OREANDA-NEWS.    Groupe BPCE: strong 1st half of 2014 with net income attributable to equity holders of the parent of €1.7 billion (1), up 10.4% compared with the same period in 2013.
Robust commercial performance by the core business lines

Banque Populaire and Caisse d’Epargne networks
9.6% year-on-year growth in on-balance sheet savings[2]  and good performance in life insurance
5.6% year-on-year growth in loan outstandings
Core business lines of Natixis
Wholesale Banking: 8.3% rise in H1-2014 revenues
Investment Solutions: record-breaking net inflows of €17 billion in asset management and 15.9% revenue increase in H1-2014
Specialized Financial Services: 1.7% growth in revenues in the first six months of 2014, in line with the performance of the Commercial Banking & Insurance division
Robust, recurring results

Core business revenues of €5.5 billion in Q2-2014, up 2.9% vs. Q2-2013 and €11 billion in H1-2014, up 3.2% vs. H1-2013
Moderate cost of risk: 33 basis points in Q2-2014, down 3 basis points vs. Q2-2013
Net income attributable to equity holders of the parent[1] of €828 million in Q2-2014, up 5.0% vs. Q2-2013, and of €1.7 billion in H1-2014, up 10.4% vs. H1-2013
Continued strengthening of capital adequacy in Q2-2014

Common Equity Tier-1 ratio[3] : 11.1%, i.e. +20 basis points compared with 31/03/2014
Total capital adequacy ratio[3];[4] : 14.5%, i.e. +70 basis points compared with 31/03/2014
Leverage ratio[5]  > 4%
Enhanced liquidity situation

2014 MLT funding plan already complete
Short-term liquidity LCR ratio > 100%[6]  as at June 30, 2014
Initial results of the implementation of the new strategic plan (2014 – 2017)

2014-2017 strategic plan: “Growing differently”

Revenue and cost synergies
Rollot of measures as at June 30, 2014 overall ahead of the linearized 2017 target: €127 million in addition revenues between the Banque Populaire banks, the Caisses d’Epargne and Natixis (target: €870 million); €110 million in cost synergies (target: €900 million)
Insurance
Agreement between CNP Assurance and Groupe BPCE on the implementation of a partnership renewed for a period of 7 years, as of January 1, 2016
Savings
Annual growth in private banking assets under management: +6.1%, in line with the goals expressed in the strategic plan
Digital
Pursuit of the digital enterprise program. Launch of Dilizy and Izly to facilitate local retail payments
Other highlights of the quarter

Closure of GAPC
Disposal of non-strategic assets
Listing of almost 59% of the capital of Coface at end-June 2014, with no impact on income
Merger between two Banque Populaire banks
Plan to merge the Banque Populaire Alsace and the Banque Populaire Lorraine Champagne approved by their respective governing bodies; completion planned for November 2014
 

The Q2-13 and H1-13 results are presented pro forma to account for the transfer of BPCE Assurances to Natixis and the Q1-13 comparison base is presented pro forma of the buyback (and subsequent cancellation) by the Banque Populaire banks and Caisses d’Epargne of the Cooperative Investment Certificates (CICs) held by Natixis.