NBG Group Interim Financial Statements for the period ended 30 September 2019 November 2019 Table of Contents Statement of Financial Position ...............................................................................................................................3 Income Statement ...................................................................................................................................................4 Statement of Comprehensive Income .....................................................................................................................5 Income Statement – 3 month period ......................................................................................................................6 Statement of Comprehensive Income – 3 month period ........................................................................................7 Statement of Changes in Equity – Group ................................................................................................................8 Cash Flow Statement ...............................................................................................................................................9 NOTE 1: General information ............................................................................................................................ 10 NOTE 2: Summary of significant accounting policies ......................................................................................... 11 2.1 Basis of preparation .................................................................................................................................................... 11 2.2 Going concern ............................................................................................................................................................. 11 2.3 Adoption of International Financial Reporting Standards (IFRS) ................................................................................ 12 2.4 Critical judgments and estimates ................................................................................................................................. 14 NOTE 3: Segment reporting ............................................................................................................................... 14 NOTE 4: Credit provisions and other impairment charges ................................................................................ 17 NOTE 5: Restructuring costs .............................................................................................................................. 17 NOTE 6: Tax benefit / (expense) ........................................................................................................................ 17 NOTE 7: Earnings / (losses) per share ................................................................................................................ 18 NOTE 8: Financial assets at Fair Value through profit or loss and investment securities ................................. 18 NOTE 9: Loans and advances to customers ....................................................................................................... 18 NOTE 10: Investment property and Property and equipment ............................................................................ 21 NOTE 11: Assets and liabilities held for sale and discontinued operations ......................................................... 21 NOTE 12: Due to banks ........................................................................................................................................ 23 NOTE 13: Due to customers ................................................................................................................................. 23 NOTE 14: Debt securities in issue and other borrowed funds ............................................................................. 24 NOTE 15: Other liabilities ..................................................................................................................................... 25 NOTE 16: Contingent liabilities, pledged, transfers of financial assets and commitments ................................. 25 NOTE 17: Share capital, share premium and treasury shares ............................................................................. 27 NOTE 18: Tax effects relating to other comprehensive income / (expense) for the period ............................... 28 NOTE 19: Related party transactions ................................................................................................................... 28 NOTE 20: Capital adequacy .................................................................................................................................. 29 NOTE 21: Fair value of financial assets and liabilities .......................................................................................... 31 NOTE 22: Acquisitions, disposals and other capital transactions ........................................................................ 35 NOTE 23: Group companies ................................................................................................................................. 37 NOTE 24: Events after the reporting period ........................................................................................................ 38 NOTE 25: Transition to IFRS 16 Leases as of 1 January 2019 ............................................................................... 38 Statement of Financial Position as at 30 September 2019 Group € million Note 30.09.2019 31.12.2018 ASSETS Cash and balances with central banks 2,958 5,138 Due from banks 3,295 2,587 Financial assets at fair value through profit or loss 8 449 4,519 Derivative financial instruments 5,768 3,791 Loans and advances to customers 9 29,067 30,134 Investment securities 8 8,544 4,440 Investment property 10 148 1,016 Equity method investments 8 8 Goodwill, software and other intangible assets 176 150 Property and equipment 10 1,756 1,046 Deferred tax assets 4,909 4,909 Current income tax advance 383 359 Other assets 1,921 1,777 Non-current assets held for sale 11 6,446 5,221 Total assets 65,828 65,095 LIABILITIES Due to banks 12 4,832 7,667 Derivative financial instruments 3,431 2,131 Due to customers 13 42,809 43,027 Debt securities in issue 14 1,360 1,146 Other borrowed funds 14 6 268 Deferred tax liabilities 11 14 Retirement benefit obligations 232 239 Current income tax liabilities 1 9 Other liabilities 15 2,839 864 Liabilities associated with non-current assets held for sale 11 4,408 4,092 Total liabilities 59,929 59,457 SHAREHOLDERS' EQUITY Share capital 17 2,744 2,744 Share premium account 17 13,866 13,866 Reserves and retained earnings (10,897) (11,570) Amounts recognised directly in equity relating to non-current assets held for sale 166 (78) Equity attributable to NBG shareholders 5,879 4,962 Non-controlling interests 20 676 Total equity 5,899 5,638 Total equity and liabilities 65,828 65,095 Statement of Financial Position Athens, 21 November 2019 THE CHAIRMAN OF THE BOARD OF THE CHIEF EXECUTIVE OFFICER THE CHIEF FINANCIAL OFFICER DIRECTORS COSTAS P. MICHAELIDES PAVLOS K. MYLONAS CHRISTOS D. CHRISTODOULOU The notes on pages 10 to 38 form an integral part of these interim financial statements 3 Income Statement for the period ended 30 September 2019 Group 9-month period ended € million Note 30.09.2019 30.09.2018 Continuing Operations Interest and similar income 1,079 1,003 Interest expense and similar charges (181) (163) Net interest income 898 840 Fee and commission income 257 242 Fee and commission expense (73) (67) Net fee and commission income 184 175 Net trading income / (loss) and results from investment securities 177 35 Gains / (losses) arising from the derecognition of financial assets measured at amortised cost 100 8 Net other income / (expense) (19) (68) Total income 1,340 990 Personnel expenses (387) (422) General, administrative and other operating expenses (147) (187) Depreciation and amortisation on investment property, property & equipment and software & other intangible assets (87) (55) Credit provisions and other impairment charges 4 (320) (247) Restructuring costs 5 (110) (40) Profit before tax 289 39 Tax benefit / (expense) 6 (11) (19) Profit for the period from continuing operations 278 20 Discontinued Operations Profit for the period from discontinued operations 11 119 43 Profit for the period 397 63 Attributable to: Non-controlling interests 18 27 NBG equity shareholders 379 36 Earnings / (losses) per share (Euro) - Basic and diluted from continuing operations 7 €0.30 €0.02 Earnings / (losses) per share (Euro) - Basic and diluted from continuing and discontinued operations 7 €0.41 €0.04 Income Statement Athens, 21 November 2019 THE CHAIRMAN OF THE BOARD OF THE CHIEF EXECUTIVE OFFICER THE CHIEF FINANCIAL OFFICER DIRECTORS COSTAS P. MICHAELIDES PAVLOS K. MYLONAS CHRISTOS D. CHRISTODOULOU The notes on pages 10 to 38 form an integral part of these interim financial statements 4 Statement of Comprehensive Income for the period ended 30 September 2019 Group 9-month period ended € million Note 30.09.2019 30.09.2018 Profit for the period 397 63 Other comprehensive income / (expense): Items that may be reclassified subsequently to profit or loss: Investments in debt instruments measured at fair value through other comprehensive income ("FVTOCI"), net of tax 557 (124) Currency translation differences, net of tax 1 (11) Cash flow hedge, net of tax (42) - Total of