2012 Registration document and annual financial report - BNP Paribas

32012REVIEW OF OPERATIONSCore business resultsEUROPE-MEDITERRANEANIn millions of euros 2012 2011 2012/2011Revenues 1,796 1,639 +9.6%Operating Expenses and Dep. (1,319) (1,277) +3.3%Gross Operating Income 477 362 +31.8%Cost of Risk (290) (268) +8.2%Operating Income 187 94 +98.9%Associated Companies 65 50 +30.0%Other Non Operating Items 2 20 -90.0%3Pre-Tax Income 254 164 +54.9%Cost/Income 73.4% 77.9% -4.5 ptAllocated Equity (€bn) 3.5 3.3 +5.9%For the whole of 2012, Europe-Mediterranean enjoyed a verystrong sales and marketing drive. Deposits rose by 12.8%compared to 2011 and were growing in most countries, especiallyin Turkey (+34.3% (1) ). Loans grew by 3.5% (1) with good performancesin Turkey (+17.1% (1) ) and a continued decline in Ukraine (-29.0% (1) ).Revenues rose 7.0% (1) to EUR 1,796 million, due in part to a fastpacedgrowth in Turkey (+35% (1) ) and declined in Ukraine in line withoutstandings. Excluding Ukraine, revenues grew 14.8% (1) .Operating expenses were up 2.1% (1) compared to 2011 due, in particular,to the bolstering of the commercial set up in the Mediterranean duringthe year with the opening of 30 branches, in particular in Morocco. InTurkey, TEB significantly improved its cost/income ratio which was down18 points in 2012, at 64.6% (1) , thanks to the streamlining of the networkcarried out in 2011.The cost of risk, which was EUR 290 million, or 117 basis points ofoutstanding customer loans, was up slightly compared to 2011. Europe-Mediterranean thus posted EUR 254 million in pre-tax income, up sharplycompared to 2011 (+52.7% (1) ).BANCWESTIn millions of euros 2012 2011 2012/2011Revenues 2,403 2,230 +7.8%Operating Expenses and Dep. (1,401) (1,241) +12.9%Gross Operating Income 1,002 989 +1.3%Cost of Risk (145) (256) -43.4%Operating Income 857 733 +16.9%Associated Companies 0 0 n.s.Other Non Operating Items 2 1 +100.0%Pre-Tax Income 859 734 +17.0%Cost/Income 58.3% 55.7% +2.6 ptAllocated Equity (€bn) 4.1 3.8 +8.8%(1) At constant scope and exchange rates.822012 Registration document and annual financial report - BNP PARIBAS