2012 Registration document and annual financial report - BNP Paribas

INFORMATION ON THE PARENT COMPANY FINANCIAL STATEMENTSNotes to the parent company financial statements66.6 Statutory A uditors’ report on the financialstatementsDeloitte & Associés185, avenue Charles de Gaulle92524 Neuilly-sur-Seine CedexFor the year ended 31 December 2012PricewaterhouseCoopers Audit63, rue de Villiers92208 Neuilly-sur-Seine CedexMazars61, rue Henri Regnault92400 CourbevoieThis is a free translation into English of the Statutory Auditors’ report issued in French and is provided solely for the convenience of English speakingreaders. The Statutory Auditors’ report includes information specifically required by French law in such reports, whether modified or not. This informationis presented below the opinion on the financial statements and includes an explanatory paragraph discussing the Auditors’ assessments of certainsignificant accounting and auditing matters. These assessments were considered for the purpose of issuing an audit opinion on the financial statementstaken as a whole and not to provide separate assurance on individual account captions or on information taken outside of the financial statements.This report should be read in conjunction with, and construed in accordance with, French law and professional auditing standards applicable in France.BNP Paribas16, boulevard des Italiens75009 ParisTo the Shareholders,In compliance with the assignment entrusted to us by your General Shareholders’ Meeting, we hereby report to you, for the year ended 31 December2012, on:■ the audit of the accompanying financial statements of BNP Paribas;■ the justification of our assessments;■ the specific verifications and information required by law.These financial statements have been approved by the Board of Directors. Our role is to express an opinion on these financial statements based onour audit.6I – Opinion on the financial statementsWe conducted our audit in accordance with professional standards applicable in France. Those standards require that we plan and perform the auditto obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit involves performing procedures,using sampling techniques or other methods of selection, to obtain audit evidence about the amounts and disclosures in the financial statements. Anaudit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made, as well as theoverall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our audit opinion.In our opinion, the financial statements give a true and fair view of the assets and liabilities and of the financial position of the Company at 31 December2012 and of the results of its operations for the year then ended in accordance with French accounting principles.II – Justification of our assessmentsIn accordance with the requirements of article L.823-9 of the French Commercial Code (Code de commerce) relating to the justification of our assessments,we bring to your attention the following matters:Impairment provisions for credit and counterparty riskBNP Paribas records impairment provisions to cover the credit and counterparty risk inherent to its business as described in notes 1, 3.d, 4.a, 4.b, 4.c,and 4.e to the financial statements. We examined the control procedures applicable to identifying risk exposure, monitoring credit and counterpartyrisk, defining impairment testing methods and determining individual and portfolio-based impairment losses.Measurement of financial instrumentsBNP Paribas uses internal models and methodologies to value its positions on financial instruments which are not traded on active markets, as well asto determine certain provisions and assess whether hedging designations are appropriate. We examined the control procedures applicable to identifyinginactive markets, verifying these models and determining the inputs used.2012 Registration document and annual financial report - BNP PARIBAS 373