o
|
REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934
|
x
|
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
o
|
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
o
|
SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
|
Title of each class
|
Name of each exchange on which registered
|
American Depositary Shares, each representing the right to receive three ordinary shares, par value Ps.1.00 per share
|
New York Stock Exchange
|
Ordinary shares, par value Ps.1.00 per share
|
New York Stock Exchange*
|
*
|
The ordinary shares are not listed for trading, but are listed only in connection with the registration of the American Depositary Shares, pursuant to requirements of the New York Stock Exchange.
|
Title of class
|
Number of shares outstanding
|
Ordinary Shares, par value Ps.1.00 per share
|
536,877,850
|
U.S. GAAP o
|
International Financial Reporting Standards
by the International Accounting Standards
Board as issued o
|
Other x
|
|
Page
|
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1
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1
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2
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PART I
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ITEM 1.
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3
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ITEM 2.
|
3
|
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ITEM 3.
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3
|
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ITEM 4.
|
11
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ITEM 4A.
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92
|
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ITEM 5.
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93
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ITEM 6.
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120
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ITEM 7.
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131
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ITEM 8.
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134
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ITEM 9.
|
134
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ITEM 10.
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137
|
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ITEM 11.
|
147
|
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ITEM 12.
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151
|
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ITEM 12D.3
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151
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ITEM 12D.4
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151
|
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PART II
|
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ITEM 13.
|
152
|
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ITEM 14.
|
152
|
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ITEM 15.
|
152
|
|
ITEM 16A.
|
154
|
|
ITEM 16B.
|
154
|
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ITEM 16C.
|
155
|
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ITEM 16D.
|
155
|
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ITEM 16E.
|
155
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ITEM 16F.
|
155
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ITEM 16G.
|
155
|
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PART III
|
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ITEM 17.
|
159
|
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ITEM 18.
|
159
|
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ITEM 19.
|
159
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§
|
changes in general economic, business or political or other conditions in the Republic of Argentina (“Argentina”) or changes in general economic or business conditions in Latin America;
|
§
|
changes in capital markets in general that may affect policies or attitudes toward lending to Argentina or Argentine companies;
|
§
|
increased costs and decreased income related to macroeconomic variables such as exchange rates and the Consumer Price Index (“CPI”);
|
§
|
unanticipated increases in financing and other costs or the inability to obtain additional debt or equity financing on attractive terms; and
|
§
|
the factors discussed under “Item 3. Key Information—Risk Factors”.
|
|
December 31,
|
||||
Entity
|
2011
|
2010
|
2009
|
||
PSA Finance Argentina Compañía Financiera S.A.
|
X
|
X
|
X
|
||
Consolidar AFJP S.A. (undergoing liquidation proceedings)
|
X
|
X
|
X
|
||
Consolidar Cía. de Seguros de Retiro S.A. (1)
|
X
|
X
|
|||
BBVA Francés Valores Sociedad de Bolsa S.A. (2)
|
X
|
X
|
X
|
||
Atuel Fideicomisos S.A. and subsidiary (3)
|
X
|
||||
BBVA Francés Assets Management S.A. Sociedad Gerente de Fondos Comunes de Inversión (4)
|
X
|
X
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(1)
|
See Note 1.5. to the Consolidated Financial Statements.
|
(2)
|
Previously referred to as “Francés Valores Sociedad de Bolsa S.A.”
|
(3)
|
See Note 1.7. to the Consolidated Financial Statements.
|
(4)
|
Previously referred to as “Francés Administradora de Inversiones S.A.”
|
For the fiscal year ended December 31,
|
||||||||||||||||||||
2011
|
2010 | (11) | 2009 | (11) | 2008 | (11) | 2007 | (11) | ||||||||||||
(in thousands of pesos) (1)
|
||||||||||||||||||||
CONSOLIDATED INCOME STATEMENT
|
||||||||||||||||||||
Amounts in accordance with Argentine Banking GAAP
|
||||||||||||||||||||
Financial income
|
3,565,030 | 3,298,259 | 3,039,470 | 1,946,432 | 1,655,582 | |||||||||||||||
Financial expenses
|
(1,355,698 | ) | (814,673 | ) | (975,431 | ) | (1,212,738 | ) | (685,232 | ) | ||||||||||
Gross intermediation margin
|
2,209,332 | 2,483,586 | 2,064,039 | 733,694 | 970,350 | |||||||||||||||
Provision for loan losses
|
(132,663 | ) | (179,353 | ) | (245,966 | ) | (36,708 | ) | (62,262 | ) | ||||||||||
Service charge income
|
1,957,724 | 1,485,442 | 1,204,703 | 981,891 | 723,174 | |||||||||||||||
Service charge expenses
|
(519,630 | ) | (406,347 | ) | (279,691 | ) | (234,328 | ) | (153,301 | ) | ||||||||||
Operating expenses
|
(2,279,500 | ) | (1,969,461 | ) | (1,562,326 | ) | (1,149,778 | ) | (885,461 | ) | ||||||||||
Net other expenses
|
254,845 | 38,867 | (44,063 | ) | 67,776 | (280,709 | ) | |||||||||||||
Income before income tax
|
1,490,108 | 1,452,734 | 1,136,696 | 362,547 | 311,791 | |||||||||||||||
Income tax
|
(549,992 | ) | (272,923 | ) | (362,439 | ) | (23,695 | ) | (45,840 | ) | ||||||||||
Net income
|
940,116 | 1,179,811 | 774,257 | 338,852 | 265,951 | |||||||||||||||
Net loss on minority interests in subsidiaries
|
6,783 | (16,538 | ) | (17,851 | ) | (8,589 | ) | (21,969 | ) | |||||||||||
Final consolidated income from continued operations
|
946,899 | 1,163,273 | 756,406 | 330,263 | 243,982 | |||||||||||||||
Final consolidated (loss) / income from discontinued operations
|
58,678 | 34,906 | (37,944 | ) | (8,753 | ) | (8,933 | ) | ||||||||||||
Final consolidated income
|
1,005,577 | 1,198,179 | 718,462 | 321,510 | 235,049 | |||||||||||||||
Net operating revenue (3)
|
3,647,426 | 3,562,681 | 2,989,051 | 1,481,257 | 1,540,223 | |||||||||||||||
Net operating income (4)
|
1,235,263 | 1,413,867 | 1,180,759 | 294,771 | 592,500 | |||||||||||||||
Net income per ordinary shares from continued operations (2) (9)
|
1.76 | 2.17 | 1.55 | 0.70 | 0.52 | |||||||||||||||
Net income per ADS from continued operations (2) (9)
|
5.28 | 6.51 | 4.65 | 2.10 | 1.56 | |||||||||||||||
Net income per ordinary shares (2) (9)
|
1.87 | 2.23 | 1.47 | 0.68 | 0.50 | |||||||||||||||
Net income per ADS (2) (9)
|
5.61 | 6.69 | 4.41 | 2.04 | 1.50 | |||||||||||||||
Declared dividends per ordinary share (9) (10)
|
— | 1.49899 | 0.98439 | 0.21215 | 0.34793 | |||||||||||||||
Declared dividends per ADS (9) (10)
|
— | 4.49697 | 2.95317 | 0.63645 | 1.04379 | |||||||||||||||
Net operating income per ordinary shares (2) (9)
|
2.30 | 2.64 | 2.42 | 0.63 | 1.26 | |||||||||||||||
Net operating income per ADS (2) (9)
|
6.90 | 7.92 | 7.26 | 1.89 | 3.78 | |||||||||||||||
Average ordinary shares outstanding (000s) primary (9)
|
536,620 | 536,361 | 487,611 | 471,361 | 471,361 | |||||||||||||||
Amounts in accordance with U.S. GAAP:
|
||||||||||||||||||||
Net income
|
698,807 | 804,101 | 1,029,755 | 910,294 | 1,104,529 | |||||||||||||||
Net income per ordinary share (2) (9)
|
1.30 | 1.50 | 2.11 | 1.87 | 2.27 | |||||||||||||||
Net income per ADS (2) (9)
|
3.90 | 4.50 | 6.33 | 5.61 | 6.81 | |||||||||||||||
Average ordinary shares outstanding (000s) primary (9)
|
536,620 | 536,361 | 487,611 | 487,611 | 487,611 | |||||||||||||||
CONSOLIDATED BALANCE SHEET
|
||||||||||||||||||||
Amounts in accordance with Argentine Banking GAAP
|
||||||||||||||||||||
Cash and due from banks
|
6,353,428 | 5,691,806 | 5,255,412 | 4,243,080 | 3,169,314 | |||||||||||||||
Government and private securities
|
5,565,029 | 7,495,382 | 7,214,232 | 5,233,660 | 5,181,253 | |||||||||||||||
Loans, net of allowances
|
22,875,885 | 16,699,852 | 11,751,889 | 12,507,489 | 11,390,121 | |||||||||||||||
Other assets
|
4,211,303 | 2,693,206 | 2,170,060 | 3,841,236 | 2,282,311 | |||||||||||||||
Total assets
|
39,005,645 | 32,580,246 | 26,391,593 | 25,825,465 | 22,022,999 | |||||||||||||||
Deposits
|
29,165,704 | 22,461,307 | 18,334,845 | 17,079,203 | 15,009,758 | |||||||||||||||
Other liabilities and minority interest in subsidiaries
|
5,971,684 | 6,372,024 | 5,130,276 | 6,670,238 | 4,956,404 | |||||||||||||||
Total liabilities and minority interest in subsidiaries
|
35,137,388 | 28,833,331 | 23,465,121 | 23,749,441 | 19,966,162 | |||||||||||||||
Capital stock
|
536,878 | 536,361 | 536,361 | 471,361 | 471,361 | |||||||||||||||
Issuance premiums
|
182,511 | 175,132 | 175,132 | 175,132 | 175,132 | |||||||||||||||
Adjustments to stockholders’ equity
|
312,979 | 312,979 | 312,979 | 312,979 | 312,979 | |||||||||||||||
Retained earnings
|
1,042,021 | 802,385 | 658,693 | 594,391 | 547,381 | |||||||||||||||
Unrealized valuation difference
|
— | 88,131 | (14,133 | ) | (181,119 | ) | (42,796 | ) | ||||||||||||
Unappropriated earnings
|
1,793,868 | 1,831,927 | 1,257,440 | 703,280 | 592,780 | |||||||||||||||
Total stockholders’ equity
|
3,868,257 | 3,746,915 | 2,926,472 | 2,076,024 | 2,056,837 |
For the fiscal year ended December 31,
|
||||||||||||||||||||
2011
|
2010 | (11) | 2009 | (11) | 2008 | (11) | 2007 | (11) | ||||||||||||
(in thousands of pesos) (1)
|
||||||||||||||||||||
Amounts in accordance with U.S. GAAP
|
||||||||||||||||||||
Total assets
|
40,367,604 | 33,448,725 | 27,760,274 | 27,199,899 | 23,266,358 | |||||||||||||||
Total stockholders’ equity
|
4,003,440 | 4,500,072 | 3,696,499 | 2,225,579 | 2,103,850 | |||||||||||||||
SELECTED RATIOS IN ACCORDANCE WITH ARGENTINE BANKING GAAP
|
||||||||||||||||||||
Profitability and Performance
|
||||||||||||||||||||
Return on average total assets (5)
|
2.65 | % | 3.95 | % | 2.90 | % | 1.38 | % | 1.19 | % | ||||||||||
Return on average stockholders’ equity (6)
|
24.87 | % | 34.86 | % | 30.24 | % | 15.98 | % | 12.16 | % | ||||||||||
Services charge income as a percentage of operating expenses
|
85.88 | % | 75.42 | % | 77.11 | % | 85.40 | % | 81.67 | % | ||||||||||
Operating expenses as a percentage of average total assets (7)
|
6.37 | % | 6.68 | % | 5.98 | % | 4.81 | % | 4.33 | % | ||||||||||
Capital
|
||||||||||||||||||||
Stockholders’ equity as a percentage of total assets
|
9.92 | % | 11.50 | % | 11.09 | % | 8.04 | % | 9.34 | % | ||||||||||
Total liabilities as a multiple of stockholders’ equity
|
9.08 | x | 7.70 | x | 8.02 | x | 11.44 | x | 9.71 | x | ||||||||||
Credit Quality
|
||||||||||||||||||||
Allowances for doubtful loans as a percentage of total loans
|
1.91 | % | 2.32 | % | 2.79 | % | 1.55 | % | 1.71 | % | ||||||||||
Non-performing loans as a percentage of gross loans (8)
|
0.45 | % | 0.47 | % | 1.00 | % | 0.87 | % | 0.54 | % | ||||||||||
Allowances for doubtful loans as a percentage of non-performing loans (8)
|
422.14 | % | 492.96 | % | 277.93 | % | 177.50 | % | 315.55 | % |
(1)
|
Except net income per-ordinary share and net income per-ADS data and financial ratios.
|
(2)
|
Assumes average ordinary shares outstanding in each period. The cash dividend amounts do not reflect any deduction for certain charges that are taken with regards to the “American Depositary Receipts”.
|
(3)
|
Includes: financial income, financial expenses, service charge income and service charge expenses.
|
(4)
|
Includes: financial income, financial expenses, provision for loan losses, services charge income, service charge expenses and operating expenses.
|
(5)
|
Net income as a percentage of average total assets, computed as the average of fiscal-year-beginning and fiscal-year-ending balances.
|
(6)
|
Net income as a percentage of average stockholders’ equity, computed as the average of fiscal-year-beginning and fiscal-year-ending balances.
|
(7)
|
Operating expenses as a percentage of average total assets, computed as the average of fiscal-year-beginning and fiscal-year-ending balances.
|
(8)
|
Non-performing loans include all loans to borrowers classified as “Problem”, “Medium Risk”, “High Risk of Insolvency”, “High Risk”, “Irrecoverable” and “Irrecoverable for Technical Decision” according to the Central Bank’s loan classification system as well as all loans contractually past due 90 days or more. See “Item 4. Information on the Company—Selected Statistical Information—Allowance for Loan Losses and Loan Loss Experience”.
|
(9)
|
The average ordinary shares outstanding was computed as the average of the previous twelve months.
|
(10)
|
For the fiscal year ended December 31, 2011, the Bank decided not to declare and distribute dividends as result of the issuance of Comminications “A” 5272 and 5273 of the Central Bank (see “Item 8. Financial Information—Dividends”). For the fiscal years ended December 31, 2010, 2009 and 2007, the dividends were paid totally in cash. For the fiscal year ended December 31, 2008 the dividends paid in 2009 were Ps.35 million in cash and Ps.65 million through the issue of new shares.
|
(11)
|
Restated from its original version to reflect the effects from continued and discontinued operations.
|
Declared Dividends
Per Ordinary Share (7)
|
Declared Dividends
Per ADS (7)
|
|||||||||||||||
Ps.(1)
|
U.S.$
|
Ps.(1)
|
U.S.$
|
|||||||||||||
December 31, 2011 (3)
|
— | — | — | — | ||||||||||||
December 31, 2010 (3) (6)
|
1.49899 | 0.36994 | 4.49697 | 1.10981 | ||||||||||||
December 31, 2009 (3) (5)
|
0.89492 | 0.23054 | 2.68476 | 0.69163 | ||||||||||||
December 31, 2008 (3) (4)
|
0.21215 | 0.05747 | 0.63645 | 0.17240 | ||||||||||||
December 31, 2007 (2) (3)
|
0.34793 | 0.10980 | 1.04379 | 0.32940 |
___________________ | |
(1)
|
Historical values.
|
(2)
|
Based upon the reference exchange rate quoted by Central Bank on the date of payment.
|
(3)
|
On April 2002, the Central Bank suspended the payment of dividends by Argentine financial institutions. As of June 2, 2004 the Central Bank will make some exceptions to the suspension of profits distributions and may pre-authorize dividend payments under certain conditions. See "Item 8. Financial Information-Dividends".
|
(4)
|
Based upon the reference exchange rate quoted by Central Bank at March 26, 2009.
|
(5)
|
Based upon the reference exchange rate quoted by Central Bank at April 29, 2010.
|
(6)
|
Based upon the reference exchange rate quoted by Central Bank at March 31, 2011.
|
(7)
|
For the fiscal year ended December 31, 2011, the Bank decided not to declare and distribute dividends as result of the issuance of Comminications "A" 5272 and 5273 of the Central Bank (see "Item 8. Financial Information-Dividends"). For the fiscal years ended December 31, 2010, 2009 and 2007, the dividends were paid totally in cash. For the fiscal year ended December 31, 2008 the dividends paid in 2009 were Ps.35 million in cash and Ps.65 million through the issue of new shares. For the fiscal years ended December 31, 2010 and 2009 the number of outstanding shares were 536,361,306, respectively, and for the fiscal years ended December 31, 2008 and 2007 the number of outstanding shares were 471,361,306, respectively. Declared dividends per ordinary share are calculated taking into account dividends paid over the outstanding shares at the end of each fiscal year.
|
High (1)
|
Low (1)
|
Average (2)
|
||||||||||
Year /Period
|
(in pesos per U.S.$1.00)
|
|||||||||||
February 2012
|
4.3565 | 4.3337 | 4.3467 | |||||||||
January 2012
|
4.3383 | 4.3048 | 4.3206 | |||||||||
2011
|
4.3035 | 3.9715 | 4.1302 | |||||||||
December 2011
|
4.3035 | 4.2780 | 4.2888 | |||||||||
November 2011
|
4.2807 | 4.2377 | 4.2601 | |||||||||
October 2011
|
4.2358 | 4.2045 | 4.2221 | |||||||||
September 2011
|
4.2173 | 4.1910 | 4.2042 | |||||||||
2010
|
3.9857 | 3.7942 | 3.9127 | |||||||||
2009
|
3.8545 | 3.4497 | 3.7301 | |||||||||
2008
|
3.4537 | 3.0128 | 3.1614 | |||||||||
2007
|
3.1797 | 3.0553 | 3.1156 |
___________________ | |
(1) | Source: BCRA. |
(2) | The average of monthly average rates during the period. |
December 31,
|
||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||
Devaluation Rate
|
8.23 | % | 4.72 | % | 9.93 | % | 9.61 | % | 2.66 | % | ||||||||||
Exchange Rate
|
4.3032 | 3.9758 | 3.7967 | 3.4537 | 3.1510 | |||||||||||||||
Inflation Rate (1)
|
12.67 | % | 14.56 | % | 10.26 | % | 8.98 | % | 14.56 | % |
___________________ | |
(1) | The inflation rate presented is the general WPI published by the INDEC. |
§
|
contracts with privatized public utilities, and the cancellation of subsidies to the energy and gas companies that could affect consumption levels.
|
§
|
increasing inflation affecting competiveness and economic growth.
|
§
|
availability of long-term fixed interest rate loans.
|
§
|
high commodity prices have had a favourable impact on economic activities in recent years, but are very volatile and out of the Government’s scope of control.
|
§
|
recent measures implemented by the Government to control import could lead to the imposition of barriers to Argentine exports to trading parties and have a negative impact on economic activities.
|
§
|
the Government has issued several measures that have limited the access to the purchase of foreign currency, which has caused certain uncertainty especially to dollar-denominated deposit holders.
|
§
|
Consolidar AFJP S.A.
|
As of December 31, 2011
|
||||||||||||||||||||
Continued operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||
Banking Financial
|
Pension Fund
Manager / Insurance
|
|||||||||||||||||||
BBVA Francés (3)
|
PSA Finance S.A.
|
Total
|
||||||||||||||||||
Total assets
|
37,640,829 | 1,329,244 | 38,970,073 | 35,572 | 39,005,645 | |||||||||||||||
Total income (1)
|
5,490,883 | 281,958 | 5,772,841 | 328,192 | 6,101,033 | |||||||||||||||
Total expenses (2)
|
(4,691,836 | ) | (140,889 | ) | (4,832,725 | ) | (254,269 | ) | (5,086,994 | ) | ||||||||||
(Loss)/Gain on minority interest in subsidiaries
|
24,691 | (17,908 | ) | 6,783 | (15,245 | ) | (8,462 | ) | ||||||||||||
Total net income
|
823,738 | 123,161 | 946,899 | 58,678 | 1,005,577 |
(1)
|
Includes financial income, service charge income and other income.
|
(2)
|
Includes financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and income tax and tax on minimum presumed income.
|
(3)
|
Includes BBVA Francés Asset Management S.A. and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(4)
|
See Notes 1.5. and 15. to the Consolidated Financial Statements.
|
Loans
|
||||||||||||||||||||||||
December 31, 2011
|
December 31, 2010
|
December 31, 2009
|
||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Public Sector
|
46,027 | 0.20 | % | 1,297,642 | 7.77 | % | 1,400,243 | 11.92 | % | |||||||||||||||
Corporate
|
6,378,971 | 27.88 | % | 4,586,166 | 27.46 | % | 3,708,460 | 31.56 | % | |||||||||||||||
Middle market
|
5,676,856 | 24.82 | % | 3,667,723 | 21.97 | % | 1,999,448 | 17.01 | % | |||||||||||||||
Retail
|
10,774,031 | 47.10 | % | 7,148,321 | 42.80 | % | 4,643,738 | 39.51 | % | |||||||||||||||
Total
|
22,875,885 | 100.00 | % | 16,699,852 | 100.00 | % | 11,751,889 | 100.00 | % | |||||||||||||||
Deposits
|
||||||||||||||||||||||||
December 31, 2011
|
December 31, 2010
|
December 31, 2009
|
||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Corporate
|
4,774,471 | 16.37 | % | 2,807,584 | 12.50 | % | 3,141,792 | 17.13 | % | |||||||||||||||
Middle market
|
3,843,486 | 13.18 | % | 2,753,632 | 12.26 | % | 2,047,114 | 11.17 | % | |||||||||||||||
Retail
|
20,547,747 | 70.45 | % | 16,900,091 | 75.24 | % | 13,145,939 | 71.70 | % | |||||||||||||||
Total
|
29,165,704 | 100.00 | % | 22,461,307 | 100.00 | % | 18,334,845 | 100.00 | % | |||||||||||||||
§
|
Customer relationship
|
§
|
Distribution and relationship model
|
§
|
Processes
|
§
|
How things should be done
|
§
|
A better understanding of customers
|
§
|
Improving the processes with high impact on quality perception
|
§
|
Fostering a culture with customer service in mind
|
§
|
Defining a governance model and a quality measurement methodology
|
§
|
Implementation of a new Service and Claim Resolution model - First Contact Resolution (FCR): A pilot test was launched at Francés Net which has an impact on 33% of customer complaints (promotions, errors in payments and credit balances). As a result of the authority that operators now have to handle these kinds of complaints it was possible to reduce the lead time from an average of 12 days to less than 24 hours.
|
§
|
Reply Protocol: The Bank started a process to standardize responses to customers by using FCR adapted scripts for all e-mail and telephone inquiries.
|
§
|
New quality measuring format: General customer satisfaction surveys were replaced by Net Promoter Score (NPS), related to customer experience and optimizing our understanding of customer needs.
|
§
|
Better information regarding complaints and claims: With an updated version of regular reports issued by the Quality and Service Committee, the Bank managed to detect variances and ensure the required streamlining in circuits and processes.
|
§
|
New installations or upgrades of equipment at the branches
|
§
|
Better telephone answering techniques at the branches: A new telephone answering model was implemented for all branches.
|
§
|
Communications Plan: The aim is to communicate the information to customers efficiently, especially through automatic devices.
|
§
|
Availability of credit card statements: Customers may have access to their credit card statements in PDF format through Francés Net.
|
§
|
Better product promotions circuit: The Bank is working on a system that will improve the administration of this system.
|
§
|
New customer portfolio segmentation, with new and different parameters, achieving a better understanding of the different customer segments, improving in the early detection process, with a better management of every new customer from the early stages.
|
§
|
Referral of the management and attention of the different customers to the most appropriate channel.
|
§
|
Definition and implementation of first pilot test of the Small and Medium Business’ (“SMB”) Business Model Service, monitoring the progress with the aim of installing it in all of Argentina in 2012.
|
§
|
As a customer loyalty strategy, the Bank also emphasized customer post-sales service, with the aim of achieving the expected competitive advantage.
|
-
|
Different actions were implemented in order for customers to become aware of most efficient and flexible ways to operate with the Bank. We continued with the referrals to automatic channels, with the inclusion of facilitators in the offices with a large number of transactions in order to train customers in self-service devices, we renewed existing ATMs and included new functions.
|
-
|
Concurrently, we addressed productivity and efficiency in all channels. The Solutions Center continued developing new solutions and cooperated in a significant manner to reduce deadlines to attend inquires through the network. The centralized complaints model was consolidated, offering a standardized service model for all customers.
|
§
|
The implementation of a Consistent Business Model ended in December 2011 at all retail offices. With this methodology we want to standardize a structured management level at all the offices, making it global and efficient, with simple processes that allow the business activities and the detection of business opportunities. This project, coupled with changes in the incentive use of new management tools and their implementation led to increased productivity and network efficiency.
|
-
|
Corporate
|
-
|
Middle Market
|
-
|
Small and Medium Business (SMB)
|
-
|
VIP Banking
|
-
|
Consumer Financing
|
-
|
Managed Resources
|
§
|
Variable Interest Rate Deposits (Depósitos a Interés Variable - Diva I): This investment product was launched in June 2011. It had three return possibilities: Soy (Chicago), Gold (London) and S&P Index (New York) with the principal being guaranteed and up to 15% of appreciation. This investment alternative enabled customers to diversify their portfolios and obtain profits related to the performance of the chosen asset’s price. A total of Ps. 55 million were placed at 180 days.
|
§
|
In August and September 2011 we re-launched two mutual investment funds for high-net worth customers who previously had no investments at the Bank. The advertising included technical information about both mutual funds: FBA Saving Pesos (FBA Ahorro Pesos) and FBA Total. All these transactions were handled by BBVA Francés Asset Management S.A.
|
§
|
In September and October 2011 we launched a LAN Certificate of Deposit (Plazo Fijo LAN) campaign, through which instead of actual interest, customers received LANPASS miles to use with LAN Argentina S.A. (“LAN”). This product has two important characteristics: customers get credit in miles when they open their Certificate of Deposit (customers get paid in advance) and they also get a 45% discount rate in comparison with market prices.
|
§
|
Variable Interest Deposits (Depósitos a Interés Variable - Diva II): This product was launched in mid-December with three yield possibilities: Soy (Chicago), Gold (London) and S&P Index (New York), with the principal being guaranteed and a minimum interest of 10% and a maximum interest of 15%. A total of Ps. 29 million were placed at 180 days.
|
-
|
Payroll Administration
|
-
|
Related Products
|
§
|
Advertising to attract new customers and a strong cross-selling driven through Televentas (Telephone Sales).
|
§
|
More average premiums sold that subsequently triggered higher commission levels.
|
§
|
Sharp increase in personal accident insurance portfolio. We also offered the possibility of purchasing theft insurance policies directly through ATMs with excellent results.
|
§
|
Ongoing process to update insured amounts by upgrading existing insurance policies.
|
§
|
Launching of new Premier home insurance, with a wider and better coverage.
|
§
|
Launching of new Protected Bag (Bolso Protegido) insurance.
|
-
|
Alternative Channels
|
§
|
New web link for the settlement of previously approved personal loans. There was a very good acceptance by customers of personal loans transacted through automatic channels. Loan for more than Ps.13 million were granted through Francés Net.
|
§
|
Immediate transfer of funds in Argentine Pesos and US Dollars to other banks.
|
§
|
Inclusion of insurance policies in the customers’ overall financial situation.
|
§
|
New communication spot in a promotional banner.
|
§
|
Easier access to credit card statements and increase in credit limits.
|
§
|
New security features for transaction validations with “SMS Password”.
|
§
|
More than Ps. 11,000 million in operations.
|
§
|
550,000 active customers; 22% more than the previous year.
|
§
|
180 million transactions; 29% more in volume.
|
§
|
Promotions by types of products and geographical areas
|
§
|
Maturity dates of credit cards, loans and certificates of deposit
|
§
|
Rejected checks – customer’s own or third party’s checks
|
§
|
Debited checks
|
§
|
Delivered check books
|
§
|
Delivered credit cards
|
§
|
Balance of accounts requested by customer
|
-
|
Retail
|
§
|
Full cross-selling for customers. The continuous mass evaluation of the portfolio permitted the customers to have more assistance in credit products.
|
§
|
Credit card support. The best benefits were offered to the customers, coming from the tow most significant strategic alliances: Time for fun (“T4F”) and LANPASS. Also during the year 2011, new connected groups were launched: Boca and Peugeot.
|
§
|
“Solo por Hoy” (Today Only): Offer to exchange miles with preferential terms, with up to 30% discounts and exclusive advance sales for customers on a specific day.
|
§
|
Mastercard Promotion: Until December 31, 2011 all purchases with our MasterCard LANPASS credit card gave right to 20% more LANPASS miles.
|
§
|
“Revuelo LANPASS” (LANPASS Flights): All BBVA Francés credit card customers had up to 30% discount when purchasing their flights to a specific destination (in exchange for miles) between August 3 and 10, 2011.
|
-
|
Middle Market
|
-
|
Corporate & Investment Banking
|
Name of Mutual Fund
|
Thousands
of Pesos
|
|
FBA Acciones Globales
|
56,616
|
|
FBA Total
|
16,017
|
|
FBA Renta
|
17,435
|
|
FBA Renta Pesos
|
1,228,914
|
|
FBA Renta Dólares
|
4,613
|
|
FBA Bonos Latinoamericanos
|
12,977
|
|
FBA Calificado
|
72,591
|
|
FBA International
|
645
|
|
FBA Ahorro Dólares
|
11,671
|
|
FBA Renta Fija
|
18,566
|
|
FBA Ahorro Pesos
|
422,678
|
|
FBA Renta Premium
|
10,056
|
|
FBA Europa
|
2,926
|
|
FBA Horizonte
|
35,230
|
|
FBA EE.UU.
|
7,501
|
|
FBA Renta Corto Plazo
|
443
|
|
FBA Acciones Latinoamericanas
|
19,948
|
|
FBA Bonos Argentina
|
4,922
|
|
FBA Brasil
|
25,998
|
|
FBA México
|
62
|
|
FBA Commodities
|
58
|
|
FBA Acciones Argentinas
|
260
|
|
FBA Bonos Globales
|
79
|
|
Total
|
1,970,206
|
Source: Cámara Argentina de Fondos Comunes de Inversión (“CAFCI”)
|
As of December 31, 2011
|
||||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
||||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
|||||||||||||||||||
BBVA Francés.(4)
|
PSA Finance S.A.
|
Total
|
||||||||||||||||||
Total assets
|
37,640,829 | 1,329,244 | 38,970,073 | 35,572 | 39,005,645 | |||||||||||||||
Financial income
|
3,412,422 | 152,608 | 3,565,030 | 249,655 | 3,814,685 | |||||||||||||||
Service charge income and other income
|
2,078,461 | 129,350 | 2,207,811 | 78,537 | 2,286,348 | |||||||||||||||
Total income (1)
|
5,490,883 | 281,958 | 5,772,841 | 328,192 | 6,101,033 | |||||||||||||||
Financial expenses
|
(1,300,279 | ) | (55,419 | ) | (1,355,698 | ) | 10,295 | (1,345,403 | ) | |||||||||||
Allowances for doubtful loans
|
(122,066 | ) | (10,597 | ) | (132,663 | ) | — | (132,663 | ) | |||||||||||
Operating expenses
|
(2,263,288 | ) | (16,212 | ) | (2,279,500 | ) | (63,700 | ) | (2,343,200 | ) | ||||||||||
Other expenses (2)
|
(1,006,203 | ) | (58,661 | ) | (1,064,864 | ) | (200,864 | ) | (1,265,728 | ) | ||||||||||
Total expenses (3)
|
(4,691,836 | ) | (140,889 | ) | (4,832,725 | ) | (254,269 | ) | (5,086,994 | ) | ||||||||||
(Loss)/Gain on minority interest in subsidiaries
|
24,691 | (17,908 | ) | 6,783 | (15,245 | ) | (8,462 | ) | ||||||||||||
Total net income
|
823,738 | 123,161 | 946,899 | 58,678 | 1,005,577 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI.
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and income tax and TOMPI.
|
(4)
|
Includes: BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15. to the Consolidated Financial Statements.
|
As of December 31, 2010
|
||||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
||||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
|||||||||||||||||||
BBVA Francés (4)
|
PSA Finance S.A.
|
Total
|
||||||||||||||||||
Total assets
|
28,445,498 | 751,810 | 29,197,308 | 3,382,938 | 32,580,246 | |||||||||||||||
Financial income
|
3,211,487 | 86,772 | 3,298,259 | 544,412 | 3,842,671 | |||||||||||||||
Service charge income and other income
|
1,550,974 | 81,872 | 1,632,846 | 57,389 | 1,690,235 | |||||||||||||||
Total income (1)
|
4,762,461 | 168,644 | 4,931,105 | 601,801 | 5,532,906 | |||||||||||||||
Financial expenses
|
(800,182 | ) | (14,491 | ) | (814,673 | ) | (3,150 | ) | (817,823 | ) | ||||||||||
Allowances for doubtful loans
|
(172,452 | ) | (6,901 | ) | (179,353 | ) | — | (179,353 | ) | |||||||||||
Operating expenses
|
(1,957,154 | ) | (12,307 | ) | (1,969,461 | ) | (49,917 | ) | (2,019,378 | ) | ||||||||||
Other expenses (2)
|
(750,674 | ) | (37,133 | ) | (787,807 | ) | (499,210 | ) | (1,287,017 | ) | ||||||||||
Total expenses (3)
|
(3,680,462 | ) | (70,832 | ) | (3,751,294 | ) | (552,277 | ) | (4,303,571 | ) | ||||||||||
(Loss)/Gain on minority interest in subsidiaries
|
(219 | ) | (16,319 | ) | (16,538 | ) | (14,618 | ) | (31,156 | ) | ||||||||||
Total net income
|
1,081,780 | 81,493 | 1,163,273 | 34,906 | 1,198,179 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI.
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and TOMPI.
|
(4)
|
Includes: BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15. to the Consolidated Financial Statements.
|
As of December 31, 2009
|
||||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
||||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
|||||||||||||||||||
BBVA Francés (4)
|
PSA Finance S.A.
|
Total
|
||||||||||||||||||
Total assets
|
22,665,407 | 412,389 | 23,077,796 | 3,313,797 | 26,391,593 | |||||||||||||||
Financial income
|
2,964,761 | 74,709 | 3,039,470 | 520,733 | 3,560,203 | |||||||||||||||
Service charge income and other income
|
1,422,129 | 67,805 | 1,489,934 | (33,590 | ) | 1,456,344 | ||||||||||||||
Total income (1)
|
4,386,890 | 142,514 | 4,529,404 | 487,143 | 5,016,547 | |||||||||||||||
Financial expenses
|
(966,394 | ) | (9,037 | ) | (975,431 | ) | (38,528 | ) | (1,013,959 | ) | ||||||||||
Allowances for doubtful loans
|
(241,622 | ) | (4,344 | ) | (245,966 | ) | — | (245,966 | ) | |||||||||||
Operating expenses
|
(1,553,125 | ) | (9,201 | ) | (1,562,326 | ) | (71,573 | ) | (1,633,899 | ) | ||||||||||
Other expenses (2)
|
(946,385 | ) | (25,039 | ) | (971,424 | ) | (417,947 | ) | (1,389,371 | ) | ||||||||||
Total expenses (3)
|
(3,707,526 | ) | (47,621 | ) | (3,755,147 | ) | (528,048 | ) | (4,283,195 | ) | ||||||||||
(Loss)/Gain on minority interest in subsidiaries
|
46 | (17,897 | ) | (17,851 | ) | 2,961 | (14,890 | ) | ||||||||||||
Total net income / (loss)
|
679,410 | 76,996 | 756,406 | (37,944 | ) | 718,462 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI.
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and TOMPI.
|
(4)
|
Includes: Atuel Fideicomisos S.A. and its subsidiary and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15. to the Consolidated Financial Statements.
|
§
|
sharing of technology;
|
§
|
development of new banking products that have been customized for the Argentine market;
|
§
|
leveraging BBVA’s global client relationships to serve those clients operating in Argentina; and
|
§
|
BBVA’s participation in BBVA Francés as a shareholder is both long term and strategic.
|
|
________________ |
(1) Undergoing liquidation proceedings. |
Subsidiary or Affiliates Company
|
Country of
Incorporation/
Residence
|
BBVA Francés
Ownership
and Voting Power
(in percentages)
|
Principal Activity
|
Stockholders’
Equity
(in millions of pesos) (2) (3)
|
|||
BBVA Francés Asset Management S.A.(1)
|
Argentina
|
95.00%
|
Mutual funds
|
48.5
|
|||
BBVA Francés Valores Sociedad de Bolsa S.A. (1)
|
Argentina
|
94.97%
|
Stock exchange brokerage
|
13.6
|
|||
Consolidar AFJP S.A. (undergoing liquidation proceedings) (1)
|
Argentina
|
53.89%
|
Fund administrators
|
20.3
|
|||
PSA Finance Argentina Cía. Financiera S.A. (1)
|
Argentina
|
50.00%
|
Financial institution
|
143.9
|
|||
Rombo Compañía Financiera S.A. (1)
|
Argentina
|
40.00%
|
Financial institution
|
136.8
|
|||
Consolidar ART S.A. (1) (4)
|
Argentina
|
12.50%
|
Workers compensation insurance
|
273.8
|
|||
BBVA Consolidar Seguros S.A. (1)
|
Argentina
|
12.22%
|
Insurance company
|
123.6
|
(1)
|
For information regarding the number of shares we hold in such entities, see Note 2 to the Consolidated Financial Statements.
|
(2)
|
Total stockholders’ equity as of December 31, 2011.
|
(3)
|
Statutory Stockholders’ Equity, adjusted for purposes of consolidation so as to apply an accounting criterion being uniform with that of BBVA Francés, if applicable.
|
(4)
|
See Note 1.6. to the Consolidated Financial Statements.
|
Investment
|
Country
|
% of Shares
Owned
(in percentages)
|
Principal Activity
|
Total
Stockholders’
Equity (in
millions of pesos)
|
||||
Coelsa S.A.(1)
|
Argentina
|
9.67%
|
Clearing house
|
2.0
|
||||
Interbanking S.A. (1)
|
Argentina
|
11.11%
|
Information services for financial markets
|
65.9
|
||||
Argencontrol S.A. (2)
|
Argentina
|
7.77%
|
Agent mandatory
|
0.9
|
||||
Sedesa S.A. (1)
|
Argentina
|
11.10%
|
Deposit guarantee fund
|
15.6
|
||||
Banelco S.A. (3)
|
Argentina
|
10.91%
|
Nationwide ATM network & credit card administration
|
65.8
|
||||
Visa Argentina S.A. (4)
|
Argentina
|
10.02%
|
Credit card issuer
|
186.2
|
(1)
|
Total Stockholders’ Equity as of December 31, 2010.
|
(2)
|
Total Stockholders’ Equity as of December 31, 2009.
|
(3)
|
Total Stockholders’ Equity as of June 30, 2011.
|
(4)
|
Total Stockholders’ Equity as of May 31, 2011.
|
Rp =
|
1 + Np
|
- 1
|
Rd =
|
(1 + Nd)(1 + D)
|
- 1
|
1 + I
|
1 + I
|
Rd=
|
(1+0.20)(1+0.15)
|
- 1
|
=
|
10.4% per annum
|
1+0.25
|
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||||||||||
Interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Government securities(3)
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,910,088 | 585,291 | (2.45 | )% | 4,965,474 | 1,219,068 | 8.72 | % | 4,270,233 | 931,416 | 10.63 | % | ||||||||||||||||||||||||
Dollars
|
164,044 | 714 | (3.51 | )% | 121,719 | 21,396 | 7.47 | % | 34,546 | 5,626 | 16.10 | % | ||||||||||||||||||||||||
Total
|
6,074,132 | 586,005 | (2.48 | )% | 5,087,193 | 1,240,464 | 8.69 | % | 4,304,779 | 937,042 | 10.68 | % | ||||||||||||||||||||||||
Loans (4)
|
||||||||||||||||||||||||||||||||||||
Private Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,665,675 | 2,634,984 | 3.69 | % | 10,200,276 | 1,680,850 | 1.67 | % | 7,944,149 | 1,568,784 | 8.76 | % | ||||||||||||||||||||||||
Dollars
|
3,417,049 | 73,626 | (1.86 | )% | 1,986,761 | 63,777 | (5.66 | )% | 1,860,470 | 118,419 | 6.20 | % | ||||||||||||||||||||||||
Total
|
19,082,724 | 2,708,610 | 2.70 | % | 12,187,037 | 1,744,627 | 0.48 | % | 9,804,619 | 1,687,203 | 8.27 | % | ||||||||||||||||||||||||
Public Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
929,371 | 548 | (11.19 | )% | 509,538 | — | — | 699,898 | 9,665 | (7.92 | )% | |||||||||||||||||||||||||
Total
|
929,371 | 548 | (11.19 | )% | 509,538 | — | — | 699,898 | 9,665 | (7.92 | )% | |||||||||||||||||||||||||
Deposits with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
127,251 | — | — | 119,463 | — | — | 115,198 | 7 | (9.17 | )% | ||||||||||||||||||||||||||
Dollars
|
2,537,075 | — | — | 3,336,469 | — | — | 3,227,565 | 13 | (0.16 | )% | ||||||||||||||||||||||||||
Total
|
2,664,326 | — | — | 3,455,932 | — | — | 3,342,763 | 20 | (0.47 | )% | ||||||||||||||||||||||||||
Other assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,867,995 | 296,536 | 2.85 | % | 1,125,585 | 120,308 | (3.38 | )% | 1,592,884 | 235,194 | 4.23 | % | ||||||||||||||||||||||||
Dollars
|
40,687 | 2,967 | 3.08 | % | 106,663 | 2,423 | (6.52 | )% | 275,640 | 2,125 | 0.61 | % | ||||||||||||||||||||||||
Total
|
1,908,682 | 299,503 | 2.86 | % | 1,232,248 | 122,731 | (3.65 | )% | 1,868,524 | 237,319 | 3.70 | % | ||||||||||||||||||||||||
Interest-earning assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
24,500,380 | 3,517,359 | 1.51 | % | 16,920,336 | 3,020,226 | 2.87 | % | 14,622,362 | 2,745,066 | 7.87 | % | ||||||||||||||||||||||||
Dollars
|
6,158,855 | 77,307 | (2.72 | )% | 5,551,612 | 87,596 | (7.15 | )% | 5,398,221 | 126,183 | 2.18 | % | ||||||||||||||||||||||||
Total
|
30,659,235 | 3,594,666 | 0.66 | % | 22,471,948 | 3,107,822 | 0.39 | % | 20,020,583 | 2,871,249 | 6.34 | % | ||||||||||||||||||||||||
Interest-earning assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
50,588 | 3,384 | (0.01 | )% | 2,394,782 | 507,053 | 0.36 | % | 2,591,830 | 486,087 | — | |||||||||||||||||||||||||
Dollars
|
7,718 | — | — | 741,154 | — | (0.17 | )% | 382,466 | — | (0.15 | )% | |||||||||||||||||||||||||
Total
|
58,306 | 3,384 | (0.01 | )% | 3,135,936 | 507,053 | 0.24 | % | 2,974,296 | 486,087 | 0.06 | % | ||||||||||||||||||||||||
Total interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
24,550,968 | 3,520,743 | 1.49 | % | 19,315,118 | 3,527,279 | 3.23 | % | 17,214,192 | 3,231,153 | 7.87 | % | ||||||||||||||||||||||||
Dollars
|
6,166,573 | 77,307 | (2.72 | )% | 6,292,766 | 87,596 | (7.32 | )% | 5,780,687 | 126,183 | 2.02 | % | ||||||||||||||||||||||||
Total
|
30,717,541 | 3,598,050 | 0.65 | % | 25,607,884 | 3,614,875 | 0.64 | % | 22,994,879 | 3,357,336 | 6.40 | % |
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
Non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Cash and due from banks
|
||||||||||||||||||||||||||||||||||||
Pesos
|
3,110,071 | — | — | 2,147,422 | — | — | 1,822,361 | — | — | |||||||||||||||||||||||||||
Dollars
|
776,237 | — | — | 618,364 | — | — | 426,773 | — | — | |||||||||||||||||||||||||||
Total
|
3,886,308 | — | — | 2,765,786 | — | — | 2,249,134 | — | — | |||||||||||||||||||||||||||
Investments in other companies
|
||||||||||||||||||||||||||||||||||||
Pesos
|
91,232 | — | — | 100,076 | — | — | 203,364 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,095 | — | — | 1,037 | — | — | 990 | — | — | |||||||||||||||||||||||||||
Total
|
92,327 | — | — | 101,113 | — | — | 204,354 | — | — | |||||||||||||||||||||||||||
Property and equipment and miscellaneous and intangible assets and items pending allocation
|
||||||||||||||||||||||||||||||||||||
Pesos
|
652,799 | — | — | 604,962 | — | — | 536,314 | — | — | |||||||||||||||||||||||||||
Total
|
652,799 | — | — | 604,962 | — | — | 536,314 | — | — | |||||||||||||||||||||||||||
Allowance for loan losses
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(423,818 | ) | — | — | (545,349 | ) | — | — | (607,483 | ) | — | — | ||||||||||||||||||||||||
Dollars
|
(52,569 | ) | — | — | (34,497 | ) | — | — | (31,113 | ) | — | — | ||||||||||||||||||||||||
Total
|
(476,387 | ) | — | — | (579,846 | ) | — | — | (638,596 | ) | — | — | ||||||||||||||||||||||||
Other assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
710,741 | — | — | 604,985 | — | — | 843,734 | — | — | |||||||||||||||||||||||||||
Dollars
|
284,003 | — | — | 271,725 | — | — | 61,287 | — | — | |||||||||||||||||||||||||||
Total
|
994,744 | — | — | 876,710 | — | — | 905,021 | — | — | |||||||||||||||||||||||||||
Non-interest-earning assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,141,025 | — | — | 2,912,096 | — | — | 2,798,290 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,008,766 | — | — | 856,629 | — | — | 457,937 | — | — | |||||||||||||||||||||||||||
Total
|
5,149,791 | — | — | 3,768,725 | — | — | 3,256,227 | — | — | |||||||||||||||||||||||||||
Non-interest-earning assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
16,140 | — | — | 211,961 | — | — | 69,876 | — | — | |||||||||||||||||||||||||||
Dollars
|
268 | — | — | 30,333 | — | — | 71,228 | — | — | |||||||||||||||||||||||||||
Total
|
16,408 | — | — | 242,294 | — | — | 141,404 | — | — | |||||||||||||||||||||||||||
Total non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,157,165 | — | — | 3,124,057 | — | — | 2,868,166 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,009,034 | — | — | 886,962 | — | — | 529,165 | — | — | |||||||||||||||||||||||||||
Total
|
5,166,199 | — | — | 4,011,019 | — | — | 3,397,331 | — | — | |||||||||||||||||||||||||||
ASSETS FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,641,405 | — | — | 19,832,432 | — | — | 17,420,652 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,167,621 | — | — | 6,408,241 | — | — | 5,856,158 | — | — | |||||||||||||||||||||||||||
Total
|
35,809,026 | — | — | 26,240,673 | — | — | 23,276,810 | — | — | |||||||||||||||||||||||||||
ASSETS FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
66,728 | — | — | 2,606,743 | — | — | 2,661,706 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,986 | — | — | 771,487 | — | — | 453,694 | — | — | |||||||||||||||||||||||||||
Total
|
74,714 | — | — | 3,378,230 | — | — | 3,115,400 | — | — | |||||||||||||||||||||||||||
TOTAL ASSETS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,708,133 | — | — | 22,439,175 | — | — | 20,082,358 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,175,607 | — | — | 7,179,728 | — | — | 6,309,852 | — | — | |||||||||||||||||||||||||||
Total
|
35,883,740 | — | — | 29,618,903 | — | — | 26,392,210 | — | — |
(1)
|
Average Balances are derived from month-end balances.
|
(2)
|
Annualized on a 360-day basis.
|
(3)
|
Includes trading gains and losses in all fiscal years. Unrealized gains and losses arising from changes in the market value of our trading portfolio of Government Securities and yield on our investment portfolio of Government Securities are included.
|
(4)
|
Loan amounts are stated before deduction of the allowance for loan losses. Non-accrual loans are included in loans as interest-earning assets.
|
|
December 31,
|
|||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
LIABILITIES
|
||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Savings accounts
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,784,502 | 6,767 | (11.11 | )% | 3,881,058 | 5,026 | (12.60 | )% | 3,363,193 | 8,750 | (8.94 | )% | ||||||||||||||||||||||||
Dollars
|
2,671,586 | 2,416 | (3.84 | )% | 2,273,514 | 1,637 | (8.53 | )% | 1,840,846 | 1,252 | (0.09 | )% | ||||||||||||||||||||||||
Total
|
7,456,088 | 9,183 | (8.51 | )% | 6,154,572 | 6,663 | (11.09 | )% | 5,204,039 | 10,002 | (5.81 | )% | ||||||||||||||||||||||||
Time deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,010,574 | 1,058,109 | (0.81 | )% | 6,335,859 | 611,786 | (4.28 | )% | 5,656,994 | 716,602 | 2.33 | % | ||||||||||||||||||||||||
Dollars
|
1,918,794 | 4,666 | (3.69 | )% | 1,789,633 | 8,019 | (8.18 | )% | 1,871,652 | 31,520 | 1.53 | % | ||||||||||||||||||||||||
Total
|
10,929,368 | 1,062,775 | (1.32 | )% | 8,125,492 | 619,805 | (5.14 | )% | 7,528,646 | 748,122 | 2.13 | % | ||||||||||||||||||||||||
Borrowings from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
53,083 | 558 | (10.30 | )% | 31,643 | — | — | 25,387 | — | — | ||||||||||||||||||||||||||
Dollars
|
2,526 | 18 | (3.26 | )% | 2,023 | 10 | (8.16 | )% | 1,832 | 18 | 0.85 | % | ||||||||||||||||||||||||
Total
|
55,609 | 576 | (9.98 | )% | 33,666 | 10 | (0.49 | )% | 27,219 | 18 | 0.06 | % | ||||||||||||||||||||||||
Borrowings from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
29,736 | 38,961 | 105.06 | % | 7,428 | 72,087 | 834.40 | % | 885 | 64,216 | 6,582.81 | % | ||||||||||||||||||||||||
Dollars
|
265,254 | 3,259 | (2.75 | )% | 56,370 | 1,385 | (6.35 | )% | 120,356 | 6,538 | 5.27 | % | ||||||||||||||||||||||||
Total
|
294,990 | 42,220 | 8.12 | % | 63,798 | 73,472 | 91.54 | % | 121,241 | 70,754 | 53.27 | % | ||||||||||||||||||||||||
Corporate bonds
|
||||||||||||||||||||||||||||||||||||
Pesos
|
63,056 | 11,149 | 4.46 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||
Total
|
63,056 | 11,149 | 4.46 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||
Other liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,814 | 19,905 | 168.81 | % | 437,271 | (57,155 | ) | (24.12 | )% | 749,139 | 5,746 | (8.48 | )% | |||||||||||||||||||||||
Dollars
|
108,675 | — | — | 690,246 | 13 | (8.59 | )% | 1,141,071 | 21 | (0.15 | )% | |||||||||||||||||||||||||
Total
|
118,489 | 19,905 | 13.98 | % | 1,127,517 | (57,142 | ) | (14.61 | )% | 1,890,210 | 5,767 | (3.45 | )% | |||||||||||||||||||||||
Interest-bearing liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
13,950,765 | 1,135,449 | (4.01 | )% | 10,693,259 | 631,744 | (7.55 | )% | 9,795,598 | 795,314 | (1.80 | )% | ||||||||||||||||||||||||
Dollars
|
4,966,835 | 10,359 | (3.73 | )% | 4,811,786 | 11,064 | (8.38 | )% | 4,975,757 | 39,349 | 0.63 | % | ||||||||||||||||||||||||
Total
|
18,917,600 | 1,145,808 | (3.94 | )% | 15,505,045 | 642,808 | (7.81 | )% | 14,771,355 | 834,663 | (0.98 | )% | ||||||||||||||||||||||||
Interest-bearing liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(59,130 | ) | (9,602 | ) | (0.03 | )% | (27,599 | ) | 1,737 | 0.03 | % | (11,426 | ) | 45,324 | 0.43 | % | ||||||||||||||||||||
Total
|
(59,130 | ) | (9,602 | ) | (0.03 | )% | (27,599 | ) | 1,737 | 0.02 | % | (11,426 | ) | 45,324 | 0.28 | % | ||||||||||||||||||||
Total interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
13,891,635 | 1,125,847 | (4.04 | )% | 10,665,660 | 633,481 | (7.53 | )% | 9,784,172 | 840,638 | (1.37 | )% | ||||||||||||||||||||||||
Dollars
|
4,966,835 | 10,359 | (3.73 | )% | 4,811,786 | 11,064 | (8.38 | )% | 4,975,757 | 39,349 | 0.63 | % | ||||||||||||||||||||||||
Total
|
18,858,470 | 1,136,206 | (3.97 | )% | 15,477,446 | 644,545 | (7.79 | )% | 14,759,929 | 879,987 | (0.70 | )% |
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
Average
balance (1)
|
Interest
earned/
paid
|
Average
real rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
Non-interest bearing liabilities and stockholders’ equity
|
||||||||||||||||||||||||||||||||||||
Demand accounts
|
||||||||||||||||||||||||||||||||||||
Pesos
|
6,820,551 | — | — | 4,427,600 | — | — | 3,189,377 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,017,747 | — | — | 542,521 | — | — | 92,396 | — | — | |||||||||||||||||||||||||||
Total
|
7,838,298 | — | — | 4,970,121 | — | — | 3,281,773 | — | — | |||||||||||||||||||||||||||
Other liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,764,021 | — | — | 2,107,020 | — | — | 2,418,764 | — | — | |||||||||||||||||||||||||||
Dollars
|
869,190 | — | — | 732,132 | — | — | 587,560 | — | — | |||||||||||||||||||||||||||
Total
|
5,633,211 | — | — | 2,839,152 | — | — | 3,006,324 | — | — | |||||||||||||||||||||||||||
Minority interest
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | 228,449 | — | — | 346,892 | — | — | |||||||||||||||||||||||||||
Total
|
— | — | — | 228,449 | — | — | 346,892 | — | — | |||||||||||||||||||||||||||
Stockholders’ equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
3,419,917 | — | — | 2,697,906 | — | — | 1,870,465 | — | — | |||||||||||||||||||||||||||
Total
|
3,419,917 | — | — | 2,697,906 | — | — | 1,870,465 | — | — | |||||||||||||||||||||||||||
Non–interest bearing liabilities and stockholders equity from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,004,489 | — | — | 9,460,975 | — | — | 7,825,498 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,886,937 | — | — | 1,274,653 | — | — | 679,956 | — | — | |||||||||||||||||||||||||||
Total
|
16,891,426 | — | — | 10,735,628 | — | — | 8,505,454 | — | — | |||||||||||||||||||||||||||
Non–interest bearing liabilities and stockholders equity from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
133,845 | — | — | 3,390,038 | — | — | 3,111,660 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 15,791 | — | — | 15,167 | — | — | |||||||||||||||||||||||||||
Total
|
133,845 | — | — | 3,405,829 | — | — | 3,126,827 | — | — | |||||||||||||||||||||||||||
Total non–interest bearing liabilities and stockholders equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,138,333 | — | — | 12,851,013 | — | — | 10,937,158 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,886,937 | — | — | 1,290,444 | — | — | 695,123 | — | — | |||||||||||||||||||||||||||
Total
|
17,025,270 | — | — | 14,141,457 | — | — | 11,632,281 | — | — | |||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,955,254 | — | — | 20,154,234 | — | — | 17,621,096 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,853,772 | — | — | 6,086,439 | — | — | 5,655,713 | — | — | |||||||||||||||||||||||||||
Total
|
35,809,026 | — | — | 26,240,673 | — | — | 23,276,809 | — | — | |||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
74,715 | — | — | 3,362,439 | — | — | 3,100,234 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 15,791 | — | — | 15,167 | — | — | |||||||||||||||||||||||||||
Total
|
74,715 | — | — | 3,378,230 | — | — | 3,115,401 | — | — | |||||||||||||||||||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||||||||||||||
Pesos
|
29,029,968 | — | — | 23,516,673 | — | — | 20,721,330 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,853,772 | — | — | 6,102,230 | — | — | 5,670,880 | — | — | |||||||||||||||||||||||||||
Total
|
35,883,740 | — | — | 29,618,903 | — | — | 26,392,210 | — | — |
(1)
|
Average balances are derived from month-end balances.
|
(2)
|
Annualized on a 360-day basis.
|
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
Nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||||||||||
Interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Government securities (3)
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,910,088 | 585,291 | 9.90 | % | 4,965,474 | 1,219,068 | 24.55 | % | 4,270,233 | 931,416 | 21.81 | % | ||||||||||||||||||||||||
Dollars
|
164,044 | 714 | 0.44 | % | 121,719 | 21,396 | 17.58 | % | 34,546 | 5,626 | 16.28 | % | ||||||||||||||||||||||||
Total
|
6,074,132 | 586,005 | 9.65 | % | 5,087,193 | 1,240,464 | 24.38 | % | 4,304,779 | 937,042 | 21.77 | % | ||||||||||||||||||||||||
Loans (4)
|
||||||||||||||||||||||||||||||||||||
Private Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,665,675 | 2,634,984 | 16.82 | % | 10,200,276 | 1,680,850 | 16.48 | % | 7,944,149 | 1,568,784 | 19.75 | % | ||||||||||||||||||||||||
Dollars
|
3,417,049 | 73,626 | 2.15 | % | 1,986,761 | 63,777 | 3.21 | % | 1,860,470 | 118,419 | 6.37 | % | ||||||||||||||||||||||||
Total
|
19,082,724 | 2,708,610 | 14.19 | % | 12,187,037 | 1,744,627 | 14.32 | % | 9,804,619 | 1,687,203 | 17.21 | % | ||||||||||||||||||||||||
Public Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
929,371 | 548 | 0.06 | % | 509,538 | — | — | 699,898 | 9,665 | 1.38 | % | |||||||||||||||||||||||||
Total
|
929,371 | 548 | 0.06 | % | 509,538 | — | — | 699,898 | 9,665 | 1.38 | % | |||||||||||||||||||||||||
Deposits with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
127,251 | — | — | 119,463 | — | — | 115,198 | 7 | 0.01 | % | ||||||||||||||||||||||||||
Dollars
|
2,537,075 | — | — | 3,336,469 | — | — | 3,227,565 | 13 | — | |||||||||||||||||||||||||||
Total
|
2,664,326 | — | — | 3,455,932 | — | — | 3,342,763 | 20 | — | |||||||||||||||||||||||||||
Other assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,867,995 | 296,536 | 15.87 | % | 1,125,585 | 120,308 | 10.69 | % | 1,592,884 | 235,194 | 14.77 | % | ||||||||||||||||||||||||
Dollars
|
40,687 | 2,967 | 7.29 | % | 106,663 | 2,423 | 2.27 | % | 275,640 | 2,125 | 0.77 | % | ||||||||||||||||||||||||
Total
|
1,908,682 | 299,503 | 15.69 | % | 1,232,248 | 122,731 | 9.96 | % | 1,868,524 | 237,319 | 12.70 | % | ||||||||||||||||||||||||
Interest-earning assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
24,500,380 | 3,517,359 | 14.36 | % | 16,920,336 | 3,020,226 | 17.85 | % | 14,622,362 | 2,745,066 | 18.77 | % | ||||||||||||||||||||||||
Dollars
|
6,158,855 | 77,307 | 1.26 | % | 5,551,612 | 87,596 | 1.58 | % | 5,398,221 | 126,183 | 2.34 | % | ||||||||||||||||||||||||
Total
|
30,659,235 | 3,594,666 | 11.72 | % | 22,471,948 | 3,107,822 | 13.83 | % | 20,020,583 | 2,871,249 | 14.34 | % | ||||||||||||||||||||||||
Interest-earning assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
50,588 | 3,384 | (0.02 | )% | 2,394,782 | 507,053 | 0.41 | % | 2,591,830 | 486,087 | — | |||||||||||||||||||||||||
Dollars
|
7,718 | — | — | 741,154 | — | (0.19 | )% | 382,466 | — | (0.16 | )% | |||||||||||||||||||||||||
Total
|
58,306 | 3,384 | (0.01 | )% | 3,135,936 | 507,053 | 0.29 | % | 2,974,296 | 486,087 | 0.26 | % | ||||||||||||||||||||||||
Total interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
24,550,968 | 3,520,743 | 14.34 | % | 19,315,118 | 3,527,279 | 18.26 | % | 17,214,192 | 3,231,153 | 18.77 | % | ||||||||||||||||||||||||
Dollars
|
6,166,573 | 77,307 | 1.25 | % | 6,292,766 | 87,596 | 1.39 | % | 5,780,687 | 126,183 | 2.18 | % | ||||||||||||||||||||||||
Total
|
30,717,541 | 3,598,050 | 11.71 | % | 25,607,884 | 3,614,875 | 14.12 | % | 22,994,879 | 3,357,336 | 14.60 | % |
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
Nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
Non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Cash and due from banks
|
||||||||||||||||||||||||||||||||||||
Pesos
|
3,110,071 | — | — | 2,147,422 | — | — | 1,822,361 | — | — | |||||||||||||||||||||||||||
Dollars
|
776,237 | — | — | 618,364 | — | — | 426,773 | — | — | |||||||||||||||||||||||||||
Total
|
3,886,308 | — | — | 2,765,786 | — | — | 2,249,134 | — | — | |||||||||||||||||||||||||||
Investments in other companies
|
||||||||||||||||||||||||||||||||||||
Pesos
|
91,232 | — | — | 100,076 | — | — | 203,364 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,095 | — | — | 1,037 | — | — | 990 | — | — | |||||||||||||||||||||||||||
Total
|
92,327 | — | — | 101,113 | — | — | 204,354 | — | — | |||||||||||||||||||||||||||
Property and equipment and miscellaneous and intangible assets and items pending of allocation
|
||||||||||||||||||||||||||||||||||||
Pesos
|
652,799 | — | — | 604,962 | — | — | 536,314 | — | — | |||||||||||||||||||||||||||
Total
|
652,799 | — | — | 604,962 | — | — | 536,314 | — | — | |||||||||||||||||||||||||||
Allowance for loan losses
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(423,818 | ) | — | — | (545,349 | ) | — | — | (607,483 | ) | — | — | ||||||||||||||||||||||||
Dollars
|
(52,569 | ) | — | — | (34,497 | ) | — | — | (31,113 | ) | — | — | ||||||||||||||||||||||||
Total
|
(476,387 | ) | — | — | (579,846 | ) | — | — | (638,596 | ) | — | — | ||||||||||||||||||||||||
Other assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
710,741 | — | — | 604,985 | — | — | 843,734 | — | — | |||||||||||||||||||||||||||
Dollars
|
284,003 | — | — | 271,725 | — | — | 61,287 | — | — | |||||||||||||||||||||||||||
Total
|
994,744 | — | — | 876,710 | — | — | 905,021 | — | — | |||||||||||||||||||||||||||
Non-interest-earning assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,141,025 | — | — | 2,912,096 | — | — | 2,798,290 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,008,766 | — | — | 856,629 | — | — | 457,937 | — | — | |||||||||||||||||||||||||||
Total
|
5,149,791 | — | — | 3,768,725 | — | — | 3,256,227 | — | — | |||||||||||||||||||||||||||
Non-interest-earning assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
16,140 | — | — | 211,961 | — | — | 69,876 | — | — | |||||||||||||||||||||||||||
Dollars
|
268 | — | — | 30,333 | — | — | 71,228 | — | — | |||||||||||||||||||||||||||
Total
|
16,408 | — | — | 242,294 | — | — | 141,404 | — | — | |||||||||||||||||||||||||||
Total non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,157,165 | — | — | 3,124,057 | — | — | 2,868,166 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,009,034 | — | — | 886,962 | — | — | 529,165 | — | — | |||||||||||||||||||||||||||
Total
|
5,166,199 | — | — | 4,011,019 | — | — | 3,397,331 | — | — | |||||||||||||||||||||||||||
ASSETS FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,641,405 | — | — | 19,832,432 | — | — | 17,420,652 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,167,621 | — | — | 6,408,241 | — | — | 5,856,158 | — | — | |||||||||||||||||||||||||||
Total
|
35,809,026 | — | — | 26,240,673 | — | — | 23,276,810 | — | — | |||||||||||||||||||||||||||
ASSETS FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
66,728 | — | — | 2,606,743 | — | — | 2,661,706 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,986 | — | — | 771,487 | — | — | 453,694 | — | — | |||||||||||||||||||||||||||
Total
|
74,714 | — | — | 3,378,230 | — | — | 3,115,400 | — | — | |||||||||||||||||||||||||||
TOTAL ASSETS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,708,133 | — | — | 22,439,175 | — | — | 20,082,358 | — | — | |||||||||||||||||||||||||||
Dollars
|
7,175,607 | — | — | 7,179,728 | — | — | 6,309,852 | — | — | |||||||||||||||||||||||||||
Total
|
35,883,740 | — | — | 29,618,903 | — | — | 26,392,210 | — | — |
(1)
|
Average Balances are derived from month-end balances.
|
(2)
|
Annualized on a 360-day basis.
|
(3)
|
Includes trading gains and losses in all fiscal years. Unrealized gains and losses arising from changes in the market value of our trading portfolio of Government Securities and yield on our investment portfolio of Government Securities are included.
|
(4)
|
Loan amounts are stated before deduction of the allowance for loan losses. Non-accrual loans are included in loans as interest-earning assets.
|
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
Nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
LIABILITIES
|
||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Savings accounts
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,784,502 | 6,767 | 0.14 | % | 3,881,058 | 5,026 | 0.13 | % | 3,363,193 | 8,750 | 0.26 | % | ||||||||||||||||||||||||
Dollars
|
2,671,586 | 2,416 | 0.09 | % | 2,273,514 | 1,637 | 0.07 | % | 1,840,846 | 1,252 | 0.07 | % | ||||||||||||||||||||||||
Total
|
7,456,088 | 9,183 | 0.12 | % | 6,154,572 | 6,663 | 0.11 | % | 5,204,039 | 10,002 | 0.19 | % | ||||||||||||||||||||||||
Time deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,010,574 | 1,058,109 | 11.74 | % | 6,335,859 | 611,786 | 9.66 | % | 5,656,994 | 716,602 | 12.68 | % | ||||||||||||||||||||||||
Dollars
|
1,918,794 | 4,666 | 0.24 | % | 1,789,633 | 8,019 | 0.45 | % | 1,871,652 | 31,520 | 1.68 | % | ||||||||||||||||||||||||
Total
|
10,929,368 | 1,062,775 | 9.72 | % | 8,125,492 | 619,805 | 7.63 | % | 7,528,646 | 748,122 | 9.94 | % | ||||||||||||||||||||||||
Borrowings from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
53,083 | 558 | 1.05 | % | 31,643 | — | — | 25,387 | — | — | ||||||||||||||||||||||||||
Dollars
|
2,526 | 18 | 0.69 | % | 2,023 | 10 | 0.47 | % | 1,832 | 18 | 1.00 | % | ||||||||||||||||||||||||
Total
|
55,609 | 576 | 1.04 | % | 33,666 | 10 | 0.03 | % | 27,219 | 18 | 0.07 | % | ||||||||||||||||||||||||
Borrowings from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
29,736 | 38,961 | 131.02 | % | 7,428 | 72,087 | 970.47 | % | 885 | 64,216 | 1,219.47 | % | ||||||||||||||||||||||||
Dollars
|
265,254 | 3,259 | 1.23 | % | 56,370 | 1,385 | 2.46 | % | 120,356 | 6,538 | 5.43 | % | ||||||||||||||||||||||||
Total
|
294,990 | 42,220 | 14.31 | % | 63,798 | 73,472 | 115.16 | % | 121241 | 70,754 | 56.34 | % | ||||||||||||||||||||||||
Corporate bonds
|
||||||||||||||||||||||||||||||||||||
Pesos
|
63,056 | 11,149 | 17.68 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||
Total
|
63,056 | 11,149 | 17.68 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||
Other liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,814 | 19,905 | 202.84 | % | 437,271 | (57,155 | ) | (13.07 | )% | 749,139 | 5,746 | 0.78 | % | |||||||||||||||||||||||
Dollars
|
108,675 | — | — | 690,246 | 13 | — | 1,141,071 | 21 | — | |||||||||||||||||||||||||||
Total
|
118,489 | 19,905 | 16.80 | % | 1,127,517 | (57,142 | ) | (5.07 | )% | 1,890,210 | 5,767 | 0.31 | % | |||||||||||||||||||||||
Interest-bearing liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
13,950,765 | 1,135,449 | 8.14 | % | 10,693,259 | 631,744 | 5.91 | % | 9,795,598 | 795,314 | 8.13 | % | ||||||||||||||||||||||||
Dollars
|
4,966,835 | 10,359 | 0.21 | % | 4,811,786 | 11,064 | 0.23 | % | 4,975,757 | 39,349 | 0.79 | % | ||||||||||||||||||||||||
Total
|
18,917,600 | 1,145,808 | 6.06 | % | 15,505,045 | 642,808 | 4.15 | % | 14,771,355 | 834,663 | 5.66 | % | ||||||||||||||||||||||||
Interest-bearing liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(59,130 | ) | (9,602 | ) | (0.03 | )% | (27,599 | ) | 1,737 | (0.03 | )% | (11,426 | ) | 45,324 | 0.46 | % | ||||||||||||||||||||
Total
|
(59,130 | ) | (9,602 | ) | (0.03 | )% | (27,599 | ) | 1,737 | (0.02 | )% | (11,426 | ) | 45,324 | 0.30 | % | ||||||||||||||||||||
Total interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
13,891,635 | 1,125,847 | 8.10 | % | 10,665,660 | 633,481 | 5.94 | % | 9,784,172 | 840,638 | 8.59 | % | ||||||||||||||||||||||||
Dollars
|
4,966,835 | 10,359 | 0.21 | % | 4,811,786 | 11,064 | 0.23 | % | 4,975,757 | 39,349 | 0.79 | % | ||||||||||||||||||||||||
Total
|
18,858,470 | 1,136,206 | 6.02 | % | 15,477,446 | 644,545 | 4.16 | % | 14,759,929 | 879,987 | 5.96 | % |
December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
Nominal
rate (2)
|
Average balance (1)
|
Interest
earned/
paid
|
Average
nominal
rate (2)
|
||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||
Non-interest-bearing liabilities and stockholders’ equity
|
||||||||||||||||||||||||||||||||||||
Demand deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
6,820,551 | — | — | 4,427,600 | — | — | 3,189,377 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,017,747 | — | — | 542,521 | — | — | 92,396 | — | — | |||||||||||||||||||||||||||
Total
|
7,838,298 | — | — | 4,970,121 | — | — | 3,281,773 | — | — | |||||||||||||||||||||||||||
Other liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,764,021 | — | — | 2,107,020 | — | — | 2,418,764 | — | — | |||||||||||||||||||||||||||
Dollars
|
869,190 | — | — | 732,132 | — | — | 587,560 | — | — | |||||||||||||||||||||||||||
Total
|
5,633,211 | — | — | 2,839,152 | — | — | 3,006,324 | — | — | |||||||||||||||||||||||||||
Minority interest
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | 228,449 | — | — | 346,892 | — | — | |||||||||||||||||||||||||||
Total
|
— | — | — | 228,449 | — | — | 346,892 | — | — | |||||||||||||||||||||||||||
Stockholders’ equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
3,419,917 | — | — | 2,697,906 | — | — | 1,870,465 | — | — | |||||||||||||||||||||||||||
Total
|
3,419,917 | — | — | 2,697,906 | — | — | 1,870,465 | — | — | |||||||||||||||||||||||||||
Non–interest-bearing liabilities and stockholders equity from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,004,489 | — | — | 9,460,975 | — | — | 7,825,498 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,886,937 | — | — | 1,274,653 | — | — | 679,956 | — | — | |||||||||||||||||||||||||||
Total
|
16,891,426 | — | — | 10,735,628 | — | — | 8,505,454 | — | — | |||||||||||||||||||||||||||
Non–interest-bearing liabilities and stockholders equity from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
133,845 | — | — | 3,390,038 | — | — | 3,111,660 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 15,791 | — | — | 15,167 | — | — | |||||||||||||||||||||||||||
Total
|
133,845 | — | — | 3,405,829 | — | — | 3,126,827 | — | — | |||||||||||||||||||||||||||
Total non–interest-bearing liabilities and stockholders equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
15,138,333 | — | — | 12,851,013 | — | — | 10,937,158 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,886,937 | — | — | 1,290,444 | — | — | 695,123 | — | — | |||||||||||||||||||||||||||
Total
|
17,025,270 | — | — | 14,141,457 | — | — | 11,632,281 | — | — | |||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
28,955,254 | — | — | 20,154,234 | — | — | 17,621,096 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,853,772 | — | — | 6,086,439 | — | — | 5,655,713 | — | — | |||||||||||||||||||||||||||
Total
|
35,809,026 | — | — | 26,240,673 | — | — | 23,276,809 | — | — | |||||||||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
74,715 | — | — | 3,362,439 | — | — | 3,100,234 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 15,791 | — | — | 15,167 | — | — | |||||||||||||||||||||||||||
Total
|
74,715 | — | — | 3,378,230 | — | — | 3,115,401 | — | — | |||||||||||||||||||||||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||||||||||||||
Pesos
|
29,029,968 | — | — | 23,516,673 | — | — | 20,721,330 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,853,772 | — | — | 6,102,230 | — | — | 5,670,880 | — | — | |||||||||||||||||||||||||||
Total
|
35,883,740 | — | — | 29,618,903 | — | — | 26,392,210 | — | — |
(1)
|
Average balances are derived from month-end balances.
|
(2)
|
Annualized on a 360-day basis.
|
December 2011/December 2010
Increase (Decrease) Due to
Changes in
|
December 2010/December 2009
Increase (Decrease) Due to
Changes in
|
December 2009/December 2008
Increase (Decrease) Due to
Changes in
|
||||||||||||||||||||||||||||||||||
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
||||||||||||||||||||||||||||
(in thousands of pesos)
|
||||||||||||||||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||||||||||
Interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Government securities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
93,547 | (727,324 | ) | (633,777 | ) | 170,688 | 116,964 | 287,652 | 111,607 | 902,724 | 1,014,331 | |||||||||||||||||||||||||
Dollars
|
185 | (20,867 | ) | (20,682 | ) | 15,323 | 447 | 15,770 | (13,434 | ) | 21,173 | 7,739 | ||||||||||||||||||||||||
Total
|
93,732 | (748,191 | ) | (654,459 | ) | 186,011 | 117,411 | 303,422 | 98,173 | 923,897 | 1,022,070 | |||||||||||||||||||||||||
Loans
|
||||||||||||||||||||||||||||||||||||
Private sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
919,286 | 34,848 | 954,134 | 371,775 | (259,709 | ) | 112,066 | 73,424 | 269,733 | 343,157 | ||||||||||||||||||||||||||
Dollars
|
30,818 | (20,969 | ) | 9,849 | 4,054 | (58,696 | ) | (54,642 | ) | (12,962 | ) | 5,386 | (7,576 | ) | ||||||||||||||||||||||
Total
|
950,104 | 13,879 | 963,983 | 375,829 | (318,405 | ) | 57,424 | 60,462 | 275,119 | 335,581 | ||||||||||||||||||||||||||
Public sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
247 | 301 | 548 | — | (9,665 | ) | (9,665 | ) | (26,349 | ) | (238,388 | ) | (264,737 | ) | ||||||||||||||||||||||
Total
|
247 | 301 | 548 | — | (9,665 | ) | (9,665 | ) | (26,349 | ) | (238,388 | ) | (264,737 | ) | ||||||||||||||||||||||
Deposits with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | — | (7 | ) | (7 | ) | — | (7,581 | ) | (7,581 | ) | |||||||||||||||||||||||
Dollars
|
— | — | — | — | (13 | ) | (13 | ) | 8 | (4,152 | ) | (4,144 | ) | |||||||||||||||||||||||
Total
|
— | — | — | — | (20 | ) | (20 | ) | 8 | (11,733 | ) | (11,725 | ) | |||||||||||||||||||||||
Other assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
117,855 | 58,373 | 176,228 | (49,948 | ) | (64,938 | ) | (114,886 | ) | 30,294 | 12,545 | 42,839 | ||||||||||||||||||||||||
Dollars
|
(4,811 | ) | 5,355 | 544 | (3,838 | ) | 4,136 | 298 | 1,118 | (3,823 | ) | (2,705 | ) | |||||||||||||||||||||||
Total
|
113,044 | 63,728 | 176,772 | (53,786 | ) | (60,802 | ) | (114,588 | ) | 31,412 | 8,722 | 40,134 | ||||||||||||||||||||||||
Interest-earning assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,130,935 | (633,802 | ) | 497,133 | 492,515 | (217,355 | ) | 275,160 | 188,976 | 939,033 | 1,128,009 | |||||||||||||||||||||||||
Dollars
|
26,192 | (36,481 | ) | (10,289 | ) | 15,539 | (54,126 | ) | (38,587 | ) | (25,270 | ) | 18,594 | (6,686 | ) | |||||||||||||||||||||
Total
|
1,157,127 | (670,283 | ) | 486,844 | 508,054 | (271,481 | ) | 236,573 | 163,706 | 957,617 | 1,121,323 | |||||||||||||||||||||||||
Interest-earning assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(207,972 | ) | (295,697 | ) | (503,669 | ) | (78,289 | ) | 99255 | 20,966 | 213,716 | 249,458 | 463,174 | |||||||||||||||||||||||
Dollars
|
(6,084 | ) | 6,084 | — | (2,059 | ) | 2059 | — | 21,200 | (21,200 | ) | — | ||||||||||||||||||||||||
Total
|
(214,056 | ) | (289,613 | ) | (503,669 | ) | (80,348 | ) | 101314 | 20,966 | 234,916 | 228,258 | 463,174 | |||||||||||||||||||||||
Total interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
922,963 | (929,499 | ) | (6,536 | ) | 414,226 | (118,100 | ) | 296,126 | 402,692 | 1,188,491 | 1,591,183 | ||||||||||||||||||||||||
Dollars
|
20,108 | (30,397 | ) | (10,289 | ) | 13,480 | (52,067 | ) | (38,587 | ) | (4,070 | ) | (2,616 | ) | (6,686 | ) | ||||||||||||||||||||
Total
|
943,071 | (959,896 | ) | (16,825 | ) | 427,706 | (170,167 | ) | 257,539 | 398,622 | 1,185,875 | 1,584,497 |
December 2011/December 2010
Increase (Decrease) Due to
Changes in
|
December 2010/December 2009
Increase (Decrease) Due to
Changes in
|
December 2009/December 2008
Increase (Decrease) Due to
Changes in
|
||||||||||||||||||||||||||||||||||
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
||||||||||||||||||||||||||||
(in thousands of pesos)
|
||||||||||||||||||||||||||||||||||||
LIABILITIES
|
||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Savings accounts
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,278 | 463 | 1,741 | 670 | (4,394 | ) | (3,724 | ) | 315 | 618 | 933 | |||||||||||||||||||||||||
Dollars
|
360 | 419 | 779 | 312 | 73 | 385 | 443 | (87 | ) | 356 | ||||||||||||||||||||||||||
Total
|
1,638 | 882 | 2,520 | 982 | (4,321 | ) | (3,339 | ) | 758 | 531 | 1,289 | |||||||||||||||||||||||||
Time deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
314,091 | 132,232 | 446,323 | 65,551 | (170,367 | ) | (104,816 | ) | (9,667 | ) | 23,090 | 13,423 | ||||||||||||||||||||||||
Dollars
|
314 | (3,667 | ) | (3,353 | ) | (367 | ) | (23,134 | ) | (23,501 | ) | 8,624 | (11,362 | ) | (2,738 | ) | ||||||||||||||||||||
Total
|
314,405 | 128,565 | 442,970 | 65,184 | (193,501 | ) | (128,317 | ) | (1,043 | ) | 11,728 | 10,685 | ||||||||||||||||||||||||
Borrowings from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
225 | 333 | 558 | — | — | — | — | — | — | |||||||||||||||||||||||||||
Dollars
|
4 | 4 | 8 | 2 | (10 | ) | (8 | ) | 2 | — | 2 | |||||||||||||||||||||||||
Total
|
229 | 337 | 566 | 2 | (10 | ) | (8 | ) | 2 | — | 2 | |||||||||||||||||||||||||
Borrowings from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
29,228 | (62,354 | ) | (33,126 | ) | 63,516 | (55,645 | ) | 7,871 | (3,520,176 | ) | 3,573,785 | 53,609 | |||||||||||||||||||||||
Dollars
|
2,566 | (692 | ) | 1,874 | (1,573 | ) | (3,580 | ) | (5,153 | ) | (22,097 | ) | 2,787 | (19,310 | ) | |||||||||||||||||||||
Total
|
31,794 | (63,046 | ) | (31,252 | ) | 61,943 | (59,225 | ) | 2,718 | (3,542,273 | ) | 3,576,572 | 34,299 | |||||||||||||||||||||||
Corporate bonds
|
||||||||||||||||||||||||||||||||||||
Pesos
|
11,149 | — | 11,149 | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total
|
11,149 | — | 11,149 | — | — | — | — | — | — | |||||||||||||||||||||||||||
Other liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(867,040 | ) | 944,100 | 77,061 | 40,764 | (103,665 | ) | (62,901 | ) | 1,367 | (24,342 | ) | (22,975 | ) | ||||||||||||||||||||||
Dollars
|
— | (13 | ) | (13 | ) | (8 | ) | — | (8 | ) | 19 | (14 | ) | 5 | ||||||||||||||||||||||
Total
|
(867,040 | ) | 944,087 | 77,048 | 41,756 | (103,665 | ) | (62,909 | ) | 1,386 | (24,356 | ) | (22,970 | ) | ||||||||||||||||||||||
Interest-bearing liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(511,069 | ) | 1,014,774 | 503,705 | 170,501 | (334,071 | ) | (163,570 | ) | (3,528,161 | ) | 3,573,151 | 44,990 | |||||||||||||||||||||||
Dollars
|
3,244 | (3,949 | ) | (705 | ) | (1,634 | ) | (26,651 | ) | (28,285 | ) | (13,009 | ) | (8,676 | ) | (21,685 | ) | |||||||||||||||||||
Total
|
(507,825 | ) | 1,010,825 | 503,000 | 168,867 | (360,722 | ) | (191,855 | ) | (3541,170 | ) | 3,564,475 | ) | 23,305 | ||||||||||||||||||||||
Interest-bearing liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(11,718 | ) | 379 | (11,339 | ) | (51,308 | ) | 7,721 | (43,587 | ) | 3,213,982 | (3,168,768 | ) | 45,214 | ||||||||||||||||||||||
Total
|
(11,718 | ) | 379 | (11,339 | ) | (51,308 | ) | 7,721 | (43,587 | ) | 3,213,982 | (3,168,768 | ) | 45,214 | ||||||||||||||||||||||
Total interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(522,786 | ) | 1,015,153 | 492,367 | 119,193 | (326,350 | ) | (207,157 | ) | (314,179 | ) | 404,383 | 90,204 | |||||||||||||||||||||||
Dollars
|
3,244 | (3,949 | ) | (705 | ) | (1,634 | ) | (26,651 | ) | (28,285 | ) | (13,009 | ) | (8,676 | ) | (21,685 | ) | |||||||||||||||||||
Total
|
(519,542 | ) | 1,011,204 | 491,662 | 117,559 | (353,001 | ) | (235,442 | ) | (327,188 | ) | 395,707 | 68,519 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||
Average interest-earning assets
|
||||||||||||
Pesos
|
24,550,968 | 19,315,118 | 17,214,192 | |||||||||
Dollars
|
6,166,573 | 6,292,766 | 5,780,687 | |||||||||
Total
|
30,717,541 | 25,607,884 | 22,994,879 | |||||||||
Net interest income (1)
|
||||||||||||
Pesos
|
2,394,895 | 2,893,798 | 2,390,515 | |||||||||
Dollars
|
66,948 | 76,532 | 86,834 | |||||||||
Total
|
2,461,843 | 2,970,330 | 2,477,349 | |||||||||
Net interest margin (2)
|
||||||||||||
Pesos
|
9.75 | % | 14.98 | % | 13.89 | % | ||||||
Dollars
|
1.09 | % | 1.22 | % | 1.50 | % | ||||||
Weighted average rate
|
8.01 | % | 11.60 | % | 10.77 | % | ||||||
Yield spread nominal basis (3)
|
||||||||||||
Pesos
|
6.24 | % | 12.32 | % | 10.18 | % | ||||||
Dollars
|
1.05 | % | 1.16 | % | 1.39 | % | ||||||
Weighted average rate
|
5.69 | % | 9.95 | % | 8.64 | % |
(1)
|
Net interest income is defined as interest earned less interest paid. Trading results from our portfolio of Government Securities are included in interest.
|
(2)
|
Net interest margin is net interest income stated as a percentage of average interest-earning assets.
|
(3)
|
Yield spread nominal basis is defined as the difference between the average nominal rate on interest-earning assets and the average nominal rate on interest-bearing liabilities.
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Government securities
|
||||||||||||
In pesos:
|
||||||||||||
Holdings booked at fair value
|
||||||||||||
Debt consolidation bonds—Social security (BOCON)
|
14,814 | 223,530 | 214,114 | |||||||||
Argentine bonds
|
2,063,719 | 3,404,169 | 2,664,819 | |||||||||
Other debt bonds
|
166 | 106 | 60 | |||||||||
Holdings booked at amortized cost
|
||||||||||||
Other debt bonds
|
164 | 164 | 164 | |||||||||
Tax credit certificates
|
— | 6 | 6 | |||||||||
Instruments issued by the Argentine Central Bank
|
||||||||||||
Argentine Central Bank bills (LEBAC)
|
2,352,026 | 1,650,748 | 2,369,944 | |||||||||
Argentine Central Bank notes (NOBAC)
|
1,095,946 | 1,431,271 | 1,419,181 | |||||||||
Total government securities in pesos
|
5,526,835 | 6,709,994 | 6,668,288 | |||||||||
In foreign currency:
|
||||||||||||
Holdings booked at fair value
|
||||||||||||
Argentine bonds
|
9,823 | 458,483 | 406,185 | |||||||||
Other debt bonds
|
— | 223,479 | 371,062 | |||||||||
Holdings booked at amortized cost
|
||||||||||||
Other debt bonds
|
— | 11 | 19 | |||||||||
Total government securities in foreign currency
|
9,823 | 681,973 | 777,266 | |||||||||
Total government securities
|
5,536,658 | 7,391,967 | 7,445,554 | |||||||||
Investments in listed private securities
|
||||||||||||
Shares
|
157 | 56 | 46 | |||||||||
Corporate bonds—Listed
|
81 | 72,636 | 68,345 | |||||||||
Mutual funds
|
28,317 | 19,932 | 128,742 | |||||||||
Certificates of participation in financial trusts
|
— | 10,980 | 21,472 | |||||||||
Total private securities
|
28,555 | 103,604 | 218,605 | |||||||||
Subtotal government and private securities
|
5,565,213 | 7,495,571 | 7,664,159 | |||||||||
Allowances
|
(184 | ) | (189 | ) | (449,927 | ) | ||||||
Total government and private securities
|
5,565,029 | 7,495,382 | 7,214,232 | |||||||||
Corporate bonds—Unlisted
|
13,424 | 102,368 | 119,488 |
Maturing
|
||||||||||||||||||||
Within 1 year
|
After 1 year but within 5 years
|
After 5 years but within 10 years
|
After 10 years
|
Total
|
||||||||||||||||
Book value
|
||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||
Government securities
|
||||||||||||||||||||
In Pesos:
|
||||||||||||||||||||
Holdings booked at fair value
|
||||||||||||||||||||
Debt consolidation bonds—Social security (BOCON)(*)
|
3,926 | 10,888 | — | — | 14,814 | |||||||||||||||
Argentine bonds (*)
|
125,845 | 1,519,633 | 392,825 | 25,416 | 2,063,719 | |||||||||||||||
Other debt bonds
|
4 | 65 | 97 | — | 166 | |||||||||||||||
Holdings booked at amortized cost
|
||||||||||||||||||||
Other debt bonds
|
164 | — | — | — | 164 | |||||||||||||||
Instruments issued by the Argentine Central Bank
|
||||||||||||||||||||
Argentine Central Bank bills (LEBAC) (*)
|
2,352,026 | — | — | — | 2,352,026 | |||||||||||||||
Argentine Central Bank notes (NOBAC) (*)
|
1,095,946 | — | — | — | 1,095,946 | |||||||||||||||
Total government securities in pesos
|
3,577,911 | 1,530,586 | 392,922 | 25,416 | 5,526,835 | |||||||||||||||
In foreign currency:
|
||||||||||||||||||||
Holdings booked at fair value
|
||||||||||||||||||||
Argentine bonds (*)
|
8,565 | 1,258 | — | — | 9,823 | |||||||||||||||
Total government securities in foreign currency
|
8,565 | 1,258 | — | — | 9,823 | |||||||||||||||
Total government securities
|
3,586,476 | 1,531,844 | 392,922 | 25,416 | 5,536,658 | |||||||||||||||
Corporate bonds—Listed
|
— | 81 | — | — | 81 | |||||||||||||||
Corporate bonds —Unlisted
|
9,647 | 3,777 | — | — | 13,424 | |||||||||||||||
Weighted average yield (for the securities indicated with *)
|
21.35 | % | 20.40 | % | 16.15 | % | 13.31 | % |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Principal
|
||||||||||||
Advances (1)
|
2,881,496 | 2,366,957 | 1,703,750 | |||||||||
Notes discounted and purchased (2)
|
3,412,091 | 2,086,979 | 1,068,567 | |||||||||
Secured with mortgages
|
915,156 | 840,841 | 838,410 | |||||||||
Consumer loans (3)
|
8,861,911 | 5,763,202 | 3,764,239 | |||||||||
Financial loans (4)
|
1,146,532 | 578,878 | 384,331 | |||||||||
Loans to governmental sector (5)
|
46,027 | 1,297,642 | 1,400,243 | |||||||||
Other loans
|
5,829,606 | 4,010,249 | 2,806,667 | |||||||||
Less: Unaccrued interest and unused collections (6)
|
(89,332 | ) | (28,292 | ) | (16,471 | ) | ||||||
Plus: Interest and exchange differences receivable
|
317,371 | 179,623 | 139,839 | |||||||||
Less: Allowance for loan losses
|
(444,973 | ) | (396,227 | ) | (337,686 | ) | ||||||
Total
|
22,875,885 | 16,699,852 | 11,751,889 |
(1)
|
Advances include short and long-term loans to companies and overdraft lines of credit.
|
(2)
|
Notes discounted and purchased are endorsed promissory notes.
|
(3)
|
Consumer loans include credit card loans and other consumer loans. Overdrafts to individuals are included under “Advances”.
|
(4)
|
Financial loans are defined as loans to financial institutions.
|
(5)
|
Loans to governmental sector are secured by taxable rights.
|
(6)
|
Unaccrued interest is defined as the discount on notes and bills.
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Liquid guarantees
|
318,259 | 323,409 | 72,609 | |||||||||
Preferred guarantees
|
2,331,005 | 1,628,841 | 1,240,138 | |||||||||
Total
|
2,649,264 | 1,952,250 | 1,312,747 |
December 31,
|
||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||
Loan
Portfolio
|
% of Loan Portfolio
|
Loan
Portfolio
|
% of Loan Portfolio
|
Loan
Portfolio
|
% of Loan Portfolio
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Agricultural and livestock
|
986,984 | 4.23 | % | 474,384 | 2.77 | % | 292,020 | 2.42 | % | |||||||||||||||
Beverage
|
240,024 | 1.03 | % | 382,504 | 2.24 | % | 254,800 | 2.11 | % | |||||||||||||||
Chemicals
|
1,076,272 | 4.62 | % | — | — | — | — | |||||||||||||||||
Construction
|
171,680 | 0.74 | % | 137,591 | 0.80 | % | 89,022 | 0.74 | % | |||||||||||||||
Consumer
|
9,834,006 | 42.17 | % | 6,816,984 | 39.87 | % | 4,451,310 | 36.82 | % | |||||||||||||||
Electricity, oil, water and sanitary services
|
190,275 | 0.82 | % | 161,948 | 0.95 | % | 57,789 | 0.48 | % | |||||||||||||||
Financial sector
|
1,146,532 | 4.92 | % | 772,161 | 4.52 | % | 384,331 | 3.18 | % | |||||||||||||||
Foodstuff
|
732,311 | 3.14 | % | 395,994 | 2.32 | % | 307,960 | 2.55 | % | |||||||||||||||
Government services
|
46,027 | 0.20 | % | 1,297,642 | 7.59 | % | 1,400,243 | 11.58 | % | |||||||||||||||
Industrial metals
|
504,499 | 2.16 | % | 477,156 | 2.79 | % | 328,187 | 2.71 | % | |||||||||||||||
Leather and fur product
|
15,128 | 0.06 | % | 15,077 | 0.09 | % | 8,299 | 0.07 | % | |||||||||||||||
Mining products
|
640,413 | 2.75 | % | 396,875 | 2.32 | % | 567,374 | 4.69 | % | |||||||||||||||
Oil and carbon
|
207,747 | 0.89 | % | 107,730 | 0.63 | % | 153,418 | 1.27 | % | |||||||||||||||
Others
|
4,929,300 | 21.11 | % | 3,765,356 | 22.02 | % | 2,842,973 | 23.52 | % | |||||||||||||||
Other manufacturing
|
109,469 | 0.47 | % | 61,110 | 0.36 | % | 46,362 | 0.38 | % | |||||||||||||||
Paper products
|
— | — | 22,869 | 0.13 | % | 20,253 | 0.17 | % | ||||||||||||||||
Rubber products
|
117,929 | 0.51 | % | 80,849 | 0.47 | % | 43,648 | 0.36 | % | |||||||||||||||
Retail trade
|
942,691 | 4.04 | % | 722,860 | 4.23 | % | 264,130 | 2.18 | % | |||||||||||||||
Services
|
230,226 | 0.99 | % | 210,516 | 1.23 | % | 119,954 | 0.99 | % | |||||||||||||||
Shoes, apparel and other textile products
|
70,015 | 0.30 | % | 49,186 | 0.29 | % | 6,976 | 0.06 | % | |||||||||||||||
Textile
|
101,578 | 0.44 | % | 80,367 | 0.47 | % | 39,181 | 0.32 | % | |||||||||||||||
Tobacco
|
17,097 | 0.07 | % | 6,656 | 0.04 | % | 7,095 | 0.06 | % | |||||||||||||||
Transportation material
|
253,560 | 1.09 | % | 107,213 | 0.63 | % | 93,105 | 0.77 | % | |||||||||||||||
Wholesale trade
|
727,847 | 3.12 | % | 528,076 | 3.09 | % | 298,835 | 2.47 | % | |||||||||||||||
Wood products and cork
|
29,248 | 0.13 | % | 24,975 | 0.15 | % | 12,310 | 0.10 | % | |||||||||||||||
Total
|
23,320,858 | 100.00 | % | 17,096,079 | 100.00 | % | 12,089,575 | 100.00 | % |
Maturing
|
||||||||||||||||||||
Amount at December 31,
2011
|
Within
3 months
|
After 3
months but
within 1 year
|
After 1 year
but within
5 years
|
After 5 years
|
||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||
To the non-financial public sector
|
46,027 | 15,728 | — | — | 30,299 | |||||||||||||||
To the financial sector
|
1,146,532 | 307,080 | 344,723 | 494,729 | — | |||||||||||||||
To the non-financial private sector and residents abroad
|
22,128,299 | 10,266,268 | 5,896,692 | 5,643,059 | 322,280 | |||||||||||||||
Overdrafts
|
2,970,793 | 1,760,280 | 1,189,169 | 21,344 | — | |||||||||||||||
With privileged guarantees
|
2,596,550 | 332,804 | 612,747 | 1,334,062 | 316,937 | |||||||||||||||
Credit cards
|
3,457,546 | 3,457,546 | — | — | — | |||||||||||||||
Other
|
13,103,410 | 4,715,638 | 4,094,776 | 4,287,653 | 5,343 | |||||||||||||||
Total
|
23,320,858 | 10,589,076 | 6,241,415 | 6,137,788 | 352,579 | |||||||||||||||
Percentage of total loan portfolio
|
100.00 | % | 45.41 | % | 26.76 | % | 26.32 | % | 1.51 | % |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Cross-border outstandings to Spanish borrowers
|
— | 193,283 | — | |||||||||
Total
|
— | 193,283 | — |
|
December 31, 2011
|
|||
|
(in thousands of pesos)
|
|||
Variable Rate
|
||||
Pesos — including adjustable loans
|
355,298 | |||
Foreign currency
|
1,234 | |||
356,532 | ||||
Fixed Rate
|
||||
Pesos
|
19,003,721 | |||
Foreign currency
|
3,855,196 | |||
22,858,917 | ||||
Non-performing (1)
|
||||
Pesos
|
102,223 | |||
Foreign currency
|
3,186 | |||
105,409 | ||||
Total
|
23,320,858 |
(1)
|
For additional information on non-performing loans see “Item 4. Information on the Company—Selected Statistical Information—Non-performing and Restructured Loans” below.
|
Interest Sensitivity of
Outstanding Loans Maturing
in More Than One Year
|
||||||||
Fixed Rate
|
Variable Rate
|
|||||||
(in thousands of pesos)
|
||||||||
To the non-financial public sector
|
30,299 | — | ||||||
To the financial sector
|
494,729 | — | ||||||
To the non-financial private sector and residents abroad
|
5,920,535 | 44,804 | ||||||
Total
|
6,445,563 | 44,804 |
§
|
The allocation of their periodic income in relation to the totality of credit commitments assumed; or
|
§
|
Through the use of the credit scoring and screening methods.
|
1.
|
“Normal” if all payments on its loans are current or less than 31 days overdue and, in checking account overdrafts, less than 61 days overdue;
|
2.
|
“Low Risk” if payments with respect to principal, interest or otherwise, on any of its loans, are overdue for more than 31 and up to 90 days;
|
3.
|
“Medium Risk” if payments on any of its loans are overdue for more than 90 and up to 180 days;
|
4.
|
“High Risk” if payments on any of its loans are overdue for more than 180 days and up to one year or if it is subject to judicial proceedings for default on any of those loans;
|
5.
|
“Irrecoverable” if payments on any of its loans are overdue for more than one year, if the borrower is in bankruptcy or liquidation proceedings or if it is insolvent; and
|
6.
|
“Irrecoverable for Technical Decision” if such borrower is:
|
(a)
|
In arrears for more than 180 days according to a list provided by the Central Bank, which includes:
|
§
|
Financial institutions liquidated by the Central Bank,
|
§
|
Entities created as a result of the privatization of public financial institutions and in the process of dissolution,
|
§
|
Financial institutions whose licenses have been revoked by the Central Bank and are under judicial liquidation or bankruptcy, and
|
§
|
Any trust in which Seguro de Depósitos S.A. (“SEDESA”) is the beneficiary.
|
(b)
|
A foreign borrower (including banks or other financial institutions) which is not classified as “investment grade” by any of the rating agencies admitted by the Central Bank pursuant to the Evaluation of Financial Entities standards, except for the following:
|
§
|
Foreign banks or other financial institutions controlling or controlled by the financial entity under the consolidated or other supervision systems approved by the Central Bank;
|
§
|
Financing that is:
|
o
|
Secured by foreign banks and classified as “Investment Grade” by any of the international rating agencies admitted by the Central Bank;
|
o
|
Related to the buying or selling of securities through custodian banks admitted by the Central Bank (Caja de Valores, Clearstream, Euroclear or The Depository Trust Company), arising from the usual business practices in the market in which they are made;
|
o
|
Related to foreign trade transactions;
|
o
|
Entailing swaps of dollars and domestic government bonds at market price, with sufficient margins, involving custodians admitted by the Central Bank;
|
o
|
Foreign banks or financial institutions subject to the consolidated supervision system which controls local financial institutions organized as corporations (sociedades anónimas);
|
o
|
Other foreign banks authorized to take part in reciprocal payment and credit regimes to which the Central Bank is a party, to the extent the controlling financial entity is subject to a consolidated supervision system;
|
§
|
Assistance provided through foreign subsidiaries or branches of local financial institutions under the consolidated supervision system, to the extent the financial assistance is not funded directly or indirectly by local financial institutions; and
|
§
|
Clients from the non-financial private sector whose debt (all items included) plus the requested financing amount at the time of granting exceeds the lesser of 2.5% of the RPC (Responsabilidad Patrimonial Computable or “RPC”) on the last day of the preceding month or the equivalent of Ps.2,000,000, and who have not submitted a sworn statement as to whether they are or are not linked to the respective financial broker or whether their relationship with the latter implies the existence of a controlling influence, or who have not updated their previous presentation, except for those debtors under bankruptcy proceedings or requested extrajudicial composition proceedings or under judicial administration who, during a period of up to 540 days after the filing of the bankruptcy proceedings or the request of extrajudicial composition proceedings or the start of judicial collection proceedings, as the case may be, shall have not submitted the documentation that would allow the transaction, provided that a lawyer’s report from the financial creditor entity shall have been issued regarding the reasonability of recovering the relevant credits.
|
i)
|
Eligible borrowers:
|
ii)
|
Individual limit:
|
§
|
Dwelling mortgage loans: Ps.200,000
|
§
|
Chattel mortgage car loans: Ps.75,000
|
§
|
Personal loans and financing by credit card: Ps.15,000
|
1)
|
The treatment for refinancing in the Consumption Portfolio, depending on the refinanced borrower’s compliance record, according to the following criteria:
|
§
|
Once the Refinancing Agreement has been signed, the previous situation applies, unless the borrower makes payments in advance which can be computed.
|
§
|
The borrower must accumulate a greater number of installments or percentage of cancellation in order to improve his situation.
|
(i)
|
For a situation improved by payment of installments, the following table applies (*):
|
Quantity of quotas
|
||||||||||||||||
Change of category
|
from
Irrecoverable
|
from
High Risk
|
from
Medium Risk
|
from
Low Risk
|
||||||||||||
Change to High Risk
|
3 | — | — | — | ||||||||||||
Change to Medium Risk
|
6 | 3 | — | — | ||||||||||||
Change to Low Risk
|
8 | 5 | 2 | — | ||||||||||||
Change to Normal
|
9 | 6 | 3 | 1 |
(*)
|
The refinancing requires a punctual payment or with delays of not more than 31 days according to the German or French Amortization System. Regularity may be monthly or bimonthly.
|
(ii)
|
For a situation improved by Percentage of Capital Cancellation, the following table applies (also applicable to Commercial Portfolio) (**):
|
Percentage of cancellation
|
||||||||||||||||
Change of category
|
from
Irrecoverable
|
from
High Risk
|
from
Medium Risk
|
from
Low Risk
|
||||||||||||
Change to High Risk
|
20 | % | — | — | — | |||||||||||
Change to Medium Risk
|
35 | % | 15 | % | — | — | ||||||||||
Change to Low Risk
|
45 | % | 25 | % | 10 | % | — | |||||||||
Change to Normal
|
55 | % | 35 | % | 20 | % | 10 | % |
(**)
|
For amortization systems with periods greater than bimonthly or irregular.
|
Percentage of cancellation
|
||||||||||||||||
Change of category
|
from
Irrecoverable
|
from
High Risk
|
from
Medium Risk
|
from
Low Risk
|
||||||||||||
Change to High Risk
|
15 | % | — | — | — | |||||||||||
Change to Medium Risk
|
25 | % | 10 | % | — | — | ||||||||||
Change to Low Risk
|
30 | % | 15 | % | 5 | % | — | |||||||||
Change to Normal
|
35 | % | 20 | % | 10 | % | 5 | % |
(**)
|
For amortization systems with periods greater than bimonthly or irregular.
|
§
|
Refinancings with regular monthly or bimonthly payments: by the timely payment of installments. This is the criterion adopted by BBVA Francés.
|
§
|
All other forms: by capital amortization.
|
1.
|
Tranches of arrears are allocated in any applicable situation according to the table below:
|
Situation
|
Minimum delay time
(in days)
|
|
Normal
|
0
|
|
Low Risk
|
32
|
|
Medium Risk
|
91
|
|
High Risk
|
181
|
|
Irrecoverable
|
More than 1 year
|
2.
|
To the above must be added the refinancing arrears, and according to this the situation in which the refinanced client must be placed is determined:
|
Days of delay at the time of refinancing
|
Situation at the time of refinancing
|
Number of cancelled installments of the refinanced debt
|
Situation considering installment cancellations
|
|||
400
|
Irrecoverable
|
6
|
Medium Risk
|
Situation at the time of incurring arrears
|
Minimum time of delay (days)
|
New delay (refinanced debt) (days)
|
Delay at end of month (days)
|
New situation
|
||||
Medium Risk
|
91
|
95
|
186 (91+95)
|
High Risk
|
2)
|
Procedure for constituting provisions above the minimum ones established by the regulations for a portfolio in normal situation.
|
1.
|
“Normal” if there is no doubt that the borrower can meet all of its financial obligations.
|
Loan Loss Provision Required
Consumer and Commercial Borrowers
|
||||||||||||
With
Preferred “A”
Guarantees
|
With
Preferred “B”
Guarantees
|
Without
Preferred “A”
or Preferred
“B” Guarantees
|
||||||||||
Normal
|
1 | % | 1 | % | 1 | % | ||||||
Low risk / Special tracking - under observation
|
1 | % | 3 | % | 5 | % | ||||||
Special tracking - under negotiation or with refinancing agreements (2)
|
1 | % | 6 | % | 12 | % | ||||||
Medium risk / Problem
|
1 | % | 12 | % | 25 | % | ||||||
High risk / High risk of insolvency
|
1 | % | 25 | % (3) | 50 | % (3) | ||||||
Irrecoverable
|
1 | % | 50 | % | 100 | % | ||||||
Irrecoverable for technical decision
|
1 | % | 100 | % (1) | 100 | % (1) | ||||||
Additional loans (3)
|
1 | % | 1 | % | 1 | % |
(1)
|
The classification of a debtor under this category will require a loan loss provision of 100% of any financings, such as rollovers, extensions and express or implied waits, that may be granted after 90 days have elapsed since the day following the announcement by the Central Bank of the data base that includes the debtor. The presence of preferred guarantees does not affect this obligation.
|
(2)
|
The entity has not yet classified its debtors in the “Special tracking -under negotiation or with refinancing agreements” category.
|
(3)
|
Extensions of credit that do not surpass the result of applying the percentages indicated below over the balance of the existing debt on the day prior to the extension of the additional credit:
|
Irrecoverable
|
10%
|
Difficult recovery / High risk of insolvency
|
20%
|
Deficient servicing / Problem
|
30%
|
Inadequate servicing / Potential risk
|
40%
|
(i)
|
Percentages of allowance until June 30, 2011.
|
§
|
Commercial, Consumer and Consumer-like Portfolio Clients in a Normal Situation:
|
Product
|
Provision Percentage
|
|
Foreign Trade
|
2.00
|
|
Corporate Bonds
|
||
Personal
|
||
Loans to Companies
|
||
Financial Loans
|
||
Negotiated Securities
|
||
Pledges
|
||
Checks
|
||
Credit Accounts
|
||
Credit Cards
|
2.50
|
|
Overdrafts
|
||
Mortgages
|
1.00
|
|
Other provisionable products
|
1.25
|
§
|
Consumer Portfolio Clients (other than normal):
|
Situation
|
Category
|
Without Preferred Guarantees
|
With Preferred Guarantees B
|
With Preferred Guarantees A
|
||||||||||
(in percentages)
|
||||||||||||||
2 |
Low Risk
|
5 | 3 | 1 | ||||||||||
3 |
Medium Risk
|
100 | (*) | 12 | 1 | |||||||||
4 |
High Risk
|
100 | (*) | 50 | 1 | |||||||||
5 |
Irrecoverable
|
100 | 50 | 1 | ||||||||||
6 |
Irrecoverable for Technical Reasons
|
100 | 100 | 100 |
(*)
|
In the event of clients classified under the current situations by the Mandatory Reclassification process, the applicable provision percentage will be 95%.
|
§
|
Consumer-like Portfolio Clients (other than normal):
|
Situation
|
Category
|
Without Preferred Guarantees
|
With Preferred Guarantees B
|
With Preferred Guarantees A
|
||||||||||
(in percentages)
|
||||||||||||||
2 |
Low Risk
|
5 | 3 | 1 | ||||||||||
3 |
Medium Risk
|
100 | (*) | 12 | 1 | |||||||||
4 |
High Risk
|
100 | (*) | 50 | 1 | |||||||||
5 |
Irrecoverable
|
100 | 50 | 1 | ||||||||||
6 |
Irrecoverable for Technical Reasons
|
100 | 100 | 100 |
(*)
|
In the event of clients classified under the current situations by the Mandatory Reclassification process, the applicable provision percentage will be 95%.
|
§
|
Commercial Clients Portfolio (other than normal):
|
Situation
|
Category
|
Without Preferred Guarantees
|
With Preferred Guarantees B
|
With Preferred Guarantees A
|
||||||||||
(in percentages)
|
||||||||||||||
2.a. |
Under Observation
|
5 | 3 | 1 | ||||||||||
2.b. |
Under Negotiation
|
6 | 12 | 1 | ||||||||||
3 |
With Problems
|
25 | 12 | 1 | ||||||||||
4 |
High Risk of Insolvency
|
50 | 25 | 1 | ||||||||||
5 |
Irrecoverable
|
100 | 50 | 1 | ||||||||||
6 |
Irrecoverable for Technical Reasons
|
100 | 100 | 100 |
(ii)
|
As of June 21, 2011 the Technical Operations Committee approved the modification of the percentages of allowance for clients who were in Normal Situation. The changes became effective on June 30, 2011 and are summarized in the table below:
|
Product
|
Commercial
|
Consumer-like
|
Consumer
|
|||
Overdrafts
|
1.50
|
1.50
|
2.00
|
|||
Negotiated Securities
|
||||||
Pledges
|
||||||
Personal
|
||||||
Credit Accounts
|
||||||
Checks
|
||||||
Credit Cards
|
||||||
Corporate Bonds
|
||||||
Foreign Trade
|
||||||
Loans to Companies
|
||||||
Financial Loans
|
||||||
Mortgages
|
1.00
|
1,00
|
1.00
|
|||
Other provisionable products
|
1.25
|
1.25
|
1.25
|
(iii)
|
As of December 15, 2011 the Risk Management Committee (formerly Technical Operations Committee) approved the modification of the percentages of allowance for clients who were in Normal Situacion. The changes became effective on December 30, 2011 and are summarized in the table below:
|
Product
|
Commercial
|
Consumer-like
|
Consumer
|
|||
Overdrafts
|
1.25
|
1.25
|
2.00
|
|||
Negotiated Securities
|
||||||
Pledges
|
||||||
Personal
|
||||||
Credit Accounts
|
||||||
Checks
|
||||||
Credit Cards
|
||||||
Corporate Bonds
|
||||||
Foreign Trade
|
||||||
Loans to Companies
|
||||||
Financial Loans
|
||||||
Mortgages
|
1.00
|
1,00
|
1.00
|
|||
Other provisionable products
|
1.25
|
1.25
|
1.25
|
§
|
Any time the Central Bank modifies the definition of its borrower classifications;
|
§
|
Any time another bank downgrades a borrower whose loan standings are greater than 10% of the total loans outstanding in the Argentine financial system;
|
§
|
Any time a credit rating agency downgrades by more than one category the rating assigned to bonds issued by such borrower;
|
§
|
If the Central Bank requires it as a result of an inspection; and
|
§
|
In case of discrepancy by more than one level between the rating given by the financial entity and those granted by at least another two financial entities or trusts in categories below that assigned by it, and whose credits as a whole represent at least 20% and are below 40% of the total amount informed by all creditors, as per the latest information available at the Debtors Department of the financial system”.
|
December 31,
|
||||||||||||||||||||||||
2011
|
%
|
2010
|
%
|
2009
|
%
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Loan Portfolio Categories
|
||||||||||||||||||||||||
Normal
|
23,115,935 | 99.12 | % | 16,940,541 | 99.09 | % | 11,878,068 | 98.25 | % | |||||||||||||||
Low risk / Special tracking
|
99,514 | 0.43 | % | 75,161 | 0.44 | % | 90,007 | 0.74 | % | |||||||||||||||
Medium risk / Problem
|
54,568 | 0.23 | % | 32,929 | 0.19 | % | 45,918 | 0.38 | % | |||||||||||||||
High risk / High risk of insolvency
|
39,981 | 0.17 | % | 35,114 | 0.21 | % | 64,933 | 0.54 | % | |||||||||||||||
Irrecoverable
|
10,694 | 0.05 | % | 12,152 | 0.07 | % | 10,392 | 0.09 | % | |||||||||||||||
Irrecoverable for technical decision
|
166 | — | 182 | — | 257 | — | ||||||||||||||||||
Total
|
23,320,858 | 100.00 | % | 17,096,079 | 100.00 | % | 12,089,575 | 100.00 | % |
December 31,
|
||||||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in thousands of pesos, except percentages) (1)
|
||||||||||||||||||||||||||||||||||||||||
Normal (Consumer)
|
9,450,421 | 98.19 | % | 6,411,481 | 98.18 | % | 4,417,993 | 96.47 | % | 4,358,063 | 97.19 | % | 3,332,574 | 98.29 | % | |||||||||||||||||||||||||
Normal (Commercial)
|
13,665,514 | 99.77 | % | 10,529,060 | 99.65 | % | 7,460,075 | 99.33 | % | 8,169,520 | 99.39 | % | 8,149,489 | 99.40 | % | |||||||||||||||||||||||||
23,115,935 | 99.12 | % | 16,940,541 | 99.09 | % | 11,878,068 | 98.25 | % | 12,527,583 | 98.61 | % | 11,482,063 | 99.08 | % | ||||||||||||||||||||||||||
Low risk (Consumer)
|
81,563 | 0.85 | % | 50,854 | 0.78 | % | 54,838 | 1.20 | % | 55,071 | 1.23 | % | 26,168 | 0.77 | % | |||||||||||||||||||||||||
Special tracking (Commercial)
|
17,951 | 0.13 | % | 24,307 | 0.23 | % | 35,169 | 0.47 | % | 10,727 | 0.13 | % | 17,733 | 0.22 | % | |||||||||||||||||||||||||
99,514 | 0.43 | % | 75,161 | 0.44 | % | 90,007 | 0.74 | % | 65,798 | 0.52 | % | 43,901 | 0.38 | % | ||||||||||||||||||||||||||
Medium risk (Consumer)
|
51,628 | 0.54 | % | 31,016 | 0.47 | % | 42,503 | 0.93 | % | 33,008 | 0.74 | % | 12,027 | 0.35 | % | |||||||||||||||||||||||||
Problem (Commercial)
|
2,940 | 0.02 | % | 1,913 | 0.02 | % | 3,415 | 0.05 | % | 3,332 | 0.04 | % | 4,790 | 0.06 | % | |||||||||||||||||||||||||
54,568 | 0.23 | % | 32,929 | 0.19 | % | 45,918 | 0.38 | % | 36,340 | 0.29 | % | 16,817 | 0.15 | % | ||||||||||||||||||||||||||
High risk (Consumer)
|
32,389 | 0.34 | % | 27,252 | 0.42 | % | 58,605 | 1.28 | % | 35,076 | 0.78 | % | 837 | 0.02 | % | |||||||||||||||||||||||||
High risk of insolvency (Commercial)
|
7,592 | 0.06 | % | 7,862 | 0.07 | % | 6,328 | 0.08 | % | 32,736 | 0.40 | % | 25,857 | 0.31 | % | |||||||||||||||||||||||||
39,981 | 0.17 | % | 35,114 | 0.21 | % | 64,933 | 0.54 | % | 67,812 | 0.53 | % | 26,694 | 0.24 | % | ||||||||||||||||||||||||||
Irrecoverable (Consumer)
|
8,180 | 0.08 | % | 9,613 | 0.15 | % | 5,364 | 0.12 | % | 2,362 | 0.05 | % | 17,689 | 0.52 | % | |||||||||||||||||||||||||
Irrecoverable (Commercial)
|
2,514 | 0.02 | % | 2,539 | 0.02 | % | 5,028 | 0.07 | % | 3,458 | 0.03 | % | 518 | 0.01 | % | |||||||||||||||||||||||||
10,694 | 0.05 | % | 12,152 | 0.07 | % | 10,392 | 0.09 | % | 5,820 | 0.05 | % | 18,207 | 0.16 | % | ||||||||||||||||||||||||||
Irrecoverable for technical decision (Consumer)
|
165 | — | 120 | — | 98 | — | 480 | 0.01 | % | 1,260 | 0.05 | % | ||||||||||||||||||||||||||||
Irrecoverable for technical decision (Commercial)
|
1 | — | 62 | — | 159 | — | 247 | 0.01 | % | — | — | |||||||||||||||||||||||||||||
166 | — | 182 | — | 257 | — | 727 | 0.01 | % | 1,260 | 0.01 | % | |||||||||||||||||||||||||||||
Total consumer loans
|
9,624,346 | 100.00 | % | 6,530,336 | 100.00 | % | 4,579,401 | 100.00 | % | 4,484,060 | 100.00 | % | 3,390,555 | 100.00 | % | |||||||||||||||||||||||||
Total commercial loans
|
13,696,512 | 100.00 | % | 10,565,743 | 100.00 | % | 7,510,174 | 100.00 | % | 8,220,020 | 100.00 | % | 8,198,387 | 100.00 | % | |||||||||||||||||||||||||
Total
|
23,320,858 | 100.00 | % | 17,096,079 | 100.00 | % | 12,089,575 | 100.00 | % | 12,704,080 | 100.00 | % | 11,588,942 | 100.00 | % |
(1)
|
Percentages for each category are of total consumer, commercial or total loans, as the context requires.
|
December 31,
|
||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||
(in thousands of pesos)
|
||||||||||||||||||||
Non-performing loans (1)
|
105,409 | 80,377 | 121,500 | 110,699 | 62,978 | |||||||||||||||
Total
|
105,409 | 80,377 | 121,500 | 110,699 | 62,978 | |||||||||||||||
With preferred guarantees
|
19,432 | 15,228 | 15,929 | 10,408 | 3,900 | |||||||||||||||
Unsecured
|
85,977 | 65,149 | 105,571 | 100,291 | 59,078 | |||||||||||||||
Total
|
105,409 | 80,377 | 121,500 | 110,699 | 62,978 |
(1)
|
Non-performing loans includes all loans to borrowers classified as “Medium Risk”, “Problem”, “High Risk”, “High Risk of Insolvency”, “Irrecoverable” and “Irrecoverable for Technical Decision” under the Central Bank loan classification system. Non-performing loans also include all loans contractually past due 90 days or more. At December 31, 2011, 2010, 2009, 2008 and 2007, non-performing loans include Ps.64,688 thousand, Ps.46,538 thousand, Ps.91,671 thousand, Ps.93,573 thousand and Ps.57,439 thousand, respectively, of non-accrual loans.
|
December 31,
|
||||||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||||||
Agricultural and livestock
|
3,425 | 3.25 | % | 78 | 0.10 | % | 61 | 0.05 | % | 156 | 0.14 | % | 20 | 0.03 | % | |||||||||||||||||||||||||
Beverage
|
19 | 0.02 | % | 1 | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Chemicals
|
921 | 0.87 | % | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Construction
|
401 | 0.38 | % | 862 | 1.07 | % | 1,498 | 1.23 | % | 1,980 | 1.79 | % | 774 | 1.23 | % | |||||||||||||||||||||||||
Consumer
|
92,372 | 87.63 | % | 34,909 | 43.43 | % | 41,814 | 34.41 | % | 34,780 | 31.42 | % | 12,264 | 19.47 | % | |||||||||||||||||||||||||
Electrical machinery
|
— | — | 3 | — | 16 | 0.01 | % | — | — | 1 | — | |||||||||||||||||||||||||||||
Financial sector
|
7 | 0.01 | % | 5 | 0.01 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Foodstuff
|
372 | 0.35 | % | 2 | — | 16 | 0.01 | % | 35 | 0.03 | % | 26 | 0.04 | % | ||||||||||||||||||||||||||
Government services
|
— | — | 1 | — | 1 | — | — | — | — | — | ||||||||||||||||||||||||||||||
Industrial metals
|
954 | 0.91 | % | — | — | 9 | 0.01 | % | 1 | — | 5 | 0.01 | % | |||||||||||||||||||||||||||
Leather and fur products
|
789 | 0.75 | % | — | — | 4 | — | 2 | — | — | — | |||||||||||||||||||||||||||||
Mining products
|
8 | 0.01 | % | 2 | — | — | — | — | — | 1 | — | |||||||||||||||||||||||||||||
Oil and carbon
|
— | — | 81 | 0.10 | % | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Others
|
1,511 | 1.43 | % | 33,257 | 41.38 | % | 64,826 | 53.35 | % | 54,024 | 48.80 | % | 39,637 | 62.94 | % | |||||||||||||||||||||||||
Other manufacturing
|
45 | 0.04 | % | 56 | 0.07 | % | 1 | — | — | — | — | — | ||||||||||||||||||||||||||||
Paper products
|
432 | 0.41 | % | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||
Printer, publishers and related industries
|
229 | 0.22 | % | 3 | — | 8 | 0.01 | % | — | — | — | — | ||||||||||||||||||||||||||||
Rubber products
|
— | — | — | — | 3 | — | — | — | 4 | 0.01 | % | |||||||||||||||||||||||||||||
Retail trade
|
330 | 0.31 | % | 9,590 | 11.93 | % | 8,105 | 6.68 | % | 13,294 | 12.01 | % | 7,526 | 11.95 | % | |||||||||||||||||||||||||
Services
|
448 | 0.43 | % | 43 | 0.05 | % | 156 | 0.13 | % | 37 | 0.03 | % | 23 | 0.04 | % | |||||||||||||||||||||||||
Shoes, apparel and other textile products
|
— | — | 86 | 0.11 | % | 3 | — | — | — | — | — | |||||||||||||||||||||||||||||
Textile
|
2,126 | 2.02 | % | 4 | — | 1 | — | 9 | 0.01 | % | 1 | — | ||||||||||||||||||||||||||||
Tobacco
|
— | — | — | — | 5 | — | — | — | — | — | ||||||||||||||||||||||||||||||
Transportation material
|
9 | 0.01 | % | 1 | — | 7 | 0.01 | % | 4 | — | — | — | ||||||||||||||||||||||||||||
Wholesale trade
|
820 | 0.79 | % | 1,387 | 1.74 | % | 4,966 | 4.10 | % | 6,377 | 5.77 | % | 2,696 | 4.29 | % | |||||||||||||||||||||||||
Wood products and cork
|
191 | 0.18 | % | 6 | 0.01 | % | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Total
|
105,409 | 100.00 | % | 80,377 | 100.00 | % | 121,500 | 100.00 | % | 110,699 | 100.00 | % | 62,978 | 100.00 | % |
December 31,
|
||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||
Balance at the beginning of the year
|
396,227 | 337,686 | 196,489 | 198,728 | 167,097 | |||||||||||||||
Provisions for loan losses
|
134,199 | 178,800 | 244,800 | 38,124 | 61,985 | |||||||||||||||
Charge-offs (1)
|
(85,453 | ) | (120,259 | ) | (103,603 | ) | (40,363 | ) | (30,354 | ) | ||||||||||
Advances
|
(9,668 | ) | (23,977 | ) | (32,520 | ) | (1,767 | ) | (10,311 | ) | ||||||||||
Consumer
|
(1 | ) | (72,849 | ) | (24,645 | ) | (14,658 | ) | — | |||||||||||
Notes discounted and purchased
|
(21,230 | ) | (22,842 | ) | (26,451 | ) | (4,499 | ) | (8,239 | ) | ||||||||||
Other
|
(54,554 | ) | (590 | ) | (19,987 | ) | (19,439 | ) | (11,804 | ) | ||||||||||
Balance at the end of year
|
444,973 | 396,227 | 337,686 | 196,489 | 198,728 | |||||||||||||||
Net charge-off / average loans
|
0.43 | % | 0.85 | % | 0.85 | % | 0.34 | % | 0.29 | % |
(1)
|
Charge-offs are not concentrated in any particular economic activity. Our management estimates that of the Ps.85.5 million charged-off in the fiscal year ended December 31, 2011, Ps.45.6 million or 53.36%, were related to corporate borrowers and Ps.39.9 million or 46.64%, were related to individual consumers. Of the Ps.120.3 million charged-off in the fiscal year ended December 31, 2010, Ps.77.3 million or 64.25%, were related to corporate borrowers and Ps.43.0 million or 35.75%, were related to individual consumers. Of the Ps.103.6 million charged-off in the fiscal year ended December 31, 2009, Ps.28.4 million or 27.45%, were related to corporate borrowers and Ps.75.2 million or 72.55%, were related to individual consumers. Of the Ps.40.4 million charged-off in the fiscal year ended December 31, 2008, Ps.18.6 million or 46.06%, were related to corporate borrowers and Ps.21.8 million or 53.94%, were related to individual consumers. Of the Ps.30.4 million charged-off in the fiscal year ended December 31, 2007, Ps.21.0 million or 69.04%, were related to corporate borrowers and Ps.9.4 million or 30.96%, were related to individual consumers. Charge-offs include reversal and applications.
|
December 31,
|
||||||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||||||
Advances
|
41,871 | 12.54 | % | 34,201 | 14.57 | % | 25,192 | 16.31 | % | 17,131 | 12.74 | % | 20,158 | 13.06 | % | |||||||||||||||||||||||||
Notes discounted and purchased
|
44,792 | 14.85 | % | 29,306 | 12.84 | % | 15,692 | 10.23 | % | 15,194 | 11.19 | % | 22,295 | 14.09 | % | |||||||||||||||||||||||||
Secured with mortgages
|
14,558 | 3.99 | % | 19,412 | 5.18 | % | 15,379 | 8.03 | % | 10,975 | 8.53 | % | 12,877 | 7.60 | % | |||||||||||||||||||||||||
Chattel mortgage
|
29,207 | 7.19 | % | 17,604 | 5.12 | % | 10,641 | 1.00 | % | 7,015 | 4.61 | % | 3,648 | 2.49 | % | |||||||||||||||||||||||||
Consumers loans
|
201,941 | 31.39 | % | 214,847 | 30.35 | % | 197,786 | 31.43 | % | 75,869 | 27.90 | % | 51,387 | 21.07 | % | |||||||||||||||||||||||||
Financial Loans
|
23,605 | 4.55 | % | 12,156 | 3.29 | % | 7,595 | 5.22 | % | 8,909 | 4.98 | % | 9,819 | 4.98 | % | |||||||||||||||||||||||||
Other loans to governmental sector
|
— | 0.11 | % | — | 3.97 | % | — | 1.12 | % | — | 8.67 | % | — | 10.45 | % | |||||||||||||||||||||||||
Other
|
88,999 | 25.38 | % | 68,701 | 24.68 | % | 65,402 | 26.66 | % | 61,396 | 21.38 | % | 78,544 | 26.26 | % | |||||||||||||||||||||||||
Total
|
444,973 | 100.00 | % | 396,227 | 100.00 | % | 337,686 | 100.00 | % | 196,489 | 100.00 | % | 198,728 | 100.00 | % |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Deposits in domestic Bank’s offices
|
||||||||||||
Non-interest-bearing demand deposits
|
||||||||||||
Average
|
||||||||||||
Pesos
|
6,820,551 | 4,427,600 | 3,189,377 | |||||||||
Dollars
|
1,017,747 | 542,521 | 92,396 | |||||||||
Total
|
7,838,298 | 4,970,121 | 3,281,773 | |||||||||
Saving accounts
|
||||||||||||
Average
|
||||||||||||
Pesos
|
4,784,502 | 3,881,058 | 3,363,193 | |||||||||
Dollars
|
2,671,586 | 2,273,514 | 1,840,846 | |||||||||
Total
|
7,456,088 | 6,154,572 | 5,204,039 | |||||||||
Average real rate
|
||||||||||||
Pesos
|
(11.11 | )% | (12.60 | )% | (8.94 | )% | ||||||
Dollars
|
(3.84 | )% | (8.53 | )% | (0.09 | )% | ||||||
Total
|
(8.51 | )% | (11.09 | )% | (5.81 | )% | ||||||
Time deposits
|
||||||||||||
Average
|
||||||||||||
Pesos
|
9,010,574 | 6,335,859 | 5,656,994 | |||||||||
Dollars
|
1,918,794 | 1,789,633 | 1,871,652 | |||||||||
Total
|
10,929,368 | 8,125,492 | 7,528,646 | |||||||||
Average real rate
|
||||||||||||
Pesos
|
(0.81 | )% | (4.28 | )% | 2.33 | % | ||||||
Dollars
|
(3.69 | )% | (8.18 | )% | 1.53 | % | ||||||
Total
|
(1.32 | )% | (5.14 | )% | 2.13 | % |
Maturing
|
||||||||||||||||||||
Total
|
Within 3
months
|
After 3 but
within 6 months
|
After 6 but
within 12
months
|
After 12 months
|
||||||||||||||||
(in thousands of pesos)
|
||||||||||||||||||||
Checking
|
6,742,583 | 6,742,583 | — | — | — | |||||||||||||||
Savings
|
9,489,758 | 9,489,758 | — | — | — | |||||||||||||||
Time deposits
|
12,153,974 | 11,192,709 | 665,380 | 292,130 | 3,755 | |||||||||||||||
Investment accounts
|
220,527 | 15,812 | 37,722 | 166,993 | — | |||||||||||||||
Other
|
558,862 | 544,969 | 3,501 | 10,392 | — | |||||||||||||||
Total
|
29,165,704 | 27,985,831 | 706,603 | 469,515 | 3,755 |
Maturing,
|
||||||||||||||||||||
Total
|
Within 3
months
|
After 3 but
within 6 months
|
After 6 but
within 12
months
|
After 12 months
|
||||||||||||||||
(in thousands of pesos)
|
||||||||||||||||||||
Domestic offices
|
7,105,115 | 6,287,560 | 411,470 | 403,016 | 3,069 | |||||||||||||||
Foreign offices
|
— | — | — | — | — | |||||||||||||||
Total
|
7,105,115 | 6,287,560 | 411,470 | 403,016 | 3,069 | |||||||||||||||
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||
Net income
|
1,005,577 | 1,198,179 | 718,462 | |||||||||
Average total assets (1)
|
35,792,946 | 29,485,920 | 26,108,529 | |||||||||
Average stockholders’ equity (1)
|
3,807,586 | 3,336,694 | 2,501,248 | |||||||||
Stockholders’ equity at the end of the fiscal year
|
3,868,257 | 3,746,915 | 2,926,472 | |||||||||
Net income as a percentage of:
|
||||||||||||
Average total assets
|
2.81 | % | 4.06 | % | 2.75 | % | ||||||
Average stockholders’ equity
|
26.41 | % | 35.91 | % | 28.72 | % | ||||||
Declared dividends (2)
|
— | 804,000 | 480,000 | |||||||||
Dividend payout ratio (3)
|
— | 67.10 | % | 66.81 | % | |||||||
Average stockholders’ equity as a percentage of average total assets
|
10.64 | % | 11.32 | % | 9.58 | % |
(1)
|
Computed as the average of fiscal year-beginning and fiscal year-ending balances.
|
(2)
|
For the fiscal year ended December 31, 2011, the Bank decided not to declare and distribute dividends as result of the issuance of Comminications “A” 5272 and 5273 of the Central Bank (see “Item 8. Financial Information—Dividends”). For the fiscal years ended December 31, 2010 and 2009 the dividends were paid totally in cash.
|
(3)
|
Declared dividends stated as percentage of net income. Since April 2002, the Central Bank had suspended the payment of dividends. As of June 2, 2004, financial institutions that are allowed to make distributions will have no effect on the prior authorization of the Central Bank provided that certain conditions are met. See “Item 8. Financial Information—Dividends”.
|
December 31,
|
||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||
Amount
|
Weighed Average
Interest
Rate
|
Amount
|
Weighed Average
Interest
Rate
|
Amount
|
Weighed Average
Interest
Rate
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Total amount outstanding at the end of the reported period
|
3,998,286 | 4.0 | % | 1,930,388 | 1.1 | % | 1,172,743 | 10.4 | % | |||||||||||||||
Average during year
|
3,135,587 | 13.9 | % | 2,419,380 | 1.7 | % | 2,108,840 | 6.0 | % | |||||||||||||||
Maximum month-end balance
|
3,998,286 | 4,844,829 | 3,314,174 |
§
|
Except by express provision to the contrary established by-law, the Central Bank will not be affected by any regulations of a general character which may have been or shall have been enacted with reference to Public Administration bodies and which may introduce limitations to the authority or powers of the Central Bank as set forth in its own Charter.
|
§
|
The Central Bank is empowered to make temporary advances to the Government up to an amount equivalent to 12% of the monetary base, which for this purpose includes amounts constituted by the monetary circulation plus the sight deposits of the financial institutions with the Central Bank, in current account or in special accounts. It may also grant advances up to an amount not exceeding 10% of the cash resources obtained by the Government in the past twelve months. At no time may the amount granted as temporary advances, excluding those exclusively allocated to the payment of obligations with the multilateral credit institutions, exceed 12% of the monetary base. All advances so granted must be reimbursed within the next twelve months; should any of these advances remain unpaid after its due date, it will not be possible to use these powers again until all owed amounts shall have been reimbursed.
|
§
|
The validity of Articles 44, 46 paragraph (c), 47 and 48 of the Central Bank Charter, regarding the powers and authority of the Superintendency of Financial and Foreign Exchange Entities, is reestablished in terms of the text approved as Article 1 of Law No. 24,144.
|
§
|
A temporary regulation was introduced, not applicable any longer, authorizing the Central Bank to: (i) provide assistance to financial institutions with liquidity and/or solvency problems, including those undergoing restructuring by resolution of the Central Bank in terms of Article 35 bis of the Financial Institutions Law; and (ii) authorize the integration of the reserve requirements for financial institutions with financial assets other than cash, in the form of sight deposits with the Central Bank or in foreign currency accounts as per Article 28 of the Central Bank Charter.
|
§
|
Reserves exceeding 100% of the monetary base may be allocated to the payment of obligations assumed with international financial entities.
|
§
|
financial statements and other quarterly and annual reports reflecting in consolidated form the transactions of the financial entity, its local and foreign branches and its local and foreign “significant subsidiaries” (as defined below); and
|
§
|
financial statements and other quarterly and annual reports reflecting in consolidated form the transactions of the financial entity, its local and foreign branches, its local and foreign “significant subsidiaries” (as defined below) or entities or companies in the country and abroad where the financial entity has possession or control over more than 12.5% of the shares entitled to vote, in those cases determined by the Superintendency of Financial and Foreign Exchange Institutions, and those companies not subject to consolidated supervision which the financial entity may have chosen to include with the prior approval of the Superintendency of Financial and Foreign Exchange Institutions.
|
§
|
A “subsidiary” of a local financial entity is any local or foreign financial entity or company in any of the following positions:
|
(1)
|
the local financial entity has direct or indirect control of more than 50% of the total votes of any instrument with voting rights in such entity or company,
|
(2)
|
the local financial entity has direct or indirect control as to determining by itself the composition of most of the management bodies of such entity or company, or
|
(3)
|
a majority of the directors of the local financial entity is also a majority of the directors of such entity or company.
|
§
|
A “significant subsidiary” is any subsidiary:
|
(1)
|
whose assets, possible commitments and other transactions recorded in memorandum accounts represent 10% or more of the RPC of the local financial entity and its subsidiaries abroad; or
|
(2)
|
whose results of operations corresponding to the current fiscal year represent 10% or more of the results of operations for the current fiscal year of the local financial entity and its subsidiaries abroad.
|
(i)
|
cash held in treasury and in custody at other banks. This item cannot exceed 67% calculated on total items included;
|
(ii)
|
current accounts in Pesos of the financial entities with the Central Bank;
|
(iii)
|
minimum cash accounts of the financial entities with the Central Bank, denominated in U.S. dollars or other foreign currencies;
|
(iv)
|
special guarantee accounts in favor of electronic clearing houses;
|
(v)
|
current accounts of non banking financial institutions;
|
(vi)
|
cash in transit and in value carriers. This item cannot exceed 67% calculated on total items included;
|
(vii)
|
special current accounts (opened in the Central Bank) in connection with the attention of pension benefits; and
|
(viii)
|
minimum cash account of public securities and instruments issued by the Central Bank, at market value and of the same type.
|
Type of Account
|
From
Dec 2011
|
|||
Current accounts and sight accounts open in Credit Unions
|
19 | % | ||
Other demand deposits, basic account and universal free account
|
||||
In pesos
|
19 | % | ||
In foreign currency
|
20 | % | ||
Savings accounts
|
||||
In pesos
|
19 | % | ||
In foreign currency
|
20 | % | ||
Unused balances from current account advances effected
|
19 | % | ||
Current accounts of financial institutions (1)
|
100 | % | ||
Fixed-term deposits, bonds for acceptances (including liabilities for the sale or assignment of credits to subjects other than financial institutions), reverse repurchases, bonds and stock-exchange reverse swaps, investments at constant term, with advanced cancellation or renewal option (2):
|
||||
In pesos
|
||||
Up to 29 days
|
14 | % | ||
From 30 to 59 days
|
11 | % | ||
From 60 to 89 days
|
7 | % | ||
From 90 to 179 days
|
2 | % | ||
From 180 to 365 days
|
0 | % | ||
In foreign currency
|
||||
Up to 29 days
|
20 | % | ||
From 30 to 59 days
|
15 | % | ||
From 60 to 89 days
|
10 | % | ||
From 90 to 179 days
|
5 | % | ||
From 180 to 365 days
|
2 | % | ||
More than 365 days
|
0 | % | ||
Bonds for foreign financial lines
|
0 | % | ||
Debt securities (including corporate bonds)
|
||||
a) Debt issued as of January 1, 2002, including those from restructured bonds, as per their residual term:
|
||||
In pesos
|
||||
Up to 29 days
|
14 | % | ||
From 30 to 59
|
11 | % | ||
From 60 to 89 days
|
7 | % | ||
From 90 to 179 days
|
2 | % | ||
From 180 to 365 days
|
0 | % |
Type of Account
|
From
Dec 2011
|
|||
In foreign currency
|
||||
Up to 29 days
|
20 | % | ||
From 30 to 59
|
15 | % | ||
From 60 to 89 days
|
10 | % | ||
From 90 to 179 days
|
5 | % | ||
From 180 to 365 days
|
2 | % | ||
More than 365 days
|
0 | % | ||
b) Others
|
0 | % | ||
Bonds with the Trust Fund for Assistance to Financial and Insurance Institutions
|
0 | % | ||
Sight and term deposits made by judicial order with funds originated in legal actions currently under course and their immobilized balances
|
||||
In pesos
|
10 | % | ||
In foreign currency
|
10 | % | ||
Mutual Funds deposits (except mutual funds sight deposits made according to CNV rules)
|
||||
In pesos
|
19 | % | ||
In foreign currency
|
20 | % | ||
Special deposits related to funds revenues from abroad – Decree No. 616/05
|
100 | % | ||
Deposits and other demand obligations in pesos, whose return exceeds 15% BADLAR rate of private financial institutions’ average
|
100 | % | ||
Term investments instrumented by nominative non-transferable certificates in pesos corresponding to public sector security holders, entitled to exercise the prepayment option within a term not greater than 30 days after constitution thereof
|
16 | % |
(1)
|
Computable for payment of their Minimum Required Reserves.
|
(2)
|
Except term deposits made by judicial order with funds originated in legal actions currently under course and their immobilized balances, mutual funds term deposits, special deposits related to funds revenues from abroad (Decree No. 616/05) and term investments instrumented by nominative non-transferable certificates in pesos.
|
§
|
100% reserve for any defect in the application of resources in foreign currency for the month in respect to which the calculation of the minimum cash requirement is made. See “Item 4. Information on the Company—The Argentine Banking System and its Regulatory Framework—Lending Capacity Provided by Deposits in Foreign Currency”.
|
(1)
|
Prefinancing and financing of exports, carried out directly or through agents, consignees or other proxies acting for the account and order of the owner of the goods. It also comprises operations to finance suppliers of services to be directly exported. This comprises those operations for the purpose of financing working capital and/or the acquisition of objects related to the production of goods to be exported, provided the flow of income in foreign currency deriving from such exports is sufficient to settle such transactions.
|
(2)
|
Financing transactions granted to goods, producers or processors, provided they have firm sale contracts for the goods to be produced for an exporter, with prices fixed or to be fixed in a foreign currency (regardless of the currency in which the transaction is settled) and involving fungible goods with a regular and customary quotation in foreign currency which is widely known and easily accessed by the public in local or international markets. In all cases of term purchase and sale agreements for a price to be fixed, such price must be in direct relation with the price of such products in local markets. It also comprises transactions to finance suppliers of services directly used in the process of exporting goods.
|
(3)
|
Financing transactions for producers of goods to be exported, either in the same condition or as part of other goods, by third-party purchasers, provided they have total pledges or guarantees in foreign currency from such third parties.
|
(4)
|
Financing of investment projects, working capital and/or the acquisition of any kind of goods, including temporary importation of commodities, which may increase or be related to the production of goods for exportation. Even though income from exporter companies does not totally derive from sales abroad, financing may only be allocated if the income flow deriving from exportation is sufficient.
|
(5)
|
Financing to clients from the commercial portfolio and of a commercial nature who receive treatment for their consumption or housing credits –under the provisions of the “Debtors’ Classification” regulations–destined for the importation of capital goods (“BK” according to the Common Nomenclature for the MERCOSUR attached as Annex I to Decree No. 690/02 and other complementary provisions) which will result in an increase in the production of goods destined for domestic consumption. In order to grant such financing, the financial entities must verify that their clients have sufficient paying capacity considering at least two scenarios which contemplate significant exchange rate variations within a term of up to one year and which, in either case, exceed the latest estimate available resulting from the “Market Expectations Survey” published by this institution (in force since December 9, 2005 under Central Bank Communication “A” 4453, and supplementary regulations).
|
(6)
|
Debt securities or certificates of participation in financial trusts -including other collection rights specifically acknowledged in the trust agreement to be constituted within the within the framework of loans established by multilateral credit institutions of which Argentina is a party whose assets under management are loans originated by financial entities under the terms described in points (1) through (3) above and the first paragraph of point (4).
|
(7)
|
Debt securities or certificates of participation in financial trusts, issued in foreign currency and with public offer authorized by the CNV, whose assets under management are documents guaranteed by mutual guarantee companies or by provincial funds created for the same purpose, and admitted by the Central Bank, acquired by the trustee for the purpose of financing transactions under the terms and conditions described in points (1) through (3) above.
|
(8)
|
Financing transactions for purposes other than mentioned in points (1) to (3) above and the first paragraph of point (4), included in the credit program “IDB Loan No. 1192/OC-AR”, without exceeding 10% of the lending capacity.
|
(9)
|
Interfinancing loans (any interfinancing loans granted with such resources must be identified).
|
§
|
make loans in pesos and foreign currency,
|
§
|
receive deposits in pesos and foreign currency,
|
§
|
issue guarantees,
|
§
|
underwrite, place and broker equity and debt securities in the over-the-counter market, subject to the prior approval of the CNV,
|
§
|
conduct transactions in foreign currency,
|
§
|
act as fiduciary, and
|
§
|
issue credit cards.
|
§
|
the prohibition of a bank from pledging its shares,
|
§
|
restriction on incurring any liens upon its properties without prior approval from the Central Bank, and
|
§
|
limitations on transactions with directors or officers, including any company or person related to such directors or officers, on terms more favorable than those normally provided to clients. See “Item 4. Information on the Company—The Argentine Banking System and its Regulatory Framework—Lending and Investment Limits—Related Persons” below in this section.
|
-
|
Pillar 1 provides supervisors with a number of options to quantify capital requirements for credit, operational and market risk, and define which components of an institution’s net worth are eligible to satisfy those requirements.
|
-
|
Pillar 2 describes the process to be followed by institutions to evaluate the sufficiency of their capital in relation to their risk profile.
|
-
|
Pillar 3 establishes minimum information requirements that financial institutions must provide on the adequacy of their capital.
|
§
|
Minimum Capital
|
-
|
Core capital (Tier 1), and
|
-
|
Supplementary capital (Tier 2).
|
-
|
4.5% for common equity (for which the qualifying criteria are more restrictive than for Basel II),
|
-
|
6% for Tier 1 capital, and
|
-
|
8% for total capital.
|
§
|
Capital Conservation Buffer
|
§
|
Countercyclical Capital Buffer
|
§
|
Leverage Ratio
|
§
|
Macroprudential Supervision
|
§
|
Liquidity Coverage Ratio
|
§
|
Net Stable Funding Ratio
|
§
|
Intensive Supervision of Systemically Important Institutions
|
§
|
“Basic Net Worth”, which includes:
|
(1)
|
Capital stock,
|
(2)
|
Capital adjustments,
|
(3)
|
Reserves and irrevocable capital contributions,
|
(4)
|
Unappropriated earnings,
|
(5)
|
Representative instruments of debt, and
|
(6)
|
Third parties’ participations for those corporations subject to a supervision system on a consolidated basis;
|
§
|
Minimum basic capital, and
|
§
|
The sum of minimum capital required for credit risk, market risk, interest rate risk and operational risk.
|
(a)
|
10% of the value of our fixed or illiquid assets;
|
(b)
|
8% of the value of certain categories of financial or liquid assets, net of certain allowances and reserves, multiplied by a coefficient based on the perceived risk of such assets; and
|
(c)
|
8% of certain assets of the non-financial public sector under special valuation criteria determined by the Central Bank.
|
§
|
cash, gold, public securities subject to minimum capital requirements for market risk, and debt instruments issued by the Central Bank were assigned a 0% risk value;
|
§
|
correspondents’ accounts and other accounts at sight with banks of the country and abroad rated as “investment grade” and bonds issued by governments of member countries of the Organization of Economic Cooperation and Development (“OECD”), which are internationally rated “AA” or higher, were assigned a 20% risk value;
|
§
|
debt instruments issued by Argentine provinces, municipalities or other public sector agencies, which are not expressly guaranteed by the national government were assigned a 100% risk value;
|
§
|
loans to the non-financial private sector with preferred guarantees in cash, gold or bonds on fixed-term deposit certificates issued by the creditor entity itself and with automatic reimbursements for export transactions corresponding to multilateral and bilateral foreign trade agreements were assigned a 0% risk value;
|
§
|
loans to the non-financial private sector with preferred guarantees granted by mutual guarantee companies registered with the Central Bank, export credit insurance policies and documentary credits in use were assigned a 50% risk value;
|
§
|
purchase money, home mortgage loans and automobile-backed loans were assigned a 50% risk value, provided they do not exceed 75% of their appraisal value;
|
§
|
the amount of a loan exceeding 75% of their appraisal value and most unsecured loans and debt instruments as well as holdings of listed stock were assigned a 100% risk value; and
|
§
|
loans to the non-financial public sector not guaranteed by the national government were assigned a 100% risk value.
|
Period
|
ALFA1
|
|
January / December 2007
|
0.50
|
|
January / December 2008
|
0.75
|
|
From January 2009
|
1.00
|
§
|
debt securities issued by the National Government and instruments of monetary regulation of the BCRA included in the list of volatilities recorded at fair value and quotas in common investment funds that invest in those securities; and
|
§
|
shares of capital stock of Argentine companies included in the Argentine stock market index (or “Merval Index”) and quotas in common investment funds that invest in those shares.
|
§
|
debt securities (including positions held in debt securities issued by foreign companies, sovereign securities issued by foreign governments and quotas in common investment funds; provided that, such securities and/or holdings are usually listed on a national securities exchange); and
|
§
|
shares (including positions held in shares of capital stock of foreign companies, quotas in common investment funds; provided that, such securities, holdings and/or indexes are usually listed on a national securities exchange). If any of the assets mentioned in this clause are listed in different stock markets in diverse foreign currencies, the listing price and foreign currency of the most representative stock market (in terms of the volume of transactions in the relevant asset) will be taken into consideration for purposes of these new capital requirements.
|
§
|
temporary limitation on the amount of deposits a bank may accept;
|
§
|
institutional restrictions as per expansion capacity and dividends distribution in cash;
|
§
|
revocation of the license of a bank to conduct foreign exchange transactions; and, in some extreme cases;
|
§
|
revocation of the license of a bank to operate.
|
§
|
internal fraud;
|
§
|
external fraud;
|
§
|
employment practices and workplace safety;
|
§
|
clients, products and business practices;
|
§
|
damage to physical assets, resulting from acts of terrorism and vandalism, earthquakes, fire or flood;
|
§
|
business disruption and system failures; and
|
§
|
execution, delivery and process management.
|
1.
|
Identification and assessment: the identification process should consider both internal and external factors that could adversely affect the development of the processes and projections done according to the business strategies defined by the bank.
|
2.
|
Monitoring: an effective monitoring process is required, to quickly detect and correct deficiencies in the policies, processes and procedures for managing Operational Risk. In addition, the development of indicators should be analysed to detect deficiencies and undertake corrective actions.
|
3.
|
Control and mitigation: financial entities must have an appropriate control system to ensure compliance with internal policies, and they should re-examine control and operational risk reduction strategies with at least an annual frequency in order to make the necessary adjustments.
|
|
December 31, 2011
|
|||
|
(in millions of Pesos, except percentages)
|
|||
Basel Accord
|
||||
Total capital
|
3,813.6 | |||
Risk-weighted assets
|
32,649.6 | |||
Ratio of total capital to risk-weighted assets (1)
|
11.7% | |||
Required capital
|
2,612.0 | |||
Excess capital
|
1,201.6 | |||
Central Bank’s Rules (2)
|
||||
Total capital
|
3,684.1 | |||
Risk and Fixed weighted assets
|
24,466.8 | |||
Ratio of total capital to risk-weighted assets (3)
|
15.1% | |||
Required capital (4)
|
2,432.8 | |||
Excess capital
|
1,251.3 |
(1)
|
Under the risk-based capital requirements of the Basel Accord, the Bank would be required to maintain a minimum ratio of total capital to risk-weighted assets of 8%.
|
(2)
|
Calculated on a consolidated basis in accordance with Central Bank requirements.
|
(3)
|
Under the risk-based capital requirements of the Central Bank, we are required to maintain a minimum ratio of total capital to risk and fixed weighted assets of 10% and 8% (depending upon the nature of the asset) by application of an alpha correction factor equal to 0.05 over financing to the national public sector granted up to May 31, 2003.
|
(4)
|
The Bank must maintain a surplus of minimum paid-in capital amounting to at least Ps.90.7 million, equivalent to 0.25% of the amount of values under custody for securities representing investments from pension funds, as well as in connection with its function as register of mortgage-backed bonds, invested in national public securities and other destinations authorized by the BCRA and guaranteed in favor of the given entity.
|
§
|
Fair value: includes government securities and monetary regulation instruments contemplated in the monthly list of volatilities or present value published by the BCRA, as well as debt instruments of trusts whose underlying assets are constituted by these assets.
|
§
|
Cost value increased according to their internal rate of return: comprising (i) government bonds received under the provisions of Articles 28 and 29 of Decree No. 905/02 and in Chapter II of Law No. 25,796, unless at February 28, 2011 and subsequently the entity decides to value them at market value; (ii) federal governmental loans issued by the Government under Decree No. 1387/01 and notes with similar conditions to the issuance of government securities; (iii) debt instruments (which have not been acquired in the secondary market) signed by the entities as of January 1, 2009 through an exchange, or payment in exchange for other debt instruments expressly admitted, unless at February 28, 2011 and subsequently the entity decides to value them at market value; (iv) monetary regulation instruments of the BCRA which are not covered in the list of volatilities published by that institution; (v) securities which are not covered in the list of volatilities published by the BCRA, not included in point (iii) above; (vi) public sector financing existing at March 31, 2003 (except securities and guarantees loans); (vii) other public sector financing after March 31, 2003; (viii) debt instruments of trusts whose underlying assets are constituted by one of the instruments listed in the preceding points; and (ix) securities that can be valued at fair value and the entity decides to value at cost increased according to their internal rate of return.
|
§
|
the creation of a registry of auditors;
|
§
|
the implementation of strict accounting procedures to be observed by auditors;
|
§
|
the payment of a guarantee of compliance by such auditors so as to induce them to fully comply with the procedures; and
|
§
|
the creation of a Central Bank division in charge of verifying the observance of the established regulations by the external auditors.
|
§
|
15% of the equivalent in dollars of their Bank’s RPC, as registered at the close of the month that is two months prior to the relevant month plus the amount that results from multiplying 5% of the total amount transacted with clients in the purchase and sale of foreign currencies in the month that is two months prior to the relevant month, and 2% of the total deposits at sight and at term locally constituted and payable in foreign bank notes (excluding deposits under custody), as registered at the close of the calendar month that is two months prior to the relevant month; and
|
§
|
a minimum equivalent to U.S.$8,000,000, which may be increased according to the number of establishments devoted to foreign exchange transactions and by operations with holdings in foreign currencies other than the dollar or the Euro and other permitted transactions. BBVA Francés maintains the limit indicated in the immediately preceding bullet point.
|
§
|
gold and foreign currency resources available in the country;
|
§
|
gold and foreign currency resources available abroad;
|
§
|
foreign public and private securities;
|
§
|
cash or future foreign-exchange purchases pending settlement;
|
§
|
cash or future public and private security purchases pending settlement;
|
§
|
cash or future foreign-exchange sales pending settlement;
|
§
|
cash or future public and private security sales pending settlement; and
|
§
|
foreign-exchange holdings in the form of deposits and investments at any term in banks from abroad and all kinds of liquid investments abroad.
|
§
|
Negative global net position (liabilities exceeding assets), may not exceed 15% of the RPC, with the possibility of an additional 15% to the extent that the entity at the same time has recorded: (a) medium and long term financings in pesos to non-financial private sector under certain conditions for an amount equivalent to the increase of such limit and (b) an increase in the minimum capital requirement equivalent to the increase of the general limit of the global negative net position in foreign currency.
|
§
|
Positive global net position (assets exceeding liabilities), is the lesser of the following:
|
(1)
|
30% of the RPC, and
|
(2)
|
Own liquid resources.
|
§
|
Shares of local companies.
|
§
|
Various credits (including the net balance favorable to the given entity corresponding to the Tax on minimum presumed income or “TOMPI”).
|
§
|
Property for own use.
|
§
|
Various property items.
|
§
|
Organization and development expenses, undeductible of Basic Net Worth.
|
§
|
Goodwill.
|
§
|
Financing transactions for related clients.
|
§
|
any individual or entity controlling a bank, controlled by a bank or affiliated with a bank, as defined by the Central Bank;
|
§
|
any entity that both controls the bank and has common directors to the extent such directors, voting together, will constitute a simple majority of the boards of directors of the bank and such entity; or
|
§
|
in certain exceptional cases, any individual or entity that the Central Bank has determined to be in a position to adversely affect the financial condition of the bank.
|
§
|
holding or controlling, directly or indirectly, 25% of the voting stock of the controlled entity;
|
§
|
having held 50% or more of the voting stock of the controlled entity at the time of the last election of such entity’s board of directors;
|
§
|
any type of equity holding that creates the ability to vote or direct the vote so as to prevail on any issue considered at the controlled entity’s general shareholders’ meeting or meeting of the board of directors; or
|
§
|
when a person is determined by the board of directors of the Central Bank to be exercising any influence, directly or indirectly, on the management or policies of the bank.
|
§
|
Entities with a CAMEL rating of 1 to 3:
|
(i)
|
For each related client:
|
1.
|
General:
|
a)
|
Transactions with guarantee: 10% RPC
|
b)
|
Transactions without guarantee: 5% RPC
|
2.
|
Complementary services entities or companies subject to consolidation:
|
Granting financial entity
|
Rating of the recipient
|
General
|
Additional
|
|||||
Tranche I
|
Tranche II
|
Tranche III
|
||||||
with rating 1, 2 or 3
|
1
|
100%
|
25% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
25% in the event of financing transactions with guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
—
|
|||
2
|
20%
|
25% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
25% if the financing transactions involve guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
55% for financing transactions for an agreed initial term of up to 180 days.
|
||||
3
|
10%
|
20% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
20% if the financing transactions involve guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
—
|
||||
4 or 5
|
10%
|
—
|
—
|
—
|
||||
with rating 4 or 5
|
1 to 5
|
0%
|
—
|
—
|
—
|
Complementary services companies
|
Rating of granting entity
|
General
|
Additional
|
|||||
Tranche I
|
Tranche II
|
Tranche III
|
||||||
stock exchange agent or other broker, leasing, factoring or temporary acquisition of participation in companies to sell the holdings afterwards
|
1
|
100%
|
—
|
—
|
—
|
|||
2
|
10%
|
90% for financing transactions for an agreed initial term of up to 180 days.
|
—
|
—
|
||||
3
|
10%
|
—
|
—
|
—
|
||||
4 or 5
|
0%
|
—
|
—
|
—
|
||||
credit card issuers
|
1
|
100%
|
25% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
25% in the event of financing transactions with guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
—
|
|||
2
|
20%
|
25% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
25% in the event of financing transactions with guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
55% for financing transactions for an agreed initial term of up to 180 days.
|
||||
3
|
10%
|
20% earmarked by the financial institution acquiring assistance to finance transactions that comply with certain conditions.
|
20% in the event of financing transactions with guarantee or assignment of credit portfolio where assignor is responsible provided the requirements of Tranche I are met.
|
—
|
||||
4 or 5
|
0%
|
—
|
—
|
—
|
3.
|
Investment grade bank from abroad: 10% RPC.
|
(ii)
|
For all linked clients, excepting financial entities or complementary services companies, subject to consolidation: 20%.
|
(iii)
|
Total of financing transactions for linked clients plus total of frozen assets, excluding complementary leasing, factoring and credit card issuing services: 100%.
|
§
|
Entities with a CAMEL rating of 4 or 5: are prohibited from lending to or investing in Related Person, except in the following situations and under the following limitations:
|
(i)
|
foreign financial institutions which are subsidiaries of the domestic institution subject to oversight on a consolidated basis (Communication “A” 2829 of the Central Bank);
|
(ii)
|
foreign banks controlling domestic financial institutions or their branches or subsidiaries abroad (Communication “A” 2829 of the Central Bank);
|
(iii)
|
when the Related Person is a company that has been fully consolidated by the bank and is exclusively involved in certain activities that are complementary to financial intermediation; and
|
(iv)
|
foreign financial entities not subject to consolidated supervision or when the Related Person is a company expressly referred to as an exempted entity under the limitation establish by the Article 28 inc. a) of Law No. 21,726 and only in respect of equity investments.
|
§
|
the national government;
|
§
|
provincial governments;
|
§
|
the city of Buenos Aires;
|
§
|
municipal governments;
|
§
|
central administration, ministries, departments and their decentralized and autonomous entities and other official bodies; and
|
§
|
trusts and trust funds whose final beneficiary or trustee, as determined by the respective contracts or applicable regulations, belongs to the non-financial public sector, including other trusts or trust funds where such sector is the final destination of the financed works.
|
§
|
do not require resources from the state budget whether national, municipal, provincial or belonging to the Autonomous City of Buenos Aires for such items as transfers, capital contributions (excepting those corresponding to their incorporation) or
|
§
|
maintain technical and professional independence of their managerial bodies for implementing corporate policies;
|
§
|
trade their goods and/or services at market prices;
|
§
|
possess fixed assets; the use of which in the activity is not subject to any condition from their shareholders; and
|
§
|
do not distribute of dividends among their shareholders.
|
§
|
Their creation must have been ordered by a national law or decree by the Federal Executive;
|
§
|
They must create a stock corporation according to the rules of Chapter II, Sections V and VI of the Law of Corporations Number 19,550 (stock corporations and corporations with majority state participation);
|
§
|
They must have majority National State participation, be it direct or indirect, according to the provisions of said Law;
|
§
|
They must be the purpose of developing of activities for oil reservoirs, its transportation, distribution, commercialization and industrialization or the generation and/or sale of electric energy.
|
§
|
They must be subject to internal and external control by the National Public Sector in terms of the Financial Administration Law and the National Public Sector’s Control System Law No. 24,156.
|
§
|
for transactions in the national public sector: 50%, which includes loans granted to governments from other jurisdictions guaranteed by their participation in the federal tax collection system;
|
§
|
for all transactions granted to each provincial jurisdiction and the City of Buenos Aires (excluding those comprised in the previous paragraph which must be guaranteed by the collection of local taxes or by pledge or implemented under leasing agreements): 10%. This limit includes financing operations granted to municipal governments in the respective jurisdiction and guaranteed by their participation in the collection of provincial taxes;
|
§
|
for all transactions with each municipal jurisdiction, which must be guaranteed by the collection of local taxes or by pledge, or implemented under leasing agreements: 3%. Total financing granted to the above-mentioned jurisdictions (excluding those mentioned in the previous paragraph): 15%; and
|
§
|
for all transactions referred to in the first three points above: 75%.
|
a)
|
From transactions existing prior to March 31, 2003;
|
b)
|
From increases in the transactions mentioned in point a) above by the receipt of:
|
(i)
|
compensation bonds or promissory notes as per Articles 28 and 29 of Decree No. 905/02, or of those eventually received by application of other specific provisions after that date, and deriving from Law No. 25,561 of Public Emergency and Foreign Exchange Reform;
|
(ii)
|
bonds received within the framework of the Mortgage Refinancing System established by Law No. 25,798;
|
(iii)
|
bonds issued in terms of Decree No. 1735/04 which may be received within the framework of the Argentine debt restructuring, in exchange for eligible securities pre-existing as at March 31, 2003; or
|
(iv)
|
public debt instruments of the Argentine government subscribed by financial entities through swap, payment or exchange since January 1, 2009, within the framework of specific regulations issued by the relevant authority; or
|
c)
|
From new transactions if excesses are registered in accordance with points a) and b) above, provided that they originate exclusively in the granting of financing to the non-financial public sector with funds originated in amortization services of the aforementioned debt. These transactions include the amounts that apply to the primary subscription of government securities with an anticipation of up to 180 days to their due date. This deadline was extended by 180 days to operations disposed as of January 1, 2009 under the specific provisions of the competent authority.
|
d)
|
In addition a margin has been admitted for those entities exceeding the observance of the limits (due to the above-mentioned preexisting operations) to carry out the purchase and sale of, or financial transactions with, national public securities responsible for applying minimum capital requirements for market risk, that is to say, with such volatility as informed by the Central Bank, provided it does not exceed the equivalent to 25% of the RPC. Such limit will be constituted with the allocation, as from the date referred to above, of any of the following: i) the realization of non-financial public sector assets in the portfolio which are computable for determining such limits, ii) the allocation at market value of national public securities holdings, and iii) funds received for amortization services corresponding to the public sector assets involved.
|
e)
|
From participations greater than 50% by the Government as trustee in financial trusts to finance the construction area as provided for in subsection i), paragraph 3.2.4 of the “Financing to Non Financial Public Sector” rules.
|
§
|
evidences a cash reserve deficiency,
|
§
|
has not satisfied certain technical standards,
|
§
|
has not maintained minimum net worth standards, or
|
§
|
is deemed by the Central Bank to have impaired solvency or liquidity;
|
§
|
deposits made by other financial institutions, including certificates of deposit acquired by secondary trading;
|
§
|
deposits made by persons directly or indirectly related to the financial institution;
|
§
|
deposits acquired by means of offering incentives, including deposits under the El Libretón program;
|
§
|
certificates of deposit of securities, acceptances or guarantees;
|
§
|
transferable certificates of deposit whose ownership has been acquired by way of endorsement.
|
§
|
fixed amounts from deposits and other excluded transactions.
|
§
|
Valuation Criteria
|
(1)
|
Tax effects
|
(2)
|
Derivative financial instruments
|
(3)
|
Consolidar AFJP S.A. building acquisition
|
(4)
|
Consolidar Retiro. S.A. building acquisition
|
§
|
Valuation criteria and aspects related to disclosure of information
|
a)
|
Arising from the application of the accounting standards laid down by the National Superintendence of Insurance (S.S.N. for its Spanish acronym) and the professional accounting standards in force in Argentina:
|
(i)
|
Federal Government secured loans - Decree No. 1387/01 held by Consolidar Cía. de Seguros de Retiro S.A amounting to 693,449 as of December 31, 2010 were valued in accordance with the regulations of the S.S.N.
|
(ii)
|
The portfolio of Government securities in investment accounts held by Consolidar Cía. de Seguros de Retiro S.A as of December 31, 2010 was booked in accordance with the standards of the S.S.N.
|
(iii)
|
In the Other Liabilities caption, Consolidar Cía. de Seguros de Retiro S.A included, as of December 31, 2010, the balance from the technical commitments incurred with the insured. The abovementioned caption included Ps.7,913, corresponding to the regularizing account called “Unaccrued secured loans valuation difference” which, as established by the S.S.N., would be settled through subsequent accrual of the regularizing accounts of secured loans. In accordance with professional accounting standards currently in force in Argentina, such amount should have been recorded as a loss for the year ended December 31, 2003.
|
(iv)
|
The items included under the captions “Other Subsidiaries’ assets” and “Other Subsidiaries’ liabilities” were valued in accordance with the regulations of the S.S.N.
|
(v)
|
Consolidar Cía. de Seguros de Retiro S.A.: the Company included the balance from the technical commitments incurred with the insured in the Other Liabilities caption. The abovementioned caption includes 7,913 and 8,993 at December 31, 2010 and 2009, respectively, corresponding to the regularizing account called “Unaccrued secured loans valuation difference” which, as established by the S.S.N., will be settled through subsequent accrual of the regularizing accounts of secured loans. In accordance with professional accounting standards currently in force in the City of Buenos Aires, such amount should have been recorded as a loss for the year ended December 31, 2003.
|
(vi)
|
Upon booking the effects of the interest rate swaps as of December 31, 2009, Consolidar Cía. de Seguros de Retiro S.A. abided by the rules established by the S.S.N. Had the currently applicable professional accounting standards been applied, the shareholders’ equity in the consolidated financial statements would have been increased by 245 as of December 31, 2009.
|
b)
|
Arising from the application of the accounting standards laid down by the BCRA and the professional accounting standards in force in Argentina:
|
(i)
|
Consolidar Cía. de Seguros de Retiro S.A.: as of December 31, 2010, a part of its portfolio of instruments issued by the BCRA has been recorded in investment accounts, and they have been valued as per Communication “A” 4698 of the BCRA. The net difference with the market values as of December 31, 2010 and 2009 amounted to Ps.1,728 (income) and 7,435 (income), respectively.
|
(ii)
|
The commissions paid by PSA Finance Argentina Cía. Financiera S.A. to dealers for granting financing to companies and to the public in general in connection with purchases and sales of automobiles, which in accordance with the rules established by the BCRA are charged to the Income Statement, should be accrued throughout the duration of the loans generated by said dealers in accordance with currently applicable professional accounting standards. Had this criterion
|
(iii)
|
The Bank has not made disclosures required by professional accounting standards in force in Argentina on discontinued operations or discontinuation in relation to the process of liquidating its subsidiary Consolidar A.F.J.P. S.A. (undergoing liquidation proceedings).
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Interest on cash and due from banks
|
2 | 13 | 29 | |||||||||
Interest on loans to the financial sector
|
136,903 | 99,820 | 203,089 | |||||||||
Interest on overdraft
|
420,127 | 301,832 | 366,655 | |||||||||
Interest on loans with privileged guarantees
|
318,584 | 216,412 | 213,426 | |||||||||
Interest on credit card loans
|
361,658 | 229,657 | 182,231 | |||||||||
Interest on other loans
|
1,455,611 | 1,153,528 | 996,762 | |||||||||
Net income from government and private securities
|
493,185 | 1,471,135 | 1,042,950 | |||||||||
Net income from options
|
404 | 4,494 | — | |||||||||
Interest from other receivables from financial transactions
|
31,725 | 13,249 | 1,322 | |||||||||
Indexation by benchmark stabilization coefficient (CER)
|
96,873 | 9,117 | 11,017 | |||||||||
Other
|
499,613 | 343,414 | 542,722 | |||||||||
Total
|
3,814,685 | 3,842,671 | 3,560,203 |
December 31, 2011
vs.
December 31, 2010
Increase (Decrease)
|
December 31, 2010
vs.
December 31, 2009
Increase (Decrease)
|
|||||||
Financial income due to change in:
|
(in thousands of pesos)
|
(in thousands of pesos)
|
||||||
the volume of interest-earning assets
|
598,341 | 368,956 | ||||||
average nominal rates of interest-earning assets
|
(617,150 | ) | (110,459 | ) | ||||
the volume and average nominal rates of interest-earning assets
|
1,984 | (958 | ) | |||||
Net Change
|
(16,825 | ) | 257,539 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos)
|
||||||||||||
Interest on checking accounts
|
5,298 | 21,719 | ||||||||||
Interest on savings deposits
|
9,183 | 6,670 | 10,002 | |||||||||
Interest on time deposit (1)
|
1,045,268 | 610,376 | 746,267 | |||||||||
Interest from other liabilities from financial transactions
|
34,054 | 6,424 | 9,252 | |||||||||
Indexation by benchmark stabilization coefficient (CER)
|
168 | 240 | 375 | |||||||||
Net expense from options
|
— | — | 2 | |||||||||
Other
|
256,730 | 188,815 | 226,342 | |||||||||
Total
|
1,345,403 | 817,823 | 1,013,959 |
(1)
|
Includes interest on “CEDROS”.
|
December 31, 2011
vs.
December 31, 2010
Increase / (Decrease)
|
December 31, 2010
vs.
December 31, 2009
Increase / (Decrease)
|
|||||||
Financial expense due to changes in:
|
(in thousands of pesos)
|
(in thousands of pesos)
|
||||||
the volume of interest-bearing liabilities
|
203,538 | 29,849 | ||||||
average nominal rates of interest-bearing liabilities
|
287,880 | (265,974 | ) | |||||
the volume and average nominal rates of interest-bearing liabilities
|
244 | 683 | ||||||
Net Change
|
491,662 | (235,442 | ) |
|
December 31, 2011
vs.
December 31, 2010
Increase (Decrease)
|
December 31, 2010
vs.
December 31, 2009
Increase (Decrease)
|
||||||
Gross Intermediation Margin due to changes in:
|
(in thousands of pesos)
|
(in thousands of pesos)
|
||||||
the volume of interest-earning assets and interest-bearing liabilities
|
394,803 | 339,107 | ||||||
average nominal rates of interest-earning assets and interest-bearing liabilities
|
(905,030 | ) | 155,515 | |||||
the volume and average nominal rates of interest-earning assets and interest-bearing liabilities
|
1,740 | (1,641 | ) | |||||
Net Change
|
(508,487 | ) | 492,981 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
|
(in thousands of pesos)
|
|||||||||||
Service charges on deposit accounts
|
554,365 | 439,817 | 380,812 | |||||||||
Credit card operations
|
578,716 | 402,328 | 289,969 | |||||||||
Other fees related to foreign trade
|
87,604 | 71,174 | 67,648 | |||||||||
Credit-related fees
|
185,854 | 117,747 | 85,352 | |||||||||
Fund management fees
|
32,560 | 26,797 | 16,364 | |||||||||
Capital markets and securities activities
|
24,617 | 27,014 | 11,305 | |||||||||
Rental of safety deposit boxes
|
75,798 | 53,482 | 34,997 | |||||||||
Fees related to guarantees
|
1,394 | 1,214 | 1,414 | |||||||||
Insurance agency
|
138,524 | 133,843 | 116,202 | |||||||||
Other
|
278,157 | 211,430 | 198,942 | |||||||||
Total
|
1,957,589 | 1,484,846 | 1,203,005 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
|
(in thousands of pesos)
|
|||||||||||
Personnel expenses
|
1,195,631 | 1,057,202 | 875,452 | |||||||||
Fees and external administrative services
|
83,213 | 126,703 | 82,346 | |||||||||
Taxes
|
176,353 | 130,768 | 103,613 | |||||||||
Utilities
|
41,221 | 34,940 | 28,675 | |||||||||
Depreciation of Bank property and equipment
|
65,070 | 57,737 | 49,244 | |||||||||
Credit card advertising and issuance expense
|
130,349 | 93,379 | 74,396 | |||||||||
Courier transportation
|
42,076 | 33,947 | 25,049 | |||||||||
Advertising and promotion (excluding credit card advertising)
|
108,965 | 90,215 | 55,957 | |||||||||
Maintenance and repairs
|
97,602 | 69,351 | 59,694 | |||||||||
Business travel and development
|
14,447 | 14,877 | 11,381 | |||||||||
Staff welfare
|
33,328 | 26,599 | 24,433 | |||||||||
Amortization of organization and development expenses
|
28,937 | 23,858 | 18,520 | |||||||||
Rentals
|
101,441 | 78,646 | 69,531 | |||||||||
Other
|
224,567 | 181,156 | 155,608 | |||||||||
Total
|
2,343,200 | 2,019,378 | 1,633,899 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||
Net Income before income tax and minority interest
|
1,566,397 | 1,545,176 | 1,104,930 | |||||||||
Statutory tax rate
|
35% | 35% | 35% | |||||||||
Income tax (at statutory rate)
|
548,239 | 540,812 | 386,726 | |||||||||
Deferred tax
|
(16,555 | ) | (87,990 | ) | (42,052 | ) | ||||||
Tax-exempt income
|
(66,222 | ) | (42,693 | ) | (19,276 | ) | ||||||
Allowances on deferred tax assets
|
16,555 | 87,990 | 42,052 | |||||||||
Other
|
70,341 | (182,278 | ) | 4,128 | ||||||||
Income tax (gain) / loss
|
552,358 | 315,841 | 371,578 | |||||||||
(Allowances)
|
— | — | — | |||||||||
Income tax (gain) / loss, net
|
552,358 | 315,841 | 371,578 | |||||||||
Actual income tax
|
(552,358 | ) | (315,841 | ) | (371,578 | ) | ||||||
Deferred income tax (1)
|
— | — | — |
(1)
|
Included in Other Income and Income Tax.
|
Remaining Maturity or Earliest Repricing Intervals at December 31, 2011
|
||||||||||||||||||||||||
0-3 months
|
3 Months-
One Year
|
1-5 Years
|
5-10 Years
|
Over 10 Years
|
Total
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Interest-earning assets
|
||||||||||||||||||||||||
Interest earning deposits in banks
|
4,212,733 | — | — | — | — | 4,212,733 | ||||||||||||||||||
Government securities
|
3,988,536 | 588,337 | 438,945 | 514,234 | 12,804 | 5,542,856 | ||||||||||||||||||
Corporate bonds
|
13,425 | — | 81 | — | — | 13,506 | ||||||||||||||||||
Loans (1)
|
10,589,075 | 6,241,415 | 6,137,788 | 207,989 | 144,591 | 23,320,858 | ||||||||||||||||||
Total
|
18,803,769 | 6,829,752 | 6,576,814 | 722,223 | 157,395 | 33,089,953 | ||||||||||||||||||
Interest-bearing liabilities
|
||||||||||||||||||||||||
Deposits
|
19,288,092 | 1,097,276 | 3,728 | — | — | 20,389,096 | ||||||||||||||||||
Corporate bonds
|
294,393 | — | — | — | — | 294,393 | ||||||||||||||||||
Due to other banks
|
1,543,659 | 525,410 | 502,688 | — | — | 2,571,757 | ||||||||||||||||||
Total
|
21,126,144 | 1,622,686 | 506,416 | — | — | 23,255,246 | ||||||||||||||||||
Asset/liability gap
|
(2,322,375 | ) | 5,207,066 | 6,070,389 | 722,223 | 157,395 | 9,834,707 | |||||||||||||||||
Cumulative sensitivity gap
|
(2,322,375 | ) | 2,884,691 | 8,955,089 | 9,677,312 | 9,834,707 | ||||||||||||||||||
Cumulative sensitivity gap as a percentage of total interest-earning assets
|
(7.02 | )% | 8.72 | % | 27.06 | % | 29.25 | % | 29.72 | % |
(1)
|
Loan amounts are stated before deducting the allowance for loan losses. Non-accrual loans are included with loans as interest-earning assets.
|
Remaining Maturity or Earliest Repricing Intervals at December 31, 2011
|
||||||||||||||||||||||||
0-3 months
|
3 Months-
One Year
|
1-5 Years
|
5-10 Years
|
Over 10 Years
|
Total
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Interest-earning assets:
|
|
|
|
|
|
|||||||||||||||||||
Interest earning deposits in banks
|
2,301,849 | — | — | — | — | 2,301,849 | ||||||||||||||||||
Government securities
|
3,978,714 | 588,337 | 438,880 | 514,136 | 12,804 | 5,532,871 | ||||||||||||||||||
Corporate bonds
|
13,403 | — | — | — | — | 13,403 | ||||||||||||||||||
Loans (1)
|
8,574,977 | 4,426,605 | 6,109,037 | 206,033 | 144,591 | 19,461,243 | ||||||||||||||||||
Total
|
14,868,943 | 5,014,942 | 6,547,917 | 720,169 | 157,395 | 27,309,366 | ||||||||||||||||||
Interest-bearing liabilities:
|
||||||||||||||||||||||||
Deposits
|
15,128,872 | 940,569 | 1,384 | — | — | 16,070,825 | ||||||||||||||||||
Corporate bonds
|
294,393 | — | — | — | — | 294,393 | ||||||||||||||||||
Due to other banks
|
780,680 | 113,462 | 501,116 | — | — | 1,395,258 | ||||||||||||||||||
Total
|
16,203,945 | 1,054,031 | 502,500 | — | — | 17,760,476 | ||||||||||||||||||
Asset/liability gap
|
(1,335,002 | ) | 3,960,911 | 6,045,417 | 720,169 | 157,395 | 9,548,890 | |||||||||||||||||
Cumulative sensitivity gap
|
(1,335,002 | ) | 2,625,909 | 8,674,326 | 9,391,495 | 9,548,890 | ||||||||||||||||||
Cumulative sensitivity gap as a percentage of total interest-earning assets
|
(4.89 | )% | 9.62 | % | 31.75 | % | 34.39 | % | 34.97 | % |
(1)
|
Loan amounts are stated before deducting the allowance for loan losses. Non-accrual loans are included with loans as interest-earning assets.
|
Remaining Maturity or Earliest Reprising Intervals at December 31, 2011
|
||||||||||||||||||||||||
0-3 months
|
3 Months-
One Year
|
1-5 Years
|
5-10 Years
|
Over 10 Years
|
Total
|
|||||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Interest-earning assets:
|
||||||||||||||||||||||||
Interest earning deposits in banks
|
1,910,884 | — | — | — | — | 1,910,884 | ||||||||||||||||||
Government securities
|
9,822 | — | 65 | 98 | — | 9,985 | ||||||||||||||||||
Corporate bonds
|
22 | — | 81 | — | — | 103 | ||||||||||||||||||
Loans (1)
|
2,014,098 | 1,814,810 | 28,751 | 1,956 | — | 3,859,615 | ||||||||||||||||||
Total
|
3,934,826 | 1,814,810 | 28,897 | 2,054 | — | 5,780,587 | ||||||||||||||||||
Interest-bearing liabilities:
|
||||||||||||||||||||||||
Deposits
|
4,159,220 | 156,707 | 2,344 | — | — | 4,318,271 | ||||||||||||||||||
Due to other banks
|
762,979 | 411,948 | 1,572 | — | — | 1,176,499 | ||||||||||||||||||
Total
|
4,922,199 | 568,655 | 3,916 | — | — | 5,494,770 | ||||||||||||||||||
Asset/liability gap
|
(987,373 | ) | 1,246,155 | 24,981 | 2,054 | — | 285,817 | |||||||||||||||||
Cumulative sensitivity gap
|
(987,373 | ) | 258,782 | 283,763 | 285,817 | 285,817 | ||||||||||||||||||
Cumulative sensitivity gap as a percentage of total interest-earning assets
|
(17.08 | )% | 4.48 | % | 4.91 | % | 4.94 | % | 4.94 | % |
(1)
|
Loan amounts are stated before deducting the allowance for loan losses. Non-accrual loans are included with loans as interest-earning assets.
|
December 31,
|
||||||||||||
2011 (4)
|
2010 (4)
|
2009 (4)
|
||||||||||
(in thousands of pesos, except ratios and percentages)
|
||||||||||||
Calculation of excess capital (1)
|
||||||||||||
Allocated to assets at risk
|
1,768,090 | 1,293,189 | 951,717 | |||||||||
Allocated to Bank premises and equipment, intangible assets and equity investment assets
|
144,648 | 101,939 | 99,308 | |||||||||
Interest rate risk
|
373,642 | 227,840 | 167,116 | |||||||||
Public sector and securities in investment account
|
73,534 | 286,391 | 267,954 | |||||||||
A- Minimal exigency by adds up risks
|
2,359,914 | 1,909,359 | 1,486,095 | |||||||||
B- Basic exigency for custody of titles of the AFJP and / or agent of record of hypothecary letters
|
400,000 | 1,858,458 | 1,289,541 | |||||||||
Maximum between A and B
|
2,359,914 | 1,909,359 | 1,486,095 | |||||||||
Market risk
|
72,925 | 127,025 | 86,074 | |||||||||
Required minimum capital under Central Bank rules
|
2,432,839 | 2,036,384 | 1,572,169 | |||||||||
Basic net worth
|
2,862,679 | 2,460,605 | 2,222,143 | |||||||||
Complementary net worth
|
880,599 | 1,169,871 | 629,422 | |||||||||
Deductions
|
(141,290 | ) | (119,186 | ) | (116,341 | ) | ||||||
Minority interest
|
82,111 | 179,192 | 213,182 | |||||||||
Total capital under Central Bank rules
|
3,684,099 | 3,690,482 | 2,948,406 | |||||||||
Excess capital
|
1,251,260 | 1,654,098 | 1,376,237 | |||||||||
Selected capital and liquidity ratios
|
||||||||||||
Average stockholders’ equity as a percentage of average total assets (1)(2)
|
10.64% | 11.32% | 9.58% | |||||||||
Total liabilities as a multiple of total stockholders’ equity
|
9.08x | 7.70x | 8.02x | |||||||||
Cash and due from banks as a percentage of total deposits
|
21.78% | 25.34% | 28.66% | |||||||||
Liquid assets as a percentage of total deposits (1)(3)
|
40.86% | 58.71% | 68.01% | |||||||||
Loans as a percentage of total assets
|
58.65% | 51.26% | 44.53% |
(1)
|
See “Item 4. Information on the Company—The Argentine Banking System and Its Regulatory Framework—Capital Adequacy Requirements” for a discussion of the Central Bank’s capital requirements.
|
(2)
|
Average stockholders’ equity and average total assets computed as the average of period-beginning and period-ending balances.
|
(3)
|
At December 31, 2011, 2010 and 2009, “Liquid Assets” includes cash and due from banks and government and private securities.
|
(4)
|
The Bank had to maintain a surplus of minimum paid-in capital amounting to at least Ps.90,689, Ps.92,923 and Ps.64,477 as at December 31, 2011, 2010 and 2009, respectively, equivalent to 0.25% of the amount of values under custody for securities representing investments from pension funds, as well as in connection with its function as registrar of mortgage-backed bonds, invested in national public securities and other destinations authorized by the BCRA and guaranteed in favor of the said Entity.
|
Payments due by Period
(in thousands of pesos)
|
||||||||||||||||||||
Total
|
Less than
1 year
|
1-3
years
|
4-5
years
|
After 5
years
|
||||||||||||||||
Contractual obligations
|
||||||||||||||||||||
Long-term debt
|
3,192,461 | 2,922,228 | 267,800 | 2,433 | — | |||||||||||||||
Operating leases
|
60,072 | 3,378 | 6,497 | 50,197 | — | |||||||||||||||
Total
|
3,252,533 | 2,925,606 | 274,297 | 52,630 | — | |||||||||||||||
Commercial commitments
|
||||||||||||||||||||
Lines of credit
|
21,996 | 21,996 | — | — | — | |||||||||||||||
Foreign trade acceptances
|
98,786 | 98,786 | — | — | — | |||||||||||||||
Standby repurchase obligations
|
1,076,058 | 1,076,058 | — | — | — | |||||||||||||||
Guarantees
|
245,730 | 177,050 | 45,963 | 8,286 | 14,431 | |||||||||||||||
Total
|
1,442,570 | 1,373,890 | 45,963 | 8,286 | 14,431 |
Name
|
Current
Term Ends
|
Position as of
December 31, 2011
|
Date of Birth
|
Present principal occupations outside BBVA Francés
and business experience
|
||||
Jorge Carlos Bledel
(*)
|
December 2011
|
Chairman
|
04/19/1954
|
Present principal occupations: Director, Rombo Compañía Financiera S.A. (“Rombo Compañía Financiera”); Chairman, Inversora Otar S.A. (“Inversora Otar”);
Business experience: Vice Chairman, BBVA Francés Valores Sociedad de Bolsa S.A. (“Francés Valores”); Director, Credilogros Compañía Financiera S.A. (“Credilogros”); Credit Manager, Banco del Interior y Buenos Aires; Business Manager, Corporación Metropolitana de Finanzas; Financial Manager, BBVA Francés; Wholesale Banking Director, BBVA Banco Francés and Retail Banking Director, BBVA Francés.
Mr. Bledel joined the staff of BBVA Francés in 1986 and was first elected to the Board in March 2003.
|
||||
José Manuel Tamayo Pérez
(**)
|
December 2012
|
Vice Chairman
|
05/22/1950
|
Present principal occupation: Director, BBVA Francés.
Business experience: Retail Banking Director, BBVA Francés; Marketing Director España and Portugal, BBVA S.A.
Mr. Tamayo Pérez was elected Director in April 2007.
|
Name
|
Current
Term Ends
|
Position as of
December 31, 2011
|
Date of Birth
|
Present principal occupations outside BBVA Francés
and business experience
|
||||
Marcelo Gustavo Canestri
(***)
|
December 2012
|
Director
|
04/23/1953
|
Present principal occupations: Director, Francés Valores; Director, Inversora Otar; Director, PSA Finance; Alternate Director, Rombo Compañía Financiera.
Business experience: Corporate Assistant Manager, BBVA Francés; Wholesale Banking Assistant Manager, BBVA Francés; Asset Management Director, BBVA Francés and Financial Director, BBVA Francés; Director,
Mr. Canestri joined the Bank in 1973 and was first elected to the Board in September 2001.
|
||||
Javier José D’Ornellas
(***)
|
December 2012
|
Director
|
06/07/1940
|
Present principal occupation: Director, BBVA Banco Francés S.A.
Business experience: Director, Asociación Argentina Cultural Inglesa (AACI); Chairman, Rentar S.A., Director, Inversiones Robert S.A.; Chairman, Rentar S.A.; Chairman, VASA S.A.; Chairman, MASISA Argentina S.A.; Chairman, Vidrios Lirquén S.A.; Chairman, Santa Lucía Cristal SACIF; Director, Concord S.A. Colombia; Director, Santa Lucia Cristais Brasil.
Mr. D’Ornellas was elected Director in 1998.
|
||||
Oscar Miguel Castro
(***)
|
December 2011
|
Director
|
12/04/1945
|
Present principal occupations: Independent Director, BBVA Tranas S.A. and Zurich Argentina Cia. de Seguros S.A.; Director, Zurich Argentina de Seguros de Retiro S.A.
Independent Consultant.
Business experience: Executive member of the Committee of Financial Services member, Arthur Andersen Worldwide; Partner in charge of Financial Services Division, Arthur Andersen Latin America and Argentina; International Partner, Arthur Andersen.
Mr. Castro was elected Director in 2003.
|
||||
Luis Bernardo Daniel Juango Fitero
(**)
|
December 2013
|
Director
|
08/24/1949
|
Present principal occupation: Director, BBVA Francés S.A.
Business experience: President, BBVA Colombia S.A.; Regional Director, BBVA S.A.
|
(*)
|
According to the provisions of General Resolution No. 368 (New Text 2001), as amended by General Resolution No. 400 of the CNV, Mr. Jorge Carlos Bledel does not qualify as independent director, as he is a former employee of the Bank.
|
(**)
|
Mr. José Manuel Tamayo Pérez, and Luis Bernardo Juango Fitero do not qualify as independent directors according to the independence criteria set forth by General Resolution No. 368 (New Text 2001), as amended by General Resolution No. 400 of the CNV, as they are former employees of BBVA S.A.
|
(***)
|
Mr. D’Ornellas, Mr. Castro, and Mr. Canestri qualify as independent directors according to the independence criteria established by General Resolution No. 368 (New Text 2001), as amended by General Resolution No. 400 of the CNV.
|
Name
|
First Appointed
|
Current Position
|
Date of Birth
|
Background and Work Experience
|
||||
Ricardo Enrique Moreno
|
2009
|
Executive Director
|
07/15/1963
|
Consultant, specialized in financial branch and capital markets, Andersen Consulting; Systems Manager, Banco de Crédito; Director of Media, CEO of Unofirst Latin America, COO Global, BBVA; Director of Transformation an Productivity BBVA.
Mr. Moreno joined the Bank in 1994.
|
||||
José Carlos López Álvarez
(*)
|
2007
|
Director, Planning and Financial Area; Director Presidency Areas
|
03/15/1959
|
Assistant Executive Director, Regulations Compliance, Coordination, Legal Services, Accounting and Auditing, Economic Studies Services, Risks, General Subdirector and Financial Director of Banco del Comercio (Spain) and Vice Chairman, Risk Management Director and Financial Director of BBVA Brasil.
Mr. López Alvarez joined the Bank in 2003.
|
||||
Juan Alberto
Estrada
|
2008
|
Director,
Corporate and Investment Banking
|
07/12/1972
|
Asset Management Area; Head of the Trading Area.
Mr. Estrada joined the Bank in 1992.
|
||||
Martín Ezequiel Zarich
|
2010
|
Director, Innovation and Development
|
04/09/1964
|
Other positions currently held: Director, Inversora Otar; Director, Francés Valores.
Work Experience: Alternate Director BBVA Seguros; Economist, Banco de Crédito Argentino; Management Control and Budget Manager, Banco de Crédito Argentino; Planning Director, Banco de Crédito Argentino; Merger Director, BBVA Banco Francés; Planning Director, BBVA Francés; Financial Director, BBVA Francés; Retail Banking Director, BBVA Francés; Director, Credilogros; Director, BBVA Banco Francés Uruguay; Director, BBVA Banco Francés Cayman Ltd.; Deputy General Director, Business Development BBVA Group.
Mr. Zarich joined the Bank in 1987.
|
||||
Gabriel Milstein
|
2002
|
Director, Human Resources, Procurement, Real Estate, General Services and Safety
|
08/14/1958
|
Organization Manager, BBVA Francés.
Mr. Milstein joined the Bank in 1995.
|
Name
|
First Appointed
|
Current Position
|
Date of Birth
|
Background and Work Experience
|
||||
Jorge Gustavo Allen
|
2007
|
Director, Companies Banking
|
12/07/1956
|
Goods and Services Manager, Banco Francés del Río de la Plata; Logistics Director, BBVA Francés; President, BBVA Seguros; Territorial Director, BBVA Francés.
Mr. Allen joined the Bank in 1994.
|
||||
Jorge Delfín Luna
|
2010
|
Director, Retail Banking
|
11/17/1958
|
Regional Manager, Sucursal Citibank, Citicorp; Regional Manager of Local Branches, Banco de Crédito Argentino; General Manager, Easy-Bank (BBVA Francés); General Manager and Vicepresident, BBVA Banco Uruguay; Companies Banking Manager, BBVA Francés.
Mr. Luna joined the Bank in 1996.
|
||||
Gustavo Osvaldo Fernández
|
2010
|
Director, Technology and Operations
|
01/22/1964
|
Coordinator, Systems and Organizations, Banca Nazionale del Lavoro; Systems Coordinator, Banco Galicia; Manager of Organization and Systems Development, Banco de Crédito Argentino; Design and Development Manager, Banco Francés; Media Director, Banco Francés; Director of Design and Development América, BBVA; Business Partner America, BBVA.
Mr. Fernandez joined the Bank in 1995.
|
||||
Adriana Fernández de Melero
|
2010
|
Director, Corporate Development and Transformation
|
04/02/1961
|
Credits Recovery Analyst, Banco Español; Financial Analyst, Banco Español; Financial Profitability and Planning Analyst, Banco Español; Planning and Management Control Analyst, Banco de Crédito Argentino; Head of Budget, Planning and Management Control, Banco de Crédito Argentino; Leader of Reengineering Project, Banco de Crédito Argentino; Human Resources Development and Planning Manager, Banco de Crédito Argentino; Manager of Human Resources Management, BBVA Banco Francés; Manager of Structures and Projects, BBVA Francés; Organization Manager, BBVA Francés; Commercial Development and Channels Manager, BBVA Francés.
Mrs. Fernandez de Melero joined the Bank in 1987.
|
||||
Juan Eugenio Rogero González
|
2010
|
Director, Risks
|
06/20/1956
|
Mr. Rogero González joined BBVA in 1973. His background includes: Branch Director Corporate Banking, Bilbao BBVA; Risks and Corporate Director, BBVA Puerto Rico; Insurances Development Director, BBVA America and Global Director of Corporate Risks Control, BBVA; Risks Director, BBVA Francés; Corporate Polices and Wholesale Portfolios Director, BBVA.
Mr. Rogero González first joined the Bank in 2005.
|
(*)
|
On March 2012, Mr. Lopez Alvarez was replaced in his position as Director of the Planning and Financial Area by Ignacio Sanz y Arcelus. Moreover, as from that date the Presidency Area is no longer part of the organization structure and the Legal, Money Laundering and Audit Departments, which were part of the Presidency Area, depend directly from the CEO.
|
Expiration of term
|
||
Regular
|
Mario Rafael Biscardi
|
December 31, 2011
|
|
Marcelino Agustín Cornejo
|
December 31, 2011
|
|
Alejandro Mosquera
|
December 31, 2011
|
Alternate
|
Julieta Paula Pariso
|
December 31, 2011
|
|
Agustín Isola
|
December 31, 2011
|
|
Daniel Oscar Celentano
|
December 31, 2011
|
-
|
Mario Rafael Biscardi: Lawyer, member of Biscardi & Asociados S.R.L., member of the Supervisory Committee of Consultatio Asset Management Gerente De Fondos Comunes De Inversión S.A.; PSA Finance Compañía Financiera S.A.; Rombo Compañía Financiera S.A.; Sociedad Comercial Del Plata S.A.; Aplica Soluciones Argentina S.A. (undergoing liquidation proceedings); BBVA Consolidar Seguros S.A.; Bridgestone Argentina S.A.I.C.; Centro Automotores S.A.; Centro del Norte S.A.; Compañía General De Combustibles S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; Cormasa S.A.; Courtage S.A.; Duke Energy Cerros Colorados S.A.; Duke Energy Generating S.A.; Duke Energy International Southern Cone S.R.L.; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Laboratorios Essex S.A.; Metalúrgica Tandil S.A.; Plan Rombo S.A. De Ahorro Para Fines Determinados; Renault Argentina S.A.; Rombo Ahorro S.A. De Ahorro Para Fines Determinados; Schering Plough S.A.; Tango Jet S.A.; Satex S.A.F.S.A.; Tavex Argentina S.A.; V.T.V. Norte S.A. y Walmont S.A. He serves as an alternate member of the supervisory committee in: Carboclor S.A.; Pardo Rabello Inversiones S.R.L.; Procter & Gamble Argentina S.R.L.; Tinocam S.A.; La Preferida de Olavarría S.A. y Petrouruguay S.A.
|
-
|
Alejandro Mosquera: Lawyer, member of Biscardi & Asociados S.R.L., member of the Supervisory Committee of Consultatio Asset Management Gerente De Fondos Comunes De Inversión S.A.; PSA Finance Compañía Financiera S.A.; Rombo Compañía Financiera S.A.; Aplica Soluciones Argentina S.A. (undergoing liquidation proceedings); BBVA Consolidar Seguros S.A.; Centro Automotores S.A.; Centro del Norte S.A.; Compañía General De Combustibles S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; Cormasa S.A.; Courtage S.A.; Duke Energy Cerros Colorados S.A.; Duke Energy Generating S.A.; Duke Energy International Southern Cone S.R.L.; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Metalúrgica Tandil S.A.; Plan Rombo S.A. De Ahorro Para Fines Determinados; Procter & Gamble Argentina S.R.L.; Renault Argentina S.A.; Rombo Ahorro S.A. De Ahorro Para Fines Determinados; Satex S.A.F.S.A.; Tango Jet S.A.; Tavex Argentina S.A. y Walmont S.A. He serves as an alternate member of the supervisory committee in: Carboclor S.A.; Sociedad Comercial del Plata S.A.; Laboratorios Essex S.A.; Schering Plough S.A.; Tinocam S.A.; La Preferida de Olavarría S.A. y Petrouruguay S.A.
|
-
|
Marcelino Agustín Cornejo: Lawyer, member of Biscardi & Asociados S.R.L., member of the Supervisory Committee of Rombo Compañía Financiera S.A.; Aplica Soluciones Argentina S.A. (undergoing liquidation proceedings); BBVA Consolidar Seguros S.A.; Bimbo de Argentina S.A.; Centro Automotores S.A.; Centro del Norte S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; Cormasa S.A.; Courtage S.A.; Duke Energy Generating S.A.; Duke Energy International Southern Cone S.R.L.; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Metalúrgica Tandil S.A.; Plan Rombo S.A. De Ahorro Para Fines Determinados; Renault Argentina S.A.; Rombo Ahorro S.A. De Ahorro Para Fines Determinados; Tavex Argentina S.A.; Tubos Argentinos S.A. y V.T.V. Norte S.A. He serves as an alternate member of the supervisory committee in: Carboclor S.A.; Consultatio Asset Management Gerente De Fondos Comunes De Inversión S.A.; PSA Finance Compañía Financiera S.A.; Compañía General de Combustibles S.A.; Duke Energy Cerros Colorados S.A.; Tinocam S.A. y Petrouruguay S.A.
|
-
|
Julieta Paula Pariso: Lawyer, member of Biscardi & Asociados S.R.L., alternate member of the Supervisory Committee of Consultatio Asset Management Gerente De Fondos Comunes De Inversión S.A.; PSA Finance Compañía Financiera S.A.; Rombo Compañía Financiera S.A.; Aplica Soluciones Argentina S.A.; BBVA Consolidar Seguros S.A.; Centro Automotores S.A.; Centro del Norte S.A.; Compañía General De Combustibles S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; Cormasa S.A.; Courtage S.A.; Duke Energy Cerros Colorados S.A.; Duke Energy Generating S.A.; Duke Energy International Southern Cone S.R.L.; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Metalúrgica Tandil S.A.; Plan Rombo S.A. De Ahorro Para Fines Determinados; Renault Argentina S.A.; Rombo Ahorro S.A. De Ahorro Para Fines Determinados; Tavex Argentina S.A. y V.T.V. Norte S.A. Aplica Soluciones Argentina S.A. (undergoing liquidation proceedings); BBVA Banco Francés S.A.; Rombo Compañía Financiera S.A; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; BBVA Consolidar Seguros S.A.; Metalúrgica Tandil S.A. y Cormasa S.A.
|
-
|
Agustín Isola: Lawyer, member of Biscardi & Asociados S.R.L., alternate member of the Supervisory Committee of Aplica Soluciones Argentina S.A.(undergoing liquidation proceedings); Rombo Compañía Financiera S.A.; BBVA Consolidar Seguros S.A.; Bimbo de Argentina S.A.; Courtage S.A.; Centro Automotores S.A.; Centro del Norte S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; Cormasa S.A.; Duke Energy Generating S.A.; Duke Energy International Southern Cone S.R.L.; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Metalúrgica Tandil S.A.; Plan Rombo S.A. De Ahorro Para Fines Determinados; Renault Argentina S.A.; Tavex Argentina S.A.; Tubos Argentinos S.A. y V.T.V. Norte S.A.
|
-
|
Daniel Oscar Celentano: Lawyer, member of Biscardi & Asociados S.R.L., alternate member of the Supervisory Committee of Aplica Soluciones Argentina S.A. (undergoing liquidation proceedings); Rombo Compañía Financiera S.A; BBVA Francés Valores Sociedad De Bolsa S.A.; Industrial Valores Sociedad De Bolsa S.A.; Inversora Otar S.A.; Consolidar AFJP S.A. (undergoing liquidation proceedings); Consolidar Aseguradora De Riesgos Del Trabajo S.A.; BBVA Consolidar Seguros S.A.; Metalúrgica Tandil S.A. y Cormasa S.A.
|
a)
|
Marcelo Gustavo Canestri
|
b)
|
Oscar Miguel Castro
|
c)
|
Jorge Carlos Bledel
|
d)
|
Eduardo Zerega
|
§
|
supervise the appropriate implementation of the internal control systems defined in the Bank through a regular evaluation;
|
§
|
provide assistance to improve the effectiveness of the internal controls;
|
§
|
inquire about external audit planning and comment as necessary on the nature, scope and time for the performance of the audit proceedings;
|
§
|
revise and approve the annual work program of the Bank’s internal audit area (“Internal Audit Planning Memorandum” or “Annual Planning”) to be carried out under said Annual Planning, as well as the level of compliance with such program;
|
§
|
revise the reports issued by the internal auditors pursuant to the provisions set forth in these rules;
|
§
|
consider the observations made by the external and the internal auditors regarding the internal control weaknesses found during the performance of their duties, as well as the corrective measures implemented by the general management to minimize or cure such weaknesses;
|
§
|
review the results obtained by the Supervisory Committee of the Bank during the performance of its duties, as informed in the applicable reports;
|
§
|
maintain a permanent communication with the officers of the Superintendency of Financial and Exchange Institutions in charge of the control of the Bank, so as to learn about their concerns, and the problems identified during the inspections conducted in the Bank, and control the actions adopted to solve such problems;
|
§
|
keep informed of the annual financial statements and the financial statements for the respective three-month periods as well as the external auditors’ report issued with respect to the former, and any other applicable accounting information; and
|
§
|
regularly control compliance with the independence rules applicable to external auditors.
|
§
|
to render an opinion on the Board’s proposal to appoint the external auditors to be retained by the company, and ensure their independence.
|
§
|
to supervise the operation of internal control and administrative accounting systems, as well as ensure the reliability of the latter and of all financial information or other significant facts submitted to the CNV and the self-regulated bodies in compliance with the applicable information regulations.
|
§
|
to supervise the application of policies regarding the information about the company’s risk management.
|
§
|
to furnish the market with comprehensive information in respect of operations which may involve conflicts of interest with members of the corporate bodies or controlling shareholders.
|
§
|
to render an opinion on the reasonableness of proposals concerning fees and share option plans for the company’s directors and managers as submitted by the administration body.
|
§
|
to render an opinion on the observance of legal requirements and the reasonableness of the conditions for the issuance of shares or securities convertible into shares in the event of a capital increase, with exclusion or limitation of preference rights.
|
§
|
to verify the observance of the applicable standards of behavior.
|
§
|
to issue a duly grounded opinion with regard to operations with related parties in those cases contemplated by the Decree No. 677/01.
|
§
|
to issue a duly grounded opinion and forward it to the self-regulated entities as determined by the CNV whenever there is a conflict of interests or the possibility of such a conflict in the company.
|
§
|
to prepare annually an action plan to be submitted to the Board and the Supervisory Committee.
|
§
|
to examine the plans prepared by the external and internal auditors, evaluate their performance and issue an opinion on the matter on occasions of the presentation and publication of the annual financial statements.
|
§
|
Management Committee
|
§
|
Computer Technology Committee
|
§
|
Disclosure Committee
|
§
|
Asset Laundering and Terrorism Financing Prevention Committee
|
-
|
to deal with all matters related to the prevention of terrorism assets laundering and financing.
|
-
|
to define operational policies and continuously monitor their degree of advancement.
|
-
|
to assign duties to the different areas involved.
|
-
|
to render his or her area of activity more sensitive as to the importance of preventing terrorism assets laundering and financing.
|
-
|
to detect any relevant situation which may occur in his or her area in this connection.
|
-
|
to analyze any new product or service and evaluate potential asset laundering risks.
|
-
|
to assume the necessary commitments in his or her area in order to implement prevention systems in coordination with the officer responsible for Asset Laundering Prevention.
|
§
|
Internal Control Evaluation Committee
|
-
|
to discuss the issues related to the internal control model.
|
-
|
to evaluate control weaknesses evidenced in the work performed in compliance with section 404 of the Sarbanes Oxley Act and the group’s internal control model.
|
-
|
to decide on possible discrepancies occurred in the internal certification procedures.
|
-
|
to analyze, if applicable, the internal control report proposal in compliance with the requirements of section 404 of the Sarbanes Oxley Act and the group’s internal control model.
|
-
|
to approve the internal control report that will support the internal control certification to be included in the 20-F documentation to be filed with the SEC.
|
-
|
Responsible for Foreign Exchange Positions (Communication “A” 4246 BCRA)
|
-
|
Responsible for Foreign Exchange Control (Communication “A” 4246 BCRA)
|
-
|
Responsible for relations with entities and their clients (Communication “A” 4378 and 4394 BCRA)
|
-
|
Responsible for the Liquidity Policy (Communication “A” 2879 BCRA)
|
-
|
Responsible for Information Systems (Communication “A” 2593 BCRA)
|
-
|
Responsible for Market Relations (Decree No. 677/01)
|
-
|
Compliance Officer on Money Laundering Prevention (Communication “A” 5004 BCRA)
|
|
December 31,
|
|||||||||||
2011 (1)
|
2010 (1)
|
2009 (1)
|
||||||||||
Main office
|
2,324 | 1,951 | 1,600 | |||||||||
Branches
|
2,687 | 2,625 | 2,482 | |||||||||
Total
|
5,011 | 4,576 | 4,082 |
(1)
|
Excludes 12, 137 and 172 employees from non-banking subsidiaries as of December 31, 2011, 2010 and 2009, respectively.
|
|
Ordinary Shares Beneficially Owned At December 31, 2011
|
|||||||
Beneficial Owner
|
Number of Shares
|
Percentage of Shares Outstandings
|
||||||
Banco Bilbao Vizcaya Argentaria (1)
|
244,870,968 | 45.61 | ||||||
Bilbao Vizcaya America BV (2)
|
112,192,349 | 20.90 | ||||||
Inversora Otar S.A. (3) (4)
|
50,410,182 | 9.39 | ||||||
The Bank of New York Mellon (5)
|
45,672,927 | 8.51 | ||||||
Administración Nacional de Seguridad Social
|
38,904,834 | 7.25 |
(1)
|
Number of shares and percent of class owned directly and indirectly by BBVA except for shares held through Bilbao Vizcaya América BV.
|
(2)
|
Banco Bilbao Vizcaya América BV is controlled by BBVA.
|
(3)
|
Inversora Otar S.A. is controlled indirectly by BBVA.
|
(4)
|
See Note 22.a) to the Consolidated Financial Statements.
|
(5)
|
As holder agent of ADSs.
|
December 31, 2011
|
December 31, 2010
|
||||||||||||||||||||||||||||||||||||
Related Party
|
Largest
Outstanding Amount (1)(2)
|
Interest
Rates
|
Amount
Outstanding (2)
|
Interest
Rates
|
Nature
|
Largest
Outstanding
Amount (1)(2)
|
Interest
Rates
|
Amount
Outstanding (2)
|
Interest
Rates
|
Nature
|
|||||||||||||||||||||||||||
Controlled, Controlling and Under Common Control Entities
|
|||||||||||||||||||||||||||||||||||||
BBVA and subsidiaries
|
261,456 | — | 115,906 | — |
Guarantees given, other loans and correspondents
|
244,614 | 32.73 | % | 195,097 | — |
Guarantees given, credit cards loans, other loans and correspondents
|
||||||||||||||||||||||||||
BBVA Francés Valores Sociedad de Bolsa S.A.
|
16,074 | — | 14,599 | — |
Other loans and equity investment
|
19,968 | — | 12,285 | — |
Other loans and equity investment
|
|||||||||||||||||||||||||||
BBVA Francés Asset Management S.A.
|
46,266 | 32.73 | % | 46,266 | 32.73 | % |
Credit card loans, other loans and equity investment
|
37,266 | 32.73 | % | 37,266 | 32.73 | % |
Credit card loans, other loans and equity investment
|
|||||||||||||||||||||||
Consolidar AFJP S.A. (undergoing liquidation proceedings)
|
15,545 | 44.53 | % | 11,897 | 0.12 | % |
Advances, other loans, guarantees given and equity investment
|
33,563 | — | 11,507 | — |
Other loans, guarantees given and equity investment
|
|||||||||||||||||||||||||
Consolidar Seguros de Retiro S.A.
|
12,956 | 32.73 | % | — | — |
Advances and equity investment
|
16,493 | — | 16,493 | — |
Other loans and equity investment
|
||||||||||||||||||||||||||
Consolidar ART S.A.
|
20,098 | 32.73 | % | 20,098 | 32.73 | % |
Advances, credit cards loans and equity investment
|
6,529 | 32.73 | % | 4,754 | 32.61 | % |
Advances, credit cards loans and equity investment
|
|||||||||||||||||||||||
PSA Finance
|
883,573 | 22.71 | % | 883,573 | 22.71 | % |
Advances, call money, other loans, guarantees given and equity investment
|
494,789 | 20.27 | % | 494,789 | 20.27 | % |
Call money, other loans, guarantees given and equity investment
|
|||||||||||||||||||||||
BBVA Consolidar Seguros S.A.
|
27,338 | 85.77 | % | 27,338 | 85.77 | % |
Advances, credit cards loans, other loans and equity investment
|
20,917 | 85.78 | % | 19,487 | 85.78 | % |
Advances, credit cards loans, other loans and equity investment
|
|||||||||||||||||||||||
Consolidar Comercializadora S.A.
|
65 | 24.00 | % | — | — |
Advances
|
182 | — | 52 | — |
Other loans and credit cards loans
|
||||||||||||||||||||||||||
Atuel Fideicomisos S.A.
|
— | — | — | — | — | 38,030 | — | — | — |
Equity investment
|
|||||||||||||||||||||||||||
Associated Entities
|
|||||||||||||||||||||||||||||||||||||
Rombo Cia Financiera S.A.
|
625,638 | 23.44 | % | 625,638 | 23.44 | % |
Call money, other loans, guarantees given and equity investment
|
328,401 | 18.53 | % | 328,401 | 18.53 | % |
Call money, other loans, guarantees given and equity investment
|
|||||||||||||||||||||||
Key Management Personnel (3)
|
4,110 | 16.00 | % | 3,778 | 20.50 | % |
Advances, credit card loans, personal loans, other loans and real state mortgage
|
3,702 | 16.00 | % | 3,702 | 16.00 | % |
Advances, credit card loans, personal loans, other loans and real state mortgage
|
(1)
|
Largest amount during the period indicated.
|
(2)
|
In thousands of pesos.
|
(3)
|
Includes directors, senior managers, members of the audit committee and managers with relevant authority.
The transactions included in this section (a) were made in the ordinary course of business, (b) were made on substantially the same terms, including interest rates and collateral, as those prevailing at the time for comparable transactions with other persons, and (c) did not involve more than the normal risk of collectibility or present other unfavorable features.
|
1.
|
The Bank falls under the provisions of Articles 34 “Regularization and restructuring” and 35 bis “Restructuring of the entity for the protection of credit and bank deposits” of the Financial Entities Law;
|
2.
|
The Bank has received financial assistance from the Central Bank, other than assistance received for lack of liquidity in terms of Decree No. 739/03 and its regulatory provisions (Communication “A” 3941 and complementary provisions), within the framework of article 17 of this Bank’s Charter, and in terms of the transactions foreseen by Communication “A” 4268;
|
3.
|
The Bank incurs delays or noncompliance with respect to the information system set forth by the BCRA; or
|
4.
|
The Bank shows deficiencies as to the payment of its minimum capital, either individually or on a consolidated basis (without computing for such purpose the effects of individual franchises granted by the Superintendent of Financial and Foreign Exchange Entities) or as regards its average minimum cash requirements in pesos or foreign currencies.
|
Pesos Per
Ordinary Share (1)
|
||||||||
High
|
Low
|
|||||||
February 2012
|
10.25 | 9.19 | ||||||
January 2012
|
10.35 | 8.10 | ||||||
Fiscal year ended December 31, 2011
|
16.60 | 7.60 | ||||||
Fourth quarter
|
11.35 | 7.60 | ||||||
December, 2011
|
8.60 | 7.60 | ||||||
November, 2011
|
10.15 | 8.05 | ||||||
October, 2011
|
11.35 | 8.05 | ||||||
September, 2011
|
11.60 | 9.00 | ||||||
Third quarter
|
14.70 | 9.00 | ||||||
Second quarter
|
16.50 | 12.15 | ||||||
First quarter
|
16.60 | 14.85 | ||||||
Fiscal year ended December 31, 2010
|
17.80 | 7.28 | ||||||
Fourth quarter
|
17.80 | 12.90 | ||||||
Third quarter
|
13.10 | 8.40 | ||||||
Second quarter
|
10.10 | 7.28 | ||||||
First quarter
|
9.95 | 7.43 | ||||||
Fiscal year ended December 31, 2009
|
8.73 | 2.50 | ||||||
Fiscal year ended December 31, 2008
|
8.55 | 2.42 | ||||||
Fiscal year ended December 31, 2007
|
13.10 | 8.04 |
(1)
|
Pesos per ordinary share data reflect nominal prices at trading date.
|
U.S.$ Per ADS (1)
|
||||||||
High
|
Low
|
|||||||
February 2012
|
6 | 23/39 | 5 | 8/9 | ||||
January 2012
|
6 | 44/83 | 5 | 4/21 | ||||
Fiscal year ended December 31, 2011
|
12 | 19/50 | 4 | 10/13 | ||||
Fourth quarter
|
7 | 1/10 | 4 | 10/13 | ||||
December, 2011
|
5 | 11/25 | 4 | 10/13 | ||||
November, 2011
|
6 | 16/39 | 5 | 4/21 | ||||
October, 2011
|
7 | 1/20 | 5 | 6/25 | ||||
September, 2011
|
7 | 41/50 | 5 | 1/2 | ||||
Third quarter
|
10 | 26/51 | 5 | 1/2 | ||||
Second quarter
|
11 | 2/3 | 8 | 20/69 | ||||
First quarter
|
12 | 19/50 | 10 | 8/17 | ||||
Fiscal year ended December 31, 2010
|
13 | 33/50 | 5 | 9/20 | ||||
Fourth quarter
|
13 | 33/50 | 9 | 43/50 | ||||
Third quarter
|
9 | 9/10 | 6 | 3/13 | ||||
Second quarter
|
7 | 4/5 | 5 | 9/20 | ||||
First quarter
|
7 | 19/25 | 5 | 67/77 | ||||
Fiscal year ended December 31, 2009
|
7 | 16/39 | 1 | 4/5 | ||||
Fiscal year ended December 31, 2008
|
8 | 21/50 | 1 | 4/7 | ||||
Fiscal year ended December 31, 2007
|
13 | 1/10 | 7 | 12/25 |
(1)
|
Source: BNY Mellon Depositary.
|
§
|
the “Floor”;
|
§
|
the “SINAC”; and
|
§
|
the “Continuous”.
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Market capitalization (U.S.$ billion)
|
375.2 | 477.4 | 574.2 | |||||||||
Number of companies listed
|
105 | 107 | 106 | |||||||||
Rate of return in dollars (1)
|
(35.40)% | 45.81% | 95.1%8 | |||||||||
Market/book ratio (2)
|
1.48 | 2.65 | 1.41 |
(1)
|
Based on the Merval Index
|
(2)
|
Estimated
|
§
|
accept term and demand deposits;
|
§
|
grant short-term bullet and other amortizable loans;
|
§
|
discount, purchase and sell bills of exchange, promissory notes, pledges, checks, drafts and other negotiable instruments;
|
§
|
grant guarantees, bonds or other forms of collateral; accept bills of exchange, drafts and other orders of payment, transfer funds and issue and accept letters of credit;
|
§
|
grant advances on credits from property sales, acquire the same and undertake the risks resulting therefrom, take steps to collect them and offer technical and administrative assistance;
|
§
|
invest in government securities;
|
§
|
make temporary investments in liquid assets;
|
§
|
invest in new stock or securities issues, in pursuance of such regulations as may be set forth to that purpose;
|
§
|
accept securities in custody and provide other services related to the banking business;
|
§
|
manage, on account of third parties, the purchase and sale of securities, and act as paying agents in relation to dividends, redemption and interest;
|
§
|
engage in brokerage activities in the over-the-counter securities market;
|
§
|
perform foreign exchange transactions;
|
§
|
comply with agencies related to its operations;
|
§
|
receive deposits of participation in mortgage loans and in special accounts;
|
§
|
issue mortgage obligations;
|
§
|
grant loans for the acquisition, construction, enlargement, repair, improvement and maintenance of urban or rural real estate, and for the substitution of mortgages taken out for that same purpose;
|
§
|
receive loans from abroad and act as intermediary in local or foreign currency-denominated loans;
|
§
|
issue private bonds, and
|
§
|
carry out such lending, borrowing and service-related operations as are not forbidden under the Financial Institutions Law.
|
§
|
the Bank falls under the provisions of articles 34 “Regularization and restructuring” and 35 bis “Restructuring of the entity for the protection of credit and bank deposits” of the Financial Entities Law;
|
§
|
the Bank has received financial assistance from the Central Bank, other than assistance received for lack of liquidity in terms of Decree No. 739/03 and its regulatory provisions (Communication “A” 3941 and complementary ones), within the framework of article 17 of this Bank’s Charter, and in terms of the transactions foreseen by Communication A 4268;
|
§
|
the Bank incurs delays or noncompliance with respect to the information system set forth by the BCRA; or
|
§
|
the Bank shows deficiencies as to the payment of its minimum capital, either individually or on a consolidated basis (without computing for such purpose the effects of individual franchises granted by the Superintendence of Financial and Foreign Exchange Entities) or as regards its average minimum cash requirements in pesos or foreign currencies.
|
(i)
|
all incoming and outgoing funds from the Argentine Exchange market, and any debt operation with non-residents which could demand future payments in foreign currency to non-residents, are subject to registration with the Central Bank for informative purposes;
|
(ii)
|
any debt entered into between non-governmental persons or entities and non-residents must be agreed for a term of at least 365 days, except for the financing of import and export operations and the primary placements of public debt listed in an authorized stock exchange; and
|
(iii)
|
all incoming funds relating to foreign private debt, and all incoming funds of non-residents, excluding foreign direct investments and certain types of portfolio investments (purchases in the primary market of debt instruments and equity, listed in authorized stock exchanges, etc) regardless of the agreed payment procedure, must be agreed for at least 365 days, and 30% of incoming funds must be deposited with a bank in Argentina in a non-interest bearing account, known as “encaje” (legal reserve).
|
§
|
Pay abroad interest on foreign debt on its due date or up to 15 days in advance. Access to the local foreign exchange market in connection with the servicing of foreign indebtedness is available only if and after the date the original proceeds from the financing have been transferred into Argentina and the foreign currencies liquidated as explained before.
|
§
|
The exchange rate for the purchase of foreign currency must be fixed no later than 15 calendar days prior to the due date of each interest payment, or for accrued interests at any time of the period.
|
§
|
Repay principal of foreign debt at maturity (or 30 days in advance, to the extent that the amounts so prepaid were brought into the local market and exchanged for pesos, and repayment takes place at least 365 days thereof) without prior Central Bank authorization. Communication “A” 4177 (as amended) also allows prepayment of principal with an anticipation of more than 30 days, but subject to the following conditions:
|
(1)
|
If prepayment of principal is not made in the context of a debt restructuring process, then the amount prepaid should not exceed the present value of such amount, calculated according to the formula provided by the Central Bank.
|
(2)
|
If the prepayment is made within the context of a debt restructuring process, then the new terms and conditions of the debt after the restructuring, including the amount prepaid, shall not result in an increase of the present value of the whole debt (according to the formula of the Central Bank).
|
A.
|
Local individuals and companies
|
B.
|
Non-residents
|
§
|
Transfers abroad arising out of:
|
(1)
|
Residents foreign indebtedness of residents related to Argentine imports of goods and services;
|
(2)
|
Domestic collections of:
|
-
|
Services, rents and other current transfers abroad of financial debts originated in non-residents foreign loans;
|
-
|
Inheritances according to the Declaration of a Decedent’s Heirs;
|
-
|
National Government Bonds and Guaranteed Loans Income issued in local currency;
|
-
|
Benefits or services or sale of values received, granted by the National Government as per Laws No. 24,043, 24,411 and 25.914.
|
-
|
Recoveries under local bankruptcy proceedings as long as the foreign creditor has been admitted as such by the Bankruptcy Court;
|
(3)
|
Sales proceeds from direct investments in local non-financial companies; and
|
(4)
|
The proceeds from final liquidation of direct investments in local non-financial companies;
|
(5)
|
Capital reduction; and
|
(6)
|
Restitution of irrevocable contributions made by the local company.
|
§
|
Transfers abroad of an aggregate equivalent of up to U.S.$500,000 per month arising out of:
|
(1)
|
Proceeds of sales of other portfolio investments and their revenues, such as investments in shares of local companies, investment funds and local trusts;
|
§
|
International bodies or entities that operate as official export credit agencies.
|
§
|
Diplomatic and consular representations as well as diplomatic staff accredited in the country for transfers made in exercise of their duties.
|
§
|
Direct investments in Argentina of non-Argentine residents
|
§
|
Direct investments made abroad by Argentine residents
|
1.
|
Argentine Taxes
|
2.
|
U.S. Federan Income Tax Considerations
|
§
|
certain financial institutions;
|
§
|
dealers and traders in securities who use a mark-to-market method of tax accounting;
|
§
|
persons holding ADSs or ordinary shares as part of a hedging transaction, straddle, wash sale, conversion transaction or integrated transaction or persons entering into a constructive sale with respect to ADSs or the ordinary shares;
|
§
|
persons whose functional currency for U.S. federal income tax purposes is not the U.S. dollar;
|
§
|
entities classified as partnerships for U.S. federal income tax purposes;
|
§
|
tax-exempt entities, including “individual retirement accounts” or “Roth IRAs”;
|
§
|
persons that own or are deemed to own ten percent or more of our voting stock; or
|
§
|
persons who acquired ADSs or ordinary shares pursuant to the exercise of an employee stock option or otherwise as compensation.
|
§
|
a citizen or individual resident of the United States;
|
§
|
a corporation, or other entity taxable as a corporation, created or organized in or under the laws of the United States, any state therein or the District of Columbia; or
|
§
|
an estate or trust the income of which is subject to U.S. federal income taxation regardless of its source.
|
2011
|
2010
|
|||
Average
|
2.21
|
2.16
|
||
Minimum
|
0.60
|
0.24
|
||
Maximum
|
3.86
|
9.22
|
||
Dec. 31
|
2.59
|
0.78
|
Interest Risk VaR
|
2011
|
2010
|
||
Average
|
2.10
|
1.94
|
||
Minimum
|
0.55
|
0.08
|
||
Maximum
|
3.67
|
9.18
|
||
Dec. 31
|
2.49
|
0.72
|
Currency Risk VaR
|
2011
|
2010
|
||
Average
|
0.54
|
0.65
|
||
Minimum
|
0.00
|
0.10
|
||
Maximum
|
2.47
|
2.12
|
||
Dec. 31
|
0.30
|
0.27
|
|
None.
|
December 31, 2011
|
|||||||||||||||||||||||||
Change in base interest rates
(basis points)
|
Net portfolio
value
|
Percentage
change
|
Net interest and
adjust income
|
Percentage
change
|
Net income of
adjustable
portfolio
|
Percentage
change
|
|||||||||||||||||||
(in millions of pesos, except percentages)
|
|||||||||||||||||||||||||
100 | 6,816.5 | (0.75 | )% | 3,269.5 | 1.59 | % | (84.6 | ) | 10.43 | % | |||||||||||||||
50 | 6,842.1 | (0.38 | )% | 3,243.9 | 0.80 | % | (80.6 | ) | 5.23 | % | |||||||||||||||
0 | 6,868.0 | 0.00 | % | 3,218.3 | 0.00 | % | (76.6 | ) | 0.00 | % | |||||||||||||||
(50) | 6,894.1 | 0.38 | % | 3,192.7 | (0.80 | )% | (72.6 | ) | (5.25 | )% | |||||||||||||||
(100) | 6,920.5 | 0.76 | % | 3,167.0 | (1.60 | )% | (68.5 | ) | (10.51 | )% |
Peso against all other currencies
|
Effect on net income based on our position as of December 31, 2011
|
Effect on net income based on our position as of December 31, 2010
|
||
(in millions of pesos, except percentages)
|
||||
5%
|
(6)
|
(44)
|
||
(5)%
|
6
|
44
|
Persons depositing or withdrawing shares must pay:
|
For:
|
|
U.S.$5.00 (or less) per 100 ADRs (or portion of 100 ADRs)
|
§ Issuance of ADRs, including issuances resulting from a distribution, sale or exercise of shares or rights or other property
§ Cancellation of ADRs for the purpose of withdrawal including if the deposit agreement terminates
|
|
A fee equivalent to the fee that would be payable if securities distributed to you had been shares and the shares had been deposited for issuance of ADRs
|
§ Distribution of securities distributed to holders of deposited securities which are distributed by the depositary to ADR registered holders
|
|
Registration or transfer fees
|
§ Transfer and registration of shares on the Company’s share register to or from the name of the depositary or its agent when you deposit or withdraw shares
|
|
Expenses of the depositary
|
§ Cable, telex and facsimile transmissions (when expressly provided in the deposit agreement)
§ Converting foreign currency to U.S. dollars
|
|
Taxes and other governmental charges the depositary or the custodian have to pay on any ADR or share underlying an ADR, for example, stock transfer taxes, stamp duty or withholding taxes
|
§ As necessary
|
|
Any charges incurred by the depositary or its agents for servicing the deposited securities
|
§ As necessary
|
§
|
pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Bank;
|
§
|
provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that our receipts and expenditures are being made only in accordance with authorizations of the Bank’s management and directors; and
|
§
|
provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements.
|
2011
|
2010
|
|||||||
(in millions of pesos)
|
||||||||
Audit fees
|
6.45 | 5.59 | ||||||
Audit-related fees
|
— | — | ||||||
Tax fees
|
0.40 | 0.32 | ||||||
All other fees
|
— | — | ||||||
Total fees
|
6.85 | 5.91 | ||||||
§
|
Index to Consolidated Financial Statements:
|
|
Page
|
Report of Independent Registered Public Accounting Firm
|
F-2
|
Consolidated Balance Sheets as of December 31, 2011 and 2010
|
F-4
|
Consolidated Statements of Operations for the fiscal years ended December 31, 2011, 2010 and 2009
|
F-8
|
Consolidated Statements of Cash and Cash Equivalents Flows for the fiscal years ended December 31, 2011, 2010 and 2009
|
F-10
|
Consolidated Statements of Changes in Stockholders’ Equity for the fiscal years ended December 31, 2011, 2010 and 2009
|
F-13
|
Notes to the Consolidated Financial Statements
|
F-14
|
§
|
Index to Exhibits:
|
Exhibit
Number
|
Description
|
|
1.1
|
Amended and Restated By-Laws (Estatutos) of BBVA Francés (*)
|
|
1.2
|
English translation of the Amended and Restated By-Laws (Estatutos) of BBVA Francés(*)
|
|
8.1
|
Subsidiaries of the Company
|
|
12.1
|
Section 302 Certification of Chief Executive Officer
|
|
12.2
|
Section 302 Certification of Chief Financial Officer
|
|
13.1
|
Section 906 Certification pursuant to 18 U.S.C. Section 1350
|
(*)
|
Incorporated by reference in the BBVA Francés Annual Report on Form 20-F for the year ended December 31, 2010 filed with the Securities and Exchange Commission on April 4, 2011.
|
BBVA BANCO FRANCÉS S.A.
|
||||
By:
|
/s/ Ignacio Sanz y Arcelus
|
|||
|
Name: |
Ignacio Sanz y Arcelus
|
||
|
Title: |
Chief Financial Officer
|
|
Page
|
F-2
|
|
F-4
|
|
F-8
|
|
F-10
|
|
F-13
|
|
F-14
|
December 31,
|
||||||||
2011
|
2010 (1)
|
|||||||
ASSETS
|
||||||||
CASH AND DUE FROM BANKS
|
6,353,428 | 5,691,806 | ||||||
Cash
|
2,515,861 | 1,456,822 | ||||||
Due from banks and correspondents
|
3,837,567 | 4,234,984 | ||||||
Argentine Central Bank (BCRA)
|
3,651,375 | 4,098,792 | ||||||
Other local
|
2,412 | 2,574 | ||||||
Foreign
|
183,780 | 133,618 | ||||||
GOVERNMENT AND PRIVATE SECURITIES (Note 6.a)
|
5,565,029 | 7,495,382 | ||||||
Holdings booked at fair value
|
2,088,522 | 4,309,767 | ||||||
Holdings booked at amortized cost
|
164 | 181 | ||||||
Instruments issued by the BCRA
|
3,447,972 | 3,082,019 | ||||||
Investments in listed private securities
|
28,555 | 103,604 | ||||||
Less: Allowances
|
184 | 189 | ||||||
LOANS
|
22,875,885 | 16,699,852 | ||||||
To governmental sector
|
46,027 | 1,297,642 | ||||||
To financial sector
|
1,146,532 | 578,878 | ||||||
Inter-financial – (Calls granted)
|
49,000 | 30,000 | ||||||
Other financing to local financial institutions
|
996,641 | 504,636 | ||||||
Interest and listed-price differences accrued and pending of collection
|
100,891 | 44,242 | ||||||
To non-financial private sector and residents abroad:
|
22,128,299 | 15,219,559 | ||||||
Overdraft
|
2,881,496 | 2,366,957 | ||||||
Discounted instruments
|
3,412,091 | 2,086,979 | ||||||
Real estate mortgage
|
915,156 | 840,841 | ||||||
Collateral loans
|
1,651,776 | 831,981 | ||||||
Consumer
|
3,761,698 | 2,473,299 | ||||||
Credit cards
|
3,448,437 | 2,457,922 | ||||||
Other (Note 6.b)
|
5,829,606 | 4,010,249 | ||||||
Interest and listed-price differences accrued and pending of collection
|
317,371 | 179,623 | ||||||
Less: Interest documented together with main obligation
|
89,332 | 28,292 | ||||||
Less: Allowances
|
444,973 | 396,227 | ||||||
Carried forward
|
34,794,342 | 29,887,040 | ||||||
(1)
|
See Note 3.3.
|
December 31,
|
||||||||
2011
|
2010 (1)
|
|||||||
Brought forward
|
34,794,342 | 29,887,040 | ||||||
OTHER RECEIVABLES FROM FINANCIAL TRANSACTIONS
|
1,948,285 | 1,043,859 | ||||||
Argentine Central Bank (BCRA)
|
417,836 | 346,396 | ||||||
Amounts receivable for spot and forward sales to be settled
|
1,181,974 | 251,773 | ||||||
Instruments to be received for spot and forward purchases to be settled
|
187,057 | 232,152 | ||||||
Premiums for options bought
|
2,431 | 5,582 | ||||||
Unlisted corporate bonds
|
13,424 | 102,368 | ||||||
Non-deliverable forward transactions balances to be settled
|
34,249 | 20,992 | ||||||
Other receivables not covered by debtor classification regulations
|
6,198 | 119 | ||||||
Other receivables covered by debtor classification regulations
|
108,885 | 91,109 | ||||||
Less: Allowances
|
3,769 | 6,632 | ||||||
RECEIVABLES FROM FINANCIAL LEASES
|
907,087 | 534,457 | ||||||
Receivables from financial leases
|
906,896 | 535,619 | ||||||
Interest accrued pending of collection
|
12,470 | 6,936 | ||||||
Less: Allowances
|
12,279 | 8,098 | ||||||
INVESTMENTS IN OTHER COMPANIES
|
126,288 | 110,138 | ||||||
In Financial institutions
|
55,815 | 47,700 | ||||||
Other (Note 6.c)
|
70,473 | 62,442 | ||||||
Less: Allowances
|
— | 4 | ||||||
OTHER RECEIVABLES
|
533,030 | 381,364 | ||||||
Other (Note 6.d)
|
683,406 | 480,972 | ||||||
Other interest accrued and pending collection
|
1,222 | 2,695 | ||||||
Less: Allowances
|
151,598 | 102,303 | ||||||
PREMISES AND EQUIPMENT
|
580,121 | 523,608 | ||||||
OTHER ASSETS
|
28,697 | 27,753 | ||||||
INTANGIBLE ASSETS
|
80,978 | 66,547 | ||||||
Organization and development expenses
|
80,978 | 66,547 | ||||||
SUSPENSE ITEMS
|
6,367 | 5,030 | ||||||
OTHER SUBSIDIARIES’ ASSETS (Note 6.e)
|
450 | 450 | ||||||
TOTAL ASSETS
|
39,005,645 | 32,580,246 | ||||||
(1)
|
See Note 3.3.
|
December 31,
|
||||||||
2011
|
2010 (1)
|
|||||||
LIABILITIES
|
||||||||
DEPOSITS
|
29,165,704 | 22,461,307 | ||||||
Governmental sector
|
1,141,024 | 785,956 | ||||||
Financial sector
|
43,882 | 10,406 | ||||||
Non-financial private sector and residents abroad:
|
27,980,798 | 21,664,945 | ||||||
Checking accounts
|
6,369,212 | 5,063,665 | ||||||
Savings deposits
|
9,489,576 | 7,533,275 | ||||||
Time deposits
|
11,224,571 | 8,541,279 | ||||||
Investments accounts
|
219,366 | 78,009 | ||||||
Other
|
553,286 | 389,346 | ||||||
Interest and listed—price differences accrued payable
|
124,787 | 59,371 | ||||||
OTHER LIABILITIES FROM FINANCIAL TRANSACTIONS
|
4,268,519 | 1,992,801 | ||||||
Argentine Central Bank — Other
|
18,450 | 2,747 | ||||||
Banks and International Institutions
|
563,338 | 88,536 | ||||||
Non — subordinated corporate bonds
|
294,393 | 70,000 | ||||||
Amounts payable for spot and forward purchases to be settled
|
187,166 | 218,075 | ||||||
Instruments to be delivered for spot and forward sales to be settled
|
1,181,355 | 241,915 | ||||||
Premiums for options written
|
779 | 2,348 | ||||||
Financing received from Argentine financial institutions
|
339,883 | 121,347 | ||||||
Inter-financial - (Calls received)
|
114,200 | 5,100 | ||||||
Other financing from local financial institutions
|
225,343 | 116,243 | ||||||
Interest accrued payable
|
340 | 4 | ||||||
Non-deliverable forward transactions balances to be settled
|
5,885 | 530 | ||||||
Other (Note 6.f)
|
1,654,957 | 1,240,802 | ||||||
Interest and listed—Price differences accrued payable
|
22,313 | 6,501 | ||||||
OTHER LIABILITIES
|
1,078,329 | 817,784 | ||||||
Fees payable
|
98 | 62 | ||||||
Other (Note 6.g)
|
1,078,231 | 817,722 | ||||||
ALLOWANCES
|
496,233 | 528,274 | ||||||
SUSPENSE ITEMS
|
46,158 | 17,411 | ||||||
OTHER SUBSIDIARIES’ LIABILITIES (Note 6.h)
|
336 | 2,836,562 | ||||||
TOTAL LIABILITIES
|
35,055,279 | 28,654,139 | ||||||
MINORITY INTEREST IN SUBSIDIARIES (Note 16)
|
82,109 | 179,192 | ||||||
STOCKHOLDERS’ EQUITY
|
3,868,257 | 3,746,915 | ||||||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY
|
39,005,645 | 32,580,246 | ||||||
(1)
|
See Note 3.3.
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
MEMORANDUM ACCOUNTS
|
||||||||
DEBIT ACCOUNTS
|
||||||||
Contingent
|
5,760,212 | 4,260,353 | ||||||
Guarantees received
|
5,259,465 | 3,581,622 | ||||||
Contra contingent debit accounts
|
500,747 | 678,731 | ||||||
Control
|
56,453,765 | 57,056,492 | ||||||
Receivables classified as non-recoverable
|
319,098 | 330,149 | ||||||
Other (Note 6.i)
|
55,130,192 | 56,127,912 | ||||||
Contra control debit accounts
|
1,004,475 | 598,431 | ||||||
Derivatives
|
7,624,184 | 4,957,446 | ||||||
“Notional” amount of call options bought
|
30,032 | 52,702 | ||||||
“Notional” amount of put options bought
|
— | 27,402 | ||||||
“Notional” amount of non-deliverable forward transactions
|
3,588,570 | 2,478,406 | ||||||
Interest rate SWAP
|
551,836 | 213,967 | ||||||
Contra derivatives debit accounts
|
3,453,746 | 2,184,969 | ||||||
For trustee activities
|
7,117 | 12,653 | ||||||
Funds in trust
|
7,117 | 12,653 | ||||||
TOTAL
|
69,845,278 | 66,286,944 | ||||||
CREDIT ACCOUNTS
|
||||||||
Contingent
|
5,760,212 | 4,260,353 | ||||||
Credit lines granted (unused portion) covered by debtor classification regulations
|
21,996 | 70,538 | ||||||
Guarantees provided to the BCRA
|
134,235 | 101,609 | ||||||
Other guarantees given covered by debtor classification regulations
|
175,081 | 363,828 | ||||||
Other guarantees given non-covered by debtor classification regulations
|
70,649 | 75,403 | ||||||
Other covered by debtor classification regulations
|
98,786 | 67,353 | ||||||
Contra contingent credit accounts
|
5,259,465 | 3,581,622 | ||||||
Control
|
56,453,765 | 57,056,492 | ||||||
Items to be credited
|
720,011 | 510,436 | ||||||
Other
|
284,464 | 87,995 | ||||||
Contra control credit accounts
|
55,449,290 | 56,458,061 | ||||||
Derivatives
|
7,624,184 | 4,957,446 | ||||||
“Notional” amount of call options written
|
34,505 | 60,082 | ||||||
“Notional” amount of put options written
|
— | 24,662 | ||||||
“Notional” amount of non-deliverable forward transactions
|
3,419,241 | 2,100,225 | ||||||
Contra derivatives credit accounts
|
4,170,438 | 2,772,477 | ||||||
For trustee activities
|
7,117 | 12,653 | ||||||
Contra credit accounts for trustee activities
|
7,117 | 12,653 | ||||||
TOTAL
|
69,845,278 | 66,286,944 | ||||||
Fiscal year ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
FINANCIAL INCOME
|
3,814,685 | 3,842,671 | 3,560,203 | |||||||||
Interest cash and due from banks
|
2 | 13 | 29 | |||||||||
Interest on loans to the financial sector
|
136,903 | 99,820 | 203,089 | |||||||||
Interest on overdraft
|
420,127 | 301,832 | 366,655 | |||||||||
Interest on discounted instruments
|
318,039 | 168,201 | 154,894 | |||||||||
Interest on real estate mortgage
|
126,164 | 111,507 | 122,623 | |||||||||
Interest on collateral loans
|
192,420 | 104,905 | 90,803 | |||||||||
Interest on credit card loans
|
361,658 | 229,657 | 182,231 | |||||||||
Interest on other loans
|
1,097,407 | 713,363 | 581,402 | |||||||||
Interest on other receivables from financial transactions
|
31,725 | 13,249 | 1,322 | |||||||||
Interest on financial leases
|
116,659 | 64,999 | 58,977 | |||||||||
Income from Federal Government secured loans—Decree No. 1387/01
|
40,165 | 271,964 | 260,466 | |||||||||
Net income from governmental and private securities
|
493,185 | 1,471,135 | 1,042,950 | |||||||||
Net income from options
|
404 | 4,494 | — | |||||||||
Indexation by Benchmark Stabilization Coefficient (CER)
|
96,873 | 9,117 | 11,017 | |||||||||
Gold and foreign currency exchange difference
|
218,622 | 197,821 | 200,696 | |||||||||
Other
|
164,332 | 80,594 | 283,049 | |||||||||
FINANCIAL EXPENSES
|
1,345,403 | 817,823 | 1,013,959 | |||||||||
Interest on checking accounts
|
— | 5,298 | 21,719 | |||||||||
Interest on savings deposits
|
9,183 | 6,670 | 10,002 | |||||||||
Interest on time deposits
|
1,044,929 | 609,454 | 744,526 | |||||||||
Interest on inter-financial financing - (Calls received)
|
2,763 | 1,665 | 318 | |||||||||
Interest on other financing from financial institutions
|
31,969 | 7,205 | 5,489 | |||||||||
Interest on other liabilities from financial transactions
|
34,054 | 6,424 | 9,252 | |||||||||
Other interest
|
6,552 | 11,029 | 3,216 | |||||||||
Net expense from options
|
— | — | 2 | |||||||||
Indexation by CER
|
168 | 240 | 375 | |||||||||
Contribution to the deposit guarantee fund
|
44,205 | 35,001 | 31,906 | |||||||||
Other
|
171,580 | 134,837 | 187,154 | |||||||||
GROSS INTERMEDIATION MARGIN—GAIN
|
2,469,282 | 3,024,848 | 2,546,244 | |||||||||
ALLOWANCES FOR DOUBTFUL LOANS
|
132,663 | 179,353 | 245,966 | |||||||||
SERVICE CHARGE INCOME
|
1,957,589 | 1,484,846 | 1,203,005 | |||||||||
Related to lending transactions
|
690,426 | 475,047 | 368,392 | |||||||||
Related to liability transactions
|
736,550 | 590,998 | 502,568 | |||||||||
Other commissions
|
107,934 | 86,234 | 77,224 | |||||||||
Other (Note 6.j)
|
422,679 | 332,567 | 254,821 | |||||||||
Carried forward
|
4,294,208 | 4,330,341 | 3,503,283 | |||||||||
Fiscal year ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Brought forward
|
4,294,208 | 4,330,341 | 3,503,283 | |||||||||
SERVICE CHARGE EXPENSE
|
519,635 | 406,376 | 279,691 | |||||||||
Commissions
|
366,352 | 304,320 | 191,896 | |||||||||
Other (Note 6.k)
|
153,283 | 102,056 | 87,795 | |||||||||
OPERATING EXPENSES
|
2,343,200 | 2,019,378 | 1,633,899 | |||||||||
Payroll expenses
|
1,350,439 | 1,245,082 | 1,009,758 | |||||||||
Fees to Bank Directors and Statutory Auditors
|
2,398 | 1,489 | 692 | |||||||||
Other professional fees
|
41,209 | 42,782 | 35,254 | |||||||||
Advertising and publicity
|
122,412 | 101,134 | 65,433 | |||||||||
Taxes
|
176,381 | 130,783 | 103,615 | |||||||||
Fixed assets depreciation
|
65,070 | 57,737 | 49,244 | |||||||||
Organizational expenses amortization
|
28,937 | 23,858 | 18,520 | |||||||||
Other operating expenses
|
328,371 | 251,051 | 209,624 | |||||||||
Other
|
227,983 | 165,462 | 141,759 | |||||||||
NET GAIN FROM FINANCIAL TRANSACTIONS
|
1,431,373 | 1,904,587 | 1,589,693 | |||||||||
NET LOSS ON MINORITY INTEREST IN SUBSIDIARIES
|
(8,462 | ) | (31,156 | ) | (14,890 | ) | ||||||
OTHER INCOME
|
328,759 | 205,389 | 253,339 | |||||||||
Income from long-term investments
|
111,461 | 21,323 | 20,841 | |||||||||
Punitive interests
|
4,585 | 3,471 | 3,873 | |||||||||
Loans recovered and reversals of allowances
|
78,430 | 117,858 | 53,355 | |||||||||
Other (Note 6.l)
|
134,283 | 62,737 | 175,270 | |||||||||
OTHER EXPENSES
|
193,735 | 564,800 | 738,102 | |||||||||
Punitive interests and charges paid to BCRA
|
332 | 222 | 879 | |||||||||
Charge for uncollectibility of other receivables and other allowances
|
128,095 | 49,906 | 246,484 | |||||||||
Amortization of difference arising from judicial resolutions
|
28,419 | 35,057 | 48,804 | |||||||||
Depreciation and losses from miscellaneous assets
|
369 | 734 | 505 | |||||||||
Other (Note 6.m)
|
36,520 | 478,881 | 441,430 | |||||||||
NET GAIN BEFORE INCOME TAX AND TAX ON MINIMUM
PRESUMED INCOME
|
1,557,935 | 1,514,020 | 1,090,040 | |||||||||
INCOME TAX AND TAX ON MINIMUM PRESUME INCOME
|
552,358 | 315,841 | 371,578 | |||||||||
NET INCOME FOR THE FISCAL YEAR
|
1,005,577 | 1,198,179 | 718,462 | |||||||||
NET INCOME PER ORDINARY SHARE (1) (2)
|
1.87 | 2.23 | 1.47 | |||||||||
(1)
|
See Note 20.13.
|
(2)
|
Stated in pesos.
|
Fiscal year ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
CHANGES IN CASH AND ITS EQUIVALENTS
|
||||||||||||
Cash and its equivalents at the beginning of fiscal year
|
6,251,784 | (1) | 5,818,088 | (1) | 4,661,349 | |||||||
Cash and its equivalents at the end of the fiscal year
|
6,618,270 | (1) | 6,251,784 | (1) | 5,818,088 | (1) | ||||||
Net increase in cash and its equivalents
|
366,486 | 433,696 | 1,156,739 | |||||||||
REASONS FOR CHANGES IN CASH AND ITS EQUIVALENTS
|
||||||||||||
Operating activities
|
||||||||||||
Net collections/ (payments) from:
|
||||||||||||
- Governmental and private securities
|
2,066,402 | 1,144,287 | (722,215 | ) | ||||||||
- Loans
|
(2,956,923 | ) | (2,674,830 | ) | 2,940,284 | |||||||
to financial sector
|
(449,005 | ) | (141,269 | ) | 130,962 | |||||||
to non-financial public sector
|
620,337 | 112,729 | 203,662 | |||||||||
to non-financial private sector and residents abroad
|
(3,128,255 | ) | (2,646,290 | ) | 2,605,660 | |||||||
- Other receivables from financial transactions
|
18,171 | (1,365,353 | ) | (56,365 | ) | |||||||
- Receivables from financial leases
|
(372,630 | ) | (206,059 | ) | 65,752 | |||||||
- Deposits
|
5,409,329 | 3,320,375 | 240,976 | |||||||||
to financial sector
|
33,476 | (179,708 | ) | (7,078 | ) | |||||||
to non-financial public sector
|
342,097 | (230,812 | ) | (684,597 | ) | |||||||
to non-financial private sector and residents abroad
|
5,033,756 | 3,730,895 | 932,651 | |||||||||
- Other liabilities from financial transactions
|
545,834 | 1,784,095 | (17,296 | ) | ||||||||
Financing from financial or inter-financial sector (calls received)
|
109,100 | 5,100 | (550 | ) | ||||||||
Others (except liabilities included in Financing Activities)
|
436,734 | 1,778,995 | (16,746 | ) | ||||||||
Collections related to service charge income
|
1,951,823 | 1,480,733 | 1,197,698 | |||||||||
Payments related to service charge expense
|
(515,003 | ) | (406,210 | ) | (279,618 | ) | ||||||
Operating expenses paid
|
(2,195,913 | ) | (1,924,775 | ) | (1,591,412 | ) | ||||||
Organizational and development expenses paid
|
(18,302 | ) | (13,540 | ) | (2,927 | ) | ||||||
Net collections from punitive interest
|
4,253 | 2,891 | 2,610 | |||||||||
Differences from judicial resolutions paid
|
(28,419 | ) | (35,057 | ) | (48,804 | ) | ||||||
Collections of dividends from other companies
|
8,494 | 11,018 | 10,557 | |||||||||
Other collections / (payments) related to other income and expenses
|
273,545 | (337,250 | ) | (202,700 | ) | |||||||
Net cash flows provided by operating activities
|
4,190,661 | 780,325 | 1,536,540 | |||||||||
Investment activities
|
||||||||||||
Net payments from premises and equipment
|
(121,583 | ) | (94,862 | ) | (108,887 | ) | ||||||
Net (payments) / collections from other assets
|
(1,313 | ) | (2,022 | ) | 806 | |||||||
Collections from sales of ownership interests in other companies
|
255,757 | — | — | |||||||||
Other payments from investment activities
|
(512,804 | ) | (175,710 | ) | (224,086 | ) | ||||||
Net cash flows used in investment activities
|
(379,943 | ) | (272,594 | ) | (332,167 | ) |
Fiscal year ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Financing activities
|
||||||||||||
Net collections/ (payments) from:
|
||||||||||||
- Non-subordinated corporate bonds
|
224,393 | 70,000 | — | |||||||||
- BCRA
|
15,570 | 46 | (309 | ) | ||||||||
Others
|
15,570 | 46 | (309 | ) | ||||||||
- Banks and international agencies
|
474,802 | 33,013 | (275,788 | ) | ||||||||
- Financing received from / (pay to) local financial institutions
|
109,100 | 77,996 | (16,916 | ) | ||||||||
Capital contributions
|
7,896 | — | — | |||||||||
Dividends paid in cash
|
(818,258 | ) | (480,000 | ) | (35,000 | ) | ||||||
Other (payments) / collections from financing activities
|
(3,457,737 | ) | 224,897 | 280,350 | ||||||||
Net cash flows used in financing activities
|
(3,444,234 | ) | (74,048 | ) | (47,663 | ) | ||||||
Financial results and results from holdings of cash and its equivalents (including interest)
|
2 | 13 | 29 | |||||||||
Net increase in cash and its equivalents
|
366,486 | 433,696 | 1,156,739 |
(1)
|
See Note 3.4.21.
|
Non-capitalized contributions
|
Retained earnings
|
|||||||||||||||||||||||||||
Movements
|
Capital
Stock(1)
|
Issuance
premiums(1)
|
Adjustments to
stockholders’
equity(1)
|
Legal
|
Unrealized
valuation
difference
|
Unappropriated
earnings
|
Total
|
|||||||||||||||||||||
Balances at December 31, 2008
|
471,361 | 175,132 | 312,979 | 594,391 | (181,119 | ) | 703,280 | 2,076,024 | ||||||||||||||||||||
Decisions of Stockholders’ Meeting of March 27, 2009:
|
||||||||||||||||||||||||||||
- Dividends paid in cash
|
— | — | — | — | — | (35,000 | ) | (35,000 | ) | |||||||||||||||||||
- Dividends paid in shares (1)
|
65,000 | — | — | — | — | (65,000 | ) | — | ||||||||||||||||||||
- Legal Reserve
|
— | — | — | 64,302 | — | (64,302 | ) | — | ||||||||||||||||||||
Unrealized valuation
difference (3)
|
— | — | — | — | 166,986 | — | 166,986 | |||||||||||||||||||||
Net income for the fiscal year
|
— | — | — | — | — | 718,462 | 718,462 | |||||||||||||||||||||
Balances at December 31, 2009
|
536,361 | 175,132 | 312,979 | 658,693 | (14,133 | ) | 1,257,440 | 2,926,472 | ||||||||||||||||||||
Decisions of Stockholders’ Meeting of April 30, 2010:
|
||||||||||||||||||||||||||||
- Dividends paid in cash
|
— | — | — | — | — | (480,000 | ) | (480,000 | ) | |||||||||||||||||||
- Legal Reserve
|
— | — | — | 143,692 | — | (143,692 | ) | — | ||||||||||||||||||||
Unrealized valuation
difference (3)
|
— | — | — | — | 102,264 | — | 102,264 | |||||||||||||||||||||
Net income for the fiscal year
|
— | — | — | — | — | 1,198,179 | 1,198,179 | |||||||||||||||||||||
Balances at December 31, 2010
|
536,361 | 175,132 | 312,979 | 802,385 | 88,131 | 1,831,927 | 3,746,915 | |||||||||||||||||||||
Decisions of Stockholders’ Meeting of March 30, 2011:
|
||||||||||||||||||||||||||||
- Dividends paid in cash
|
— | — | — | — | — | (804,000 | ) | (804,000 | ) | |||||||||||||||||||
- Legal Reserve
|
— | — | — | 239,636 | — | (239,636 | ) | — | ||||||||||||||||||||
Subscription of shares approved by Stockholders´ Meeting held on March 30, 2011 (2)
|
517 | 7,379 | — | — | — | — | 7,896 | |||||||||||||||||||||
Unrealized valuation
difference (3)
|
— | — | — | — | (88,131 | ) | — | (88,131 | ) | |||||||||||||||||||
Net income for the fiscal year
|
— | — | — | — | — | 1,005,577 | 1,005,577 | |||||||||||||||||||||
Balances at December 31, 2011
|
536,878 | 182,511 | 312,979 | 1,042,021 | — | 1,793,868 | 3,868,257 |
(1)
|
See Note 1.2.
|
(2)
|
See Note 1.4.
|
(3)
|
Unrealized (loss) / gain for Available for Sale investments (see Note 3.4.2.).
|
|
1.1.
|
Corporate situation
|
|
1.2.
|
Stockholders’ Equity
|
|
1.2.1.
|
Capital stock
|
Date of
|
||||||||||||||||||
Stockholders’ Meeting deciding on the issuance
|
Registration with the Public Registry of Commerce
|
Form of
placement
|
Amount
(in thousands)
|
Total
|
||||||||||||||
Capital Stock as of December 31, 2006:
|
471,361 | |||||||||||||||||
03-27-2009 | 10-05-2009 | (1) | 65,000 | 536,361 | ||||||||||||||
03-30-2011 | 09-14-2011 | (2) | 517 | 536,878 | (3) |
|
(1)
|
For payment of share dividend.
|
|
(2)
|
See Note 1.4.
|
|
(3)
|
The amount of Capital Stock is fully paid in and authorized for public offering by National Securities Commission (CNV).
|
|
1.2.2.
|
Authorized and issued shares
|
|
1.2.3.
|
Adjustments to stockholders’ equity
|
|
a)
|
The balance of the surplus of the technical valuation on the Bank’s properties made in year 1981, which is available to absorb losses on the disposal or devaluation of such properties restated by inflation as mentioned in Note 3.2.
|
|
b)
|
The inflation adjustment related to capital stock at the beginning of each year, restated as mentioned in Note 3.2.; capital stock maintains its nominal (par) value at each balance sheet date.
|
|
c)
|
The inflation adjustment related to the increase in capital stock restated as mentioned in Note 3.2. This adjustment represents the effect of inflation from the date on which the capital stock was increased to the end of each fiscal year.
|
|
December 31,
2011 and 2010
|
|||
Adjustment to equity fund appraisal revaluation
|
41,285 | |||
Adjustments to capital stock (including Issuance Premiums)
|
728,619 | |||
Cumulative losses absorption
|
(456,925 | ) | ||
Total
|
312,979 |
|
1.2.4.
|
Issuance Premiums
|
|
1.3.
|
Responsibility of stockholders
|
|
1.4.
|
Consolidar Comercializadora S.A. merged by absorption into BBVA Francés
|
|
1.5.
|
Sale of Consolidar Compañía de Seguros de Retiro S.A.
|
|
1.6.
|
Sale of Consolidar Aseguradora de Riesgos del Trabajo S.A.
|
|
1.7.
|
Atuel Fideicomisos S.A. – Merger with BBVA Francés S.A.
|
|
-
|
Fideicomiso Corp. Banca: it was created by an agreement dated May 13, 1997, executed by Atuel Fideicomisos S.A. as trustee, Corp. Banca S.A. (later BBVA Banco Francés S.A.) as trustor and beneficiary, the Argentine Central Bank and Seguro de Depósitos S.A. as beneficiaries.
|
|
-
|
Maginot Financial Trust: on September 26, 2008 a trust indenture was executed between BBVA Banco Francés S.A., as trustee, and Atuel Fideicomisos S.A. as trustor and beneficiary.
|
|
-
|
Atuel Fideicomisos also acted as administration and collection manager for Fideicomiso Diagonal, which was created by an agreement dated January 5, 2001, executed by Mercobank S.A as trustor, BBVA Banco Francés S.A. as trustee and BBVA Banco Francés S.A and other financial institutions and Seguro de Depósitos S.A. as beneficiaries (see Note 10.1.).
|
|
1.8.
|
PSA Finance Argentina Cía. Financiera S.A.
|
|
2.1.
|
In controlled majority-owned subsidiaries
|
Shares
|
Percentage participation
|
||||||||||||||||||||||||||
Principal Activity
|
Type
|
Quantity
|
Capital
|
Votes
|
|||||||||||||||||||||||
December 31,
|
December 31,
|
December 31,
|
|||||||||||||||||||||||||
Companies
|
2011
|
2010
|
2011
|
2010
|
2011
|
2010
|
|||||||||||||||||||||
BBVA Francés Valores Sociedad de Bolsa S.A. (1)
|
Stockbroker
|
Common
|
12,137 | 12,137 | 94.9687 | 94.9687 | 94.9687 | 94.9687 | |||||||||||||||||||
Consolidar AFJP S.A. (undergoing liquidation proceedings)
|
Pensions fund
manager
|
Common
|
35,425,947 | 35,425,947 | 53.8892 | 53.8892 | 53.8892 | 53.8892 | |||||||||||||||||||
Consolidar Cía. de Seguros de Retiro S.A.
|
Insurance company
|
Common
|
— | 32,274,350 | — | 66.2101 | — | 66.2101 | |||||||||||||||||||
PSA Finance Argentina Cía. Financiera S.A.
|
Financial institution
|
Common
|
26,089 | 26,089 | 50.0000 | 50.0000 | 50.0000 | 50.0000 | |||||||||||||||||||
BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión (2)
|
Fund Manager
|
Common
|
230,398 | 230,398 | 95.0000 | 95.000 | 95.0000 | 95.000 |
|
2.2.
|
Non-controlling equity investments
|
Investment
|
Country
|
% of Shares
Owned
|
Principal Activity
|
Investment in Other Subsidiaries
(in thousands of pesos)
|
||||
Rombo Compañía Financiera S.A.
|
Argentina
|
40.00%
|
Financial institution
|
54,732.0
|
||||
Consolidar ART S.A. (1)
|
Argentina
|
12.50%
|
Workers compensation insurance
|
30,719.8
|
||||
BBVA Consolidar Seguros S.A.
|
Argentina
|
12.22%
|
Insurance company
|
15,102.0
|
||||
Coelsa S.A.
|
Argentina
|
11.39%
|
Clearing house
|
97.5
|
||||
Interbanking S.A.
|
Argentina
|
10.00%
|
Information services for financial markets
|
1,930.0
|
||||
Argencontrol S.A.
|
Argentina
|
7.77%
|
Agent mandatory
|
54.0
|
||||
Sedesa S.A.
|
Argentina
|
12.31%
|
Deposit guarantee fund
|
111.0
|
||||
Banelco S.A.
|
Argentina
|
10.91%
|
Nationwide ATM network & credit card administrating
|
6,512.9
|
||||
Visa Argentina S.A.
|
Argentina
|
9.53%
|
Credit card issuer
|
6,145.5
|
|
3.1.
|
Basis of presentation
|
|
-
|
As of December 31, 2011:
|
|
a)
|
With the financial statements of BBVA Francés Valores Sociedad de Bolsa S.A., BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión and PSA Finance Argentina Cía. Financiera S.A., for the fiscal year ended December 31, 2011.
|
|
b)
|
With the financial statements of Consolidar Administradora de Fondos de Jubilaciones y Pensiones S.A. (undergoing liquidation proceedings), for the six month period ended December 31, 2011.
|
|
-
|
As of December 31, 2010:
|
|
a)
|
With the financial statements of BBVA Francés Valores Sociedad de Bolsa S.A., BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión and PSA Finance Argentina Cía. Financiera S.A., for the fiscal year ended December 31, 2010.
|
|
b)
|
With the financial statements of Consolidar Administradora de Fondos de Jubilaciones y Pensiones S.A. (undergoing liquidation proceedings) and Consolidar Cía. de Seguros de Retiro S.A., for the six month period ended December 31, 2010.
|
|
-
|
As of December 31, 2009:
|
|
a)
|
With the financial statements of BBVA Francés Valores Sociedad de Bolsa S.A., Atuel Fideicomisos S.A. and its subsidiary and PSA Finance Argentina Cía. Financiera S.A., for the fiscal year ended December 31, 2009.
|
|
b)
|
With the financial statements of Consolidar Administradora de Fondos de Jubilaciones y Pensiones S.A. (undergoing liquidation proceedings) and Consolidar Cía. de Seguros de Retiro S.A., for the six month period ended December 31, 2009.
|
|
3.2.
|
Restatement of the Financial Statements in equivalent purchasing power
|
|
3.3.
|
Comparative information
|
|
3.4.
|
Valuation methods
|
|
3.4.1.
|
Foreign currency assets and liabilities
|
|
3.4.2.
|
Governmental and private securities
|
|
§
|
Holdings booked at fair value and instruments issued by the BCRA at fair value: they were valued based on current listed prices or the prevailing present value for each security as of the close of the fiscal year. Differences in listed prices were credited/charged to income for the fiscal year.
|
|
§
|
Holdings booked at amortized cost and instruments issued by the BCRA at amortized cost: these were valued using the amount of initial recognition, rose on the basis of the interest accrued as per the internal rate of return.
|
|
§
|
Investments in listed private securities, equity and debt instruments: they were valued based on current listed prices as of the close of the fiscal year. Differences in listed prices were charged to income for the fiscal year.
|
|
§
|
Holdings booked at fair value and instruments issued by the BCRA at fair value:
|
|
-
|
Holdings for trading or financial transactions and instruments issued by the BCRA (except Holdings available for sale) for 4,813 and 65,962, respectively: they were valued based on current listed prices for each security as of the close of the fiscal year. Differences in listed prices were credited/charged to income for the fiscal year.
|
-
|
Holdings available for sale (Government Securities) for 695,479: according to Communication “A” 4702, the Government securities expressly included in the list of volatilities published by the BCRA on a monthly basis, were classified as “Available for sale”.
|
-
|
Unlisted government securities for 2,055,270: they were valued at the highest amount resulting from a comparison between the present value as estimated by BCRA and the book value (net of its balancing account), following the instructions in BCRA’s Communication “A” 4898.
|
-
|
Holdings available for sale (Instruments issued by the BCRA) for 532,818: according to Communication “A” 4702, the instruments issued by the BCRA expressly included in the list of volatilities published by the BCRA on a monthly basis, were classified as “Available for sale”.
|
§
|
Holdings booked at amortized cost and instruments issued by the BCRA at amortized cost:
|
-
|
Unlisted government securities for 175: they were valued at the highest amount resulting from a comparison between the present value as estimated by BCRA and the book value (net of its balancing account), following the instructions in BCRA’s Communication “A” 4898.
|
-
|
Unlisted instruments issued by the BCRA for 2,170,064: in accordance with the regulations issued by the BCRA, this portfolio now reflects holdings that do not show the volatility reported by the BCRA. As of December 31, 2010, the value of the holdings in accordance with the most recent quotation informed rose on the basis of the interest accrued as per the internal rate of return.
|
§
|
Investments in listed private securities, equity and debt instruments for 269: they were valued based on current listed prices as of the close of the fiscal year. Differences in listed prices were charged to income for the fiscal year.
|
3.4.3.
|
Governmental loans
|
3.4.4.
|
Benchmark stabilization coefficient (CER)
|
§
|
Federal government secured loans have been adjusted under Resolution 50/2002 of the Ministry of Economy, which resolved that the CER business 10 (ten) days prior to the maturity date of the related service will be considered for yield and repayments of the loans.
|
|
§
|
Federal Government Secured Bonds due in 2020: have been adjusted under Resolution 539/2002 of the Ministry of Economy, which resolved that the CER business 5 (five) days prior to the maturity date of the related service will be considered for yield and repayment of the bonds.
|
|
§
|
Deposits and other assets and liabilities: have been adjusted considering the CER prevailing as of December 31, 2011 and 2010.
|
|
3.4.5.
|
Allowance for loans losses and contingent commitments
|
|
3.4.6.
|
Interest income recognition
|
|
3.4.7.
|
Unlisted Corporate Bonds
|
|
3.4.8.
|
Instruments to be received and to be delivered for spot and forward transactions to be settled
|
|
§
|
In foreign currency: as of December 31, 2011 and 2010, they were valued according to the benchmark exchange rate of the BCRA for each currency determined on the last business day of the end of each fiscal year.
|
|
§
|
Securities: with Holdings booked at fair value and Instruments issued by B.C.R.A at fair value: according to the method described in Note 3.4.2.
|
|
3.4.9.
|
Amounts receivable and payable for spot and forward transactions pending settlement
|
|
3.4.10.
|
Receivables from financial leases
|
|
3.4.11.
|
Investments in other companies
|
|
§
|
Banelco S.A., Visa Argentina S.A., Consolidar A.R.T. S.A., Rombo Cía. Financiera S.A., BBVA Consolidar Seguros S.A. and Interbanking S.A.: as of December 31, 2011 and 2010 were valued by the equity method at the end of each fiscal year.
|
|
§
|
Bladex S.A. (included in Other - Foreign): was valued at acquisition cost in foreign currency plus the nominal value of stock dividends received, converted into pesos based on the method described in Note 3.4.1.
|
|
§
|
Other: as of December 31, 2011 and 2010 were valued at acquisition cost, without exceeding their recoverable value.
|
|
3.4.12.
|
Premises and equipment and Other assets
|
|
3.4.13.
|
Intangible assets
|
|
3.4.14.
|
Derivative transactions
|
|
(i)
|
Interest rate swaps are recorded at the value resulting from the application of rates differences to residual notional amounts at the end of each fiscal year.
|
|
(ii)
|
Forward transactions receivable/payable in Pesos without delivery of the underlying asset are recorded for the amount receivable or payable, as appropriate, arising from the difference between the agreed exchange rate and the exchange rate at the end of each fiscal year as applied to stated notional amounts.
|
|
3.4.15.
|
Term investments yielding variable income - Communication “A” 2482 and supplemented
|
|
3.4.16.
|
Employee termination pay
|
|
3.4.17.
|
Other liabilities
|
|
3.4.18.
|
Allowance for other contingencies
|
|
3.4.19.
|
Stockholders’ equity accounts
|
|
3.4.20.
|
Statements of Operations Accounts
|
|
§
|
As of December 31, 2011, 2010 and 2009, accounts accruing monetary transactions (financial income (expense), service charge income (expense), provision for loan losses, administrative expenses, etc.) were computed on the basis of their monthly accrual at historical rates.
|
|
§
|
Accounts reflecting the effect on income resulting from the sale, write-off, or use of non-monetary assets were computed based on the value of such assets, as mentioned in Note 3.2.
|
|
§
|
Income from investments in subsidiaries was computed based on such companies’ income adjusted as explained in Note 3.2.
|
|
3.4.21.
|
Consolidated Statements of Cash and Cash Equivalents Flows
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
a) Cash and due from banks
|
6,353,428 | 5,691,806 | 5,255,412 | |||||||||
b) Government securities held for trading or financial transactions
|
85,342 | 442,478 | 488,176 | |||||||||
c) Loans to financial sector, calls granted maturity date less than three months as from the end of each fiscal year
|
179,500 | 117,500 | 74,500 | |||||||||
CASH AND ITS EQUIVALENTS
|
6,618,270 | 6,251,784 | 5,818,088 |
|
3.4.22.
|
Other assets and other liabilities from subsidiaries (Consolidar Group)
|
|
3.4.23.
|
Use of estimates
|
|
4.1.
|
Valuation criteria
|
|
a)
|
Tax effects
|
|
b)
|
Derivative financial instruments
|
|
c)
|
Consolidar AFJP S.A. building acquisition
|
|
d)
|
Consolidar Retiro. S.A. building acquisition
|
|
4.2.
|
Valuation criteria and aspects related to disclosure of information
|
|
Holdings available for sale
|
|
4.3.
|
Other differences with respect to generally accepted accounting principles effective in Argentina, related to subsidiaries
|
|
a)
|
Arising from the application of the accounting standards laid down by the S.S.N. and the professional accounting standards in force in Argentina:
|
|
(i)
|
Federal Government secured loans - Decree No. 1387/01 held by Consolidar Cía. de Seguros de Retiro S.A amounting to 693,449 as of December 31, 2010 were valued in accordance with the regulations of the S.S.N.
|
|
(ii)
|
The portfolio of Government securities in investment accounts held by Consolidar Cía. de Seguros de Retiro S.A. as of December 31, 2010 was booked in accordance with the standards of the S.S.N.
|
|
(iii)
|
In the Other Liabilities caption, Consolidar Cía. de Seguros de Retiro S.A included, as of December 31, 2010, the balance from the technical commitments incurred with the insured. The abovementioned caption included 7,913, corresponding to the regularizing account called “Unaccrued secured loans valuation difference” which, as established by the S.S.N., would be settled through subsequent accrual of the regularizing accounts of secured loans. In accordance with professional accounting standards currently in force in Argentina, such amount should have been recorded as a loss for the year ended December 31, 2003.
|
|
(iv)
|
The items included under the captions “Other Subsidiaries’ assets” and “Other Subsidiaries’ liabilities” were valued in accordance with the regulations of the S.S.N.
|
|
(v)
|
Consolidar Cía. de Seguros de Retiro S.A.: the Company included the balance from the technical commitments incurred with the insured in the Other Liabilities caption. The abovementioned caption includes 7,913 and 8,993 at December 31, 2010 and 2009, respectively, corresponding to the regularizing account called “Unaccrued secured loans valuation difference” which, as established by the S.S.N., will be settled through subsequent accrual of the regularizing accounts of secured loans. In accordance with professional accounting standards currently in force in the City of Buenos Aires, such amount should have been recorded as a loss for the year ended December 31, 2003.
|
|
(vi)
|
Upon booking the effects of the interest rate swaps as of December 31, 2009, Consolidar Cía. de Seguros de Retiro S.A. abided by the rules established by the S.S.N. Had the currently applicable professional accounting standards been applied, the shareholders’ equity in the consolidated financial statements would have been increased by 245 as of December 31, 2009.
|
|
b)
|
Arising from the application of the accounting standards laid down by the BCRA and the professional accounting standards in force in Argentina:
|
|
(i)
|
Consolidar Cía. de Seguros de Retiro S.A.: as of December 31, 2010, a part of its portfolio of instruments issued by the BCRA has been recorded in investment accounts, and they have been valued as per
|
|
|
Communication “A” 4698 of the BCRA. The net difference with the market values as of December 31, 2010 and 2009 amounted to 1,728 (income) and 7,435 (income), respectively.
|
|
(ii)
|
The commissions paid by PSA Finance Argentina Cía. Financiera S.A. to dealers for granting financing to companies and to the public in general in connection with purchases and sales of automobiles, which in accordance with the rules established by the BCRA are charged to the Income Statement, should be accrued throughout the duration of the loans generated by said dealers in accordance with currently applicable professional accounting standards. Had this criterion been applied, shareholders’ equity would have been increased by 10,380 and 5,972 as of December 31, 2011 and 2010, respectively.
|
|
(iii)
|
The Bank has not made disclosures required by professional accounting standards in force in Argentina on discontinued operations or discontinuation in relation to the process of liquidating its subsidiary Consolidar A.F.J.P. S.A. (undergoing liquidation proceedings).
|
|
5.1.
|
Income tax
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Deferred tax assets
|
333,200 | 473,900 | ||||||
Deferred tax liabilities
|
(223,600 | ) | (411,600 | ) | ||||
Net deferred assets
|
109,600 | 62,300 | ||||||
Allowance
|
(109,600 | ) | (62,300 | ) |
|
5.2.
|
Tax on minimum presumed income
|
|
5.3.
|
Other tax issues
|
|
a)
|
In the year 1998 through 2000, the Bank was notified of three tax assessments performed at the initiative of the Federal Administration of Public Revenue (AFIP), concerning income tax for the fiscal years 1992, 1993 and 1994 through 1998 plus minimum presumed income tax for the fiscal year 1999.
|
|
b)
|
On October 24, 2007, the Bank was notified by the Tax Bureau of the City of Buenos Aires of the commencement of a sua sponte tax assessment on a certain basis and partial in nature of the taxable income as regards turnover tax for the fiscal years 2002 and 2003.
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
a) GOVERNMENT AND PRIVATE SECURITIES
|
||||||||
Holdings booked at fair value
|
||||||||
Federal Government Bonds in Pesos BADLAR plus 275 bp due in 2014
|
1,017,471 | 1,383,120 | ||||||
Secured Bonds due in 2020
|
828,433 | 988,036 | ||||||
Secured Bonds due in 2018
|
178,727 | 101,164 | ||||||
Discount Bonds in pesos
|
23,377 | 425,016 | ||||||
Federal Government Bocon PRO 12
|
14,814 | 183,003 | ||||||
Federal Government Bonds in Pesos BADLAR plus 350 bp due in 2013
|
12,795 | 44,850 | ||||||
Federal Government Bonds in Pesos BADLAR plus 300 bp due in 2015
|
— | 419,487 | ||||||
Federal Government Bonds in US dollar 7% P.A. due 2015
|
— | 267,987 | ||||||
Treasury Notes
|
— | 222,929 | ||||||
Discount Bonds in US dollar
|
— | 170,223 | ||||||
Federal Government Bocon PRE9
|
— | 29,673 | ||||||
Federal Government Bonds in Pesos 10.5% due in 2012
|
— | 26,186 | ||||||
Federal Government Bonds in US dollar 7% due 2011
|
— | 12,355 | ||||||
Federal Government Bocon PRO13
|
— | 9,639 | ||||||
Bonar X
|
— | 4,686 | ||||||
Peso-denominated GDP-related securities
|
— | 4,141 | ||||||
Other
|
12,905 | 17,272 | ||||||
Total
|
2,088,522 | 4,309,767 | ||||||
Holdings booked at amortized cost
|
||||||||
Other
|
164 | 181 | ||||||
Total
|
164 | 181 | ||||||
Instruments issued by the BCRA
|
||||||||
BCRA Bills (LEBAC)
|
2,352,026 | 1,650,748 | ||||||
BCRA Notes (NOBAC)
|
1,095,946 | 1,431,271 | ||||||
Total
|
3,447,972 | 3,082,019 | ||||||
Investments in listed private securities
|
||||||||
FBA Ahorro Pesos Investment Fund
|
24,619 | 1,289 | ||||||
FBA Renta Pesos Investment Fund
|
3,039 | 15,850 | ||||||
Corporate Bonds Petrobrás Energía S.A.
|
81 | 3,656 | ||||||
Corporate Bonds YPF
|
— | 50,291 | ||||||
MBT Serie 1 Clase A Financial Trust
|
— | 10,121 | ||||||
Corporate Bonds Gas Natural Ban
|
— | 9,135 | ||||||
Corporate Bonds Grupo Concesionario del Oeste
|
— | 5,453 | ||||||
Corporate Bonds Petroquímica Comodoro Rivadavia S.A.
|
— | 2,273 | ||||||
Other
|
816 | 5,536 | ||||||
Sub-Total
|
28,555 | 103,604 | ||||||
Allowances
|
(184 | ) | (189 | ) | ||||
Total
|
5,565,029 | 7,495,382 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
b) LOANS – Other
|
||||||||
Loans granted to pre-finance exports
|
3,003,322 | 2,329,504 | ||||||
Fixed-rate financial loans
|
2,640,216 | 1,392,175 | ||||||
Financial loans to foreign institutions
|
70,704 | 5.964 | ||||||
Other
|
115,364 | 282,606 | ||||||
Total
|
5,829,606 | 4,010,249 | ||||||
c) INVESTMENTS IN OTHER COMPANIES – Other
|
||||||||
In other non-controlled companies- unlisted
|
45,876 | 37,321 | ||||||
In non-controlled companies-supplementary activities
|
24,597 | 25,121 | ||||||
Total
|
70,473 | 62,442 | ||||||
d) OTHER RECEIVABLES – Other
|
||||||||
Miscellaneous receivables
|
234,533 | 154,010 | ||||||
Guarantee deposits
|
201,904 | 102,105 | ||||||
Tax prepayments
|
121,481 | 71,304 | ||||||
Prepayments
|
110,886 | 95,141 | ||||||
Other
|
14,602 | 58,412 | ||||||
Total
|
683,406 | 480,972 | ||||||
e) OTHER SUBSIDIARIES’ ASSETS
|
||||||||
Others related to insurance business
|
450 | 450 | ||||||
Total
|
450 | 450 | ||||||
f) OTHER LIABILITIES FROM FINANCIAL
|
||||||||
TRANSACTIONS – Other
|
||||||||
Accounts payable for consumption
|
547,354 | 394,705 | ||||||
Collections and other operations for the account of third parties
|
473,628 | 290,211 | ||||||
Other withholdings and collections at source
|
261,986 | 202,444 | ||||||
Money orders payable
|
174,928 | 179,820 | ||||||
Loans received from Argentine Technological Fund (FONTAR and Banco de Inversión y Comercio Exterior (“BICE”))
|
49,324 | 38,391 | ||||||
Pending Banelco debit transactions
|
36,505 | 28,493 | ||||||
Loans received from Interamerican Development Bank (BID)
|
15,945 | 18,420 | ||||||
Social security payment orders pending settlement
|
4,987 | 3,852 | ||||||
Other
|
90,300 | 84,466 | ||||||
Total
|
1,654,957 | 1,240,802 | ||||||
g) OTHER LIABILITIES – Other
|
||||||||
Accrued taxes
|
431,534 | 320,546 | ||||||
Miscellaneous payables
|
324,307 | 241,339 | ||||||
Accrued salaries and payroll taxes
|
240,783 | 187,503 | ||||||
Amounts collected in advance
|
79,470 | 65,126 | ||||||
Other
|
2,137 | 3,208 | ||||||
Total
|
1,078,231 | 817,722 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
h) OTHER SUBSIDIARIES’ LIABILITIES
|
||||||||
Insurance companies, mathematical reserve
|
— | 2,450,173 | ||||||
Fluctuation fund – Consolidar Cía. de Seguros de Retiro S.A.
|
— | 309,208 | ||||||
Difference arising from Federal Government secured loans accrued valuation Consolidar Cía. de Seguros de Retiro S.A.
|
— | (7,913 | ) | |||||
Others related to insurance business
|
336 | 85,094 | ||||||
Total
|
336 | 2,836,562 | ||||||
i) MEMORANDUM ACCOUNTS – DEBIT – CONTROL – Other
|
||||||||
Securities representative of investment in escrow on behalf of the Guarantee Fund for the Sustainability of the Pay-as-you-go System managed by the Argentine Federal Government
|
35,717,602 | 36,645,801 | ||||||
Items in safekeeping
|
16,094,866 | 17,028,587 | ||||||
Checks not yet credited
|
2,567,258 | 1,697,519 | ||||||
Collections items
|
400,241 | 430,819 | ||||||
Checks drawn on the Bank pending clearing
|
254,125 | 245,783 | ||||||
Other
|
96,100 | 79,403 | ||||||
Total
|
55,130,192 | 56,127,912 | ||||||
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
j) SERVICE CHARGE INCOME - Other
|
||||||||||||
Commissions for hiring of insurances
|
176,920 | 133,843 | 116,202 | |||||||||
Rental of safe-deposit boxes
|
75,798 | 53,482 | 34,997 | |||||||||
Commissions for loans and guaranties
|
59,365 | 40,100 | 17,984 | |||||||||
Commissions for capital market transactions
|
16,580 | 20,421 | 10,120 | |||||||||
Commissions for transportations of values
|
14,807 | 11,145 | 11,589 | |||||||||
Commissions for escrow
|
10,880 | 6,855 | 7,940 | |||||||||
Commissions for salary payment
|
8,759 | 7,694 | 7,305 | |||||||||
Commissions for trust management
|
1,527 | 1,844 | 2,246 | |||||||||
Other
|
58,043 | 57,183 | 46,438 | |||||||||
Total
|
422,679 | 332,567 | 254,821 | |||||||||
k) SERVICE CHARGE EXPENSE - Other
|
||||||||||||
Turn-over tax
|
119,349 | 81,489 | 63,935 | |||||||||
Insurance paid on lease transactions
|
21,042 | 15,215 | 19,205 | |||||||||
Other
|
12,892 | 5,352 | 4,655 | |||||||||
Total
|
153,283 | 102,056 | 87,795 | |||||||||
l) OTHER INCOME - Other
|
||||||||||||
Deferred income tax (1)
|
47,300 | — | 120,148 | |||||||||
Tax recovery
|
18,166 | 12,800 | 10,820 | |||||||||
Related parties expenses recovery
|
13,620 | 8,638 | 7,060 | |||||||||
Income from the sale of fixed and miscellaneous assets
|
2,150 | 2,259 | 3,082 | |||||||||
Rent
|
677 | 565 | 807 | |||||||||
Premiums – Insurance companies
|
— | 17,648 | 20,285 | |||||||||
Other
|
52,370 | 20,827 | 13,068 | |||||||||
Total
|
134,283 | 62,737 | 175,270 | |||||||||
(1) Offset by a charge for the same amount in the line Charge for uncollectibility of other receivables and other allowances under the caption Other expense.
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
m) OTHER EXPENSES – Other
|
||||||||||||
Insurance companies, mathematical reserve
|
— | 252,457 | 168,135 | |||||||||
Life Annuities – Consolidar Cía. de Seguros de Retiro S.A.
|
— | 177,237 | 166,673 | |||||||||
Claims paid – Insurance companies
|
— | 10,869 | 3,803 | |||||||||
Redemptions
|
— | 12,011 | 34,336 | |||||||||
Disability and life insurance premiums
|
— | — | 64 | |||||||||
Other
|
36,520 | 26,307 | 68,419 | |||||||||
Total
|
36,520 | 478,881 | 441,430 |
|
a)
|
The Government and Private Securities account includes 132,500 in bonds issued by the Argentine Government maturing in 2014 as of December 31, 2011 and 100,005 in Guaranteed Bonds maturing in 2018 and as of the end of the previous fiscal year, allocated to the guarantee required to act as custodian of investment securities related to Guarantee Fund for the Sustainability of the Pay-as-you-go System managed by the Argentine State.
|
|
b)
|
The Bank appropriated 37,524 in bonds issued by the Argentine Government maturing in 2014 as of December 31, 2011 and BCRA Bills (Badlar), in an amount of 67,341, as of the end of the previous fiscal year, to secure loans arranged under the Credit Global Program given by the Interamerican Development Bank (B.I.D.).
|
|
c)
|
The Bank appropriated 33,063 in Guaranteed Bonds maturing in 2020 as of December 31, 2011, to secure loans granted by the so-called “Bicentennial Fund”.
|
|
d)
|
The Bank appropriated loan funds of its active portfolio in an amount of 1,722 and 1,591, respectively, to secure debts with the BCRA.
|
|
e)
|
The Bank has also appropriated accounts, deposits and trusts for 441,836 and 280,014, respectively, as security for activities related to credit card operations, automated clearing houses, non-deliverable forwards and lawsuits.
|
|
f)
|
BBVA Francés Valores Sociedad de Bolsa S.A. (formerly, Francés Valores Sociedad de Bolsa S.A.) holds shares of Mercado de Valores de Buenos Aires S.A, booked in the amount of 9,600 as of December 31, 2011 and 2010. These shares have been pledged in favor of “CHUBB Argentina de Seguros S.A.” in security of the contract this insurance company executed with Mercado de Valores de Buenos Aires S.A. to cover the latter’s guaranteeing any noncompliance of stock broking companies with their obligations.
|
|
10.1.
|
Financial Trusts
|
|
10.2.
|
Non-Financial Trusts
|
|
§
|
Transactions as of December 31, 2011:
|
|
-
|
Interest rate swaps for 467,600 (Fixed Rate versus Badlar), maturing within a period not exceeding 3 years for which the Bank pays a variable amount in accordance with changes in the Badlar, Encuesta rate, and receives a fixed amount based on stated notional amounts; and interest rate swaps for 29,000 (Badlar versus Fixed Rate), maturing within a period not exceeding 1 year for which the Bank pays a fixed amount, and receives a variable amount in accordance with changes in the Badlar.
|
|
-
|
Interest rate swap for 55,236 (Fixed Rate versus Badlar), with final maturity in September 2019, for which the Bank pays a variable amount in accordance with changes in the Badlar, Encuesta rate, and receives a fixed amount based on stated notional amounts.
|
|
-
|
Non-deliverable forward purchase and sale transactions in foreign currency and ratios payable in Pesos, maturing within a period not exceeding 1 year, for 3,588,570 and 3,419,241, which are recorded under “Memorandum Accounts - Debit Accounts - Derivatives – “Notional” amount of non-deliverable forward transactions”, and “Memorandum Accounts - Credit Accounts - Derivatives – “Notional” amount of non-deliverable forward transactions”, respectively.
|
|
-
|
Call options bought for 30,032 and call options written for 34,505 agreed as hedging for the Bank’s borrowing position in connection with term investments yielding variable income conducted by customers. Said transactions were recorded under “Memorandum Accounts - Debit Accounts – Derivatives – “Notional” amount of call options bought” for 30,032 and under “Memorandum Accounts - Credit Accounts - Derivatives – “Notional” amount of call options written” for 34,505.
|
|
-
|
Forward sales due to BCRA Bills repurchase agreements for 1,076,058, which are recorded under “Other liabilities from financial transactions – Instruments to be delivered for spot and forward sales to be settled”.
|
|
-
|
Forward purchases due to BCRA Bills reverse repurchase agreements for 99,490, which are recorded under “Other receivables from financial transactions – Instruments to be received for spot and forward purchases to be settled”.
|
|
§
|
Transactions as of December 31, 2010:
|
|
-
|
Interest rate swaps for 152,500 (Fixed Rate versus Badlar), maturing within a period not exceeding 2 years for which the Bank pays a variable amount in accordance with changes in the Badlar, Encuesta rate, and receives a fixed amount based on stated notional amounts.
|
|
-
|
Interest rate swap for 61,467 (Fixed Rate versus Badlar), with final maturity in September 2019, for which the Bank pays a variable amount in accordance with changes in the Badlar, “Encuesta rate”, and receives a fixed amount based on stated notional amounts.
|
|
-
|
Non-deliverable forward purchase and sale transactions in ratios payable in Pesos, maturing within a period not exceeding 1 year, for 2,478,406 and 2,100,225, which are recorded under “Memorandum Accounts - Debit Accounts - Derivatives – “Notional” amount of non-deliverable forward transactions”, and “Memorandum Accounts - Credit Accounts - Derivatives – “Notional” amount of non-deliverable forward transactions”, respectively.
|
|
-
|
Call options bought for 52,702 and call options written for 60,082 agreed as hedging for the Bank’s borrowing position in connection with term investments yielding variable income conducted by customers. Said transactions were recorded under “Memorandum Accounts - Debit Accounts – Derivatives – “Notional” amount of call options bought” for 52,702 and under “Memorandum Accounts - Credit Accounts - Derivatives – “Notional” amount of call options written” for 60,082.
|
|
-
|
The Bank does not carry balances from repos and/or reverse repos in force as of December 31, 2010. This notwithstanding, the transactions conducted during fiscal 2010 have yielded 27,127 in income at the end of the fiscal year.
|
|
13.1.
|
Compliance with the requirements to act as agent in the over-the-counter market
|
|
13.2.
|
Investment Funds custodian
|
December 31,
|
||||||||
Name of Mutual Fund
|
2011
|
2010
|
||||||
FBA Acciones Globales
|
56,616 | 70,827 | ||||||
FBA Total
|
16,017 | 15,998 | ||||||
FBA Renta
|
17,435 | 15,731 | ||||||
FBA Renta Pesos
|
1,228,914 | 942,439 | ||||||
FBA Renta Dólares
|
4,613 | 4,388 | ||||||
FBA Bonos Latinoamericanos
|
12,977 | 14,904 | ||||||
FBA Calificado
|
72,591 | 120,387 | ||||||
FBA Internacional
|
645 | 588 | ||||||
FBA Ahorro Dólares
|
11,671 | 11,011 | ||||||
FBA Renta Fija
|
18,566 | 21,358 | ||||||
FBA Ahorro Pesos
|
422,678 | 280,034 | ||||||
FBA Renta Premium
|
10,056 | 10,672 | ||||||
FBA Europa
|
2,926 | 2,604 | ||||||
FBA Horizonte
|
35,230 | 49,081 | ||||||
FBA EEUU
|
7,501 | 3,447 | ||||||
FBA Renta Corto Plazo
|
443 | 608 | ||||||
FBA Acciones Latinoamericanas
|
19,948 | 25,861 | ||||||
FBA Bonos Argentina
|
4,922 | 4,894 | ||||||
FBA Brasil
|
25,998 | 35,886 | ||||||
FBA México
|
62 | 1,187 | ||||||
FBA Commodities
|
58 | 60 | ||||||
FBA Acciones Argentinas
|
260 | 704 | ||||||
FBA Bonos Globales
|
79 | 76 | ||||||
Total
|
1,970,206 | 1,632,745 |
|
a)
|
On March 18, 2011, the BCRA through its Case File No. 312/04/11 approved the distribution of 804,000 cash dividends. In addition, the Ordinary and Extraordinary Shareholders’ Meeting held on March 30, 2011 approved the allocation of earnings as follows:
|
|
-
|
To Legal Reserve: 239,636
|
|
-
|
To cash dividends: 804,000
|
|
-
|
To Unappropriated earnings: 154,543
|
|
b)
|
In accordance with the provisions of BCRA, on March 26, 2012 the Bank’s Ordinary and Extraordinary Shareholders’ Meeting appropriated the amount of 201,115 currently included under Unappropriated earnings to the Legal Reserve.
|
|
c)
|
In accordance with Communications “A” 5072 and 5273, issued on May 6, 2010 and January 27, 2012, respectively, as amended and supplemented, of “Distribution of Income” of the BCRA, for purposes of calculating the earnings subject to distribution, off-balance sheet deductions must be performed from the sum of the balances recorded in the account Unappropriated retained earnings and in the Voluntary reserve for future distributions of income as set forth in point 2.1 of such Communication. In addition, the authorization of the Superintendent of Financial and Exchange Institutions shall be required in order to verify that the procedure established in said resolution for earnings distribution has been properly applied.
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Consolidar Administradora de Fondos de Jubilaciones y Pensiones S.A. (undergoing liquidation proceedings)
|
9,356 | 18,889 | ||||||
Consolidar Cía. de Seguros de Retiro S.A.
|
— | 91,287 | ||||||
BBVA Francés Valores Sociedad de Bolsa S.A. (1)
|
686 | 622 | ||||||
PSA Finance Argentina Cía. Financiera S.A.
|
71,946 | 68,295 | ||||||
BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión (2)
|
121 | 99 | ||||||
____________________ | 82,109 | 179,192 | ||||||
(1) Formerly Francés Valores Sociedad de Bolsa S.A.
(2) Formerly Francés Administradora de Inversiones S.A. Sociedad Gerente de Fondos Comunes de Inversión.
|
COMPUTABLE COMPLIANCE IN PESOS
|
||||
Cash
|
912,503 | |||
Special Guarantee Accounts
|
147,406 | |||
BCRA Checking Account
|
1,749,556 | |||
Cash in transit
|
119 | |||
Cash in valuables’ transportation
|
999,325 | |||
Franchises
|
146,454 | |||
TOTAL
|
3,955,363 |
Cash
|
387,176 | |||
Special Guarantee Accounts
|
13,125 | |||
BCRA Checking Account
|
1,864,738 | |||
Cash in transit
|
80 | |||
Cash in valuables’ transportation
|
124,551 | |||
TOTAL
|
2,389,670 | |||
COMPUTABLE COMPLIANCE IN EUROS (Stated in thousands of Pesos)
|
||||
Cash
|
70,055 | |||
BCRA Checking Account
|
32,931 | |||
Cash in transit
|
28 | |||
Cash in valuables’ transportation
|
14,807 | |||
TOTAL
|
117,821 |
|
a)
|
Credit Risk
|
|
-
|
Verify the client sufficient income-generation sources and an adequate financial structure to face the commitments to repay principal and interest of the owned receivables within the terms agreed.
|
|
-
|
Adequate and sufficient guarantees must to allow the loans recovery.
|
|
-
|
Adequate knowledge of the client so that the decision-making officials are sufficiently confident and secure when they decide to grant the loan.
|
|
-
|
Balance and correlation between the use of the proceeds, the amount, the term and the manner to repay the loan based on the client´s generation of resources and the guarantees.
|
|
-
|
The activities carried on by the client must be identified so that the client can be assigned to the appropriate classification of sectors of the economy assessing its positioning and growth expectations.
|
|
-
|
Permanent consulting for hints of junctures in the policies currently in force in each sector for an adequate response in line with the general investment or divestiture guidelines in a sector or sub-sector of the economy, amongst others.
|
|
b)
|
Financial Risk
|
|
-
|
Identifying the Business Units within the Entity that carry out transactions entailing market risks, which should thus be included in the corporate applications of measurement and control risk.
|
|
-
|
Monitor on a daily basis compliance with the risk limits and policies of the Business Units.
|
|
-
|
Determine, on a daily basis, the market variables that will be used in the valuation of the Treasury positions and by the Committee of Assets and Liabilities (COAP).
|
|
-
|
Determine the calculation of the Credit Exposure of the Treasury Client counterparts (Credit Risk in the Market Desk).
|
|
-
|
SMF: Sensitivity to the Financial Margin in the event of +/-100bps variations in interest rates;
|
|
-
|
SVE: Sensitivity to the Equity Value in the event of +/-100bps variations in interest rates;
|
|
-
|
SVE COAP: Sensitivity to the Equity Value of the COAP portfolio in the event of +/-100bps variations in interest rates;
|
|
-
|
MeR: Margin at Risk, understood as the maximum unfavorable departure from the financial margin projected for a pre-determined level of confidence; and
|
|
-
|
CE: calculation of the Equity Capital of the Bank, consisting in an estimate of the unexpected losses that could be incurred in the various risk activities carried out, in other words, the maximum losses that could be sustained with a given level of confidence.
|
|
c)
|
Operational Risk
|
|
-
|
Assess the degree of mitigation activity implemented in the various areas
|
|
-
|
Verify that the measures have been adopted in accordance with priority criteria for the mitigation of risk factors.
|
|
-
|
Ensure that the contingency plans and service continuity defined by the various business units or supporting areas have been properly implemented and updated to reduce the risk of certain high-impact risk factors.
|
Balance Sheet
|
Memorandum Accounts (1)
|
|||||||||||||||||||||||
Assets
|
Liabilities
|
|||||||||||||||||||||||
Company
|
2011
|
2010
|
2011
|
2010
|
2011
|
2010
|
||||||||||||||||||
BBVA S.A.
|
12,537 | 223,929 | 16,327 | 8,723 | 252,634 | 188,713 | ||||||||||||||||||
Consolidar A.R.T. S.A.
|
140 | 105 | 257,765 | 88,713 | 23,424 | 6,772 | ||||||||||||||||||
BBVA Consolidar Seguros S.A.
|
12,238 | 8,462 | 3,721 | 3,092 | — | 943 | ||||||||||||||||||
Rombo Cía. Financiera S.A.
|
564,341 | 269,288 | 30,803 | 5,194 | 224,000 | 109,000 | ||||||||||||||||||
Inversora Otar S.A.
|
5,235 | — | 910 | 360 | 400,761 | 773,796 | ||||||||||||||||||
Consolidar Comercializadora S.A. (2)
|
— | 52 | — | 19,808 | — | 42,335 |
|
(1)
|
Includes items in safekeeping, Credit lines granted (unused portion) covered by debtor classification regulations, Guaranties given covered by debtor classification regulations and derivates transactions.
|
|
(2)
|
See Note 1.4.
|
Net income (1)
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Income
|
177,134 | 121,613 | 103,101 | |||||||||
Expenses
|
(18,775 | ) | (18,851 | ) | (39,174 | ) | ||||||
158,359 | 102,762 | 63,927 | ||||||||||
|
20.1.
|
Minimum cash balances and restricted deposit
|
|
December 31,
|
|||||||
|
2011
|
2010
|
||||||
Peso and Foreign Currency Balances
|
4,453,004 | 3,583,350 |
|
20.2.
|
Interest-bearing deposits with other banks
|
|
a)
|
Included in “Cash and Due from Banks” there are: (1) interest-bearing deposits with the BCRA totalling 3,651,375 and 4,098,792 as of December 31, 2011 and 2010, respectively; (2) interest-bearing deposits in foreign banks totalling 34 and 732 as of December 31, 2011 and 2010, respectively, and (3) interest-bearing deposits in local banks totalling 2 and 65 as of December 31, 2011 and 2010, respectively.
|
|
b)
|
Included in “Loans” there are: overnight foreign bank interest-bearing deposits totalling 70,704 and 5,964 as of December 31, 2011 and 2010, respectively.
|
|
c)
|
Included in “Other Receivables from Financial Transactions” there are other interest-bearing deposits with the BCRA totalling 147,406 and 131,390 as of December 31, 2011 and 2010, respectively.
|
|
20.3.
|
Government securities and instruments issued by the BCRA at amortized cost
|
December 31,
|
||||||||||||||||||||||||||||||||
2011
|
2010 (1)
|
2011
|
2010 (1)
|
2011
|
2010 (1)
|
2011
|
2010 (1)
|
|||||||||||||||||||||||||
Book value
|
Gross unrealized
gains
|
Gross unrealized
losses
|
Market value
|
|||||||||||||||||||||||||||||
Debt Consolidation Bonds – Social Security (BOCON)
|
— | 52,261 | — | 47,339 | — | — | — | 99,600 | ||||||||||||||||||||||||
Argentine Governments Bonds
|
— | 1,064,279 | — | 303,201 | — | — | — | 1,367,480 | ||||||||||||||||||||||||
BCRA Bills
|
1,275,218 | — | — | — | 11,461 | — | 1,263,757 | — | ||||||||||||||||||||||||
BCRA Notes
|
677,698 | 178,833 | — | 1,728 | 5,158 | — | 672,540 | 180,561 | ||||||||||||||||||||||||
Total
|
1,952,916 | 1,295,373 | — | 352,268 | 16,619 | — | 1,936,297 | 1,647,641 | ||||||||||||||||||||||||
December 31, 2011
|
||||||||
Amortized cost
|
Market value
|
|||||||
Due in one year or less
|
1,952,916 | 1,936,297 | ||||||
Total
|
1,952,916 | 1,936,297 |
|
20.4.
|
Loans
|
|
-
|
Overdraft: basically short-term loans to companies and overdraft lines of credit.
|
|
-
|
Discounted instruments: includes promissory notes, discounted documents and instruments acquired under factoring agreements.
|
|
-
|
Real estate mortgage: loans to purchase or improve real estate and collateralized by such real estate or commercial loans secured by real estate
|
|
-
|
Collateral loans (real state mortgage and security agreements): loans secured by privileged guarantees.
|
|
-
|
Consumer: loans granted to individuals to acquired consumer goods.
|
|
-
|
Credit cards: consists mainly of credit card loans.
|
|
-
|
Others: includes mainly short-term placements in foreign banks.
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Government sector
|
46,027 | 1,297,642 | ||||||
Financial sector
|
1,146,532 | 578,878 | ||||||
Non-financial private sector and residents abroad
|
22,128,299 | 15,219,559 | ||||||
—Commercial portfolio
|
||||||||
With self-liquidating preferred guarantees
|
309,735 | 314,060 | ||||||
With other preferred guarantees
|
307,231 | 173,390 | ||||||
Without preferred guarantees
|
10,781,439 | 7,306,758 | ||||||
—Consumer portfolio
|
||||||||
With self-liquidating preferred guarantees
|
8,524 | 9,349 | ||||||
With other preferred guarantees
|
2,023,774 | 1,455,451 | ||||||
Without preferred guarantees
|
8,697,596 | 5,960,551 | ||||||
Less: Allowances for doubtful loans
|
(444,973 | ) | (396,227 | ) | ||||
Total
|
22,875,885 | 16,699,852 |
Maturing
|
||||||||||||||||||||
Amount at December 31,
2011
|
Within
3 months
|
After 3
months but
within 1 year
|
After 1 year
but within
5 years
|
After 5 years
|
||||||||||||||||
(in thousands of pesos, except percentages)
|
||||||||||||||||||||
To the non-financial public sector
|
46,027 | 15,728 | — | — | 30,299 | |||||||||||||||
To the financial sector
|
1,146,532 | 307,080 | 344,723 | 494,729 | — | |||||||||||||||
To the non-financial private sector and residents abroad
|
22,128,299 | 10,266,268 | 5,896,692 | 5,643,059 | 322,280 | |||||||||||||||
Overdrafts
|
2,970,793 | 1,760,280 | 1,189,169 | 21,344 | — | |||||||||||||||
With privileged guarantees
|
2,596,550 | 332,804 | 612,747 | 1,334,062 | 316,937 | |||||||||||||||
Credit cards
|
3,457,546 | 3,457,546 | — | — | — | |||||||||||||||
Other
|
13,103,410 | 4,715,638 | 4,094,776 | 4,287,653 | 5,343 | |||||||||||||||
Total
|
23,320,858 | 10,589,076 | 6,241,415 | 6,137,788 | 352,579 | |||||||||||||||
Percentage of total loan portfolio
|
100.00% | 45.41% | 26.76% | 26.32% | 1.51% |
Industry Segment
|
Percentage of
Total Loans
|
|||
Consumer
|
42.17 | % | ||
Other
|
26.73 | % | ||
Financial sector
|
4.92 | % | ||
Chemicals
|
4.62 | % | ||
Agricultural and livestock
|
4.23 | % | ||
Retail trade
|
4.04 | % | ||
Food stuff
|
3.14 | % | ||
Wholesale trade
|
3.12 | % | ||
Mining products
|
2.75 | % | ||
Industrial metals
|
2.16 | % | ||
Transportation material
|
1.09 | % | ||
Beverage
|
1.03 | % | ||
Total
|
100.00 | % |
December 31,
|
||||||||
|
2011
|
2010
|
||||||
Balance at the beginning of the fiscal year
|
250,257 | 118,390 | ||||||
New Loans
|
288,830 | 148,880 | ||||||
Repayments
|
(10,827 | ) | (17,013 | ) | ||||
Balance at the end of the fiscal year
|
528,260 | 250,257 |
|
20.5.
|
Allowance for loan losses
|
December 31,
|
||||||||||||
|
2011
|
2010
|
2009
|
|||||||||
Balance at the beginning of the fiscal year
|
396,227 | 337,686 | 196,489 | |||||||||
Provision for loan losses
|
134,199 | 178,800 | 244,800 | |||||||||
Write-offs
|
(85,453 | ) | (120,259 | ) | (103,603 | ) | ||||||
Balance at the end of the fiscal year
|
444,973 | 396,227 | 337,686 | |||||||||
|
20.6.
|
Other receivables from financial transactions
|
December 31,
|
||||||||
Description
|
2011
|
2010
|
||||||
With preferred guarantees
|
417,836 | 346,396 | ||||||
Without preferred guarantees
|
1,534,218 | 704,095 | ||||||
Allowances
|
(3,769 | ) | (6,632 | ) | ||||
1,948,285 | 1,043,859 | |||||||
December 31,
|
||||||||
Description
|
2011
|
2010
|
||||||
Forward Purchases and Sales
|
||||||||
“Notional” amount of non-deliverable forward purchases
|
3,588,570 | 2,478,406 | ||||||
“Notional” amount of non-deliverable forward sales
|
3,419,241 | 2,100,225 | ||||||
Interest rate SWAP
|
551,836 | 213,967 | ||||||
Call options bought
|
30,032 | 52,702 | ||||||
Call options written
|
34,505 | 60,082 | ||||||
Put options bought
|
— | 27,402 | ||||||
Put options written
|
— | 24,662 | ||||||
Contra credit derivatives accounts
|
(4,170,438 | ) | (2,772,477 | ) | ||||
Contra debit derivatives accounts
|
(3,453,746 | ) | (2,184,969 | ) | ||||
Non-deliverable forward transactions balances pending settlement-Receivables
|
34,249 | 20,992 | ||||||
Non-deliverable forward transactions balances pending settlement-Liability
|
5,885 | (530 | ) | |||||
Repurchase and reverse repurchase agreements with government securities
|
||||||||
Forward sales under reverse repurchase agreements
|
1,076,589 | — | ||||||
Debtors under reverse repurchase agreements with the BCRA
|
1,077,218 | — | ||||||
Forward purchases of instruments issued by the BCRA under reverse repurchase agreements
|
100,754 | — | ||||||
Financial creditors of instruments issued by the BCRA under reverse repurchase agreements
|
100,886 | — |
December 31,
|
||||||||
Description
|
2011
|
2010
|
||||||
Spot transactions with pending settlement
|
||||||||
Unsettled spot securities purchases
|
1 | 10,631 | ||||||
Creditors under unsettled spot securities purchases
|
86,280 | 1,467 | ||||||
Debtors under unsettled spot securities sales
|
86,294 | 218,244 | ||||||
Unsettled spot securities sales
|
1 | 10,631 | ||||||
Debtors under unsettled spot foreign exchange sales
|
1,546 | 6,502 | ||||||
Unsettled spot foreign exchange sales
|
1,538 | 6,458 | ||||||
Unsettled spot Government securities purchases
|
86,302 | 221,521 | ||||||
Creditors under unsettled spot Government securities purchases
|
— | 216,608 | ||||||
Debtors under unsettled spot Government securities sales
|
16,916 | 27,027 | ||||||
Unsettled spot Government securities sales
|
103,227 | 224,826 |
|
20.7.
|
Premises and equipment and other assets
|
|
20.7.1.
|
Premises and equipment
|
December 31,
|
||||||||||||
Description
|
Estimated
useful
life (years)
|
2011
|
2010
|
|||||||||
Land and buildings
|
50 | 570,994 | 536,410 | |||||||||
Furniture and facilities
|
10 | 163,300 | 116,563 | |||||||||
Machinery and equipment
|
5 | 175,612 | 173,179 | |||||||||
Vehicles
|
5 | 5,015 | 5,119 | |||||||||
Accumulated depreciation
|
(334,800 | ) | (307,663 | ) | ||||||||
Total
|
580,121 | 523,608 |
|
20.7.2.
|
Other assets
|
December 31,
|
||||||||||||
Description
|
Estimated
useful
life (years)
|
2011
|
2010
|
|||||||||
Advances to suppliers of goods
|
3,744 | 461 | ||||||||||
Rent assets
|
50 | 3,898 | 3,986 | |||||||||
Works of art
|
— | 983 | 983 | |||||||||
Assets acquired for secure loans
|
50 | 2,128 | 4,673 | |||||||||
Stationery and office supplies
|
— | 5,916 | 4,193 | |||||||||
Land and buildings not affected by banking activities
|
50 | 8,635 | 9,594 | |||||||||
Vehicles to delivering for financial leases
|
3,393 | 3,863 | ||||||||||
Total
|
28,697 | 27,753 |
|
20.8.
|
Intangible assets
|
December 31,
|
|||||||||
Description
|
Estimated
useful
life (years)
|
2011
|
2010
|
||||||
Computer software acquisition expenses and computer programs development expenses
|
up to 5
|
30,573 | 22,756 | ||||||
Other intangible assets
|
up to 5
|
50,405 | 43,791 | ||||||
Total
|
80,978 | 66,547 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Balance at the beginning of the fiscal year
|
66,547 | 59,835 | ||||||
—Additions
|
75,258 | 65,897 | ||||||
—Decreases
|
(3,471 | ) | (270 | ) | ||||
—Period amortization
|
(57,356 | ) | (58,915 | ) | ||||
Balance at the end of the fiscal year
|
80,978 | 66,547 | ||||||
|
20.9.
|
Other liabilities from financial transactions – BCRA
|
December 31,
|
||||||||
Description
|
2011
|
2010
|
||||||
Short-term liabilities
|
18,450 | 2,747 | ||||||
Total
|
18,450 | 2,747 |
|
20.10.
|
Other liabilities from financial transactions – Banks and international institutions and financing received from financial institutions
|
December 31,
|
||||||||
Description
|
2011
|
2010
|
||||||
Short-term liabilities
|
||||||||
Other lines of credit from local and foreign banks
|
805,535 | 200,027 | ||||||
Total short-term liabilities
|
805,535 | 200,027 | ||||||
Long-term liabilities
|
||||||||
Other lines of credit from local and foreign banks
|
114,699 | 15,134 | ||||||
Total long-term liabilities
|
114,699 | 15,134 | ||||||
Total
|
920,234 | 215,161 |
Fiscal year
|
|
2013
|
76,676
|
2014
|
38,023
|
Total
|
114,699
|
|
20.11.
|
Balances in foreign currency
|
|
December 31,
|
|||||||
Description
|
2011
|
2010
|
||||||
Assets
|
||||||||
Cash and due from banks
|
2,685,417 | 2,948,715 | ||||||
Government and private securities
|
10,116 | 697,668 | ||||||
Loans
|
3,808,480 | 2,599,628 | ||||||
Other receivables from financial transactions
|
190,427 | 527,642 | ||||||
Receivables from financial leases
|
1,285 | 2,117 | ||||||
Investments in other companies
|
1,137 | 9,189 | ||||||
Other receivables
|
129,223 | 54,584 | ||||||
Suspense items
|
616 | 614 | ||||||
Total
|
6,826,701 | 6,840,157 | ||||||
Liabilities
|
||||||||
Deposits
|
5,294,936 | 4,880,242 | ||||||
Other liabilities from financial transactions
|
1,361,203 | 1,035,369 | ||||||
Other liabilities
|
52,417 | 18,284 | ||||||
Suspense items
|
332 | 18,436 | ||||||
Total
|
6,708,888 | 5,952,331 |
|
20.12.
|
Minimum capital requirements
|
|
Required
Minimum
Capital
|
Computable
Capital
|
Excess of actual
Minimum Capital
over Required
Minimum Capital (1)
|
|||||||||
December 31, 2011
|
2,432,839 | 3,684,099 | 1,251,260 | |||||||||
December 31, 2010
|
2,036,384 | 3,690,482 | 1,654,098 |
|
(1)
|
The Bank must maintain a surplus of minimum paid-in capitals amounting to at least 90,689 and 92,923 as at December 31, 2011 and 2010, respectively, equivalent to 0.25% of the amount of values under custody for securities representing investments from pension funds, as well as in connection with its function as registrar of mortgage-backed bonds, invested in national public securities and other destinations authorized by the BCRA and guaranteed in favour of the said Entity.
|
|
20.13.
|
Earnings per share
|
|
20.14.
|
Employee benefit plans
|
|
20.15.
|
Business segment consolidated information
|
May 31, 2011
|
||||
Government and private securities
|
2,038,341 | |||
Loans
|
1,347,231 | |||
Rest of assets
|
91,487 | |||
Total assets
|
3,477,059 | |||
Other liabilities
|
2,942,797 | |||
Allowances
|
122,792 | |||
Minority interest in subsidiaries
|
116,065 | |||
Rest of liabilities
|
67,980 | |||
Total liabilities
|
3,249,634 |
May 31, 2011
|
||||
Financial income
|
245,530 | |||
Loss on minority interest in subsidiaries
|
24,778 | |||
Other income
|
55,109 | |||
Other expenses
|
198,064 | |||
Other
|
(7,978 | ) | ||
Total income
|
69,819 |
As of December 31, 2011
|
|||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
|||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
||||||||||||||||||
BBVA Banco
Francés S.A.(4)
|
PSA Finance S.A.
|
Total
|
|||||||||||||||||
Total assets
|
37,640,829 | 1,329,244 | 38,970,073 | 35,572 | 39,005,645 | ||||||||||||||
Financial income
|
3,412,422 | 152,608 | 3,565,030 | 249,655 | 3,814,685 | ||||||||||||||
Service charge income and other income
|
2,078,461 | 129,350 | 2,207,811 | 78,537 | 2,286,348 | ||||||||||||||
Total income (1)
|
5,490,883 | 281,958 | 5,772,841 | 328,192 | 6,101,033 | ||||||||||||||
Financial expenses
|
(1,300,279 | ) | (55,419 | ) | (1,355,698 | ) | 10,295 | (1,345,403 | ) | ||||||||||
Allowances for doubtful loans
|
(122,066 | ) | (10,597 | ) | (132,663 | ) | — | (132,663 | ) | ||||||||||
Operating expenses
|
(2,263,288 | ) | (16,212 | ) | (2,279,500 | ) | (63,700 | ) | (2,343,200 | ) | |||||||||
Other expenses (2)
|
(1,006,203 | ) | (58,661 | ) | (1,064,864 | ) | (200,864 | ) | (1,265,728 | ) | |||||||||
Total expenses (3)
|
(4,691,836 | ) | (140,889 | ) | (4,832,725 | ) | (254,269 | ) | (5,086,994 | ) | |||||||||
(Loss)/Gain on minority interest in subsidiaries
|
24,691 | (17,908 | ) | 6,783 | (15,245 | ) | (8,462 | ) | |||||||||||
Total net income
|
823,738 | 123,161 | 946,899 | 58,678 | 1,005,577 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI.
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and TOMPI.
|
(4)
|
Includes: BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15.
|
As of December 31, 2010
|
|||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
|||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
||||||||||||||||||
BBVA Banco
Francés S.A.(4)
|
PSA Finance S.A.
|
Total
|
|||||||||||||||||
Total assets
|
28,445,498 | 751,810 | 29,197,308 | 3,382,938 | 32,580,246 | ||||||||||||||
Financial income
|
3,211,487 | 86,772 | 3,298,259 | 544,412 | 3,842,671 | ||||||||||||||
Service charge income and other income
|
1,550,974 | 81,872 | 1,632,846 | 57,389 | 1,690,235 | ||||||||||||||
Total income (1)
|
4,762,461 | 168,644 | 4,931,105 | 601,801 | 5,532,906 | ||||||||||||||
Financial expenses
|
(800,182 | ) | (14,491 | ) | (814,673 | ) | (3,150 | ) | (817,823 | ) | |||||||||
Allowances for doubtful loans
|
(172,452 | ) | (6,901 | ) | (179,353 | ) | — | (179,353 | ) | ||||||||||
Operating expenses
|
(1,957,154 | ) | (12,307 | ) | (1,969,461 | ) | (49,917 | ) | (2,019,378 | ) | |||||||||
Other expenses (2)
|
(750,674 | ) | (37,133 | ) | (787,807 | ) | (499,210 | ) | (1,287,017 | ) | |||||||||
Total expenses (3)
|
(3,680,462 | ) | (70,832 | ) | (3,751,294 | ) | (552,277 | ) | (4,303,571 | ) | |||||||||
(Loss)/Gain on minority interest in subsidiaries
|
(219 | ) | (16,319 | ) | (16,538 | ) | (14,618 | ) | (31,156 | ) | |||||||||
Total net income
|
1,081,780 | 81,493 | 1,163,273 | 34,906 | 1,198,179 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and income tax and TOMPI.
|
(4)
|
Includes: BBVA Francés Administradora de Inversiones S.A. Sociedad Gerente de Fondos Comunes de Inversión and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15.
|
As of December 31, 2009
|
|||||||||||||||||||
Continued operations
|
Discontinued
operations (5)
|
Total
|
|||||||||||||||||
Banking Financial
|
Pension Fund Manager / Insurance
|
||||||||||||||||||
BBVA Banco
Francés S.A.(4)
|
PSA Finance S.A.
|
Total
|
|||||||||||||||||
Total assets
|
22,665,407 | 412,389 | 23,077,796 | 3,313,797 | 26,391,593 | ||||||||||||||
Financial income
|
2,964,761 | 74,709 | 3,039,470 | 520,733 | 3,560,203 | ||||||||||||||
Service charge income and other income
|
1,422,129 | 67,805 | 1,489,934 | (33,590 | ) | 1,456,344 | |||||||||||||
Total income (1)
|
4,386,890 | 142,514 | 4,529,404 | 487,143 | 5,016,547 | ||||||||||||||
Financial expenses
|
(966,394 | ) | (9,037 | ) | (975,431 | ) | (38,528 | ) | (1,013,959 | ) | |||||||||
Allowances for doubtful loans
|
(241,622 | ) | (4,344 | ) | (245,966 | ) | — | (245,966 | ) | ||||||||||
Operating expenses
|
(1,553,125 | ) | (9,201 | ) | (1,562,326 | ) | (71,573 | ) | (1,633,899 | ) | |||||||||
Other expenses (2)
|
(946,385 | ) | (25,039 | ) | (971,424 | ) | (417,947 | ) | (1,389,371 | ) | |||||||||
Total expenses (3)
|
(3,707,526 | ) | (47,621 | ) | (3,755,147 | ) | (528,048 | ) | (4,283,195 | ) | |||||||||
(Loss)/Gain on minority interest in subsidiaries
|
46 | (17,897 | ) | (17,851 | ) | 2,961 | (14,890 | ) | |||||||||||
Total net income / (loss)
|
679,410 | 76,996 | 756,406 | (37,944 | ) | 718,462 |
(1)
|
Includes: financial income, service charge income and other income.
|
(2)
|
Includes: service charge expense, other expense, income tax and TOMPI
|
(3)
|
Includes: financial expenses, allowances for doubtful loans, service charge expenses, operating expenses, other expenses and income tax and TOMPI.
|
(4)
|
Includes: Atuel Fideicomisos S.A. and BBVA Francés Valores Sociedad de Bolsa S.A.
|
(5)
|
See Notes 1.5. and 15.
|
|
20.16.
|
Consolidated income statements and balance sheets
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Consolidated Income Statements
|
||||||||||||
Interest and fees on loans
|
2,589,599 | 1,952,059 | 1,896,925 | |||||||||
Interest on investment securities
|
— | 189,858 | 120,537 | |||||||||
Trading account interest
|
589,491 | 1,281,277 | 927,259 | |||||||||
Total interest income
|
3,179,090 | 3,423,194 | 2,944,721 | |||||||||
Interest on deposits
|
1,060,235 | 632,593 | 779,804 | |||||||||
Interest on short-tern borrowings
|
71,340 | 15,408 | 15,093 | |||||||||
Interest on long-term debt
|
17 | 48 | — | |||||||||
Total interest expense
|
1,131,592 | 648,049 | 794,897 | |||||||||
Net interest income
|
2,047,498 | 2,775,145 | 2,149,824 | |||||||||
Provision for loan losses
|
132,663 | 179,353 | 245,966 | |||||||||
Net interest income after provision for loan losses
|
1,914,835 | 2,595,792 | 1,903,858 | |||||||||
Service charges on deposit accounts
|
317,059 | 261,722 | 295,145 | |||||||||
Credit card service charges and fees
|
859,032 | 571,592 | 461,906 | |||||||||
Fees on securities activities
|
19,119 | 13,019 | 13,270 | |||||||||
Other commissions
|
1,015,020 | 779,575 | 505,442 | |||||||||
Income from investment in equity securities
|
111,461 | 21,323 | 20,841 | |||||||||
Foreign currency gains, net
|
218,622 | 197,821 | 200,920 | |||||||||
Gains on disposal of fixed and other assets
|
2,150 | 2,245 | — | |||||||||
Others
|
379,480 | 262,405 | 573,194 | |||||||||
Total other income
|
2,921,943 | 2,109,702 | 2,070,718 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Consolidated Expenses Statements
|
||||||||||||
Commissions
|
366,352 | 304,320 | 191,896 | |||||||||
Personnel expenses
|
1,228,959 | 1,083,801 | 899,885 | |||||||||
Fees and external administrative services
|
150,640 | 190,675 | 134,438 | |||||||||
Depreciation of bank premises and equipment and other fixed assets
|
65,439 | 58,471 | 49,749 | |||||||||
Business travel and development
|
14,447 | 14,877 | 11,381 | |||||||||
Utilities
|
42,289 | 36,539 | 29,936 | |||||||||
Advertising and promotion
|
122,412 | 101,134 | 65,433 | |||||||||
Contributions and taxes
|
506,914 | 355,575 | 299,349 | |||||||||
Maintenance and repairs
|
97,602 | 69,351 | 59,694 | |||||||||
Provision for loss contingencies
|
128,095 | 49,906 | 246,484 | |||||||||
Loss on disposal of fixed and other assets
|
— | — | 15,327 | |||||||||
Others
|
555,694 | 926,825 | 880,964 | |||||||||
Total other expenses
|
3,278,843 | 3,191,474 | 2,884,536 | |||||||||
Income before income tax and tax on minimum presumed income expenses
|
1,557,935 | 1,514,020 | 1,090,040 | |||||||||
Income tax and tax on minimum presumed income expenses
|
552,358 | 315,841 | 371,578 | |||||||||
Net income
|
1,005,577 | 1,198,179 | 718,462 | |||||||||
Net loss attributable to the non-controlling interest
|
(8,462 | ) | (31,156 | ) | (14,890 | ) | ||||||
Net income attributable to the controlling interest
|
1,014,039 | 1,229,335 | 733,352 | |||||||||
Net income per Ordinary Share (1)
|
1.87 | 2.23 | 1.47 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Assets
|
||||||||
Cash and due from banks
|
2,702,053 | 1,593,014 | ||||||
Interest bearing deposits in other banks
|
3,798,781 | 4,230,182 | ||||||
Unsettled spot purchases
|
86,303 | 232,152 | ||||||
Forward purchases and under reverse repurchase agreements
|
100,754 | — | ||||||
Debtors under forward sales and under reverse repurchase agreements
|
1,077,218 | — | ||||||
Debtors under unsettled spot sales
|
104,756 | 251,773 | ||||||
Trading account assets
|
5,564,865 | 4,971,712 | ||||||
Investments securities available for sale
|
41,200 | — | ||||||
Investments securities
|
85,088 | 1,405,511 | ||||||
Loans
|
23,320,858 | 17,096,079 | ||||||
Allowance for loan losses
|
(444,973 | ) | (396,227 | ) | ||||
Premises and equipment
|
580,121 | 523,608 | ||||||
Intangible assets
|
80,978 | 66,547 | ||||||
Other assets
|
1,907,643 | 2,605,895 | ||||||
Total assets
|
39,005,645 | 32,580,246 | ||||||
Liabilities and Stockholders’ Equity
|
||||||||
Interest bearing deposits
|
20,389,096 | 15,932,780 | ||||||
Non interest bearing deposits
|
8,776,608 | 6,528,527 | ||||||
Creditors under forward purchases and under reverse repurchase agreements
|
5,885 | 530 | ||||||
Creditors under unsettled spot purchases
|
187,166 | 218,075 | ||||||
Forward sales and under repurchase agreements
|
1,076,589 | — | ||||||
Unsettled spot sales
|
104,766 | 241,915 | ||||||
Other short-term borrowings
|
2,513,791 | 1,444,861 | ||||||
Other liabilities
|
1,125,602 | 3,674,105 | ||||||
Long-term debt
|
379,543 | 85,072 | ||||||
Commitments and contingent liabilities
|
496,233 | 528,274 | ||||||
Common Stock
|
536,878 | 536,361 | ||||||
Other stockholders’ equity
|
3,331,379 | 3,210,554 | ||||||
Non-controlling interests in consolidated subsidiaries
|
82,109 | 179,192 | ||||||
Total liabilities and stockholders’ equity
|
39,005,645 | 32,580,246 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Assets
|
||||||||
Cash and due from banks
|
36 | 38 | ||||||
Trading account assets
|
17,274 | 853 | ||||||
Loans
|
(2 | ) | 30,850 | |||||
Other assets
|
18,264 | 13,939 | ||||||
Total assets
|
35,572 | 45,680 | ||||||
Liabilities
|
||||||||
Interest bearing deposits
|
(79,301 | ) | (61,175 | ) | ||||
Non interest bearing deposits
|
(10,763 | ) | (474 | ) | ||||
Other short-term borrowings
|
191 | 38 | ||||||
Other liabilities
|
3,922 | 2,696 | ||||||
Commitments and contingent liabilities
|
101,233 | 63,631 | ||||||
Total liabilities
|
15,282 | 4,716 |
20.17.
|
Off-Balance sheet financial instrument
|
a)
|
Derivatives
|
|
§
|
Options: they confer the right on the buyer, but no obligation, to receive or pay a specific quantity of an asset or financial instrument for specified price at or before a specified date. Options may be exchange traded or Over the Counter (OTC) agreements. The Bank principally buys and sells interest options on an index.
|
|
§
|
Futures and Forwards: they are agreements to deliver or take delivery of a specified rate, price or index applied against the underlying asset or financial instrument, at a specific date. Futures are exchange traded at standardized amounts of the underlying asset or financial instrument. Forward contracts are OTC agreements and are principally dealt in by the Bank in securities/foreign exchange as forward agreements.
|
|
§
|
Swaps: they are agreements between two parts with the intention to exchange cash flows and risks at a specific date and for a period in the future. Swaps may be exchange traded or OTC agreements. In addition see Note 12.
|
December 31, 2011
|
December 31, 2010
|
|||||||||||||||
Trading
|
Total
|
Trading
|
Total
|
|||||||||||||
Forward sales and purchases of foreign exchange
|
7,007,811 | 7,007,811 | 4,578,631 | 4,578,631 | ||||||||||||
Forward sales / purchases under reverse repurchase agreements
|
1,175,548 | 1,175,548 | — | — | ||||||||||||
Interest rate SWAP
|
551,836 | 551,836 | 213,967 | 213,967 | ||||||||||||
Call options bought (*)
|
30,032 | 30,032 | 52,702 | 52,702 | ||||||||||||
Call options written (*)
|
34,505 | 34,505 | 60,082 | 60,082 | ||||||||||||
Put options bought (*)
|
— | — | 27,402 | 27,402 | ||||||||||||
Put options written (*)
|
— | — | 24,662 | 24,662 |
(*)
|
These instruments classified as hedges under BCRA’s rules but not for USGAAP.
|
b)
|
Credit-related financial instruments
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Credit lines granted (unused portion) cover by debtor classification
|
21,996 | 70,538 | ||||||
Foreign trade acceptances and standby letters of credit
|
98,786 | 67,353 | ||||||
Guarantees granted
|
245,730 | 439,231 |
(*)
|
A significant portion of the Bank’s guarantees as of December 31, 2011 and 2010 has a remaining maturity of less than one year.
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Self-liquidating counter guarantees
|
9,882 | 95,461 | ||||||
Preferred counter guarantees
|
9,309 | 5,403 | ||||||
Without guarantees
|
276,672 | 400,855 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Checks drawn on the Bank pending clearing
|
254,125 | 245,783 | ||||||
Checks drawn against other Banks
|
720,011 | 510,436 | ||||||
Drafts and notes for collection
|
400,241 | 430,819 |
c)
|
Trust activities
|
21.1.
|
Income taxes
|
|
December 31,
|
|||||||||||
Description
|
2011
|
2010
|
2009
|
|||||||||
Income before income tax in accordance with US GAAP
|
1,047,051 | 1,393,203 | 1,160,800 | |||||||||
Statutory income tax rate
|
35.00% | 35.00% | 35.00% | |||||||||
Income tax provision computed at statutory rate
|
366,468 | 487,621 | 406,280 | |||||||||
Tax exempt income
|
(96,659 | ) | 57,093 | (66,153 | ) | |||||||
Other, net
|
78,435 | 44,388 | (209,082 | ) | ||||||||
Income tax computed in accordance with U.S. GAAP
|
348,244 | 589,102 | 131,045 | |||||||||
Income tax plus Tax on minimum presumed income
|
505,058 | 567,241 | 251,430 | |||||||||
Adjustments to reconcile income tax (benefit) to U.S. GAAP
|
(156,814 | ) | 21,861 | (120,385 | ) | |||||||
(Recover) / Charge of allowances on deferred tax assets
|
(47,991 | ) | 724 | (86,348 | ) |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Income tax plus Tax on minimum presumed income
|
505,058 | 567,241 | 251,430 | |||||||||
Deferred tax charges
|
(156,814 | ) | 21,861 | (120,385 | ) | |||||||
Total Income tax expense in accordance with US GAAP
|
348,244 | 589,102 | 131,045 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Income tax (Income tax and TOMPI line item – Page F-9)
|
552,358 | 315,841 | 371,578 | |||||||||
Income tax computed in accordance with BCRA’s rule (Other Income/Expenses line item)
|
(47,300 | ) | — | (120,148 | ) | |||||||
Allowance for deferred tax assets – Applications
|
— | 251,400 | — | |||||||||
Total – Income tax plus Tax on minimum presumed income
|
505,058 | 567,241 | 251,430 | |||||||||
December 31,
|
||||||||||||
Description
|
2011
|
2010
|
2010
|
|||||||||
Deferred tax assets:
|
||||||||||||
Government and private securities valuation
|
— | — | 142,694 | |||||||||
Loans
|
15,546 | — | — | |||||||||
Loan origination and issuance credit card’s fees
|
41,611 | 29,383 | 20,943 | |||||||||
Property, equipment and miscellaneous assets
|
31,776 | 27,437 | 31,051 | |||||||||
Other liabilities
|
39,844 | 44,289 | 16,232 | |||||||||
Allowance for loss contingencies
|
191,769 | 209,387 | 209,923 | |||||||||
Other
|
— | 5,007 | 4,780 | |||||||||
320,546 | 315,503 | 425,623 | ||||||||||
Deferred tax liabilities:
|
||||||||||||
Government and private securities valuation
|
(138,089 | ) | (200,923 | ) | — | |||||||
Loans
|
— | (15,707 | ) | (64,928 | ) | |||||||
Foreign exchange difference
|
(22,728 | ) | (23,540 | ) | (18,785 | ) | ||||||
Intangible assets
|
(5,073 | ) | — | — | ||||||||
Others
|
(6,013 | ) | — | — | ||||||||
Reserves from insurance activities
|
— | (94,430 | ) | (79,443 | ) | |||||||
(171,903 | ) | (334,600 | ) | (163,156 | ) | |||||||
Net deferred tax (liability) / asset under U.S. GAAP
|
148,643 | (19,097 | ) | 262,467 | ||||||||
Net deferred tax asset in accordance with BCRA’s rules
|
109,600 | 62,300 | 313,700 | |||||||||
Adjustment to reconcile net deferred tax assets to U.S. GAAP
|
39,043 | (81,397 | ) | (51,233 | ) | |||||||
Allowances on deferred tax assets in accordance with BCRA’s rules
|
(109,600 | ) | (62,300 | ) | (313,700 | ) | ||||||
Adjustment to reconcile Allowances on deferred tax assets to U.S. GAAP
|
109,600 | 265,709 | 266,433 |
Allowances on deferred tax assets in accordance with US GAAP
|
— | (47,991 | ) | (47,267 | ) | |||||||
Net deferred tax asset under BCRA
|
— | — | — | |||||||||
Net deferred tax asset under U.S. GAAP – Net of allowances
|
148,643 | (67,088 | ) | 215,200 |
§
|
Government and private securities valuation: as mentioned in Note 21.5. all unlisted government and private securities and those with non-representative valuation, were adjusted at fair value, thus causing a increase/decrease in their accounting value, which does not comply with the conditions required for them to be taxable in the fiscal years ended December 31, 2011, 2010 and 2009.
|
§
|
Loans: as regards deduction of uncollectible accounts, effective Argentine tax rules require the existence of certain uncollectibility indicators defined in the Income Tax Law (i.e.: to begin court proceedings or bankruptcy adjudication), whereas under accounting criteria uncollectibility charges are recorded on the basis of assessing the debtor’s payment capacity. This difference principally relates to the accounting registration of the impairment that took place in the loans to the provincial governmental sector and to other public sector agencies (see Note 21.4.4.), which, as mentioned above, does not comply with the indicators required to be tax-deductible. In addition, it includes the difference between account and tax recognition of income of Federal Government secured loans.
|
§
|
Loan origination and issuance credit card’s fees: deferred assets result from differences in the U.S. GAAP accounting and tax criteria used to assess expense accruals of them (Note 21.2.).
|
§
|
Property, equipment and miscellaneous assets: under tax criteria, PP&E depreciation is determined on values equivalent to the acquisition cost of the respective PP&E items and by the full-year-of-addition depreciation method. Under accounting criteria, depreciation is determined on values equivalent to the acquisition cost restated by inflation as explained in Note 3.2. and on the basis of the months of useful life elapsed from addition date through valuation date.
|
§
|
Other liabilities: deferred assets/liabilities result from differences in the accounting and tax criteria used to assess expense accruals such as accrual for dismissals calculation.
|
§
|
Allowance for loss contingencies: as regards deduction of loss contingencies, effective Argentine tax rules require the existence of certain indicators defined in the Income Tax Law (i.e. final judgment), whereas under accounting criteria, loss contingencies charges are recorded on the basis of the estimated amounts necessary to meet contingencies of probable occurrence.
|
§
|
Reserves from insurance activities: deferred assets result from differences between the U.S. GAAP accounting and the accounting standards established by the Superintendence of Pension Fund Administrators and the National Superintendence of Assurance.
|
21.2.
|
Loan origination and issuance credit card’s fees
|
21.3.
|
Intangible assets
|
21.4.
|
Loan loss reserve
|
|
December 31,
|
|||||||||||
2011
|
2010
|
2009
|
||||||||||
—Total amount of loans considered as impaired
|
212,653 | 162,784 | 219,977 | |||||||||
Amount of loans considered as impaired for which there is a related allowance for credit losses
|
212,653 | 162,784 | 219,977 | |||||||||
Amount of loans considered as impaired for which there is no related allowance for credit losses
|
— | — | — | |||||||||
—Reserves allocated to impaired loans
|
105,457 | 93,834 | 138,467 | |||||||||
—Average balance of impaired loans during the fiscal year
|
188,253 | 183,083 | 215,443 |
December 31,
|
||||||||||||
|
2011
|
2010
|
2009
|
|||||||||
Balance at the beginning of the fiscal year
|
180,695 | 132,754 | 103,678 | |||||||||
Provision for loan losses
|
168,799 | 168,200 | 132,679 | |||||||||
Charge-offs
|
(85,453 | ) | (120,259 | ) | (103,603 | ) | ||||||
Balance at the end of the fiscal year
|
264,041 | 180,695 | 132,754 |
21.4.1.
|
Interest recognition—non-accrual loans
|
21.4.2.
|
Impaired loans—Non-Financial Private Sector and residents abroad
|
21.4.3.
|
Federal Government Secured Loans
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Guaranteed loan portfolio under BCRA
|
30,305 | 656,906 | 717,335 | |||||||||
Guaranteed loan portfolio under USGAAP
|
30,305 | 578,878 | 645,278 | |||||||||
Difference – Reconciliation adjustment
|
— | 78,028 | 72,057 |
21.4.4.
|
Argentine Government Notes
|
21.5.
|
Government and other debt securities—Available for sale
|
Government securities
|
||||||||
December 31,
|
||||||||
2011
|
2010
|
|||||||
Amortized cost
|
4,794,894 | 6,770,348 | ||||||
Gross Unrealized Loss
|
(225,670 | ) | (21,114 | ) | ||||
Gross Unrealized Gains
|
115,864 | 525,669 | ||||||
Fair Value
|
4,685,088 | 7,274,903 | ||||||
Number of Positions
|
31 | 78 |
Less than 12 months
|
12 months or greater
|
Total
|
||||||||||||||||||||||
Fair value
|
Unrealized losses
|
Fair value
|
Unrealized losses
|
Fair value
|
Unrealized losses
|
|||||||||||||||||||
Government securities
|
3,020,550 | (225,468 | ) | 12,795 | (202 | ) | 3,033,345 | (225,670 | ) |
§
|
The decline is attributable solely to adverse interest rate movements, and has not connection with a credit event;
|
§
|
The principal and interest payments have been made as scheduled, and there is no evidence that the debtor will not continue to do so;
|
§
|
The future principal payments will be sufficient to recover the current amortized cost of the security;
|
§
|
We have the intent to hold the security at least until the fair value of the security recovers to a level that exceeds the security’s amortized costs; and
|
§
|
They have mainly arisen in a period shorter than one year.
|
21.6.
|
Gain contingencies
|
21.7.
|
Investment in other companies
|
21.8.
|
Vacation expense
|
21.9.
|
Items in process of collection
|
21.10.
|
Forward and unsettled spot transactions
|
21.11.
|
Technical Valuation – Inflation adjustments
|
21.12.
|
Acceptances
|
21.13.
|
Technical commitments related to insurance activities
|
21.14.
|
Fair Value of Financial Instruments
|
(i)
|
The ASC 820-10, Fair Value Measurement and Disclosures: Overall, defines that fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Such standard also establishes a scheme for determining fair values. In accordance with this pronouncement, BBVA Francés has categorized its financial instruments based on the priority of the inputs to the valuation technique, into same of the three-level fair value hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the instrument.
|
Level 1
|
Financial assets and liabilities whose values are based on unadjusted quoted prices for identical assets or liabilities in an active market that BBVA Francés has the ability to access.
|
Level 2
|
They are inputs other tan quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include the following:
a) Quoted prices for similar assets or liabilities in active markets;
b) Quoted prices for identical or similar assets or liabilities in non-active markets;
c) Pricing models whose inputs are observable for substantially the full term of the asset or liability; and
d) Pricing models whose inputs are derived principally from or corroborated by observable market data through correlation or other means for substantially the full term of the asset or liability.
|
Level 3
|
Financial assets and liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect management’s own assumptions about the assumptions a market participant would use in pricing the asset or liability.
|
Fair value measurements on a recurring basis as of
December 31, 2011
|
||||||||||||||||
Description
|
Level 1
|
Level 2
|
Level 3
|
Total
|
||||||||||||
Assets
|
||||||||||||||||
Government and private securities
|
3,612,133 | 1,952,916 | — | 5,565,049 | ||||||||||||
-Holding booked at fair value
|
2,088,522 | — | — | 2,088,522 | ||||||||||||
-Instruments issued by the BCRA
|
1,495,056 | 1,952,916 | — | 3,447,972 | ||||||||||||
-Investments in listed private securities
|
28,555 | — | — | 28,555 | ||||||||||||
Other receivables from financial transactions
|
223,737 | 13,424 | — | 237,161 | ||||||||||||
-Instruments to be received for spot and forward purchases to be settled
|
187,057 | — | — | 187,057 | ||||||||||||
-Unlisted corporate bonds
|
— | 13,424 | — | 13,424 | ||||||||||||
-Premiums for options bought
|
2,431 | — | — | 2,431 | ||||||||||||
-Non-deliverable forward transactions balances to be settled
|
34,249 | — | — | 34,249 | ||||||||||||
Liabilities
|
||||||||||||||||
Other liabilities from financial transactions
|
1,188,019 | 294,393 | — | 1,482,412 | ||||||||||||
-Unsubordinated corporate bonds
|
— | 294,393 | — | 294,393 | ||||||||||||
-Instruments to be delivered for spot and forward sales to be settled
|
1,181,355 | — | — | 1,181,355 | ||||||||||||
-Premiums for options written
|
779 | — | — | 779 | ||||||||||||
-Non-deliverable forward transactions balances to be settled
|
5,885 | — | — | 5,885 |
(ii)
|
ASC 825-10, Financial Instruments: Overall requires disclosure of fair value information about financial instruments, whether or not recognized on the balance sheet, for which it is practicable to estimate fair value.
|
§
|
Listed-Investment accounts: fair value for these securities is based upon quoted market prices (if available) at December 31, 2010.
|
§
|
Unlisted government securities: fair value for these securities was taken to be equal to the present value of future cash flows discounted at the average year-end market interest rates for securities of similar interest rate, credit risk and maturity at December 31, 2010.
|
§
|
Holdings booked at amortized cost: fair value for these securities was taken to be equal to the present value of future cash flows discounted at the average year-end market interest rates for securities of similar interest rate, credit risk and maturity at December 31, 2011.
|
§
|
Unlisted corporate bonds: the majority of these operations have a variable interest rate so the Bank considers that the fair value is the same that the carrying value at the balance sheet dates.
|
December 31,
|
||||||||||||||||
2011
|
2010
|
|||||||||||||||
Carrying
Amount (4)
|
Estimated
Fair Value
|
Carrying
Amount (4)
|
Estimated
Fair Value
|
|||||||||||||
Financial assets
|
||||||||||||||||
Cash and due from banks
|
6,353,428 | 6,353,428 | 5,691,806 | 5,691,806 | ||||||||||||
Government and private securities (1)
|
5,565,029 | 5,548,430 | 7,495,382 | 7,826,030 | ||||||||||||
Loans (2)
|
22,875,885 | 21,208,752 | 16,699,852 | 15,734,403 | ||||||||||||
Other receivables from financial transactions (3)
|
1,948,285 | 1,949,169 | 1,043,859 | 1,043,859 | ||||||||||||
Receivables from financial leases
|
907,087 | 907,087 | 534,457 | 534,457 | ||||||||||||
Investments in other companies
|
126,288 | 126,288 | 110,138 | 110,138 | ||||||||||||
37,776,002 | 36,093,154 | 31,575,494 | 30,940,693 | |||||||||||||
Financial liabilities
|
||||||||||||||||
Deposits
|
29,165,704 | 29,165,704 | 22,461,307 | 22,461,307 | ||||||||||||
Other liabilities from financial transactions (3)
|
4,268,519 | 3,804,315 | 1,992,801 | 1,769,863 | ||||||||||||
33,434,223 | 32,970,019 | 24,454,108 | 24,231,170 |
(1)
|
Includes the effect described in Note 21.5.
|
(2)
|
Includes the effects described in Notes 21.4.2., 21.4.3. and 21.4.4.
|
(3)
|
Includes the effects described in Note 21.16.
|
(4)
|
Under BCRA’s rules.
|
21.15.
|
Goodwill
|
§
|
On May 4, 1998 the General and Special Stockholder’s Meeting approved (to be effective on April 30, 1998) the reversal of the shares issuance premium in the amount of 428,661 related to the capital increase with face value 25,000 thousand paid in on December 19, 1997, and bearing up to 428,661 of the Business Goodwill from the acquisition of 71.754% of the capital stock of Banco de Crédito Argentino S.A. The mentioned reversal is not allowed in accordance with US. GAAP. Under US. GAAP, the Bank should recognize the issuance premium under “Issuance premiums” and capitalize the related amount under Intangible Assets.
|
§
|
On May 13, 1999, BBVA (majority owner of BBVA Francés) acquired Corp Banca and Atuel Fideicomisos S.A. and on September, 13, 1999, BBVA sold its interests in both companies to BBVA Francés. For the difference between the definitive price of the transaction and the incorporation value of both companies, the Bank recognized goodwill and amortized it in proportion to the months of estimated useful life (120-month period). Under U.S. GAAP, the Bank would be required to account for the acquisition of the mentioned companies at BBVA’s book balance. Had U.S. GAAP been applied over continued operations, the Bank’s assets would have increased by 54,695 at December 31, 2011, 2010 and 2009.
|
§
|
ASC 350-20, Intangibles-Goodwill and Other: Goodwill requires that goodwill is no longer amortized, but is subject to impairment test annually or more frequently if events or changes in circumstances indicate that the asset may be impaired. In 2001 the Bank had recognized an impairment loss and wrote off the entire balance of the U.S. GAAP goodwill. Had U.S. GAAP been applied over continued operations, the Bank’s assets would have decreased by 309,577 as of December 31, 2011, 2010 and 2009.
|
21.16.
|
Accounting for Derivative Instruments and Hedging Activities
|
21.17.
|
Allowance for other contingencies
|
21.18.
|
Premises and equipment
|
21.19.
|
Non-controlling interests in consolidated subsidiaries
|
21.20.
|
Stock dividend
|
21.21.
|
Set forth below are the significant adjustments to consolidated net income and consolidated stockholders’ equity which would have been required if U.S. GAAP had been applied instead of BCRA’s rules:
|
Consolidated Net Income December 31,
|
||||||||||||||||||||||||||||||||||||||||
Ref
|
2011
|
2010
|
2009
|
|||||||||||||||||||||||||||||||||||||
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
||||||||||||||||||||||||||||||||
Net income as stated
|
946,899 | 58,678 | 1,005,577 | 1,163,273 | 34,906 | 1,198,179 | 756,406 | (37,944 | ) | 718,462 | ||||||||||||||||||||||||||||||
Deferred taxes
|
21.1 | 94,986 | 61,828 | 156,814 | 10,644 | (32,505 | ) | (21,861 | ) | 103,742 | 16,643 | 120,385 | ||||||||||||||||||||||||||||
Allowances on deferred tax assets
|
21.1 | (156,109 | ) | — | (156,109 | ) | (724 | ) | — | (724 | ) | 86,348 | — | 86,348 | ||||||||||||||||||||||||||
Loan origination and issuance credit card’s fees
|
21.2 | (30,531 | ) | — | (30,531 | ) | (22,413 | ) | — | (22,413 | ) | 19,332 | 11,868 | 31,200 | ||||||||||||||||||||||||||
Intangible assets
|
21.3 | — | — | — | (6 | ) | 3 | (3 | ) | (9 | ) | 8 | (1 | ) | ||||||||||||||||||||||||||
Impaired loans-Non Financial Private Sector and residents abroad loans
|
21.4.2 | (34,600 | ) | — | (34,600 | ) | 10,600 | — | 10,600 | 112,121 | — | 112,121 | ||||||||||||||||||||||||||||
Federal Government secured loans
|
21.4.3 | — | 78,028 | 78,028 | — | (5,971 | ) | (5,971 | ) | 101,824 | 43,588 | 145,412 | ||||||||||||||||||||||||||||
Argentine Government Notes
|
21.4.4 | — | 21,644 | 21,644 | — | 9,908 | 9,908 | — | (31,552 | ) | (31,552 | ) | ||||||||||||||||||||||||||||
Government and other debt securities valuation
|
21.5 | 213,026 | 101,585 | 314,611 | (403,774 | ) | (76,868 | ) | (480,642 | ) | (310,108 | ) | (126,609 | ) | (436,717 | ) | ||||||||||||||||||||||||
Gain contingencies
|
21.6 | (207 | ) | — | (207 | ) | (883 | ) | — | (883 | ) | (2,725 | ) | — | (2,725 | ) | ||||||||||||||||||||||||
Investment in other companies
|
21.7 | (8,091 | ) | — | (8,091 | ) | (8,061 | ) | — | (8,061 | ) | 3,473 | — | 3,473 | ||||||||||||||||||||||||||
Vacation expense
|
21.8 | (36,350 | ) | — | (36,350 | ) | 5 | — | 5 | 22,839 | — | 22,839 | ||||||||||||||||||||||||||||
Technical Commitments related to insurance activities
|
21.13 | — | (267,939 | ) | (267,939 | ) | — | 42,526 | 42,526 | — | 48,640 | 48,640 | ||||||||||||||||||||||||||||
Accounting for Derivative Instruments and Hedging Activities
|
21.16 | (13,887 | ) | — | (13,887 | ) | 2,470 | (246 | ) | 2,224 | 3,742 | (4,554 | ) | (812 | ) | |||||||||||||||||||||||||
Allowance for other contingencies
|
21.17 | (34,772 | ) | — | (34,772 | ) | 5,719 | — | 5,719 | 29,053 | — | 29,053 | ||||||||||||||||||||||||||||
Premises and equipment
|
21.18 | (10,704 | ) | — | (10,704 | ) | 221 | — | 221 | (38,136 | ) | — | (38,136 | ) | ||||||||||||||||||||||||||
Non-controlling interests in consolidated subsidiaries
|
21.19 | 8,067 | (292,744 | ) | (284,677 | ) | (15,027 | ) | 90,304 | 75,277 | 54,024 | 167,741 | 221,765 | |||||||||||||||||||||||||||
Net income in accordance with U.S. GAAP
|
937,727 | (238,920 | ) | 698,807 | 742,044 | 62,057 | 804,101 | 941,926 | 87,829 | 1,029,755 | ||||||||||||||||||||||||||||||
Net income per share in accordance with U.S. GAAP attributable to controlling interests
|
1.73 | 0.10 | 1.83 | 1.41 | (0.05 | ) | 1.36 | 1.82 | (0.16 | ) | 1.66 | |||||||||||||||||||||||||||||
Net income per share in accordance with U.S. GAAP attributable to non-controlling interests
|
1.75 | (0.45 | ) | 1.30 | 1.38 | 0.12 | 1.50 | 1.93 | 0.18 | 2.11 | ||||||||||||||||||||||||||||||
Weighted average number of shares outstanding (in thousands)
|
536,620 | 536,620 | 536,620 | 536,361 | 536,361 | 536,361 | 487,611 | 487,611 | 487,611 |
Consolidated Stockholders’ Equity December 31,
|
||||||||||||||||||||||||||||||||||||||||
Ref
|
2011
|
2010
|
2009
|
|||||||||||||||||||||||||||||||||||||
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
||||||||||||||||||||||||||||||||
Stockholders’ equity as stated
|
3,857,323 | 10,934 | 3,868,257 | 3,545,964 | 200,951 | 3,746,915 | 2,632,614 | 293,858 | 2,926,472 | |||||||||||||||||||||||||||||||
Deferred taxes
|
21.1 | 19,300 | 19,743 | 39,043 | (290,712 | ) | (42,085 | ) | (332,797 | ) | (41,653 | ) | (9,580 | ) | (51,233 | ) | ||||||||||||||||||||||||
Allowances on deferred tax assets
|
21.1 | 109,600 | — | 109,600 | 265,709 | — | 265,709 | 266,433 | — | 266,433 | ||||||||||||||||||||||||||||||
Loan origination and issuance credit card’s fees
|
21.2 | (108,509 | ) | — | (108,509 | ) | (77,978 | ) | — | (77,978 | ) | (55,565 | ) | — | (55,565 | ) | ||||||||||||||||||||||||
Intangible assets
|
21.3 | — | — | — | — | — | — | 6 | (3 | ) | 3 | |||||||||||||||||||||||||||||
Impaired loans-Non Financial Private Sector and residents abroad loans
|
21.4.2 | 180,932 | — | 180,932 | 215,532 | — | 215,532 | 204,932 | — | 204,932 | ||||||||||||||||||||||||||||||
Federal Government secured loans
|
21.4.3 | — | — | — | — | (78,028 | ) | (78,028 | ) | — | (72,057 | ) | (72,057 | ) | ||||||||||||||||||||||||||
Argentine Government Notes
|
21.4.4 | — | — | — | — | (21,644 | ) | (21,644 | ) | — | (31,552 | ) | (31,552 | ) | ||||||||||||||||||||||||||
Government and other debt securities valuation
|
21.5 | (5,752 | ) | — | (5,752 | ) | (1,930 | ) | 207,797 | 205,867 | (1,666 | ) | 48,430 | 46,764 | ||||||||||||||||||||||||||
Gain contingencies
|
21.6 | (23,670 | ) | — | (23,670 | ) | (23,463 | ) | — | (23,463 | ) | (22,580 | ) | — | (22,580 | ) | ||||||||||||||||||||||||
Investment in other companies
|
21.7 | (51,890 | ) | — | (51,890 | ) | (43,799 | ) | — | (43,799 | ) | (35,738 | ) | — | (35,738 | ) | ||||||||||||||||||||||||
Vacation expense
|
21.8 | (36,682 | ) | — | (36,682 | ) | (332 | ) | — | (332 | ) | (337 | ) | — | (337 | ) | ||||||||||||||||||||||||
Technical Commitments related to insurance activities
|
21.13 | — | — | — | — | 267,939 | 267,939 | — | 225,413 | 225,413 | ||||||||||||||||||||||||||||||
Accounting for Derivative Instruments and Hedging Activities
|
21.16 | (11,293 | ) | — | (11,293 | ) | 2,594 | — | 2,594 | 124 | 246 | 370 | ||||||||||||||||||||||||||||
Allowance for other contingencies
|
21.17 | — | — | — | 34,772 | — | 34,772 | 29,053 | — | 29,053 | ||||||||||||||||||||||||||||||
Premises and equipment
|
21.18 | (48,619 | ) | — | (48,619 | ) | (37,915 | ) | — | (37,915 | ) | (38,136 | ) | — | (38,136 | ) | ||||||||||||||||||||||||
Non-controlling interests in consolidated subsidiaries
|
21.19 | 82,667 | 9,356 | 92,023 | 74,600 | 302,100 | 376,700 | 56,469 | 247,788 | 304,257 | ||||||||||||||||||||||||||||||
Consolidated Stockholders’ equity in accordance with U.S. GAAP
|
3,963,407 | 40,033 | 4,003,440 | 3,663,042 | 837,030 | 4,500,072 | 2,993,956 | 702,543 | 3,696,499 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Assets
|
40,367,604 | 33,448,725 | 27,760,274 | |||||||||
Liabilities
|
36,364,164 | 28,948,653 | 24,063,775 |
21.22.
|
The following presents the consolidated statement of operations adjusted to reflect the application of U.S. GAAP using the BCRA’s format:
|
Consolidated Net Income December 31,
|
||||||||||||||||||||||||||||||||||||
2011
|
2010
|
2009
|
||||||||||||||||||||||||||||||||||
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
Continued operations
|
Discontinued operations
|
Total
|
||||||||||||||||||||||||||||
Financial income
|
3,535,265 | 83,301 | 3,618,566 | 2,997,522 | 510,070 | 3,507,592 | 2,882,636 | 442,764 | 3,325,400 | |||||||||||||||||||||||||||
Financial expenses
|
(1,369,585 | ) | 10,295 | (1,359,290 | ) | (812,574 | ) | (3,150 | ) | (815,724 | ) | (978,518 | ) | (38,528 | ) | (1,017,046 | ) | |||||||||||||||||||
Allowances for doubtful loans
|
(188,907 | ) | 21,644 | (167,263 | ) | (178,661 | ) | 9,908 | (168,753 | ) | (102,293 | ) | (31,552 | ) | (133,845 | ) | ||||||||||||||||||||
Service charge income
|
1,931,600 | (135 | ) | 1,931,465 | 1,464,731 | (596 | ) | 1,464,135 | 1,232,740 | 10,170 | 1,242,910 | |||||||||||||||||||||||||
Service charge expenses
|
(519,630 | ) | (5 | ) | (519,635 | ) | (406,347 | ) | (29 | ) | (406,376 | ) | (279,691 | ) | — | (279,691 | ) | |||||||||||||||||||
Operating expenses
|
(2,326,630 | ) | (63,700 | ) | (2,390,330 | ) | (1,969,250 | ) | (49,914 | ) | (2,019,164 | ) | (1,540,327 | ) | (71,565 | ) | (1,611,892 | ) | ||||||||||||||||||
Loss on minority interest in subsidiaries
|
202,444 | (307,989 | ) | (105,545 | ) | (137,998 | ) | 75,686 | (62,312 | ) | (170,702 | ) | 170,702 | — | ||||||||||||||||||||||
Other income
|
267,207 | 156,700 | 423,907 | 151,099 | 52,014 | 203,113 | 248,694 | 11,696 | 260,390 | |||||||||||||||||||||||||||
Other expenses
|
(186,331 | ) | (198,493 | ) | (384,824 | ) | 147,201 | (456,509 | ) | (309,308 | ) | (212,064 | ) | (413,362 | ) | (625,426 | ) | |||||||||||||||||||
Income before income tax
|
1,345,433 | (298,382 | ) | 1,047,051 | 1,255,723 | 137,480 | 1,393,203 | 1,080,475 | 80,325 | 1,160,800 | ||||||||||||||||||||||||||
Income Tax
|
(407,706 | ) | 59,462 | (348,244 | ) | (513,679 | ) | (75,423 | ) | (589,102 | ) | (138,549 | ) | 7,504 | (131,045 | ) | ||||||||||||||||||||
Total consolidated income
|
937,727 | (238,920 | ) | 698,807 | 742,044 | 62,057 | 804,101 | 941,926 | 87,829 | 1,029,755 | ||||||||||||||||||||||||||
Comprehensive income
|
||||||||||||||||||||||||||||||||||||
Net income in accordance with U.S. GAAP
|
698,807 | 804,101 | 1,029,755 | |||||||||||||||||||||||||||||||||
Other comprehensive (loss) / income, net of tax (1) (2)
|
(399,335 | ) | 482,306 | 563,328 | ||||||||||||||||||||||||||||||||
Comprehensive net income in accordance with U.S. GAAP
|
299,472 | 1,286,407 | 1,593,083 |
(1)
|
See Note 21.23.
|
(2)
|
The minority interest represents the effect of the U.S. GAAP adjustments in the Group's consolidated subsidiaries (see Note 2.1.).
|
21.23.
|
Set forth below are the related tax effects allocated to each component of other comprehensive income (loss) and the accumulated other comprehensive income (loss) balances, as of December 31, 2011, 2010 and 2009:
|
December 31, 2011
|
December 31, 2010
|
December 31, 2009
|
||||||||||||||||||||||||||||||||||
Before Tax
Amount
|
Tax
(Expense)
or Benefit
|
Net of Tax Amount
|
Before Tax
Amount
|
Tax
(Expense)
or Benefit
|
Net of Tax Amount
|
Before Tax
Amount
|
Tax
(Expense)
or Benefit
|
Net of Tax Amount
|
||||||||||||||||||||||||||||
Unrealized (losses)/gains on securities
|
(614,361 | ) | 215,026 | (399,335 | ) | 742,009 | (259,703 | ) | 482,306 | 866,658 | (303,330 | ) | 563,328 | |||||||||||||||||||||||
Other comprehensive income (loss)/gain
|
(614,361 | ) | 215,026 | (399,335 | ) | 742,009 | (259,703 | ) | 482,306 | 866,658 | (303,330 | ) | 563,328 |
December 31, 2011
|
December 31, 2010
|
December 31, 2009
|
||||||||||||||||||||||||||||||||||
Foreign Currency
Items
|
Unrealized
Gains/
(Losses) on securities
|
Accumulated Other Comprehensive Income/(Loss)
|
Foreign Currency
Items
|
Unrealized
Gains/
(Losses) on securities
|
Accumulated Other Comprehensive Income/(Loss)
|
Foreign Currency
Items
|
Unrealized
Gains/
(Losses) on securities
|
Accumulated Other Comprehensive Income/(Loss)
|
||||||||||||||||||||||||||||
Beginning balance
|
— | 327,961 | 327,961 | — | (154,345 | ) | (154,345 | ) | — | (717,673 | ) | (717,673 | ) | |||||||||||||||||||||||
Current-fiscal year change
|
— | (399,335 | ) | (399,335 | ) | — | 482,306 | 482,306 | — | 563,328 | 563,328 | |||||||||||||||||||||||||
Ending balance
|
— | (71,374 | ) | (71,374 | ) | — | 327,961 | 327,961 | — | (154,345 | ) | (154,345 | ) |
21.24.
|
Cash flows information
|
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Cash and cash equivalents at the end of the fiscal year
|
6,353,428 | 5,691,806 | 5,255,412 | |||||||||
Cash and cash equivalents at beginning of the fiscal year
|
5,691,806 | 5,255,412 | 4,243,080 | |||||||||
Increase in cash and cash equivalents
|
661,622 | 436,394 | 1,012,332 | |||||||||
CAUSES OF CHANGES IN CASH AND CASH EQUIVALENTS
|
||||||||||||
Cash provided by operating activities
|
4,485,799 | 783,036 | 1,392,162 | |||||||||
Cash used in investing activities
|
(341,372 | ) | (120,868 | ) | (143,120 | ) | ||||||
Cash used in financing activities
|
(3,444,234 | ) | (74,048 | ) | (47,663 | ) | ||||||
Effect of exchange rate changes on cash
|
(38,571 | ) | (151,726 | ) | (189,047 | ) | ||||||
Increase in cash and cash equivalents
|
661,622 | 436,394 | 1,012,332 |
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
CAUSES OF CHANGES IN CASH AND CASH EQUIVALENTS OVER DISCONTINUED OPERATIONS
|
||||||||||||
Cash provided by operating activities
|
1,238,259 | 858,408 | 1,711,314 | |||||||||
Cash provided by investing activities
|
214,259 | 18,467 | 382,555 | |||||||||
Cash used in financing activities
|
(325,488 | ) | (263,882 | ) | (329,929 | ) | ||||||
Effect of exchange rate changes on cash
|
36,115 | 51,185 | 71,888 | |||||||||
Increase in cash and cash equivalents
|
662,397 | 524,874 | 926,942 | |||||||||
December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Net income for the fiscal year
|
1,005,577 | 1,198,179 | 718,462 | |||||||||
Adjustments to reconcile net income to net cash from operating activities:
|
||||||||||||
Amortization and depreciation
|
94,376 | 82,339 | 131,899 | |||||||||
Allowances for doubtful loans and special reserves, net of reversals
|
112,513 | (10,612 | ) | 243,937 | ||||||||
Minority interests in subsidiaries
|
8,462 | 31,156 | 14,890 | |||||||||
Income tax and TOMPI
|
552,358 | 315,841 | 371,578 | |||||||||
Equity loss / (gains) of unconsolidated subsidiaries
|
8,494 | 11,018 | (10,284 | ) | ||||||||
Net decrease / (increase) in interest receivable and payable and other accrued income and expenses
|
2,704,019 | (844,885 | ) | (78,320 | ) | |||||||
Net cash provided by operating activities
|
4,485,799 | 783,036 | 1,392,162 |
21.25.
|
New accounting pronouncements (U.S. GAAP)
|
a)
|
ASU 2011-02, A Creditor’s Determination of Whether a Restructuring Is a Troubled Debt Restructuring
|
b)
|
ASU 2011-03, Reconsideration of Effective Control for Repurchase Agreements
|
c)
|
ASU 2011-05, Presentation of Comprehensive Income
|
d)
|
ASU 2011-08, Testing Goodwill for Impairment
|
a)
|
On February 9, 2012 the Board of Directors of BBVA Francés and Inversora Otar S.A. approved the merger between both companies. On March 26, 2012, the Shareholders Meetings of both companies approved the merger, which is still subject to the prior approval of Central Bank, the Argentine Securities and Commission and the Buenos Aires Stock Exchange.
|
b)
|
On March 2, 2012 the Bank sold the building located in Independencia Ave. No. 169 of Buenos Aires City by Ps.108.9 million to Telefónica Móviles Argentina S.A. for which we hold 73.08%. The operation represented an income for the Bank, under BCRA rules, by Ps.36.6 million. Under US GAAP the sold of the building would represent an income of approximately Ps.59.1 million.
|
Exhibit
Number
|
Description
|
1.1
|
Amended and Restated By-Laws (Estatutos) of BBVA Banco Francés S.A. (*)
|
1.2
|
English translation of the Amended and Restated By-Laws (Estatutos) of BBVA Banco Francés S.A. (*)
|
8.1
|
Subsidiaries of the Company
|
12.1
|
Section 302 Certification of Chief Executive Officer
|
12.2
|
Section 302 Certification of Chief Financial Officer
|
13.1
|
Section 906 Certification pursuant to 18 U.S.C. Section 1350
|
(*)
|
Incorporated by reference to the BBVA Francés Annual Report on Form 20-F for the year ended December 31, 2010 filed with the Securities and Exchange Commission on April 4, 2011.
|