BANQUE POPULAIRE GROUP
Solid performance in retail banking
06/03/2008
Revenues: +5% Improved cost/income ratio Net income: +12%
Net income of more than €1 billion despite the financial crisis
On March 5, 2008 the Board of Directors, chaired by Philippe Dupont, approved the 2007 financial statements.
Commenting on these results, Chairman Philippe Dupont stated: “In 2007, the Banque Populaire Group confirmed its strong position in all areas of retail banking. Its financial and commercial performance fully endorses our expansion strategy. Foncia, leader in residential property services has once again reported strong revenue growth, and the synergies with the Banque Populaire banks are in line with expectations. Natixis’ contribution to the Group results, although down, demonstrates the resilience of its diversified business model in a context of strong tension in the financial markets. Finally, the Group results were negatively affected by a one-off transaction: the acquisition of CIFG. The forthcoming acquisition of seven regional banks from HSBC France’s network is expected to affirm our strategy in 2008.
In an environment marked by a financial crisis which affected the corporate and investment banking division, the Banque Populaire Group reported net income of more than €1 billion. The Group benefits from a robust financial structure. At the end of 2007, total regulatory capital came to €19.8 billion, with Tier one capital amounting to €16.2 billion. Its Tier one solvency ratio stood at 9.1%, one of highest in the Euro zone. This financial strength enables the Group Banque Populaire to remain flexible and seize good market opportunities in line with its expansion strategy.
