Paweł Boczar – deputy director

BNP Paribas Fortis

Entrprise & Transaction Banking

BNP Paribas: Top 10 in the World and Top 3
in Europe by market capitalisation; Number
1 in Eurozone by deposits

Market capitalisation (€ bn)

Non-European institutions
21-12-24

Ranking in Eurozone / deposits (€

bn)

Ranking in Eurozone / deposits (€

bn)

21-12-24

21-12-24

BNP Paribas

+ Fortis Bank

21-12-24

1. Figures as at 30 September 2009

2. Customer deposits (excl. reverse repos and securities) as at 31 December 2008 (source: Company Reports) 3. Pro forma

with Postbank

Position of the combined group

ICBC

HSBC

China Construction Bank

JP Morgan Chase

Bank of America

Bank of China

Wells Fargo

Banco Santander

Citigroup

BNP Paribas

BBVA

Credit Suisse

Unicredito Italiano

Barclays

UBS

Intesa Sanpaolo

Standard Chartered

Société Générale

Crédit Agricole

Royal Bank of Scotland

Deutsche Bank

Lloyds Banking Group

Nordea Bank

National Bank of Greece

Danske Bank

KBC Group

Natixis

Dexia

The new combination: a group with a strong
performance, a solid asset base and a large
territorial coverage...



Total revenues from operating divisions of ~ € 40bn



One of the 6 strongest banks in the world



One of the 3 leading banks in Europe (with HSBC and Banco Santander)

Very good

performan

Strong

asset

base



Largest deposit bank in Eurozone



Top 5 for Asset Management in Europe with € 588bn Assets under
Management (AuM)
Number 1 Private Bank in Eurozone, 7

worldwide

, with € 224bn AuM



One of the first European players in Commercial and Institutional Banking

Large

territorial

coverage



Presence in more than 80 countries



202,000 employees worldwide of which 160,000 in Europe



13 million customers in 4 domestic markets: Belgium France, Italy and
Luxemburg



Additional retail banking networks in Poland, Turkey, Ukraine and USA



Significant presence in USA, Asia, the Mediterranean basin and Central
Europe

1. Euromoney January 2009

... centered around the clients
and committed to local economies



Based on long-term relationships to best assist clients’ interests



Dedicated relationship managers providing access to best suited
specialists



Developed extensive range of products to effectively cover clients'
needs



Built an extensive branch network, especially in its 4 domestic
markets (France, Belgium, Italy and Luxembourg) as well as in Poland,
Turkey, Ukraine and USA

Client is

central



Committed to the economies of Belgium and Luxembourg



Collected deposits in a network to finance credit of the relevant local
economy



Governments of Belgium and Luxembourg both shareholders of BNP
Paribas



Presence of the Government of Belgium at BNP Paribas Board of
Directors



Fortis Bank and BGL's Board of Directors chaired by national
personalities (Herman Daems and Gaston Reinesch respectively)

Committe

d to local

economie

Key financial figures 2009

(in EUR billion)

BNP Paribas Group: robust profit generation capacity

confirmed

2009

2008

2007

Net profit

5.832

(+93%)* 3.0

7.8

Revenues

40.191

(+47%)* 27.4

31.0

Total assets 2,058.0

2,075.6

1,694.5

Assets under management 588.0

503.0

584.0

Shareholders’ equity

N.A.

53.2

53.8

Employees (‘000 FTE) 202.3

173.2

162.7

Return on Equity 10.8%

6.6%

19.6%

Cost/income ratio

58.1%

67.2%

60.5%

Tier 1 ratio 10.1%

7.8%

7.3%

Þ A diversified and integrated customer-driven

business
model serving the economy:

•

Powerful capacity to generate profits confirmed

•

Solvency: strengthening equity

•

Increased financing of the economy

Change from 2008

BNP Paribas Fortis:
A significant contribution
to the Group’s results

•

Good level of revenues,
  thanks to good business
in
  the retail branch network
and
  good performance of the
  capital markets
businesses

•

€ 2,145m gross operating
income and substantial
cost of risk (€ 853m)

•

Pre-tax income: € 1,360m

•

BNP Paribas Fortis’ net
income
group share: € 708m

•

Fortis Investments: €
161bn
assets under
management

•

Private Banking: € 44bn
assets under
management

**Since the date BNPPF was consolidated: 12 May
2009

FINANSE I
NIERUCHOMOŚCI

Agenda:

1.Dlaczego po angielsku?!
2.Land acquisition – begining of the

trouble

3.RE Project Finance – „resi”
4.RE Project Finance – office/retail
5.RE Project Finance – other issues

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

1. Land acquisition - begining

of the trouble

a) Zoning plan vs building conditions
b) 3 x L

- timing
- catchement area
- purchasing power within catchement area
- business activity within catchement area

c) residential / retail / office

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

2. Land value – practical points

a) Value per sellable area (PUM)
b) Value per leasible area (PUU/ GLA)

- timing
- catchement area
- purchasing power within catchment area
- business activity within catchement area

c) residential / retail / office

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

3. RE Project Finance – „resi”

a) Residential project

- projected cash flow – characteristics
- mile stones / project progress vs program of payments
- LTC
- pre sale requirement
- general contractor

c) Residential project – practical hints

- pre sale requirement – approach & consequence
- mortgage release / mortgage division issue
- pre and post crisis approach - closed end financing

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

3. RE Project Finance – „resi”

d) Residential project – collateral

- 1st priority mortgage
- assignment of insurance (construction period + property
insurance)
- subordination of shareholder loans (full/partial)
- assignment of presale contract

e) Residential project – covenants

- cost over run clause / cash defficiency clause
- LTC
- timing (exploitation permit, project completion etc.)

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

4. RE Project Finance –

office/retail

a) Commercial project – office /retail

- SPV / holding / in balance
- budgeting / hard cost / soft cost / fees
- LTC / LTV
- amortisation / cash sweep
- general contractor

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI BC
East – key figures

4. RE Project Finance –

office/retail

b) Commercial project – collateral package

- 1st priority mortgage
- pledge on shares on SPV
- assignment of insurance (construction period + property
insurance)
- subordination of shareholder loans (full/partial)
- assignment of pre lease contracts + future lease
agreements
- pledge on accounts

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

4. RE Project Finance –

office/retail

c) Commercial project – covenants

- LTC
- LTV
- DSCR
- cost over run / cash deficency
- timing (shell & hull, exploitation permit ect)

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

5. RE Project Finance – wrap

3L 3L 3L 3L

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

5. RE Project Finance – wrap

DSCR vs LTV

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

5. RE Project Finance ≠ Rocket

Science

Beside location driven by:

design

execution
experience

cash flow

quality of tenants

| 24.12.2021

BC East

FINANSE I
NIERUCHOMOŚCI

6. RE Project Finance

Zapraszam do zadawania pytań – jest szansa że będę

znał odpowiedzi ?

| 24.12.2021

BC East

Document Outline