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FGB Investor Presentation

March 2015

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Disclaimer

This presentation provides information in summary form only and is not intended to be complete. It is not intended to be relied upon as

advice to investors or potential investors and does not take into account the investment objectives, financial situation or needs of any

particular investor.

No presentation ,express or implied, is made as to the fairness accuracy, completeness or correctness of information contained in this

presentation, including the accuracy, likelihood of achievement or reasonableness of any forecasts, prospects, synergies, returns,

benefits or statements in relation to future matters contained in the presentation.

The forward-looking statements are by their nature subject to significant uncertainties and contingencies and are based on numbers or

estimates or assumptions that are subject to change (and in many cases are outside the control of FGB and its directors) which may

cause the actual results or performance of FGB to be materially different from any future results or performance expressed or implied

by such forward looking statements.

To the maximum extent permitted by law, FGB disclaims any responsibility for the accuracy or completeness of any information

contained in this presentation including any forward-looking statements and disclaims any responsibility to update or revise any

information or forward-looking statement to reflect any change in FGB’s financial condition, status or affairs or any change in the

events, conditions or circumstances on which a statement is based.

To the maximum extent permitted by law, neither FGB nor its related bodies corporate, directors, employees or agents, nor any other

person, accepts any liability, including, without limitation, any liability arising from fault or negligence, for any direct, indirect or

consequential loss arising from the use of this presentation or its contents or otherwise arising in connection with it.

This presentation should be read in conjunction with other publicity available material. Further information including historical results

and a description of the activities of FGB is available on our website, www.fgb.ae

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Contents

• Operating Environment

• FGB Profile

• Q4/FY’14 Performance Review

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UAE Economic OverviewREAL GDP GROWTH (YOY % CHANGE)

UAE federation was established in 1971 and comprises of sevenEmirates

Politically stable country and highly favorable business climate

Second largest economy in the GCC; Total population estimatedat 9.3 Million

7th largest oil reserves in the world (92 Bn boe)

FY14 nominal GDP estimated at USD 416Bn

2015f and 2016f Real GDP growth both seen at 3.5%, down from4.7% in 2014e due to lower oil prices

According to the IMF, UAE fiscal deficit could reach 3.5% of GDPboth in 2015f and 2016f before returning to surplus in 2017

SOLID FUNDAMENTALS

Source: IMF, Moody’s, UAE National Bureau of Statistics, 2013 GDP

UAE GDP BREAKDOWN BY SECTOR

Agriculture1%

Mining &Quarrying

39%

Manufacturing9%

Electricity,Gas, Water

2%Construction9%

Trade,Restaurant &

Hotels12%

Transport8%

Real Estate &BusinessServices

10%

Finance7%

GovernmentServices

1%

Other2%

BUDGET BALANCE (AS % GDP)

0

2

4

6

8

2010 2011 2012 2013 2014e 2015f 2016f

%

Real GDP Growth Oil Real GDP GrowthNon-Oil Real GDP Growth

-8.0

-4.0

0.0

4.0

8.0

12.0

2010 2011 2012 2013 2014e 2015f

%

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Abu Dhabi Economic Overview

Sharjah

ABU DHABI

Dubai Ajman

Umm al-Quwayn

Ras al-Khaymah

Fujairah

Largest Emirate in the UAE accounting for more than 80%of the country’s total land area

Abu Dhabi Nominal GDP estimated at USD 261.6Bn inFY14e1, that’s 63% of UAE overall nominal GDP

51.4% of 2013 GDP generated from the hydrocarbon sector

Major non-oil GDP contributors include: construction andreal estate, manufacturing, logistics, and wholesale andretail trade

Transition underway towards a more diversified economywith a particular focus on the infrastructure and servicessectors inline with Abu Dhabi Plan 2030

ABU DHABI AT A GLANCE

1 Source: Moody’s Credit Analysis Report on Government of Abu Dhabi published on 26 January 20152 Source: Statistics Center Abu Dhabi (SCAD)

ABU DHABI - KEY STATISTICS

Economic Structureand Performance 2013 2014e 2015f

Nominal GDP (USD Bn) 259.6 261.6 213.3

Nominal GDP (% change) 4.8 0.8 -18.4

Real GDP (% change) 5.2 4.1 2.5

Inflation Rate (CPI, % change) 1.3 3.0 3.2

Crude Oil Export Price (avg USD/b) 108.8 100.7 55.0

GovernmentFinance 2013 2014e 2015f

Gen. Gov Revenue/GDP (%) 45.5 43.8 33.1

Gen. Gov Expenditures/GDP (%) 29.0 27.7 34.2

Gen. Gov. Financial Balance/GDP (%) 16.5 16.1 -1.1

Gen. Gov. Debt/GDP (%) 2.7 2.7 3.2

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Plan Abu Dhabi 2030

Strata

ClevelandClinic

ParisSorbonne

ZayedUniversity

New YorkUniversity

Masdar City

Masdar City

Ferrari World Abu Dhabi

EmiratesPalace

EtihadTowers

Yas MarinaCircuit

ENERGY Masdar City - the world’s first carbon neutral, zero-waste to landfill, car-free city

powered entirely by alternative energy sources. Masdar Institute – an institute developed with Massachusetts Institute of Technology

(MIT) with the aim to develop the emirate’s human capital and develop research inalternative energies.

TOURISM

Hotels Etihad Towers Emirates Palace St. Regis Abu Dhabi Rocco Forte Hotel Qasr Al Sarab Desert Resort Ritz-Carlton Abu Dhabi Eastern Mangroves Hotel

Entertainment

Yas Marina Circuit Ferrari World Abu Dhabi Yas Waterworld Abu Dhabi Al Ain Wildlife Park Shopping malls

EDUCATION Universities: Paris Sorbonne Abu Dhabi, New York University, and Zayed University

AVIATION, AEROSPACE & DEFENCE Strata is a composite aero structures manufacturing facility, wholly-owned by

Mubadala, which has formed partnerships with a number of leading aerospacecompanies to establish manufacturing programs at a new plant in Al Ain.

HEALTHCARE, EQUIPMENT & SERVICES Cleveland Clinic Abu Dhabi will offer a 364-bed hospital organized into five institutes,

digestive disease, eye, heart & vascular, neurological, respiratory and critical care.

Source: Abu Dhabi Council for Economic Development (June 2012)

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GDP Per Capita(2)Oil Production(1)LT Ratings(Moody’s, S&P, Fitch)

Abu Dhabi in the GCC context

Kuwait

Qatar

Saudi Arabia

Abu Dhabi

Bahrain

Oman

Aa2, AA, AA

Aa2, AA, NR

Aa3, AA-, AA

Aa2 , AA, AA

Baa2 (-), BBB, BBB

A1, A, NR

3.1mn bpd+

2.0mn bpd+

11.5mn bpd+

0.4mn bpd+

0.9mn bpd+

USD 44,032

USD 93,536

USD 25,778

USD 28,707

USD 21,272

USD 74,927

1 Source: BP Statistical Review of World Energy (June 2014)2 2015 forecasts - Source: 2014 IMF data for all, except Abu Dhabi (Moody’s)Note: Unless otherwise indicated, all outlooks are stable; (-) Negative outlook

3.0mn bpd+

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Figures in AEDBn Dec’14 Dec’13 YoYChange

Total Assets, net 2,211 2,004 10%

Loans and Advances, net 1,284 1,179 9%

Customer Deposits 1,421 1,279 11%

LDR 90% 92% (200bps)

CAR 18.1% 19.3% (120bps)

Tier 1 capital 16.2% 16.9% (70bps)

UAE Banking Sector Landscape

UAE Banking sector comprises 51 banks (23 local, 28foreign)

Strong track record of systemic support as evident throughthe measures taken at the onset of the financial crisis

As of Dec’14, system L/D ratio stood at a historical low of90% implying a net deposit surplus of AED 138Bn

Loan book grew 9% YoY during 2014 against 11% forcustomer deposits

HIGHLIGHTS KEY INDICATORS1

1 Source: UAE Central Bank

SYSTEM LOAN-TO-DEPOSIT RATIO AT A HISTORICAL LOW

90%

80%

85%

90%

95%

100%

105%

110%

Dec'03 Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09 Dec'10 Dec'11 Dec'12 Dec'13 Dec'14

SYSTEM DEPOSIT SURPLUS AT AED 138BN

(100)

(50)

-

50

100

150

Dec'03 Dec'04 Dec'05 Dec'06 Dec'07 Dec'08 Dec'09 Dec'10 Dec'11 Dec'12 Dec'13 Dec'14

AED

Bn

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Contents

• Operating Environment

• FGB Profile

• Q4/FY’14 Performance Review

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FGB Summary Profile

Leading UAE franchise; #1 UAE bank by net profit and #3 by total assets; 11%and 10% market shares in loans and deposits respectively

Superior fundamentals in terms of growth, NIMs, cost efficiency, asset qualityand profitability

Strong Credit Ratings: A2 by Moody's and A+ by Fitch

Comfortable liquidity position and access to multiple funding channels

Strong risk management culture and stable management team

Business model re-aligned to drive sustainable value creation

Robust capital position: Basel II total CAR at 17.5% and Tier 1 capital ratio at16.2% as of Dec’14

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UAEcompanies

andindividuals

86.4%

ForeignInvestors

9.8%

GCC (ex-UAE)3.8%

FGB Overview

GLOBAL FOOTPRINTRATINGS

1 Subsidiary4 Rep Offices

21 branches in the UAEand 2 branches overseas

Doha

Singapore

Mumbai

Hong KongFGB-Libya

Tripoli

UAE

LONG TERM RATING OUTLOOK

A2(Since 2007) Stable

A+(Since 2007)

Stable

A+ Stable

AAA Stable

Incorporated in 1979 and headquartered in Abu Dhabi

Wide range of financial products and services offeredthrough a network of 21 branches in the UAE. In addition,FGB is present through branches in Doha and Singapore,and rep offices in Mumbai, Hong Kong, Seoul and London.The Bank also has a JV in Libya.

1,454 employees

Listed in 2002; Market cap of AED 69.6Bn (USD 18.9Bn) as ofFebruary 26th, 2015

A LEADING UAE FRANCHISE OWNERSHIP STRUCTURE* (AS OF DEC’14)

Seoul

London

* FGB’s Foreign Ownership Limit (FOL) is at 25%

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1996-1999

History & Key Milestones

1979 FGB is incorporated in Ajman with an initial focus on Corporate Banking

Abu Dhabi ruling family acquires 45% stake and designates new management team

2001 New vision, brand identity and introduction of new business segments: Retail and Treasury & Investments

2002 Listing on Abu Dhabi Exchange

2005 Net profit crosses the AED 1Bn (USD 272 Mn) mark

2006 - Introduction of Islamic banking services- Rated A by Fitch (followed by A+ in 2007) and A2 by Moody’s

2007 First overseas office in Singapore

2011 Net profit crossed the USD 1Bn mark

2013-Acquisition of Aseel and Dubai First-FGB becomes the #1 UAE Bank in termsof net profit with USD 1.3Bn

2009 New offices in Qatar and India

2012 New office in Hong Kong

- New rep offices in London and Seoul- Maintained position of #1 UAE Bank by

Net Profit at USD 1.54Bn2014

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ABDULHAMIDMOHAMMED SAEED

BOARD MEMBER

FGB MANAGING DIRECTOR

Vice Chairman of EmiratesIntegrated Telecom Co (DU)

Board Member of:Emirates Investment AuthorityAbu Dhabi Securities Exchange

Mubadala DevelopmentCompany

H.H. SHEIKH TAHNOON BIN ZAYED AL NAHYAN – CHAIRMAN

CHAIRMAN OF AMIRI FLIGHT

CHAIRMAN OF ROYAL GROUP

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Corporate Governance

Board of Directors

ManagementCommittees

Wholesale Banking CreditCommittee

Compliance & Ops RiskCommittee

Consumer Banking CreditCommittee

HR Steering Committee

Asset Liability Committee

Real Estate Committee

Investment Committee

IT Steering Committee

BoardCommittees

Executive Committee Risk & Compliance Management Committee

Remuneration & Nomination Committee Audit Committee

Enterprise RiskManagement

GroupHead of Enterprise Risk Management

Group CRO

Credit Risk Market Risk ALM Risk OperationalRisk

ComplianceRisk Basel II / IIIERM

Strong & Independent Governance framework covering all material risks across the Group

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Business Segments

Original core business of theBank

Customer base includes largecorporate & multi-nationalclients and financialinstitutions

Services include debt markets(advisory, bilateral, &syndicated loans, DCM, projectand structured finance),transaction banking (cash,trade, liabilities), CorporateFinance, and Islamic Finance(bilateral trading, tradefinance) supported by treasurysales (hedging, FX, rates,commodities)

Organized geographicallyacross UAE and internationallocations (Singapore, Libya,Hong-Kong, Qatar, India, UKand South Korea)

Core Banking Revenue Drivers

Focus on key customersegments: Emirati, Mass, SME,Wealth

Leverage product innovation,analytics, and alliances tocreate differentiation

Investing for the future andenhancing customerexperience throughtechnology and processimprovements

Positioning as Bank of Choicefor UAE Nationals

Manage National Housing Loanprogram for Abu Dhabigovernment

Manages FGB’s wholesalefunding activities and liquidity,interest rate and foreignexchange risk, and proprietaryinvestment portfolio

Provides bespoke riskmanagement solutions to theBank’s clients across FX,Interest Rate, Credit andCommodity asset classes

Also provides client investmentsolutions via structuredproducts, asset management,equity brokerage and margintrading

Strong growth opportunitiesproviding an access point tothe global markets byleveraging on strongcorrespondent bankingrelationships

Subsidiaries: First Gulf LibyanBank, First Gulf Properties,Aseel Finance, Dubai First,Mismak Properties, FirstMerchant International,Radman Properties, FGIT

Associate companies: GreenEmirates Properties, First GulfFinancial Services*

Head Office support units:Audit, Financial Control, HR,Operations, Strategy andPlanning, PMO, Admin, Legal,Risk Management, CorporateCommunications

WHOLESALE BANKING CONSUMER BANKINGTREASURY &

GLOBAL MARKETS SUBSIDIARIES & OTHER

Incremental RevenueStreams

Note: % of Assets as of December-end 2014. % of Revenue for the full year 2014.*In October 2014, the Bank entered into a sale and purchase agreement in respect of its investment in First Gulf Financial Services (FGFS)to a third party for a total consideration of AED 38.2Mn. The sale will be effective in Q1 2015

43% 38%

% of Assets % of Revenue

23% 38%

% of Assets % of Revenue

23% 13%

% of Assets % of Revenue

11% 11%% of Assets % of Revenue

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Aseel Finance to provide innovativeIslamic products to a broad base ofcustomers and businesses

Dubai First to provide specialistcredit card propositions to theexpanding UAE customer base

Enhance fee income throughcomprehensive propertymanagement of residential andcommercial real estate assetsacross the UAE

Geographic diversification throughexpansion of existing operationsand penetration in key markets

Focus on trade and financial flowsthrough the UAE into targetinternational locations

Sourcing and distribution of tradeand financing opportunities acrossthe FGB network

Build deeper client relationships,providing solutions and highquality service

Continue to target largecreditworthy UAE-based customers

Develop and strengthen acustomer-centric approachemphasizing on bespoke servicequality and product range

Three-Pillar Strategy

ORGANIC GROWTH OFCORE BANKING ACTIVITIES

SELECTIVE REGIONAL ANDINTERNATIONAL EXPANSION

SYNERGIES WITHSUBSIDIARIES AND ASSOCIATES

1 2 3

Our Mission:To Be the “First Choice” for customers

Our Vision:To Be Recognised as a World-Class Organization Maximizing Value For All Stakeholders

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142.4159.2

176.9198.2

212.2

2010 2011 2012 2013 2014

Key Achievements (1/2)

TOTAL ASSETS (AED BN) LOANS & ADVANCES (AED BN) CUSTOMER DEPOSITS (AED BN)

SHAREHOLDERS’ EQUITY (AED BN) OPERATING INCOME (AED MN) NET PROFIT (AED MN)

95.6104.1

112.0125.6

139.7

2010 2011 2012 2013 2014

98.7 103.5119.3

138.0 141.3

2010 2011 2012 2013 2014

24.126.7

29.331.2

34.1

2010 2011 2012 2013 2014

6,305 6,4837,270

8,4219,240

2010 2011 2012 2013 2014

3,4203,707

4,1544,774

5,656

2010 2011 2012 2013 2014

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Key Achievements (2/2)

NET INTEREST MARGIN (%) NPL RATIO (%) PROVISION COVERAGE (%)

COST TO INCOME RATIO (%) ROAE (%) ROAA (%)

3.63.8 3.7 3.7 3.6

2010 2011 2012 2013 2014

3.73.4 3.3 3.3

2.5

2010 2011 2012 2013 2014

89.498.4 96.1 91.1

126.7

2010 2011 2012 2013 2014

17.8 18.919.6

21.023.1

2010 2011 2012 2013 2014

14.7 14.614.8

15.8

17.3

2010 2011 2012 2013 2014

2.62.5 2.5

2.6

2.8

2010 2011 2012 2013 2014

19/40204.0

212.2

363.0

376.1

ADCB

FGB

ENBD

NBAD

139.7

140.6

194.3

246.0

FGB

ADCB

NBAD

ENBD

126.0

141.3

243.2

258.3

ADCB

FGB

NBAD

ENBD

11.6%

15.4%

16.0%

17.3%

ENBD

NBAD

ADCB

FGB

1.5%

1.6%

2.1%

2.8%

ENBD

NBAD

ADCB

FGB

4,050

5,139

5,579

5,656

ADCB

ENBD

NBAD

FGB

FGB vs. large domestic peers – FY’14NET PROFIT (AED MN)RETURN ON AVERAGE EQUITY RETURN ON AVERAGE ASSETS

TOTAL ASSETS (AED BN) LOANS & ADVANCES (AED BN) CUSTOMER DEPOSITS (AED BN)

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Ranking

Profitability& Efficiency

Return on Average Equity % 17.3 15.4 11.6 16.0 #1

Return on Average Assets % 2.8 1.6 1.5 2.1 #1

Cost to Income % 23.1 35.5 30.0 34.0 #1

Net Interest Margin % 3.6 2.0 2.9 3.2 #1

Earning Per Share AED 1.4 1.1 0.8 0.7 #1

Asset QualityNPL ratio % 2.5 3.1 7.8 3.1 #1

Provision Coverage % 126.7 108.0 100.3 137.1 #2

Liquidity

Net Loans to Total Assets % 65.8 51.7 67.8 68.9 #3

Loans to Deposits % 98.9 79.9 95.2 111.5 #3

Liquid Asset Ratio % 17.2 21.9 21.1 15.2 #3

SolvencyTier 1 Capital % 16.2 15.0 18.0 17.0 #3

Capital Adequacy % 17.5 16.4 21.1 21.0 #3

FGB vs. large domestic peers – FY’14

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Contents

• Operating Environment

• FGB Profile

• Q4/FY’14 Performance Review

22/40

Key Highlights

• Strong performance in 2014 with Full Year Net Profit up 18% YoY toAED 5,656Mn; EPS up 22% YoY to AED 1.42

• Dividend Distribution: 100% cash dividends,15.38% bonus shares; 2014 pay-out ratio at 69% vs. 63% last year

• FGB exceeded most elements of 2014 financial guidance and remains ontrack to achieve 2015 targets

• Key Ratios: 11% loan growth, 3.6% NIM, 23.1% C/I Ratio, 98.9% L/D ratio

• Asset quality : 95bps cost of risk, 2.5% NPL ratio, 126.7% provision coverage;General Provisions of AED 2.5Bn represent 1.6% of CRWA

• Capital Position is robust : Basel II CAR at 17.5% and Tier 1 capital at 16.2%after dividend distribution

• Strong Profitability: RoAE and RoAA at 17.3% and 2.8% respectively

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Exceeded most elements of 2014 guidance

1 or 21% excluding the AED 4.0Bn Abu Dhabi Government perpetual notes2 or 12% excluding the AED 4.0Bn Abu Dhabi Government perpetual notes

2014 FINANCIAL GUIDANCE ACTUAL RESULTS

LOAN GROWTH 6%-8% 11%

REVENUE GROWTH Double-Digit 10%

NIMS ~20bps YoY contraction 11bps contraction

COST TO INCOME RATIO 21%-22% 23.1%

ASSET QUALITYNPL ratio ~3.0%

Provision coverage> 90%Cost of Risk: 1.1% - 1.2%

NPL ratio: 2.5%Provision coverage: 127%

Cost of Risk: 95bps

PROFITABILITY Sustainable MTRoAE target: 18%1 RoAE: 17.3%

CAPITAL MT Tier 1 capital floor: 14%2 Tier 1 Capital: 16.2%

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Q4/FY’14 Summary FinancialsIncome Statement (AED Mn) FY'14 FY'13 YoY Q4'14 Q3'14 QoQ Q4'13 YoY

Net Interest and Islamic FinancingIncome

6,470 5,994 8% 1,626 1,596 2% 1,619 0%

Other Operating Income 2,770 2,427 14% 746 733 2% 856 -13%Operating Income 9,240 8,421 10% 2,372 2,329 2% 2,475 -4%G & A expenses (2,130) (1,766) 21% (602) (521) 16% (533) 13%Provisions/ Impairments (1,372) (1,820) -25% (177) (368) -52% (546) -68%Taxes (33) (33) 0% (14) (7) 100% (9) 56%Minority Interest (49) (28) 75% (29) (8) 263% (15) 93%Net Income 5,656 4,774 18% 1,550 1,425 9% 1,372 13%Earnings Per Share (AED) 1.42 1.16 22% 0.41 0.36 14% 0.33 24%

Balance Sheet (AED Bn) Dec'14 Dec'13 YoY Sep'14 QoQNet Loans & Advances 139.7 125.6 11% 132.7 5%Customer Deposits 141.3 138.0 2% 144.6 -2%Total Assets 212.2 198.2 7% 208.0 2%Shareholders’ Equity 34.1 31.2 9% 32.4 5%

Key Ratios (%) FY'14 FY'13 YoY (bps)Net Interest Margin 3.6 3.7 (10)Cost-to-Income 23.1 21.0 210Non-Performing Loan (NPL) 2.5 3.3 (80)Provision Coverage 126.7 91.1 3,560Loan-to-Deposit 98.9 91.0 790Return on Average Equity 17.3 15.8 150Return on Average Assets 2.8 2.6 20Capital Adequacy 17.5 17.4 10

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125.6 123.4128.2 132.7

139.7

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

Asset Mix and Lending ActivityLOAN BOOK TREND (AED BN)

DEC’13 DEC’14

LOAN BOOK BREAKDOWN BY SECTORASSET MIX

• During Q4’14, total loans recorded their strongest quarterly increase with5.3% (+AED 7.0Bn) driven by continued strength in the services andmanufacturing sectors, as well as sustained momentum in the retailsegment

• In 2014, FGB achieved significant success in the syndication businessbecoming 1st in UAE Syndicated Loan League Tables and 2nd in MENA LoanMandated Arranger League Tables*

• FY’14 loan growth stood at 11.2% YoY, largely exceeding the 6%-8% initialtarget range

• In light of the strong growth in loans during the period, liquid assets ratiolanded at 17% as of December-end 14, against 20% last year

HIGHLIGHTS

+11%

LiquidAssets

20%

Loans &Advances

63%

Investments9%

Inv.Properties

4%

Other4% Liquid Assets

17%

Loans &Advances

66%

Investments8%

Inv.Properties

4%

Other5%

Agriculture1%

Energy1% Trading

6%Construction

4%

Transportation2%

Retail Loansand cards

23%Retail

Mortgages2%

RetailMortgages -

NHL12%

Personal -Others

3%

Government0%

Securities/Share

Financing1%

Real Estate10%

FinancialServices

6%

Services15%

Public Sector9%

Manufacturing5%

Others0%

*Source: Bloomberg

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138.0129.6

137.5 144.6 141.3

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

Liquidity

• Following some volatility in Q4, customer deposits ended 2014

showing a 2.4% YoY increase

• Plain vanilla L/D ratio stood at 98.9%, within 90-100% target range;

Regulatory Advances to Deposits ratio remained well below the

regulatory ceiling at 83.5%

• CASA deposits represent 21% of Dec’14 deposit base against 20%

last year

CUSTOMER DEPOSITS TREND (AED BN)

DEPOSITS BY SECTORLIQUIDITY RATIOS (%)

HIGHLIGHTS

+2%

91.095.2

93.2 91.8

98.9

80.6 82.4 80.7 79.1

83.5

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

L/D ratio Regulatory Advances-to-Deposits Ratio

Government& PublicSector

34%

Corporate36%

Retail14%

InternationalDivision

3%

NHLDeposits

13%

27/40

Dec’14

Syndicated loan 3,306

Bank loans 183

EMTN 5,751

Medium term bonds 2,226

Repurchase agreements 208

Sukuk 4,224

Total 15,898

Funding MixLIABILITY MIX

• During 2014, FGB was successful in accessing newfunding sources by tapping into new markets including:

– Debut 5-year AUD 250Mn (AED 744Mn) bond inApril ’14

– 10-year EUR 100Mn (AED 446Mn) issuance inJuly’14

– 5-year Pro-Bond of JPY 10Bn (AED 307Mn) inJuly’14

• In Jan’15, the Bank proceeded with the full pre-paymentof USD 900Mn syndicated loan due in December 2015

MATURITIES (AED MN)WHOLESALE FUNDING (AED MN)

DEC’13 DEC’14

HIGHLIGHTS

3,676*3,919

4,373

26

3,079

379 446

2015 2016 2017 2018 2019 2023 2025

Customerdeposits

70%

Due toBanks

3%

Borrowings,EMTN,Sukuk

8%

Other4%

Equity16%

Customerdeposits

67%

Due toBanks

6%

Borrowings,EMTN,Sukuk

7%

Other4% Equity

16%

*Includes syndicated loan of USD 900Mn (AED 3,306Mn)

28/40

35% 29% 28% 31% 31%29% 30%65% 71% 72% 69% 69%

71%70%

Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 FY'13 FY'14

Net Interest and Islamic Financing Income

Other Income (inc. share of profit from assoc.)

2,2882,475 2,251 2,3292,372

8,421

9,240

Key Revenue Movements and NIMs

• Revenue growth of 10% YoY (+AED 819Mn) was primarilydriven by :

– +AED 476Mn increase in net interest and Islamicfinancing income thanks to higher volumes andsustained NIMs

– +AED 346Mn addition in core fees and commissionssupported by enhanced event-driven fees andstrong momentum in the credit card business

– +AED 52Mn FX& Derivatives income supported byhigher transactions

• FY’14 NIM were successfully managed at 3.58% down byonly 11bps YoY vs. our expectation of 20bps decline

KEY MOVEMENTS IN OPERATING INCOME (AED MN)HIGHLIGHTS

NET INTEREST MARGIN (%) - YTD REVENUE BREAKDOWN (AED MN)

8,421 9,240

+476 -22 +346 -33 +52

FY'13 Net Interestand Islamic Fin.

Income

InvestmentIncome

Fees andcommissions

Other income FX&Derivatives FY'14

+10%

3.693.73

3.683.61 3.58

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

29/40

1,766 2,130

21.0%23.1%

FY'13 FY'14

Operating expenses (AED Mn) C/I ratio (YTD)

Non-Interest Revenues and Cost Efficiency

• Revenue diversification continues to be a key area of focuswith non-interest revenues growing by 14% YoY

• Core fee and commission income increased by 22% and 9%respectively while credit card fees grew by 40% YoY

• 21% YoY growth in operating expenses mainly reflects theconsolidation of Dubai First and Aseel Finance as well ashigher investments in human resources and infrastructureto lay the foundations for future growth and success

• 23.1% Dec’14 C/I ratio remained in line with medium termexpectations despite slightly missing FY guidance

FY’14 NON-INTEREST REVENUES

COST EFFICIENCY

HIGHLIGHTS

FY’14 NON-INTEREST REVENUE BREAKDOWN

+21%

CommissionIncome

21%

Fee Income27%Credit card

fees21%

Investmentincome

6%

FX &Derivatives

7%

Property andother Income

18%

*Including share of profit from associates

In AED Mn FY’14 FY’13 YoY %

Commission Income 575 527 9%

Fee Income 748 612 22%

Credit card fees 571 409 40%

Investment income 169 190 -11%

FX & Derivatives 195 142 37%

Property and otherincome* 512 547 -6%

Total 2,770 2,427 14%

30/40

Dec’14 Dec’13 YoY % Sep’14 QoQ %

NPLs 3,533 4,287 -18% 3,717 -5%

Provisions 4,478 3,905 15% 4,521 -1%

Specific 1,975 2,151 -8% 2,012 -2%

General 2,503 1,754 43% 2,509 0%

Credit QualityNPL RATIO AND PROVISION COVERAGE (%)

• FY’14 NPL ratio improved for the third consecutive quarterto 2.5% as of Dec’14, down from 3.3% last year vs. initialguidance of 3.0%; NPLs declined by AED 754K YoY inabsolute terms

• Provision coverage strengthened to 126.7% primarily as aresult of the general provisioning build up throughout theyear (+43% YoY)

• Cost of Risk came out better than expected at 95bpsagainst 1.34% in FY’13 and initial target range guidance of1.1%-1.2%

• General Provisions at AED 2.5Bn represent 1.6% of CRWA

NPLS AND PROVISIONS (AED MN)COST OF RISK (%) - YTD

HIGHLIGHTS

3.33.4

3.02.7

2.5

91.1 96.0110.2

121.6126.7

0.0

20.0

40.0

60.0

80.0

100.0

120.0

140.0

2.0

2.5

3.0

3.5

4.0

4.5

FY'13 Q1'14 H1'14 9M'14 FY'14

NPL ratio Provision Coverage

1.34 1.37

1.25

1.15

0.95

FY'13 Q1'14 H1'14 9M'14 FY'14

31/40

Capital Strength (Basel II)CAPITAL ADEQUACY RATIO (%)

• After dividend distribution, Basel II total CAR and tier 1

capital ratios remained quasi-stable YoY at 17.5% and

16.2% respectively

• RWA grew by 7% YoY in light of the growth in assets and

off-balance sheet balances

• FGB’s medium term Tier 1 capital floor under Basel II

remains at 14%

RISK WEIGHED ASSETS (AED BN)CAPITAL BASE (AED BN)

HIGHLIGHTS

16.3%17.6% 17.7% 18.2%

16.2%

17.4%19.0% 18.9% 19.5%

17.5%

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

Tier I Ratio BASEL II CAR

30.0 31.6 32.9 34.432.1

28.2 29.4 30.7 32.129.8

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

Total Capital Tier 1 capital

172.4166.5

173.8 176.3183.6

Dec'13 Mar'14 Jun'14 Sep'14 Dec'14

32/40

3,479

9,240

3,5311,227 535

468

WBG CBG T&GM Others Real Estate FGB Group

Business Segment ContributionsASSETS BREAKDOWN

• Continued focus on enhancing core capabilities and onmaximizing synergies between the three corebusinesses: Wholesale & International Banking Group(WBG), Consumer Banking Group (CBG), and Treasury &Global Markets Group (T&GM)

• These three pillars represent 89% of Group total assetsas of Dec’14

• WBG and CBG generated 38% each to FY’14 Grouprevenues, T&GM provided 13%

SEGMENTAL REVENUE BREAKDOWN AND CONTRIBUTIONS TO GROUP REVENUE (AED MN)

HIGHLIGHTS

WBG43%

CBG23%

T&GM23% Real

Estateactivities

5%

Other6%

WBG38%

CBG38%

T&GM13%

RealEstate

activities5%

Other6%

33/40

86% 85%

14%15%

FY'13 FY'14UAE operations International Operations

3,2653,479

Wholesale Banking Group - WBGOPERATING INCOME (AED MN)

• Continued focus on incomediversification supported 7% YoYgrowth in revenues to AED 3,479Mn

• International operations generated15% of WBG operating income thatis 6% of Group revenues

• WBG Net Profits represent 41% ofGroup Profits

WHOLESALE GROSS LOAN PORTFOLIO (DEC’14)TOTAL ASSETS (AED BN)

HIGHLIGHTS NET PROFITS (AED MN)

80.9

91.3

Dec'13 Dec'14

+7%

84% 92%

16%8%

FY'13 FY'14UAE operations International Operations

2,161 2,344+8%

Government& PublicSector

9%

Abu DhabiPrivateSector

42%

DubaiPrivateSector

19%

Other UAEPrivateSector

5%

Non UAE-based

Corporates25%

+13%

34/40

Consumer Banking Group - CBGOPERATING INCOME (AED MN)

• Continued focus on product innovationand enhanced customer experience

• CBG revenues grew 4% YoY toAED 3,531Mn with Net Profitincreasing by 9% YoY to AED 2,042Mn

• Wealth Management , SME loans andcredit cards continued to grow, bringingtheir combined share in CBG gross loanportfolio to 22%

CONSUMER GROSS LOAN PORTFOLIO (DEC’14)TOTAL ASSETS (AED BN)

HIGHLIGHTS NET PROFITS (AED MN)

*Auto loans and overdrafts

46.749.9

Dec'13 Dec'14

+7%

3,386 3,531

FY'13 FY'14

1,8682,042

FY'13 FY'14

PersonalLoans39%

Abu DhabiGovernment

NationalHousing

Loans34%

Credit Cards8%

OtherMortgage

Loans4%

Loans toSMEs

6%Wealth

Management8%

Others*0%

+4%+9%

35/40

Treasury & Global Markets – T&GMOPERATING INCOME (AED MN)

• T&GM revenues recorded a solid 10%increase to AED 1,227Mn while netprofits improved by 11% toAED 1,106Mn

• 91% of FGB’s investment portfolio is ininvestment grade fixed income ofwhich 67% is allocated to the GCC

• The average duration of the portfolio is3.2 years

INVESTMENT PORTFOLIO1 (DEC’14)TOTAL ASSETS (AED BN)

HIGHLIGHTS NET PROFITS (AED MN)

1AED 16.7Bn as of December-end 2014

52.448.3

Dec'13 Dec'14

-8%

1,1151,227

FY'13 FY'14

9971,106

FY'13 FY'14

+10% +11%

Bonds90%

Equities1%

Funds1%

PrivateEquity

8%

36/40

Land in AbuDhabi28%

Dev.Properties

in AbuDhabi41%

Land inDubai

4% Dev.Propertiesin Dubai

5%

PropertiesGenerating

RentalIncome

22%

Real Estate ActivitiesOPERATING INCOME (AED MN)

• Real estate revenues were stable YoY toAED 468Mn as 2013 revenues included gainson exchange of property for AED 185Mn

• Excluding this non-recurring item, real estaterevenues would show a 65% YoY growth

• During 2014, real estate revenues includedAED 168Mn gain on sale of property in linewith the Bank’s strategy to reduce exposure tothe property sector

• Rental yield in FY14 landed at 6.1%significantly improving from 3.7% last year

INVESTMENT PROPERTIES PORTFOLIO1 (DEC’14)TOTAL ASSETS (AED BN)

HIGHLIGHTS NET PROFITS (AED MN)

1AED 8.5Bn as of December-end 2014

9.910.5

Dec'13 Dec'14

468 468

FY'13 FY'14

+6%

+0%

415 405

FY'13 FY'14

-2%

37/40

2014 Dividend Distribution

2014 2013 2012 2011 20101

NET PROFIT (AED MN) 5,656 4,774 4,154 3,707 3,420

CASH DIVIDEND (AED MN) 3,900 3,000 2,500 1,500 900

CASH DIVIDEND (% OF CAPITAL) 100% 100% 83% 100% 60%

BONUS SHARES (% OF CAPITAL) 15.38% 30% - 100% -

DIVIDEND PAYOUT RATIO(% OF NET PROFIT) 69% 63% 60% 40% 26%

BASEL II CAPITAL ADEQUACYAFTER DIVIDEND DISTRIBUTION2 17.5% 17.4% 18.7% 18.0% 19.5%

1 Shares bought back in 2010: 5% of capital2CAR adjusted from Tier 2 MoF Loan

38/40

2015 Financial Guidance

FY 2015

LOAN BOOK GROWTH High Single-Digit

REVENUE GROWTH Double-Digit

NIMS 25bps – 35bps decrease

EXPENSES C/I Ratio: 23%-24%

ASSET QUALITY CoR ~ 100bps

NET PROFIT GROWTH Low Double-Digit

ROAE* 18%

TIER 1 CAPITAL* 15%-16%

*Including perpetual notes

39/40

Middle East Investor Relations Society (ME-IRS) 2014 Conference and Awards:

Best Investor Relations by CFO in the Middle EastBest Company for Corporate Access in the Middle East

Best Practice Investor Relations - UAECommercial Bank of the Year - UAE

SME banking sector category award at the Enterprise Agility Awards

“Employer of Choice” at the GCC Best Employer Brand Awards 2014

“New Market Trailblazer of the Year” for Bancassurance

Ranked 8th on the “Top 500 Companies in theArab World” list 2014 (4th leading bank and 2nd leading UAE bank)

Best Bank in the UAE 2014Best Wealth Management Firm 2014

Best Premium Banking Service 2014Best Bancassurance Product 2014

Best Bank Award for Trade Finance and Corporate Banking

FGB 2014 Awards

40/40

Thank you!For more Information, contact FGB Investor Relations Department: ir@fgb.aeOr visit our corporate website www.fgb.ae