Itau Unibanco Holding S.a. · BMFBOVESPA:ITUB3
Itau Unibanco — Corporate Update (April 2020)
37 slides from Itau Unibanco's corporate update, Apr 6, 2020
Slide 1: Announcement to the Market: Webcast on COVID-19 update
Exhibit 99.1 ITAÚ UNIBANCO HOLDING S.A. CNPJ 60.872.504/0001-23 A Publicly-Held Company NIRE 35300010230 ANNOUNCEMENT TO THE MARKET Webcast: Update on our operations and initiatives related to the COVID-19 pandemic Itaú Unibanco Holding S.A. (“Company”) informs its stockholders and the general marke
Slide 2: Extraordinary Conference Call: Update on our operations and initiatives
Extraordinary Conference Call Update on our operations and initiatives 1 Corporativo | InternoExtraordinary Conference Call Update on our operations and initiatives 1 Corporativo | Interno
Slide 3: Agenda
Agenda Overview and key initiatives Candido Bracher, CEO Governance, risk and capital Milton Maluhy Filho, CFO and CRO Technology and operations André Sapoznik, Executive Vice-President, Operations & IT Retail Banking Marcio Schettini, General Director, Retail Wholesale Banking Caio Ibrahim David, G
Slide 4: Overview and key initiatives
Overview and key initiatives Candido Bracher, CEO 3 Corporativo | InternoOverview and key initiatives Candido Bracher, CEO 3 Corporativo | Interno
Slide 5: Overview
Itaú Unibanco Overview Our substantial investments over the years in people development and technology, both on back-office and client facing activities, made our operations more resilient to deal with crisis. Our robust governance and solid management of market, credit, liquidity, operational and c
Slide 6: Key initiatives
Itaú Unibanco Key initiatives We have defined 3 key initiatives to deal with the impacts of COVID-19 on our operations. Pillar Maintain Ensure the well-being Search for the best solutions normal operations of our workforce, clients to serve our clients under exceptional circumstances and service pro
Slide 7: Key initiatives: Search for the best solutions to serve our clients
Key initiatives Search for the best solutions to serve our clients Customer-oriented solutions, such as offering new products and services on digital channels. Collective initiatives Individual initiatives Acting together with government, New payment terms, extended grace period, regulators, and oth
Slide 8: Key initiatives: Maintain normal operations under exceptional circumstances
Key initiatives Maintain normal operations under exceptional circumstances Ensuring operational capabilities of branches, call center and administrative areas. Infrastructure Reduced in-branch personnel Capable of supporting our operations in a In order to reduce movement of people and remote enviro
Slide 9: Key initiatives: Ensure the well-being of our workforce
Key initiatives Ensure the well-being of our workforce Prevent the spread of COVID-19 and preserve the physical, mental and financial health of our employees. Early Payment of the 13th salary* Remote work To help our employees, in April 2020. ~40 thousand employees working from home. Serving and gui
Slide 10: We want to be part of the solution
Itaú Unibanco We want to be part of the solution Donations totaling approximately R$250 million. Donations in a joint initiative with Itaú Unibanco donations Bradesco and Santander Through Fundação Itaú para Educação e Cultura and Instituto Unibanco for: 5 million coronavirus fast detection tests. H
Slide 11: Governance, risk management and capital
Governance, risk management and capital Milton Maluhy Filho, CFO and CRO 10 Corporativo | InternoGovernance, risk management and capital Milton Maluhy Filho, CFO and CRO 10 Corporativo | Interno
Slide 12: Risk management
Itaú Unibanco Risk management Consolidated and tested policies, processes and systems. Our structure to Risk appetite manage risks 5 dimensions guide our decision making for many years, defining the level of the st risks acceptable to our organization. 1 line of defense Business Areas. nd 2 line of
Slide 13: Governance
Itaú Unibanco Governance Responsible for monitoring the crisis and its impacts, deliberations and institutional positioning. Executive Committee agenda Check Point of Executive Committee + 7 Institutional Crisis Management Committee and Check Point of Risks Febraban and Retail War Rooms and Wholesal
Slide 14: Risks and liquidity management
Itaú Unibanco Risks and liquidity management Measures that increased the System's liquidity at Itaú Unibanco Liquidity Regulatory changes implemented and respective impacts on the Financial System (in R$ billions) ▪ Cash and liquidity on adequate levels at this critical moment. ▪ Short and long-term
Slide 15: Operational risk and information security
Itaú Unibanco Operational risk and information security Even remotely, we maintained our corporate security standards. Secure remote environment Focus on monitoring operation risks Equipment and systems with the same corporate security level. Operational risks teams fully dedicated to manage our ope
Slide 16: Credit risk
Itaú Unibanco Credit risk Real-time monitoring Expected loss provisioning model Adopted since 2010 and reflects in our balance Of our client’s behaviour patterns and sheet the possibility of loss since the origination their credit quality. of the credit and updated according to changes in the macroe
Slide 17: Technology and operations
Technology and operations André Sapoznik, Executive Vice-President, Operations & IT 16 Corporativo | InternoTechnology and operations André Sapoznik, Executive Vice-President, Operations & IT 16 Corporativo | Interno
Slide 18: Enabling remote work for most employees
Itaú Unibanco Enabling remote work for most employees All areas quickly adapted to this working model. Remote work Accesses via VPN (in thousands) We enabled remote work for all 35.7 Capacity for 90 thousand Central Administration teams Accesses per day. 0,4 That rely upon corporate systems. 15-Mar
Slide 19: Ensuring the well-being of our employees and service providers
Itaú Unibanco Ensuring the well-being of our employees and service providers Significant reduction in the circulation of people and adoption of measures to ensure a safe environment. All employees over 60 years old, pregnant or at-risk group were exempted from face-to-face work. Central administrati
Slide 20: Availability of digital channels for clients remains high
Itaú Unibanco Availability of digital channels for clients remains high Clients had fewer problems, despite the growing trend in the use of digital channels. Reduced time-to-market of new Digital channels solutions 12.9 New features to enable customers to fulfill 11.5 their needs remotely. Higher ac
Slide 21: Retail Banking
Retail Banking Marcio Schettini, General Director, Retail 20 Corporativo | InternoRetail Banking Marcio Schettini, General Director, Retail 20 Corporativo | Interno
Slide 22: New dynamics in branches and platforms
Itaú Unibanco New dynamics in branches and platforms More service and less business. Brick-and- Opening hours Service mortar 9 am to 10 am 10 am to 2 pm Maximum of Weekly rotation Branches for retirees and for the general with half of the 10 clients INSS pensioners public employees in loco at a time
Slide 23: Our clients have carried out more transactions through digital channels
Itaú Unibanco Our clients have carried out more transactions through digital channels The current crisis has increased the use of basic services through digital channels. March 2020 49% clients Wide range ~ 97% using WhatsApp of services and products. of transfers for questions about current account
Slide 24: Intense communication with clients in times of uncertainty
Itaú Unibanco Intense communication with clients in times of uncertainty Inform Serve Support Reassure Up-to-date information about Up-to-date information about Products and services suitable for Comfort the client by our service our digital channels services the current moment building a positive a
Slide 25: Initiatives to help and support individuals and companies
Itaú Unibanco Initiatives to help and support individuals and companies products services help for individuals for companies Credit Credit Renegotiation of non-overdue contracts Grace period and renegotiation More than 300 thousand contracts for individuals and companies were already renegotiated. ▪
Slide 26: Wholesale Banking
Wholesale Banking Caio Ibrahim David, General Director, Wholesale 25 Corporativo | InternoWholesale Banking Caio Ibrahim David, General Director, Wholesale 25 Corporativo | Interno
Slide 27: Credit and liquidity to support our clients
Itaú Unibanco Credit and liquidity to support our clients Itaú BBA Credit and liquidity initiatives Credit Concentration Corporate clients Diversified loan portfolio with low concentration. ~4X increase in credit origination, distributed in several economy sectors (vehicle manufacturers, clothing, p
Slide 28: Treasury, Wealth Management Services and Investment Banking
Itaú Unibanco Treasury, Wealth Management Services and Investment Banking Treasury Wealth Management Services In this moment of intense volatility, our operations are Migration of equity to fixed guided by well-defined policies and risk systems. income assets. Itaú Asset Management Performance Stock
Slide 29: Close communication with clients
Itaú Unibanco Close communication with clients Contents are benefiting private and institutional clients and the society in general. Daily lives on social media Launch of the “Vision of leaders“ series With experts from the bank, Itaú Asset, third Daily lives with the leaders of the parties (FoF) an
Slide 30: Latin America
Itaú Unibanco Latin America Liquidity and capitalization levels compatible with each country needs. Different levels of complexity Paraguay ▪ Total quarantine, with fine. Colombia ▪ Total quarantine, with fine. Uruguay ▪ Only essential services work. ▪ Partial quarantine, with measures for risk grou
Slide 31: Macroeconomic Scenario
Macroeconomic Scenario Mário Mesquita, Director, Macroeconomy & Research 30 Corporativo | InternoMacroeconomic Scenario Mário Mesquita, Director, Macroeconomy & Research 30 Corporativo | Interno
Slide 32: Advance of the pandemic
Itaú Unibanco Advance of the pandemic Number of deaths by new coronavirus 6000 5000 Spain 4000 Italy 3000 USA France 2000 United Kingdom Hubei 1000 Brazil Germany Korea, South 0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 31 Corporativo | Interno Total deathsItaú Unibanco Adv
Slide 33: Activity indicator
Itaú Unibanco Activity indicator th Brazil still uncertain, but we expect a gradual recovery of the economy from April 20 . Daily activity in Brazil 110 120 105 100 110 GDP drops 8.5% 95 100 in 1H20 90 90 85 80 80 75 70 70 60 65 50 60 55 40 50 30 45 20 40 13-Mar 20-Mar 27-Mar 3-Apr 10-Apr 17-Apr 24-
Slide 34: 2020 GDP depends on the duration of the lockdown and recovery from 3Q
Itaú Unibanco 2020 GDP depends on the duration of the lockdown and recovery from 3Q Lockdown 3Q % recovery GDP END 1H20 25% 50% 75% 100% 04/14 -7.5% -4.3% -3.0% -1.7% -0.5% 04/21 -8.5% -4.6% -3.3% -2.0% -0.8% 04/28 -9.5% -5.0% -3.7% -2.4% -1.2% 05/05 -10.5% -5.3% -4.0% -2.7% -1.5% 05/12 -11.5% -5.7%
Slide 35: Final remarks
Final remarks Candido Bracher, CEO 34 Corporativo | InternoFinal remarks Candido Bracher, CEO 34 Corporativo | Interno
Slide 36: Final Remarks
Itaú Unibanco Final Remarks Our substantial investments over the years in people development and technology, both on back-office and client facing activities, made our operations more resilient to deal with crisis.. Our robust governance and solid management of market, credit, liquidity, operational
Slide 37: Thank you
Thank you_ 36 Corporativo | InternoThank you_ 36 Corporativo | Interno
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