Bff Bank Spa · MIL:BFF
Bff Bank Spa — Investor Presentation (November 2024)
23 slides from Bff Bank Spa's investor presentation, November 2024
Slide 1: Off-Season Engagement with shareholders
Off-Season Engagement with shareholders Follow up to AGM’24, getting ready to AGM25 November 2024 bff.com
Slide 2: Agenda
Agenda Our commitment to shareholders Page 3 Governance update Page 4 – 8 New Governance and Board of Directors appointed in 2024 5 Board Committees 7 Regulatory and business updates Page 9 – 12 Short recap of Bank of Italy compliance findings …fully addressed by BFF 10 2026 Economic and financial o
Slide 3: BFF constantly engages in a transparent dialogue with shareholders
BFF constantly engages in a transparent dialogue with shareholders In continuity with the previous years, BFF is conducting an extensive off-season engagement with shareholders to receive feedbacks on the current remuneration framework and to illustrate the preliminary directions of change of next y
Slide 4: Governance updates
Governance updates bff.com bff.com
Slide 5: Governance update since last AGM (April 18th, 2024)
Governance update since last AGM (April 18th, 2024) strengthening of our Governance framework AGM on April 18th appointed the new Board of Directors for the financial years 2024-2026. New independent Chair and Vice-Chair 56% renewal rate Board Composition 78% overall independence increase from 67% 2
Slide 6: A new strengthened Board of directors' composition
A new strengthened Board of directors' composition ROLES AND COMPOSITION Risk and Related Year of First Independent Minority control Appointment Remuneration party Board Name / Roles birth Nationality appointment Director * List committee committee committee committee KPIs NEW Ranieri De Marchis 56%
Slide 7: Strong independence and diversity of key committees (1/2)
Strong independence and diversity of key committees (1/2) Remuneration Committee Chairman from minority list Key responsibilities: NEW NEW Guido Cutillo Mimi Kung Authority to advise and recommend in the matter of Chair, Independent, Member, Independent remuneration of Material Risk Taker Minority r
Slide 8: Strong independence and diversity of key committees (2/2)
Strong independence and diversity of key committees (2/2) Risk and Control Committee NEW Key responsibilities: NEW ROLE Domenico Gammaldi Alexia Ackermann Supporting role towards the Board of Directors in the Chair, Independent Member, Independent matter of risks and Internal Control System Piotr St
Slide 9: Regulatory and business updates
Regulatory and business updates bff.com bff.com
Slide 10: Short recap of Bank of Italy compliance findings…
Short recap of Bank of Italy compliance findings… 29-Apr-24 11-Jul-24 BFF received the results of Bank of Italy inspection, providing The Board of Directors approved the an interpretation of the new Definition of Default criteria(1) submission to Bank of Italy of the Bank’s different from that adopt
Slide 11: BFF filed its response to Bank of Italy findings on credit reclassification, governance and remuneration
BFF filed its response to Bank of Italy findings on credit reclassification, governance and remuneration Credit reclassification Governance Remuneration Applied reclassification for Governance matters Measures undertaken to prudential purposes to the addressed by BFF by means remove the compliance l
Slide 12: Economic and financial outlook remains substantially unchanged, confirmed 2026 financial targets
Economic and financial outlook remains substantially unchanged, confirmed 2026 financial targets 2023 2026 Business Plan targets Adjusted Net Profit(1) (€m) 183.2 255 – 265 EPS (€ per share) 0.98 1.37 – 1.43(2) Cumulated dividends (FY23-26) (€m) 183.2 >720 >50% (ex. accrual rate step-up) RoTE(3) (%)
Slide 13: New remuneration framework: pipeline and initial hypothesis
New remuneration framework: pipeline and initial hypothesis bff.com bff.com
Slide 14: Remuneration policy – improvements in the pipeline
Remuneration policy – improvements in the pipeline Key recent implementations in BFF’s remuneration framework and improvements planned for 2025. 2023 AGM 2024 AGM 2025 AGM ✓ Multiple ESG KPIs into CEO’s STI scorecard. ✓ Introduction of the Shareholder Guidelines for the ✓ Expt. launch of new 2025 Lo
Slide 15: Remuneration framework 2025, STI
Remuneration framework 2025, STI Approved 2024 STI plan and feedback for 2025 Current STI 2024 Gate criteria 2025 BFF main orientation 2025 Engagement feedback KPIs Minimum Requirements Liquidity Coverage Ratio (LCR) ≥ risk tolerance (as per RAF) Guarantee Pay For Performance Our main objective is t
Slide 16: Remuneration framework 2025, New LTI
Remuneration framework 2025, New LTI 2022 – 2024 LTI plan and objectives for the 2025 LTI Current LTI 2022 – 2024, Stock option (Cash & Equity settled) based 2025 BFF main orientation 2025 Engagement feedback Type KPIs Weight Minimum Target Maximum Financial EBTDA RA 50% 90% Target Target 2025 110%
Slide 17: Remuneration framework 2025, Employee Stock Ownership Plan
Remuneration framework 2025, Employee Stock Ownership Plan To celebrate BFF’s 40th anniversary, the bank is considering to structure a share 2025 BFF main orientation 2025 Engagement feedback ownership plan for all categories of staff The plan will include the possibility of Ongoing investment in th
Slide 18: Annex
2 BFF > BFF abanktie no ater a bank like no other” Annex bff.com
Slide 19: Full commitment on ESG strategy: “E”
Full commitment on ESG strategy: “E” Ever more a BFF like no other Plan The Plan "Ever more a bank like no other," unveiled in June 2023, among other things confirms this commitment, declaring equally challenging goals for the Plan's time horizon. bff.com 19
Slide 20: Full commitment on ESG strategy: “S”
Full commitment on ESG strategy: “S” Ever more a BFF like no other Plan The Plan "Ever more a bank like no other," unveiled in June 2023, among other things confirms this commitment, declaring equally challenging goals for the Plan's time horizon. Issued €600m od social bond. bff.com 20
Slide 21: Full commitment on ESG strategy: “G”
Full commitment on ESG strategy: “G” Ever more a BFF like no other Plan The Plan "Ever more a bank like no other," unveiled in June 2023, among other things confirms this commitment, declaring equally challenging goals for the Plan's time horizon. Sustainability and Environmental Policy for the enti
Slide 22: Update on double materiality
Update on double materiality Material topics 2023 for BFF Bank In 2022, on a voluntary basis, the Group had carried out a preliminary financial materiality determination exercise, in advance of the application of the ‘double materiality’ provided for by the CSRD . In 2023, in response to changes in
Slide 23: Head Office
Head Office Via Domenichino 5, Milan 20149 info@bff.com bff.com