures, 

intra-group synergies and industrialisation 

Estimated EUR 600 m cost reduction 

target achieved by end 2011 

Group cost base (EUR m) 

-15% 

Refocus on core franchises over 2008-2011 

• Downsizing of PWB International 

• Divestment of Entities (K. Austria, FSA, 

Crédit du Nord, Dexia Epargne Pension 

and ADINFO) 

Achieving operational excellence from 

2008 to 2011 

• Efficiency measures 

• Intra-group synergies 

• Start of industrialisation 

• All restructuring costs booked in 2008, 

2009 and 2010 

Achieving operational excellence from 

2012 to 2014 

• Already around EUR 90 m savings 

before inflation identified 

• Further industrialisation of platforms 

11

Dexia teams sharing clear strategic ambitions 

Retail & 

Commercial 

Banking 

Belgium and Lux. 

Retail & 

Commercial 

Banking Turkey 

Public & 

Wholesale 

Banking 

Asset 

Management & 

Services 

 

 

 

 

 

 

Be a reference bank for customer satisfaction 

Become the best alternative to largest banks 

Belgium: Maintain our leadership position 

France: Be a profitable and recognized 

specialist 

Project Finance: Be a preferred provider 

Run profitable and efficient businesses, 

at par with large competing platforms 

 

 

 

Develop intra-group 

synergies 

Reach excellence in 

operational 

management 

• Pooling of group 

resources 

• Industrialisation 

of selected 

platforms 

Strictly manage risk 

Legacy Deleverage while managing risks 

12

Dexia Group Target 2014 

1 

2 

3 

4 

Ambition 2014 

A robust 

financial structure 

Rebalanced activities 

towards Retail 

A solid growth 

engine in Turkey 

A Group driven by 

operational excellence 

Target 2012 

Stable pre-tax income versus 2009: 

~EUR 1.4 bn 

Solid commercial dynamic: 

Commercial income 1 +4% p.a. (09-12) 

ST funding/Total balance sheet at/below 15% 

Strong solvency: Core Tier 1 at ~14% 2 

C/I ratio: < 65% 

Target 2014 

Pre-tax income: ~EUR 1.8 bn 

Investment or dividend payment capacity 

ST funding/Total balance sheet at 11% 

Core Tier 1 at ~15% 2 and 

Common equity ratio > 9% under Basle III 

ROE: > 11% (Normative 3 ) 

ROE: > 8% (Stated) 

13 

Note: (1) Excluding non-commercial revenues 

(2) Under Basel II, assuming sale of Crediop and Sabadell at book value and dividend pay-out ratio: 30% p.a. from 2012 

(3) Normative ROE according to EC capital requirement

Investor Day 2010 - Agenda 

11h00 - Finance - P. Rucheton, CFO 

• Dexia 2014: A robust financial structure 

11h40 – Balance sheet & Legacy - P. Rucheton, CFO 

• Deleverage balance sheet and manage the Legacy 

12h05 - Public and Wholesale Banking - P. Poupelle, Head of PWB 

• Renew with sustainable scale and profitability 

14h00 - Retail and Commercial Banking Belgium & Luxembourg - S. Decraene, 

Head of RCB-AMS 

• Enhance franchise, increase cross-selling on our client base 

14h50 - Asset Management & Services - S. Decraene, Head of RCB-AMS 

• Manage a portfolio of three profitable businesses 

15h20 - Retail and Commercial Banking Turkey - H. Ates, CEO of DenizBank 

• Pursue sustainable growth story in Turkey 

16h10 - Operating model - A. Vanden Camp, COO 

• Reach operational excellence 

16h25 – Closing remarks and Q&A – P. Mariani, CEO 

14

Finance 

Dexia 2014: 

A robust financial structure 

Philippe Rucheton 

CFO

Economic scenario: Slow recovery in Europe while 

dynamic growth in Turkey 

GDP growth (%) Interest rates (%) 

Europe US Turkey 

Exchange rates 

Inflation rate (%) 

Equity indices 

2.0 

8% 

10% 

1.5 

6 

8 

1.0 

0.5 

0.0 

EUR vs. USD 

EUR vs. TRY 

2010 

2011 

2012 

2013 

2014 

4 

2 

0 

Europe US Turkey 

2010 

2011 

2012 

2013 

2014 

6 

4 

2 

0 

S&P 500 

Average annual indice growth 2010-2014 

16 

Source: Dexia Research, DenizBank

Dexia 2014: Resized and rebalanced balance sheet 

Reducing Group total balance sheet 

Restated balance sheet evolution (Base 100 = 2008, %) 

Excluding change in fair value of derivatives, change in posted 

cash collaterals and at constant FX rates 

Increasing share of stable and 

long-term resources 

Funding mix evolution (%) 

100% 

-35% 

28% 

24% 

~11% 

Short-term 

funding 

90% 

87% 

65% 

Of which LT 

Government 

Guaranteed 

Long-term 

funding 

PWB deposits 

RCB deposits 

Other liabilities 

2008 

2009 

1H10 

2014 

Target 

2009 1H10 2014 

Target 

17

Dexia 2014: Key drivers of balance sheet evolution 

between end 2009 and end 2014 

Key drivers of assets evolution 

Key drivers of liabilities evolution 

Deleverage 

Active sale of Legacy 

and Core assets 

Legacy amortization 

Residual amortization of Legacy 

assets, after deleverage 

Reduction of PWB assets 

Net decrease in PWB assets, excl. 

Crediop and Sabadell sale 

~EUR -80 bn 

of which -75 for 

the Legacy 

~EUR -30 bn 

~EUR -20 bn 

Divestiture of subsidiaries and shareholdings 

To be divested: Crediop, Sabadell, 

DBS, Deniz Emeklilik 

Increase of RCB assets 

Net increase in RCB assets 

~EUR -55bn 1 

~EUR +30 bn 

Deposits base 

Increase in RCB and PWB 

deposit base 

Covered bonds 

Stable covered bonds outstanding 

Unsecured funding 

Net decrease in LT senior unsecured 

outstanding 

Government Guaranteed LT funding 

Amortization of LT Guaranteed 

funding 

~EUR +35 bn 

- 

~EUR -35 bn 

EUR -22 bn 2 

Assets and liabilities also impacted by interest rates and FX movements 

18 

Note: (1) Erratum: ~EUR 55bn Assets evolution replaces initial ~EUR - 20bn Net assets 

(2) Outstanding as of end 2009. Outstanding as of end of June 2010: EUR 49 bn

Balance sheet size impacted by interest rates and FX 

movements 

Increase in collateral and fair value of 

derivatives 

Derivatives MTM and Collateral Impact on B/S (EUR bn) 

EUR +36 bn 

Comments 

Derivatives globally hedging Group 

structural exposures 

• Assets mostly long-term fixed rate while 

liabilities are more short-term, leading to a net 

long-term fixed rate receiver position 

• Position hedged by derivatives (EUR 1,600 bn 

of notional amount) 

Consolidated MTM all derivatives 1 (EUR bn) 

Decrease in interest rates increasing 

collateral posted ~11% 

• Sensitivity of ~EUR 13 bn for 1% move of LT 

interest rate (~EUR +10 bn between end 2009 

and June 2010) 

FX 

Interest rate 

Other 

Under IFRS, fair value adjustments of 

derivatives and hedged items also inflating 

Group balance sheet 

• Sensitivity of ~EUR 45 bn for 1% move of LT 

interest rate (~EUR +26 bn between end 2009 

and June 2010) 

19 

Note: (1) Low impact of Equity, Commodity and Credit

LT wholesale funding program aligned to Group needs 

and market appetite 

80 

Production realigned with LT wholesale 

funding program 

Annual LT funding program vs. Annual PWB production 

(EUR bn) 

Comments 

Until 2008, Dexia heavily reliant on 

wholesale long-term funding, but annual 

LTF program not covering new long-term 

commitments 

60 

40 

35 

33 

32 

28 

42 

38 

In 2009 and 2010, execution of large LTF 

program (of which 50% Government 

Guaranteed) to rapidly improve Group 

liquidity 

20 

10-15 

From 2011, Dexia funding program 

adjusted to market capacities and Group 

needs 

0 

2005 2006 2007 

Covered bonds 

2008 

2009 

9M 

2010 

2011E-2014E 

Unsecured unguaranteed debt 

• Covered bond program sized to investor 

appetite 

• Opportunistic use of senior unsecured funding 

going forward 

Government Guaranteed debt 

PWB annual production 

20

Placement of Group benchmark issues supported by an 

expanded investor base 

DMA benchmark issues per period (%) 

DMA pre-crisis (2005-08) 

Changing investor cartography 

DMA post-crisis (2009-10) 

Placement of Government Guaranteed benchmarks 

per currency (%) 

EUR 

GBP 

USD 

Solid appetite for covered bonds, but from 

changing geographies 

• Investors refocus on their regional issuers 

• High level of Central banks purchases, to the 

exception of non European Central banks that 

began investing just before the crisis 

• French and German investors remaining 

faithful to Obligations Foncières and 

Pfandbriefe 

New doors opened by non-Euro 

Government Guaranteed benchmarks 

(GGB) 

• 144-A USD and GBP issuance allowing to tap 

new investors with high investment capacities 

• Reach also expanded to Southern Europe and 

Middle East based investors 

21 

Note: DMA: Dexia Municipal Agency

Significant improvement of Group short-term liquidity 

profile 

Reduction of Dexia short-term funding need 

Rebalancing of short-term funding mix 

(EUR bn) 

(EUR bn) 

300 

EUR 260 bn as 

of end Oct 2008 

300 

Bilateral & 

Triparty repo 

Central bank 

funding 

Unsecured 

unguaranteed 

Short-term 

guaranteed 

200 

EUR 121 bn 

as of end 

Sept 2010 

200 

23% 

100 

0 

Oct 08 Jan 09 Jun 09 Dec 09 Jun 10 Sept 10 

100 

0 

52% 

11% 

14% 

Dec 08 

20% 

43% 

40% 

Dec 09 Mar 10 Jun 10 Sept 2010 

83% 

vs. 25% 

in Dec 

2008 

Short-term funding need down EUR 139 bn 

between end of October 2008 and end of 

September 2010 

Deleveraging policy, refocused PWB 

production and targeted long-term issuance, 

also enabling significant reduction of the 

non-Euro liquidity gap 

Outstanding of remaining short-term 

Government guaranteed funding reduced 

to nil as of end of September 2010 

Shift from Central bank funding to longer 

term bilateral and triparty repo 

• Central bank funding converging towards EUR 

20 bn at end of 2010 (50% of pre-crisis level) 

22

Target 2014: Rebuilding Group income on solid client 

franchises 

(EUR bn) 

Core franchises: 

~95% of Group income in 2014 

Comments 

Core divisions: +5% income growth p.a. 

• Rebuilding market shares in Belgium to deliver 

EUR 250 m additional income by 2014 

• Development plan in Turkey, targeting around 

EUR 850 m additional income by 2014 

• AMS businesses to deliver additional growth 

post 2009 recovery 

• Decrease in PWB income over 2009-2011 

followed by a rebound from 2012 supported by 

lower funding costs and higher commercial 

margins 

• Group center: still elements of volatility (CVA, ...) 

Legacy division 

• Legacy income mainly impacted by lower 

transformation income due to reduced Legacy 

size, and lower cost of deleverage 

Rebound from 2012, after pressure on 

income in 2010 and 2011 

23 

Note: 2009 Group income excl. FSA Inc. 

PWB excl. Crediop/Sabadell - Assuming sale of Crediop (Mid 2012) and Sabadell (Mid 2013) at book value 

RCB Be & Lux incl. DBS in 2009 (EUR 59 m income in 2009)

Target 2014: Stringent management of Group cost base 

EUR 600 m cost reduction target achieved by end 2011 


On-going cost control after 2011 

Group C/I ratio (%) 

-15% 

24 

Note: ‘Other effects’ including cost base increase in fast growing businesses and restructuring costs

Target 2014: Expected decrease in Cost of Risk on Core 

and Legacy divisions 

50 

25 

Cost of Risk on Core divisions 

Cost of Risk – RCB Turkey (bps) 

Cost of Risk – RCB Belgium and Luxembourg (bps) 

Core divisions 

Comments 

• Slight improvement of CoR in Belgium from 

2011 onwards despite conservative 

assumptions on the SME segment 

• CoR in Turkey improving in all market 

segments but potentially in a still volatile 

environment 

• Slow improvement of PWB CoR after 

stabilization in 2011 and 2012, driven by stable 

CoR on Public sector and decrease in Project 

Finance and Corporate Banking after 2012 

0 

50 

25 

0 

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 2012E 2014E 

Cost of Risk – PWB (bps) 

1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 2012E 2014E 


• Under current market conditions, expected 

stabilisation of the level of risk of the Financial 

Products portfolio. However, further specific 

impairments should be expected for the next 

quarters, in application of IAS 39 

• Quality of the bond portfolio in run-off deemed 

to remain stable by 2014 

25 

Note: Cost of risk expressed on average customer loans

Target 2014: Strong rebound of Dexia profitability 

(EUR bn) 

Pre-tax income: +7% p.a. over 2009-2014 

26 

Note: 2009 Group pre-tax income excl. FSA Inc. 

PWB excl. Crediop/Sabadell - Assuming sale of Crediop (Mid 2012) and Sabadell (Mid 2013) at book value 

RCB Be & Lux incl. DBS in 2009

Target 2014: Strong solvency under Basel II framework 

Solid solvency ratios under Basel II 

Key drivers 

Solvency ratios (%) 

Strong organic capital generation: 

~EUR 3.8 bn organic capital to be 

generated via P&L over 2010-2014 

EUR 12 bn decrease in RWA by 2014 

• Legacy reduction to result in ~EUR 22 bn of 

RWA decrease by 2014 

• RCB growth in Turkey leading to an increase of 

~EUR 23 bn RWA by 2014 

• PWB RWA to decrease by ~EUR 5 bn by 2014 

• Impact of Crediop and Sabadell divesture: 

~EUR 8 bn RWA reduction by 2014 

Strong capitalization under Basel II 

framework 

27 

Note: Assuming sale of Crediop (Mid 2012) and Dexia Sabadell (Mid 2013) at book value 

Assuming dividend pay-out ratio: 30% p.a. from 2012 

Under Basel II framework

New capital regulations: Basel III impacts 

Basel III impacts 

Limited impact of leverage ratio 

• Dexia expected to be fully compliant before start 

of disclosure date (2015) 

Progressive impact of AFS reserve on Dexia 

solvency given timing of implementation 

Estimated AFS reserve evolution 3 and Basel III impact (EUR bn) 

1H10 2012E 2014E 2016E 2018E 

Capital treatment 

• DTA on net loss carry-forwards fully deducted as 

from 2013: ~EUR 0.7 bn as of June 2010 

• Phased deduction of surplus over threshold for 

DTA on temporary differences and equity 

invested in insurance business: ~EUR 2.7 bn as 

of June 2010, mainly due to AFS reserve 1 

• Grandfathering of Hybrid Tier 1: EUR 1.4 bn as 

of June 2010 

-10.4 

-8 

-1 

-6 

-3 

-5 

-4 

-4 

AFS reserve not 

deducted 

AFS reserve deducted 

from Common Equity 

RWA 

• Potential increase of ~EUR 50 bn RWA as of 

June 2010, mainly stemming from CVA volatility 

and “PD downturn” 2 

Limited impact on Dexia insurance activity 

Progressive deduction of AFS reserve from 

Common Equity 

• Full deduction as from 2018 

Under new IFRS9, disappearance of AFS 

reserve 

28 

Note: (1) The DTA on temporary differences linked to AFS reserve would also disappear under new IFRS9 and not impact solvency anymore 

(2) Still under discussion/calibration within Basel committee 

(3) Key assumptions: under constant credit spread, taking into account impact from bonds sold under deleveraging efforts

Sound capital structure 

~ 

Basel II 

Basel III 

2009 

2012 

2014 

(EUR bn) 

(EUR bn) 

(EUR bn) 

 

With a 30% pay-out ratio from 

2011 results onward, excess 

capital under Basel II vs. EC 

commitment > ~EUR 4 bn 

~18 

~15 

 

Assuming same dividend policy, 

as of 2014, excess capital under 

Basel III vs. common equity 

target requirement > ~EUR 4 bn 

CT 

1 

Core 

shareholders' 

equity 

Core 

Tier 1 

2 

EC 

1 

2 

3 

4 

 

 

Additional Basel III capital 

requirements more than offset 

by future net results 

Significant uncertainties 

remaining on the final RWA 

calculations, the level of the 

countercyclical buffer and the 

additional loss absorbing 

capacity for systemically 

important banks (if relevant for 

Dexia) 

29 

Note: Assuming dividend pay-out ratio: 30% p.a. from 2012 

(1) Core Tier 1 Basel II, (2) Commitment towards EC, (3) Common Equity Basel III, (4) Basel III Common Equity requirement calculated at 

7% of RWA

New liquidity regime: Getting prepared for a tougher 

stance from regulators 

Reduced liquidity leverage of the Group 

Group 

achievements to 

date 

More balanced liquidity profile and diversified funding sources 

Improvement of the liquidity profile essentially in line with current 

proposals from regulators and aligned with Dexia commitments to EC 

In line with new 

regulatory regime 

Phasing planned for introduction of LCR (January 1 st , 2015) and NSFR 

(January 1 st , 2018) allowing for time to further rebalance liquidity 

profile of the Group 

Current LCR and NSFR assumptions considering only few public sector 

assets as liquid and few of the liabilities as stable: Not in line with trend 

observed during the crisis 

30 

Note: LCR: Liquidity Coverage Ratio 

NSFR: Net Stable Funding Ratio

Key messages 

Rebound of pre-tax income by 2012 thanks to 

good commercial dynamic, reduced weight of the 

Legacy and on-going cost control 

By 2014, strong organic capital generation, 

enabling Dexia to support core business growth 

and to maintain robust solvency ratios 

Target 2012 

Organic capital generation 

via P&L: ~EUR 2 bn over 

2010-2012 

Core Tier 1: ~14% 

ST funding / Total balance 

sheet at or below 15% 

Investment or dividend payment capacity from 

2012 onwards 

Significant improvement of Dexia liquidity profile 

Under Basel III framework, Dexia solvency 

requirements met with a common equity ratio 

above 9% from 2014 onwards 

Target 2014 

Organic capital generation 

via P&L: ~EUR 3.8 bn over 

2010-2014 

Core Tier 1: ~15% 

ST funding / Total balance 

sheet at 11% 


31 

Note: (1) Normative ROE according to EC capital requirement


Deleverage balance sheet 

and manage the Legacy 


CFO

Balance sheet deleveraging primarily focused on the 

Legacy, but also including Core assets 

Reducing Group total balance sheet 

Restated balance sheet evolution (Base 100 = 2008, %) 

Excluding change in fair value of derivatives, change in posted 

cash collaterals and at constant FX rates 

100% 

90% 

-35% 

87% 

Deleveraging focused on three portfolios 

Legacy assets 

Bond portfolio in run-off 

EUR 125.2 bn 

Legacy assets 

65% 

Run-off PWB commitments 

EUR 15.8 bn 

Core assets 

Other bond portfolios (mainly ALM) 

EUR 19.7 bn 

2008 

2009 

1H10 

2014E 

Data as of June 2010 

33

Sustained pace of asset sales in 2009 and 2010 

confirming capacity to deleverage 

Fast pace of deleverage over 2009-2010 

Key facts 

Deleveraging achieved to date (EUR bn, cumulated) 

Bonds: Deleverage of EUR 16.8 bn in 2009 

and EUR 19.5 bn in 2010 YtD (September 

27 th , 2010), i.e. EUR 36.3 bn deleverage 

• 25% of overall sales rated A or below 

• 50% of sales with maturities equal or above 4 

years 

• Bank and ABS accounting for ~35% of sales 

• Capital loss: EUR 200 m, i.e. 0.5% of nominal 

Yield 

PWB non-core 

loans 

Liquidity 

Funding cost 

Currency 

Maturity 

Bond portfolio 

in run-off (Legacy) 

Deleveraging criteria 

Other bonds 

(Core) 

Beyond pure financial 

arbitrage, operating costs for 

keeping an entity and 

operational risk when keeping 

assets in market with no 

commercial coverage taken 

into account 

PWB loans: Deleverage of EUR 1.7 bn in 

2009 and EUR 4.1 bn in 2010 YtD (September 

27 th , 2010), i.e. EUR 5.8 bn deleverage 

• High quality assets, mainly Japanese loans 

• Weighted average life: 7 years 

• Capital loss: EUR 69 m, i.e. 1.2% of nominal 

34

By 2014: Ability to complete deleveraging plan at 

contained losses 

Good mix of Core and Legacy bonds 

Bond portfolio – View per rating (1H10) 

Capacity to deleverage at contained loss 

rates 

AAA 

24,6% 

AA 

31,1% 

Diversified mix of assets 

• Mostly liquid bonds 

NIG 

3,4% 

BBB 

18,1% 

A 

22,8% 

Total: 

EUR 145 bn 

• Existing appetite for specific long-term assets 

• Possibility to deleverage unhedged bond 

positions in ALM portfolios, allowing to 

compensate credit losses by interest rate gains 

Bond portfolio – View per maturity (1H10) 

Total: 

EUR 145 bn 

24-hour execution platform operating in 

Europe, North America and Asia 

• Facilitating good execution in different 

currencies 

• Global market data accessible to and shared by 

bond portfolio managers 

Targeted and opportunistic bond sales 

• Small ticket size: EUR 20 m on average 

35

Dedicated set up in place to manage the Legacy 

Dexia Management Board 

Portfolio Management Group 

(PMG) 

Portfolio Management Investment 

Committee 

PWB 

Decision Committee (Head of PWB, 

CFO, CRO, Head of TFM) 

Dexia Financial Products 

Services (DFPS) 

Credit and Funding & Liquidity 

Committees 

 

 

21 experienced portfolio 

managers in Dublin, combined 

with a selective local presence 

(New-York, Singapore, Tokyo, 

Berlin) 

Globally centralized 

management of Bond portfolio 

in run-off (Legacy) 

 

 

 

3 dedicated FTEs in Paris, 

with a selective local presence 

in Vienna, Tokyo and Sydney 

Globally centralized 

management of PWB run-off 


Management of unwinding of 

non-core entities 

 

 

 

Bankruptcy remote company 

with 35 dedicated FTEs 

Central management of the FP 

portfolio 

Successful integration of 

administrative and operating 

processes, now fully achieved 

Teams in charge of deleveraging Dexia portfolios 

Team in charge of managing 

FP portfolio 

36

Dexia Legacy division: Three categories of assets 

(as of June 30 th , 2010) 

Run-off PWB commitments 

(EUR 15.8 bn + USD 29 bn off B/S) 

High quality assets booked 

in run-off entities, mostly in 

Japan 

Average life: 5.5 years 

In addition, USD 29 bn offbalance 

sheet liquidity lines 

to US munis 


(EUR 125.2 bn) 

95% investment grade 


Financial Products portfolio 

(USD 14.6 bn) 

USD 10.3 bn of assets 

covered by a Government 

Guarantee. First loss of USD 

4.5 bn covered by Dexia 

USD 4.3 bn of better quality 

assets not covered by the 

Guarantee 


Funded by 

LT Government 

Guaranteed debt 

Covered bonds 

ST secured and 

unsecured funding 

GICs (FP) 

(EUR 49 bn) 

(EUR 24 bn) 

(EUR 74 bn) 

(USD 7 bn) 

37


(EUR bn) 

Public sector 

Sovereigns 

Banks 

Covered bonds 

ABS 

MBS 

Other 

Total (nominal bef. protection) 

(Data as of June 30th, 2010) 

Diversified mix of assets 

Bond portfolio in run-off p – View per sector and per rating 

AAA AA A BBB NIG Total 

2.2 14.0 9.1 3.8 1.1 30.2 

1.1 6.7 1.3 8.5 0.2 17.7 

3.8 4.8 12.8 3.8 1.3 26.5 

7.4 4.6 0.2 0.0 0.0 12.2 

7.8 2.4 1.2 0.4 1.0 12.9 

7.5 2.7 0.6 0.5 0.9 12.2 

0.3 0.1 3.8 8.0 1.2 13.5 

30.3 35.2 29.0 25.1 5.7 125.2 

EUR 22.7 bn bonds wrapped by monolines and EUR 3.5 bn protected by Negative Basis Trade 

(o/w more than 2/3 with banks rated A-) 

Slight decrease in average rating since end of 2008 due to impact of deleverage and, to a lesser 

extent, downgrade of sovereign exposures 

Stock of impairments as of June 2010: EUR 938 m 

38

Bond portfolio in run-off: Focus on BBB and NIG assets 

Focus on BBB rated assets classified as 

“Other” 

Focus on NIG assets 

Transport 

21,0% 

Total : EUR 8.0 bn 

B 

9,0% 

Total : EUR 5.7 bn 

Bonds 

hedged by 

CDS 

40,0% 

Other 

1,2% 

Power 

10,8% 

PFI 

14,4% 

Regulated 

utilities 

12,6% 

Out of the 

EUR 4.8 bn bonds 

not hedged by 

CDS, EUR 1.4 bn 

wrapped by 

investment grade 

monolines 

BB 

65,4% 

C and 

below 

22,2% 

NR 

3,4% 

 

Transport equally split between: 

 

Counterparts in BB range mainly including: 

 

 

 

• Eurotunnel (strong cash generation capacity, very 

long term maturity) 

• French highways (increase in traffic since 2009) 

• Australian airports (good resilience to economic 

crisis) 

No commercial risk on PFI, only availability risk 

Regulated utilities supported by favourable regulated 

framework (e.g. British utilities) 

Limited risk on power, given the nature of activity 

 

 

• Banks (2/3 maturing within 4 years) 

• ABS (2/3 maturing within 4 years) 

• Specific financings : highways with traffic risk 

(wrapped by FSA or revenues guaranteed by state 

body), PFI in construction (transfer of construction 

risk to constructors), Australian energy assets 

C range and below mainly composed of banks 

(Lehman, Wamu and Icelandic banks), already 

provisioned at a high percentage 

Current level of provisions covering expected losses 

39



Financial Products portfolio (June 30 th , 2010) 

Financial 

Products 

USD 14.6 bn 

Guaranteed 

assets 

USD 10.3 bn 

Excluded 

assets 

USD 4.3 bn 

Impairment methodology 

According to IAS 39, bonds with cash 

shortfalls expected in the short-term must 

be impaired 

For securities reclassified in L&R (such as 

FPs), impairments include both credit and 

liquidity components, leading to a level of 

provision exceeding the future expected 

losses 

Excluded assets – View by rating (June 30th, 2010) 

AA 

16,2% 

AAA 

50,5% 

NIG 

0,2% 

A 

11,3% 

BBB 

21,8% 

Total amount of provisions of USD 2.02 bn 

as of June 30 th , 2010 exceeding expected 

losses by USD 781 m 

Even with a stabilized level of risk, further 

specific impairments should be expected 

for the next quarters, leading to a larger 

buffer on expected losses 

40

By 2014: Ability to fund the Legacy division in line with EC 


Legacy end 2009 

EUR 162 bn 

(70% ST funding) 

Legacy end 2014 

< EUR 80 bn 

(11% ST funding) 

 

 

Deleverage more than 

offsetting amortization of 

Guaranteed Debt 

Limited recourse to LT 

unsecured funding needed 

Deleverage: ~EUR 75 bn 

Amortization: ~EUR 30 bn 

> 

More than 

compensating 

Amortization of 

EUR 49 bn Government 

Guaranteed debt, issued 

in 2009 and 2010 1 

 

Downsizing and rebalancing 

of balance sheet, enabling to 

reach short-term funding EC 

commitment 

Excess LT funding from 

Core division: ~EUR 25 bn 

11% ST wholesale funding by 2014 

41 

Note: (1) Outstanding as of end June 2010. Outstanding as of end 2009: EUR 22 bn

After 2014: Ability to hold and manage remaining Legacy 

assets until maturity 

Estimated bond portfolios by 2014 

Comments 

Bond portfolio – View per asset class 

(Base 100 = 1H10, %) 

Bond portfolio in run-off: Remaining 

portfolio focused on asset classes where 

Dexia holds a strong credit expertise 

• Public sector and sovereigns 

• PFI and utility 

• Expected average rating of A- in 2014 1 

70% of 

remaining 

portfolio 

within area 

of expertise 

Financial Products: Active risk 

management of assets 

• Active management in close collaboration with 

legal advisers, servicers and originators 

Run-off PWB commitments: Limited 

concerns 

42 

Note: (1) Current estimate - Possible changes depending on market conditions

AFS reserve 

(EUR bn) 

AFS reserve as of June 30 th , 2010 

AFS reserve due to 

bond portfolio in run-off 

EUR -4.1 bn AFS reserve on L&R assets 

Reserves (%) Outstanding (EUR bn) Asset class 

38% 22.2 MBS/ABS 

Focus 

on EUR 

-4.1 bn 

AFS 

reserve 

32% 28.7 Public sector 

24% 10.8 Utilities and PFI 

5% 4.3 Banks 

1% 3.0 Other 

100% 68.9 Total 

EUR -3.5 bn AFS reserve on AFS assets 

Reserves (%) Outstanding (EUR bn) Asset class 

L&R assets 

(reclassified from AFS) 

AFS (bond) assets 

Focus 

on EUR 

-3.5 bn 

AFS 

reserve 

19% 10.5 Covered bonds 

17% 22.7 Banks 

62% 16.6 Sovereign & Supra 

0% 0.0 Local authorities 

1% 6.4 Other 

AFS (equity) assets 

100% 56.3 Total 

43

Financials: Progressive decrease in Legacy revenue 

Income (EUR bn) 

Main drivers on profitability of the Legacy 

Treasury 

revenue 

 

Decrease in treasury revenue allocated to the Legacy 

mainly due to: 

• Reduction of the portfolios 

• Reduction of short-term funding 

• Flattening of the short-term yield curve 

 

Slight decrease in funding costs 

• Amortization of Government Guaranteed funding partly offset by 

use of longer term liquidity to reach 11% ST funding target 

 

Cost of deleverage expected to decrease from 2012 onwards 

 

Decrease in Cost of Risk mainly coming from Financial 

Product portfolio 

44

Key messages 

Target 2012 

Achieve deleveraging targets at contained 

costs 

Legacy division largely reduced by 2012 

Ability to align the Legacy with 11% ST 

funding target by 2014 with limited recourse to 

senior unsecured debt, thanks to Core funding 

Ability to manage and hold remaining Legacy 

assets until maturity 

Legacy assets below 

EUR 90 bn 

Share of ST wholesale 

funding reduced at or 

below 20% 

Target 2014 

Legacy assets below 

EUR 80 bn 

Share of ST wholesale 

funding at or below 11% 

45

Public and Wholesale Banking 

Renew with sustainable 

scale and profitability 

Pascal Poupelle 

Head of PWB

Since October 2008: Drastic re-focus of PWB Business 

In-depth business transformation 

Cost base alignment 

Annual new LT commitments (EUR bn) 

PWB costs 2 (EUR m) 

52 

Legacy 

18 

Run-off countries: Australia, 

CEE, Japan, Mexico, Sweden, 

Switzerland, US (SBPA) 

~-70% 

~-24% 

Core 

Franchise 

34 

34 

Italy 3 

Iberia 5 

Other core 

countries 

8 

Belgium 8 

1 

~10 

France 10 

2008 

2008 

Core 

Franchise 

2010E 

Core 

Franchise 

47 

Note: (1) Other core countries include North America, UK, Germany and Israel 

(2) PWB costs excluding FSA and bonds

PWB 2014: Renew with sustainable scale and profitability 


income breakdown 

(2014E) 

Public Banking 

Belgium 

Annual new LT 


(EUR bn) 

~3.5 (~28%) 

LT commitments 

(EUR bn) 

~35 (~25%) 

Income 

(EUR m) 

~250 (~22%) 

Non lending 

income 2 / total 

income (%) 

~55% 


France 

~4.0 (~33%) 

~65 (~40%) 

~400 (~34%) ~50% 


~0.5 (~5%) 

~30 (~20%) 

~100 (~7%) 

~55% 

International 1 ~250 (~20%) 

Corporate 

Banking 

Belgium 

~2.0 (~16%) 

~10 (~5%) 

~200 (~17%) 

~30% 

Project finance 

~2.0 (~18%) 

~15 (~10%) 

~30% 

Total PWB 2014E 

~12.0 

~155 

~ 1,200 

~45% 

48 

Note: (1) Public Banking international includes North America, UK, Germany and Israel 

(2) Non lending income: income from fees and commissions on all activities + income from deposits + income from market related activities

PWB 2014: Improved funding structure 

Funding linked to PWB 1 commercial activity 

Contribution to LT funding (as % of PWB LT commitments) 

72% 

Key drivers 

Increased PWB deposits base through 

offer diversification 

48% 

PWB deposits 

11% 

LT secured 

36% 

2010E 

PWB deposits 

19% 

LT secured 

53% 

2014E 

Consistent ability to originate AAA 

covered bonds eligible assets 2 

• ~70% of 2014 annual new LT 

commitments AAA eligible 

• ~EUR 58 bn transferred to the cover 

pools from 2010 to 2014, including 

~70% of new LT commitments 

PWB contributing to reach 2014 

Group targets 

• 11% of short-term financing 

• 58% of stable funding (covered bonds 

and deposits) 

49 

Note: (1)PWB excluding Crediop and Dexia Sabadell 

(2) Dexia Municipal Agency, Dexia Kommunalbank Deutschland and Dexia Lettres de Gage Banque

Our ambition: Renew with sustainable scale and 

profitability 

1 

Public Banking Belgium: 

A confirmed market leader 

2 

Public Banking France: 

A profitable and recognized specialist 

3 

Corporate Banking Belgium: 

A profitable and focused client base 

with an edge in public sector related corporates 

4 

Project Finance: 

The preferred provider of major global sponsors 

with an edge in PFI/PPP and energy/environment 

50

Public Banking Belgium 2014: A confirmed market leader 

Client 

franchise 

Commercial 

network 

Product 

offering 

Non lending 


Net Promoter 

Score (NPS) 

Cost of risk 1 

~10,000 clients in both local authorities and social profit segments 

• ~7,000 local and supra-local authorities clients: e.g. municipalities, “centre public d’action 

sociale”, police zones, provinces, regions, communautés, regional and federal entities 

• ~3,000 social profit clients: e.g. hospitals, health institutions, social housing institutions, 

education, social organizations, funds, federations 

Hub & Spoke network with a regional footprint 

• ~40 public bankers serving local authorities and social profit clients (“Hub”) 

• Specialized Marketing and dedicated research team 

• Product specialists: e.g. cash management, leasing, factoring, real estate, asset management 

(“Spoke”) 

• ~20 E-banking consultants 

State of the art banking services for the Public and Social sector 

Integrated solutions vs. products 

• E.g Real Estate, treasury management, budget optimization, pension 

~55% (mainly driven by cash management, insurance and fee-business) 

Maintain NPS above main competitors 

Key promotion drivers: specialized and dedicated organization from front to back 

and recognized expertise 

~0-3 bps 

51 

Note: (1) Cost of risk as percentage of commitments outstandings (bps)

Public Banking Belgium 2010: Quality of revenue through 

full-fledged banking relationship 

Full-fledged banking relationship 

Confirmed leadership and profitability 

Income breakdown 

Annual new LT 

commitments (EUR bn) 

Commercial margin on annual 

new LT commitments 

(Index 100: 2009) 

3.9 

~+42% 

1 

1 

3.1 

2009 

2010E 

2009 2010E 

52 

Note: (1) Non lending income: income from fees and commissions on all activities + income from deposits + income from market related activities

Public Banking Belgium 2010: Undisputed client intimacy 

Undisputed 

client intimacy 

Given your experience, on a scale from 0 to 10, how likely would 

you recommend Dexia to your professional environment? 

Detractors 

(0 to 6) 9% 

Passive 

(7-8) 

62% 

Promoters 

(9-10) 

29% 

Dexia 

Detractors 

Passive 

Competitors 

Dexia recognized 

competitive advantages 

Stable relationship due to “portfolio 

effect” (strong business resilience) 

Specialized and dedicated organization 

and staff, allowing tailored value 

proposition 

Continuous efforts to maintain proximity 

• Specialized services and solutions 

• Change management support 

Debt management expertise 

NPS 

score: 

+20% 

-80% 

53 

Note: NPS score = % of promoters (9-10)- % of detractors (0-6) 

Source: NPS Survey October 2009, based on 373 respondents

Public Banking Belgium 2010: Continuous tailoring of value 

proposition 

Energy line: 

Sustainable development 

Financing of 

cogeneration 

Solar panels 

Energy 

efficiency 

solutions 

Silver line: 

Ageing population 

Housing 

certificates 

Socialdemographic 

profiles 

Pension 

solutions 

Social line: 

Social Inclusion 

Pre-paid cards 

creation 

Social aid 

account 

Immo line: 

Real Estate 

PPP products 

Sale & lease 

back 

IT line: 

Electronic Banking 

Papyrus 

(e-documents) 

Green IT 

E-banking offer 

evolution 

54

Public Banking France 2014: A profitable and recognized 

specialist 

Client 

franchise 

Commercial 

network 

~4,500 strategic clients with a resilient long-lasting relationship 

• ~2,500 local authorities clients: e.g. municipalities, departments, regions 

• ~2,000 social profit clients: e.g. hospitals, health and social housing inst., SEM, “mutuelles” 


• ~115 relationship managers (“Hub”) 

• Product specialists: Commercial banking, Financial Engineering, Debt management, Specialized 

Finance, Statutory insurance, Fleet management (“Spoke”) 

Dedicated direct platform in Paris and Lyon 

55 

Product 

offering 

Non lending 


Net Promoter 

Score (NPS) 


LT/ST lending and debt management 

Increased cross sell of existing offer: deposits, insurance and asset management 

Upgraded commercial banking services through best-in-class platform provided by 

Credit Mutuel enabling access to additional products 

• E.g. Mobile banking and services, factoring, leasing, remote security control 

Enlarged offer, mainly through partnerships, tailored to client emerging needs 

• E.g. GE (Medical Equipment leasing), CDC (Public Real Estate), CESU (Axa assistance) 

~50% (mainly driven by commercial banking, deposits, CESU and statutory 

insurance) 

NPS above main competitors: ~20% 

• Key promotion drivers: Recognized expertise and service quality 

~0-3 bps 


Public Banking France 2010: Quality of revenue 

prevailing over volumes 

Selective approach: 

favoring margins vs. volumes 

Potential to improve 

client advocacy 

Annual new LT commitments 

(EUR bn) 

Commercial margin on annual new LT 

commitments (Index 100: 2009) 

~+59% 

Given your experience, on a scale from 0 to 10, 

how likely would you recommend Dexia to your 

professional environment? 

Detractors 

(0 to 6) 

35% 

Detractors 

19% 

Passive 

(7-8) 

49% 

Passive 

59% 

NPS 

score: 

Promoters 

(9-10) 16% 


- 19% 

Promoters 

22% 

Competitors 

+3% 

56 

Note: NPS score = % of promoters (9-10)- % of detractors (0-6) 

Source: Net Promoter Score October 2009 Survey (444 answers)

Public Banking France 2010: A redefined approach to 

financial engineering 

Redefined approach to financial engineering 

Complete re-assessment of structured 

loans activity from front to back office 

New set of rules for structured loans 

marketing, based upon 

• 10 commitments to our clients 

• “Charte Gissler” 

Reinforced governance 

• Refined suitability policy 

• Revisited validation process of new 

products 

57

Public Banking France 2010: A recognized specialist of 

public sector 

Well-recognized sector research 

Tailored-made studies 

58

Corporate Banking Belgium 2014: A profitable and focused 

client base with an edge in public sector related corporates 

Client 

franchise 

Commercial 

network 

Product 

offering 

Non lending 


Net Promoter 

Score (NPS) 


~2,700 key clients 

• ~2,200 key Mid-Corporate clients with turnover between EUR 10 m and EUR 250 m 

• ~600 key Corporate and Large Corporate with turnover higher than EUR 250 m 

Strong established franchise with ~50 key public sector related corporates 

• E.g. Utilities, environment, energy, water, waste, telecom, transport, infrastructure 


• ~40 relationship managers 

• ~8 business centers covering all regions across country: Brussels, Tournai, Kortrijk, Ghent, 

Antwerp, Hasselt, Liège, Charleroi 

Enlarged offer: e.g. trade finance, cash management, B2G solutions 

Recognized expertise in asset finance, corporate and structured finance 

Innovative offer for investments and deposits (cash-in/out ratio above market level) 

~30% (mainly driven by deposits, asset finance and advisory services) 

NPS above competitors on core clients (Public corps and Mid-Corp.): ~10% 

• Key promotion drivers: strong client intimacy with mid-sized business owners 

50-60 bps 

59 


Corporate Banking Belgium 2010: Reengineering of credit 

process 

Improved credit processing time 1 

Lead-time to decision (Index 100: 2009 situation) 

Key levers 

Full process-redesign to eliminate 

hand-overs and streamline overlapping or 

double activities 

-65% 

100 

Reduction of delegation levels 

Shared location for Corporate Bankers 

and Risk officers to enhance credit risk 

assessment 

35 

Corporate Banker in charge of 

commercial analysis to better capitalize 

on client knowledge 

2009 

2011E 

60 

Note: (1) On corporates with annual turnover between EUR 10-250M

Project Finance 2014: The preferred provider of major global 

sponsors with an edge in PFI/PPP and energy/environment 

Client 

franchise 

Commercial 

network 

Product 

offering 

Non lending 


Market 

reputation 


~60 strategic clients mainly active in: infrastructure/PPP and energy/environment 

(e.g. Bouygues, Colas, EDF, GDF Suez, Eiffage, Suez Environnement, Veolia, 

Invenergy, Bam, Acs Dragados) 

Strong presence in Europe and focused international coverage, e.g. 

• US & Canada 31% 1 

• Benelux 14% 

• France 9% 

• UK 9% 

Dedicated commercial network to maintain proximity with strategic clients 

~50 professionals centrally 

~50 dedicated originators and structurers in key countries (USA, Canada, UK…) 

Confirmed leading-edge expertise on PFI, PPP and energy/environment 

Developed “ancillary” business (e.g. financial advisory, account management, 

deposits, debt underwriting, agent services, hedging) 

~30% (mainly driven by deposits, hedging, agent and advisory services) 

Expertise and performance consistently rewarded at business level 

~20-25 bps 

61 

Note: (1) Share of 2009 new LT commitments 

(2) Cost of risk as percentage of commitments outstandings (in bps)

Project Finance 2010: A well recognized expertise and 

reputation 

A long-lasting franchise 

Recent achievements 

Project Finance annual new LT commitments (EUR bn) 

Highly loyal client base 

generating recurring 

business 

85% of new 


75% of transactions 

#4 global player in PFI/PPP projects in 1H10 

#6 global player in renewable energies 

projects in 1H10 

62

PWB income evolution 2009-2014 

PWB income 2009-2014E (EUR m) 

2009 - 2010E/2011E Average 

income evolution drivers: 

• Higher cost of funding 

impacting “refinancing price” 

of existing assets (following 

early compliance with EC 

requirements) 

• Commercial margin, fees 

and other: Stable business 

and sale of assets 

2010E/2011E Average-2014E 

income evolution drivers: 

• Lower cost of funding, 

thanks to improved long-term 

funding mix: Deposits up, 

long-term senior unsecured 

down 

• Commercial margin, fees 

and other: Increased income 

mainly from new business 

initiatives 

63 

Note: Total PWB excluding Crediop and Dexia Sabadell 

Other includes margin on Economic Equity + other margin and income (including insurance)

PWB Target 2014: Renew with sustainable scale and 

profitability 

Income (EUR bn) C/I ratio (%) Pre-tax income (EUR bn) 

64 

Note: Total PWB excluding Crediop and Dexia Sabadell

PWB Target 2014: Renew with sustainable scale and 

profitability 

Risk weighted assets (EUR bn) ROEE (%) 

40 

~36 

~35 

~21% 

13% 

~12% 

2009 

2012E 

2014E 

2009 

2012E 

2014E 

65 

Note: Total PWB excluding Crediop and Dexia Sabadell 

ROEE calculated based on a normative tax rate at 21%

PWB target 2014 

Public Banking Belgium: A confirmed market leader 

Public Banking France: A profitable and recognized specialist 

Corporate Banking Belgium: A profitable and focused client base with an 

edge in public sector related corporates 

Project Finance: The preferred provider of major global sponsors with an 

edge in PFI/PPP and energy/environment 

Income: ~EUR 1.2bn 

Non-Lending income 1 / Income: ~45% 

C/I ratio: ~42% 

Maintained business mix, with low cost of risk 

Pre-tax income: ~EUR 600 m 

66 

Note: (1) Non lending income: income from fees and commissions on all activities + income from deposits + income from market related activities

Retail & Commercial Banking 

Belgium & Luxembourg 

Enhance franchise, increase 

cross-selling on our client base 

Stefaan Decraene 

Head of RCB-AMS

Belgium and Luxembourg: 

Wealthy and robust retail & commercial markets 

Amongst the wealthiest 

countries in Europe 

High savings rate 

Low non performing 

loan ratio 

GDP per capita (EUR k, 2009 ) 

Household savings rate 

(% of GDP, 2009) 

NPL ratio (%, 2009 ) 

Source: Eurostat 

Source: European Commission, Statec 

Source: IMF 

Note: 2008 data for France and Germany 

68

RCB Belgium 

Unlock growth potential 

and re-build market share

Belgium: A concentrated and mature retail & commercial 

banking market 

High degree of 

population and 

banking 

concentration 

#1 country in Europe in terms of share of urban population (97%) 

#2 country in Europe in terms of population density 

(341 inhabitants/km²) 

High branch concentration, with one branch per 1,280 inhabitants 1 

Mature economy with 1.9% real GDP growth expected in 2010 

Top 4 banks representing 63% of the market in terms of assets 

Competitive 

market 

Renewed competitive landscape with arrival of BNP Paribas and 

increasing share of “Tier 2” challengers 

High savings rate, hence high exposure of Belgian banks to savings 

account profitability 

Increased multi-bancarization of clients 

Relatively 

lower income market, 

with potential for 

upgrade 

 

 

 

Partial substitution of current accounts with savings accounts 

Relatively lower banking fees and commissions 

Relatively lower payment transactions tariffs 

70 

Note: (1) Including independent agent branches 

Source: European Central Bank, European Union, National Bank of Belgium, Dexia Research; All data in 2009

Dexia: One of the top 3 Belgian retail & commercial banks 

Key assets of Belgian franchise 

Proximity brand, with nationwide 

branch network footprint 

Entrepreneurial salesforce, 

leveraging independent agents 

Strong penetration of direct 

channels, with 0.8 m direct banking 

active clients 

Historically a tradition of simple 

savings products (e.g. savings 

bonds, Eurobonds) 

Synergies with PWB business 

(funding, complementary offer) 

Retail & 

Affluent 

EUR 500 k 

Top-tier 

bank in 

Private 

Banking 

45 k clients 

Business 

Banking 

Strong Retail position with full territory coverage of 

branch network 

Nationwide branch network … 

… also supporting Dexia Group businesses 

Legend 

Dexia branch 

Taxable income per 

household 

Lower Higher 

859 branches, grouped in 138 clusters 

Second largest retail banking 

network in Belgium, offering proximity 

to customer base 

Higher density in high potential areas 

Key sales channel for Group businesses 

• 34% of Dexia AM AuM (retail & 

private funds, private mandates) 

• 53% of Dexia Insurance life 

premiums (87% of reserves) 

Strong contribution to Group liquidity 

• EUR 63 bn funding (on-balance 

deposits), of which... 

• ... EUR 26 bn long-term liquidity 

(more than 1Y) 

• 51% loan-to-funding ratio 

72 

Note: Data as of June 2010

A top-tier position in Private & Business Banking 

Top-tier bank in Private Banking 

#4 bank in Business Banking 

Dexia Private Banking footprint 

Penetration for professional activities (%) 

as main & secondary bank in Belgium 

Flagship branch 

Private Banking centre 

Private Advisors in 196 flagship 

branches providing account 

management services 

Specialized Private Bankers in 9 

Private Banking centres providing 

expertise support (Financial Planning, 

Investment Services & Wealth Advice) 

Business Banking provided in 348 

branches 

Regionally supported by 

11 decentralized teams 

Currently #4 bank, with growth 

potential 

73 

Note: Data as of June 2010 

Source: Strategic Monitor

A resilient and solid franchise through the crisis, 

with upside for market share re-gains 

Highly resilient deposit and customer base 

through the crisis 

Growth potential after period of stagnating 

or eroding market shares 

Evolution of RCB deposits in Belgium (EUR bn) 

Increasing share of “Tier 2” challengers 

Limited investments in branch network 

Lower share of voice in communication 

RCB market share evolution in Belgium (%) 

Evolution of RCB client base in Belgium 

Stable 

3.8m 3.8m 

+6% 

173k 184k 

2005 2009 Δ 05-09 

Savings & deposits 15.4% 15.5% +0.1 % pts 

Housing loans 15.7% 15.7% Stable 

Consumer finance 10.4% 8.9% -1.5 % pts 

Insurance - Non Life 4.4% 4.7% +0.3 % pts 

Retail 

& Affluent 

+5% 

43k 45k 

Private 

Business 

Insurance - Life 8.9% 6.4% -2.5 % pts 

Mutual funds 19.9% 12.4% -7.5 % pts 

74

Growth potential evidenced by relatively 

low equipment rate and revenue per client 

4 

Average cross sell rate 

compared to European peers 

Number of products per client 

Lower revenue per client 

compared to Belgian peers 

Revenue per client (EUR) 

3 

2 

European average 

1 

0 

Lloyds 

HBOS 

Bankinter 

Société Générale 

AIB 

Bank of Ireland 

DnB NOR 

Barclays 

Swedbank 

BPI 


BCP 

BES 

Sabadell 

Popular 

Commerzbank 

BBVA 

Alliance & Leicester 

Santander 

Banesto 

Unecredito 

Deutsche Postbank 

Potential for revenue uplift on existing client base 

75 

Source: JP Morgan (2005), EFMA Retail Banking Trends 2009

Our ambition: Unlock growth potential and 

re-build market share 

1 

Become a reference bank for client satisfaction in Belgium 

2 

Increase cross-selling and revenue from our client base, 

leveraging our solid franchise 

3 

Invest EUR 350 m in a new distribution and marketing model 

to support commercial ambition, with a focus on 

Affluent / Private and SME segments 

4 

Improve operating efficiency and Cost / Income ratio 

76

Client satisfaction: First signs of recovery after the crisis 

Net Promoter Score (NPS) 

trending up across client segments 

Client satisfaction monitoring 

embedded in RCB management 

Improvement between Sept 2009 & April 2010 

Retail 

 

+ 4% pts 

Client satisfaction scores as key 

indicators to measure health of our client 

base 

Affluent 

 

+ 10% pts 

Continuous tracking of NPS scores per 

segment through regular client surveys 

since 2009 

Business 

 

+ 6% pts 

RCB serving as pilot for other Dexia 

Group businesses 

77 

NPS Methodology 

“On a scale from 0 to 10, how 

likely are you to 

recommend Dexia to family 

and friends?” 

% Promoters (9-10) 

minus 

% Detractors (0-6) 

= Net Promoter Score (NPS)

Commercial targets in network to grow revenue from our 

client base 

Annual client KPIs objectives (2010), supported by network productivity targets 

Customer net acquisition 

Affluent & Private +17,000 clients 

Business +5,000 clients 

Cross-selling 

Equipment 

Share of wallet 

Affluent & Private 

Share of wallet 

Business 

 

 

 

+20,000 Affluent & Private clients 

newly equipped with current accounts 

70% target share of wallet 

60% target share of wallet 

Network productivity 

Account Management meetings 

 

15 relationship meetings per week 

per Account Manager 

78

Commercial targets supporting market share 

and revenue gain ambition by 2014 

Ambitious market share gains… 

… translated into revenue ambition 

RCB Belgium dynamic market share (production) 

RCB Belgium Income (EUR bn) 

EUR +250 m 

3.6% CAGR 

Savings 

& Deposits 

Consumer 

Finance 1 

Business 

Credits 

On track in 2010: +EUR 32 m 

above budget by July 2010 

RCB Belgium natural market share on outstanding 

79 

Note: (1) Market share on bank segment

EUR 350 m Capex investment plan launched in 2009, 

to support commercial ambition 

Deployment 

of new 

distribution 

model 

Open Branch Concept 

Direct sales & services 

In-branch specialized sales 

& service model 

Branch re-clustering 

(EUR m) 

Capex 2009-2012 

Brand 

repositioning 

and new client 

segmentation 

Dexia brand repositioning 

Enhanced segmentation 

and offer for Retail, Affluent, 

Private & Business clients 

Increased focus on 

transparency 

Yearly P&L impact: 

EUR 20-30 m 

80

Roll-out of new branch concept, together 

with development of direct sales and services 

Open Branch 

Concept 

Direct sales 

& services 

In-branch specialised 

sales & service 

Branch 

re-clustering 

Refurbishment to 

Open Branch Concept 

All key branch locations (536) to be refurbished by end 2012 

 

To date, 40% of refurbishments already done, on track with plan 

Improved & Renewed 

ATM machines 

 

 

Complete ATM renewing, with on-line recycling cash-in/cash-out 

functionalities in all branches 

Already 73 % of cash deposit transactions through ATM machines in 

Q2 2010, i.e. 5 m annual operations 

Enhanced web & call 

service offer 

 

 

Migration towards an integrated website - communication, 

sales & transactions 

Communication & sales managed by dedicated web sales teams 

Distribution channels more focused on 

sales & client relationship, supported by innovative IT 

81

Roll-out of Open Branch Concept on track, 

with focus on high potential branches 

Number of Open Branch Concept deployed 

Average of 12 branch 

refurbishments per 

month during 1H10 

Roll-out on track to reach 

2010 year-end target of 

310 branches 

Positive client feedback, 

successful conversion 

Target of 536 refurbished 

branches by end 2012 

82 

82

Enhancement of online sales functionalities 

on integrated website 

Integrated website for our customers 

Examples of sales functionalities 

enhancements 

Payment & 

Daily 

Banking 

 

 

Integrated account and credit 

card simulator 

Cross sales flow integration 

with credit advice 

Consumer 

Finance 

 

 

Extended & personalized 

credit advice module 

Integrated & extended credit 

simulator 

Integrated websites to improve Internet 

interactions and direct sales offer 

Investments 

 

 

 

Progressive savings 

Portfolio follow-up 

Planning for Pension 

Currently in test phase for Dexia 

employees 

Accessible to customers early 2011 

Becoming a 

Customer 

 

Extended product line for 

becoming a customer online 

83 

83

A new in-branch specialized sales & service 

model 

Open Branch 

Concept 

Direct sales 

& services 



Branch 

re-clustering 

Investing in client 

relationship 

management 

 

 

500 additional Account Managers (from 1,400 to 1,900 in 3 years), 

of which 192 external recruitments to-date 

Creating necessary scale for full local Private and Business Banking 

deployment 

Investing in 

specialisation 

 

630 Product Specialists (mortgage, consumer finance, insurance) 

Boosted training plans (12 to 36 days depending on functions) in 2010 

with more than 5,000 people trained in New Distribution Model 

Increasing 

efficiency 

 

 

Reduction of the number of Generalists per branch 

(by decrease of cash handling) 

Higher proportion of sales staff 

Focus on specialization & client relationship management 

84

In particular, synergies initiatives across 

Affluent / Private / SME segments 

Individual Private 

Dual relationship 

Affluent/Private - SME 

Local Account 

Management 

 

 

At least 1 Private Banking 

advisor at cluster level (138) 

Overall 140 certified Private 

Banking advisors 

 

348 advisors managing 

professional & private assets 

of independents & liberal 

professions 

Regional 

specialization 

 

 

Supported by regional /central 

Private banking expert cells 

Overall 53 experts in 9 Private 

banking centres 

Transversal 

cooperation 

Supported by 100 regional / 

central advisors for small and 

mid-corp clients 

Service offer 

 

 

Differentiated and specific offer 

in areas of Succession 

Planning, Wealth Advice 

Tailor-made credit solutions 

 

 

Differentiated offer of expert 

services for business clients 

Faster credit processes 

Enhancement of client equipment & profitability 

85

Branch re-clustering and optimizing footprint 

through clear branch segmentation 

Open Branch 

Concept 

Direct sales 

& services 



Branch 

re-clustering 

Closing of double 

presences 

 

Closing of 80 double branches, located within the same municipality 

Network optimization 

 

 

Integration of small branches within bigger branches 

Reduced network size but maintained commercial presence 

Enlargement of scale 

of clusters 

 

 

From 5 to 7-8 branches per cluster/region 

Mobility of Account Managers and Specialists within cluster 

More efficient distribution network 

86

Enhanced marketing model to support our 

commercial ambition 

Brand re-positioning 

campaigns 

Boost visibility 

Reposition Dexia on the 

“Essential” 

Engage in coaching 

relationship with clients 

New segmentation 

& offer 

Industrialised Retail strategy 

• Enhanced datamining 

• Consumer finance 

Affluent strategy 

• Account management 

• Service plan 

Private Strategy 

• Financial planning 

• Expert services 

• VIP services 

Business strategy 

• Sector-focused 

• Improved online offer 

• Faster credit process 

Enhanced transparency 

“New Invest Approach” for 

save & invest products: 

• Improved client risk portraits 

• Product labelling linked to 

portraits 

87

Launch of innovative offers to support 

ambition in Private & Business segments 

Financial Planning 

in Private Banking 

Tailored offer for Medical 

Financial Business PlanBanking 

Tailor-made wealth and cash flow analysis 

Wealth optimization incorporating individual 

legal, financial and tax constraints 

Integration of both private and 

professional environments 

Tailored product & service approach for 

4 career stages: master, start-up, growth, 

pension 

1 medical Account Manager specialist in 

each cluster 

Dedicated support through regional & HQ 

experts 

88

Innovative Dexia “New Invest Approach”, 

MiFID applied with client at the centre 

Determination of 

client overall risk 

appetite 

 

 

 

Clear definition of client risk appetite through four 

simple “Investor portraits” 

Check client goals, horizon, risk appetite at each 

transaction 

Client made aware of risks associated with product 

choices, and warned when investments do not meet 

their “Investor portrait” 

Product 

suitability to 

client risk 

appetite 

 

 

Labelling of all Save and Invest products 

Determination of product suitability given client 

“Investor portrait” 

Clear view on 

client investment 

portfolio 

 

 

 

Transparent picture of risks and returns included 

within client portfolio 

Identification of concentration risks through “not-toexceed” 

limits 

Broader complementary information provided such 

as diversification in sectors, currencies, maturities 

89

Operating efficiency under close scrutiny 

Main initiatives 

Further centralization of Support lines at 

DBB and Group level 

Example: Reduction of time-to-decision 

for SME credit approval 

Lead-time to decision (days) 

Review of End-to-End processes for 

improved efficiency and client service 

(e.g. SME & Mortgage credit origination) 

Optimization of IT development & project 

portfolio (synergies across entities, stricter 

demand management) 

Complex credit 

requests 

Simple credit 

requests 

65% lead-time reduction 

of new processes 

demonstrated in pilots 

run in 2010 

Reduction from 4 to 3 central buildings in 

Brussels and implementation of 

Mobile@Work concept 

Targeting continuous improvement of the Cost / Income ratio 

90

Our target end-point in 2014 

Reinforced Dexia position, with attractive brand name built on fairness, 

transparency and proximity 

A reference bank for customer satisfaction 

Re-built market shares and increased cross-selling & revenue per client, 

especially in SME & Affluent / Private segments 

Enhanced sales & relationship model in network, relying on 

entrepreneurial salesforce 

Lean operations and central services, increasing internal & external 

service quality level 

EUR 250 m income increase targeted over 2009-2014, 

supported by a major investment plan (EUR 350 m Capex) 

91

RCB Luxembourg 

Consolidate local franchise and 

reinforce Affluent & Private segments

Main challenges and opportunities in Luxembourg 

Changing legal 

and regulatory 

environment 

Banking secrecy under political pressure at international and European 

level 

EU policies and announcements towards increased fiscal harmonization 

Luxembourg remains a competitive Private Banking center, both in terms 

of existing competencies and international wealth management solutions 

Changing 

Luxembourg 

international 

client base 

Increasing demand of higher-end private clients for tailor-made 

transparent solutions and services 

Some of the traditional client base leaving Luxembourg financial place, 

incentivized by modification of tax schemes in their home country 

Competitive 

local market 

 

 

Very wealthy (highest GDP per capita in Europe, with EUR 76 k per capita 

in 2009) and mature market 

Strong competition from public / national actors on all segments of the 

local market (residents) 

93

Dexia: A major actor in Luxembourg 

Key assets of Luxembourg franchise 

Diversified and high-end client 

base 

• Broad client segment coverage 

• Local and international clients 

Strong expertise in Private Banking 

Full local coverage through a 

network of 37 branches servicing 

professional and individual clients 

Retail (< EUR 100 k) & 

Commercial Banking 

186 k clients 

# 3 bank for 

individuals and 

professionals 

Dexia as main 

banker of 14% of 

Luxembourg 

individuals 1 

Private (> EUR 1 m) & 

Affluent Banking 

(> EUR 100 k) 

42 k clients 

Core Private Banking 

centers in 

Luxembourg and 

Switzerland 

Wealth structuring by 

Experta Luxembourg 

EUR 8.9 bn client loans 

EUR 30.4 bn client assets, 

of which EUR 13.5 bn deposits 

#3 bank in Luxembourg, positioned as an upper-segment bank 

94 

Note: Data as of June 2010 

(1) Survey TNS ILReS 2010 performed within a representative population of Luxembourg residents

A dynamic local franchise: Rebuild trust thanks to 

efficient commercial focus and campaigns 

Evolution of client trust in Dexia BIL 1 (%) 

72% 

79% 

52% 

Mar 2009 

Dec 2009 

May 2010 

Dynamic client relationship management 

• Systematic client contacts post-crisis 

Expertise and products adapted to each 

client segment, e.g. 

• Investment products with guaranteed 

income adapted to Retail clients’ needs 

• A dedicated Personal Banker for each 

client with AuM > EUR 100 k 

Growth of Luxembourg-resident client assets 2 (%) 

9% 

6% 

2008 

2009 

95 

Note: (1) SourceTNS ILReS survey, performed within a representative group of resident clients. Data not available before march 2009 

(2) Individuals only; does not include professional clients.

A domestic and international Private Banking franchise 

renewing with positive inflows 

Positive net new cash since 1H10 

Supported by core commercial entities: 

Luxembourg, including Experta, and 

Switzerland 

Successful deployment of the Affluent 

Banking offering through 

semi-standardized offering and dedicated 

client advisors 

Enhancement of value added offering to 

answer to change in Private clients 

needs, e.g. 

• Intermediated offering (Advisory and 

Discretionary Management) 

Net new cash 1 (% of AuM) 

2% 

2008 2009 1H10 

-4% 

-18% 

Share of intermediated offering 2 (% of CAL) 

19% 

17% 

13% 

• Wealth and financial planning, 

tax advisory 

• Life insurance 

Dec 2008 

Dec 2009 

Jun 2010 

96 

Note: (1) Excluding subsidiaries, clients with AuM > EUR 500 k 

(2) Discretionary and Advisory Mandates, clients with AuM > EUR 1 m

Our ambition: Consolidate existing franchises and 

strengths to foster development 

1 

Increase market share in Retail and Commercial Banking 

2 

Reinforce Private Banking expertise and strengthen position 

as Dexia reference center for International Private Banking 

3 

Further improve cost efficiency to support profitability and 

investment capacity 

97

By 2014: Increase market share in Retail and Commercial 

Banking 

Objectives 

Retail Banking 

< EUR 100 k 

Confirm Dexia BIL as a reference 

bank for retail clients in 

Luxembourg 

Commercial Banking 

(SME, Corporate, Public) 

Diversify and further develop in 

Professional banking 

Position Dexia BIL as an important 

player in Luxembourg 

Targets 

end 2014 

Increase our market share as 

“main banker” of 

Luxembourg individuals 

from 14% to 15% 

Anchor position for 

professionals within top 3 in 

Luxembourg 

98

By 2014: Increase market share in Retail and Commercial 

Banking – Key actions 

Retail Banking 

< EUR 100 k 

Further differentiation of value proposition 

• Specialization of sales teams in branches 

• Packaged offering per sub-segment 

• Adjustment of service model to customer segment 

Focus on retail clients with potential (upsell) 

Modernization of distribution channels 

• Specialized branches (e.g. youth concept) 

• Enhanced technologies (web, customer care) 

Youth segment : 

Targeting young 

actives 

Commercial 

Banking 

Selective acquisition strategy (cherry picking) in SME 

and self-employed segments 

Development of the Corporate segment based on 

sector diversification 

Development of public and semi-public sector, 

leveraging Group expertise (e.g. renewable energies) 

Cherry picking strategy 

in SME segment 

99

By 2014: Reinforce Private Banking expertise and 

strengthen position as Dexia reference center 

Objectives 


> EUR 100 k 

Foster up-sell and increase share 

of wallet 

Deploy dedicated offering and 

service model to clients with 

assets from EUR 100 k to 1 m 

Private Banking 

> EUR 1 m 

Grow AuM base and improve 

cross selling 

Leverage on existing and new 

expertise to upgrade service level 

Develop client base from higher 

growth geographies 

Targets 

end 2014 

Grow AuM per client by 10% 

p.a. on identified target 

clients, and increase RoA by 

10 bps at 100 bps 

Reach 3% net new cash p.a. 

and 40% of AuM in mandates 

100

By 2014: Reinforce Private Banking expertise and 

strengthen position as Dexia reference center – Key actions 


> EUR 100 k 

Setup a dedicated sales force of ~75 Personal bankers 

within branch network, in addition to personal bankers’ 

team at headquarters 

Reinforce Affluent Banking value offering 

• Progressive and profile-based packages 

• Dedicated life insurance and discretionary management 

(e.g. Dexia Personal Zen) 

• Financial planning services for upper-end clients (upsell) 

Discretionary service 

for affluent clients 

Private Banking 

> EUR 1 m 

Focus on fiscally-transparent & higher-end clients 

Strengthen the level of service and expertise, e.g.: 

• Financial offering: focus on Advisory and Discretionary 

management; products adapted to specific client needs (e.g. 

sharia-compliant products) 

• Non-Financial offering: systematic involvement of a Wealth 

Planner for HNWI clients and prospects, enhanced Tax and 

Financial reporting 

• Expertise: recruitments in Luxembourg and Switzerland to 

develop selected geographies (Middle East, C&EE, Latin 

America) 

Implement dual servicing for clients > EUR 1 m in 

branches 

Financial planning 

services 

101

By 2014: Further improve cost efficiency to support 

profitability and investment capacity 

Increased Operations and Support functions 

efficiency 

Reduction of cost base 

Rationalization 

of 

Luxembourg 

cost base 

Rationalization 

of International 

subsidiaries 

footprint 

Optimization of Real Estate space utilization 

and investments 

• Exit from 4 buildings 

• Optimization of number of square meters per 

employee 

Revised commercial set-up leading to 

improved efficiency and superior client service 

-6 to -7% 

over 2009-2014 

Exit from Montevideo (Sales office) and 

Experta international offices already effective 

Ongoing or planned exit from Jersey (Private 

Bank) and Monaco (Private Bank) 

 

Strong cost reduction, with limited impact on commercial activity 

102

Our target end-point in 2014 

Leverage of dynamic local franchise and increased market share as 

main banker of Luxembourg individuals at 15% 

Better service to our clients thanks to a revised commercial set-up, 

tailored by segment, and to reinforced expertise 

Strengthened Dexia BIL position as Dexia international Private Banking 

center 

Preserved profitability and freed-up investment capacity thanks to 

subsidiaries and cost base rationalization 

Increased pre-tax income over 2010-2014, 

supported by an improved C/I ratio 

103

RCB Belgium and Luxembourg 

Enhance franchise, increase 

cross-selling on our client base

RCB Belgium and Luxembourg Target 2014: Enhance 

franchise, increase cross-selling on our client base 

Income (EUR bn) C/I ratio (%) Pre-tax income (EUR bn) 

105

Asset Management & Services 

Manage a portfolio of three 

profitable businesses 


Head of RCB-AMS

Asset Management & Services: A portfolio of three 

profitable businesses 

Asset Management Insurance Investor Services 

An efficient and 

responsive partner 

A key insurance 

player in Belgium 

and Luxembourg 

A well recognized 

top 10 global 

player 

Key activity 

indicators 

(1H10 vs. 1H09) 

AuM 

growth 

+7% Premium 

growth 

+64% AuA 

growth 

+38% 

Pre-tax income 

(1H10) 

EUR 35 m 

EUR 65 m 

EUR 28 m 

Limited capital consumption and no scale issue 

Attractive growth prospects based on a diversified client base and 

strong collaboration with RCB and PWB 

107

Asset Management 

An efficient and responsive 

client partner

Dexia AM: A recognized and well diversified Asset 

Manager 

Client mix 

Total AuM: EUR 83 bn 

Diversified client franchise 

• Client Relationship Managers covering 15 European 

countries & selected regions 

• Important international institutional franchise (non-captive) 

Product mix 

Total AuM: EUR 83 bn 

Recognized expertise & customized solutions 

• Long experience in tailor-made solutions and asset 

allocation 

• Global strategies in Fixed Income & Equity 

• Leader in promising processes: Sustainable and 

Responsible Investments (more than 20% of AuM) and 

Alternative 

• Over 78% of funds with 3-4-5 stars according to 

Morningstar 

109 

Note: AuM as of June 2010 

Committed teams with solid track record 

• Senior management working as a team for over 10 years 

• 560 staff of which 185 Investment & Research 

professionals 

• High responsiveness of 100 Client Relations & 

Solutions experts

Resilience proven through the crisis: Dexia AM 

well positioned to capture the upside 

Resilience in 

Investment Management 

Worldwide, Investment Strategies 

were challenged 

Resilience in 

Commercial Development 

Large retail outflow due to retail clients 

refocusing on deposits 

Consistent performances delivered 

and no major incidents or liquidity 

issues in funds and mandates 

Further development of institutional 

client franchise (from 59% AuM in 

2008 to 67% in 2009) thanks to: 

Risk Management with proven value 

throughout cycles 

Performances of Traditional 

Management consistently above 

average 

75% of Alternative Strategies positive 

in 2008, 90% positive in 2009 

Long-standing international 

commercial presence 

Solutions adapted to client needs 

110

Operating performance comparing very favorably to peers 

High operating margin 

Low cost structure 

Gross Operating Income / Income (1H10) 

Total costs / Average AuM (1H10) 

Dexia AM comparing very favorably to industry 

averages on key performance indicators 

111 Source: Benchmarking survey

A client-centric business model, adding value for clients 

along the entire value chain 

Boutique 

Small size 

Specialised strategies 

Client-centric organization 

Medium size 

Customized solutions 

Beta factory 

Huge size 

Standardized beta products 

 

Dexia AM is ideally positioned to offer solutions adapted to client needs: 

• Stable and efficient organization, and thus a trustworthy partner for clients 

• Critical mass for essential competencies to build client solutions 

• Still agile & flexible enough to be a responsive partner 

Core product range 

Tailor Made Solutions 

 

In-house analysis & proprietary models 

for Fixed Income & Equity Strategies 

 

ALM analysis & LDI solutions for pension 

funds and insurers 

 

 

Pioneer with 15 years of commitment & 

in-house team of Sustainable & 

Responsible Investments analysts 

Full UCITS III range of strategies, team of 

experts with 15-year experience in 

Alternative Investments 

 

 

 

Optimised asset allocation & tailor-made 

solutions through mandates 

Innovative solutions 

Adapted products & approach for 

distributors 

112 

Sustainable partnerships with clients based on transparency, 

trust, proximity & responsiveness

Our ambition: Grow client franchise leveraging an efficient 

platform and a client-centric expertise 

Continue to build solutions for client needs 

• Diversified core range generating Alpha 

• SRI pioneer & leader in Alternative 

• Pension funds solutions & asset allocation 

Expand and diversify client base 

• On-going focus on international clients 

• Growth of non-captive franchise 

• Expansion into strong-growth regions (Asia) 

Continue to foster efficiency 

Client coverage 

• Europe 

• Australia (Ausbil) 

• Canada (DAM sales presence), 

Middle East (DAM sales 

presence), Latin America 

(distribution partnership) 

• Expand in strong-growth regions 

Production centres 

Brussels, Paris, Luxembourg, 

Australia (Ausbil) 

~EUR 130 bn AuM 

~EUR 30 bn Net New Cash (NNC) over 2011-14 

70% of NNC from non-captive franchise 

o/w 1/3 from international clients (Australia, Canada, Middle East, 

Chili, International organizations) 

48% operating margin 

Target 2014 

113

Dexia AM Target 2014: Deliver further growth 

AuM 1 (EUR bn) C/I ratio (%) Pre-tax income (EUR m) 

114 

Note: (1) End of period

Insurance 

Value creation through 

multi-channel distribution

DIS: A key insurance player with a multi-channel 

distribution strategy in Belgium and in Luxembourg 

Bankinsurance 

RCB network 

in Belgium 

Wholesale 

Premiums: 

EUR 1,167 m 1 

90% Life 

10% Non-life 

Multi-channel distribution strategy 

Belgium 

DVV 

214 exclusive 

agents 

355 POS 

Premiums: 

EUR 242 m 1 

43% Life 

57% Non-life 

Corona 

Direct 

Internet / 

Direct 

Affinity deals 

Premiums: 

EUR 29 m 1 

29% Life 

71% Non-life 

Luxembourg 

DLP 

External 

distribution 

partnerships 

in and outside 

Luxembourg 

Premiums: 

EUR 485 m 1 

100% Life 

0% Non-life 

Bancassurance: 87% of Life reserves in Belgium 

• Life insurance fully integrated with DBB 

• Cross-selling of non-life bancassurance products 

starting from banking products 

• Strategic collaboration with selected DVV agents on 

Business clients 

DVV: Leading distribution of non-Life products 

• Own product range (DVV branded products), 

leveraging a network of tied agents 

Direct distribution through Corona 

• Niche player, focusing on car insurance through 

affinity deals, internet and call centre channels 

DLP: Distribution of Life products, acting as the 

international Life insurance platform of the Group 

• Collaboration with Dexia BIL to improve cross-selling 

ratio and develop insurance solutions 

• Relying on external distribution partnerships 

#5 position in Belgium and among top 10 in Luxembourg 

116 

Note: Data as of June 2010, (1) Premiums collected in 1H10 

Source: ACA

Strong financial & activity recovery in 2010 

Premium evolution 1 1H10 vs. 1H09 

Strong recovery in Life insurance, especially 

thanks to strong commercial performance of 

bank-insurance in Belgium & Luxembourg 

Strong performance also in Non-life, more 

resilient than the Life business 

Dexia Life 

Dexia Non-life 

Overall, important rebound of net income and 

profitability back to pre-crisis level 

Combined ratio 2 

(2009, %) 

Cover ratio (%) Pre-tax income (EUR m) 

Stricter Risk management and ALM guidelines 

implemented 

113 

65 

• More conservative asset allocation 

• Favorable combined ratio vs. peer group 

throughout the crisis 

Solvency II should not lead to further capital 

needs 

-32 

1H09 

2H09 

1H10 

117 

Note: (1) Bancassurance Retail & Wholesale 

(2) Peer group includes figures for Axa, Ageas, Ethias, KBC, Allianz, Vivium, Mercator, P&V and Fidea

Going forward, Dexia Insurance to drive value creation 

opportunities in four areas 

Bancassurance 

1 

Unlock further 

potential from 

bank clients 

Improve set-up for further cross-selling on retail banking clients 

Develop SME potential 

Further equip public & corporate clients, capitalising on RCB franchise 

Capitalize on "New Investment Approach" of RCB for life insurance 

DVV 

Achieve full 


tied agents’ 

network 

Extend geographical coverage 

Improve brand visibility 

Free commercial time through better processes and IT equipment 

DLP 

Develop DLP 

as a centre of 

excellence for 

HNWI 

Continue to leverage synergies with Dexia BIL, offering solutions that 

combine life insurance expertise and asset management know-how 

Expand in European countries, especially those driving the Life 

insurance business in Luxembourg (Germany, France, Italy and 

Switzerland) 

Drive operational 

excellence 

Improve service & quality through optimised processes 

Further integrate back-office platforms 

Increase straight-through processing via better interfaces with 

channels and partners 

118 

Note: (1) Retail & Wholesale

Clear targets stated in each area 

Bancassurance 

1 

Unlock further 


bank clients 

Regain 6% market share in Life by 2014, 

to reach 15% natural market share 

DVV 

Achieve full 


tied agents’ 

network 

15% annual premium growth by 2012, 

then 10% up to 2014 

DLP 

Develop DLP 

as a centre of 

excellence for 

HNWI 

Reach EUR 1 bn premiums by 2014 

Drive operational 

excellence 

Reach a C/I ratio below 55% by 2014 

119 

Note: (1) Retail & Wholesale

DVV: Investment plan to develop tied agents’ network 

Key challenges 

Investment plan 

 

 

 

Development of the DVV brand 

and channel 

Improvement of the quality 

and services of the back offices 

Reduction of administrative time 

in front office 

 

 

 

 

 

60 new branches 

10% additional sales representatives 

Acquisition of portfolios 

Investment in brand and communication 

Optimize commercial results in existing 

branches 

• Commercial coaching 

• Commissions and incentives 

• Up-to-date commercial front IT-environment 

and CRM 

 

Increase profitability on existing portfolio 

Expected results 

15% premium growth by 2012, then 10% up to 2014 

• 80,000 new contracts in currently untapped areas by 2012 

• 35,000 new clients by 2012 

Improved productivity: +35% in 2012 vs. 2009 

120

Insurance Target 2014: Deliver further growth 

Non life premiums 

(EUR m) 

Life premiums (EUR m) Pre-tax income (EUR m) 

486 

~540 

~600 

2,354 

~2,470 

~2,770 

~170 

~220 

81 

2009 

2012E 

2014E 

2009 2012E 

2014E 

2009 

2012E 

2014E 

Combined ratio (%) Life reserves (EUR bn) C/I ratio (%) 

121

Investor Services 

A well recognized 

top 10 global player

RBC Dexia Investor Services activities: One of the top 10 

global custodians 

123 

Assets under 

Administration (AUA) 

Ranking 2Q10 

No. of funds administered 6,286 

NAVs (annualized) 

Shareholder accounts 

Ratings 

Recognized for client 

service excellence 

Key facts as of June 2010 

EUR 1,979 bn 

(USD 2,428 bn) 

#10 globally 

1.9 m 

9.4 m 

Moody’s: Aa3 

S&P: AA- 

#1 Global Custodian in 7 

key categories (incl. #1 for 

EMEA), as well as # 2 

Overall for Global Custody 1 

#2 Overall Global 

Custodian 2 

European Transfer Agent of 

the Year 3 

Note: (1) Global Custodian 2010, (2) R&M Consultants 2010, (3) Funds Europe 2009 

Joint-venture with Royal Bank of 

Canada since 2006, that leveraged 

complementary core 

competencies to increase scale 

economies and provide access to 

larger mandates 

Broad geographic footprint 

• 16 locations on 4 continents 

• Positioned to benefit from 

high-growth markets 

• Ability to service large 

multi-jurisdictional mandates 

• Subcustody network extending to 

over 90 markets 

Diversified client base, supported 

by an extensive product and 

service offering 

Strong rating, with the only positive 

outlook from S&P among the top 10 

custodians

Recent industry trends creating both challenges and 

opportunities 

New financial 

market dynamics 

 

 

 

Globalization of asset management industry – increased cross- border and 

foreign exchange transactions anticipated 

Equity markets increasing over the last 18 months but still uncertain 

Low interest rate environment 

Client landscape 

and priorities 

have changed 

 

 

 

 

 

 

Flight to quality 

Need for safety and soundness of custodians / administrators 

Requirements for transparency and risk management 

Ability to support product innovation 

Need for multi-jurisdictional services - global reach increasingly required 

Outsourcing expected to continue to increase given asset managers focus 

on core activities 

Increased 

pressure on 

economics 

 

 

 

 

Acceleration of industry consolidation of both clients and competitors 

Continued pressure towards cost efficiency 

Large IT investments required 

Regulatory changes (e.g. UCITS IV) 

124

Key activity indicators: Back to pre-crisis level 

Assets AuA 1 (in EUR tn) 

Number of funds 1 

1.76 

1.43 

1.98 

5,288 

5,886 

6,286 

2Q08 

2Q09 

2Q10 

2Q08 

2Q09 

2Q10 

AuA has returned to pre-crisis levels 

Activity volumes continue to increase supported by 

• Healthy core asset servicing activities 

• Sustained commercial activity (cross-selling, client retention and client acquisition) 

Acquisition in Italy (UBI Banca depositary bank activities) 

125 

Note: (1) End of period

RBC Dexia Investor Services is well positioned for 

further growth and development 

Competitive strengths 

Reputation for service excellence 

Extensive geographical reach to 

support multi-jurisdictional asset 

managers 

Best-in-class platforms for fund 

services and securities lending 

Extremely competitive offering to 

support asset managers in both 

offshore and onshore markets 

Strong relative credit rating and 

financial soundness 

Significant number of new multijurisdictional 

clients added since the 

creation of the JV (including new 

mandates based on an offshore / 

onshore value proposition and 

supporting distribution into Asia) 

Successful up-sell and cross-sell of 

new products and services into our 

client base 

Large investments in systems, 

platforms and new capabilities 

Consistently high client service 

recognition: Maintained top quartile 

rankings in surveys 

126

Our ambition: Enable our clients to achieve their 

ambitions by delivering exceptional service 

Maximize client 

and revenue 

growth 

 

 

 

 

Advance leadership position in Canada and Luxembourg to maximize 

growth opportunities across our geographic footprint 

Continue to build scale and market presence in key high-growth markets 

(e.g. Dublin, UK, Australia, Italy, Switzerland) 

Expand & develop relationships with more of the top global asset managers 

Retain and grow our top clients 

Enhance & 

broaden suite 

of products 

and services 

 

 

 

Deliver an integrated and competitive product offering to our clients 

Enhance and extend current products and capabilities to new geographies and 

clients (e.g. transfer agency, investment analytics, enhanced portfolio reporting, 

cash management products) 

Build new product capabilities (e.g. enhanced distribution support services) 

Globally 

integrated 

client 

experience 

 

 

Deliver operational efficiencies and enhance global operating models to 

provide a consistent, integrated client experience across multiple geographies 

Increase functionality, capacity and efficiency to leverage scale 

127

Investor Services Target 2014: Deliver further growth 

AuA 1 (EUR tn) 

Growth range 

(CAGR 2009-2014) 

~2.45 

~2.70 

AuA 

8 to 10% 

1.71 


9 to 12% 

2009 

2012E 

2014E 

Costs 

4 to 6% 

128 

Note: AuA growth does not include transformational deals, (1) End of period

Retail & Commercial Banking 

Turkey 

Pursue sustainable 

growth story in Turkey 

Hakan Ateş 

Head of DenizBank

In a nutshell: DenizBank, a sustainable growth engine for 


Turkey, a robust economy with growth 

prospects 

A sound banking market with strong 

potential notably in Retail 

DenizBank, an influential profitable 

growth story with efficient governance 

rules 

A successful and scalable model 

offering ambitious and sustainable 

growth prospects 

130

Solid performance of the Turkish economy over past 

decade and strong growth prospects going forward 

Turkey Real GDP growth (%) 

Turkey 

EU-27 

Real GDP growth (%) - Economic scenario 

17 th biggest economy 1 in the world with a large 

informal sector, and well diversified 

Strong growth performance since 2002 

outperforming EU27 

• Average GDP growth of ~7% over 2002-2007 

• Back to pre-crisis level with 6.5% expected in 2010 

Very open and sound economy 

• Trade: 46% of GDP in 2008, same in 2010 

• Stabilized inflation rate at single digits over 04-10 

• Contained public debt: ~43% of GDP in 2010 

Good prospects for the Turkish economy 

• Strong domestic demand supported by a young 

and underleveraged population 

• Trade dynamism boosted by development of the 

region balancing Europe slowdown 

Turkey sovereign credit rating 2 expected to 

reach Investment Grade soon 

Turkey expected to become the 9 th biggest 

economy in 2050 3 

131 

Note: (1) 15 th as of GDP PPP (2) BB for Standard & Poor’s & Fitch, Ba2 for Moody’s (3) According to Goldman Sachs 2009 projections 

Source: Dexia research, Turkish Statistical Institute

Several socio-economic indicators confirming growth 

outlook 

Young population 

Rapidly getting richer 

Population by age group (2009) 

GDP per capita (USD k, 2009) 

Turkey 53% 

40% 7% 

+20% in 4 years 

CIVETS 

excl. Turkey 

56% 

38% 

6% 

Brazil 53% 

40% 7% 

China 38% 

52% 10% 

Feeding private consumption 

Russia 39% 

48% 13% 

+450k homes 

per annum 

+650k cars per 

annum 

+2m TV sets 

per annum 

EU27 35% 

48% 

17% 

100 

113 

100 

112 

< 30 years 30 – 59 years > 60 years 

2010E 2014E 2010E 2014E 

Housing Cars TV sets 

132 

Note: CIVETS (HSBC label): Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa 

Source: Euromonitor, World Bank, Ekspres Invest research (DenizBank Brokerage Company)

A sound banking system thanks to an empowered and 

prudent regulator 

Strong capital base Ample and stable liquidity Low leverage risk 

Tier 1 ratio (end 2009) Loan-to-deposit ratio (end 2009) 

Leverage ratio (end 2009) 

19% 

121% 

23.3 

10% 

76% 

7.5 

Europe 

Turkey 

Europe 

Turkey 

Europe 

Turkey 

133 

Source: Deutsche Bank ‘Running the numbers’ report (based on a sample of 45 European banks), BRSA

Current level of banking penetration highlights strong 

potential of the market 

Loans to households to GDP ratio 

Deposits to GDP ratio 

72% 

57% 

52% 

48% 

37% 

29% 

25% 

23% 

18% 

15% 

11% 

213% 

149% 

123% 

79% 

72% 

56% 54% 

34% 

33% 

31% 

27% 

UK 

GER 

BEL 

FRA 

CRO1 LIT POL SLO ROM TUR RUS1 

UK 

BEL 

GER 

FRA 

CRO 

SLO TUR LIT 

(Jun 2010) 

POL 

RUS 

ROM 

Number of branches per 10,000 inhabitants 

Number of ATMs per 100,000 inhabitants 

134 

Note: 2008 data except ATMs in Russia (2007 ) (1) Mortgage + Consumer loans only 

Source: Turkish Statistical Institute, European Banking Federation, ECRI, European Central Bank, Russia/Croatia/Poland Central Banks

Strong local players compete with subsidiaries of 

international groups 

Turkish banking market as of end 2009 1 

Seven well-established banks 

compose Tier 1 

• Best-in-class banks: Isbank, 

Garanti and Akbank 

• Other players: three state 

banks (Ziraat, Halk and Vakif) 

and one 50/50 JV (Yapi Kredi) 

Six middle-sized banks make the 

2 nd Tier 

• Mainly JVs or foreign banks 

subsidiaries 

• Deniz leading the group in 

terms of profitability 

• Fierce competition anticipated 

Other players already 

marginalized 

State banks Tier 1 Tier 2 

135 

Note: (1) Consolidated figures 

Source: BRSA, FINTURK

DenizBank, the most influential profitable growth story in 

Turkey thanks to its differentiating market approach 

1997–2003 

(Privately owned bank) 

2004–2006 

(Publicly listed co.) 

2007–2010 

# 81 bank 1 # 12 bank 1 # 10 bank 1 # 9 bank 1 

DenizBank DNA 

Prudent risk 

management and 

good positioning 

Efficient cost 

+ + 

management 

Superior 

growth 

= 

High profitability 

Limited weight of 

Securities in total 

assets 

Low NPLs vs. 

peers 2 

Opex per FTE and 

C/I significantly 

lower than peers 2 

State-of-the-art IT 

platform and 

processes 

Loans and deposits 

growth 

outperforming 

sector and peers 2 

ROE above 

peers 2 

Increasing share 

of profit among 

Turkish banks 

136 

Note: (1) In terms of assets 

(2) Peer group consists of tier 1 and tier 2 private banks

Corporate Governance rules set up since the very 

beginning, and reinforced with Dexia 

 

 

 

Deniz 

Board of Directors 

3 independent 

members 

4 Deniz Executives 

4 Dexia members 

 

Deniz Governance 

Committee 

Head of RCB, Deniz 

Chairman, Deniz 

CEO, Group CRO 

and Group CFO 

Deniz among the first Turkish banks to 

implement internationally recognized 

Corporate Governance principle 

Set up of a monthly ‘Governance Committee’ 

to reinforce coordination between Deniz and 

Dexia and facilitate decision making 

Group Head of Support Line 

Risk 

Ops & IT 

Finance 

HR 

Audit 

Communication 

Directive lines in most critical support 

functions, where Dexia Group respective Heads 

are responsible: Risk, Finance, Audit and CLT 

Close risk monitoring and assessment through 

9 regional centers 

Strong functional links in Ops & IT, HR and 

Communication to capture synergies and 

exchange competences with the Group 

CLT 

Directive line 

Strong Functional line 

137

DenizBank growth outperformed the market without 

sacrificing profitability 

Growth track record 

Strong profitability 

Loans market share (%) Return on Equity (%) 

4.8% CAGR 02-09 

Deniz Market 

Deniz 

Sector 

Peers 1 

2.6% 

48% 36% 

2002 

2009 

High contribution of all segments + Innovative 

products in Retail 

Deposits market share (%) 

ROE constantly above sector average 

despite strict investment policy 

Deniz share of Turkish banks profitability 2 (%) 

2.1% 

2.9% 

CAGR 02-09 

3.0% CAGR 02-09 

Deniz Market 

Deniz Market 

26% 21% 64% 32% 

0.7% 

2002 

2009 

2002 

2009 

Increasing focus on deposit collection as an 

alternative to Dexia funding 

5 th private bank in terms of net profit today 

138 

Note: (1) Peer group consists of tier 1 and tier 2 private banks 

(2) Consolidated figures 

Source: BRSA

Cost efficiency, prudent Risk Management and asset 

quality at the heart of DenizBank success 

OPEX per FTE (TRY k) 

Deniz 

Sector 

Peers 1 

Deniz operating expenses per FTE 15% below 

sector average in 2009 

Cost per employee beating inflation with 5.7% 

CAGR over 06-09 vs. 8.3% for inflation 

NPL ratio (adjusted 2 , %) 

Deniz 

Sector 

Despite stronger loan growth, NPL beating the 

market by 0.7 pts in 2009, thanks to balanced 

exposure and prudent risk management 

Cost of risk back to 2008 level in 1H10 at 1.8% 

Peers 1 Limited securities exposure of DenizBank (13% 

Deniz cost 

of risk (%) 

Share of Securities in total assets (%) 

Sector 

Deniz 

Peers 1 

of total assets in 2009 vs. 32% for market 

average) 

Profitability of DenizBank mainly driven by its 

business franchise 

139 

Note: (1) Peer group consists of tier 1 and tier 2 private banks 

(2) NPL adjusted with write-offs and sales 

Source: BRSA

Accelerated branch opening over the last 3 years resulting 

in a young branch network not at its full potential yet 

Deniz branch network evolution over 04-10 

180+ 

500+ 

Deniz among the most active players in terms 

of branch opening 

• +150% in 6 years vs. ~50% for the market 

199 

121 

~40 per 

year 

320 

~60+ per 

year 

Increased branch opening pace thanks to welldefined 

formats and processes 

Branch network focused on high potential 

areas (e.g. Metropolitans, Agri. regions) 

2004 

05-07 

2007 

08-10E 

2010E 

Loans and deposits volume by age of branch (TRY m) 

Before 

breakeven 

zone 

Profitability zone 

Deniz avg. age 

(end 2009) 

Year 1 to 6 

CAGR 

Loans Deposits 

48% 54% 

Loans 

Deposits 

Branch performance and profitability strongly 

dependent on age 

• ~50% CAGR in loans and deposits over the first 5 

years 

Young network (5 years vs. 22 for the sector) 

• 50% of branches in their first year and 100% older 

than 3 years are profitable 

Room for higher profitability in the coming 

years 

Branch age (years) 

140

Today, DenizBank, a well-established Retail franchise 

with ~4 m clients 

Market shares (2009, %) 

~3 m individual clients (2.9 m Mass and 

100 k Affluent clients) 

6.5 k+ Private Banking clients 2 served via 

wealth management centers 

Over 420 k agricultural clients 

• #1 Private Bank on this segment 

• Innovative products for Agri .clients 

1 

More than 490 k SME clients 3 

Service quality assessment 4 

Wide ranging 

dist. channels 

Innovative 

card offers 

DenizBank overperforming its peers in terms 

of customer satisfaction 

Agriculture 

Card 

Broad range of customized products 

targeting specific segments 

• Private 

55% consumer 

loans via SMS 

• SMEs 

• Agriculture 

Contactless Card for 

Galatasaray fans 

141 

Note: Retail including Agri and SMEs (1) General Purpose Loans + Car Loans + Mortgage Loans (2) Clients with AuM > $250K (3)Turnover < TRY 10 

m (4) Based on data of DenizBank Brand Tracker Study, done by GfK in 13 major cities

Strong Commercial and Corporate segment benefiting 

from solid footholds and feeding other Business Lines 

High performing Commercial and Corporate 

segment… 

…feeding other business lines 

Project finance 

Commercial banking 

(Annual turnover between 

TRY 10-100 m) 

Corporate banking 

(Annual turnover > TRY 

100 m) 

Retail/ SMEs/ 

Agri 

Total 1.5 m subscribers 

Project Finance 

Commercial & 

Corporate 

18 k clients (of which 2 k in Corporate) 

capturing ~90% of Forbes Turkish Top 500 

companies 

Strong focus on strategic sectors and 

cross-selling 

Limited cost of risk: 0.7% for Corporate 

and 0.3% for Commercial, as of August 2010 

555,000 Retail 

600,000 SMEs 

& Corporate 

345,000 

Farmers 

Cash 

Electricity 

Distribution 

Company 

Cash 

Project Finance: Club Loan 

Acquisition Value: USD 440 m 

Total Loan: USD 300 m (financed by 

4 banks) 

DenizBank Participation: USD 50 m 

Tenure: 10 years 

USD 1.5 bn annual cash flow 

TETAŞ 

Public Electricity 

Trader 

Collection 

Account 

Major actor in important Project Finance 

deals 1 

142 

Note: (1) Example: DenizBank acted as coordinator and MLA for the water windfarm project awarded by Euromoney in 2009

Portal approach allowing great synergies between 

entities, thanks to a state-of-the art IT platform 

Full fledged Retail and 

Corporate Eurozone bank 

with EUR 1.8 bn deposits 

CJSC Dexia Moscow 

Targeting Turkish 

Corporates in Russia to 

create synergies with Deniz 

Top 5 contender in the 

sector in trade volume 

IPO demand collection 

leader since 2005 

#3 in receivables with 

10% market share 

#2 in the sector in 

bancassurance profitability 

within 2 years of operation 

All subsidiaries and networks 

connected to one single IT platform 

Sector leader in profitability, 

#4 in receivables with 7% 

market share 

143

Deniz 2014: Be the first alternative to largest banks while 

maintaining DenizBank profitable growth model 

Invest TRY 500+ m and speed up branch opening to reach more than 800 

branches by 2014 and more than 7% share of doors 

Enhance customer centric approach to deliver state-of-the-art quality, 

increase loyalty and cross-selling 

Maintain disciplined loan culture and prudent risk management 

principles 

Continue stress on innovation and deliberately enter new profitable 

niches 

Maintain prudent cost management culture with highly efficient HR, IT and 

public relations 

Diversify sources of funding with increased share of deposits and 

longer term wholesale financing 

144

Support functions: DenizBank model scalability to allow 

ambitious expansion 

HR 

Training support through Deniz Akademi and Deniz TV: Capacity to train 1000 

employees simultaneously in addition to e-learning offers 

Highly skilled junior and mid-level managers to form future executives: 70% 

of managers nominations sourced internally 

Operations 

Economy of scale through mutualization of branch operations: reduction of 

number of Branch Ops FTEs per branch by 15% over 2010-2014 

Reduction of manual transactions in total transactions to decrease from 37% 

in 2010 to 30% in 2014 

IT 

Inter-Next: State-of-the-art IT infrastructure capable of handling 103 times 1 

current transactions 

Ocean: New credit card application platform capable of processing 64 times 

current transaction volumes 

145 

Note: (1) From Microsoft Seattle lab tests

Network: DenizBank to open 300+ new branches focusing 

on Metropolitans and rural areas with diversified formats 

199 

DenizBank branch expansion plan 

~40/year 

320 

~60/year 500+ 

More than 

80/year 

800+ 

Deniz to continue opening more branches than 

the market 

Leverage of its successful model and 

experienced teams 

Deniz share of doors to move from 5 to 7% 

over 2010-2014 with specific stress on big 

cities and rural areas 

2004 

05-07 2007 08-10E 2010E 11E-14E 2014E 

Share of doors (%) 5% 7% 

Big branches (Deposit & Loan oriented) 

Full fledged branches serving all kind of 

customers at the center of urban model 

In small cities, branches offering Agri. services 

Two well-defined formats to achieve full 

coverage of a zone 

• Ocean as a wall of money 

• ‘Green Drop’ branches in small cities and rural 

areas serving agricultural customers 

Fully automated branches 

‘Green Drops’ 

146

Individual & Private banking: New active segmentation to 

maximize sales effectiveness and grasp market shares 

Strategy 

Ambition 

Mass 

(AuM < USD 50 k) 

Mass portfolio served by Account Managers 

Full range of basic and packaged product offering through 

well defined client segmentation 

Proactive sales management to increase cross-selling 

Push of alternative channels (e.g. Internet, call centers,…) 

Number of Mass clients (m) 

Affluent 

(AuM between 

USD 50 k and 250 k) 

Dedicated Account Managers as the only point of contact 

New incentive scheme rewarding recruitment of middleclass 

customers and premiumization of existing ones 

Focus on cross-sell leveraging active segmentation 

Number of Affluent clients (k) 

147 

Private 

(AuM > USD 250 k) 

Dedicated Private Banking Experts and Relationship 

Managers serving HNWIs in PB Centers and Retail 

branches 

Besides HNWIs, targeting key segments such as Business 

Owners, cash rich Mid Caps and Corporate Family Wealth 

Customized and sophisticated investment solutions 

Number of Private banking 

clients (k)

SME & Agricultural Banking: DenizBank to grasp market 

share through extensive network and innovation 

Number of SME clients (k) 

490 

700 - 750 

Further expansion of the SME card by offering of 

custom-tailored solutions 

Development of cash management and thirdparty 

partnerships with Corporate clients having 

large distribution network 

Institutional cooperation with regional 

Chambers of Commerce 

June 2010 

2014E 

Number of Agri. clients (k) 

550 - 580 

420 

June 2010 

2014E 

Expansion of ‘green drop’ successful format in 

small cities and rural areas 

Privileged relations with sectoral actors (e.g. 

suppliers, cooperatives) enabling alternative 

distribution channels development 

Close cooperation with Ministry of Agriculture 

experts to promote Deniz to farmers 

Roll-out of Agri + turnkey solution allowing new 

farmers to establish their business 

148

Commercial & Corporate: Target of promising mid caps 

and leverage of Corporate franchise and Group expertise 

Insurance 

Leasing 

Factoring 

Suppliers banking / 

Accompany growth 

Cross 

selling 

Corporate and 

Investment 

Banking 

Commercial 

banking 

Employees 

banking 

Business owner 

banking 

Retail / SME 

banking 

Deniz to increase the coverage of Turkey key 

economic zones with 7 additional business 

centers (~+30%) 

Number of Portfolio Managers increased 

accordingly to reach 330+ 

Leverage of synergies between business 

lines to reinforce Commercial business 

Private banking 

DenizBank Corporate sector exposure (% of loan book, 2009) 

Deniz to increase diversification of its 

Corporate loan book 

Corporate product offering to be broadened 

leaning on Dexia expertise 

Public Finance as an important growth 

reservoir in the coming years 

149

Overall: Increased weight of Retail to accelerate deposit 

collection 

Increased Retail share in loan book 

Increased deposit base 

DenizBank assets evolution 

DenizBank liabilities evolution 

Other 4% 

Other 4% 

Other 6% 

Other 6% 

Cash & liquid 

assets 23% 

Cash & liquid 

assets 20% 

Wholesale 

22% 

Wholesale 

14% 

Equity 11% 

Equity 14% 

Retail 

loans 33% 

Retail 

loans 39% 

Comm. & 

Corp. loans 

39% 

Comm. & 

Corp. loans 

37% 

Deposits 

57% 

Deposits 

68% 

2009 

2014E 

2009 

2014E 

150 

Note: Retail including SME and Agri

DenizBank Target 2014: A business not at full potential, 

generating TRY 1.2 bn pre-tax income & 14% ROE 


(TRY bn) 

C/I ratio 

(%) 

Pre-tax income 

(TRY bn) 

ROE 

(%) 

39% 

Cost to adjusted income 

excluding capital gains 

151

Operating model 

Reach operational 

excellence 

André Vanden Camp 

COO

On track to decrease Group cost base by EUR 600 m 

by 2011 


Savings 2009-2011 

-15% 

Refocus on core franchises 

Divestment of entities 1 

Downsizing of PWB international 2 

Impact of refocus estimates ~EUR -270 m 

Achieving operational excellence 

Efficiency measures -230 m 

Intra-group synergies -285 m 

Start of industrialisation -30 m 

Total cost savings estimates ~EUR -545 m 

Inflation and wage drift 

 

Inflation and wage drift 

estimates 

Other effects 

~EUR +300 m 

Estimated Deniz net cost growth 

Restructuring costs 3 

Total other effects estimates ~EUR -100 m 

153 

Note: (1) Includes realised divestment of entities (FSA, Dexia Epargne Pension, Dexia K. Austria, Experta and ADINFO) and expected 

divestment of entities (DB Slovensko) 

(2) Impact before wage drift and inflation; includes ~EUR 5 m savings in 2011 part of the announcement of September 15 th 2010, subject to 

Workers Council advice 

(3) All restructuring costs booked in 2008-2009-2010; EUR 174 m restructuring costs booked in 2008

Reaching operational excellence facilitated by the new 

Group governance rules 

Functional mode 

Directive mode 

Dexia SA 

CEO 

SL 

Head 

CEO 

SL Head 

Directive mode 

• Since June 2009 for 

Finance and Risk 

Businesses 

CEO 

SL 

Head 

CEO 

SL 

Head 

• Since September 

2010 for Operations 

& IT 1 

Reinforcement of Group structure by moving to a directive mode for Support 

Lines with clear benefits 

• Increased budgetary control enforcing cost consciousness at all levels 

• Reinforced discipline within support functions to capture intra-group 

synergies 

• Better coordination of activities across Group businesses as critical enabler 

for mutualisation and industrialisation 

154 

Note: (1) Initiative part of the announcement of September 15 th 2010, subject to Workers Council advice

A clear roadmap towards operational excellence 

Wave 1 

2009 

Wave 2 

2010-2011 

Wave 3 

2012-2013 

Efficiency 

measures 

Capture quick wins and 

develop efficiency 

measures 

Continuously capture quick 

wins and develop efficiency 

measures 

Intra-group 

synergies 

Start pooling Group 

resources and capabilities 

Further pool 

Group 

resources and 

capabilities 

Start of 

industrialisation 

Manage productivity in fast 

growing businesses 

Start moving to 


155

Efficiency measures 2008-2011: Capture quick wins and 

develop efficiency measures 

Project tracking 

Cost efficiency measures on main entities 

• DBB (e.g. reduction of buildings, optimisation of payments and securities 

operations, right-sizing of front-office support) 

• DCL (e.g. right-sizing of sales support management, optimisation of IT hardware 

and maintenance, IT projects portfolio review) 

• DBL (e.g. right-sizing of RCB front-office support, IT development optimisation) 

• DTS (e.g. demand management and cost optimisation on IT infrastructure) 

• DIB (e.g. optimisation of commercial support, optimisation of operations, review 

of IT portfolio) 

Control on staff costs 

• Tight control on vacancies and hiring policy 

Other local initiatives 

• Continuous cost effort policy at entity level 

Efficiency measures estimates 1 

~EUR 230 m 

156 

Note: (1) Impact before wage drift and inflation; includes ~EUR 10 m savings in 2011 part of the announcement of September 15 th 2010, subject to 

Workers Council advice

Intra-group synergies 2008-2011: Start pooling Group 

resources and capabilities 


Centralised purchasing 

• Budget driven pressure on purchasing categories 

• Tight demand management 

• Price re-negotiation on specific purchasing categories 

• Leverage of Group purchasing power through consolidation of suppliers, Group 

contracts and Group policies 

TFM adaptation 

• Adapt front-office teams to new market conditions (flatten TFM governance, redesign 

of bonds origination and distribution activities) 

• Streamlining of back-offices 

Re-design of the support lines 

• Effectiveness and efficiency on support functions (mainly in compliance / legal / 

tax, human resources, communication & brand, operations & IT and audit) 

Real estate optimisation 

• Decrease in number of buildings at local headquarters‘ level and optimisation of 

floor space occupation 

Start of IT development optimisation 

• Leverage cross-entity competences 

Intra-group synergies estimates 1 

~EUR 285 m 

157 

Note: (1) Impact before wage drift and inflation; includes ~EUR 50 m savings in 2011 part of the announcement of September 15 th 2010, subject to 

Workers Council advice

Industrialisation 2008-2011: Manage productivity in fast 

growing businesses and start moving to industrialisation 


Deniz staff productivity gains 

• Productivity gains in Ops & IT with ~700 FTE hire avoided due to automation 

and process optimisation 

• Stabilisation of headquarters FTE to total asset ratio 

RBC Dexia staff productivity gains 

• Strengthening of the operating model to reflect a global business with 

development of a common set of functions, standardised processes and 

measurement models 

First impact of credit operations improvement 

• Reduction of credit decision lead times for SME and Mid-Corp credits to support 

growth ambition 

• Alignment of decision processes with European best practices 

First impact of industrialisation estimates 1 

~EUR 30 m 

158 

Note: (1) Impact before wage drift and inflation; includes ~EUR 5 m savings in 2011 part of the announcement of September 15 th 2010, subject 

to Workers Council advice

Third wave of initiatives to capture ~EUR 90 m additional 

savings in 2012-2013 

Refocus on core 

franchises 

Efficiency 

measures 

Intra-group 

synergies 

Start of 


Total 

Further refocus of PWB international 

Impact of refocus 

Additional local efficiency initiatives 

Salary cost technical optimisation 

Further IT infrastructure efficiency 

Efficiency measures 

Continuation of IT development optimization 

Continuation of centralised purchasing effects 

Continuation of TFM adaptation 

Further support lines initiatives 

Intra-group synergies 

Continuation of credit operations improvements 

Dexia CLF Banque 

First impact of industrialisation 

Total additional savings in 2012-2013 1 

~EUR 25 m 

~EUR 20 m 

~EUR 40 m 

~EUR 5 m 

~EUR 90 m 

159 

Note: (1) Impact before wage drift and inflation; ~EUR 90 m savings in 2012-2013 part of the announcement of September 15 th 2010, subject to 

Workers Council advice; Other ~EUR 70 m announced on September 15 th 2010 scheduled to have an impact in 2011

Examples of intra-group efficiency initiatives leveraging 

the new Group governance rules 

IT-Development 

TFM 

 

Fragmented IT development activities across 

entities 

 

Multiplicity of TFM processes and IT 

systems across Dexia entities 

Context 

 

Project delivery weaknesses regarding timeto-market 

& budget 

 

Constrained IT investment budget, imposing 

trade-offs 

 

Misalignment of IT costs with revenue, 

following new Group profile 

Ambition 

 

 

Leverage cross-entity competences to 

improve quality of project delivery, reduce 

operational risk and realise productivity gains 

Steer IT development by Group CIO with a 

directive link towards local CIOs 

 

 

Increase convergence of processes 

supported by one single system 

Re-focus and increase efficiency of IT 

investments 

 

Right-size IT investments and align with 

actual revenue level 

Key levers 

 

 

 

 

Competence centres serving all entities 

Harmonized project challenging 

methodologies 

Standardized project management 

methodology 

Common testing tools across entities 

 

 

Alignment of processes and harmonised IT 

systems covering front-office, back-office, risk 

and accounting with one reference platform 

Limitation of the local specificities of the 

other entities on the reference platform (high 

level of standardisation across entities) 

 

Strict demand management 

160 

Note: IT-Development project part of the announcement of September 15 th 2010, subject to Workers Council advice

Examples of industrialisation projects preparing Dexia for 

the future 

Credit operations 

Dexia CLF Banque 

Context 

 

 

Substantial investment in commercial 

franchises, with growth expectations on 

business credits 

Current credit processes (and service level) 

not competitive to meet commercial ambition 

 

End of partnership of DCL / DCLF Banque 

with Crédit du Nord on December 31 st , 2012 

on commercial banking platform 

Ambition 

 

 

Reduction of credit decision lead times for 

SME and Mid-Corp credits to support growth 

ambition 

Alignment of governance and decision 

processes with European best practices 

 

 

 

Replace commercial banking platform and 

increase commercial productivity 

Integrate commercial banking activity of 

DCLF Banque into DCL value chain 

Investigate opportunities not only to save costs 

but also to improve processes and develop 

revenues 

Key levers 

 

 

 

 

Lean origination processes 

Increased delegation to Front-Office 

Introduction of a business / risk ‘binôme’ 

decision-making 

Elimination of overlapping activities 

 

Leverage industrial partnership with Crédit 

Mutuel-CIC to: 

• Improve the quality of processes 

• Extend products offering through access 

to a robust industrial platform 

 

Creation of integrated servicing factory 

161 

Note: Credit operations project part of the announcement of September 15 th 2010, subject to Workers Council advice

Close monitoring system in place 

Strong management team 

Tailored governance and tools 

 

Sponsorship of each initiative at top 

management level (i.e. CODIR 

members) 

 

Delivery pace and impact monitored 

through recurring performance 

reviews at CODIR level 

Realistic plans 

Successful track record 

 

Bottom-up assessment of 

feasibility and ambitions of initiatives 

(rigorous reality check) 

 

Over the past two years, track 

record of consistent delivery 

versus ambition 

High level of confidence to deliver additional initiatives 

162

Key messages 

Group cost base decreased by EUR 600 m by 

end 2011, to compensate for scaled down non 

commercial revenues and divestures 

Operational efficiency projects achieving EUR 

545 m savings 1 by end 2011 before wage drift 

and inflation 

Target 2012 

Group C/I ratio: ~68% 

Development of a continuous cost effort 

culture delivering additional savings of EUR 90 m 

in 2012-2013 1 before wage drift and inflation 

Target 2014 

Start of the industrialisation phase, as most 

players in the financial services industry, to 

improve costs, processes and quality of services 

(e.g. Crédit Mutuel-CIC partnership on CLFB) 

Group C/I ratio: < 65% 

163 

Note: (1) Impact before wage drift and inflation; Including savings part of the announcement of September 15 th 2010, subject to 

Workers Council advice; Other EUR 70 m announced on September 15 th 2010 scheduled to have an impact in 2011


Dexia 2014: A Retail Group 

with 10 million clients 

Closing remarks and Q&A 


CEO

Dexia Group Target 2014 

1 

2 

3 

4 

Ambition 2014 

A robust 

financial structure 

Rebalanced activities 

towards Retail 

A solid growth 

engine in Turkey 

A Group driven by 

operational excellence 

Target 2012 

Stable pre-tax income versus 2009: 

~EUR 1.4 bn 

Solid commercial dynamic: 

Commercial income 1 +4% p.a. (09-12) 

ST funding/Total balance sheet at/below 15% 

Strong solvency: Core Tier 1 at ~14% 2 

C/I ratio: < 65% 

Target 2014 

Pre-tax income: ~EUR 1.8 bn 

Investment or dividend payment capacity 

ST funding/Total balance sheet at 11% 

Core Tier 1 at ~15% 2 and 

Common equity ratio > 9% under Basle III 


ROE: > 8% (Stated) 

165 

Note: (1) Excluding non-commercial revenues 

(2) Under Basel II, assuming sale of Crediop and Sabadell at book value and dividend pay-out ratio: 30% p.a. from 2012 

(3) Normative ROE according to EC capital requirement

166


Between 1982 and 1992 he occupied various 

functions in the Ministry of Economy and Finance. In 

1993 he was appointed Director of the Cabinet of the 

Budget, Government spokesman and Minister of 

Communication. In 1995 he was appointed Managing 

Director of the Société française d’investissements 

immobiliers et de gestion, a real estate company in 

the Fimalac Group. In 1996, he was appointed 

Managing Director and member of the Management 

Board of Banque pour l’expansion industrielle 

(Banexi), the investment bank of BNP, of which he 

became Chairman of the Management Board in 1997. 

In 1999, he was appointed Head of International 

Retail Banking and, from 2003, Head of Financial 

Services and International Retail Banking of the BNP 

Paribas Group. He was appointed Deputy Managing 

Director in 2008 jointly responsible for Retail Banking 

activities and for the International Retail Services of 

BNP Paribas. 

167 

Pierre Mariani is a graduate in law, graduate of the 

Hautes études commerciales and the École nationale 

d’administration (ENA). He is CEO of Dexia since 

October 2008.


Philippe Rucheton worked 20 years for the Groupe 

Sociéte Générale (SG) and held various senior 

management position such as CFO of Newedge 

(2008), Vice Chairman of Komercni Banka (2002- 

2008) based in Prague, Head of ALM for Sociéte 

Générale from 1995-2002 and Deputy Managing 

Director of Europe Computer Systems (1988-1995). 

Philippe Rucheton is a graduate from Ecole 

Polytechnique, Institut Supérieur des Affaires (Jouy en 

Josas), Master of Business Law (Panthéon 

Sorbonne). 

He is Chief Financial Officer and Member of the 

Management Board of Dexia SA since December 

2008. 

168

Pascal Poupelle 

After ten years with the French Ministry of Defense 

and the Ministry of Transportation, Pascal Poupelle 

begins his banking career at Credit Lyonnais in 1988. 

In 1991, he becomes Global Head of Aviation Finance 

until 1994, when he moves to New York as Head of 

Capital Markets. In 1997, he becomes CEO of CL 

Securities (USA), Inc and assumes responsibility for 

all Corporate and Investment banking activities of 

Credit Lyonnais in the US. 

Back in Paris in 2001, he becomes Global Head of 

Institutional and Corporate clients and a member of 

Credit Lyonnais’ Management Committee. In 2004, he 

contributes to the creation of Calyon (Credit Agricole) 

and becomes Deputy General Manager in 2007. 

Born in Paris, Mr. Poupelle holds an engineering 

degree from Ecole Polytechnique in Paris (1976) and 

a diploma in aerospace engineering from Ecole 

Nationale de l'Aviation Civile in Toulouse (1978). 

He is Chief Executive Officer of Dexia Crédit Local 

and a member of the Management Board of Dexia 

SA. 

169


The first part of his career revolved around corporate 

banking and investment banking in Belgium. In 2001 

he was appointed chairman of the Management 

Board of Banque Artesia Nederland, and became a 

member of the Management Board of Dexia Bank 

Nederland in 2002. 

In 2003 he became member of the Management 

Board of Dexia Bank Belgium, in charge of Insurance 

and Development of International Retail activities, and 

from 2004 in charge of Public and Wholesale 

Banking. 

Stefaan Decraene is a graduate in applied economics 

from K.U. Leuven, specialising in international 

relations. 

Since January 2006, he is Chairman of the 

Management Board of Dexia Bank Belgium. In 2008 

he was appointed member of the Management Board 

of Dexia SA. 

170

Hakan Ates 

Born in 1959 in Ankara, Mr. Ateş graduated from 

Middle East Technical University, Faculty of Business 

Administration. He started his banking career in 1981 

as Internal Auditor at İşbank. Following various 

positions at different Interbank departments from 1985 

to 1994 he worked as Branch Manager at Elmadağ, 

Şişli, Bakırköy, İzmir and Main Branches. He 

established Interbank’s cash management system 

and was promoted in 1993 to Executive Vice 

President responsible for Central Operations. 

Mr. Ateş worked as Executive Vice President for 

Financial Affairs and Operations at Bank Ekspres 

between December 1994 and July 1996. He led the 

bank’s restructuring project with Bank of America. 

He established Garanti Bank Moscow in Russia and 

worked as CEO for one year starting from June 1996. 

He continues his duties as President & CEO at 

DenizBank, where he started in June 1997 as the 

Founder President. 

171

André Vanden Camp 

André Vanden Camp has occupied various positions 

in ministries before he became IT Director of the 

“Beurs van Brussel” (Nyse Euronext). In 1991 he 

joined CIK (later Euroclear Bank) as Organization and 

IT Director before being appointed General Director in 

1995. 

He started to work for BBL (ING) in 1999 as Director 

of the “Global Securities Services” programme. Later 

on he was appointed Director of the Organization and 

IT department. He became CIO (Chief Information 

Officer) of ING South West Europe in 2001 and COO 

(Chief Operating Officer) Wholesale Banking of ING 

Group in 2005. From January 1st 2005 until May 31st 

2008, he was Managing Director of ING Belgium. 

From the summer 2008 till November 2009, André 

Vanden Camp worked as an independent 

management, strategy and IT consultant. 

André Vanden Camp was appointed Chief Operating 

Officer (COO) and Member of the Executive 

Committee of Dexia Group on December 1st 2009. 

172

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