Experience on how the Crédit Coopératif became an Intermediary of CIP Program?

1. Experience on how the Crédit Coopératif became an Intermediary of CIP Program? And launched a new financial financial product. CIP Workshop, Zagreb, 3 March 2010 Crédit Coopératif, Financial Operations Priscilla Carpenter

2. Table of content Presentation Crédit Coopératif The Enterprises / SME Sector Experience of Crédit Coopératif in the CIP Program

3. Crédit Coopératif : A national cooperative bank • Created in the 19th century by co- operators who wanted a better access to credit • A cooperative bank : the capital shares are hold by member-clients of the bank. These same member- clients compose the Board of the Bank, they are the elected representatives • Crédit Coopératif is strongly attached to the co-operative values of a cooperative bank : one member- one vote principle, statutory reserves, and the cooperative rebate

4. French cooperative banks: some statistics 108Cooperative Banks 23 600 Branch offices 306 000 Employees 19,2 millions Members 2 700 milliards € Total Assets ≈ 60% Market share (deposits) ≈ 50% Market share (loans)

5. The French co-operative banking groups Banque Populaire 18 Regional Popular Banks Crédit Coopératif Crédit Agricole Banque Fédérale des Banques Populaires Caisses d’Epargne Crédit Mutuel

6. 20% Caisses d’Epargne Caisses ’Epargne 20% Banques Populaires Crédit Coopératif Caisse Nationale des Caisses d’Epargne Banque Fédérale des Banques Populaires 34% 34% CCI CCI 32% Other investors The Group Banque Populaire and Natixis In 2002, Crédit Coopératif joigned the Group Banque Populaire’ and became one of the parent companies, holding 2% of the Banque Fédérale des Banques Populaires Natixis, the common subsidiary of the Group Banque Populaire and Caisse d’Epargne, created in November 2006, brings in for the two groups, specialised investment banking services and competitive refinancing conditions. (Rating 31/07/09 S&P LT : A+ / Rating S&P ST : A-1).

7. Group BPCE • Today Crédit Coopératif is one of the parent companies (and not a subsidiary) of BPCE, and holds 1% of the capital of its central body. • A protocol was signed and BPCE recognises the specific status hold by Crédit Coopératif within the organisation: • This protocol states that Crédit Coopératif maintains within the Group its name, brand and identity as well as its specificity especially with regards with its customers, managerial autonomy and independence of action in dedicated sectors. 7

8. 105 Branches 1 905 Employees 29 814Members 298 900Clients Total Balance Sheet 11,7 Bln€ Equity Capital 1,15 Bln€ Net banking income 375 Mn€ Net income22 Mn€ Crédit Coopératif some information • (figures on 31/12/08) : • Des clientèles d’élection:cooperatives and grouped enterprises, general Interest organisations, individuals, solidarity finance • A multi- spécialiste banking group :banking services, financing, asset management (Ecofi Investissements), financial engineering … • A cooperative bank with a specific mandate within the Group « the bank of social and solidarity economy”.

9. Our Membership as of 31/12/2008

10. Un national network : 105 branches 2 networks : Crédit Coopératif & BTP Banque

11. Our clients : Non Profit / General Interest Organisations • Associations • Health and Social Sector (associations for disabled persons, retired housings, home services, non for profit private clinics, social integration through economic activity), Education and Training, Religious organisms, Sport, International Solidarity, Environment, Leisure and Social Tourism • Trade Unions and Work Committees • Mutual Insurance Companies • Cultural Enterprises • Housing and local development • Local Authorities • Regulatory Organisations of tutored persons

12. Our clients : Enterprises, cooperatives and business groupings • SME / SMIs and their groupings Workers' co-operatives, SMIs members of financial co-operatives, • Transport enterprises and their associations • Distribution Retailers and their co-operatives, purchasing groups, consumers co-operatives, car distributors • Craftsmen and their co-operatives • Food industries • The maritime sector and fishermen’s cooperatives • Building trade professionals

13. Our clients : Private Individuals • Individuals clients related to Crédit Coopératif members (enterprises and associations) • Tutored persons • Ethical and solidarity-based oriented clients

14. Summary balance sheet(in bln Euro)

15. Profit and Loss Account(in mln euro)

16. Table of content Presentation Crédit Coopératif The Enterprises / SME Sector Experience of Crédit Coopératif in the CIP Program

17. Crédit Cooperatif : a bank for SME - SMIs 32 000 SME customers 100 branches, with specialised affiliated companies, and associated financial organisation

18. A distinct and systematic approach Grouping / Professional Federation Partnership Crédit Coopératif Entreprise GROUPE BANQUE POPULAIRE

19. Credit InvestmentsDisbursements in Mln € ( as of 2008)

20. Crédit Coopératif increasingly involvedin the environment sector • Financing eco-activities • Wind farms and photovoltaic plants, hydroelectricity, recycling – waste management • Partnerships with SMEs to help in their sustainable development actions : quantify carbon emissions • Environmental Associations • Networks managing natural conservation parks, partnership with associations (WWF, Fondation Energie pour le Monde) for solidarity based products • Eco-housing : diagnosis • Development of products to finance the environment sector • Deposit account CODEVair , loans PREVair to finance individuals , SMEs and Associations • Co- financing and equity : with partners such as TRIODOS, DEMETER II

21. Table of content Presentation Crédit Coopératif The Enterprises / SME Sector Experience of Crédit Coopératif in the CIP Program

22. Why apply to CIP ? After analysis of the medium/long-term loans offer made to our business customers in the field of environnement. • No specific offer/ no visibility • The need for a commercial offer oriented for SMEs active in environment in order to help them to achieve European objectives and French environmental targets • A growing market in this field • Actual loan amounts limited • Total “Prevair” loan amounts limited to the collection of “Codevair” deposit. With a max of 500 K € / loan. • The eligible field of activity in environment of the SME financed limited • Expected acceleration of the development of the product with the CIP guarantee facility • Support of the European Commission • Competitiveness on the market

23. Process for application • Information on : • Our proposed strategic commercial plan to help eco- innovating SMEs to have access to finance • Our position in the market with regards to this product development • A historical analysis of a comparable SME lending program to determine risk profile, guarantee cap • annual number of loans granted and annual outstanding • defaulting loans and losses incurred • Involve & coordinate different departments in-house (Director SME sector + Financial Operations + Risk Department) • a one year process between first meeting with the EIF for discussion on the CIP Program and signature

24. Additionality brought to the SME • A margin reduced by 0,30% p.a. as against the margin which would have applied according to the standard pricing policy • No personal guarantee required • Investments financed up to 100% with a max amount of 3M€ min 3 years maturity • Loans are to finance investments for a wider range of operations classified in 3 categories • SME active in renewable energy : wind farms, photovoltaic plants • Eco- actors, investment by an SME active in protecting environment : water management, recycling…. • Eco- friendly SME, investment by an SME in an eco- friendly equipment : energy saving equipment..

25. Some questions arise ? • SME definition and figures in accordance to the Commission recommendations (fewer than 250 employees, annual turnover not exceeding 50 M €, and/or annual balance sheet total not exceeding 43 M€) • Difficulties to determine the figures when the SME is not independent, if for example if 50% of the capital is hold by another SME • De minimis regulation (State Aid Rule) : • The final beneficiaries, the SME, has the obligation not raise the total amount of de state aid above 200K€ • difficulties for the SME to list the grants to be accounted for a state aid

26. Beyond additionality • From a wide range of products to a single product clearly indentified (Prevair Entreprises) • Identification and classification of a specific SME sector • An incentive to define a new line of financial products for the market in development • Develop a wider range of financial products and services : “ Croissance Verte” or “Green Development” for SMEs active in environment / energy saving • with a large commercial campaign to come • offer more products and services adapted

27. Beyond additionality • Immediate effect : since the signature the CIP Program in December 2009 • 6 M€ of commercial offers was made by our network to the clients ( to be compared to the previous product Prevair for which we could account for a productivity of 30 M €/ year) • A virtuous partnership with the European Commission/EIF • 1st signature between EIF and a French bank for an eco- innovation CIP Program • Impact on the commercial promotion of the product • Reinforce partnership with the national environment agency (ADEME) and groupings ( FEDEREC) • Reinforce position within the BPCE Group

28. Questions Thank you for your attention