Annual Report BANCO POPOLAREBANKINGGROUP-ANNUALREPORT 2011
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www.bancopopolare.it/en Annual Report BANCO POPOLARE BANKING GROUP - ANNUAL REPORT 2011 BANCO POPOLAREBANKINGGROUP-ANNUALREPORT 2011 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 Annual Report 2011 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 This English translation of the "Relazione Finanziaria Annuale al 31/12/2011, the “ Annual Report 2011” is NOT an official translation. This translation is for informational purposes only, has been prepared solely for the convenience of non-Italian speaking shareholders of Banco Popolare – Società Cooperativa (the “Issuer”) and any other recipients and is not a substitute for the original Italian document. The only official version of the Annual report 2011 is the Italian version which has been approved by the competent body of the Issuer, filed with the competent Register of Enteprises and published according to Italian law and can be found in printed form at the Issuer’s head office, at Borsa Italiana S.p.A. premises and as well as in electronic form on the website of the Issuer and of Borsa Italiana S.p.A. This English translation has not been approved by the Issuer nor filed or published according to Italian law. Accordingly, any shareholder and any recipients should also refer to the official Italian version and seek appropriate professional advice before investing. While this English translation is believed to be generally accurate, it is subject to and qualified by, in its entirety, the official Italian-language original version approved by the Issuer, which is the prevailing document for all purposes. Any discrepancies or differences created in the translation are not binding and the Issuer makes no warranties or representations about the accuracy or completeness of this English translation and assumes no liability for any errors, omissions or inaccuracies in this English translation. This English translation does not contain or constitute, and should not be relied upon as, an offer or invitation to make an offer or to acquire any securities in any jurisdiction." The 2011 annual report continues along the same artistic lines as last year’s report, but brings them up to date. In 2010, we included a series of paintings taken from Banco Popolare’s private collection. This year we have decided to present you with an interpretation of the Group’s trademark. Five years ago, when Banco Popolare was founded, you first saw this symbol of three stylised people in red, blue and green. Five years on, our research indicates that our shareholders appreciate this pictogram, which portrays both Banco Popolare and the Group’s banks and trademarks. That is how we came up with the idea of showing you our various interpretations of the same over the years, as well as artwork submitted as part of a competition for students of Art Academies that relate to our historic roots. Their work is both a pleasure to see and interesting, so we invite you to look through the pictures and also read the titles and wording; they recount a brief history of Banco Popolare and of its values conveyed once again in the pay- off “Your roots, your future”. Banco Popolare Società Cooperativa Registered office and General headquarters: Piazza Nogara, 2 - 37121 Verona Fully paid up share capital as at 31 December 2011: 4,294,145,865.63 euro Tax Code, VAT No. and Verona Companies’ Register Enrolment No. 03700430238 Member of the Interbank Deposit Guarantee Fund and the National Guarantee Fund Parent Company of the Banco Popolare Banking Group Enrolled in the register of Banking Groups 2 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 OFFICERS, DIRECTORS AND INDEPENDENT AUDITORS AS AT 31 DECEMBER 2011 Board of Directors Chairman Carlo Fratta Pasini (*) Acting Deputy Chairman Guido Castellotti (*) Deputy Chairman Maurizio Comoli (*) Managing Director Pier Francesco Saviotti (*) Directors Alberto Bauli Angelo Benelli Pietro Buzzi Aldo Civaschi Vittorio Coda Giovanni Francesco Curioni Domenico De Angelis (*) Maurizio Di Maio Maurizio Faroni (*) Gianni Filippa Andrea Guidi Maurizio Marino Enrico Perotti Gian Luca Rana Claudio Rangoni Machiavelli Fabio Ravanelli Andrea Sironi Sandro Veronesi Tommaso Zanini Cristina Zucchetti (*) members of the Executive Committee Board of Statutory Auditors Chairman Pietro Manzonetto Standing Auditors Giuliano Buffelli Maurizio Calderini Gabriele Camillo Erba Alfonso Sonato Alternate Auditors Marco Bronzato Carlo Sella General Management General Manager Maurizio Faroni Joint General Manager Domenico De Angelis Ethics and Disciplinary Committee Standing Giuseppe Bussi Marco Cicogna Luciano Codini Alternate Aldo Bulgarelli Attilio Garbelli Manager responsible for preparing the Company’s financial reports Gianpietro Val Independent Auditors Reconta Ernst & Young S.p.A. 3 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 4 WorldReginfo - 674ec415-5bcf-4ed5-828a-1e5fde9280c0 CONTENTS Notice of call ................................................................................................................................................................... 7 REPORT ON OPERATIONS AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR Banco Popolare Group structure .................................................................................................................................... 12 Group Territorial Network .............................................................................................................................................. 14 Group financial highlights and economic ratios ............................................................................................................. 16 Group report on operations ............................................................................................................................................... 19 Economic scenario ......................................................................................................................................................... 20 Significant events during the year .................................................................................................................................... 22 Group business activities ................................................................................................................................................ 32 Network Divisions ....................................................................................................................................................... 32 Investment & Private Banking, Asset Management ....................................................................................................... 59 Leasing ........................................................................................................................................................................ 64 Corporate Centre and Other ........................................................................................................................................ 65 Results ........................................................................................................................................................................... 71 Loan brokering activities .............................................................................................................................................. 76 Financial assets ............................................................................................................................................................ 83 Investments in associates and companies subject to joint control ................................................................................. 85 Property and equipment .............................................................................................................................................. 85 Capital and solvency coefficients ................................................................................................................................. 85 Consolidated income statement figures ........................................................................................................................ 87 Ratings and share performance .................................................................................................................................... 92 Risk management ........................................................................................................................................................... 95 Supervisory, control and support activities .................................................................................................................... 108 Human resources ...................................................................................................................................................... 108 Internal audit ............................................................................................................................................................. 113 Compliance ............................................................................................................................................................... 115 Technological and administrative services .................................................................................................................. 115 Technological projects and investments ....................................................................................................................