Dexia Holding SA · EURONEXT:DEXB
Dexia Holding SA — Q3 2008 Earnings Presentation
30 slides from Dexia Holding SA's earnings presentation, Nov 14, 2008
Slide 1: 3Q 2008 Results - Appendices
short term has no future 3Q 2008 Results - Appendices November 14, 2008
Slide 2: Disclaimer
Disclaimer This presentation and the information contained therein are provided for information purposes only and may not be complete. It does not constitute an offer to sell or the solicitation to buy any securities issued by Dexia or any entity of the Dexia Group. This presentation may include fut
Slide 3: Agenda
Agenda 3Q 2008 Results Focus on FSA Bond Portfolio Update Appendices 3
Slide 4: Reported Results
Reported Results (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 1,452 315 - 78.3% 5,201 3,805 - 26.8% Expenses - 967 - 1,055 + 9.1% - 2,830 - 2,942 + 4.0% Gross operating income 485 - 740 n.s. 2,371 863 - 63.6% Cost of risk - 47 - 1,078 X 22.9 - 100 - 1,854 x 18.5 Impairments on
Slide 5: Financial Crisis Impact on 3Q 2008 (1)
Financial Crisis Impact on 3Q 2008 (1) Cost of Net Revenues PWB PFS AM TFM CA risk income FSA - 381 - 256 - 460 Ö - 460 - - - - Own credit risk 178 115 MTM of insured CDS -276 - 178 Non-economic FP impairments - 144 - 93 Economic FP impairments - 139 - 139 Losses on insured portfolio - 256 - 165 Los
Slide 6: Financial Crisis Impact on 3Q 2008 (2)
Financial Crisis Impact on 3Q 2008 (2) Cost of Net Revenues PWB PFS AM TFM CA risk income KA, DKB and DBS related losses - 177 - 115 - 267 Ö - 174 - 47 - - 47 - KA & DKB related transaction - 109 - 105 Losses on KA’s exposures on defaulting banks - 68 - 68 Clients related forex losses - 103 - 82 Oth
Slide 7: Shareholders' Equity and Solvency
Shareholders’ Equity and Solvency Variation 31/03/08 30/06/08 30/09/08 in 3 months Tier 1 ratio * 11.2 % 11.4 % 14.5% - Tier 1 capital * (m EUR) 13,483 13,843 18,741 + 35.4% Total weighted risks * (m EUR) 120,113 121,670 129,400 + 6.4% Core shareholders’ equity (m EUR) 16,188 15,639 20,089 + 28.5% T
Slide 8: Public and Wholesale Banking: Results
Public and Wholesale Banking: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 486 268 - 45.0% 1,835 1,564 - 14.7% Expenses - 238 - 263 + 10.4% - 696 - 724 + 4.0% Gross operating income 248 5 - 98.1% 1,139 841 - 26.2% Cost of risk - 19 - 549 x 28.6 - 45 - 1
Slide 9: Public and Wholesale Banking: Results, excluding FSA
Public and Wholesale Banking: Results, excluding FSA Reported figures PWB excluding FSA (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 575 485 - 15.6% 1,702 1,899 + 11.6% Expenses - 206 - 231 + 12.3% - 596 - 658 + 10.4% Gross operating income 369 254 - 31.1% 1,106 1,241 + 12.2% C
Slide 10: Personal Financial Services: Results
Personal Financial Services: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 695 518 - 25.6% 2,103 1,960 - 6.8% Expenses - 476 - 537 + 12.8% - 1,391 - 1,499 + 7.8% Gross operating income 220 - 19 n.s. 712 461 - 35.2% Cost of risk - 19 - 159 x 8.6 - 47 - 20
Slide 11: Asset Management: Results
Asset Management: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 68 35 - 48.7% 211 159 - 24.7% Expenses - 39 - 33 - 15.6% - 114 - 107 - 5.7% Gross operating income 30 2 - 92.1% 97 51 - 46.9% Cost of risk 0 0 n.s. 0 0 n.s. Tax expense -2 2 n.s. -6 -3 n.s.
Slide 12: Investor Services: Results
Investor Services: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 103 101 - 1.4% 314 320 + 2.1% Expenses - 74 - 76 + 3.4% - 209 - 223 + 6.8% Gross operating income 29 25 - 13.5% 106 98 - 7.3% Cost of risk 1 0 0 0 n.s. Tax expense -9 -7 n.s - 26 - 28 n.s.
Slide 13: Treasury and Financial Markets: Activity
Treasury and Financial Markets: Activity bn EUR Credit Spread Portfolio 84.9 + 2.3 - 3.6 New Repayments - 11.1 72.5 72.8 investments & sales 72.1 + 1.8 - 1.5 0 - 0.9 Transfer to New Repayments New Repayments Including 10.6 hedged PPFCE investments & sales investments & sales exposure 61.9 62.1 61.5
Slide 14: Treasury & Financial Markets: Results
Treasury & Financial Markets: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Income 25 - 606 n.s. 436 - 222 n.s. Expenses - 57 - 66 + 15.6% - 163 - 180 + 10.7% Gross operating income - 33 - 672 n.s. 273 - 402 n.s. Cost of risk 0 - 353 n.s. 0 - 353 Tax expense 11
Slide 15: Treasury and Financial Markets: Results by Activity Line
Treasury and Financial Markets: Results by Activity Line Reported figures Market Engineering Treasury Fixed Income (m EUR) and Trading 3Q 2007 3Q 2008 3Q 2007 3Q 2008 3Q 2007 3Q 2008 Income 27 118 - 22 - 777 20 52 Expenses - 19 - 24 - 18 - 23 - 20 - 19 Gross operating income 8 94 - 40 - 799 0 33 Cos
Slide 16: Contribution of Central Assets
Contribution of Central Assets Reported figures (m EUR) 3Q 2007 3Q 2008 9M 2007 9M 2008 Income 74 0 334 23 Expenses - 86 - 81 - 261 - 209 Gross operating income - 11 - 82 73 - 186 Cost of risk -8 - 17 -4 - 87 Tax expense 78 54 167 121 Minority interests - 11 - 19 - 31 - 39 Net income – Group share 4
Slide 17: Agenda
Agenda 3Q 2008 Results Focus on FSA Bond Portfolio Update Appendices 17
Slide 18: FSA Third Quarter Results
FSA Third Quarter Results FSA quarterly results Three Months Ended September, 30 USD m 2007 2008 Net Premiums Earned Excluding Refundings USD 65.9 USD 72.2 Refundings and Accelerations 6.6 51.5 Net Premiums Earned 72.5 123.7 Net investment income 60.5 67.1 Realized gains from credit derivatives cont
Slide 19: Overview of Losses at FSA by Portfolio
Overview of Losses at FSA by Portfolio FSA’s Total Net Par Outstanding: Asset Backed Portfolio: Financial Products Portfolio: USD 442.0 bn USD 127.6 bn USD 16.5 bn Other ABS; $1,8 Int'l ABS; $4,2 Option Arm RMBS, Other ABS, $0.3 Oth C onsumer $0.6 PFI / Regulated Other Pooled Receivables; $0,5 Utili
Slide 20: Agenda
Agenda 3Q 2008 Results Focus on FSA Bond Portfolio Update Appendices 20
Slide 21: Accumulated OCI and AFS Reserves
Accumulated OCI and AFS Reserves Accumulated OCI Impact on regulatory capital m EUR 194 Sept. 2007 June 2008 Sept. 2008 AFS reserves of Fixed income portfolio were negative ¾ no impact on regulatory capital -7,035 AFS CTA+CFH et associates* Total OCI -11,542 AFS reserves of Equity portfolio remained
Slide 22: Credit Spread Portfolio
Credit Spread Portfolio CSP – Asset class breakdown CSP – Accumulated OCI (pre-tax) EUR 72.1 bn credit exposure, of which EUR 10.6 bn hedged EUR 72.1 bn credit exposure m EUR ABS CSP Fully hedged 6% 800 15% 0 Ot her -800 0% Bank -1600 39% -2400 -3200 M BS 23% -4000 -4800 -5600 Sept. Bond 08 Covered
Slide 23: Public Finance Bond Denominated Exposure
Public Finance Bond Denominated Exposure Public Finance Bond Denominated Exposure − Public Finance Bond Denominated Exposure Rating Breakdown - EUR 91.4 bn credit exposure Accumulated OCI (pre-tax) m EUR AA 800 AAA 36.8% AA 0 40.4% Dec. 07 46.1% -800 -1600 NIG -2400 BBB A 0.2% 4.5% 18.0% Sept. 08 -3
Slide 24: FSA's Financial Products Portfolio
FSA’s Financial Products Portfolio FP – Invested Assets by Sector FP – Accumulated OCI (USD m) – pre-tax USD 16.5 bn * 2008 Movements Option Arm RMBS; Military $0,6 Housing; $0,6 Agency MBS, $1.4 Balance OTTI MtM Balance Municipal; $0,6 at Sept at June Fed Funds overnight investments & cash, Pooled
Slide 25: Agenda
Agenda 3Q 2008 Results Focus on FSA Bond Portfolio Update Appendices FSA DenizBank Insurance Activities Dexia Bank Nederland 25
Slide 26: FSA: Contribution to Public and Wholesale Banking
FSA: Contribution to Public and Wholesale Banking Reported figures (m EUR) 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 2Q 08 3Q 08 Income 119 102 - 89 - 43 - 204 88 - 218 Expenses - 32 - 35 - 32 - 35 - 26 -7 - 32 Gross operating income 87 67 - 121 - 78 - 231 80 - 250 Cost of risk -3 -3 -7 -9 - 197 - 432 - 261 Net
Slide 27: DenizBank: Contribution to Dexia
DenizBank: Contribution to Dexia Reported figures (m EUR) 9M 2007 9M 2008 Variation Income 451 553 + 22.6% Expenses - 268 - 335 + 25.0% Gross operating income 183 218 + 19.1% Cost of risk - 33 -72 x 2.2 Net income – Group share 127 118 - 6.8% (m EUR) 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 2Q 08 3Q 08 Income
Slide 28: Insurance Activities
Insurance Activities m EUR 1,775 1,786 98 140 146 61 1,156 1,048 925 115 Non life 108 104 124 724 Life Branch 23 109 1,530 1,585 66 109 Life Branch 21 831 917 113 754 502 2Q 2007 3Q 2007 4Q 2007 1Q 2008 2Q 2008 3Q 2008 Gross written premiums 9M 2008 : EUR 3,666 m + 22.9 % on 9M 2007 7% 0,5% 64,5% PP
Slide 29: Insurance Activities: Results
Insurance Activities: Results Reported figures (m EUR) 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation Revenues 104 - 31 n.s. 319 195 - 38.9% of which Financial revenues 134 61 - 54.7% 544 468 - 13.9% Net interest & dividend income 117 172 + 47.3% 390 545 + 39.7% Net trading inc. & net inc. on i
Slide 30: Insurance Activities: Contribution to PWB and PFS
Insurance Activities: Contribution to PWB and PFS Contribution of DIS to PWB 3Q 2007 3Q 2008 Variation 9M 2007 9M 2008 Variation (m EUR) Revenues 13 7 - 47 % 41 40 - 2.5 % Expenses -7 -7 - 9.0 % - 21 - 20 - 4.9 % Gross operating income 5 0 n.s. 20 20 + 0.1 % Taxes and other 0 -3 n.s. 1 -6 n.s. Net i