Corporate Presentation - National Bank of Greece3 Corporate Presentation –December 2019 NBG has a...

Corporate Presentation

December 2019

Table of Contents

1 Overview

2 Financial Highlights

3 Profitability

4 Asset Quality

5 Liquidity

6 Capital

7 Macro

8 Appendix

Overview

1

3 Corporate Presentation – December 2019

NBG has a large and stable client base and is a highly trusted bank in Greece

36% savings deposits market

share in a total market of

~€55b2

Well-established,

long lasting

Corporate relationships

5.3MM active retail

customers in a Greek bankable

population of ~8.3M1

Trusted brand, testified by

client loyalty and marketing

surveys

1. NBG Customer Analytics (Greek population >20 years old, based on Hellenic Statistical Authority census, 2018) | 2. Bank of Greece – statistics of monetary deposits

Overview


Cash coverage and low cost liquidity are our key strengths

Highest NPE coverage in the market Strongest liquidity position

Core deposits2

€b

21.9

Greek peers averageNBG

30.2

Loan to deposit ratio

%

68

90

Greek peers averageNBG

Gross NPE

Group, €b

5.5

10.9

6.6

9.712.2

NBG Greek peers average

21.7

Unprovided

Provided

47%55%Total provision

coverage

1

Yield3 3bps

Market

share231%

LCR

NSFR

198%

116%

Note: Group level 9Μ19 figures

1. Average of NPE stock for Greek systemic banks (excluding NBG group). Source: 9Μ19 financial reports | 2. Core deposits includes savings, sights & other on the domestic market – market share based on the sum of the four systemic banks | 3.

Average funding cost on savings deposits

Overview


Our six strategic priorities for 2019-2022

CLEAN-UP

THE BALANCE

SHEET

MOBILISE OUR

PEOPLE

Front-load NPE clean-up delivering a

~5% NPE ratio

Reward performance and motivate our

people aligning individual objectives to

strategic goalsA D

IMPROVE

VISIBILITY &

CONTROL

ENHANCE

EFFICIENCY

& AGILITY

Complete FTE reductions and G&A

rationalisation supporting C:I drop to

~45%

Enhance client planning and steering tools

enabling value and risk-based decisionsB E

UPGRADE

TECHNOLOGY

INFRASTRUCTURE

BOOST

REVENUE

GENERATION

Improve sales and service orientation

growing non-risk income and shifting

transactions to digital channels

Invest to modernize the technology

infrastructure improving efficiency and

service levels

C F

Overview


NPE stock and coverage

2018YE, Group, €b

A clean bank with an NPE ratio of ~5% in 2022

Strategic directions

• Material NPE reduction by 2020,

driven by sales in the consumer, SBL

and corporate portfolios

• More concessionary restructurings

and friendlier legal framework to

increase recoverable value in the

mortgages portfolio

• Large mortgage securitisations

in 2021–22, when market conditions

have further improved and

restructuring efforts have been

explored

• Internal REO platform to cover the

entire value chain from onboarding

to commercialisation, supporting

liquidation targets

NPE evolution targets

Group, €b

~1.7

~4.7

~2.3

2018

~2.9

~4.4

2019 2020 2021 2022 2022YE

~16.3

~5%

>50%

NPE Ratio

S3 Coverage

FNPEs <90dpd ~€1BN

~50% inorganic reduction 2019-2022

78%

Mortgages

42%89%

Corporate, SME & ShippingConsumer

66%

SBL

60%

Subsidiaries

Total Provisions

~7.0

~1.4~1.9

~4.9

~0.9

Overview


Efficient and more agile operations, with fewer people and a lower cost base

Strategic directions

• Focused exit solutions to release FTE

capacity and increase average employee

productivity

• Efficiency improvement via

back-office centralisation and process

automation (e.g. mortgage lending,

retail restructuring) and alternative

channels

• Branch footprint rationalisation

• Central functions real estate

optimisation

• G&A reduction through the

introduction of a cost control function

and a stronger procurement function

Staff cost1 targets

Group, €m

FTE targets

Bank, #

Branch2 targets

Bank, #

20222017 2018

~9,500 ~8,850~7,150

-20%

~1,500 net

reduction by

2020YE

~485 ~460~390

20192017 2018

-15%

560

2018 2022

~450

-20%

230~180

2018 2022

-20%

G&A expenses targets

Group, €m

1. Excludes LEPETE (Auxiliary fund) charges | 2. Excluding transaction centres & i-Stores, i.e. satellite units with limited commercial purpose

Overview


9M19

A clean and profitable bank in 2022 – the Greek bank of choice

2018 2022 targets

CET1

Cost : Income2

NPE ratio

ROE <0% ~11%

41% ~5%

75% ~45%

16.1% ~15%

Note: Group level figures

1. ROE for 9M19 calculated as PAT (Cont. Operations) excluding non-recurring items, as well as trading and other income; 9M19 reported ROE (Cont. Operations) at 10.3%, excluding non-recurring items, 2. Excluding VES & restructuring costs,

3. Cost to Core Income (excluding trading & other income of €257m in 9M19), 4. Including 9M19 PAT and the impact of agreed divestments in Romania, Egypt and Cyprus

Overview

4.1%1

34%

57%3

16.8%4


Transformation Program is picking up pace, supporting the delivery of our targets – NPEs and Cost

Achievements to date Key metrics 6M19 9M19

NPEs

Healthy

Balance

Sheet

• Frontloaded NPE portfolio sales (Symbol, Mirror,

Leo, Icon, Romania, Cyprus)

• Branch restructuring capacity increase (c230

dedicated officers, c40 specialised hubs), new Split

& Settle product and streamlined process for retail

restructurings

• REO unit for end-to-end management of

repossessed assets

NPE sales ytd (€ bn) c.1.7 c.2.9

Split & Settle

restructurings, 3m average

(€ m)

c.61 c.74

COST

Efficiency &

Agility

• Additional waves of open and targeted VES

• 3rd party personnel review program

• Branch network consolidation

• Central functions real estate optimisation

• G&A crash program and enhanced cost

management (new demand management unit,

increased procurement centralisation)

VES acceptance ytd (FTEs) c.530 c.580

3rd party personnel release

ytd (FTEs)c.65 c.105

Branches consolidated ytd

(#)59 64

G&A reduction yoy (%) -9% -13%

Sep 2019 at

c.€97m

c.700 ytd


Transformation Program is picking up pace, supporting the delivery of our targets – Core Income

Achievements to date Key metrics 6M19 9M19

CORE

INCOME>

Best Bank for

our Clients

(Corporate)

• Revamped Structured Finance team and

strengthened RM workforce for SME and Mid-

Caps (+20 new RMs)

• Rollout of 27 Corporate Branches across Greece

• New cross-selling platform setup ongoing

• New “fast-track” credit process

Fees growth yoy -3% -2%

Disbursements growth yoy +48% +34%

Clients/RM (#) c.100 c.100

CORE

INCOME>

Best Bank for

our Clients

(Retail)

• Strengthened RM workforce for Premium

(c.340) and SB (c.520) segments

• ‘Pockets of value’ program for Mass segment

in-place (e.g., credit cards)

• New product bundles and cross-selling of

fee-generating products

• Digital migration program to increase digital

subscribers, usage and sales (incl. re-launched

internet and mobile banking and upcoming

innovations by year-end)

Fees growth yoy +9% +12%

Disbursements growth yoy +37% +38%

Merchant turnover growth

yoy+18% +18%

Digital transactions

(% of total)84.6% 85.0%

Digital monthly active

users (thousands)936 957

at c.130 at

end-2018


Enablers continue to advance at a good pace

Achievements to date

Technology &

Processes• Reengineered lending processes (e.g., retail restructuring, mortgage, SB lending, Corporate back-office) leading to

reduced process time (40-55%) and freed-up capacity (c.130 FTEs ytd)

• Preparation for Core Branding System (CBS) renewal

• Migration to new Card Management System (CMS) and full deployment of Enterprise Data Warehouse (EDW)

• Renewed internet and mobile banking platforms with enhanced capabilities

People,

Organisation

& Governance

• Top-level organization and new management team in place to effect change

• New HR management framework/ labor code revision in progress

• New performance management system and executive balanced score cards in place

• Culture/change management program in-train

Visibility,

Compliance &

Controls• Enhanced VBM framework, planning/stress testing tools and management reporting

• New Internal Controls, Operational Risk and Strategic Risk Management units in place

• Data governance and data quality program ongoing

Financial Highlights

2


€ m 9M19 9M18 YoY 3Q19 2Q19 QoQ

NII 898 840 +7% 300 309 -3%

Net Fees & Commissions 184 175 +5% 64 61 +5%

Core Income 1 082 1 015 +7% 364 370 -2%

Trading & other income 2571 (24) n/m 106 51 >100%

Income 1 339 991 +35% 470 421 +12%

Operating Expenses (621) (664) -7% (213) (204) +4%2

Core PPI 461 351 +32% 151 165 -9%

PPI 719 326 >100% 257 217 +19%

Loan Impairments (303) (238)3 +27% (99) (101) -2%

Operating Profit 416 88 >100% 158 116 +37%

Core Operating Profit 158 113 +41% 52 64 -20%

Other impairments 19 (9) n/m 16 11 +44%

PBT 434 79 >100% 173 126 +37%

Taxes (11) (18) -38% (3) (5) -43%

PAT (cont. ops) 423 61 >100% 171 122 +40%

PAT (discont. ops) 119 43 >100% 16 82 -80%

LEPETE (36) - n/m (36) - n/m

VES & other restr. costs4 (110) (40) >100% (5) (4) 25%

Minorities (18) (27) -34% (1) (8) -94%

PAT 379 36 >100% 146 192 -24%

P&L Highlights

9M19 PAT from continuing operations reaches €423m against PAT of €61m in 9M18

Highlights

P&L | Group

9M19 Group PAT from continuing operations at €423m (7x up yoy), driven by

the following key P&L movements:

• 9M19 NII up by 7% yoy to €898m, driven by securities interest income and

supported by stabilizing lending NII on total disbursements of €2.2b in the 9m;

3Q19 NII absorbs the cost of the €400m Tier 2 facility issued in July 2019

• Net Fees and Commissions are up by 5% yoy, driven by retail banking fees

(+12% yoy), while corporate banking fees remained subdued (-2% yoy)

• Trading and other income benefits from one off gains relating mainly to the

swap arrangement, a hotel disposal and sovereign bond portfolio sales

• OpEx reduced by 7% yoy reflecting sharply lower domestic personnel costs,

(-8.4% yoy) as VES reductions begin to bear fruit; ytd c700 employees have

accepted the VES offering. Excluding the impact of IFRS16, following tight G&A

cost control, G&As were reduced by 13% yoy in the 9M2. As a result, 9M19 C:CI

dropped to 57% vs 65% a year ago, despite the adverse impact from the

implementation of IFRS16 (1ppt)

• CoR remains within guidance at 136bps in 9M19 relative to 124bps5 in 9M18,

including additional provisions related to the sale of international loan portfolios

Core income expansion, cost containment and low CoR, despite the aggressive clean

up of the NPE book, lead core operating profit higher by 41% yoy to €158m;

including trading & other income, operating profit reaches €416m (+4.5x up yoy)

9M19 PAT from discontinued operations of €119m, aided by the capital gain from

the Pangaea sale (€60m), absorbing VES, one offs and other restructuring costs

1. Includes €65m of trading gain from the GGB swap, a €30m capital gain from Grand Hotel disposal and a €118m gain from the sale of sovereign bonds, 2. 3Q19 OpEx (+4% qoq) is due to higher depreciation charges

reflecting the full IFRS16 impact post Pangaea deconsolidation, 3. Includes recoveries of €42m from NPL sales, 4. VES costs of €94m in 1Q19 and other restructuring costs of €7m in 1Q19, €4m in 2Q19 & €5m in 3Q19,

5. 9Μ19 CoR of 124bps excludes recoveries of €42m from the sale of an unsecured 90dpd portfolio (Project Earth); reported CoR at 104bps


NPE reduction accelerates (-€1.5b in 3Q19 / -€4.0b in 9M19); CET1 ratio continues to increase to 16.8%1 (+80bps qoq)

Asset Quality, Liquidity & Capital Highlights Key Ratios | Group

3Q19 2Q19 1Q19 4Q18 3Q18

Liquidity

Loans-to-Deposits 68% 70% 71% 70% 72%

LCR 198% 171% 151% 144% 103%

NSFR 116% 113% 113% 108% 124%

Profitability

NIM (bps) 270 276 263 260 268

Cost-to-Core Income 58% 55% 58% 64% 68%

Cost of Risk (bps) 135 135 136 81 108

Risk Adjusted NIM 135 141 127 179 160

Asset quality

NPE ratio 34.2% 36.5% 38.9% 40.9% 42.2%

NPE coverage 54.8% 56.0% 58.6% 59.1% 59.9%

Capital

CET1 16.8%1 16.0%1 15.7% 16.1% 16.4%

CET1 FL 13.4%1 12.6%1 12.7% 12.8% 13.0%

RWAs (€ bn) 37.01 37.41 35.1 35.0 35.0

Highlights

Domestic NPE reduction picks up in 3Q19

• NPE reduction accelerates in 3Q19, driven by the corporate and shipping

portfolio sales (-€1.2b), as well as organic means, mainly debt forgiveness and

liquidations

• As Bank NPEs have been reduced by €4.0b ytd, the Bank is already close to

fulfilling the FY19 SSM NPE reduction target of €4.3b

• High NPE coverage levels and a favourable conjuncture including the bond and

real estate markets, allow for a quicker clean up of the NPE book

Domestic deposits up 3.5% yoy

• Domestic deposits stabilize in 3Q19, despite State deposit outflows; LCR & NSFR

ratios are kept at levels well above 100%, exceeding regulatory thresholds

• Despite negative seasonality in 3Q, 9M19 NBG domestic credit disbursements

reach €2.2b up by almost 40% yoy, driven by corporates

CET1 ratio at 16.8%3 , CET1 FL ratio at 13.4%3

• 3Q19 CET1 of 16.8%3, up by 80bps qoq on the back of strong 9M19 PAT and

FVTOCI bond valuation gains. Excluding the impact of agreed divestments, CET1

stood at 16.4% comfortably above the 2019 and 2020 SREP levels .The sale of

Ethniki Insurance in early 2020 is expected to push up capital ratios substantially

• Total Capital ratio settles at 17.7%3, up by 80bps qoq

1. Pro forma for period PAT and the impact of agreed divestments in Romania, Egypt and Cyprus

Profitability

3


Group operating profit bridge 9M19 (€ m)

1. Includes €65m trading gain from the GGB swap arrangement, €30m capital gain from Grand Hotel disposal and €118m gain from the sale of sovereign bonds

2. 9M18 loan impairments benefit from €42m of recoveries from the sale of an unsecured 90dpd portfolio (Project Earth)

3. All margins calculated over net loans

4. Excludes the €42m recoveries from the NPL sale; underlying CoR at 124bps

9M19 Group operating profit reaches €416m driven by strong operating performance and trading gains

Profitability

Group operating margin decomposition3 9M19 (bps)

88

+57

+44 +10

+281

-65

416

9M18 ΔNII ΔOpEx ΔFees ΔNon Core

Income

ΔLoan

Impairments

9M19

€213m due

to one off

capital gains

145

322 349

-104-136 -135

9M18 9M19 3Q19

41 186

41688

Group PPI

margin (bps)

Group

CoR (bps)

Group operating

margin (bps)

Group operating

profit (€m)

214

158

+€111m Core PPI yoy

1

2

4


Domestic lending income decomposition (€ m)

Domestic NIM & CoR (bps)

1. NIM calculated on a daily average basis

9M19 NII up by 7% yoy to €898m; 3Q19 NII remains strong, incorporating Tier 2 issuance in July

Profitability

Domestic risk adj NII (€ m)

Domestic NII breakdown (€ m)

3Q18 4Q18 1Q19 2Q19 3Q19

Loans 283 290 285 280 282

Deposits -38 -40 -40 -41 -37

Securities 26 28 40 63 56

Eurosystem &

wholesale-14 -17 -14 -12 -19

Subs & other 0 -2 3 3 2

Total 258 259 274 293 284

265 257 262275

269

109

83

139140

32

3Q18 4Q18 1Q19 2Q19 3Q19

NIM1

CoR

209

628

74

219

3Q19 9M19

Lending interest

income (€m)

PE interest

income €m)

274293 284

-100 -100

-23

1Q19 2Q19 3Q19

Domestic

risk adj NIΙ

(€m)

Loan

impairment

(€m)

NII (€m)

NPE interest

income (€m)

o/w in 9M19:

c41% cash

c31% provided

Down qoq

due to bond

sales

Due to the

€400m T2

issue in July

Factoring in

positive house

price movement

Factoring in

positive house

price movement

282 847174 193 261


18.9 19.3 19.3 19.9 20.3

8.49.5 9.7 9.8 9.8

12.813.0 12.2 11.9 11.2

40.041.7 41.2 41.6 41.4

3Q18 4Q18 1Q19 2Q19 3Q19

Time

Sight &

other

Savings

+3.5% yoy

Greek deposit yields (bps)

3 3 3 3 3

79

83

79 80 79

3840 40

37 37

58

52

64

5552

3Q18 4Q18 1Q19 2Q19 3Q19

Ongoing repricing of time deposits and positive mix effect will push blended deposit cost to much lower levels

Profitability

Greek deposits evolution (€ b)

Term

Total

68% 73% Core deposits/total

Savings

+€1.4 b yoy

Sight

Due to

one key

account

Due to State

outflows of

€0.5b qoq and

€1.8b ytd

New

production

at 42bps

Market

share

at 36%


Greek lending yields3 (bps)

Greek loan evolution (€ b)Greek forborne, PE & total lending yields

217 216 219 217 215

882 877 855 871 867

653 665 655 635 649

398 398 384 375 372

3Q18 4Q18 1Q19 2Q19 3Q19

8.7 8.5 8.4 8.2 8.0

1.7 1.7 1.7 1.6 1.6

1.0 1.0 1.0 1.0 0.9

10.4 11.0 11.5 11.9 11.8

21.822.3 22.6 22.7

22.3

3Q18 4Q18 1Q19 2Q19 3Q19

Corporate

SBL

Consumer

Mortgages

1. Includes NPEs

2. Includes FPEs & FNPEs

3. Calculated on performing loans

4. Performing loans = Gross loans – NPEs

Corporate performing loans expand by €1.4b yoy, driven by disbursements of €3.0b over the same period

Profitability

Consumer

SBLs

Corporate

Mortgages

+2.3% yoy

28.4 28.8 28.7 28.6 27.7 Net loans

Performing loans4

at 374bps

at 376bps

at 665bps

new

production

at 987bps

3.8% 3.8% 3.7% 3.7% 3.7%

2.6% 2.5%2.6%

2.5%2.4%

3Q18 4Q18 1Q19 2Q19 3Q19

Performing

Forborne2

Total Book

3.6%

3.7% 3.6%3.6% 3.5%

Total1

+12.9% yoy

378 378 373 368 366


Domestic retail fees decomposition (€ m)Domestic fees (€ m)

30 32

8089

21 21

65

64

8 8

20

21

58 60

165

174

2Q19 3Q19 Column2 9M18 9M19

Retail Fees Wholesale Fees Fund mgm, Brokerage & other

14 14

44 43

7 6

65 64

9M18 9M19

Investment banking

& other

Non lending fees

Lending fees

12 14

1721

1517

910

27

27

80

89

9M18 9M19

Intermediation &

otherBancassurance

Digital channels

Cards

Lending fees

1: Domestic, excluding assets held for sale

9M19 retail fees, up by 12% yoy, driven by card, digital channel and lending related fees

YoY

+1.4%

YoY

-2.2%

+5.8%

+5.4%

0.41% 0.42% 0.40% 0.41% Fees/Assets1

Domestic wholesale fees decomposition (€ m)

-14.5%

-1.3%

-2.2%

YoY

+17.2%

+21.4%

+14.8%

+13.4%

+1.0%

+11.7%

+11.7%


Domestic Branch evolution (#)

Group OpEx by category (€ m)

Ongoing cost reduction initiatives successful: 9M19 domestic personnel costs down by 8% yoy, G&As down by 13%1

Profitability

Group headcount evolution (‘000)

Domestic OpEx evolution (€ m)

Greece Group

9M19 9M18 YoY 9M19 9M18 YoY

Personnel 371 405 -8.4% 387 422 -8.4%

G&As 137 174 -21.3% 147 187 -21.4%

Depreciation 84 53 +59.7% 87 55 +58.2%

Total 592 631 -6.3% 621 664 -6.6%

C:CI 58% 66% -8ppts 57% 65% -8ppts

528 527

510

486461

438

402397 391

FY14 FY15 FY16 FY17 FY18 1Q19 2Q19 3Q19 Nov-19

15.012.2 12.0

9.9 9.8 9.2 9.1 8.7 8.6

10.1

7.9 7.8

1.6 1.2 1.1 1.1 1.1 1.1

25.1

20.1 19.8

11.5 11.0 10.3 10.2 9.8 9.7

FY09 1 FY14 FY15 FY16 FY17 FY18 1Q19 2Q19 3Q19

SEE &

Other

Greece

1. Adjusted for IFRS16 impact on depreciation due to Pangaea deconsolidation

2. Excludes employees at discontinued operations

136 131 127 124 120

79 74 68 70 85

215205

195 194204

3Q18 4Q18 1Q19 2Q19 3Q19

2

c700 FTEs

less ytd

-70 branches

ytd

Reflects IFRS16

G&A / Depr.

reclassifications

-13% yoy net

of IFRS16

impact

Up qoq due to incorporation

of the full IFRS16 impact on

depreciation in 3Q19 upon

Pangaea deconsolidation

G&As / other

Personnel

Asset quality

4


Bank NPE reduction channels & target (€ b)

NPE operational performance Bank NPE reduction targets (€ b)

11.4

-3.7

-2.2

-3.6 -0.3

1.6

9M19 Sales &

securitizations

Liquidations Formation,

recov & debt

fgv.

Write offs &

other

FY22

NPE reduction reaches €4.0b ytd, near the FY19 target; developments bode well for further acceleration in 2020

Asset Quality

• NPEs reduced by €4.0b ytd, of which €1.5b in 3Q19

• Remaining effort of just €0.3b to reach the FY19 target

• The envisaged NPE reduction is accelerated by positive

developments in the APS securitization scheme, the new

law on primary residence protection, favorable real estate

price developments and the tightening of sovereign bond

yields

15.2

14.0

12.7

11.1

10.2

9.1

8.07.6

5.7

2.4

0.9

6.4

-2.8 4

-1.4 4.6

-2.0

-1.1 4.1

-1.4 3

-1.5 -0.3

-2.2

-4.6

-2.8

21.5

18.7

17.3

15.4

14.3

12.9

11.4 11.1

8.9

4.3

1.6

+90dpd

NPEs

-9.8

Remaining

effort:

€9.8b

Achieved:

€10.1b


Domestic NPE stock evolution (€ b)

NPE balance change (€ m, Bank)Domestic NPE stock per category – 3Q19 (€ b)

1. Before write-offs

NPE stock reduction of €1.5b in 3Q19, reflects sales (-€1.2b) and sustained negative organic formation1

Asset Quality

11.6

8.1

5.1

0.5 0.81.6

1.6

0.10.2

1.5

6.7

0.71.0

3.1

Mortgages Consumer SBL Corporate

FNPE & other

impaired

90dpd

11.5 11.2 10.3 9.3 8.1

4.6 4.34.1

3.83.5

16.1 15.614.5

13.111.6

3Q18 4Q18 1Q19 2Q19 3Q19

FNPEs & other

impaired

90dpd

42.5% 41.1% 39.0% 36.5% 34.1%NPE ratio -337 -985 -1.350 -1.423-2NPE reduction

before w.o.

383 351 406 395 332

-385

-688 -664-781

-592

-727-963

-1,163

-68 -226 -94 -58 -41

3Q18 4Q18 1Q19 2Q19 3Q19

NPE inflows

Curings

Sales/securit. Symbol sale

Mirror sale

Write-offs

o/w: debt

forgiveness

€0.2b

-299

-294

Debt fgv, recoveries

liquidations -431

-350

-221

-443

-364

-324-36

-349

NPE outflows

Icon & Leo

sales


Mortgages (€ m)

1. Bank perimeter, excluding write offs

Asset Quality

Bank NPE1 reduction across all lines of business is sustained throughout the year, driven by multiple sales

Consumer (€ m) NPE change* (€ m)

SBLs (€ m) Corporate (€ m)

42

-53-40

-179-149

3Q18 4Q18 1Q19 2Q19 3Q19

24

-47 -8

-701

-33

3Q18 4Q18 1Q19 2Q19 3Q19

0

-61

-446

-239 -242

3Q18 4Q18 1Q19 2Q19 3Q19

-68-176

-490

-230

-1,000

3Q18 4Q18 1Q19 2Q19 3Q19

-264

-2

-337

-985

-1,350

-1,423

2Q18 3Q18 4Q18 1Q19 2Q19 3Q19

Symbol sale

(€0.7b)

Mirror sale

(€1.0b)

Icon (€0.9b) &

Leo sales (€0.2b)

Icon

(€0.7b) &

Leo sales

(€0.2b)Icon

sale

(€0.2b)

Includes Mirror

sale (€0.7b)

Symbol

sale (€0.4b) Symbol sale

(€0.3b)

Debt forgiveness

Mirror

sale

(€0.2b)


Domestic NPE ratios and coverage | 3Q19

Domestic 90dpd ratios and coverage | 3Q19

51%

109%

97%

134%76.7% 76.6%

35%

24%

42%

11%

23.9% 24.4%

Mortgages Consumer SBL Corporate Total GRE Group

39%

85%

80%

70%53.8% 54.8%

45%

30%

51%

21%

34.1% 34.2%

Mortgages Consumer SBL Corporate Total GRE Group

1. Collateral coverages are Bank level.

2. NPE coverage incorporates additional haircuts on the market value of collateral.

High NPE coverage and positive systemic developments allow for frontloading of the NPE reduction plan

Asset Quality

Domestic forborne stock (€ b) 3Q19

Domestic 90dpd – NPE bridge (€ b) | 3Q19

8.1

2.6 0.6 0.3 11.6

90dpd FNPE <30 FNPE 31-90 Other impaired NPEs

FNPE<30 dpd

2.6

FNPE 31-90dpd

0.6

FNPE >90dpd

1.8

FPE 2.5

90dpd

coverage

NPE

coverage2

18% 26% 41% 15% 18%LLAs/

Gross loans

7.5

Collateral

coverage174% 24% 68% 58% 66%

Collateral

coverage170% 24% 64% 58% 64%


Group loan staging and evolution (€ b)

Asset Quality

Stage 3 loans are being replaced by Stage 1 loans

Group Stage 2 ratios and coverage (%) Group Stage 3 ratios and coverage (%)

15.9 16.1 16.3 16.4

7.5 7.6 7.4 7.1

16.1 15.013.6 12.1

31.12.18 31.03.19 30.06.19 30.09.19

Stage 3

Stage 2

Stage 1

-0.4

+0.5

Δ ytd

-4.0

55.5%54.9%

51.8%50.6%

40.9%

38.9%

36.4%

34.1%

31.12.18 31.03.19 30.06.19 30.09.19

Coverage

5.9% 5.5% 5.8% 5.1%

18.9%19.6% 19.9% 19.9%

31.12.18 31.03.19 30.06.19 30.09.19

Ratio

Ratio

Coverage

o/w:

€2.5b FPEs

€4.2b SICR

€0.4b +30dpd


Scheduled auctions (09.2019)1

1 The sources for scheduled auctions are the following:

→The judiciary Publications Bulletin and the special website for the web publishing of auctions, that works under the authority of the Legal Professionals' Insurance Fund

→The website of the Independent Authority of Public Revenue

→The website of the Federation of Bailiffs

→Auctions' notifications served by a Bailiff to the Legal Services of the Bank when a mortgaged property is auctioned

Asset Quality

Auctions gather pace in 3Q19 reaching 1Q19 levels, despite seasonality

NBG auctions outcome 3Q19 Auctioned assets (NBG only)

1,332

1,858

1,577

547

NBG Peer 1 Peer 2 Peer 3

Held

Successful

Not successful

20%

29%

51%

3Q19

Suspended

49%

33

271

478

1,482

741

653

742

1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19

2018 effort was

back-loaded due to

slow start in 1H18

slow down due to

national elections

no auctions in

August


Portfolio Status Size

Completed/

Estimated

completion Transaction details

Consumer unsecured Closed €0.1b June 2016 Priced at €16c

Project Earth Closed €2.0b July 2018

Capital accretive (+18bps)

and P&L positive.

Priced at €6c

Project Symbol SPA signed c€0.9b 4Q19

Capital accretive. Priced

at c28% of the principal

portfolio amount

Project Mirror Closed c€1.2b 4Q19

Capital accretive. Priced

at >9% of the principal

portfolio amount

Project Leo SPA signed c€0.3b 4Q19Portfolio of

shipping loans

Project Icon NBOs received c€0.9b 4Q19

Portfolio of denounced,

non operating corporates,

SME & SBLs

Secured/Unsecured

corporateNBOs received c€0.2b 4Q19

Portfolio of real-estate

backed non-operating

corporate loans

Secured/ Unsecured

Corporate & retailLaunched c€0.3b 4Q19

Portfolio of corporate &

retail loans

Asset Quality

NPΕ transactions completed and near completion

Schedule

Liquidity

5

31 Corporate Presentation – December 2019Liquidity

Further optimization of the funding profile has pushed interbank exposures to lower levels; Deposit base currently

accounts for 88% of total funding

Eurosystem funding(Bank, €b)

11.0

6.1

5.2 5.6

5.63.8

2.3

22.8

14.9

12.6 12.3

10.2

8.4

6.0

2.8 2.8 2.8 2.3 2.3 2.3 2.3 2.3 2.3

2Q16 4Q16 2Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19Nov 19

ECB ELA

TLTRO

Interbank funding(Bank, net, €b)

3.33.4

3.3 3.3 3.3

1.6

0.9

0.2

Dec 17 Mar 18 Jun 18 Sep 18 Dec 18 Mar 19 Jun 19 Sep 19

Funding structure(average, %)

63%

25%

5%5%

4%

Time Deposits

Current & Sight Deposits

ECB

Interbank

Long-term debt

Including €400mn

Tier II


Group LCR

Deposit evolution by geography (€ b)

40.0 41.7 41.2 41.6 41.4

1.3 1.3 1.3 1.3 1.4

3Q18 4Q18 1Q19 2Q19 3Q19

-2.2

-4.8-3.6

0.8

0.0

0.9

0.2

1.70.9 1.7 0.4

-0.2

4Q14 1Q15 2Q15 4Q15 2Q16 4Q16 2Q17 4Q17 2Q18 4Q18 2Q19 3Q19

Domestic deposit recovery (+3.5% yoy) continues

YoY

+3.5%

+7.7%

Group

SEE &

Other

+3.6%41.3 43.0 42.5 42.9 42.8

Greece-€10.6b +€6.0b

124%

144%151%

171%

198%

3Q18 4Q18 1Q19 2Q19 3Q19

NSFR at

116%

NBG domestic deposit flows per quarter (€ b)

Liquidity

Capital

6

34 Corporate Presentation – December 20191. CET1 and Total Capital Ratios are pro forma for 9M19 PAT and the impact of agreed divestments in Romania and Egypt, as well as Cyprus

Capital

CET1 & Total Capital ratio at 16.8%1 & 17.7%1

14.8%+0.34% +0.11% 15.2%

+1.11% 16.4%+0.4% 16.8%

+13.8%

CET1 2Q19 FVTOCI net of SI RWAs & Other 3Q19A 9M19 PAT 3Q19 including

9M19 PAT

BROM, Cairo &

Cyprus disposals

3Q19PF 2019 SREP capital

requirements

3Q19 CET1 ratio movement

RWAs

(€ b)

CET1:

€6.2b

CET1:

10.25%

OCR:

13.75%

CET1 FL:

13.4%

Total Capital ratio

at 17.7%

38.2 37.8 37.0

CET1 FL:

13.1%

CET1:

€6.2b

CET1:

€5.8b

Macro

7


Macroeconomic tailwinds and recovery of banking fundamentals

16.5

2018

19.3

15.5

17.7

20212019 2020

14.8

2022

20202018

1.9 2.0

2019

1.81.8

2021

1.7

2022

100

2021

106

2018 2019

103

2020

109112

2022

373296 293 301 311

20212018 20222019 2020

20222018 20212019 2020

3.6

1.9

3.9 3.5 3.2

20232018 20193 2020 20222021

-13.5

11.55.9 6.2 6.4 6.6

Greek 10yr

sovereign bond

spread over G.

Bund2

(bps)

Unemployment

rate (%)1

GDP growth (%)1

Gross fixed

capital formation

excl. residential

(nominal,

yoy growth)

Private sector

disposable

income

(nominal,

yoy growth)

Sources: ELSTAT, Focus Economics Consensus, NBG - Economic Analysis Division estimates

Sources: Bank of Greece, NBG - Economic Analysis Division estimates

Sources: Focus Economics, NBG - Economic Analysis Division estimates

House Price Index

(rebased to 2018)




1. Average annual | 2. Average of quarterly spreads | 3. 2019 Fixed capital formation based on NBG economic analysis estimates, accounting for a positive base effect and transfer of public investments from 2018 to 2019

Macro


Sources: EL.STAT., Bank of Greece, EU Commission & NBG Economic Analysis estimates

Macro

Activity is expected to accelerate in 2H19, supported by buoyant sentiment, solid tourism and rising

disposable income

Economic sentiment & real GDP growth Employment growth – Unemployment rate

60

70

80

90

100

110

120

-12

-8

-4

0

4

8

3Q

07

2Q

08

1Q

09

4Q

09

3Q

10

2Q

11

1Q

12

4Q

12

3Q

13

2Q

14

1Q

15

4Q

15

3Q

16

2Q

17

1Q

18

4Q

18

3Q

19

GDP growth (left axis)

EC Economic sentiment indicator (right axis)

y-o-y

index

Oct.19

0

6

12

18

24

30

-12

-6

0

6

12

18

1Q

09

3Q

09

1Q

10

3Q

10

1Q

11

3Q

11

1Q

12

3Q

12

1Q

13

3Q

13

1Q

14

3Q

14

1Q

15

3Q

15

1Q

16

3Q

16

1Q

17

3Q

17

1Q

18

3Q

18

1Q

19

3Q

19

*

Employment growth (left axis) Unemployment rate (right axis)

%y-o-y

** 3Q19: average of Jul.-Aug.19

-10

-5

0

5

10

15

20

25

-10

-5

0

5

10

15

20

25

201

0

201

1

201

2

201

3

201

4

201

5

201

6

201

7

201

8

8M

19

*

Tourist arrivals (excl. cruises, y-o-y)

Tourism receipts (excl. cruises, y-o-y)

Exports of goods (real, y-o-y)

y-o-y

*1H19 data for exports of goods

Tourism receipts, arrivals & exports of goods Households’ income, confidence & private consumption

-80

-70

-60

-50

-40

-30

-20

-10

0

10

-12

-9

-6

-3

0

3

6

9

200

1

200

2

200

3

200

4

200

5

200

6

200

7

200

8

200

9

201

0

201

1

201

2

201

3

201

4

201

5

201

6

201

7

201

8

1H

19

3Q

19

Private consumption (real, left axis)

Households' disposable income (real, left axis)

Consumer confidence index (index, right axis)

y-o-y 1H19:+4.5% y-o-y

3Q19: -11.7

index


Sources: EL.STAT., Bank of Greece, Ministry of Finance, EU Commission, IMF & NBG Economic Analysis estimates

Macro

-4

-2

0

2

4

6

8

10-10

-8

-6

-4

-2

0

2

4

201

0

201

1

201

2

201

3

201

4

201

5

201

6

201

7

201

8

201

9e

202

0f

Annual change in cycl. adj. Gen. Gov. Prim. balance (inverted right axis)

Real GDP growth (left axis)

y-o-y

% potential GDP,

inverted axis

State budget – Primary balance (cumulative)

0,5

2,2

1,3

0,1

1,2

0,4

1,8

1,3

0,1

1,1

1,5

2,2

1,5

0,7

1,5

1,0

2,3

1,3

0,4

1,2

0

1

2

3

Germany Greece France Italy Euro area

2019 - Spring 2019 estimate 2019 - Autumn 2019 estimate

2020 - Spring 2019 estimate 2020 - Autumn 2019 estimate

%

2019 2019 2019 2019 20192020 2020 2020 2020 2020

Capacity utilization & manufacturing production

60

63

66

69

72

75

-15

-10

-5

0

5

10

Sep

-12

Jan-1

3

May-13

Sep

-13

Jan-1

4

May-14

Sep

-14

Jan-1

5

May-15

Sep

-15

Jan-1

6

May-16

Sep

-16

Jan-1

7

May-17

Sep

-17

Jan-1

8

May-18

Sep

-18

Jan-1

9

May-19

Sep

-19

Capacity utilization (right axis) Manufacturing production (left axis)

y-o-y,

3m m.a.

%

-0,5

0,0

0,5

1,0

1,5

2,0

2,5

Jan. Feb. Mar. Apr. May. Jun. Jul. Aug. Sep.

2017 2018 2019

% GDPexcl. SMP & ANFA

9M19: includes €1.1mn from the extension of AIA concession rights

Fiscal credibility remains high, setting the stage for a further easing in 2020, which will counteract weak

external demand | Manufacturing production and capacity utilization picked up in 3Q19

EU Commission: Real GDP growth forecasts

Fiscal stance & GDP growth


Sources: Bank of Greece, PDMA, Bloomberg, ThomsonReuters & NBG Economic Analysis estimates

Macro

300

500

700

900

1100

1

2

3

4

5

May-18

Jun

-18

Jul-

18

Aug

-18

Sep

-18

Oct-

18

No

v-18

Dec-18

Jan-1

9

Feb

-19

Mar-

19

Apr-

19

May-19

Jun

-19

Jul-

19

Aug

-19

Sep

-19

Oct-

19

No

v-19

10yr Greek government bond spread (left axis)

ASE general index (right axis)

ASE index - banks (right axis)

% index

mid

-

0

200

400

600

800

1000

1200

1400

0

200

400

600

800

1000

1200

1400

Feb

-17

May-17

Aug

-17

No

v-17

Feb

-18

May-18

Aug

-18

No

v-18

Feb

-19

May-19

Aug

-19

No

v-19

2 years 5 years 10 years

bps

mid rate spread over the respectιve benchmark curve

Greece's sovereign ratings:

Fitch: BB-, stable outlook

S&P: BB-, positive outlook

Moody’s: B1, stable outlook

mid

-

ASE general index & 10yr GGB spread over bund Hellenic Republic, CDS

-16

-12

-8

-4

0

4

8

12

-16

-12

-8

-4

0

4

8

12

2H

11

1H

12

2H

12

1H

13

2H

13

1H

14

2H

14

1H

15

2H

15

1H

16

2H

16

1H

17

2H

17

1H

18

2H

18

1H

19

House prices (total, y-o-y) House prices (Athens, y-o-y)

Office prices (total, y-o-y) Retail space prices (total, y-o-y)

y-o-y

2Q19

Total: +7.7% y-o-y

Athens: +11.1% y-o-y

Residential & commercial real estate prices

-1,0

-0,5

0,0

0,5

1,0

1,5

2,0

-1,0

-0,5

0,0

0,5

1,0

1,5

2,0

Jan-1

8

Feb

-18

Mar-

18

Apr-

18

May-18

Jun

-18

Jul-

18

Aug

-18

Sep

-18

Oct-

18

No

v-18

Dec-18

Jan-1

9

Feb

-19

Mar-

19

Apr-

19

May-19

Jun

-19

Jul-

19

Aug

-19

Sep

-19

Oct-

19

No

v-19

3M T-bill rate

6M T-bill rate

3M Euribor

Interest rate on new time deposits (households, up to 1yr)

%

mid

-

Greek assets finally benefit from falling country risk and looser monetary conditions | Greek government

bond yields near an all-time low, 3M T-bill rate in negative territory and ASE general index at 47% y-t-d

Interest rates: T-bills, 3M Euribor & new time deposits

Appendix

8


Balance Sheet | Group

Group Balance Sheet & P&L

P&L | Group

€ m 3Q19 2Q19 1Q19 4Q18 3Q18

Cash & Reserves 2 958 1 839 2 570 5 138 4 875

Interbank placements 3 295 3 054 3 072 2 546 1 793

Securities 8 993 10 154 9 123 8 959 8 396

Loans (Gross) 35 645 37 502 38 808 39 600 39 732

Provisions (Stock) (6 579) (7 563) (8 751) (9 466) (9 921)

Goodwill & intangibles 176 160 145 150 140

RoU assets 1 302 1 319 61 - -

Property & equipment 453 456 461 465 460

DTA 4 909 4 909 4 910 4 909 4 914

Other assets 8 229 7 407 6 635 6 013 5 835

Assets held for sale 6 446 5 897 7 183 6 780 6 930

Total assets 65 828 65 131 64 217 65 095 63 153

Interbank liabilities 4 832 5 642 5 743 7 667 6 960

Due to customers 42 809 42 943 42 500 43 027 41 322

Debt securities 1 366 959 963 854 858

Other liabilities 5 167 4 327 4 201 3 218 3 671

Lease liabilities 1 348 1 359 100 - -

Liabilities held for sale 4 408 4 331 4 936 4 691 4 620

Minorities 20 19 696 676 670

Equity 5 880 5 550 5 078 4 962 5 051

Total equity and liabilities 65 828 65 131 64 217 65 095 63 153

Appendix

€ m 3Q19 2Q19 1Q19 4Q18 3Q18

NII 300 309 290 275 275

Net fees & commissions 64 61 59 66 58

Core Income 364 370 349 341 333

Trading & other income 106 51 100 (47) (6)

Income 470 421 448 294 327

Operating Expenses (213) (204) (204) (218) (227)

Core Pre-Provision Income 151 165 145 123 106

Pre-Provision Income 257 217 245 76 100

Loan Impairment (99) (101) (103) (60) (81)

Operating Profit 158 116 142 16 19

Core Operating Profit 52 64 43 62 25

Other impairment 16 11 (8) (1) 1

PBT 173 126 135 15 20

Taxes (3) (5) (4) (7) (6)

PAT (cont. ops) 171 122 131 8 14

PAT (discont ops) 16 82 21 (84) 11

LEPETE (36) - - - -

One-offs (5) (4) (101) (38) -

Minorities (1) (8) (10) (7) (8)

PAT 146 192 41 (120) 17


Greece

Regional P&L: Greece & Other International

Appendix

Other International

€ m 3Q19 2Q19 1Q19 4Q18 3Q18

NII 284 293 274 259 258


Core Income 345 351 330 322 313

Trading & other income 105 49 100 (48) (5)

Income 450 400 430 274 307




Loan Impairment (23) (100) (100) (59) (78)

Operating Profit 223 105 136 10 15

Core Operating Profit 118 56 36 58 20

Other impairment 16 11 (7) 1 1

PBT 239 116 129 11 16

Taxes (2) (4) (2) (5) (5)

PAT (cont. ops) 237 113 127 6 11

PAT (discont. ops) 20 84 1 (10) 10

LEPETE (36) - - - -

One-offs (5) (4) (101) (38) -

Minorities - (8) (9) (6) (7)

PAT 216 186 18 (48) 14

€ m 3Q19 2Q19 1Q19 4Q18 3Q18

NII 15 16 16 16 17


Core Income 19 19 19 19 20

Trading & other income 1 3 (0) 1 (1)

Income 20 21 18 20 20




Loan Impairment (77) (1) (3) (1) (3)

Operating Profit (66) 10 6 5 4

Core Operating Profit (67) 8 6 4 5

Other impairment (0) (0) (0) (1) (0)

PBT (66) 10 6 4 4

Taxes (1) (1) (1) (3) (1)

PAT (cont. ops) (66) 9 5 1 3


Evolution of RWAs (€ b)

Appendix

RWA Evolution | Asset-liability mix

Asset mix (€ b) Liability mix (€ b)

Other 16.6

DTA 4.9

SEE & Other net

loans 1.3

Domestic net

loans 27.8

Securities

9.0

Interbank

placements 3.3Cash 3.0

65.8

Assets

Total equity and

minorities 5.9

Other Liabil.

10.9

Debt

securities 1.4

SEE & Other

deposits 1.4

Time 11.2

Current, Sight

& Other 9.8

Savings 20.3

ECB 2.3

Interbank liabil.

2.6

65.8

Liabilities

Domestic

deposits 41.4

61.8

-20.7

41.1

-3.8

37.3

-2.3

35.0+2.8 37.8

RWAs

2015

RWAs

2016

RWAs

2017

FY18 9M19

44 Corporate Presentation – December 2019Appendix

NBG Shareholder structure as at September 2019

HFSF 40.4%

Domestic private &

public legal entities 6.0%

Int'l Institutionals

(private & legal entities)

45.2%

Domestic pension funds &

other 0.4%

Domestic retail

investors 8.0%


The 3Q19 Financial Results Press Release contains financial information and measures as derived from the Group’s and the Bank’s financial

statements for the period ended 30 September 2019 and for the year ended 31 December 2018, which have been prepared in accordance with

International Accounting Standard 34 “Interim Financial Reporting” and International Financial Reporting Standards (“IFRS”), as endorsed by the EU

respectively. Additionally, it contains financial data which is compiled as a normal part of our financial reporting and management information

systems. For instance, financial items are categorized as foreign or domestic on the basis of the jurisdiction of organization of the individual Group

entity whose separate financial statements record such items.

Moreover, it contains references to certain measures which are not defined under IFRS, including “pre-provision income” (“PPI”), “net interest margin”

and others, as defined below. These measures are non-IFRS financial measures. A non-IFRS financial measure is a measure that measures historical or

future financial performance, financial position or cash flows but which excludes or includes amounts that would not be so adjusted in the most

comparable IFRS measure. The Group believes that the non-IFRS financial measures it presents allow a more meaningful analysis of the Group’s

financial condition and results of operations. However, the non-IFRS financial measures presented are not a substitute for IFRS measures.

Legal

ESMA Alternative Performance Measures (APMs), definition of financial data and ratios used


Name Abbreviation DefinitionBalance Sheet B/S Statement of Financial Position

Binding Offers / Non Binding Offers BOs / NBOs

Common Equity Tier 1 Ratio CET1 Ratio CET1 capital as defined by Regulation No 575/2013, with the application of the regulatory transitional arrangements for IFRS 9 impact over RWAs

Common Equity Tier 1 Ratio Fully Loaded CET1 FL Ratio CET1 capital as defined by Regulation No 575/2013, without the application of the regulatory transitional arrangements for IFRS 9 impact over RWAs

Core Deposits - Consists of current, sight and other deposits, as well as savings accounts, and exclude repos and time deposits

Core Income CI Net Interest Income (“NII”) + Net fee and commission income

Core Operating Result/ Core Operating Profit /

(Loss)- Core income less operating expenses and loan impairments (impairment charge for credit losses)

Core Operating Margin - Core operating profit / (loss) annualized over average net loans

Core Pre-Provision Income Core PPI Core Income less operating expenses

Core Pre-Provision Margin Core PPI margin Core PPI annualized over average net loans

Cost of Risk / Provisioning Rate CoR Loan impairments of the period annualized over average net loans

Cost-to-Core Income Ratio C:CI Operating expenses over core Income

Cost-to-Income Ratio C:I Operating expenses over total income

Deposit Yields - Annualized interest expense on deposits over deposit balances

Depreciation - Depreciation and amortization on investment property, property & equipment and software & other intangible assets

Equity/Book Value BV Equity attributable to NBG shareholders

Fees/Net Fees/Fees and Commissions - Net fee and commission income

Forborne - Exposures for which forbearance measures have been extended according to EBA ITS technical standards on Forbearance and Non-Performing Exposures

Forborne Non-Performing Exposures FNPEsExposures with forbearance measures that meet the criteria to be considered as non performing according to EBA ITS technical standards on Forbearance and

Non-Performing Exposures

Forborne Performing Exposures FPEsExposures with forbearance measures that do not meet the criteria to be considered as non performing according to EBA ITS technical standards on

Forbearance and Non-Performing Exposures and forborne exposures under probation period

Forborne Yield - Annualized return calculated on the basis of interest income from Forborne loans, over the average accruing Forborne loan balance

Funding cost/Cost of funding - The blended cost of deposits, ECB refinancing, repo transactions, as well as covered bonds and securitization transactions

General and administrative expenses G&As General, administrative and other operating expenses

Gross Book Value GBV Loans and advances to customers before ECL allowance for impairment on loans and advances to customers and mandatorily at FVTPL

Gross Loans - Loans and advances to customers before ECL allowance for impairment on loans and advances to customers

Interest Earning Assets -

Interest earning assets include all assets with interest earning potentials and includes cash and balances with central banks, due from banks, financial assets at

fair value through profit or loss (excluding Equity securities and mutual funds units), loans and advances to customers and investment securities (excluding

equity securities and mutual funds units).

Liquidity Coverage Ratio LCRThe LCR refers to the liquidity buffer on High Quality Liquid Assets (HQLAs) that a Financial Institution holds, in order to withstand net liquidity outflows over a

30 calendar-day stresses period

Loan Impairment - Impairment charge for Expected Credit Loss (ECL) credit losses

Loan / Lending Yield - Annualized loan interest income over gross performing exposures

Loans-to-Deposits Ratio L:D Net loans over total deposits, period end

Appendix

Definition of financial data, ratios used and alternative performance measures


Name Abbreviation DefinitionNet Fees & Commissions / Fees / Net Fees - Refers to net fee and commission income

Net Interest Income NII Refers to Net Interest Income

Net Interest Margin NIM

Net interest income over average interest earning assets. Net Interest Margin equals net interest income divided by the average of interest earning assets

(the average of interest earning assets at the end of the current year and the end of the previous year and all quarter ends in between (5 periods) for the

year end)..

Net Stable Funding Ratio NSFRThe NSFR refers to the portion of liabilities and capital expected to be sustainable over the time horizon considered by the NSFR over the amount of

stable funding that must be allocated to the various assets, based on their liquidity characteristics and residual maturities

Net Loans - Loans and advances to customers

Net Profit / (Loss) - Profit / (loss) for the period attributable to NBG equity shareholders

Non-Performing Exposures NPEs

Non-performing exposures are defined according to EBA ITS technical standards on Forbearance and Non-Performing Exposures as exposures that satisfy

either or both of the following criteria:

a) Material exposures which are more than 90 days past due

b) The debtor is assessed as unlikely to pay its credit obligations in full without realization of collateral, regardless of the existence of any past due

amount or of the number of days past due.

Non-Performing Exposures Coverage Ratio NPE coverage Stock of provisions over non-performing exposures, excluding loans mandatorily classified as FVTPL, period end

Non-Performing Exposures Organic Formation NPE organic formation Net Balance change, excluding sales & write-offs

Non-Performing Exposures Ratio NPE ratio Non-performing exposures over gross loans, period end

Non-Performing Loans NPLs Loans and advances to customers in arrears for 90 days or more

Non-Staff Costs / Expenses - G&As + Depreciation

90 Days Past Due Coverage Ratio 90dpd coverage Stock of provisions over gross loans in arrears for 90 days or more excluding loans mandatorily classified as FVTPL, period end

90 Days Past Due Ratio 90dpd ratio/ NPL ratio Gross loans that are in arrears for 90 days or more over gross loans, period end

Operating Expenses/Operating Costs/Total Costs OpExPersonnel expenses +G&As+ Depreciation, excluding restructuring & VES costs. For 9M19, operating expenses excludes the VES cost of €94m, other

restructuring costs of €16m and the LEPETE charge of €36m. For 9M18, operating expenses exclude the VES cost of €40m.

Operating Result / Operating Profit (Loss) - Total income less operating expenses and provisions

Other Impairments - Impairment charge for securities + other provisions and impairment charges on properties

Pre-Provision Income PPI Total income less operating expenses, before loan impairments

Profit /(Loss) for the period (“PAT”) from Continuing

Operations

PAT from Continuing

Operations

Profit for the period from continuing operations excluding restructurings & VES costs. For 9M19, PAT (CONT. OPS) excludes the VES cost of €94m, other

restructuring costs of €16m and the LEPETE charge of €36m. For 9M18, operating expenses exclude the VES cost of €40m

Performing Exposure YieldAnnualized return calculated on the basis on interest income from Performing (and not forborne) loans, over the average accruing Performing (not

forborne) loan balance

Performing Loans / Exposures PEs Gross loans less NPEs

Profit and Loss P&L Income Statement

Provisions (Stock) / Loan Loss Allowance LLAs ECL allowance for impairment on loans and advances to customers

Risk Adjusted NII - Net Interest Income – Cost of Risk

Risk Adjusted NIM Net Interest Margin – Cost of Risk

Risk Weighted Assets RWAs Assets and off-balance-sheet exposures, weighted according to risk factors based on Regulation (EU) No 575/2013

Staff Costs - Refers to personnel expenses

Tangible Equity / Book Value TBV Common equity less goodwill & intangibles (goodwill, software and other intangible assets)

Taxes - Tax benefit / (expenses)

Trading and Other Income / Non Core Income - Net trading income/(loss) and results from investment securities {“trading income/(loss)”} + Net other income / (expense) {“other income/(expense)”}

Total Capital Ratio - Total capital as defined by Regulation No 575/2013, with the application of the regulatory transitional arrangements for IFRS9 impact over RWAs

Total /group deposits - Due to customers

Total Lending Yield - Annualized return calculated on the basis of interest income from Total loan book, over the average accruing Total loans balance

VES & other restructuring Costs - Restructuring Costs including VES and expenditure related to the Transformation Program

Appendix

Definition of financial data, ratios used and alternative performance measures


The information, statements and opinions set out in this presentation and accompanying discussion (the “Presentation”) have been provided by

National Bank of Greece S.A. (the “Bank”) (together with its consolidated subsidiaries (the “Group”)). They serve informational only purposes and

should not be considered as advice or a recommendation to investors or potential investors in relation to holding, purchasing or selling securities or

other financial products or instruments and do not take into account particular investment objectives, financial situation or needs. It is not a research

report, a trade confirmation or an offer or solicitation of an offer to buy/sell any financial instruments.

Accuracy of Information and Limitation of Liability

Whilst reasonable care has been taken to ensure that its contents are true and accurate, no representations or warranties, express or implied are

given in, or in respect of the accuracy or completeness of any information included in the Presentation. To the fullest extent permitted by law in no

circumstances will the Bank, or any of its respective subsidiaries, shareholders, affiliates, representatives, directors, officers, employees, advisers or

agents be responsible or liable for any direct, indirect or consequential loss or loss of profit arising from the use of the Presentation, its contents

(including the internal economic models), its omissions, reliance on the information contained within it, or on opinions communicated in relation

thereto or otherwise arising in connection therewith. The information contained in the Presentation has not been independently verified.

Recipients of the Presentation are not to construe its contents, or any prior or subsequent communications from or with the Bank or its

representatives as financial, investment, legal, tax, business or other professional advice. In addition, the Presentation does not purport to be all-

inclusive or to contain all of the information that may be required to make a full analysis of the Bank. Recipients of the Presentation should consult

with their own advisers and should each make their own evaluation of the Bank and of the relevance and adequacy of the information.

The presentation includes certain non-IFRS financial measures. These measures presented under “Definition of financial data, ratios used and

alternative performance measures” Section herein may not be comparable to those of other credit institutions. Reference to these non-IFRS financial

measures should be considered in addition to IFRS financial measures, but should not be considered a substitute for results that are presented in

accordance with IFRS.

Due to rounding, numbers presented throughout the Presentation may not add up precisely to the totals provided and percentages may not

precisely reflect the absolute figures.

Forward Looking Statements

The Presentation contains forward-looking statements relating to management’s intent, belief or current expectations with respect to, inter alia, the

Bank’s businesses and operations, market conditions, results of operation and financial condition, capital adequacy, risk management practices,

liquidity, prospects, growth and strategies (“Forward Looking Statements”). Forward Looking Statements concern future circumstances and results

and other statements that are not historical facts, sometimes identified by the words “may”, “will”, “believes”, “expects”, “predicts”, “intends”,

“projects”, “plans”, “estimates”, “aims”, “foresees”, “anticipates”, “targets”, “would”, “could” or similar expressions or the negative thereof.

Legal

Important Notice – Disclaimer


Forward Looking Statements reflect knowledge and information available at the date of the Presentation and are subject to inherent uncertainties

and qualifications and are based on numerous assumptions, in each case whether or not identified in the Presentation. Although Forward Looking

statements contained in the Presentation are based upon what management of the Bank believes are reasonable assumptions, because these

assumptions are inherently subject to significant uncertainties and contingencies that are difficult or impossible to predict and are beyond the Bank’s

control, no assurance can be provided that the Bank will achieve or accomplish these expectations, beliefs or projections. Forward Looking

Statements are provided for illustrative purposes only and are not intended to serve as, and must not be relied on as, a guarantee, an assurance, a

prediction or a definitive statement of fact or probability.

The Bank’s actual results may differ materially from those discussed in the Forward Looking Statements. Some important factors that could cause

actual results to differ materially from those in any Forward Looking Statements could include, inter alia, changes in domestic and foreign business,

market, financial, political and legal conditions including changing industry regulation, adverse decisions by domestic or international regulatory and

supervisory authorities, the impact of market size reduction, the ability to maintain credit ratings, capital resources and capital expenditures, adverse

litigation and dispute outcomes and the effect of such outcomes on the Group’s financial condition.

There can be no assurance that any particular Forward Looking Statement will be realized, and the Bank expressly disclaims any obligation or

undertaking to release any updates or revisions to any Forward Looking Statement to reflect any change in the Bank’s expectations with regard

thereto or any changes in events, conditions or circumstances on which any Forward Looking Statement is based. Accordingly, the reader is

cautioned not to place undue reliance on Forward Looking Statements.

No Updates

Unless otherwise specified all information in the Presentation is as of the date of the Presentation. Neither the delivery of the Presentation nor any

other communication with its recipients shall, under any circumstances, create any implication that there has been no change in the Bank’s affairs

since such date. Except as otherwise noted herein, the Bank does not intend to, nor will it assume any obligation to, update the Presentation or any

of the information included herein.

The Presentation is subject to Greek law, and any dispute arising in respect of the Presentation is subject to the exclusive jurisdiction of the Courts of

Athens.

Legal

Important Notice – Forward Looking Information

Contact details

Pavlos Mylonas

CEO

+30210 334 1521

[email protected]

Greg Papagrigoris

Head of IR and Rating Agencies

+30210 334 2310

[email protected]

This presentation is not an offer to buy or sell or a solicitation of an offer to buy or sell any security or instrument or to participate in any trading strategy. No part of this presentation may be construed as

constituting investment advice or recommendation to enter into any transaction. No representation or warranty is given with respect to the accuracy or completeness of the information contained in this

presentation, and no claim is made that any future to transact any securities will conform to any terms that may be contained herein. Before entering into any transaction, investors should determine any

economic risks and benefits, as well as any legal, tax, accounting consequences of doing so, as well as their ability to assume such risks, without reliance on the information contained in this presentation.

Christos Christodoulou

Group CFO

+30210 334 3051

[email protected]

Maria Kanellopoulou

Investor Relations Officer

+30210 334 1537

[email protected]

[email protected]

mailto:[email protected]





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