An introduction to the UBI Banca Group

October 2018

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This document has been prepared by Unione di Banche Italiane Spa (“UBI”) for informational purposes only.

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instruments, to effect any transaction, or to conclude any legal act of any kind whatsoever.

This document may contain statements that are forward-looking: such statements are based upon the current beliefs and expectations of UBI and are subject to significant risks and uncertainties. These risks and uncertainties, many of which are outside the control of UBI, could cause the results of UBI to differ materially from those set forth in such forward looking statements.

Under no circumstances will UBI or its

affiliates, representatives, directors, officers and employees have any liability whatsoever (in negligence or otherwise) for any loss or damage howsoever arising from any use of this document or its contents or otherwise arising in connection with the document or the above mentioned presentation.

For further information about the UBI Group,

please refer to publicly available information, including Annual, Quarterly and Interim Reports.

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Please be informed that some of the managers of UBI involved in the drawing up and in the presentation of data contained in this document possess stock of the bank. The disclosure relating to shareholdings of top management is available in the half year and the annual reports.

Methodology All data are as at 30th June 2018 unless

otherwise stated.

Disclaimer

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• The UBI Banca Group

– UBI Banca history – UBI Banca at a glance – The Ubi Banca group

• UBI Banca’s International Network – Worldwide presence – UBI Banca – Global Transaction Banking – Contacts

• Annexes

Agenda

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UBI Banca history The heritage of UBI Banca can be traced back to the local banks with deep roots in their communities, that have merged into the single legal entity under the brand UBI.

1812 branches in Italy

1869

2007

2018

Banca Etruria Banca Marche

Banca Popolare di Bergamo

CariChieti

Banca Carime

Banca Regionale Europea

Banca di Valle Camonica Banca Popolare

Commercio & Industria

Banco di Brescia

Banca Popolare di Ancona

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Worldwide presence and product companies Representative Offices

UBI Banca – Foreign Branches

UBI Banca - Other Subsidiaries

1

2

3

4

5

6

7

8

USA New York

Brazil San Paolo

Morocco Casablanca

Russia Moscow

India Mumbai

China Shanghai

Hong Kong

UAE Dubai

Hong Kong

A

1 3

8

5

2

7

6

4

A C

D

B

France Antibes Mentone Nice

B

C

Luxembourg UBI Trustee SA UBI Management Co SA

Poland UBI Factor foreign branch

D China Zhong Ou Asset Management Company Co. Ltd*

* Joint-venture of which UBI Banca holds 35% of the share capital.

Other companies in UBI Group Perimeter

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UBI Banca and its Peers

Source: Press releases and presentations

Total assets at 30th June 2018 (bln/€) No. of domestic branches as at 30th June 2018

Customer loans as at 30th June 2018 (bln/€) Total direct funding as at 30th June 2018 (bln/€)

824 794

70 136 161

4,531

1,597

2,555

1,812

# 4

# 5 127

1,219

2,319*

108**

459

400

107

46

552 431

50

97 95

# 4 # 5

87 91

* As from 1st July 2018, n. 310 branches were closed ** Excluding repos Source: press releases, presentations and half year report on 1H2018 results

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The UBI Banca Group – Key Highlights

Strong competitive positioning

Sound asset quality

Solid capital and liquidity position

Total Assets: € 126.9 billion (5th Italian player) Total Loans to Customers: € 91.3 billion (4th Italian player) − 50% of net loans to customers granted in Lombardy where the Group has a 13.3% market share in

terms of branches Total Direct Funding: € 95 billion Total Indirect Funding (AUM, AUC and Bancassurance): € 98.5 billion

A total market share in Italy of 7%, with 1,812 branches (+5 branches abroad) Over 4.2 million customers and over 21,000 headcounts

1H2018 net profit of € 208.9 million CET 1 (Common Equity Tier 1): 11.78% Liquidity Coverage Ratio and Net Stable Funding Ratio > 100% The only Italian Bank which has always paid a cash dividend during the crisis

72% of tatal assets represented by Loans to customers - 79.5% of Performing Loans is low risk under the Internal rating model

Low incidence of Non Performing Exposures: • Net NPEs / Total net loans: 7.1% • Loan Loss Provisioning: 57 bps annualised

Over 75% of loans secured mainly by real estate collateral

As at 15 October 2018 STANDARD & POOR’S MOODY’S FITCH DBRS

SHORT TERM A-3 P-2 F3 R-2 (high) LONG TERM BBB- Baa3 BBB- BBB OUTLOOK stable negative negative stable

Issuer ratings

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UBI Banca – Global Transaction Banking CHIEF COMMERCIAL OFFICER

(*) Representative Offices : Mumbai, Casablanca, Dubai, Hong Kong, Moscow, New York, Sao Paolo, Shanghai.

Transaction Banking

Guarantees P. Piccinelli

GLOBAL TRANSACTION BANKING

L.Monti

Coord. D.Roncaglio (commercial planning, due diligence, monitoring)

Trade & Cash Sales

G.Casotti

Trade & Cash Product

Management D. Nacci

Correspondent Banking L.Tassini

Transaction Banking

Units

CHIEF LENDING OFFICER

Transaction Screening

Unit F. Francolini

TOP PRIVATE

(Networth above Eur 1 Mln)

CORPORATE AND

INVESTMENT BANKING (Turnover above 250 Mln)

MAT

(7 REGIONAL HUBS)

Trade & Cash M. Menno di Bucchianico

Financial Institutions I.Moavero

Institutional Credit E. Santinelli

Representative Offices (*)

International Network

P.Vitali

Coord. R. Chielli (Foreign Branches)

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Contact Mr. Alessandro Gatto alessandro.gatto@ubibanca.it

Coordinator Ms. Raffaella Chilelli Raffaella.chilelli@ubibanca.it

Head of International Network

Mr. Paolo Vitali Paolo.vitali@ubibanca.it

Representative Offices (contacts in the next page)

CORRESPONDENT BANKING correspondent.banking@ubibanca.it

FOREIGN BRANCHES

Head Mr. Lorenzo Tassini lorenzo.tassini@ubibanca.it

Asia Indian Subcontinent, China & Far East

Oceania

Relationship Manager Mr. Alistair Robert Newell alistair.robert.newell@ubibanca.it

American Contintent North, Central and South America, Caribbean

Israel

Relationship Manager Mr. Ernst Rolf Hartmann ernst.rolf.hartmann@ubibanca.it

Turkey Middle East Africa

Relationship Manager Mr. Gian Luca Perone gian.luca.perone@ubibanca.it

Europe CIS Countries

Relationship Manager Ms. Maria Lagonigro maria.lagonigro@ubibanca.it

Global Players Special projects

Relationship Manager Mr. Marco Camozzi marco.camozzi@ubibanca.it

INTERNATIONAL NETWORK ubiworld@ubibanca.it

CHEQUES DEPARTMENT

Contacts (1/2)

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Contacts – Representative Offices (2/2)

MUMBAI

Mr Andrea Croci hongkong@ubihk.com Tel. +852 2878 7393 Fax +852 2878 7932

HONG KONG

Ms Rajeshree Balsari mumbai@ubibanca.com Tel. +91 22 22023601 Fax +91 22 22023603

SHANGAI

Ms Lu Bo office@ubibanca.sh.cn Tel +86 21 61675333 Fax +86 21 61675582

MOSCOW

Mr Isidoro Guerrerio saopaulo@ubibanca.com Tel. +55 11 3063 0454 Fax +55 11 3063 3785

SAO PAULO

Mr Ferdinando Pelazzo moscow@ubibanca.com Tel. +7 495 725 4466 Fax +7 495 725 4465

DUBAI

Mr Andrea De Benedittis ubi-newyork@ubibanca.it Tel +1 646 871 7600 Fax +1 646 205 4006

NEW YORK

Mr Luigi Landoni ubi-dubai@ubibanca.it Tel +971 4 3277289 Fax +971 4 3277290

CASABLANCA

Mr Abdelkrim Sbihi ubi-casablanca@ubibanca.it Tel +212 520 48 12 70 Fax +212 520 48 12 72

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Annexes

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Net loans to customers at 91.3 bln/€: - Decreasing NPEs and - Increasing performing m/l term component

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Flows from performing to non performing loans, recovery rate and default rate

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Key Figures Figures in thousand of euros Figures in thousand of eurosASSETS 30/06/2018 LIABILITIES AND EQUITY 30/06/2018Cash and cash equivalents 616.368 Financial liabilities measured at amortised cost 111.617.355Financial assets measured at fair valure through profit or loss 1.488.455 a. Due to banks 16.607.300 1. loans and advances to banks 14.796 b. Due to customers 70.582.753 2. loans and advances to customers 313.580 c. Debt securities issued 24.427.302 3. securities and derivatives 1.160.069 Fianacial liabilities held for trading 386.959Financial assets measured at fair value through other comprehnsive income 11.527.974 Financial liabilities designed as at fair value 75.488 1. loans and advances to banks - Hedging derivatives 102.961 2. loans and advances to customers - Fair value change in hedged financial liabilities (+/-) 54.008 3. securities and derivatives 11.527.974 Tax liabilities 208.390Financial assets measured at amortised cost 103.886.299 Other liabilities 2.654.081 1. loans and advances to banks 9.513.708 Provision for post-employment benefits 328.484 2. loans and advances to customers 91.342.643 Provisions for risks and charges: 565.147 3. securities and derivatives 3.029.948 a. commitments and guarantees granted 73.964Hedging derivatives 59.804 b. pension and similar obligations 130.215

Fair value change in hedged financial assets (+/-) 33.826 c. other provisions for risks and charges 360.968Equity investments 240.509 Technical reserves 1.879.072

Technical reserves of reinsurers 373Share capital, share premiums, reserves, valuation reserves and tresury shares 8.756.026

Property, plant and equipment 1.799.295 Minority interests 6.336Intangible asets 1.711.908 Profit (loss) for the period/year (+/-) 208.867 of which: goodwill 1.465.260 Total liabilities and equity 126.904.174Tax assets 4.122.268

Non-current assets and disposal groups held for sale 1.384Other assets 1.415.721Total assets 126.904.174

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Key Figures

Consolidated income statement (in mln €) 1H2018Net interest income 896,2Net commission income 808Net result from finance 52,2Profits of equity-accounted investees 9Dividends and similar income 8,4Net income from insurance operations 11Other income items 51,8Operating income 1836,5Staff costs -749,9Other administrative expenses -392,6Depreciation, amortisation and net impairment losses on property, plant and equipment and intangible assets 82Operating expenses 1224,4Net operating income 612,1Net impairment losses on loans and securities -266,3Net impairment losses on other financial assets and l iabil itiesNet provisions for risk and charges -2,6Profits from the disposal of equity investments 1Pre-tax profit from continuing operations 344,1Taxes on income for the period from continuing operations -116,9Profits/losses for the period attributable to non-controll ing interests -13,8Profit for the period before Business Plan impacts 213,4Redundancy expenses net of taxes and non controll ing interests -Business Plan Project expenses net of taxes and non-controll ing interests -4,6Negative consolidation interests

Profit for the period 208,9Profit for the period net of non-recurring 222,1

PROFIT AND LOSS