o |
REGISTRATION
STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT
OF 1934
|
OR
|
|
x |
ANNUAL
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For
the fiscal year ended December 31, 2009
|
|
OR
|
|
o |
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For
the transition period
from to
|
|
OR
|
|
o |
SHELL
COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934
|
Date
of event requiring this shell company report
|
|
For
the transition period
from to
|
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
|
536,361,306
|
U.S.
GAAP o
|
International
Financial Reporting Standards by the International Accounting Standard
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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||
IDENTITY
OF DIRECTORS, SENIOR MANAGEMENT AND ADVISERS
|
3
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OFFER
STATISTICS AND EXPECTED TIMETABLE
|
3
|
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KEY
INFORMATION
|
3
|
|
INFORMATION
ON THE COMPANY
|
13
|
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UNRESOLVED
STAFF COMMENTS
|
92
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OPERATING
AND FINANCIAL REVIEW AND PROSPECTS
|
92
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DIRECTORS,
SENIOR MANAGEMENT AND EMPLOYEES
|
120
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MAJOR
SHAREHOLDERS AND RELATED PARTY TRANSACTIONS
|
134
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|
FINANCIAL
INFORMATION
|
137
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|
THE
OFFER AND LISTING
|
137
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ADDITIONAL
INFORMATION
|
140
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|
QUANTITATIVE
AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
151
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|
DESCRIPTION
OF SECURITIES OTHER THAN EQUITY SECURITIES
|
154
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|
FEES
AND CHARGES FOR HOLDERS OF AMERICAN DEPOSITARY RECEIPTS
|
155
|
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FEES
MADE BY DEPOSITARY TO THE COMPANY
|
155
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PART
II
|
||
DEFAULTS,
DIVIDEND ARREARAGES AND DELINQUENCIES
|
156
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MATERIAL
MODIFICATIONS TO THE RIGHTS OF SECURITY HOLDERS AND USE OF
PROCEEDS
|
156
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CONTROLS
AND PROCEDURES
|
156
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AUDIT
COMMITTEE FINANCIAL EXPERT
|
158
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CODE
OF ETHICS
|
158
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PRINCIPAL
ACCOUNTANT FEES AND SERVICES
|
159
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EXEMPTIONS
FROM LISTING REQUIREMENTS FOR AUDIT COMMITTEES
|
159
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PURCHASES
OF EQUITY SECURITIES BY ONE ISSUER AND AFFILIATED PERSONS
|
159
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CORPORATE
GOVERNANCE
|
159
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PART
III
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||
FINANCIAL
STATEMENTS
|
163
|
|
FINANCIAL
STATEMENTS
|
163
|
|
EXHIBITS
|
163
|
§
|
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,
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||||||||||||
Entity
|
2009
|
2008
|
2007
|
|||||||||
PSA
Finance Argentina Compañía Financiera S.A.
|
X
|
X
|
X
|
|||||||||
Consolidar
AFJP S.A. (undergoing liquidation proceedings as of December 31,
2009)
|
X
|
X
|
X | |||||||||
Consolidar
Compañía de Seguros de Vida S.A. and subsidiary
|
X
|
X
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||||||||||
Consolidar
Compañía de Seguros de Retiro S.A. and subsidiary
|
X
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X
|
X
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|||||||||
Francés
Valores Sociedad de Bolsa S.A.
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X
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X
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X
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|||||||||
Atuel
Fideicomisos S.A. and subsidiary (1)
|
X
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X
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X
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For
the Fiscal Year Ended December 31,
|
||||||||||||||||||||
2009
|
2008(11) | 2007(11) | 2006(11) | 2005(11) | ||||||||||||||||
(in
thousands of pesos) (1)
|
||||||||||||||||||||
CONSOLIDATED
INCOME STATEMENT
|
||||||||||||||||||||
Amounts
in accordance with Argentine Banking GAAP
|
||||||||||||||||||||
Financial
income
|
3,533,930 | 2,256,277 | 1,867,054 | 1,892,178 | 1,614,116 | |||||||||||||||
Financial
expenses
|
(968,657 | ) | (1,202,418 | ) | (679,720 | ) | (568,122 | ) | (608,856 | ) | ||||||||||
Gross
intermediation margin
|
2,565,273 | 1,053,859 | 1,187,334 | 1,324,056 | 1,005,260 | |||||||||||||||
Provision
for loan losses
|
(245,966 | ) | (36,708 | ) | (62,262 | ) | (70,125 | ) | (114,628 | ) | ||||||||||
Service
charge income
|
1,203,005 | 980,063 | 722,307 | 540,639 | 428,399 | |||||||||||||||
Service
charge expenses
|
(279,691 | ) | (234,504 | ) | (153,309 | ) | (105,323 | ) | (73,784 | ) | ||||||||||
Operating
expenses
|
(1,580,490 | ) | (1,184,367 | ) | (915,191 | ) | (757,706 | ) | (635,651 | ) | ||||||||||
Net
other expenses
|
(429,904 | ) | (194,557 | ) | (488,254 | ) | (671,249 | ) | (482,755 | ) | ||||||||||
Income
before income tax
|
1,232,227 | 383,786 | 290,625 | 260,292 | 126,841 | |||||||||||||||
Income
tax
|
(369,477 | ) | (28,476 | ) | (46,670 | ) | (41,326 | ) | (9,248 | ) | ||||||||||
Monetary
loss
|
— | — | — | — | — | |||||||||||||||
Net
income
|
862,750 | 355,310 | 243,955 | 218,966 | 117,593 | |||||||||||||||
Net
loss on minority interests in subsidiaries
|
(47,729 | ) | (14,075 | ) | (14,638 | ) | (38,976 | ) | (9,308 | ) | ||||||||||
Final
consolidated income from continued operations
|
815,021 | 341,235 | 229,317 | 179,990 | 108,285 | |||||||||||||||
Final
consolidated (loss) / income from discontinued operations
|
(96,559 | ) | (19,725 | ) | 5,732 | 47 | 8,919 | |||||||||||||
Final
consolidated income
|
718,462 | 321,510 | 235,049 | 180,037 | 117,204 | |||||||||||||||
Net
operating revenue (3)
|
3,488,587 | 1,799,418 | 1,756,332 | 1,759,372 | 1,359,875 | |||||||||||||||
Net
operating income (4)
|
1,662,131 | 578,343 | 778,879 | 931,541 | 609,596 | |||||||||||||||
Net
income per ordinary shares from continued operations (2)
(9)
|
1.67 | 0.72 | 0.49 | 0.38 | 0.23 | |||||||||||||||
Net
income per ADS from continued operations (2)
(9)
|
5.01 | 2.16 | 1.47 | 1.14 | 0.69 | |||||||||||||||
Net
income per ordinary shares (2)
(9)
|
1.47 | 0.68 | 0.50 | 0.38 | 0.25 | |||||||||||||||
Net
income per ADS (2)
(9)
|
4.41 | 2.04 | 1.50 | 1.14 | 0.75 | |||||||||||||||
Declared
dividends per ordinary share (9)
(10)
|
0.98439 | 0.21215 | 0.34793 | 0.19093 | 0.05728 | |||||||||||||||
Declared
dividends per ADS (9)
(10)
|
2.95317 | 0.63645 | 1.04379 | 0.57279 | 0.17184 | |||||||||||||||
Net
operating income per ordinary shares (2)
(9)
|
3.41 | 1.23 | 1.65 | 1.98 | 1.29 | |||||||||||||||
Net
operating income per ADS (2)
(9)
|
10.23 | 3.69 | 4.95 | 5.94 | 3.87 | |||||||||||||||
Average
ordinary shares outstanding (000s) primary (9)
|
487,611 | 471,361 | 471,361 | 471,361 | 471,361 | |||||||||||||||
Amounts
in accordance with U.S. GAAP:
|
||||||||||||||||||||
Net
income (12)
|
1,029,755 | 910,294 | 1,104,529 | 941,613 | 1,612,458 | |||||||||||||||
Net
income per ordinary share (2) (9)
(13)
|
2.11 | 1.87 | 2.27 | 1.93 | 3.31 | |||||||||||||||
Net
income per ADS (2) (9)
(13)
|
6.33 | 5.61 | 6.81 | 5.79 | 9.93 | |||||||||||||||
Average
ordinary shares outstanding (000s) primary (9)
(13)
|
487,611 | 487,611 | 487,611 | 487,611 | 487,611 | |||||||||||||||
CONSOLIDATED
BALANCE SHEET
|
||||||||||||||||||||
Amounts
in accordance with Argentine Banking GAAP
|
||||||||||||||||||||
Cash
and due from banks
|
5,255,412 | 4,243,080 | 3,169,314 | 2,558,484 | 1,611,506 | |||||||||||||||
Government
and private securities
|
7,214,232 | 5,233,660 | 5,181,253 | 4,372,032 | 3,504,311 | |||||||||||||||
Loans,
net of allowances
|
11,751,889 | 12,507,489 | 11,390,121 | 9,534,183 | 8,481,476 | |||||||||||||||
Other
assets
|
2,170,060 | 3,841,236 | 2,282,311 | 2,369,930 | 2,386,455 | |||||||||||||||
Total
assets
|
26,391,593 | 25,825,465 | 22,022,999 | 18,834,629 | 15,983,748 | |||||||||||||||
Deposits
|
18,334,845 | 17,079,203 | 15,009,758 | 12,505,756 | 10,613,086 | |||||||||||||||
Other
liabilities and minority interest in subsidiaries
|
5,130,276 | 6,670,238 | 4,956,404 | 4,374,289 | 3,569,115 | |||||||||||||||
Total
liabilities and minority interest in subsidiaries
|
23,465,121 | 23,749,441 | 19,966,162 | 16,880,045 | 14,182,201 | |||||||||||||||
Capital
stock
|
536,361 | 471,361 | 471,361 | 471,361 | 471,361 | |||||||||||||||
Issuance
premiums
|
175,132 | 175,132 | 175,132 | 175,132 | 175,132 | |||||||||||||||
Adjustments
to stockholders’ equity
|
312,979 | 312,979 | 312,979 | 312,979 | 312,979 | |||||||||||||||
Retained
earnings
|
658,693 | 594,391 | 547,381 | 465,317 | 428,698 | |||||||||||||||
Unrealized
valuation difference
|
(14,133 | ) | (181,119 | ) | (42,796 | ) | — | 230,282 | ||||||||||||
Unappropriated
earnings
|
1,257,440 | 703,280 | 592,780 | 529,795 | 183,095 | |||||||||||||||
Total
stockholders’ equity
|
2,926,472 | 2,076,024 | 2,056,837 | 1,954,584 | 1,801,547 |
For
the Fiscal Year Ended December 31,
|
||||||||||||||||||||
2009
|
2008(11)
|
2007(11)
|
2006(11) | 2005(11) | ||||||||||||||||
(in
thousands of pesos) (1)
|
||||||||||||||||||||
Amounts
in accordance with U.S. GAAP
|
||||||||||||||||||||
Total
assets
|
27,760,274 | 27,199,899 | 23,266,358 | 19,230,659 | 15,421,682 | |||||||||||||||
Total
stockholders’ equity (12)
|
3,696,499 | 2,225,579 | 2,103,850 | 1,183,916 | 185,997 | |||||||||||||||
SELECTED
RATIOS IN ACCORDANCE WITH ARGENTINE BANKING GAAP
|
||||||||||||||||||||
Profitability
and Performance
|
||||||||||||||||||||
Return
on average total assets (5)
|
3.12 | % | 1.43 | % | 1.12 | % | 1.03 | % | 0.68 | % | ||||||||||
Return
on average stockholders’ equity (6)
|
32.58 | % | 16.51 | % | 11.43 | % | 9.58 | % | 6.21 | % | ||||||||||
Services
charge income as a percentage of operating expenses
|
76.12 | % | 82.75 | % | 78.92 | % | 71.35 | % | 67.40 | % | ||||||||||
Operating
expenses as a percentage of average total assets (7)
|
6.05 | % | 4.95 | % | 4.48 | % | 4.35 | % | 3.97 | % | ||||||||||
Capital
|
||||||||||||||||||||
Stockholders’
equity as a percentage of total assets
|
11.09 | % | 8.04 | % | 9.34 | % | 10.38 | % | 11.27 | % | ||||||||||
Total
liabilities as a multiple of stockholders’ equity
|
8.02 | x | 11.44 | x | 9.71 | x | 8.64 | x | 7.87 | x | ||||||||||
Credit
Quality
|
||||||||||||||||||||
Allowances
for doubtful loans as a percentage of total loans
|
2.79 | % | 1.55 | % | 1.71 | % | 1.72 | % | 2.13 | % | ||||||||||
Non-performing
loans as a percentage of gross loans (8)
|
1.00 | % | 0.87 | % | 0.54 | % | 0.82 | % | 1.08 | % | ||||||||||
Allowances
for doubtful loans as a percentage of non-performing loans (8)
|
277.93 | % | 177.50 | % | 315.55 | % | 209.20 | % | 197.80 | % |
(1)
|
Except
per-share and 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, 2009, the dividends authorized at the
General Annual and Special Shareholders’ Meeting on April 30, 2010 are
Ps.480 million (see Note 13.b) to the Consolidated Financial Statements).
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, 2007, December 31, 2006
and December 31, 2005 the dividends were paid totally in
cash.
|
(11)
|
Restated
from its original version to reflect the effects from continued
operations.
|
(12)
|
Restated
from its original version to reflect the effects of minority interest in
subsidiaries (see Note 19.21 to the Consolidated Financial
Statements).
|
(13)
|
Restated
from its original version to reflect the established by ASC 260-10,
Earnings per share: Overall. (see Note 19.20 to the Consolidated Financial
Statements).
|
Declared
Dividends
Per
Ordinary Share (6)
|
Declared
Dividends
Per
ADS (6)
|
|||||||||||||||
Ps.(1)
|
U.S.$
|
Ps.(1)
|
U.S.$
|
|||||||||||||
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 | ||||||||||||
December
31, 2006 (2)
(3)
|
0.19093 | 0.06198 | 0.57279 | 0.18594 | ||||||||||||
December
31, 2005 (2)
(3)
|
0.05728 | 0.01862 | 0.17184 | 0.05587 |
(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)
|
For
the fiscal year ended December 31, 2009, the dividends authorized at the
General Annual and Special Shareholders’ Meeting on April 30, 2010 are
Ps.480 million (see Note 13.b) to the Consolidated Financial Statements).
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, 2007, December 31, 2006
and December 31, 2005 the dividends were paid totally in
cash.
|
High
(1)
|
Low (1)
|
Average
(2)
|
||||||||||
Year
/Period
|
(in
pesos per U.S.$1.00)
|
|||||||||||
March
2010
|
3.8763 | 3.8543 | 3.8627 | |||||||||
February
2010
|
3.8677 | 3.8310 | 3.8512 | |||||||||
January
2010
|
3.8230 | 3.7942 | 3.8042 | |||||||||
2009
|
3.8545 | 3.4497 | 3.7301 | |||||||||
December
2009
|
3.8205 | 3.7920 | 3.8070 | |||||||||
November
2009
|
3.8192 | 3.7988 | 3.8110 | |||||||||
October
2009
|
3.8452 | 3.8190 | 3.8262 | |||||||||
2008
|
3.4537 | 3.0128 | 3.1614 | |||||||||
2007
|
3.1797 | 3.0553 | 3.1156 | |||||||||
2006
|
3.1072 | 3.0305 | 3.0741 | |||||||||
2005
|
3.0523 | 2.8592 | 2.9232 |
|
(1)
|
Source:
BCRA.
|
|
(2)
|
The
average of monthly average rates during the
period.
|
For
the Fiscal Year Ended December 31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
Devaluation
Rate
|
9.93 | % | 9.61 | % | 2.66 | % | 1.25 | % | 1.94 | % | ||||||||||
Exchange
Rate
|
3.7967 | 3.4537 | 3.1510 | 3.0695 | 3.0315 | |||||||||||||||
Inflation
Rate (1)
|
10.26 | % | 8.98 | % | 14.56 | % | 7.17 | % | 10.59 | % |
(1)
|
The
inflation rate presented is the general WPI published by the
INDEC.
|
§
|
Consolidar AFJP
S.A.
|
§
|
Consolidar Compañía de Seguros de Vida
S.A.
|
§
|
Consolidar Compañía de Seguros de Retiro
S.A.
|
As
of December 31, 2009
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
(5)
|
Total
|
|||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
22,667,089 | 412,389 | 23,079,478 | 3,164,710 | (2,806 | ) | 26,241,382 | 150,211 | 26,391,593 | |||||||||||||||||||||||
Total
income (1)
|
4,388,488 | 142,514 | 4,531,002 | 522,465 | (10,599 | ) | 5,042,868 | (26,321 | ) | 5,016,547 | ||||||||||||||||||||||
Total
expenses (2)
|
(3,709,124 | ) | (47,621 | ) | (3,756,745 | ) | (433,972 | ) | 10,599 | (4,180,118 | ) | (103,077 | ) | (4,283,195 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(29,832 | ) | (17,897 | ) | (47,729 | ) | — | — | (47,729 | ) | 32,839 | (14,890 | ) | |||||||||||||||||||
Total
net income
|
649,532 | 76,996 | 726,528 | 88,493 | — | 815,021 | (96,559 | ) | 718,462 |
(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
Atuel Fideicomisos S.A. and Francés Valores Sociedad de Bolsa
S.A.
|
(4)
|
See
Note 14.b) to the Consolidated Financial
Statements.
|
(5)
|
Includes
intercompany operations
|
Loans
|
||||||||||||||||||||||||
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Public
Sector
|
1,400,243 | 11.92 | % | 2,400,511 | 19.19 | % | 2,367,869 | 20.79 | % | |||||||||||||||
Corporate
|
3,708,460 | 31.56 | % | 3,098,435 | 24.78 | % | 3,539,981 | 31.08 | % | |||||||||||||||
Middle
market
|
1,999,448 | 17.01 | % | 2,203,132 | 17.61 | % | 2,200,014 | 19.31 | % | |||||||||||||||
Retail
|
4,643,738 | 39.51 | % | 4,805,411 | 38.42 | % | 3,282,257 | 28.82 | % | |||||||||||||||
Total
|
11,751,889 | 100.00 | % | 12,507,489 | 100.00 | % | 11,390,121 | 100.00 | % |
Deposits
|
||||||||||||||||||||||||
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Corporate
|
3,141,792 | 17.13 | % | 3,988,997 | 23.36 | % | 2,590,735 | 17.26 | % | |||||||||||||||
Middle
market
|
2,047,114 | 11.17 | % | 1,854,884 | 10.86 | % | 1,562,718 | 10.41 | % | |||||||||||||||
Retail
|
13,145,939 | 71.70 | % | 11,235,322 | 65.78 | % | 10,856,305 | 72.33 | % | |||||||||||||||
Total
|
18,334,845 | 100.00 | % | 17,079,203 | 100.00 | % | 15,009,758 | 100.00 | % |
|
§
|
First
stage: in March, we broke down our customer portfolio into segments in
accordance with new parameters, adding decisive socio-economic level
variables. With this we achieved a broader outlook of different customer
levels.
|
|
§
|
“Customer
Outlook”: we made great effort during the year to install our “Customer
Outlook” in each Relationship Model phase: attraction, sales, loyalty and
retention, with the purpose of getting closer to the goal model in which
the customer is the core of our
business.
|
|
§
|
We
reorganized customer management and care into different
segments.
|
|
§
|
New
Model: we implemented a New Model following a training program that
included communication and training actions, with the purpose of making
the change process assimilation
easier.
|
|
§
|
Apart
from management and based on a customer loyalty strategy, we focused on
servicing or after-sales, as a main difference factor at the time of
comparison of competitive
advantages.
|
-
|
There
is an ongoing pursuit of productivity and efficiency in all channels, with
the purpose of being able to operate through branch networks, making
migration much easier.
|
-
|
Different
lines of action were implemented throughout the year to enable our
customers to become aware of the most efficient and speedy alternatives to
operate with the Bank.
|
|
§
|
We
have consolidated a centralized Customer Services area, assisting
customers and solving all claims which do not require any customer
signatures.
|
|
§
|
Placement
of credit products: we readdressed our efforts toward customers with a
high level of spending and less associated
risk.
|
|
§
|
Complementary
and low complexity products sales: we focused on all customers,
disregarding segments.
|
|
§
|
Offering
products to non-customers: we focused on credit cards as a linking
product.
|
|
§
|
We
strengthened our main goal: overall customer linking through massive
evaluation processes of the whole portfolio with the purpose of making
available more assistance and/or credit
products.
|
|
§
|
We
continued with credit card repositioning campaign, which started in 2008,
and our ongoing promotions and discounts plan in high value areas in order
to be where the customer really needs
us.
|
|
§
|
We
continued with our efforts to improve communications with our customers,
by making efforts to maintain clear and direct communication and
encouraging the use of our
products.
|
|
§
|
We
tried to migrate to different network channels those transactions that are
easy to perform through alternative means and/or using the telephone. We
made progress by providing all branches with the required equipment and
the necessary means for this process. We subsequently guided our customers
to use the telephone and/or Internet to make it easier for them to operate
without any unnecessary delays at the
branch.
|
|
§
|
We
have re-launched VIP Banking by adding a larger number of customers to
this segment, increasing the number of officers in charge of customized
service, improving products and adding new benefits, always with the
purpose of achieving value for the
customer.
|
|
§
|
Additional
benefits for higher spending items: there was a wide and varied offer of
discounts and interest-free installments at the best supermarket chains,
home appliances and clothing stores in Argentina, among others. This means
that our customers were able to use these benefits at more than 2000
stores in Argentina.
|
|
§
|
Regional
Benefits: we have started a project in different parts of Argentina,
offering exclusive benefits so that customers may access local stores
matched with their consumer habits. We will continue this campaign during
2010.
|
|
§
|
Higher
product value: we have worked on upgrading the purchase limits of credit
cards and potential daily purchase limit increases for debit cards so that
customers may increase their daily spending levels. This has
been accompanied by other product upgrading actions so that customers may
enjoy a value-added product in accordance with their spending
habits.
|
|
§
|
Direct
and focused communication: we have worked on clearer communications which
explain benefits in each one of the cities to provide our customers with a
more direct message.
|
|
§
|
Technological
innovation: we have made innovations through our SMS service “AHORRO”
(“SAVINGS”) which is accessed by dialing 2282 on the mobile phone for
promotion inquiries. Using this service, the first one of its kind,
thousands of customers make daily inquiries about benefits which they may
access at any time throughout
Argentina.
|
|
§
|
Value
added program: we have created a centralized model of actions that is
present at every moment of the customer’s life-cycle with the bank. We
have started with a welcome call at the time of delivering a new bank
card, making reference to the benefits and functionalities of products and
a scheme of actions regarding customers’ different
habits.
|
§
|
advised
our active insurance customers about the need to upgrade their policies
(for example, their home policy) to ensure reasonable coverage in case of
an accident.
|
§
|
focused
on VIP customers, and launched specific coverage according to the segment
requirements, mainly home insurance and ATM robbery
insurance.
|
§
|
created
the Insurance Retention Island, acting on unpaid insurance installments to
avoid default-related dropping and resulting loss of
coverage.
|
§
|
launched
telemarketing insurance sales campaigns with special incentives for bank
customers who did not have insurance, to improve cross-selling in our
portfolio.
|
§
|
99%
growth in customer portfolio (today, there are more than 68,000
customers), and
|
|
§
|
37%
increase in premier packages (today, there are more than
34,000).
|
§
|
purchase
discounts on the main trademarks associated with BBVA Banco
Francés,
|
§
|
tourist
experiences for different and unforgettable
journeys,
|
§
|
exclusive
outings to spend a different and relaxed day with options for all tastes,
and
|
§
|
Score
Plan, the reward program of the VIP Bank which allows customers to
exchange their points for
rewards.
|
|
§
|
The
Bank has a total network of 660
ATMs.
|
|
§
|
The
Bank has 120 new in-branch ATMs, which were installed as an expansion or
replacement of old ATMs.
|
|
§
|
13
ATMs were installed at companies’ facilities, which contribute to better
service and support new business.
|
Name of Mutual
Fund
|
Thousands
of
Pesos
|
|||
FBA
Acciones Globales
|
73,127 | |||
FBA
Total
|
14,856 | |||
FBA
Renta
|
13,703 | |||
FBA
Renta Pesos
|
1,167,950 | |||
FBA
Renta Dólares
|
4,276 | |||
FBA
Bonos
|
13,740 | |||
FBA
Calificado
|
81,142 | |||
FBA
International
|
544 | |||
FBA
Ahorro Dólares
|
11,372 | |||
FBA
Renta Fija
|
15,153 | |||
FBA
Ahorro Pesos
|
182,545 | |||
FBA
Renta Premium
|
7,976 | |||
FBA
Europa
|
3,161 | |||
FBA
Horizonte
|
20,320 | |||
FBA
EE.UU.
|
3,156 | |||
FBA
Renta Corto Plazo
|
562 | |||
FBA
Acciones Latinoamericanas
|
27,571 | |||
FBA
Bonos Argentina
|
3,649 | |||
FBA
Brasil
|
47,117 | |||
FBA
México
|
982 | |||
FBA
Commodities
|
53 | |||
FBA
Acciones Argentinas
|
471 | |||
FBA
Bonos Globales
|
57 | |||
Total
|
1,693,483 |
_____________________________ |
Source: “Cámara Argentina de Fondos Comunes de Inversión” |
As
of December 31, 2009
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
|||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
22,667,089 | 412,389 | 23,079,478 | 3,164,710 | (2,806 | ) | 26,241,382 | 150,211 | 26,391,593 | |||||||||||||||||||||||
Financial
income
|
2,966,359 | 74,709 | 3,041,068 | 501,703 | (8,841 | ) | 3,533,930 | 26,273 | 3,560,203 | |||||||||||||||||||||||
Service
charge income and other income
|
1,422,129 | 67,805 | 1,489,934 | 20,762 | (1,758 | ) | 1,508,938 | (52,594 | ) | 1,456,344 | ||||||||||||||||||||||
Total
income (1)
|
4,388,488 | 142,514 | 4,531,002 | 522,465 | (10,599 | ) | 5,042,868 | (26,321 | ) | 5,016,547 | ||||||||||||||||||||||
Financial
expenses
|
(967,992 | ) | (9,037 | ) | (977,029 | ) | (469 | ) | 8,841 | (968,657 | ) | (45,302 | ) | (1,013,959 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(241,622 | ) | (4,344 | ) | (245,966 | ) | — | — | (245,966 | ) | — | (245,966 | ) | |||||||||||||||||||
Operating
expenses
|
(1,553,125 | ) | (9,201 | ) | (1,562,326 | ) | (19,922 | ) | 1,758 | (1,580,490 | ) | (53,409 | ) | (1,633,899 | ) | |||||||||||||||||
Other
expenses
|
(946,385 | ) | (25,039 | ) | (971,424 | ) | (413,581 | ) | — | (1,385,005 | ) | (4,366 | ) | (1,389,371 | ) | |||||||||||||||||
Total
expenses (2)
|
(3,709,124 | ) | (47,621 | ) | (3,756,745 | ) | (433,972 | ) | 10,599 | (4,180,118 | ) | (103,077 | ) | (4,283,195 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(29,832 | ) | (17,897 | ) | (47,729 | ) | — | — | (47,729 | ) | 32,839 | (14,890 | ) | |||||||||||||||||||
Total
net income
|
649,532 | 76,996 | 726,528 | 88,493 | — | 815,021 | (96,559 | ) | 718,462 |
As
of December 31, 2008
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
|||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
22,400,481 | 452,766 | 22,853,247 | 2,872,885 | (174,585 | ) | 25,551,547 | 273,918 | 25,825,465 | |||||||||||||||||||||||
Financial
income
|
1,944,883 | 49,091 | 1,993,974 | 352,065 | (90,609 | ) | 2,255,430 | 23,674 | 2,279,104 | |||||||||||||||||||||||
Service
charge income and other income
|
1,372,305 | 49,498 | 1,421,803 | 329,851 | (2,869 | ) | 1,748,785 | 215,083 | 1,963,868 | |||||||||||||||||||||||
Total
income (1)
|
3,317,188 | 98,589 | 3,415,777 | 681,916 | (93,478 | ) | 4,004,215 | 238,757 | 4,242,972 | |||||||||||||||||||||||
Financial
expenses
|
(1,274,521 | ) | (11,977 | ) | (1,286,498 | ) | (5,682 | ) | 90,609 | (1,201,571 | ) | (110 | ) | (1,201,681 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(33,462 | ) | (3,246 | ) | (36,708 | ) | — | — | (36,708 | ) | — | (36,708 | ) | |||||||||||||||||||
Operating
expenses
|
(1,128,183 | ) | (7,651 | ) | (1,135,834 | ) | (50,969 | ) | 2,436 | (1,184,367 | ) | (229,081 | ) | (1,413,448 | ) | |||||||||||||||||
Other
expenses
|
(603,047 | ) | (24,785 | ) | (627,832 | ) | (598,860 | ) | 433 | (1,226,259 | ) | (46,167 | ) | (1,272,426 | ) | |||||||||||||||||
Total
expenses (2)
|
(3,039,213 | ) | (47,659 | ) | (3,086,872 | ) | (655,511 | ) | 93,478 | (3,648,905 | ) | (275,358 | ) | (3,924,263 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(9,007 | ) | (5,068 | ) | (14,075 | ) | — | — | (14,075 | ) | 16,876 | 2,801 | ||||||||||||||||||||
Total
net income
|
268,968 | 45,862 | 314,830 | 26,405 | — | 341,235 | (19,725 | ) | 321,510 |
As
of December 31, 2007
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
|||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
18,903,940 | 264,251 | 19,168,191 | 2,562,922 | (52,277 | ) | 21,678,836 | 344,163 | 22,022,999 | |||||||||||||||||||||||
Financial
income
|
1,610,891 | 14,594 | 1,625,485 | 247,412 | (5,843 | ) | 1,867,054 | 37,158 | 1,904,212 | |||||||||||||||||||||||
Service
charge income and other income
|
1,220,097 | 20,469 | 1,240,566 | 580,609 | (2,342 | ) | 1,818,833 | 192,240 | 2,011,073 | |||||||||||||||||||||||
Total
income (1)
|
2,830,988 | 35,063 | 2,866,051 | 828,021 | (8,185 | ) | 3,685,887 | 229,398 | 3,915,285 | |||||||||||||||||||||||
Financial
expenses
|
(682,913 | ) | (2,642 | ) | (685,555 | ) | (8 | ) | 5,843 | (679,720 | ) | (411 | ) | (680,131 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(60,370 | ) | (1,892 | ) | (62,262 | ) | — | — | (62,262 | ) | — | (62,262 | ) | |||||||||||||||||||
Operating
expenses
|
(872,913 | ) | (4,887 | ) | (877,800 | ) | (38,741 | ) | 1,350 | (915,191 | ) | (208,970 | ) | (1,124,161 | ) | |||||||||||||||||
Other
expenses
|
(1,027,268 | ) | (9,911 | ) | (1,037,179 | ) | (748,572 | ) | 992 | (1,784,759 | ) | (9,382 | ) | (1,794,141 | ) | |||||||||||||||||
Total
expenses (2)
|
(2,643,464 | ) | (19,332 | ) | (2,662,796 | ) | (787,321 | ) | 8,185 | (3,441,932 | ) | (218,763 | ) | (3,660,695 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(14,180 | ) | (458 | ) | (14,638 | ) | — | — | (14,638 | ) | (4,903 | ) | (19,541 | ) | ||||||||||||||||||
Total
net income
|
173,344 | 15,273 | 188,617 | 40,700 | — | 229,317 | 5,732 | 235,049 |
(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:
Atuel Fideicomisos S.A. and Francés Valores Sociedad de Bolsa
S.A.
|
(4)
|
See
Note 14.b) to the Consolidated Financial
Statements.
|
|
§
|
We
continued with the second renovation stage of self-service terminals and
ATMs. A total of 95 ATMs were replaced and 25 new self-service terminals
were added to the network; we have a total of 660 units at this time. With
these replacements and further actions we managed to boost network service
levels up to 96%.
|
|
§
|
New
projects were undertaken to improve the quality of customer service by
providing branches with additional tools and technology. Some of these
improvements include line agents, Francés Express (a query point through
Francés Net and bank statement printouts) and digital posters (with
information on interest and exchange rates). There are 25 line
agents throughout the branches, 100 Frances Express query points and
digital posters in all of the branches in our
network.
|
|
§
|
There
was special emphasis throughout 2009 on servicing branches to improve
customer service and do it faster, with a reduction in transactional
costs. Several initiatives were implemented to this end: awareness of
different internal communication channels, including those with customers;
integration of self-service channels in network incentivation systems,
customer loyalty actions and monitoring migration through control panels
that give us information about customer’s activities at all levels. We
worked hard to reduce delays at teller windows and reduce pin time
clearances to enable customers to operate in the network 24 hours after
on-line clearance.
|
|
§
|
Branch
redesign and renewal continued during 2009. This is part of our New
Branches Model project which is being implemented by a multi-area
team. The aim is to develop architectural, functional and
technical branch offices, designed in line with market requirements and
with the Bank’s and Group’s strategic
objectives.
|
|
§
|
In
the business and servicing area we continued centralizing orders,
inquiries and Línea Francés complaints by adding new responsibilities to
this area. We also worked towards the identification of customer segments
that make it possible to start special promotion campaigns tailored to
their consumer habits.
|
|
§
|
A
collection node was installed downtown to concentrate large check deposits
which created problems (e.g., more than 50
checks in a single deposit slip). This created long delays for
the tellers and other customers in line. As of the end of November 2009,
the Collection Node processed 62,000 checks, shortening waiting time at
central area branches.
|
|
§
|
We
worked on optimizing risk and management tools, adding a mass risk
assessment application that makes it possible to qualify portfolio
behavior and shorten delays at the preventive stage that allows a better
segmentation, swift vision and integration of customer information at
contact time.
|
|
§
|
Telecommunications:
IP telephone technology testing in the Mar del Plata area was concluded
and we started pilot testing centralized calls in that
area.
|
|
§
|
Significant
advances were achieved in the corporate system project replacing local
systems that support areas working in the detection of suspicious
activities, terrorism and money laundering: Fircosoft is now operational
and Mantas is in the last stages of development before it can be switched
on for production.
|
|
§
|
Sarbanes-Oxley
Act: We obtained another certificate of full compliance with these
regulations with very satisfactory
results.
|
|
§
|
Personal
Data Protection Agency: The Bank was inspected by this Agency
to ascertain compliance with Law No. 25,326 and there were no significant
objections.
|
|
§
|
A
mainframe data masking process was implemented outside the production
environment.
|
|
§
|
An
automatic management tool for emergency passwords became
operational.
|
|
§
|
The
critical IT Bank assets analysis project is at a very advanced
stage.
|
|
§
|
We
continued working on widening the scope of the IT security monitoring
functions.
|
§
|
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 Banco
Francés as a
shareholder is both long term and
strategic.
|
Subsidiary
or Associated Company
|
Country
of
Incorporation/
Residence
|
BBVA
Banco Francés
Ownership
and
Voting Power
(in
percentages)
|
Principal
Activity
|
Stockholders’
Equity
(in
millions of pesos) (3)
|
|||||||
Atuel
Fideicomisos S.A. and subsidiary (1)(2)
|
Argentina
|
99.99 |
Trust
services
|
35.0 | |||||||
Francés
Valores Sociedad de Bolsa S.A. (1)(2)
|
Argentina
|
94.97 |
Stock
exchange brokerage
|
8.3 | |||||||
Consolidar
Cía. de Seguros de Retiro S.A. (1)(2)
|
Argentina
|
66.21 |
Insurance
|
396.5 | |||||||
Consolidar
AFJP S.A. (undergoing liquidation proceedings) (1)(2)
|
Argentina
|
53.89 |
Fund
Administrators
|
58.1 | |||||||
PSA
Finance Argentina Cía. Financiera S.A. (1)(2)
|
Argentina
|
50.00 |
Financial
Institution
|
104.0 | |||||||
Rombo
Compañía Financiera S.A. (1)
(2)
|
Argentina
|
40.00 |
Financial
Institution
|
115.4 | |||||||
Consolidar
ART S.A. (1)
(2)
|
Argentina
|
12.50 |
Workers
Compensation Insurance
|
183.3 | |||||||
BBVA
Consolidar Seguros S.A. (1)
(2)
|
Argentina
|
12.22 |
Insurance
Company
|
95.4 |
(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,
2009.
|
(3)
|
Statutory
Stockholders’ Equity, adjusted for purposes of consolidation so as to
apply an accounting criterion being uniform with that of BBVA Banco
Francés, if applicable.
|
Investment
|
Country
|
%
of Shares
Owned
(in
percentages)
|
Principal
Activity
|
Total
Stockholders’
Equity
(in
millions
of pesos)
|
|||||||
Coelsa
S.A.(1)
|
Argentina
|
11.39 |
Clearing
house
|
1.8 | |||||||
Interbanking
S.A. (1)
|
Argentina
|
10.00 |
Information
services for financial markets
|
24.6 | |||||||
Argencontrol
S.A.
(1)
|
Argentina
|
7.77 |
Agent
Mandatory
|
0.9 | |||||||
Sedesa
S.A. (2)
|
Argentina
|
12.31 |
Deposit
Guarantee Fund
|
13.5 | |||||||
Banelco
S.A. (2)
|
Argentina
|
10.91 |
Nationwide
ATM network & credit card Administration
|
61.0 | |||||||
Visa
Argentina S.A. (3)
|
Argentina
|
9.79 |
Credit
card issuer
|
152.0 | |||||||
AIG
Latin American Fund (4)
|
Virgin
Islands
|
19.50 |
Investment
Funds
|
27.6 |
(1)
|
Total
Stockholders’ Equity as of December 31,
2008.
|
(2)
|
Total
Stockholders’ Equity as of December 31,
2009.
|
(3)
|
Total
Stockholders’ Equity as of May 31,
2009.
|
(4)
|
Total
Stockholders’ Equity as of December 31, 2000. The Bank maintains an
allowance for the 100% of the
amounts.
|
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
|
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(5)
|
2007
(5)
|
||||||||||||||||||||||||||||||||||
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
|
5,400,834 | 1,111,016 | 9.51 | % | 3,758,550 | (82,915 | ) | (10.26 | )% | 4,150,943 | 370,313 | (4.92 | )% | |||||||||||||||||||||||
Dollars
|
320,014 | 5,626 | 1.60 | % | 117,044 | (2,113 | ) | (1.24 | )% | 51,982 | 3,029 | (5.17 | )% | |||||||||||||||||||||||
Total
|
5,720,848 | 1,116,642 | 9.06 | % | 3,875,594 | (85,028 | ) | (9.99 | )% | 4,202,925 | 373,342 | (4.92 | )% | |||||||||||||||||||||||
Loans
(4)
|
||||||||||||||||||||||||||||||||||||
Private
Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
8,055,985 | 1,686,191 | 9.83 | % | 7,572,337 | 1,225,627 | 6.61 | % | 5,681,173 | 820,668 | (0.10 | )% | ||||||||||||||||||||||||
Dollars
|
1,926,114 | 118,419 | 5.98 | % | 2,064,104 | 125,995 | 6.72 | % | 1,783,801 | 105,504 | (5.09 | )% | ||||||||||||||||||||||||
Total
|
9,982,099 | 1,804,610 | 9.09 | % | 9,636,441 | 1,351,622 | 6.63 | % | 7,464,974 | 926,172 | (1.29 | )% | ||||||||||||||||||||||||
Public
Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,761,877 | 148,757 | (1.51 | )% | 2,607,926 | 274,402 | 1.42 | % | 2,440,088 | 317,274 | (1.36 | )% | ||||||||||||||||||||||||
Total
|
1,761,877 | 148,757 | (1.51 | )% | 2,607,926 | 274,402 | 1.42 | % | 2,440,088 | 317,274 | (1.36 | )% | ||||||||||||||||||||||||
Deposits
with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
115,198 | 7 | (9.17 | )% | 115,162 | 7,588 | (2.19 | )% | 103,736 | 12,602 | (2.10 | )% | ||||||||||||||||||||||||
Dollars
|
3,227,565 | 13 | (0.16 | )% | 1,087,894 | 4,157 | 0.96 | % | 611,802 | 6,479 | (9.44 | )% | ||||||||||||||||||||||||
Total
|
3,342,763 | 20 | (0.47 | )% | 1,203,056 | 11,745 | 0.66 | % | 715,538 | 19,081 | (8.38 | )% | ||||||||||||||||||||||||
Other
assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,703,696 | 259,152 | 4.64 | % | 1,387,716 | 192,355 | 4.48 | % | 1,848,848 | 108,993 | (7.56 | )% | ||||||||||||||||||||||||
Dollars
|
283,662 | 2,125 | 0.59 | % | 130,616 | 4,830 | 4.29 | % | 96,507 | 5,072 | (5.68 | )% | ||||||||||||||||||||||||
Total
|
1,987,358 | 261,277 | 4.06 | % | 1,518,332 | 197,185 | 4.46 | % | 1,945,355 | 114,065 | (7.47 | )% | ||||||||||||||||||||||||
Interest-earning
assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
17,037,590 | 3,205,123 | 7.91 | % | 15,441,691 | 1,617,057 | 1.37 | % | 14,224,788 | 1,629,850 | (2.71 | )% | ||||||||||||||||||||||||
Dollars
|
5,757,355 | 126,183 | 2.03 | % | 3,399,658 | 132,869 | 4.51 | % | 2,544,092 | 120,084 | (6.16 | )% | ||||||||||||||||||||||||
Total
|
22,794,945 | 3,331,306 | 6.42 | % | 18,841,349 | 1,749,926 | 1.94 | % | 16,768,880 | 1,749,934 | (3.23 | )% | ||||||||||||||||||||||||
Interest-earning
assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
176,602 | 26,030 | 4.21 | % | 244,357 | 22,913 | 0.37 | % | 253,271 | 36,254 | (0.21 | )% | ||||||||||||||||||||||||
Dollars
|
23,332 | — | — | 25,295 | — | — | 17,398 | — | — | |||||||||||||||||||||||||||
Total
|
199,934 | 26,030 | 3.72 | % | 269,652 | 22,913 | 0.33 | % | 270,669 | 36,254 | (0.20 | )% | ||||||||||||||||||||||||
Total
interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
17,214,192 | 3,231,153 | 7.87 | % | 15,686,048 | 1,639,970 | 1.35 | % | 14,478,059 | 1,666,104 | (2.66 | )% | ||||||||||||||||||||||||
Dollars
|
5,780,687 | 126,183 | 2.02 | % | 3,424,953 | 132,869 | 4.48 | % | 2,561,490 | 120,084 | (6.19 | )% | ||||||||||||||||||||||||
Total
|
22,994,879 | 3,357,336 | 6.40 | % | 19,111,001 | 1,772,839 | 1.91 | % | 17,039,549 | 1,786,188 | (3.19 | )% |
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(5)
|
2007
(5)
|
||||||||||||||||||||||||||||||||||
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
|
1,830,200 | — | — | 1,831,265 | — | — | 1,657,469 | — | — | |||||||||||||||||||||||||||
Dollars
|
498,001 | — | — | 523,982 | — | — | 409,450 | — | — | |||||||||||||||||||||||||||
Total
|
2,328,201 | — | — | 2,355,247 | — | — | 2,066,919 | — | — | |||||||||||||||||||||||||||
Investments
in other companies
|
||||||||||||||||||||||||||||||||||||
Pesos
|
96,345 | — | — | 198,267 | — | — | 64,113 | — | — | |||||||||||||||||||||||||||
Dollars
|
990 | — | — | 840 | — | — | 824 | — | — | |||||||||||||||||||||||||||
Total
|
97,335 | — | — | 199,107 | — | — | 64,937 | — | — | |||||||||||||||||||||||||||
Property
and equipment and miscellaneous and intangible assets and items pending of
allocation
|
||||||||||||||||||||||||||||||||||||
Pesos
|
545,443 | — | — | 481,092 | — | — | 643,733 | — | — | |||||||||||||||||||||||||||
Total
|
545,443 | — | — | 481,092 | — | — | 643,733 | — | — | |||||||||||||||||||||||||||
Allowance
for loan losses
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(429,722 | ) | — | — | (45,316 | ) | — | — | (250,593 | ) | — | — | ||||||||||||||||||||||||
Dollars
|
(31,113 | ) | — | — | (33,347 | ) | — | — | (31,777 | ) | — | — | ||||||||||||||||||||||||
Total
|
(460,835 | ) | — | — | (78,663 | ) | — | — | (282,370 | ) | — | — | ||||||||||||||||||||||||
Other
assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
779,300 | — | — | 625,647 | — | — | 546,454 | — | — | |||||||||||||||||||||||||||
Dollars
|
61,287 | — | — | 73,991 | — | — | 64,698 | — | — | |||||||||||||||||||||||||||
Total
|
840,587 | — | — | 699,638 | — | — | 611,152 | — | — | |||||||||||||||||||||||||||
Non-interest-earning
assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,821,565 | — | — | 3,090,956 | — | — | 2,661,176 | — | — | |||||||||||||||||||||||||||
Dollars
|
529,165 | — | — | 565,465 | — | — | 443,195 | — | — | |||||||||||||||||||||||||||
Total
|
3,350,730 | — | — | 3,656,421 | — | — | 3,104,371 | — | — | |||||||||||||||||||||||||||
Non-interest-earning
assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
46,601 | — | — | 91,893 | — | — | 106,349 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 13,584 | — | — | 20,658 | — | — | |||||||||||||||||||||||||||
Total
|
46,601 | — | — | 105,477 | — | — | 127,007 | — | — | |||||||||||||||||||||||||||
Total
non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,868,166 | — | — | 3,182,849 | — | — | 2,767,525 | — | — | |||||||||||||||||||||||||||
Dollars
|
529,165 | — | — | 579,049 | — | — | 463,853 | — | — | |||||||||||||||||||||||||||
Total
|
3,397,331 | — | — | 3,761,898 | — | — | 3,231,378 | — | — | |||||||||||||||||||||||||||
ASSETS
FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
19,859,156 | — | — | 18,532,646 | — | — | 16,885,964 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,286,520 | — | — | 3,965,123 | — | — | 2,987,287 | — | — | |||||||||||||||||||||||||||
Total
|
26,145,676 | — | — | 22,497,769 | — | — | 19,873,251 | — | — | |||||||||||||||||||||||||||
ASSETS
FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
223,202 | — | — | 336,251 | — | — | 359,620 | — | — | |||||||||||||||||||||||||||
Dollars
|
23,332 | — | — | 38,879 | — | — | 38,056 | — | — | |||||||||||||||||||||||||||
Total
|
246,534 | — | — | 375,130 | — | — | 397,676 | — | — | |||||||||||||||||||||||||||
TOTAL
ASSETS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,082,358 | — | — | 18,868,897 | — | — | 17,245,584 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,309,852 | — | — | 4,004,002 | — | — | 3,025,343 | — | — | |||||||||||||||||||||||||||
Total
|
26,392,210 | — | — | 22,872,899 | — | — | 20,270,927 | — | — |
(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.
|
(5)
|
Restated
from its original version to reflect the effects from discontinued
operations.
|
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(3)
|
2007
(3)
|
||||||||||||||||||||||||||||||||||
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
|
3,363,193 | 8,750 | (8.94 | )% | 3,242,023 | 7,817 | (8.02 | )% | 2,790,939 | 5,885 | (12.52 | )% | ||||||||||||||||||||||||
Dollars
|
1,840,846 | 1,252 | (0.09 | )% | 1,190,844 | 896 | 0.65 | % | 917,098 | 713 | (10.32 | )% | ||||||||||||||||||||||||
Total
|
5,204,039 | 10,002 | (5.81 | )% | 4,432,867 | 8,713 | (5.69 | )% | 3,708,037 | 6,598 | (11.98 | )% | ||||||||||||||||||||||||
Time
deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,651,906 | 716,602 | 2.34 | % | 5,732,426 | 703,179 | 3.02 | % | 5,897,520 | 526,155 | (4.92 | )% | ||||||||||||||||||||||||
Dollars
|
1,871,652 | 31,520 | 1.53 | % | 1,359,527 | 34,258 | 3.11 | % | 1,062,937 | 23,236 | (8.43 | )% | ||||||||||||||||||||||||
Total
|
7,523,558 | 748,122 | 2.14 | % | 7,091,953 | 737,437 | 3.03 | % | 6,960,457 | 549,391 | (5.46 | )% | ||||||||||||||||||||||||
Borrowings
from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
25,387 | — | — | 19,227 | — | — | 13,162 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,832 | 18 | 0.85 | % | 1,634 | 16 | 1.57 | % | 1,471 | 4 | (10.12 | )% | ||||||||||||||||||||||||
Total
|
27,219 | 18 | 0.06 | % | 20,861 | 16 | 0.12 | % | 14,633 | 4 | (1.02 | )% | ||||||||||||||||||||||||
Borrowings
from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,268 | 64,238 | 1,098.39 | % | 49,366 | 10,607 | 11.48 | % | 107,378 | 17,852 | 1.80 | % | ||||||||||||||||||||||||
Dollars
|
120,356 | 6,538 | 5.27 | % | 527,162 | 25,848 | 5.51 | % | 393,963 | 23,219 | (5.11 | )% | ||||||||||||||||||||||||
Total
|
125,624 | 70,776 | 51.10 | % | 576,528 | 36,455 | 6.02 | % | 501,341 | 41,071 | (3.63 | )% | ||||||||||||||||||||||||
Corporate
bonds
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | — | — | — | 41,901 | 3,694 | (2.49 | )% | ||||||||||||||||||||||||||
Total
|
— | — | — | — | — | — | 41,901 | 3,694 | (2.49 | )% | ||||||||||||||||||||||||||
Other
liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
734,002 | 5,746 | (8.47 | )% | 584,837 | 28,721 | (3.73 | )% | 489,417 | 15,762 | (9.90 | )% | ||||||||||||||||||||||||
Dollars
|
1,141,071 | 21 | (0.15 | )% | 108,672 | 16 | 0.59 | % | 55,755 | 9 | (10.38 | )% | ||||||||||||||||||||||||
Total
|
1,875,073 | 5,767 | (3.41 | )% | 693,509 | 28,737 | (3.06 | )% | 545,172 | 15,771 | (9.95 | )% | ||||||||||||||||||||||||
Interest-bearing
liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,779,756 | 795,336 | (1.79 | )% | 9,627,879 | 750,324 | (1.09 | )% | 9,298,416 | 565,654 | (7.40 | )% | ||||||||||||||||||||||||
Dollars
|
4,975,757 | 39,349 | 0.63 | % | 3,187,839 | 61,034 | 2.50 | % | 2,473,125 | 50,875 | (8.55 | )% | ||||||||||||||||||||||||
Total
|
14,755,513 | 834,685 | (0.97 | )% | 12,815,718 | 811,358 | (0.20 | )% | 11,771,541 | 616,529 | (7.64 | )% | ||||||||||||||||||||||||
Interest-bearing
liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,416 | 45,302 | 922.44 | % | 7,727 | 110 | (6.93 | )% | 13,138 | 415 | (9.95 | )% | ||||||||||||||||||||||||
Dollars
|
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total
|
4,416 | 45,302 | 922.44 | % | 7,727 | 110 | (6.93 | )% | 13,138 | 415 | (9.95 | )% | ||||||||||||||||||||||||
Total
interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,784,172 | 840,638 | (1.37 | )% | 9,635,606 | 750,434 | (1.09 | )% | 9,311,554 | 566,069 | (7.40 | )% | ||||||||||||||||||||||||
Dollars
|
4,975,757 | 39,349 | 0.63 | % | 3,187,839 | 61,034 | 2.50 | % | 2,473,125 | 50,875 | (8.55 | )% | ||||||||||||||||||||||||
Total
|
14,759,929 | 879,987 | (0.70 | )% | 12,823,445 | 811,468 | (0.20 | )% | 11,784,679 | 616,944 | (7.64 | )% |
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(3)
|
2007
(3)
|
||||||||||||||||||||||||||||||||||
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
|
3,181,698 | — | — | 2,932,651 | — | — | 2,547,283 | — | — | |||||||||||||||||||||||||||
Dollars
|
92,396 | — | — | 57,159 | — | — | 43,736 | — | — | |||||||||||||||||||||||||||
Total
|
3,274,094 | — | — | 2,989,810 | — | — | 2,591,019 | — | — | |||||||||||||||||||||||||||
Other
liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,084,911 | — | — | 4,153,232 | — | — | 3,173,708 | — | — | |||||||||||||||||||||||||||
Dollars
|
602,727 | — | — | 458,556 | — | — | 346,969 | — | — | |||||||||||||||||||||||||||
Total
|
5,687,638 | — | — | 4,611,788 | — | — | 3,520,677 | — | — | |||||||||||||||||||||||||||
Minority
interest
|
||||||||||||||||||||||||||||||||||||
Pesos
|
253,725 | — | — | 251,092 | — | — | 228,666 | — | — | |||||||||||||||||||||||||||
Total
|
253,725 | — | — | 251,092 | — | — | 228,666 | — | — | |||||||||||||||||||||||||||
Stockholders’
equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,174,706 | — | — | 1,829,361 | — | — | 1,761,349 | — | — | |||||||||||||||||||||||||||
Total
|
2,174,706 | — | — | 1,829,361 | — | — | 1,761,349 | — | — | |||||||||||||||||||||||||||
Non–interest
bearing liabilities and stockholders equity from continued
operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
10,695,040 | — | — | 9,166,336 | — | — | 7,711,006 | — | — | |||||||||||||||||||||||||||
Dollars
|
695,123 | — | — | 515,715 | — | — | 390,705 | — | — | |||||||||||||||||||||||||||
Total
|
11,390,163 | — | — | 9,682,051 | — | — | 8,101,711 | — | — | |||||||||||||||||||||||||||
Non–interest
bearing liabilities and stockholders equity from discontinued
operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
242,118 | — | — | 366,911 | — | — | 376,572 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 492 | — | — | 7,965 | — | — | |||||||||||||||||||||||||||
Total
|
242,118 | — | — | 367,403 | — | — | 384,537 | — | — | |||||||||||||||||||||||||||
Total
non–interest bearing liabilities and stockholders equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
10,937,158 | — | — | 9,533,247 | — | — | 8,087,578 | — | — | |||||||||||||||||||||||||||
Dollars
|
695,123 | — | — | 516,207 | — | — | 398,670 | — | — | |||||||||||||||||||||||||||
Total
|
11,632,281 | — | — | 10,049,454 | — | — | 8,486,248 | — | — | |||||||||||||||||||||||||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,474,796 | — | — | 18,794,215 | — | — | 17,009,422 | — | — | |||||||||||||||||||||||||||
Dollars
|
5,670,880 | — | — | 3,703,554 | — | — | 2,863,830 | — | — | |||||||||||||||||||||||||||
Total
|
26,145,676 | — | — | 22,497,769 | — | — | 19,873,252 | — | — | |||||||||||||||||||||||||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
246,534 | — | — | 374,638 | — | — | 389,710 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 492 | — | — | 7,965 | — | — | |||||||||||||||||||||||||||
Total
|
246,534 | — | — | 375,130 | — | — | 397,675 | — | — | |||||||||||||||||||||||||||
TOTAL
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,721,330 | — | — | 19,168,853 | — | — | 17,399,132 | — | — | |||||||||||||||||||||||||||
Dollars
|
5,670,880 | — | — | 3,704,046 | — | — | 2,871,795 | — | — | |||||||||||||||||||||||||||
Total
|
26,392,210 | — | — | 22,872,899 | — | — | 20,270,927 | — | — |
(1)
|
Average
balances are derived from month-end
balances.
|
(2)
|
Annualized
on a 360-day basis.
|
(3)
|
Restated
from its original version to reflect the effects from discontinued
operations.
|
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(5)
|
2007
(5)
|
||||||||||||||||||||||||||||||||||
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
|
5,400,834 | 1,111,016 | 20.57 | % | 3,758,550 | (82,915 | ) | (2.21 | )% | 4,150,943 | 370,313 | 8.92 | % | |||||||||||||||||||||||
Dollars
|
320,014 | 5,626 | 1.76 | % | 117,044 | (2,113 | ) | (1.81 | )% | 51,982 | 3,029 | 5.83 | % | |||||||||||||||||||||||
Total
|
5,720,848 | 1,116,642 | 19.52 | % | 3,875,594 | (85,028 | ) | (2.19 | )% | 4,202,925 | 373,342 | 8.88 | % | |||||||||||||||||||||||
Loans
(4)
|
||||||||||||||||||||||||||||||||||||
Private
Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
8,055,985 | 1,686,191 | 20.93 | % | 7,572,337 | 1,225,627 | 16.19 | % | 5,681,173 | 820,668 | 14.45 | % | ||||||||||||||||||||||||
Dollars
|
1,926,114 | 118,419 | 6.15 | % | 2,064,104 | 125,995 | 6.10 | % | 1,783,801 | 105,504 | 5.91 | % | ||||||||||||||||||||||||
Total
|
9,982,099 | 1,804,610 | 18.08 | % | 9,636,441 | 1,351,622 | 14.03 | % | 7,464,974 | 926,172 | 12.41 | % | ||||||||||||||||||||||||
Public
Sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,761,877 | 148,757 | 8.44 | % | 2,607,926 | 274,402 | 10.52 | % | 2,440,088 | 317,274 | 13.00 | % | ||||||||||||||||||||||||
Total
|
1,761,877 | 148,757 | 8.44 | % | 2,607,926 | 274,402 | 10.52 | % | 2,440,088 | 317,274 | 13.00 | % | ||||||||||||||||||||||||
Deposits
with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
115,198 | 7 | 0.01 | % | 115,162 | 7,588 | 6.59 | % | 103,736 | 12,602 | 12.15 | % | ||||||||||||||||||||||||
Dollars
|
3,227,565 | 13 | — | 1,087,894 | 4,157 | 0.38 | % | 611,802 | 6,479 | 1.06 | % | |||||||||||||||||||||||||
Total
|
3,342,763 | 20 | — | 1,203,056 | 11,745 | 0.98 | % | 715,538 | 19,081 | 2.67 | % | |||||||||||||||||||||||||
Other
assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,703,696 | 259,152 | 15.21 | % | 1,387,716 | 192,355 | 13.86 | % | 1,848,848 | 108,993 | 5.90 | % | ||||||||||||||||||||||||
Dollars
|
283,662 | 2,125 | 0.75 | % | 130,616 | 4,830 | 3.70 | % | 96,507 | 5,072 | 5.26 | % | ||||||||||||||||||||||||
Total
|
1,987,358 | 261,277 | 13.15 | % | 1,518,332 | 197,185 | 12.99 | % | 1,945,355 | 114,065 | 5.86 | % | ||||||||||||||||||||||||
Interest-earning
assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
17,037,590 | 3,205,123 | 18.81 | % | 15,441,691 | 1,617,057 | 10.47 | % | 14,224,788 | 1,629,850 | 11.46 | % | ||||||||||||||||||||||||
Dollars
|
5,757,355 | 126,183 | 2.19 | % | 3,399,658 | 132,869 | 3.91 | % | 2,544,092 | 120,084 | 4.72 | % | ||||||||||||||||||||||||
Total
|
22,794,945 | 3,331,306 | 14.61 | % | 18,841,349 | 1,749,926 | 9.29 | % | 16,768,880 | 1,749,934 | 10.44 | % | ||||||||||||||||||||||||
Interest-earning
assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
176,602 | 26,030 | 14.74 | % | 244,357 | 22,913 | 9.38 | % | 253,271 | 36,254 | 14.31 | % | ||||||||||||||||||||||||
Dollars
|
23,332 | — | — | 25,295 | — | — | 17,398 | — | — | |||||||||||||||||||||||||||
Total
|
199,934 | 26,030 | 13.02 | % | 269,652 | 22,913 | 8.50 | % | 270,669 | 36,254 | 13.39 | % | ||||||||||||||||||||||||
Total
interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
17,214,192 | 3,231,153 | 18.77 | % | 15,686,048 | 1,639,970 | 10.45 | % | 14,478,059 | 1,666,104 | 11.51 | % | ||||||||||||||||||||||||
Dollars
|
5,780,687 | 126,183 | 2.18 | % | 3,424,953 | 132,869 | 3.88 | % | 2,561,490 | 120,084 | 4.69 | % | ||||||||||||||||||||||||
Total
|
22,994,879 | 3,357,336 | 14.60 | % | 19,111,001 | 1,772,839 | 9.28 | % | 17,039,549 | 1,786,188 | 10.48 | % | ||||||||||||||||||||||||
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(5)
|
2007
(5)
|
||||||||||||||||||||||||||||||||||
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
|
1,830,200 | — | — | 1,831,265 | — | — | 1,657,469 | — | — | |||||||||||||||||||||||||||
Dollars
|
498,001 | — | — | 523,982 | — | — | 409,450 | — | — | |||||||||||||||||||||||||||
Total
|
2,328,201 | — | — | 2,355,247 | — | — | 2,066,919 | — | — | |||||||||||||||||||||||||||
Investments
in other companies
|
||||||||||||||||||||||||||||||||||||
Pesos
|
96,345 | — | — | 198,267 | — | — | 64,113 | — | — | |||||||||||||||||||||||||||
Dollars
|
990 | — | — | 840 | — | — | 824 | — | — | |||||||||||||||||||||||||||
Total
|
97,335 | — | — | 199,107 | — | — | 64,937 | — | — | |||||||||||||||||||||||||||
Property
and equipment and miscellaneous and intangible assets and items
pending of allocation
|
||||||||||||||||||||||||||||||||||||
Pesos
|
545,443 | — | — | 481,092 | — | — | 643,733 | — | — | |||||||||||||||||||||||||||
Total
|
545,443 | — | — | 481,092 | — | — | 643,733 | — | — | |||||||||||||||||||||||||||
Allowance
for loan losses
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(429,722 | ) | — | — | (45,316 | ) | — | — | (250,593 | ) | — | — | ||||||||||||||||||||||||
Dollars
|
(31,113 | ) | — | — | (33,347 | ) | — | — | (31,777 | ) | — | — | ||||||||||||||||||||||||
Total
|
(460,835 | ) | — | — | (78,663 | ) | — | — | (282,370 | ) | — | — | ||||||||||||||||||||||||
Other
assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
779,300 | — | — | 625,647 | — | — | 546,454 | — | — | |||||||||||||||||||||||||||
Dollars
|
61,287 | — | — | 73,991 | — | — | 64,698 | — | — | |||||||||||||||||||||||||||
Total
|
840,587 | — | — | 699,638 | — | — | 611,152 | — | — | |||||||||||||||||||||||||||
Non-interest-earning
assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,821,565 | — | — | 3,090,956 | — | — | 2,661,176 | — | — | |||||||||||||||||||||||||||
Dollars
|
529,165 | — | — | 565,465 | — | — | 443,195 | — | — | |||||||||||||||||||||||||||
Total
|
3,350,730 | — | — | 3,656,421 | — | — | 3,104,371 | — | — | |||||||||||||||||||||||||||
Non-interest-earning
assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
46,601 | — | — | 91,893 | — | — | 106,349 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 13,584 | — | — | 20,658 | — | — | |||||||||||||||||||||||||||
Total
|
46,601 | — | — | 105,477 | — | — | 127,007 | — | — | |||||||||||||||||||||||||||
Total
non-interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,868,166 | — | — | 3,182,849 | — | — | 2,767,525 | — | — | |||||||||||||||||||||||||||
Dollars
|
529,165 | — | — | 579,049 | — | — | 463,853 | — | — | |||||||||||||||||||||||||||
Total
|
3,397,331 | — | — | 3,761,898 | — | — | 3,231,378 | — | — | |||||||||||||||||||||||||||
ASSETS
FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
19,859,156 | — | — | 18,532,646 | — | — | 16,885,964 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,286,520 | — | — | 3,965,123 | — | — | 2,987,287 | — | — | |||||||||||||||||||||||||||
Total
|
26,145,676 | — | — | 22,497,769 | — | — | 19,873,251 | — | — | |||||||||||||||||||||||||||
ASSETS
FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
223,202 | — | — | 336,251 | — | — | 359,620 | — | — | |||||||||||||||||||||||||||
Dollars
|
23,332 | — | — | 38,879 | — | — | 38,056 | — | — | |||||||||||||||||||||||||||
Total
|
246,534 | — | — | 375,130 | — | — | 397,676 | — | — | |||||||||||||||||||||||||||
TOTAL
ASSETS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,082,358 | — | — | 18,868,897 | — | — | 17,245,584 | — | — | |||||||||||||||||||||||||||
Dollars
|
6,309,852 | — | — | 4,004,002 | — | — | 3,025,343 | — | — | |||||||||||||||||||||||||||
Total
|
26,392,210 | — | — | 22,872,899 | — | — | 20,270,927 | — | — |
(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.
|
(5)
|
Restated
from its original version to reflect the effects from discontinued
operations.
|
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(3)
|
2007
(3)
|
||||||||||||||||||||||||||||||||||
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
|
3,363,193 | 8,750 | 0.26 | % | 3,242,023 | 7,817 | 0.24 | % | 2,790,939 | 5,885 | 0.21 | % | ||||||||||||||||||||||||
Dollars
|
1,840,846 | 1,252 | 0.07 | % | 1,190,844 | 896 | 0.08 | % | 917,098 | 713 | 0.08 | % | ||||||||||||||||||||||||
Total
|
5,204,039 | 10,002 | 0.19 | % | 4,432,867 | 8,713 | 0.20 | % | 3,708,037 | 6,598 | 0.18 | % | ||||||||||||||||||||||||
Time
deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,651,906 | 716,602 | 12.68 | % | 5,732,426 | 703,179 | 12.27 | % | 5,897,520 | 526,155 | 8.92 | % | ||||||||||||||||||||||||
Dollars
|
1,871,652 | 31,520 | 1.68 | % | 1,359,527 | 34,258 | 2.52 | % | 1,062,937 | 23,236 | 2.19 | % | ||||||||||||||||||||||||
Total
|
7,523,558 | 748,122 | 9.94 | % | 7,091,953 | 737,437 | 10.40 | % | 6,960,457 | 549,391 | 7.89 | % | ||||||||||||||||||||||||
Borrowings
from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
25,387 | — | — | 19,227 | — | — | 13,162 | — | — | |||||||||||||||||||||||||||
Dollars
|
1,832 | 18 | 1.00 | % | 1,634 | 16 | 0.99 | % | 1,471 | 4 | 0.30 | % | ||||||||||||||||||||||||
Total
|
27,219 | 18 | 0.07 | % | 20,861 | 16 | 0.08 | % | 14,633 | 4 | 0.03 | % | ||||||||||||||||||||||||
Borrowings
from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,268 | 64,238 | 1,219.47 | % | 49,366 | 10,607 | 21.49 | % | 107,378 | 17,852 | 16.63 | % | ||||||||||||||||||||||||
Dollars
|
120,356 | 6,538 | 5.43 | % | 527,162 | 25,848 | 4.90 | % | 393,963 | 23,219 | 5.89 | % | ||||||||||||||||||||||||
Total
|
125,624 | 70,776 | 56.34 | % | 576,528 | 36,455 | 6.32 | % | 501,341 | 41,071 | 8.19 | % | ||||||||||||||||||||||||
Corporate
bonds
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | — | — | — | 41,901 | 3,694 | 8.82 | % | ||||||||||||||||||||||||||
Total
|
— | — | — | — | — | — | 41,901 | 3,694 | 8.82 | % | ||||||||||||||||||||||||||
Other
liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
734,002 | 5,746 | 0.78 | % | 584,837 | 28,721 | 4.91 | % | 489,417 | 15,762 | 3.22 | % | ||||||||||||||||||||||||
Dollars
|
1,141,071 | 21 | — | 108,672 | 16 | 0.01 | % | 55,755 | 9 | 0.02 | % | |||||||||||||||||||||||||
Total
|
1,875,073 | 5,767 | 0.31 | % | 693,509 | 28,737 | 4.14 | % | 545,172 | 15,771 | 2.89 | % | ||||||||||||||||||||||||
Interest-bearing
liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,779,756 | 795,336 | 8.13 | % | 9,627,879 | 750,324 | 7.79 | % | 9,298,416 | 565,654 | 6.08 | % | ||||||||||||||||||||||||
Dollars
|
4,975,757 | 39,349 | 0.79 | % | 3,187,839 | 61,034 | 1.91 | % | 2,473,125 | 50,875 | 2.06 | % | ||||||||||||||||||||||||
Total
|
14,755,513 | 834,685 | 5.66 | % | 12,815,718 | 811,358 | 6.33 | % | 11,771,541 | 616,529 | 5.24 | % | ||||||||||||||||||||||||
Interest-bearing
liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
4,416 | 45,302 | 1,025.74 | % | 7,727 | 110 | 1.42 | % | 13,138 | 415 | 3.16 | % | ||||||||||||||||||||||||
Dollars
|
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total
|
4,416 | 45,302 | 1,025.74 | % | 7,727 | 110 | 1.42 | % | 13,138 | 415 | 3.16 | % | ||||||||||||||||||||||||
Total
interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
9,784,172 | 840,638 | 8.59 | % | 9,635,606 | 750,434 | 7.79 | % | 9,311,554 | 566,069 | 6.08 | % | ||||||||||||||||||||||||
Dollars
|
4,975,757 | 39,349 | 0.79 | % | 3,187,839 | 61,034 | 1.91 | % | 2,473,125 | 50,875 | 2.06 | % | ||||||||||||||||||||||||
Total
|
14,759,929 | 879,987 | 5.96 | % | 12,823,445 | 811,468 | 6.33 | % | 11,784,679 | 616,944 | 5.24 | % |
Fiscal
Years ended December 31,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
(3)
|
2007
(3)
|
||||||||||||||||||||||||||||||||||
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
|
3,181,698 | — | — | 2,932,651 | — | — | 2,547,283 | — | — | |||||||||||||||||||||||||||
Dollars
|
92,396 | — | — | 57,159 | — | — | 43,736 | — | — | |||||||||||||||||||||||||||
Total
|
3,274,094 | — | — | 2,989,810 | — | — | 2,591,019 | — | — | |||||||||||||||||||||||||||
Other
liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
5,084,911 | — | — | 4,153,232 | — | — | 3,173,708 | — | — | |||||||||||||||||||||||||||
Dollars
|
602,727 | — | — | 458,556 | — | — | 346,969 | — | — | |||||||||||||||||||||||||||
Total
|
5,687,638 | — | — | 4,611,788 | — | — | 3,520,677 | — | — | |||||||||||||||||||||||||||
Minority
interest
|
||||||||||||||||||||||||||||||||||||
Pesos
|
253,725 | — | — | 251,092 | — | — | 228,666 | — | — | |||||||||||||||||||||||||||
Total
|
253,725 | — | — | 251,092 | — | — | 228,666 | — | — | |||||||||||||||||||||||||||
Stockholders’
equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
2,174,706 | — | — | 1,829,361 | — | — | 1,761,349 | — | — | |||||||||||||||||||||||||||
Total
|
2,174,706 | — | — | 1,829,361 | — | — | 1,761,349 | — | — | |||||||||||||||||||||||||||
Non–interest-bearing
liabilities and stockholders equity from continued
operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
10,695,040 | — | — | 9,166,336 | — | — | 7,711,006 | — | — | |||||||||||||||||||||||||||
Dollars
|
695,123 | — | — | 515,715 | — | — | 390,705 | — | — | |||||||||||||||||||||||||||
Total
|
11,390,163 | — | — | 9,682,051 | — | — | 8,101,711 | — | — | |||||||||||||||||||||||||||
Non–interest-bearing
liabilities and stockholders equity from discontinued
operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
242,118 | — | — | 366,911 | — | — | 376,572 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 492 | — | — | 7,965 | — | — | |||||||||||||||||||||||||||
Total
|
242,118 | — | — | 367,403 | — | — | 384,537 | — | — | |||||||||||||||||||||||||||
Total
non–interest-bearing liabilities and stockholders equity
|
||||||||||||||||||||||||||||||||||||
Pesos
|
10,937,158 | — | — | 9,533,247 | — | — | 8,087,578 | — | — | |||||||||||||||||||||||||||
Dollars
|
695,123 | — | — | 516,207 | — | — | 398,670 | — | — | |||||||||||||||||||||||||||
Total
|
11,632,281 | — | — | 10,049,454 | — | — | 8,486,248 | — | — | |||||||||||||||||||||||||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY FROM CONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,474,796 | — | — | 18,794,215 | — | — | 17,009,422 | — | — | |||||||||||||||||||||||||||
Dollars
|
5,670,880 | — | — | 3,703,554 | — | — | 2,863,830 | — | — | |||||||||||||||||||||||||||
Total
|
26,145,676 | — | — | 22,497,769 | — | — | 19,873,252 | — | — | |||||||||||||||||||||||||||
LIABILITIES
AND STOCKHOLDERS’ EQUITY FROM DISCONTINUED OPERATIONS
|
||||||||||||||||||||||||||||||||||||
Pesos
|
246,534 | — | — | 374,638 | — | — | 389,710 | — | — | |||||||||||||||||||||||||||
Dollars
|
— | — | — | 492 | — | — | 7,965 | — | — | |||||||||||||||||||||||||||
Total
|
246,534 | — | — | 375,130 | — | — | 397,675 | — | — | |||||||||||||||||||||||||||
TOTAL
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
||||||||||||||||||||||||||||||||||||
Pesos
|
20,721,330 | — | — | 19,168,853 | — | — | 17,399,132 | — | — | |||||||||||||||||||||||||||
Dollars
|
5,670,880 | — | — | 3,704,046 | — | — | 2,871,795 | — | — | |||||||||||||||||||||||||||
Total
|
26,392,210 | — | — | 22,872,899 | — | — | 20,270,927 | — | — |
(1)
|
Average
balances are derived from month-end
balances.
|
(2)
|
Annualized
on a 360-day basis.
|
(3)
|
Restated
from its original version to reflect the effects from discontinued
operations.
|
December
2009/December 2008
Increase
(Decrease) Due to
Changes
in
|
December
2008/December 2007
Increase
(Decrease) Due to
Changes
in (1)
|
December
2007/December 2006
Increase
(Decrease) Due to
Changes
in (1)
|
||||||||||||||||||||||||||||||||||
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
||||||||||||||||||||||||||||
(in
thousands of pesos)
|
||||||||||||||||||||||||||||||||||||
ASSETS
|
||||||||||||||||||||||||||||||||||||
Interest-earning
assets
|
||||||||||||||||||||||||||||||||||||
Government
securities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
337,837 | 856,094 | 1,193,931 | 8,657 | (461,885 | ) | (453,228 | ) | 71,476 | (253,135 | ) | (181,659 | ) | |||||||||||||||||||||||
Dollars
|
3,569 | 4,170 | 7,739 | (1,175 | ) | (3,967 | ) | (5,142 | ) | (11,461 | ) | (24,273 | ) | (35,734 | ) | |||||||||||||||||||||
Total
|
341,406 | 860,264 | 1,201,670 | 7,482 | (465,852 | ) | (458,370 | ) | 60,015 | (277,408 | ) | (217,393 | ) | |||||||||||||||||||||||
Loans
|
||||||||||||||||||||||||||||||||||||
Private
sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
101,232 | 359,332 | 460,564 | 306,096 | 98,863 | 404,959 | 228,654 | 77,139 | 305,793 | |||||||||||||||||||||||||||
Dollars
|
(8,484 | ) | 908 | (7,576 | ) | 17,111 | 3,380 | 20,491 | 35,071 | 7,503 | 42,574 | |||||||||||||||||||||||||
Total
|
92,748 | 360,240 | 452,988 | 323,207 | 102,243 | 425,450 | 263,725 | 84,642 | 348,367 | |||||||||||||||||||||||||||
Public
sector
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(71,433 | ) | (54,212 | ) | (125,645 | ) | 17,660 | (60,532 | ) | (42,872 | ) | (130,563 | ) | (100,926 | ) | (231,489 | ) | |||||||||||||||||||
Total
|
(71,433 | ) | (54,212 | ) | (125,645 | ) | 17,660 | (60,532 | ) | (42,872 | ) | (130,563 | ) | (100,926 | ) | (231,489 | ) | |||||||||||||||||||
Deposits
with the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | (7,581 | ) | (7,581 | ) | 753 | (5,767 | ) | (5,014 | ) | 164 | 1,724 | 1,888 | |||||||||||||||||||||||
Dollars
|
8 | (4,152 | ) | (4,144 | ) | 1,819 | (4,141 | ) | (2,322 | ) | 441 | (539 | ) | (98 | ) | |||||||||||||||||||||
Total
|
8 | (11,733 | ) | (11,725 | ) | 2,572 | (9,908 | ) | (7,336 | ) | 605 | 1,185 | 1,790 | |||||||||||||||||||||||
Other
assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
48,064 | 18,733 | 66,797 | (63,919 | ) | 147,281 | 83,362 | 46,253 | (53,384 | ) | (7,131 | ) | ||||||||||||||||||||||||
Dollars
|
1,146 | (3,851 | ) | (2,705 | ) | 1,262 | (1,504 | ) | (242 | ) | (1,025 | ) | (1,082 | ) | (2,107 | ) | ||||||||||||||||||||
Total
|
49,210 | 14,882 | 64,092 | (62,657 | ) | 145,777 | 83,120 | 45,228 | (54,466 | ) | (9,238 | ) | ||||||||||||||||||||||||
Interest-earning
assets from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
415,700 | 1,172,366 | 1,588,066 | 269,247 | (282,040 | ) | (12,793 | ) | 215,984 | (328,582 | ) | (112,598 | ) | |||||||||||||||||||||||
Dollars
|
(3,761 | ) | (2,925 | ) | (6,686 | ) | 19,017 | (6,232 | ) | 12,785 | 23,026 | (18,391 | ) | 4,635 | ||||||||||||||||||||||
Total
|
411,939 | 1,169,441 | 1,581,380 | 288,264 | (288,272 | ) | (8 | ) | 239,010 | (346,973 | ) | (107,963 | ) | |||||||||||||||||||||||
Interest-earning
assets from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(13,008 | ) | 16,125 | 3,117 | 1,413 | (14,754 | ) | (13,341 | ) | 28,739 | 7,515 | 36,254 | ||||||||||||||||||||||||
Dollars
|
(309 | ) | 309 | — | 88 | (88 | ) | — | 1,715 | (1,715 | ) | — | ||||||||||||||||||||||||
Total
|
(13,317 | ) | 16,434 | 3,117 | 1,501 | (14,842 | ) | (13,341 | ) | 30,454 | 5,800 | 36,254 | ||||||||||||||||||||||||
Total
interest-earning assets
|
||||||||||||||||||||||||||||||||||||
Pesos
|
402,692 | 1,188,491 | 1,591,183 | 270,660 | (296,794 | ) | (26,134 | ) | 244,723 | (321,067 | ) | (76,344 | ) | |||||||||||||||||||||||
Dollars
|
(4,070 | ) | (2,616 | ) | (6,686 | ) | 19,105 | (6,320 | ) | 12,785 | 24,741 | (20,106 | ) | 4,635 | ||||||||||||||||||||||
Total
|
398,622 | 1,185,875 | 1,584,497 | 289,765 | (303,114 | ) | (13,349 | ) | 269,464 | (341,173 | ) | (71,709 | ) | |||||||||||||||||||||||
December
2009/December 2008
Increase
(Decrease) Due to
Changes
in
|
December
2008/December 2007
Increase
(Decrease) Due to
Changes
in (1)
|
December
2007/December 2006
Increase
(Decrease) Due to
Changes
in (1)
|
||||||||||||||||||||||||||||||||||
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
Volume
|
Rate
|
Net
Change
|
||||||||||||||||||||||||||||
(in
thousands of pesos)
|
||||||||||||||||||||||||||||||||||||
LIABILITIES
|
||||||||||||||||||||||||||||||||||||
Interest-bearing
liabilities
|
||||||||||||||||||||||||||||||||||||
Savings
accounts
|
||||||||||||||||||||||||||||||||||||
Pesos
|
315 | 618 | 933 | 1,088 | 844 | 1,932 | 946 | 715 | 1,661 | |||||||||||||||||||||||||||
Dollars
|
443 | (87 | ) | 356 | 205 | (22 | ) | 183 | 113 | 13 | 126 | |||||||||||||||||||||||||
Total
|
758 | 531 | 1,289 | 1,293 | 822 | 2,115 | 1,059 | 728 | 1,787 | |||||||||||||||||||||||||||
Time
deposits
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(10,209 | ) | 23,632 | 13,423 | (20,251 | ) | 197,275 | 177,024 | 70,022 | 30,535 | 100,557 | |||||||||||||||||||||||||
Dollars
|
8,624 | (11,362 | ) | (2,738 | ) | 7,474 | 3,548 | 11,022 | 7,124 | 3,993 | 11,117 | |||||||||||||||||||||||||
Total
|
(1,585 | ) | 12,270 | 10,685 | (12,777 | ) | 200,823 | 188,046 | 77,146 | 34,528 | 111,674 | |||||||||||||||||||||||||
Borrowings
from the Central Bank
|
||||||||||||||||||||||||||||||||||||
Pesos
|
— | — | — | — | — | — | — | (7,663 | ) | (7,663 | ) | |||||||||||||||||||||||||
Dollars
|
2 | — | 2 | 2 | 10 | 12 | — | 2 | 2 | |||||||||||||||||||||||||||
Total
|
2 | — | 2 | 2 | 10 | 12 | — | (7,661 | ) | (7,661 | ) | |||||||||||||||||||||||||
Borrowings
from other financial institutions
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(537,762 | ) | 591,393 | 53,631 | (12,464 | ) | 5,219 | (7,245 | ) | 1,442 | 7,364 | 8,806 | ||||||||||||||||||||||||
Dollars
|
(22,097 | ) | 2,787 | (19,310 | ) | 6,531 | (3,902 | ) | 2,629 | 5,137 | (1,161 | ) | 3,976 | |||||||||||||||||||||||
Total
|
(559,859 | ) | 594,180 | 34,321 | (5,933 | ) | 1,317 | (4,616 | ) | 6,579 | 6,203 | 12,782 | ||||||||||||||||||||||||
Corporate
bonds
|
||||||||||||||||||||||||||||||||||||
Dollars
|
— | — | — | — | (3,694 | ) | (3,694 | ) | (20,261 | ) | 5,223 | (15,038 | ) | |||||||||||||||||||||||
Total
|
— | — | — | — | (3,694 | ) | (3,694 | ) | (20,261 | ) | 5,223 | (15,038 | ) | |||||||||||||||||||||||
Other
liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
1,168 | (24,143 | ) | (22,975 | ) | 4,686 | 8,273 | 12,959 | 1,964 | (13,134 | ) | (11,170 | ) | |||||||||||||||||||||||
Dollars
|
19 | (14 | ) | 5 | 8 | (1 | ) | 7 | 2 | (3 | ) | (1 | ) | |||||||||||||||||||||||
Total
|
1,187 | (24,157 | ) | (22,970 | ) | 4,694 | 8,272 | 12,966 | 1,966 | (13,137 | ) | (11,171 | ) | |||||||||||||||||||||||
Interest-bearing
liabilities from continued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(546,488 | ) | 591,500 | 45,012 | (26,941 | ) | 211,611 | 184,670 | 74,374 | 17,817 | 92,191 | |||||||||||||||||||||||||
Dollars
|
(13,009 | ) | (8,676 | ) | (21,685 | ) | 14,220 | (4,061 | ) | 10,159 | (7,885 | ) | 8,067 | 182 | ||||||||||||||||||||||
Total
|
(559,497 | ) | 582,824 | 23,327 | (12,721 | ) | 207,550 | 194,829 | 66,489 | 25,884 | 92,373 | |||||||||||||||||||||||||
Interest-bearing
liabilities from discontinued operations
|
||||||||||||||||||||||||||||||||||||
Pesos
|
232,309 | (187,117 | ) | 45,192 | 697 | (1,002 | ) | (305 | ) | 1,843 | (1,428 | ) | 415 | |||||||||||||||||||||||
Dollars
|
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||
Total
|
232,309 | (187,117 | ) | 45,192 | 697 | (1,002 | ) | (305 | ) | 1,843 | (1,428 | ) | 415 | |||||||||||||||||||||||
Total
interest-bearing liabilities
|
||||||||||||||||||||||||||||||||||||
Pesos
|
(314,179 | ) | 404,383 | 90,204 | (26,244 | ) | 210,609 | 184,365 | 76,217 | 16,389 | 92,606 | |||||||||||||||||||||||||
Dollars
|
(13,009 | ) | (8,676 | ) | (21,685 | ) | 14,220 | (4,061 | ) | 10,159 | (7,885 | ) | 8,067 | 182 | ||||||||||||||||||||||
Total
|
(327,188 | ) | 395,707 | 68,519 | (12,024 | ) | 206,548 | 194,524 | 68,332 | 24,456 | 92,788 |
(1)
|
Restated
from its original version to reflect the effects from discontinued
operations.
|
Fiscal
Years ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||
Average
interest-earning assets
|
||||||||||||
Pesos
|
17,214,192 | 15,686,048 | 14,478,059 | |||||||||
Dollars
|
5,780,687 | 3,424,953 | 2,561,490 | |||||||||
Total
|
22,994,879 | 19,111,001 | 17,039,549 | |||||||||
Net
interest income (1)
|
||||||||||||
Pesos
|
2,390,515 | 889,536 | 1,100,035 | |||||||||
Dollars
|
86,834 | 71,835 | 69,209 | |||||||||
Total
|
2,477,349 | 961,371 | 1,169,244 | |||||||||
Net
interest margin (2)
|
||||||||||||
Pesos
|
13.89 | % | 5.67 | % | 7.60 | % | ||||||
Dollars
|
1.50 | % | 2.10 | % | 2.70 | % | ||||||
Weighted
average rate
|
10.77 | % | 5.03 | % | 6.86 | % | ||||||
Yield
spread nominal basis (3)
|
||||||||||||
Pesos
|
10.18 | % | 2.67 | % | 5.43 | % | ||||||
Dollars
|
1.39 | % | 1.96 | % | 2.63 | % | ||||||
Weighted
average rate
|
8.64 | % | 2.95 | % | 5.24 | % |
(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.
|
Fiscal
Years ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||
Net
income
|
718,462 | 321,510 | 235,049 | |||||||||
Average
total assets (1)
|
26,108,529 | 23,924,232 | 20,428,814 | |||||||||
Average
stockholders’ equity (1)
|
2,501,248 | 2,066,431 | 2,005,711 | |||||||||
Stockholders’
equity at the end of the fiscal year
|
2,926,472 | 2,076,024 | 2,056,837 | |||||||||
Net
income as a percentage of:
|
||||||||||||
Average
total assets
|
2.75 | % | 1.34 | % | 1.15 | % | ||||||
Average
stockholders’ equity
|
28.72 | % | 15.56 | % | 11.72 | % | ||||||
Declared
dividends (2)
|
480,000 | 100,000 | 164,000 | |||||||||
Dividend
payout ratio (3)
|
66.81 | % | 31.10 | % | 69.77 | % | ||||||
Average
stockholders’ equity as a percentage of average total
assets
|
9.58 | % | 8.64 | % | 9.82 | % |
(1)
|
Computed
as the average of fiscal year-beginning and fiscal year-ending
balances.
|
(2)
|
For
the fiscal year ended December 31, 2009, the dividends authorized at the
General Annual and Special Shareholders’ Meeting on April 30, 2010 are
Ps.480 million (see Note 13.b) to the Consolidated Financial Statements).
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 year ended December 31, 2007 the dividends paid
were entirely 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”.
|
Fiscal
Years ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Government
securities
|
||||||||||||
In
pesos:
|
||||||||||||
Investment
accounts
|
||||||||||||
Debt
consolidation bonds—Social security (BOCON)
|
55,846 | 59,737 | — | |||||||||
Argentine
bonds
|
541,555 | 439,816 | 370,832 | |||||||||
Argentine
Central Bank notes (NOBAC)
|
546,402 | 371,274 | 176,882 | |||||||||
Holding
for trading or financial transactions
|
||||||||||||
Debt
consolidation bonds—Social security (BOCON)
|
590 | 6,600 | 21,376 | |||||||||
Argentine
bonds
|
53,894 | 34,874 | 90,741 | |||||||||
Argentine
Central Bank notes (NOBAC)
|
— | — | 3,266 | |||||||||
Other
debt bonds
|
60 | 3,103 | 582 | |||||||||
Holding
available for sale
|
||||||||||||
Debt
consolidation bonds—Social security (BOCON)
|
157,614 | 65,213 | 166,229 | |||||||||
Argentine
bonds
|
108,577 | 26,456 | 73,284 | |||||||||
Argentine
Central Bank notes (NOBAC)
|
83,996 | 485,833 | 1,133,071 | |||||||||
Argentine
Central Bank bills (LEBAC)
|
205,583 | — | — | |||||||||
Instruments
issued by the Argentine Central Bank
|
||||||||||||
Argentine
Central Bank bills (LEBAC)
|
2,164,361 | 1,267,667 | 140,068 | |||||||||
Argentine
Central Bank notes (NOBAC)
|
788,783 | 1,409,020 | 1,865,723 | |||||||||
Unlisted
government securities
|
||||||||||||
Argentine
bonds
|
1,960,793 | 1,002,431 | 903,897 | |||||||||
Tax
credit certificates
|
6 | 6 | 6 | |||||||||
Other
debt bonds
|
228 | 223 | — | |||||||||
Total
government securities in pesos
|
6,668,288 | 5,172,253 | 4,945,957 | |||||||||
In
foreign currency:
|
||||||||||||
Investment
accounts
|
||||||||||||
Argentine
bonds
|
190,960 | 84,707 | — | |||||||||
Government
Securities for repurchase agreements with the Argentine Central
Bank
|
||||||||||||
Argentine
bonds
|
68,250 | 334,688 | — | |||||||||
Holding
for trading or financial transactions
|
||||||||||||
Argentine
bonds
|
62,570 | 27,764 | 51,109 | |||||||||
Other
debt bonds
|
371,062 | 200,428 | 3,246 | |||||||||
Holding
available for sale
|
||||||||||||
Argentine
bonds
|
84,405 | — | — | |||||||||
Unlisted
government securities
|
||||||||||||
Argentine
bonds
|
— | 2,148 | — | |||||||||
Other
debt bonds
|
19 | 25 | — | |||||||||
Total
government securities in foreign currency
|
777,266 | 649,760 | 54,355 | |||||||||
Total
government securities
|
7,445,554 | 5,822,013 | 5,000,312 | |||||||||
Investments
in listed private securities
|
||||||||||||
Shares
|
46 | 3,708 | 36,313 | |||||||||
Corporate
bonds—Listed
|
68,345 | 40,478 | 49,011 | |||||||||
Mutual
funds
|
128,742 | 50,228 | 40,286 | |||||||||
Certificates
of participation in financial trusts
|
21,472 | 69,980 | 116,333 | |||||||||
Total
private securities
|
218,605 | 164,394 | 241,943 | |||||||||
Subtotal
government and private securities
|
7,664,159 | 5,986,407 | 5,242,255 | |||||||||
Allowances
|
(449,927 | ) | (752,747 | ) | (61,002 | ) | ||||||
Total
government and private securities
|
7,214,232 | 5,233,660 | 5,181,253 | |||||||||
Corporate
bonds—Unlisted
|
119,488 | 104,476 | 81,976 |
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:
|
||||||||||||||||||||
Investment
accounts
|
||||||||||||||||||||
Debt
consolidation bonds-Social security (BOCON) (*)
|
9,926 | 35,921 | 6,441 | 3,558 | 55,846 | |||||||||||||||
Argentine
bonds (*)
|
— | 167,913 | 1,998 | 371,644 | 541,555 | |||||||||||||||
Argentine
Central Bank notes (NOBAC) (*)
|
368,737 | 177,665 | — | — | 546,402 | |||||||||||||||
Holding
for trading on financial transactions
|
||||||||||||||||||||
Debt
consolidation bonds-Social security (BOCON) (*)
|
— | 44 | 294 | 252 | 590 | |||||||||||||||
Argentine
bonds (*)
|
224 | 27,061 | 1,292 | 25,317 | 53,894 | |||||||||||||||
Other
debt bonds
|
60 | — | — | — | 60 | |||||||||||||||
Holding
available for sale
|
||||||||||||||||||||
Debt
consolidation bonds-Social security (BOCON) (*)
|
28,449 | 101,638 | 27,527 | — | 157,614 | |||||||||||||||
Argentine
bonds (*)
|
10,063 | 69,083 | 29,431 | — | 108,577 | |||||||||||||||
Argentine
Central Bank notes (NOBAC) (*)
|
83,996 | — | — | — | 83,996 | |||||||||||||||
Argentine
Central Bank bills (LEBAC) (*)
|
205,583 | — | — | — | 205,583 | |||||||||||||||
Instruments
issued by the Argentine Central Banks
|
||||||||||||||||||||
Argentine
Central Bank bills (LEBAC) (*)
|
1,935,339 | 229,022 | — | — | 2,164,361 | |||||||||||||||
Argentine
Central Bank notes (NOBAC) (*)
|
773,980 | 14,803 | — | — | 788,783 | |||||||||||||||
Unlisted
Government Securities
|
||||||||||||||||||||
Argentine
bonds (*)
|
97,268 | 998,489 | 783,980 | 81,056 | 1,960,793 | |||||||||||||||
Tax
credit certificates
|
6 | — | — | — | 6 | |||||||||||||||
Other
debt bonds
|
228 | — | — | — | 228 | |||||||||||||||
Total
government securities in pesos
|
3,513,859 | 1,821,639 | 850,963 | 481,827 | 6,668,288 | |||||||||||||||
In
foreign currency:
|
||||||||||||||||||||
Investment
accounts
|
||||||||||||||||||||
Argentine
bonds (*)
|
— | — | 88,720 | 102,240 | 190,960 | |||||||||||||||
Government
Securities for repurchase agreements with the Argentine Central
Bank
|
||||||||||||||||||||
Argentine
bonds (*)
|
— | — | 68,250 | — | 68,250 | |||||||||||||||
Holding
for trading on financial transactions
|
||||||||||||||||||||
Argentine
bonds (*)
|
4,077 | 19,717 | 37,950 | 826 | 62,570 | |||||||||||||||
Other
debt bonds
|
366,906 | 3,894 | 109 | 153 | 371,062 | |||||||||||||||
Holding
available for sale
|
||||||||||||||||||||
Argentine
bonds (*)
|
— | — | 84,405 | — | 84,405 | |||||||||||||||
Unlisted
government securities
|
||||||||||||||||||||
Other
debt bonds
|
10 | 9 | — | — | 19 | |||||||||||||||
Total
government securities in foreign currency
|
370,993 | 23,620 | 279,434 | 103,219 | 777,266 | |||||||||||||||
Total
government securities
|
3,884,852 | 1,845,259 | 1,130,397 | 585,046 | 7,445,554 | |||||||||||||||
Certificates
of participation on financial trust
|
8,980 | 7,274 | 5,218 | — | 21,472 | |||||||||||||||
Corporate
bonds—Listed
|
15,088 | 52,033 | 1,224 | — | 68,345 | |||||||||||||||
Corporate
bonds —Unlisted
|
30,472 | 89,016 | — | — | 119,488 | |||||||||||||||
Weighted
average yield (for the securities indicated with*)
|
13.85 | % | 16.30 | % | 12.16 | % | 7.61 | % |
Fiscal
Years ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Principal
|
||||||||||||
Advances
(1)
|
1,703,750 | 1,413,522 | 1,326,472 | |||||||||
Notes
discounted and purchased (2)
|
1,068,567 | 1,241,508 | 1,430,787 | |||||||||
Secured
with mortgages
|
838,410 | 946,804 | 772,036 | |||||||||
Consumer
loans (3)
|
3,764,239 | 3,606,729 | 2,392,956 | |||||||||
Financial
loans (4)
|
384,331 | 598,755 | 541,911 | |||||||||
Loans
to governmental sector (5)
|
1,400,243 | 2,400,511 | 2,367,869 | |||||||||
Other
loans
|
2,806,667 | 2,373,476 | 2,666,843 | |||||||||
Less:
Unaccrued interest and unused collections (6)
|
(16,471 | ) | (24,304 | ) | (13,756 | ) | ||||||
Less:
Difference arising from purchase of portfolio
|
— | (102 | ) | (93 | ) | |||||||
Plus:
Interest and exchange differences receivable
|
139,839 | 147,079 | 103,824 | |||||||||
Less:
Allowance for loan losses
|
(337,686 | ) | (196,489 | ) | (198,728 | ) | ||||||
Total
|
11,751,889 | 12,507,489 | 11,390,121 |
|
(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 tax
rights.
|
|
(6)
|
Unaccrued
interest is defined as the discount on notes and
bills.
|
Fiscal
Years ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Liquid
guarantees
|
72,609 | 73,871 | 97,764 | |||||||||
Preferred
guarantees
|
1,240,138 | 1,320,822 | 832,607 | |||||||||
Total
|
1,312,747 | 1,394,693 | 930,371 | |||||||||
Fiscal
year ended December 31,
|
||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||
Loan
Portfolio
|
%
of Loan Portfolio
|
Loan
Portfolio
|
%
of Loan Portfolio
|
Loan
Portfolio
|
%
of Loan Portfolio
|
|||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Agricultural
and livestock
|
292,020 | 2.42 | % | 311,226 | 2.45 | % | 348,966 | 3.01 | % | |||||||||||||||
Beverage
|
254,800 | 2.11 | % | 165,130 | 1.30 | % | 207,597 | 1.79 | % | |||||||||||||||
Construction
|
89,022 | 0.74 | % | 128,242 | 1.01 | % | 143,305 | 1.24 | % | |||||||||||||||
Consumer
|
4,451,310 | 36.82 | % | 4,270,716 | 33.62 | % | 2,945,120 | 25.41 | % | |||||||||||||||
Electrical
machinery
|
— | — | — | — | 289,858 | 2.50 | % | |||||||||||||||||
Electricity,
oil, water and sanitary services
|
57,789 | 0.48 | % | 92,258 | 0.73 | % | — | — | ||||||||||||||||
Financial
sector
|
384,331 | 3.18 | % | 598,755 | 4.71 | % | 541,911 | 4.68 | % | |||||||||||||||
Foodstuff
|
307,960 | 2.55 | % | 265,929 | 2.09 | % | 764,487 | 6.60 | % | |||||||||||||||
Government
services
|
1,400,243 | 11.58 | % | 2,400,511 | 18.90 | % | 2,367,869 | 20.43 | % | |||||||||||||||
Industrial
metals
|
328,187 | 2.71 | % | 259,660 | 2.04 | % | 219,039 | 1.89 | % | |||||||||||||||
Leather
and fur product
|
8,299 | 0.07 | % | 9,375 | 0.07 | % | 70,121 | 0.61 | % | |||||||||||||||
Mining
products
|
567,374 | 4.69 | % | 263,913 | 2.08 | % | 463,545 | 4.00 | % | |||||||||||||||
Oil
and carbon
|
153,418 | 1.27 | % | 304,147 | 2.39 | % | 473,427 | 4.09 | % | |||||||||||||||
Others
|
2,842,973 | 23.52 | % | 2,575,617 | 20.27 | % | 1,615,437 | 13.92 | % | |||||||||||||||
Other
manufacturing
|
46,362 | 0.38 | % | 95,143 | 0.75 | % | 100,678 | 0.87 | % | |||||||||||||||
Paper
products
|
20,253 | 0.17 | % | 19,959 | 0.16 | % | — | — | ||||||||||||||||
Printers,
publishers and related industries
|
— | — | — | — | 10,034 | 0.09 | % | |||||||||||||||||
Rubber
products
|
43,648 | 0.36 | % | 61,248 | 0.48 | % | 85,810 | 0.74 | % | |||||||||||||||
Retail
trade
|
264,130 | 2.18 | % | 354,681 | 2.79 | % | 312,412 | 2.70 | % | |||||||||||||||
Services
|
119,954 | 0.99 | % | 35,530 | 0.28 | % | 82,978 | 0.72 | % | |||||||||||||||
Shoes,
apparel and other textile products
|
6,976 | 0.06 | % | 22,473 | 0.18 | % | 19,276 | 0.17 | % | |||||||||||||||
Textile
|
39,181 | 0.32 | % | 36,836 | 0.29 | % | 57,117 | 0.49 | % | |||||||||||||||
Tobacco
|
7,095 | 0.06 | % | 5,021 | 0.04 | % | 9,466 | 0.08 | % | |||||||||||||||
Transportation
material
|
93,105 | 0.77 | % | 96,173 | 0.76 | % | 134,852 | 1.16 | % | |||||||||||||||
Wholesale
trade
|
298,835 | 2.47 | % | 318,442 | 2.51 | % | 305,727 | 2.64 | % | |||||||||||||||
Wood
products and cork
|
12,310 | 0.10 | % | 13,095 | 0.10 | % | 19,910 | 0.17 | % | |||||||||||||||
Total
|
12,089,575 | 100.00 | % | 12,704,080 | 100.00 | % | 11,588,942 | 100.00 | % | |||||||||||||||
Maturing
|
||||||||||||||||||||
Amount
at December 31,
2009
|
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
|
1,400,243 | 2,322 | 143,041 | 145,091 | 1,109,789 | |||||||||||||||
To
the financial sector
|
384,331 | 202,288 | 136,543 | 45,500 | — | |||||||||||||||
To
the non-financial private sector and residents abroad
|
10,305,001 | 4,819,847 | 2,730,468 | 2,231,392 | 523,294 | |||||||||||||||
Overdrafts
|
1,743,635 | 1,129,504 | 612,821 | 1,310 | ||||||||||||||||
With
privileged guarantees
|
1,333,138 | 107,401 | 208,556 | 501,203 | 515,978 | |||||||||||||||
Credit
cards
|
1,469,107 | 1,469,107 | — | — | — | |||||||||||||||
Other
|
5,759,121 | 2,113,835 | 1,909,091 | 1,728,879 | 7,316 | |||||||||||||||
Total
|
12,089,575 | 5,024,457 | 3,010,052 | 2,421,983 | 1,633,083 | |||||||||||||||
Percentage
of total loan portfolio
|
100.00 | % | 41.56 | % | 24.90 | % | 20.03 | % | 13.51 | % |
Fiscal
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Cross-border
outstandings to U.S. borrowers
|
— | — | 129,661 | |||||||||
Total
|
— | — | 129,661 |
Fiscal
Year Ended
December 31,
2009
|
||||
(in
thousands of pesos)
|
||||
Variable
Rate
|
||||
Pesos
— including adjustable loans
|
1,825,057 | |||
Foreign
currency
|
10,335 | |||
1,835,392 | ||||
Fixed
Rate
|
||||
Pesos
|
8,226,835 | |||
Foreign
currency
|
1,905,848 | |||
10,132,683 | ||||
Non-performing (1)
|
||||
Pesos
|
119,847 | |||
Foreign
currency
|
1,653 | |||
121,500 | ||||
Total
|
12,089,575 |
|
(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
|
— | 1,254,880 | ||||||
To
the financial sector
|
45,500 | — | ||||||
To
the non-financial private sector and residents abroad
|
2,370,252 | 384,434 | ||||||
Total
|
2,415,752 | 1,639,314 |
|
§
|
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 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, Cedel, 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.
|
|
§
|
Refinancings
with regular monthly or bimonthly payments: by the timely payment of
installments. This is the criterion adopted by BBVA Banco
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.
|
3.
|
“Problem”
if the borrower has problems in meeting its ordinary financial
obligations.
|
4.
|
“High
Risk of Insolvency” if the borrower is highly unlikely to meet its
financial obligations.
|
5.
|
“Irrecoverable”
if it is clear, at the time of the classification, that the borrower will
not meet its financial obligations to the classifying
bank.
|
6.
|
“Irrecoverable
for Technical Decision” if such borrower meets the same criteria as
described above for consumer
borrowers.
|
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%
|
|
§
|
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 |
|
§
|
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”.
|
Fiscal
Years Ended December 31,
|
||||||||||||||||||||||||
2009
|
%
|
2008
|
%
|
2007
|
%
|
|||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||
Loan
Portfolio Categories
|
||||||||||||||||||||||||
Normal
|
11,878,068 | 98.25 | % | 12,527,583 | 98.61 | % | 11,482,063 | 99.08 | % | |||||||||||||||
Low
risk / Special tracking
|
90,007 | 0.74 | % | 65,798 | 0.52 | % | 43,901 | 0.38 | % | |||||||||||||||
Medium
risk / Problem
|
45,918 | 0.38 | % | 36,340 | 0.29 | % | 16,817 | 0.15 | % | |||||||||||||||
High
risk / High risk of insolvency
|
64,933 | 0.54 | % | 67,812 | 0.52 | % | 26,694 | 0.24 | % | |||||||||||||||
Irrecoverable
|
10,392 | 0.09 | % | 5,820 | 0.05 | % | 18,207 | 0.16 | % | |||||||||||||||
Irrecoverable
for technical decision
|
257 | — | 727 | 0.01 | % | 1,260 | 0.01 | % | ||||||||||||||||
Total
|
12,089,575 | 100.00 | % | 12,704,080 | 100.00 | % | 11,588,942 | 100.00 | % |
|
§
|
5%
reduction in the percentage of cancellation determined for the different
categories (1 to 5), in order to reclassify a debtor to a higher
rating.
|
|
§
|
Private
or Judicial Arrangements: 20% cancellation is required (previously 30%)
for a debtor to be moved to Special tracking – under observation
situation.
|
|
§
|
Modification
in the conditions for preferred “A” guarantees – Credit Securities (checks
/ promissory notes/invoices).
|
|
§
|
Flexibility
of percentages for the granting of “additional
credit”.
|
|
§
|
Incorporated
point 2.2.7 of the Allocations Annex, according to which the situation of
a borrower who has made a refinancing with capital reduction is determined
as per the difference between net debt allocations and the amount of the
said reduction.
|
|
§
|
Communication
“A” 4683 incorporated the possibility for borrowers of the Consumption and
Consumption Assimilable Portfolio to be allocated a provision percentage
higher than the minimum established for each situation without having to
be automatically reclassified to the next category. BBVA Banco Francés
made use of this possibility admitted by the regulations in
force.
|
Fiscal
Years Ended December 31,
|
||||||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in
thousands of pesos, except percentages) (1)
|
||||||||||||||||||||||||||||||||||||||||
Normal
(Consumer)
|
4,417,993 | 96.47 | % | 4,358,063 | 97.19 | % | 3,332,574 | 98.29 | % | 2,086,773 | 98.06 | % | 1,442,324 | 98.09 | % | |||||||||||||||||||||||||
Normal
(Commercial)
|
7,460,075 | 99.33 | % | 8,169,520 | 99.39 | % | 8,149,489 | 99.40 | % | 7,487,039 | 98.85 | % | 7,047,617 | 97.94 | % | |||||||||||||||||||||||||
11,878,068 | 98.25 | % | 12,527,583 | 98.61 | % | 11,482,063 | 99.08 | % | 9,573,812 | 98.69 | % | 8,489,941 | 97.96 | % | ||||||||||||||||||||||||||
Low
risk (Consumer)
|
54,838 | 1.20 | % | 55,071 | 1.23 | % | 26,168 | 0.77 | % | 20,138 | 0.95 | % | 8,518 | 0.58 | % | |||||||||||||||||||||||||
Special
tracking (Commercial)
|
35,169 | 0.47 | % | 10,727 | 0.13 | % | 17,733 | 0.22 | % | 27,546 | 0.36 | % | 74,519 | 1.04 | % | |||||||||||||||||||||||||
90,007 | 0.74 | % | 65,798 | 0.52 | % | 43,901 | 0.38 | % | 47,684 | 0.49 | % | 83,037 | 0.96 | % | ||||||||||||||||||||||||||
Medium
risk (Consumer)
|
42,503 | 0.93 | % | 33,008 | 0.74 | % | 12,027 | 0.35 | % | 8,061 | 0.38 | % | 5,040 | 0.34 | % | |||||||||||||||||||||||||
Problem
(Commercial)
|
3,415 | 0.05 | % | 3,332 | 0.04 | % | 4,790 | 0.06 | % | 5,212 | 0.07 | % | 6,789 | 0.09 | % | |||||||||||||||||||||||||
45,918 | 0.38 | % | 36,340 | 0.29 | % | 16,817 | 0.15 | % | 13,273 | 0.14 | % | 11,829 | 0.14 | % | ||||||||||||||||||||||||||
High
risk (Consumer)
|
58,605 | 1.28 | % | 35,076 | 0.78 | % | 837 | 0.02 | % | 6,357 | 0.30 | % | 6,395 | 0.43 | % | |||||||||||||||||||||||||
High
risk of insolvency (Commercial)
|
6,328 | 0.08 | % | 32,736 | 0.40 | % | 25,857 | 0.31 | % | 23,376 | 0.31 | % | 61,765 | 0.86 | % | |||||||||||||||||||||||||
64,933 | 0.54 | % | 67,812 | 0.53 | % | 26,694 | 0.24 | % | 29,733 | 0.31 | % | 68,160 | 0.79 | % | ||||||||||||||||||||||||||
Irrecoverable
(Consumer)
|
5,364 | 0.12 | % | 2,362 | 0.05 | % | 17,689 | 0.52 | % | 6,158 | 0.29 | % | 8,007 | 0.55 | % | |||||||||||||||||||||||||
Irrecoverable
(Commercial)
|
5,028 | 0.07 | % | 3,458 | 0.03 | % | 518 | 0.01 | % | 29,883 | 0.39 | % | 5,355 | 0.07 | % | |||||||||||||||||||||||||
10,392 | 0.09 | % | 5,820 | 0.05 | % | 18,207 | 0.16 | % | 36,041 | 0.37 | % | 13,362 | 0.15 | % | ||||||||||||||||||||||||||
Irrecoverable
for technical decision (Consumer)
|
98 | — | 480 | 0.01 | % | 1,260 | 0.05 | % | 827 | 0.04 | % | 121 | 0.01 | % | ||||||||||||||||||||||||||
Irrecoverable
for technical decision (Commercial)
|
159 | — | 247 | 0.01 | % | — | — | — | — | — | — | |||||||||||||||||||||||||||||
257 | — | 727 | 0.01 | % | 1,260 | 0.01 | % | 827 | 0.01 | % | 121 | — | ||||||||||||||||||||||||||||
Total
consumer loans
|
4,579,401 | 100.00 | % | 4,484,060 | 100.00 | % | 3,390,555 | 100.00 | % | 2,128,314 | 100.00 | % | 1,470,405 | 100.00 | % | |||||||||||||||||||||||||
Total
commercial loans
|
7,510,174 | 100.00 | % | 8,220,020 | 100.00 | % | 8,198,387 | 100.00 | % | 7,573,056 | 100.00 | % | 7,196,045 | 100.00 | % | |||||||||||||||||||||||||
Total
|
12,089,575 | 100.00 | % | 12,704,080 | 100.00 | % | 11,588,942 | 100.00 | % | 9,701,370 | 100.00 | % | 8,666,450 | 100.00 | % | |||||||||||||||||||||||||
(1)
|
Percentages
for each category are of total consumer, commercial or total loans, as the
context requires.
|
Fiscal
Years Ended December 31,
|
|||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
|||||||||||||||
(in
thousands of pesos)
|
|||||||||||||||||||
Non-performing
loans (1)
|
121,500 | 110,699 | 62,978 | 79,874 | 93,472 | ||||||||||||||
Total
|
121,500 | 110,699 | 62,978 | 79,874 | 93,472 | ||||||||||||||
With
preferred guarantees
|
15,929 | 10,408 | 3,900 | 3,777 | 7,008 | ||||||||||||||
Unsecured
|
105,571 | 100,291 | 59,078 | 76,097 | 86,464 | ||||||||||||||
Total
|
121,500 | 110,699 | 62,978 | 79,874 | 93,472 |
(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, 2009, 2008, 2007,
2006 and 2005, non-performing loans include Ps.91,671 thousand, Ps.93,573
thousand, Ps.57,439 thousand, Ps.74,848 thousand and Ps.81,965 thousand,
respectively, of non-accrual
loans.
|
Fiscal
Years Ended December 31,
|
||||||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||||||
Agricultural
and livestock
|
61 | 0.05 | % | 156 | 0.14 | % | 20 | 0.03 | % | 412 | 0.52 | % | 20 | 0.02 | % | |||||||||||||||||||||||||
Beverage
|
— | — | — | — | — | — | 5 | 0.01 | % | 1 | — | |||||||||||||||||||||||||||||
Construction
|
1,498 | 1.23 | % | 1,980 | 1.79 | % | 774 | 1.23 | % | 436 | 0.55 | % | 1,778 | 1.90 | % | |||||||||||||||||||||||||
Consumer
|
41,814 | 34.41 | % | 34,780 | 31.42 | % | 12,264 | 19.47 | % | 6,339 | 7.94 | % | 14,423 | 15.43 | % | |||||||||||||||||||||||||
Electrical
machinery
|
16 | 0.01 | % | — | — | 1 | — | 2 | — | — | — | |||||||||||||||||||||||||||||
Foodstuff
|
16 | 0.01 | % | 35 | 0.03 | % | 26 | 0.04 | % | 6 | 0.01 | % | 1 | — | ||||||||||||||||||||||||||
Government
services
|
1 | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Industrial
metals
|
9 | 0.01 | % | 1 | — | 5 | 0.01 | % | — | — | — | — | ||||||||||||||||||||||||||||
Leather
and fur products
|
4 | — | 2 | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Mining
products
|
— | — | — | — | 1 | — | — | — | — | — | ||||||||||||||||||||||||||||||
Oil
and carbon
|
— | — | — | — | — | — | — | — | 221 | 0.24 | % | |||||||||||||||||||||||||||||
Others
|
64,826 | 53.35 | % | 54,024 | 48.80 | % | 39,637 | 62.94 | % | 67,205 | 84.12 | % | 61,268 | 65.54 | % | |||||||||||||||||||||||||
Other
manufacturing
|
1 | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Printer,
publishers and related industries
|
8 | 0.01 | % | — | — | — | — | 1 | — | — | — | |||||||||||||||||||||||||||||
Rubber
products
|
3 | — | — | — | 4 | 0.01 | % | — | — | — | — | |||||||||||||||||||||||||||||
Retail
trade
|
8,105 | 6.68 | % | 13,294 | 12.01 | % | 7,526 | 11.95 | % | 3,711 | 4.65 | % | 13,142 | 14.06 | % | |||||||||||||||||||||||||
Services
|
156 | 0.13 | % | 37 | 0.03 | % | 23 | 0.04 | % | 19 | 0.02 | % | — | — | ||||||||||||||||||||||||||
Shoes,
apparel and other textile products
|
3 | — | ||||||||||||||||||||||||||||||||||||||
Textile
|
1 | — | 9 | 0.01 | % | 1 | — | 1 | — | — | — | |||||||||||||||||||||||||||||
Tobacco
|
5 | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Transportation
material
|
7 | 0.01 | % | 4 | — | — | — | — | — | 1 | — | |||||||||||||||||||||||||||||
Wholesale
trade
|
4,966 | 4.10 | % | 6,377 | 5.77 | % | 2,696 | 4.29 | % | 1,737 | 2.18 | % | 2,614 | 2.81 | % | |||||||||||||||||||||||||
Wood
products and cork
|
— | — | — | — | — | — | — | — | 3 | — | ||||||||||||||||||||||||||||||
Total
|
121,500 | 100.00 | % | 110,699 | 100.00 | % | 62,978 | 100.00 | % | 79,874 | 100.00 | % | 93,472 | 100.00 | % |
Fiscal
Years Ended December 31,
|
||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||
Balance
at the beginning of the year
|
196,489 | 198,728 | 167,097 | 184,885 | 202,693 | |||||||||||||||
Provisions
for loan losses
|
244,800 | 38,124 | 61,985 | 69,799 | 114,220 | |||||||||||||||
Charge-offs
(1)
|
(103,603 | ) | (40,363 | ) | (30,354 | ) | (87,587 | ) | (132,028 | ) | ||||||||||
Advances
|
(32,520 | ) | (1,767 | ) | (10,311 | ) | (3,513 | ) | (18,136 | ) | ||||||||||
Consumer
|
(24,645 | ) | (14,658 | ) | — | (4,543 | ) | (39,081 | ) | |||||||||||
Notes
discounted and purchased
|
(26,451 | ) | (4,499 | ) | (8,239 | ) | (8,711 | ) | (17,418 | ) | ||||||||||
Other
|
(19,987 | ) | (19,439 | ) | (11,804 | ) | (70,820 | ) | (57,393 | ) | ||||||||||
Balance
at the end of year
|
337,686 | 196,489 | 198,728 | 167,097 | 184,885 | |||||||||||||||
Net
charge-off / average loans
|
0.85 | % | 0.34 | % | 0.29 | % | 0.97 | % | 1.49 | % |
(1)
|
Charge-offs
are not concentrated in any particular economic activity. Our management
estimates that 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. Of the Ps.87.6 million charged-off in the fiscal
year ended December 31, 2006, Ps.69.1 million, or 78.90%, were related to
corporate borrowers and Ps.18.5 million, or 21.10%, were related to
individual consumers. Of the Ps.132.0 million charged-off in the fiscal
year ended December 31, 2005, Ps.111.7 million, or 84.64%, were related to
corporate borrowers and Ps.20.3 million, or 15.36%, were related to
individual consumers. Charge-offs include reversal and
applications.
|
Fiscal
Years Ended December 31,
|
||||||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
2006
|
2005
|
||||||||||||||||||||||||||||||||||||
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
Total
|
%
|
|||||||||||||||||||||||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||||||||||||||||||||||||||||||
Advances
|
25,192 | 16.31 | % | 17,131 | 12.74 | % | 20,158 | 13.06 | % | 19,947 | 19.02 | % | 11,550 | 11.24 | % | |||||||||||||||||||||||||
Notes
discounted and purchased
|
15,692 | 10.23 | % | 15,194 | 11.19 | % | 22,295 | 14.09 | % | 12,359 | 10.27 | % | 7,393 | 8.60 | % | |||||||||||||||||||||||||
Secured
with mortgages
|
15,379 | 8.03 | % | 10,975 | 8.53 | % | 12,877 | 7.60 | % | 8,081 | 5.96 | % | 7,082 | 6.05 | % | |||||||||||||||||||||||||
Chattel
mortgage
|
10,641 | 1.00 | % | 7,015 | 4.61 | % | 3,648 | 2.49 | % | 1,403 | 0.13 | % | 760 | 0.93 | % | |||||||||||||||||||||||||
Consumers
loans
|
197,786 | 31.43 | % | 75,869 | 27.90 | % | 51,387 | 21.07 | % | 23,296 | 15.73 | % | 14,664 | 11.49 | % | |||||||||||||||||||||||||
Financial
Loans
|
7,595 | 5.22 | % | 8,909 | 4.98 | % | 9,819 | 4.98 | % | 5,188 | 5.33 | % | 1,691 | 2.10 | % | |||||||||||||||||||||||||
Other
loans to governmental sector
|
— | 1.12 | % | — | 8.67 | % | — | 10.45 | % | — | 14.18 | % | 49,324 | 38.67 | % | |||||||||||||||||||||||||
Other
|
65,402 | 26.66 | % | 61,396 | 21.38 | % | 78,544 | 26.26 | % | 96,823 | 29.38 | % | 92,421 | 20.92 | % | |||||||||||||||||||||||||
Total
|
337,686 | 100.00 | % | 196,489 | 100.00 | % | 198,728 | 100.00 | % | 167,097 | 100.00 | % | 184,885 | 100.00 | % | |||||||||||||||||||||||||
Fiscal
Year ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Deposits
in domestic Bank’s offices
|
||||||||||||
Non-interest-bearing
demand deposits
|
||||||||||||
Average
|
||||||||||||
Pesos
|
3,181,698 | 2,932,651 | 2,547,283 | |||||||||
Dollars
|
92,396 | 57,159 | 43,736 | |||||||||
Total
|
3,274,094 | 2,989,810 | 2,591,019 | |||||||||
Saving
accounts
|
||||||||||||
Average
|
||||||||||||
Pesos
|
3,363,193 | 3,242,023 | 2,790,939 | |||||||||
Dollars
|
1,840,846 | 1,190,844 | 917,098 | |||||||||
Total
|
5,204,039 | 4,432,867 | 3,708,037 | |||||||||
Average
real rate
|
||||||||||||
Pesos
|
(8.94 | )% | (8.02 | )% | (12.52 | )% | ||||||
Dollars
|
(0.09 | )% | 0.65 | % | (10.32 | )% | ||||||
Total
|
(5.81 | )% | (5.69 | )% | (11.98 | )% | ||||||
Time
deposits
|
||||||||||||
Average
|
||||||||||||
Pesos
|
5,651,906 | 5,732,426 | 5,897,520 | |||||||||
Dollars
|
1,871,652 | 1,359,527 | 1,062,937 | |||||||||
Total
|
7,523,558 | 7,091,953 | 6,960,457 | |||||||||
Average
real rate
|
||||||||||||
Pesos
|
2.34 | % | 3.02 | % | (4.92 | )% | ||||||
Dollars
|
1.53 | % | 3.11 | % | (8.43 | )% | ||||||
Total
|
2.14 | % | 3.03 | % | (5.46 | )% | ||||||
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
|
4,430,268 | 4,430,268 | — | — | — | |||||||||||||||
Savings
|
5,982,525 | 5,982,525 | — | — | — | |||||||||||||||
Time
deposits
|
7,544,751 | 6,843,413 | 533,954 | 162,615 | 4,769 | |||||||||||||||
Investment
accounts
|
19,022 | 2,411 | 3,411 | 13,200 | — | |||||||||||||||
Other
|
358,279 | 342,573 | 11,239 | 4,163 | 304 | |||||||||||||||
Total
|
18,334,845 | 17,601,190 | 548,604 | 179,978 | 5,073 |
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
|
3,228,473 | 2,806,350 | 280,759 | 138,474 | 2,890 | |||||||||||||||
Foreign
offices
|
— | — | — | — | — | |||||||||||||||
Total
|
3,228,473 | 2,806,350 | 280,759 | 138,474 | 2,890 | |||||||||||||||
At
December 31,
|
||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||
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
|
1,172,743 | 10.4 | % | 3,003,372 | 2.2 | % | 1,656,030 | 3.7 | % | |||||||||||||||
Average
during year
|
2,108,840 | 6.0 | % | 2,110,645 | 5.0 | % | 1,429,466 | 5.5 | % | |||||||||||||||
Maximum
month-end balance
|
3,314,174 | 3,003,372 | 1,656,030 |
|
§
|
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
provisions of Decree No. 1131/01 are abrogated, and 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, applicable until December 2005,
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.
|
|
§
|
Decree
No. 1599/05 modified the Law No. 23,928 by allowing reserves exceeding
100% of the monetary base to 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, in custody at other banks, in transit and in value
carriers. Until December 2008, this item could not exceed 67% calculated
on total items included;
|
(ii)
|
current
accounts in Pesos, special guarantee accounts and accounts in connection
with the attention of pension benefits, 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)
|
minimum
cash account of public securities and instruments issued by the Central
Bank, at market value and of the same type;
and
|
(v)
|
current
accounts of non banking financial
institutions.
|
Type of
Account
|
From
Nov-2009
|
|||
Current
accounts (except deposits and other demand obligations in pesos, whose
return exceeds 15% BADLAR rate of private financial institutions’
average) and
sight accounts open in Credit Unions (1)
|
19 | % | ||
Other
demand deposits and basic account (2)
|
||||
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 (3)
|
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 (4):
|
||||
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 | % | ||
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 (5)
|
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. (6)
|
16 | % |
(1)
|
In
accordance with the Communication “A”
4712.
|
(2)
|
In
accordance with the Communication “A”
4809.
|
(3)
|
Computable
for payment of their Minimum Required
Reserves.
|
(4)
|
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.
|
(5)
|
In
accordance with the Communication “A”
4670.
|
(6)
|
In
accordance with the Communication “A”
4754.
|
|
§
|
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.
|
(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 Nro. 1192/OC-AR”, without exceeding 10% of the lending
capacity.
|
(9)
|
Interfinancing
loans (any interfinancing loans granted with such resources must be
identified).
|
|
§
|
contractual
cash flow of assets and
liabilities,
|
|
§
|
current
cash flow to renew assets and
liabilities,
|
|
§
|
cash
flow designed to prevent illiquidity of the bank,
and
|
|
§
|
cash
flow designed to anticipate illiquidity in the financial system, both with
and without compliance with minimum
requirements.
|
|
§
|
the
concentration of assets and liabilities in particular
clients;
|
|
§
|
the
general economic situation, probable trends and the impact on available
credit; and
|
|
§
|
the
ability to obtain funds through the sale of public debt instruments and/or
liquid assets.
|
|
§
|
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.
|
|
§
|
definitions
for Tier I (core) capital (“Tier I Capital”) and Tier II (supplemental)
capital (“Tier II Capital”),
|
|
§
|
a
system for weighing assets and off-balance sheet items according to credit
risk (this weighted total referred to as the “Basel Risk Weighted
Assets”), and
|
|
§
|
as
of the end of 1992, a requirement that banks engaged in international
operations maintain:
|
|
(1)
|
Tier
I Capital at least equal to 4.0% of Basel Risk Weighted Assets;
and
|
|
(2)
|
“Total
Capital”, equal to Tier I Capital plus up to an equal amount of Tier II
Capital, at least equal to 8.0% of Basel Risk Weighted
Assets.
|
§
|
“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
|
|
§
|
Minimum
capital required for credit risk, which includes the minimum capital
requirement for market risk, plus the minimum capital requirement for
interest rate 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 as accounted for in
investment accounts or 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 2004
|
0.05
|
January
/ December 2005
|
0.15
|
January
/ December 2006
|
0.30
|
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 (including the holding available for sale), except
for those held in investment accounts, public securities acquired since
June 1, 2007 by primary subscription denominated in pesos, and quotas in
common investment funds that invest in those securities; provided that,
such securities and/or holdings are usually listed on a national
securities exchange; 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.
|
|
§
|
securities
and derivative instruments that are already subject to minimum capital
requirements for market risk;
|
|
§
|
holdings
in foreign currency not subject to minimum capital for market risk as they
are below the minimum applicable
limits;
|
|
§
|
banker’s
acceptances;
|
|
§
|
assets
affected, covered by derivatives agreements made with foreign banks with
international risk rate “A” or above, granted by international rating
agencies accepted by the Central
Bank;
|
|
§
|
subordinated
debt that is included in the calculation of Complementary Net Worth, and
other assets deductible from minimum capital integration;
and
|
|
§
|
operations
for spot markets of securities and foreign
currency.
|
Period
|
ALFA2
|
January
/ December 2004
|
0.20
|
January
/ December 2005
|
0.40
|
January
/ December 2006
|
0.70
|
From
January 2007
|
1.00
|
|
§
|
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.
|
At December 31,
2009
|
||||
(in
millions of Pesos, except percentages)
|
||||
Basel
Accord
|
||||
Total
capital
|
3,028.3 | |||
Risk-weighted
assets
|
10,827.6 | |||
Ratio
of total capital to risk-weighted assets (1)
|
28.0 | % | ||
Required
capital
|
866.2 | |||
Excess
capital
|
2,162.1 | |||
Central Bank’s
Rules (2)
|
||||
Total
capital
|
2,948.4 | |||
Risk
and Fixed weighted assets
|
16,239.1 | |||
Ratio
of total capital to risk-weighted assets (3)
|
18.2 | % | ||
Required
capital (4)
|
1,572.2 | |||
Excess
capital
|
1,376.2 |
(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.64.5 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 registrar of
mortgage-backed bonds, invested in national public securities and other
destinations authorized by the BCRA and guaranteed in favor of
the given entity.
|
(i)
|
market
value; or
|
(ii)
|
cost
value increased according to their internal rate of
return.
|
|
§
|
national
public securities comprised within the margin for purchase and sale or
brokerage transactions admitted in case of excesses over the limits to
credit risk division due to financing for the non-financial public sector
that must be charged to this special system. The released instruments will
continue to be taken into account in calculating the excess over the
limits to credit risk division due to financing for the non-financial
sector originated in operations in existence prior to March 31, 2003,
whose margin may not exceed 25% of the RPC corresponding to the last day
of the pertinent preceding month;
|
|
§
|
national
public securities acquired by the financial entities through primary
underwritings from June 1, 2007, denominated in pesos at terms of five
years or more, at a fixed rate without CER adjustment, chargeable
investment accounts at the net book value of the relevant portion
corresponding to the amount of the balancing account;
and
|
|
§
|
BCRA’s
monetary regulation instruments contained in investment accounts, so that
they may be totally or partially charged to the special investment account
system.
|
|
§
|
sale;
|
|
§
|
collection
of the corresponding amortization services and/or capital
revenue;
|
|
§
|
whenever
the volatility published by this Institution ceases to be available, in
which case they must be registered as holdings without quotation;
or
|
|
§
|
whenever
it is decided to use the “Special Investment Account” or “Investment
Account” valuation method.
|
|
§
|
a
debt issue in a country which must be a member of the OECD and at the same
time have an “AAA” rating in respect of its sovereign
debt;
|
|
§
|
an
issue of capital stock approved by the relevant local authorities and
according to which the shares could be freely traded either in such local
market or in the market of a member nation of the OECD with an “AAA”
rating in respect of its sovereign
debt;
|
|
§
|
a
debt issue to an Argentine financial entity which complies with the
alternative procedure described in (a) above;
or
|
|
§
|
a
transaction with a foreign bank with a minimum credit rating of “A”, by
which the Argentine entity would receive deposits or take loans from such
foreign bank. The purpose of such requirement was to have the Argentine
financial institutions exposed to scrutiny and analysis by third parties
considered by the Central Bank to be rating demanding in matters that have
to do with credit analysis and quality control. The need to respond to the
expectations of such third parties at the same time created for the
Central Bank an additional source of quality control over the Argentine
banking system. While this requirement remained in force the Bank complied
with it at all times.
|
|
§
|
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 Banco 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), 30% of the RPC until
December 31, 2006. As from January 1, 2007 and according to the provisions
of Communications “A” 4577 and 4598, 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), which is the lesser of
the following:
|
(1)
|
30%
of the RPC, and
|
(2)
|
Own
liquid resources.
|
|
§
|
Shares
of local companies.
|
|
§
|
Assets
appropriated as guarantee.
|
|
§
|
Various
credits (including the net balance favorable to the given entity
corresponding to the Tax on minimum presumed income or “TOMPI”
undeductible of Basic Net Worth).
|
|
§
|
Property
for own use.
|
|
§
|
Various
property items.
|
|
§
|
Organization
and development expenses.
|
|
§
|
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 CAMEL 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.
|
—
|
—
|
||||||
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%.
|
|
§
|
foreign
financial institutions which are subsidiaries of the domestic institution
subject to oversight on a consolidated basis (Communication “A” 2829 of
the Central Bank);
|
|
§
|
foreign
banks controlling domestic financial institutions or their branches or
subsidiaries abroad (Communication “A” 2829 of the Central
Bank);
|
|
§
|
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, the foregoing traditional
restrictions with regard to investments and loans apply;
and
|
|
§
|
when
the Related Person is a company expressly referred to as an exempted
entity under Article 28 of Law No. 21,726 and only in respect of equity
investments, the bank is limited to lending to such Related Person and
only in accordance with the previous traditional
restrictions.
|
|
§
|
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 reimbursable financial assistance to be used
for covering expenses and/or investments made in the course of their
normal and customary businesses, except those which may have been
contemplated in the 2001 and 2003
budgets;
|
|
§
|
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;
|
|
§
|
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 the said
Law;
|
|
§
|
They
must be for the specific purpose of developing activities in the power
supply sector; and
|
|
§
|
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
participations greater than 50% by the Argentine government as trustee in
financial trusts for the financing of construction work as contemplated by
paragraph i), point 3.2.4 of the regulations entitled “Financing to the
Non-Financial Public Sector”.
|
|
§
|
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;
|
|
§
|
those
deposits made between July 1, 1995 and September 17, 1998, at a rate
exceeding by two percentage points per annum or more than paid by the
Banco Nación on similar terms and, after such later date, at a rate
exceeding by two percentage points per annum the rolling average for the
last five banking days of the deposit rates found by the survey performed
by the Central Bank; and
|
|
§
|
transferable
certificates of deposit whose ownership has been acquired by way of
endorsement.
|
|
§
|
Under
Communication “A” 3358 of November 9, 2001 of the Central Bank, the
contributions percentage increased to 0.03% effective as of the
contribution due December 2001.
|
|
§
|
Under
Communication “A” 4206 of September 14, 2004 of the Central Bank, the
contributions percentage decreased to 0.02% effective as of the
contribution due September 2004.
|
|
§
|
Under
Communication “A” 4271 of December 30, 2004 of the Central Bank, the
contributions percentage decreased to 0.015% effective as of the
contribution due January 2005.
|
|
§
|
increased
private sector loans focusing in the middle-market and retail
segments;
|
|
§
|
increased
retail deposits, expanding current and savings accounts participation over
CDs;
|
|
§
|
further
developed the transactional business as a source of fee
income;
|
|
§
|
emphasized
service quality and increased cross-selling, through an effective
promotion and advertising campaign;
|
|
§
|
maintained
our excellent asset quality standards;
and
|
|
§
|
increased
investment in electronic channels.
|
|
§
|
Valuation
Criteria
|
(1)
|
Federal Government
secured loans
|
(2)
|
Tax
Effects
|
(3)
|
Derivative financial
instruments
|
(4)
|
Consolidar AFJP S.A.
building acquisition
|
|
§
|
Valuation
criteria and aspects related to disclosure of
information
|
|
a)
|
Arising
from the application of the accounting standards issued by the National
Superintendence of Insurance (S.S.N.) and the main differences from the
professional accounting standards in
Argentina:
|
(i)
|
Federal
Government secured loans – Decree No. 1387/01 held by Consolidar Cía. de
Seguros de Retiro S.A. (“Retiro”) amounting to Ps.606,217 and Ps.914,113
as of December 31, 2009 and 2008, respectively, were valued in accordance
with the regulations of the National Superintendence of Insurance
(S.S.N.).
|
(ii)
|
Retiro’s
portfolio of Government securities in investment accounts has been booked
in accordance with the standards of the
S.S.N.
|
(iii)
|
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.
|
(iv)
|
With
respect to Retiro, the Company included the balance from the technical
commitments incurred with the insured in the Other Liabilities caption.
The abovementioned caption includes Ps.8,993 and Ps.13,084 at December 31,
2009 and 2008, respectively, corresponding to the regularizing account
called “Unaccrued Federal Government secured loans valuation difference”
which, as established by the S.S.N., will be settled through subsequent
accrual of the regularizing accounts of Federal Government 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.
|
(v)
|
Upon
booking the effects of the interest rate swaps as of December 31, 2009 and
2008, Retiro 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 and 3,950 as of December 31, 2009 and 2008,
respectively.
|
|
b)
|
Arising
from the application of the accounting standards issued by B.C.R.A. and
the professional accounting standards in force in
Argentina:
|
(i)
|
Retiro
as of December 31, 2009 and 2008 and Consolidar Cía. de Seguros de Vida
S.A. as of December 31, 2008: 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, 2009 and 2008 amounted to
Ps.7,435 (income) and Ps.7,011 (loss),
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 Argentine Central Bank 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 increased by Ps.4,271 and Ps.5,720 as of
December 31, 2009 and 2008,
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 AFJP.
|
Fiscal
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Interest
on cash and due from banks
|
29 | 11,745 | 20,202 | |||||||||
Interest
on loans to the financial sector
|
203,089 | 187,728 | 146,833 | |||||||||
Interest
on overdraft
|
366,655 | 264,989 | 164,659 | |||||||||
Interest
on loans with privileged guarantees
|
213,426 | 162,553 | 79,353 | |||||||||
Interest
on credit card loans
|
182,231 | 107,461 | 55,026 | |||||||||
Interest
on other loans
|
996,762 | 886,606 | 640,477 | |||||||||
Net
income from government and private securities
|
1,042,950 | — | 319,666 | |||||||||
Interest
from other receivables from financial transactions
|
1,322 | 20,175 | 23,757 | |||||||||
Indexation
by benchmark stabilization coefficient (CER)
|
11,017 | 199,209 | 210,342 | |||||||||
Other
|
542,722 | 438,638 | 243,897 | |||||||||
Total
|
3,560,203 | 2,279,104 | 1,904,212 | |||||||||
December
31 2009
vs.
December
31 2008
Increase
(Decrease)
|
December
31 2008
vs.
December
31 2007
Increase
(Decrease)
|
|||||||
Financial
income due to change in:
|
(in
thousands of pesos)
|
(in
thousands of pesos)
|
||||||
the
volume of interest-earning assets
|
567,060 | 217,088 | ||||||
average
nominal rates of interest-earning assets
|
1,017,438 | (205,066 | ) | |||||
the
volume and average nominal rates of interest-earning
assets
|
(1 | ) | (25,371 | ) | ||||
Net
Change
|
1,584,497 | (13,349 | ) | |||||
Fiscal
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Interest
on checking accounts
|
21,719 | 28,083 | 23,180 | |||||||||
Interest
on savings deposits
|
10,002 | 8,713 | 6,598 | |||||||||
Interest
on time deposit (1)
|
746,267 | 724,771 | 492,716 | |||||||||
Interest
from other liabilities from financial transactions
|
9,252 | 28,486 | 26,627 | |||||||||
Indexation
by benchmark stabilization coefficient (CER)
|
375 | 7,212 | 49,230 | |||||||||
Net
expense from government and private securities
|
— | 288,141 | — | |||||||||
Net
expense from options
|
2 | 100 | — | |||||||||
Other
|
226,342 | 116,175 | 81,780 | |||||||||
Total
|
1,013,959 | 1,201,681 | 680,131 | |||||||||
|
(1)
|
Includes
interest on “CEDROS”.
|
December
31, 2009
vs.
December
31, 2008
Increase
/ (Decrease)
|
December
31, 2008
vs.
December
31, 2007
Increase
|
|||||||
Financial
expense due to changes in:
|
(in
thousands of pesos)
|
(in
thousands of pesos)
|
||||||
the
volume of interest-bearing liabilities
|
115,453 | 54,431 | ||||||
average
nominal rates of interest-bearing liabilities
|
(46,935 | ) | 128,218 | |||||
the
volume and average nominal rates of interest-bearing
liabilities
|
1 | 11,875 | ||||||
Net
Change
|
68,519 | 194,524 | ||||||
December
31, 2009
vs.
December
31, 2008
Increase
(Decrease)
|
December
31, 2008
vs.
December
31, 2007
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
|
451,607 | 162,657 | ||||||
average
nominal rates of interest-earning assets and interest-bearing
liabilities
|
1,064,373 | (333,284 | ) | |||||
the
volume and average nominal rates of interest-earning assets and
interest-bearing liabilities
|
(2 | ) | (37,246 | ) | ||||
Net
Change
|
1,515,978 | (207,873 | ) |
Fiscal
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Service
charges on deposit accounts
|
380,812 | 301,470 | 231,149 | |||||||||
Credit
card operations
|
289,969 | 227,626 | 150,947 | |||||||||
Other
fees related to foreign trade
|
67,648 | 57,833 | 47,687 | |||||||||
Credit-related
fees
|
85,352 | 70,443 | 37,823 | |||||||||
Fund
management fees
|
16,364 | 228,408 | 486,066 | |||||||||
Capital
markets and securities activities
|
11,305 | 13,893 | 10,608 | |||||||||
Rental
of safety deposit boxes
|
34,997 | 23,354 | 17,400 | |||||||||
Fees
related to guarantees
|
1,414 | 1,195 | 797 | |||||||||
Insurance
agency
|
116,202 | 94,771 | 65,835 | |||||||||
Other
|
198,942 | 171,424 | 134,477 | |||||||||
Total
|
1,203,005 | 1,190,417 | 1,182,789 | |||||||||
Fiscal
Year Ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos)
|
||||||||||||
Personnel
expenses
|
875,452 | 707,198 | 545,408 | |||||||||
Fees
and external administrative services
|
82,346 | 59,268 | 37,145 | |||||||||
Taxes
|
103,613 | 63,235 | 52,119 | |||||||||
Utilities
|
28,675 | 28,995 | 24,977 | |||||||||
Depreciation
of Bank property and equipment
|
49,244 | 42,468 | 37,203 | |||||||||
Credit
card advertising and issuance expense
|
74,396 | 60,592 | 43,303 | |||||||||
Courier
transportation
|
25,049 | 21,942 | 15,579 | |||||||||
Advertising
and promotion (excluding credit card advertising)
|
55,957 | 65,396 | 60,600 | |||||||||
Maintenance
and repairs
|
59,694 | 53,718 | 38,553 | |||||||||
Business
travel and development
|
11,381 | 19,435 | 18,317 | |||||||||
Staff
welfare
|
24,433 | 37,836 | 43,075 | |||||||||
Amortization
of organization and development expenses
|
18,520 | 32,706 | 21,961 | |||||||||
Rentals
|
69,531 | 57,832 | 47,064 | |||||||||
Other
|
155,608 | 162,827 | 138,857 | |||||||||
Total
|
1,633,899 | 1,413,448 | 1,124,161 | |||||||||
Fiscal
Year Ended
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
(in
thousands of pesos, except percentages)
|
||||||||||||
Net
Income before income tax and minority interest
|
1,104,930 | 349,979 | 304,984 | |||||||||
Statutory
tax rate
|
35 | % | 35 | % | 35 | % | ||||||
Income
tax (at statutory rate)
|
386,726 | 122,493 | 106,744 | |||||||||
Deferred
tax
|
(42,052 | ) | 48,319 | (98,525 | ) | |||||||
Tax-exempt
income
|
(19,276 | ) | (27,359 | ) | (26,875 | ) | ||||||
Allowances
on deferred tax assets
|
42,052 | 48,318 | 98,525 | |||||||||
Other
|
4,128 | (223,040 | ) | (154,205 | ) | |||||||
Income
tax (gain) / loss
|
371,578 | (31,270 | ) | (74,336 | ) | |||||||
(Allowances)
|
— | — | — | |||||||||
Income
tax (gain) / loss, net
|
371,578 | (31,270 | ) | (74,336 | ) | |||||||
Actual
income tax
|
(371,578 | ) | 31,270 | 74,336 | ||||||||
Deferred
income tax (1)
|
— | — | — |
(1)
|
Included
in Other Income and Income Tax.
|
Remaining
Maturity or Earliest Repricing Intervals at December 31,
2009
|
||||||||||||||||||||||||
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
|
3,910,785 | — | — | — | — | 3,910,785 | ||||||||||||||||||
Government
securities
|
4,495,424 | 2,297,726 | 269,436 | 279,903 | 103,065 | 7,445,554 | ||||||||||||||||||
Corporate
bonds
|
170,797 | 13,149 | 2,255 | 1,632 | — | 187,833 | ||||||||||||||||||
Loans
(1)
|
6,825,630 | 2,848,192 | 2,205,661 | 163,139 | 46,953 | 12,089,575 | ||||||||||||||||||
Total
|
15,402,636 | 5,159,067 | 2,477,352 | 444,674 | 150,018 | 23,633,747 | ||||||||||||||||||
Interest-bearing
liabilities
|
||||||||||||||||||||||||
Deposits
|
14,088,584 | 718,590 | 5,040 | — | — | 14,812,214 | ||||||||||||||||||
Due
to other banks
|
1,010,591 | 46,419 | 76,929 | — | — | 1,133,939 | ||||||||||||||||||
Total
|
15,099,175 | 765,009 | 81,969 | — | — | 15,946,153 | ||||||||||||||||||
Asset/liability
gap
|
303,461 | 4,394,058 | 2,395,383 | 444,674 | 150,018 | 7,687,594 | ||||||||||||||||||
Cumulative
sensitivity gap
|
303,461 | 4,697,519 | 7,092,902 | 7,537,576 | 7,687,594 | |||||||||||||||||||
Cumulative
sensitivity gap as a percentage of total interest-earning
assets
|
1.28 | % | 19.88 | % | 30.01 | % | 31.89 | % | 32.53 | % |
(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,
2009
|
||||||||||||||||||||||||
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
|
1,287,504 | — | — | — | — | 1,287,504 | ||||||||||||||||||
Government
securities
|
4,419,496 | 1,994,847 | 254,647 | — | — | 6,668,990 | ||||||||||||||||||
Corporate
bonds
|
98,708 | 13,149 | — | — | — | 111,857 | ||||||||||||||||||
Loans
(1)
|
5,782,704 | 1,973,947 | 2,204,997 | 163,139 | 46,953 | 10,171,740 | ||||||||||||||||||
Total
|
11,588,412 | 3,981,943 | 2,459,644 | 163,139 | 46,953 | 18,240,091 | ||||||||||||||||||
Interest-bearing
liabilities:
|
||||||||||||||||||||||||
Deposits
|
9,902,793 | 480,270 | 3,490 | — | — | 10,386,553 | ||||||||||||||||||
Due
to other banks
|
532,137 | 45,429 | 74,952 | — | — | 652,518 | ||||||||||||||||||
Total
|
10,434,930 | 525,699 | 78,442 | — | — | 11,039,071 | ||||||||||||||||||
Asset/liability
gap
|
1,153,482 | 3,456,244 | 2,381,202 | 163,139 | 46,953 | 7,201,020 | ||||||||||||||||||
Cumulative
sensitivity gap
|
1,153,482 | 4,609,726 | 6,990,928 | 7,154,067 | 7,201,020 | |||||||||||||||||||
Cumulative
sensitivity gap as a percentage of total interest-earning
assets
|
6.32 | % | 25.27 | % | 38.33 | % | 39.22 | % | 39.48 | % |
(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,
2009
|
||||||||||||||||||||||||
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
|
2,623,281 | — | — | — | — | 2,623,281 | ||||||||||||||||||
Government
securities
|
75,928 | 302,879 | 14,789 | 279,903 | 103,065 | 776,564 | ||||||||||||||||||
Corporate
bonds
|
72,089 | — | 2,255 | 1,632 | — | 75,976 | ||||||||||||||||||
Loans
(1)
|
1,042,926 | 874,245 | 664 | — | — | 1,917,835 | ||||||||||||||||||
Total
|
3,814,224 | 1,177,124 | 17,708 | 281,535 | 103,065 | 5,393,656 | ||||||||||||||||||
Interest-bearing
liabilities:
|
||||||||||||||||||||||||
Deposits
|
4,185,791 | 238,320 | 1,550 | — | — | 4,425,661 | ||||||||||||||||||
Due
to other banks
|
478,454 | 990 | 1,977 | — | — | 481,421 | ||||||||||||||||||
Total
|
4,664,245 | 239,310 | 3,527 | — | — | 4,907,082 | ||||||||||||||||||
Asset/liability
gap
|
(850,021 | ) | 937,814 | 14,181 | 281,535 | 103,065 | 486,574 | |||||||||||||||||
Cumulative
sensitivity gap
|
(850,021 | ) | 87,793 | 101,974 | 383,509 | 486,574 | ||||||||||||||||||
Cumulative
sensitivity gap as a percentage of total interest-earning
assets
|
(15.76 | )% | 1.63 | % | 1.89 | % | 7.11 | % | 9.02 | % |
(1)
|
Loan
amounts are stated before deducting the allowance for loan losses.
Non-accrual loans are included with loans as interest-earning
assets.
|
At
December 31,
|
||||||||||||
2009 (4)
|
2008 (4)
|
2007 (4)
|
||||||||||
(in
thousands of pesos, except ratios and percentages)
|
||||||||||||
Calculation
of excess capital (1)
|
||||||||||||
Allocated
to assets at risk
|
951,717 | 892,463 | 760,014 | |||||||||
Allocated
to Bank premises and equipment, intangible assets and equity investment
assets
|
99,308 | 86,167 | 94,852 | |||||||||
Interest
rate risk
|
167,116 | 158,065 | 174,544 | |||||||||
Incremental
minimum capital requirements originated in excesses in other
regulations
|
— | — | — | |||||||||
Public
sector and securities in investment account
|
267,954 | 236,321 | 145,882 | |||||||||
A-
Minimal exigency by adds up risks
|
1,486,095 | 1,373,016 | 1,175,292 | |||||||||
B-
Basic exigency for custody of titles of the AFJP and / or agent of record
of hypothecary letters
|
1,289,541 | 836,005 | 1,068,636 | |||||||||
Maximum
between A and B
|
1,486,095 | 1,373,016 | 1,175,292 | |||||||||
Market
risk
|
86,074 | 52,360 | 108,280 | |||||||||
Required
minimum capital under Central Bank rules
|
1,572,169 | 1,425,376 | 1,283,572 | |||||||||
Basic
net worth
|
2,222,143 | 1,946,516 | 1,864,585 | |||||||||
Complementary
net worth
|
629,422 | 180,655 | 235,272 | |||||||||
Deductions
|
(116,341 | ) | (97,956 | ) | (102,835 | ) | ||||||
Minority
interest
|
213,182 | 248,139 | 236,018 | |||||||||
Total
capital under Central Bank rules
|
2,948,406 | 2,277,354 | 2,233,040 | |||||||||
Excess
capital
|
1,376,237 | 851,978 | 949,468 | |||||||||
Selected
capital and liquidity ratios
|
||||||||||||
Average
stockholders’ equity as a percentage of average total assets (1)(2)
|
9.58 | % | 8.64 | % | 9.82 | % | ||||||
Total
liabilities as a multiple of total stockholders’ equity
|
8.02 | x | 11.44 | x | 9.71 | x | ||||||
Cash
and due from banks as a percentage of total deposits
|
28.66 | % | 24.84 | % | 21.12 | % | ||||||
Liquid
assets as a percentage of total deposits (1)(3)
|
68.01 | % | 55.49 | % | 55.63 | % | ||||||
Loans
as a percentage of total assets
|
44.53 | % | 48.43 | % | 51.72 | % |
(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, 2009, 2008 and 2007, “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.64,477, Ps.41,800 and Ps.53,432 as at
December 31,
2009,
2008 and 2007 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
|
1,148,644 | 1,096,719 | 47,800 | 4,125 | — | |||||||||||||||
Operating
leases
|
136,886 | 27,606 | 43,856 | 35,640 | 29,784 | |||||||||||||||
Total
|
1,285,530 | 1,124,325 | 91,656 | 39,765 | 29,784 | |||||||||||||||
Commercial
commitments
|
||||||||||||||||||||
Lines
of credit
|
56,290 | 56,290 | — | — | — | |||||||||||||||
Foreign
trade acceptances
|
113,506 | 111,902 | 1,604 | — | — | |||||||||||||||
Guarantees
|
349,992 | 208,039 | 2,222 | 244 | 139,487 | |||||||||||||||
Standby
repurchase obligations
|
76,024 | 76,024 | — | — | — | |||||||||||||||
Total
|
595,812 | 452,255 | 3,826 | 244 | 139,487 |
Name
|
Current
Term
Ends
|
Position
as of
December
31, 2009
|
Date
of Birth
|
Present
principal occupations outside BBVA Banco 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”); Vice
Chairman, Francés
Valores Sociedad de Bolsa S.A. (“Francés Valores”); Chairman, Inversora Otar S.A.
(“Inversora
Otar”);
Business experience: Director, Credilogros
Compañía Financiera
S.A. (“Credilogros”); Chairman, Consolidar AFJP S.A.
(“Consolidar
AFJP”); Chairman,
Consolidar ART S.A. (“Consolidar ART”); Chairman, Consolidar
Compañía de Seguros
de Vida S.A. (“Consolidar Seguros de Vida”); Chairman, Consolidar
Compañía de Seguros
de Retiro S.A. (“Consolidar Seguros de
Retiro”); Chairman,
BBVA Consolidar Seguros S.A. (“BBVA Seguros”) and Chairman, Consolidar Salud
S.A. (“Consolidar
Salud”). Credit
Manager, Banco del Interior y Buenos Aires; Business Manager,
Corporación
Metropolitana de Finanzas; Financial Manager, BBVA Banco
Francés; Wholesale
Banking Director, BBVA Banco Francés and Retail Banking Director,
BBVA Banco Francés.
Mr. Bledel joined the staff of
BBVA Banco Francés in
1986 and was first
elected to the Board in March 2003.
|
José
Manuel Tamayo Pérez
(**)
|
December
2009
|
Vice
chairman
|
05/22/1950
|
Present principal
occupations:
Director, BBVA Banco Francés S.A.
Business experience: Director, Consolidar AFJP;
Director, Consolidar
Seguros de Retiro Retail Banking Director, BBVA S.A.; Retail Banking
Director, BBVA Banco Francés S.A.; Marketing Director
España and Portugal,
BBVA S.A.
Mr. Tamayo Pérez was elected Director in April
2007.
|
Marcelo
Gustavo Canestri
(*)
|
December
2009
|
Director
|
04/23/1953
|
Present principal
occupations: Director, Francés Valores; Director, Inversora
Otar; Director, PSA Finance
Business
experience: Corporate
Assistant Manager, BBVA Banco Francés; Wholesale Banking Assistant
Manager, BBVA Banco Francés; Asset Management Director, BBVA
Banco Francés and
Financial Director, BBVA Banco Francés; Director, Consolidar Seguros de
Retiro; Director, Consolidar AFJP; Director, Consolidar ART; Director,
Consolidar Seguros de Vida; Director, BBVA Seguros.
Mr. Canestri joined the Bank in 1973
and was first elected to the Board in September
2001.
|
Javier
José D’Ornellas
(***)
|
December
2009
|
Director
|
06/07/1940
|
Present principal
occupations:
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 and Director,
Santa Lucia Cristais Brasil.
Mr. D’Ornellas was elected Director in
1998.
|
Name
|
Current
Term
Ends
|
Position
as of
December
31, 2009
|
Date
of Birth
|
Present
principal occupations outside BBVA Banco Francés
and
business experience
|
Oscar
Miguel Castro
(***)
|
December
2011
|
Director
|
12/04/1945
|
Present principal
occupations:
Director, Zurich Argentina Cia. de Seguros S.A.; Director, Zurich Argentina de
Seguros de Retiro S.A.: Alternate Director ,
Transportadora Gas del Sur. Independent
Consultant.
Business experience: Executive 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.
|
Jesús
Gonzalvo Lozano
(**)
|
December
2010
|
Director
|
04/19/1952
|
Present
principal occupations: Director, BBVA Banco Francés S.A.
Business
experience: Regional Director,
Cataluña, Banco
Bilbao Vizcaya Argentaria S.A.; Risks Director, Banco
Exterior.
|
Luis
Bernardo Juango Fitero
(**)
|
December
2010
|
Director
|
08/24/1949
|
Present
principal occupations: Director, BBVA Banco Francés S.A.
Business
experience: President, Banco Bilbao Vizcaya
Argentaria S.A. Colombia; 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
and Marcelo Gustavo Canestri do not qualify as independent directors, as
they are former employees of the Bank and they have not yet complied with
the period required by the rule (three years from
resignation).
|
(**)
|
Mr.
José Manuel Tamayo Pérez, Jesús Gonzalvo Lozano 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. On March 23, 2010 Mr. Gonzalvo Lozano
presented a letter of resignation to the Board of Director which was
approved by said board, and will be effective as from the shareholders
meeting appoints the corresponding
replacement.
|
(***)
|
Mr.
D’Ornellas and Mr. Castro 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
|
Jorge
Carlos Bledel
(*)
|
2001
|
Executive
Chairman
|
04/19/1954
|
Other
positions currently held: Director, Rombo Compañía
Financiera; Vice Chairman, Francés Valores; Chairman, Inversora Otar
S.A.
Work
Experience: Chairman, Consolidar AFJP; Chairman, Consolidar
ART; Chairman, Consolidar Seguros de Vida; Chairman, Consolidar Seguros de
Retiro; Chairman, BBVA Seguros and Chairman Consolidar Salud.
Mr.
Bledel joined BBVA Banco Francés in 1986.
|
José
Carlos López Álvarez
|
2007
|
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,
Global
Markets
|
07/12/1972
|
Asset
Management Area; Head of the Trading Area.
Mr.
Estrada joined BBVA Banco Francés in 1992.
|
Martín
Ezequiel Zarich
|
2007
|
Financial
Director
|
04/09/1964
|
Other
positions currently held: Director, Inversora Otar;
Director, Francés Valores; Director, Aplica Soluciones Argentina S.A;
Director, Consolidar ART; Director, BBVA Seguros; Director, Consolidar
Seguros de Retiro; Director, Consolidar Comercializadora.
Work
Experience: Alternate Director, Consolidar ART; Alternate
Director, Consolidar Seguros de Vida; Alternate Director, Consolidar AFJP;
Alternate Director, Consolidar ART; 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
Banco Francés; Financial Director, BBVA Banco Francés; Retail Banking
Director, BBVA Banco Francés; Director, Credilogros; Director, BBVA Banco
Francés Uruguay; Director, BBVA Banco Francés Cayman Ltd.; Deputy General
Director, Business Development BBVA Group.
|
Gabriel
Milstein
|
2002
|
Media
Director
|
08/14/1958
|
Organization
Manager, BBVA Banco Francés.
Mr.
Milstein joined the Bank in 1995.
|
Carlos
E. Montoto
(**)
|
1998
|
Director,
Human Resources
|
08/10/1957
|
Director,
Atuel Fideicomisos S.A.; President, Promoción y Servicios Financieros
S.A.
Mr.
Montoto joined BBVA Banco Francés in 1975.
|
Name
|
First
Appointed
|
Current
Position
|
Date
of Birth
|
Background
and Work Experience
|
Jorge
Gustavo Allen
|
2007
|
Director,
Distribution
|
12/07/1956
|
Goods
and Services Manager, Banco Francés del Río de la Plata; Logistics
Director, BBVA Banco Francés; President, BBVA Seguros; Territorial
Director, BBVA Banco Francés.
Mr.
Allen joined Banco Francés del Río de la Plata in 1994.
|
Néstor
Esteban Gessaga
(**)
|
2007
|
Director,
Corporate Banking and Investment Banking
|
06/16/1955
|
Business
Officer, Banco del Interior y Buenos Aires; Leader of the Commercial Team,
Banco Supervielle Societe Generale; Corporate Banking Officer, Banco
Francés del Río de la Plata; Team Leader Corporate Banking, Banco Francés
del Río de la Plata; General Manager, BBVA Banco Francés Uruguay;
Corporate Banking Manager, BBVA Banco Francés.
Mr.
Gessaga joined Banco Francés del Río de la Plata in 1986.
|
Enrique
César Bartolomé
|
2007
|
Director,
Innovation and Development
|
01/23/1965
|
Human
Resources Analyst, Banco de Crédito Argentino; Team Leader Management
Control, Budget and Audit, Banco de Crédito Argentino; Manager, Management
and Budget Control, BBVA Banco Francés; Director, Transformation and
Development BBVA Banco Francés.
Mr.
Bartolomé joined Banco de Crédito Argentino in 1989.
|
(*)
|
On
October 8, 2009, the Board of Directors appointed Mr. Ricardo Enrique
Moreno as Executive Director. Mr. Moreno began his office on January 1,
2010.
|
(**)
|
Messrs.
Carlos Montoto and Néstor Gessaga resigned their functions with BBVA Banco
Francés S.A. on March, 31, 2010.
|
Name
|
First
Appointed
|
Current
Position
|
Date
of Birth
|
Background
and Work Experience
|
Ricardo
Enrique Moreno
|
2009
|
Executive
Director
|
06/15/1963
|
Consultant
for Argentina, USA and México, Accenture; Director of Retail Commerce
Unit, BBVA; Director of Uno E, BBVA; Director of Transformation and
Productivity.
Mr.
Moreno joined Banco Francés 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 (Banco Francés);
General Manager and Vicepresident, BBVA Banco Uruguay; Companies Banking
Manager, BBVA Banco Francés.
Mr.
Luna joined Banco Francés in 1996.
|
Carlos
Villahoz
|
2010
|
Director,
Corporate Banking and Investment Banking
|
09/28/1955
|
Manager,
The Chase Manhattan Bank; Director, Hidro Piedra del Aguila; Director,
Hidroneuquen; Director, Trasener; Director, Transba; director, Citelec;
Director, Cerámica Zanon; Director, Barugel y Azulay; Director, BBVA Banco
Francés Cayman; Manager, Investment Banking,, BBVA Banco
Francés.
Mr.
Carlos Villahoz joined BBVA Banco Francés in 1991.
|
Name
|
First
Appointed
|
Current
Position
|
Date
of Birth
|
Background
and Work Experience
|
Gustavo
Osvaldo Fernandez
|
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 Banco Francés in 1995.
|
Adriana
Fernandez 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 Banco Francés; Organization Manager, BBVA Banco Francés;
Commercial Development and Channels Manager, BBVA Banco
Francés.
Mrs.
Fernandez de Melero joined Banco Francés in 1987.
|
Expiration
of term
|
||
Regular
|
Mario
Rafael Biscardi
|
December
31, 2009
|
Marcelino
Agustín Cornejo
|
December
31, 2009
|
|
Alejandro
Mosquera
|
December
31, 2009
|
|
Alternate
|
Alejandro
Carlos Ortiz
|
December
31, 2009
|
Julieta
Paula Pariso
|
December
31, 2009
|
|
Carolina
Verónica Bouzas
|
December
31, 2009
|
Expiration
of term
|
||
Regular
|
Mario
Rafael Biscardi
|
December
31, 2010
|
Marcelino
Agustín Cornejo
|
December
31, 2010
|
|
Alejandro
Mosquera
|
December
31, 2010
|
|
Alternate
|
Agustín
Isola
|
December
31, 2010
|
Julieta
Paula Pariso
|
December
31, 2010
|
|
Daniel
Oscar Celentano
|
December
31, 2010
|
|
a)
|
Marcelo
Gustavo Canestri
|
|
b)
|
José
Manuel Tamayo Pérez
|
|
c)
|
Jorge
Carlos Bledel
|
|
d)
|
Eduardo
Zerega
|
|
§
|
supervise
the appropriate implementation of the internal control systems defined in
the institution 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 institution’s internal audit
area (“Internal Audit Planning Memorandum” or “Annual Planning”) to be
carried out under these rules, 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.
|
Members:
|
José
Manuel Tamayo Pérez
|
Oscar Miguel
Castro
|
|
Javier D’Ornellas
|
|
§
|
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 as regards 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.
|
|
§
|
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 occasion of the
presentation and publication of the annual financial
statements.
|
|
§
|
Management
Committee
|
|
§
|
Computer Technology
Committee
|
|
§
|
Technical Operations
Committee
|
(1)
|
to
resolve on proposals which exceed the powers delegated to the Credit Risk
Committee (CRC) or the Central Tracking Committee (CTC), and submit
recommendations in cases where the final decision must be made by the
Bank’s executive levels.
|
(2)
|
to
approve qualifications for regularly adjusted amounts and special risks
amounts that have been delegated as such (risks linked to Communications
Media, Political Parties, Trade Unions, or related to BBVA Banco Francés
or its officers). If it is a qualification proposal exceeding the
above-mentioned amounts, it must be first approved by the CTO and then the
“Companies and Wholesale Risks” or the “Retail Risks” sector, as may be
applicable, must send all background information to the Central Credit
Risks Unit for it to be confirmed according to the regulations in force
for such circumstances. The Companies and “Wholesale Risks” or the “Retail
Risks” area, as may be applicable, will conduct the relevant procedures
before the Central Credit Risks Unit (CCRU) until a decision is
made.
|
(3)
|
to
decide on rebates and penalties according to the regulations in force and
delegated amounts.
|
|
§
|
Assets and Liabilities
Committee
|
(1)
|
establish
specific limits with respect to risk
exposure;
|
(2)
|
set
policy with respect to pricing and approves commercial policies which may
have a financial impact on our balance sheet;
and
|
(3)
|
be
responsible for the follow-up of monetary aggregates and financial
variables, our liquidity position, regulations from the Central Bank and
the competitive environment in assets, liabilities and interest
rates.
|
|
§
|
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
provide support for the terrorism assets laundering and financing
Sub-Committee in order to make decisions on reporting to the competent
authorities about any transactions which may appear unusual or suspicious,
or dismissing such action as may be
required.
|
|
-
|
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.
|
|
§
|
Corporate Integrity
Management Committee
|
-
|
convene
the Committee.
|
-
|
prepare
the agenda for the Committee meetings based on the proposals received from
the different members.
|
-
|
to
authorize exemptions from compliance with concrete provisions of the Code
of Behavior. In all cases such exemptions will be of an exceptional
character and for a justified reason which will not result in any risks
for the Corporate Integrity of BBVA Banco Francés and companies of the
group in Argentina.
|
-
|
to
promote the adoption of such measures as are required in order to resolve
any ethically questionable behaviors which may be brought to the knowledge
of any of the members, either as a consequence of their functions in their
areas or due to the reception of communications of the type mentioned in
paragraph 6.28. of the Code of
Behavior.
|
-
|
to
bring to the attention of the Board of Directors, the Auditing and
Regulatory Compliance Commission, the Management Committee, or the officer
responsible for the preparation of financial statements, as the case may
be, those circumstances which might derive significant risks for BBVA
Banco Francés and companies of the group in Argentina, in order to ensure
that such statements will reflect any relevant
facts.
|
-
|
to
resolve situations where the interests of BBVA Banco Francés and companies
of the group in Argentina may appear to be in opposition to those of their
clients.
|
-
|
to
prepare and distribute interpretation notes on such aspects of the Code of
Behavior as may so require in order to ensure their application in
practice.
|
-
|
to
propose changes to the content of the Code of Behavior in order to adjust
it to the evolution of the activities and businesses of BBVA Banco Francés
and companies of the group in Argentina, to their operational environment
and to the best practices of the financial
industry.
|
|
§
|
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.
|
-
|
decide
on possible discrepancies occurred in the internal certification
procedures.
|
-
|
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 serve as support for the
internal control certification tom be included in the 20-F documentation
to be filed with the SEC.
|
-
|
Responsible
for Foreign Exchange Positions (Com. “A” 4246 BCRA)
|
Main
Officer Responsible: Mr. Manuel Mansilla
|
|
Alternate
Officer Responsible: Mr. Gustavo Viturro
|
|
-
|
Responsible
for Foreign Exchange Control (Com. “A” 4246 BCRA)
|
Main
Officer Responsible: Mr. Alejandro Chiaradia
|
|
Alternate
Officer Responsible: Mr. José Luis Frete
|
|
-
|
Responsible
for relations with entities and their clients (Com. “A” 4378 and 4394
BCRA)
|
Main
Officer Responsible: Mr. Juan Christian Kindt
|
|
Alternate
Officer Responsible: Mr. Roberto Adragna
|
|
-
|
Responsible
for the Liquidity Policy (Com. “A” 2879 BCRA)
|
Mr.
Carlos Marí
|
|
-
|
Responsible
for Information Systems (Com. “A” 2593)
|
Main
Officer Responsible: Mr. José Carlos López Alvarez
|
|
Alternate
Officer Responsible: Mr. Martín Ezequiel Zarich
|
|
-
|
Responsible
for Market Relations (Decree No. 677/01)
|
Main
Officer Responsible: Mr. José Carlos López Alvarez
|
|
Alternate
Officers Responsible: Mr. Martín Ezequiel Zarich, Mr. Adrián
Bresssani
|
|
-
|
Compliance
Officer on Money Laundering Prevention regulations (Resol. No. 2
UIF)
|
Mr.
Christian Mozetic
|
As
of December 31,
|
||||||||||||
2009 (1)
|
2008 (1)
|
2007 (1)
|
||||||||||
Main
office
|
1,600 | 1,544 | 1,600 | |||||||||
Branches
|
2,482 | 2,708 | 2,494 | |||||||||
Total
|
4,082 | 4,252 | 4,094 | |||||||||
_________________
(1)
Excludes
172, 752 and 1,865 employees from non-banking subsidiaries as of December
31, 2009, 2008 and 2007, respectively.
|
Ordinary
Shares Beneficially Owned At December 31, 2009
|
||||||||
Beneficial
Owner
|
Number
of Shares
|
Percentage
of Shares Outstandings
|
||||||
Banco
Bilbao Vizcaya Argentaria (1)
|
244,870,968 | 45.65 | ||||||
Bilbao
Vizcaya America BV (2)
|
112,192,349 | 20.92 | ||||||
Inversora
Otar S.A. (3)
|
50,410,182 | 9.40 | ||||||
The
Bank of New York (4)
|
38,208,171 | 7.12 | ||||||
ANSES
|
34,556,864 | 6.44 | ||||||
___________________
(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) As
holder agent of ADSs.
|
Fiscal
Year ended December 31, 2009
|
Fiscal
Year ended December 31, 2008
|
|||||||||||||||||||||||||||||||||
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
|
173,533 | 25.43 | % | 141,219 | 26.77 | % |
Guarantees
given, advances, credit cards loans, other loans and
correspondents
|
114,323 | 28.00 | % | 114,323 | 27.50 | % |
Guarantees
given, advances, credit cards loans, other loans and
correspondents
|
||||||||||||||||||||
Francés
Valores Sociedad de Bolsa S.A.
|
16,062 | — | 8,586 | — |
Other
loans and equity investment
|
38,273 | — | 9,966 | — |
Other
loans and equity investment
|
||||||||||||||||||||||||
Francés
Administradora de Inversión
|
1,833 | 28.84 | % | 1,833 | 28.84 | % |
Credit
card loans, other loans and equity investment
|
1,560 | — | 1,529 | — |
Other
loans and equity investment
|
||||||||||||||||||||||
Consolidar
AFJP S.A.
|
40,983 | 45.00 | % | 33,564 | — |
Advances,
other loans, guarantees given and equity investment
|
35,261 | 45.00 | % | 33,882 | 45.00 | % |
Advances,
credit card loans, other loans, guarantees given and equity
investment
|
|||||||||||||||||||||
Consolidar
Seguros de Vida S.A.
|
9,356 | — | — | — |
Other
loans and equity investment
|
9,372 | 45.00 | % | 9,365 | 34.00 | % |
Advances,
credit card loans, other loans and equity investment
|
||||||||||||||||||||||
Consolidar
Seguros de Retiro S.A.
|
18,914 | 18.00 | % | 12,884 | 26.65 | % |
Credit
card loans, other loans, guarantees given and equity
investment
|
29,116 | 32.61 | % | 18,808 | 34.00 | % |
Advances,
credit card loans, other loans, guarantees given and equity
investment
|
||||||||||||||||||||
Consolidar
ART S.A.
|
14,161 | 32.36 | % | 14,161 | 32.36 | % |
Advances,
credit cards loans and equity investment
|
4,704 | 34.00 | % | 4,704 | 34.00 | % |
Credit
cards loans, other loans and equity investment
|
||||||||||||||||||||
PSA
Finance
|
370,368 | 22.44 | % | 341,348 | 24.28 | % |
Call
money, other loans and equity investment
|
364,026 | 22.32 | % | 364,026 | 22.32 | % |
Call
money, other loans and equity investment
|
||||||||||||||||||||
BBVA
Consolidar Seguros S.A.
|
17,852 | 45.00 | % | 16,583 | 85.77 | % |
Advances,
credit cards loans, other loans and equity investment
|
15,713 | — | 15,713 | — |
Other
loans and equity investment
|
||||||||||||||||||||||
Assurex
S.A.
|
131 | — | 131 | — |
Other
loans
|
35 | — | — | — |
Equity
investment
|
||||||||||||||||||||||||
Atuel
Fideicomisos S.A.
|
35,048 | — | 35,048 | — |
Equity
investment
|
30,845 | — | 30,845 | — |
Equity
investment
|
(1)
Largest amount during the period
indicated.
|
(2)
In thousands of pesos.
|
Fiscal
Year ended December 31, 2009
|
Fiscal
Year ended December 31, 2008
|
||||||||||||||||||||||||||||||||||||
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
|
|||||||||||||||||||||||||||
Associated
Entities
|
|||||||||||||||||||||||||||||||||||||
Consolidar
Salud S.A.
|
— | — | — | — | — | 1,149 | 45.00 | % | — | — |
Advances
and credit card loans
|
||||||||||||||||||||||||||
Rombo
Cia Financiera S.A.
|
179,410 | 18.70 | % | 165,078 | 23.32 | % |
Call
money, other loans, guarantees given and equity investment
|
193,513 | 35.00 | % | 177,056 | 17.42 | % |
Call
money, advances, other loans, guarantees given and equity
investment
|
|||||||||||||||||||||||
Key Management Personnel (3)
|
1,364 | 21.50 | % | 1,364 | 21.00 | % |
Advances,
credit card loans, personal loans, other loans and real state
mortgage
|
1,329 | 21.50 | % | 1,312 | 21.50 | % |
Advances,
credit card loans, personal 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
|
|||||||
March
2010
|
10.25 | 7.93 | ||||||
February
2010
|
8.40 | 7.43 | ||||||
January
2010
|
8.80 | 8.13 | ||||||
Fiscal
year ended December 31, 2009
|
8.73 | 2.50 | ||||||
Fourth
quarter
|
8.73 | 6.97 | ||||||
December,
2009
|
8.10 | 7.75 | ||||||
November,
2009
|
8.70 | 7.81 | ||||||
October,
2009
|
8.73 | 6.97 | ||||||
Third
quarter
|
7.80 | 5.30 | ||||||
Second
quarter
|
6.10 | 3.30 | ||||||
First
quarter
|
3.90 | 2.50 | ||||||
Fiscal
year ended December 31, 2008
|
8.55 | 2.42 | ||||||
Fourth
quarter
|
5.40 | 2.42 | ||||||
Third
quarter
|
5.92 | 4.39 | ||||||
Second
quarter
|
7.98 | 5.45 | ||||||
First
quarter
|
8.55 | 7.10 | ||||||
Fiscal
year ended December 31, 2007
|
13.10 | 8.04 | ||||||
Fiscal
year ended December 31, 2006
|
9.60 | 6.90 | ||||||
Fiscal
year ended December 31, 2005
|
8.13 | 5.60 | ||||||
________________
(1)
Pesos per ordinary share data reflect nominal prices at trading
date.
Source:
BCBA.
|
U.S.$
Per ADS
|
||||||||||
High
|
Low
|
|||||||||
March
2010
|
8 | 3/20 | 5 | 23/25 | ||||||
February
2010
|
6 | 33/50 | 5 | 29/50 | ||||||
January
2010
|
7 | 2/25 | 6 | 6/25 | ||||||
Fiscal
year ended December 31, 2009
|
7 | 16/39 | 1 | 4/5 | ||||||
Fourth
quarter
|
7 | 16/39 | 5 | 1/3 | ||||||
December,
2009
|
6 | 3/4 | 6 | |||||||
November,
2009
|
7 | 16/39 | 6 | 3/25 | ||||||
October,
2009
|
7 | 16/39 | 5 | 1/3 | ||||||
Third
quarter
|
6 | 1/15 | 3 | 33/50 | ||||||
Second
quarter
|
4 | 19/20 | 2 | 2/5 | ||||||
First
quarter
|
3 | 25/51 | 1 | 4/5 | ||||||
Fiscal
year ended December 31, 2008
|
8 | 21/50 | 1 | 4/7 | ||||||
Fourth
quarter
|
5 | 1 | 4/7 | |||||||
Third
quarter
|
6 | 1/20 | 3 | 17/20 | ||||||
Second
quarter
|
7 | 13/25 | 5 | |||||||
First
quarter
|
8 | 21/50 | 5 | 3/5 | ||||||
Fiscal
year ended December 31, 2007
|
13 | 1/10 | 7 | 12/25 | ||||||
Fiscal
year ended December 31, 2006
|
9 | 7/10 | 6 | 7/10 | ||||||
Fiscal
year ended December 31, 2005
|
8 | 1/4 | 5 | 39/50 |
|
§
|
the
“Floor”;
|
|
§
|
the
“SINAC”; and
|
|
§
|
the
“Continuous”.
|
Year
ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Market
capitalization (U.S.$ billion)
|
574.2 | 357.1 | 562.4 | |||||||||
Number
of companies listed
|
106 | 110 | 109 | |||||||||
Rate
of return in dollars (1)
|
95.18 | % | (54.22 | )% | 0.40 | % | ||||||
Market/book
ratio (2)
|
1.41 | 0.93 | 2.09 | |||||||||
____________________
(1)
Based on the Merval Index
(2)
Estimated
Source:
BCBA and Instituto Argentino de Mercados de Capitales
(IAMC).
|
|
§
|
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, without prior Central Bank authorization. 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.
|
|
§
|
Repay
principal of foreign debt at maturity (or 365 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
therefrom) without prior Central Bank authorization. Communication “A”
4177 (as amended) also allows prepayment of principal with an anticipation
of more than 365 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, unless the prepayment is coupled with the transfer and exchange for
pesos of a new loan with a present value equal to the prepaid
amounts.
|
(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;
|
(2)
|
Purchases
of loans granted to residents by local
banks;
|
(3)
|
Acquisition
of invoices and promissory notes for local commercial transactions,
investment in local bonds denominated in pesos;
and
|
(4)
|
The
acquisition of other local
credits.
|
|
§
|
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.
Tax Considerations
|
|
§
|
Certain
financial institutions;
|
|
§
|
dealers
and traders in securities who use a mark-to-market method of tax
accounting;
|
|
§
|
persons
holding ordinary shares or ADSs as part of a hedging transaction,
straddle, wash sale, conversion transaction or integrated transaction or
persons entering into a constructive sale with respect to the ordinary
shares or ADSs;
|
|
§
|
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 an “individual retirement account” or “Roth
IRA”;
|
|
§
|
persons
holding ordinary shares or ADSs that own or are deemed to own ten percent
or more of our voting stock; or
|
|
§
|
persons
who acquired ordinary shares or ADSs 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 or any political
subdivision thereof; or
|
|
§
|
An
estate or trust the income of which is subject to U.S. federal income
taxation regardless of its source.
|
2009
|
2008
|
Average
|
0.79
|
0.89
|
Minimum
|
0.25
|
0.22
|
Maximum
|
4.28
|
2.41
|
Dec. 31
|
3.93
|
0.32
|
Interest Risk
VaR
|
2009
|
2008
|
Average
|
0.62
|
0.78
|
Minimum
|
0.15
|
0.18
|
Maximum
|
4.21
|
2.39
|
Dec. 31
|
3.67
|
0.28
|
Currency Risk
VaR
|
2009
|
2008
|
Average
|
0.44
|
0.38
|
Minimum
|
0.06
|
0.03
|
Maximum
|
1.28
|
0.92
|
Dec. 31
|
1.21
|
0.15
|
|
None.
|
At
December 31, 2009
|
||||||||||||||||||||||||||
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 | 3,947.0 | (2.82 | )% | 2,088.2 | 1.14 | % | 456.4 | 7.04 | % | |||||||||||||||||
50 | 4,003.6 | (1.42 | )% | 2,076.4 | 0.57 | % | 441.3 | 3.52 | % | |||||||||||||||||
0 | 4,061.5 | 0.00 | % | 2,064.6 | 0.00 | % | 426.3 | 0.00 | % | |||||||||||||||||
(50 | ) | 4,120.6 | 1.46 | % | 2,052.9 | (0.57 | )% | 411.3 | (3.52 | )% | ||||||||||||||||
(100 | ) | 4,181.1 | 2.95 | % | 2,041.1 | (1.14 | )% | 396.3 | (7.04 | )% |
Peso
against all other currencies
|
Effect
on net income based on our position as of December 31,
2009
|
Effect
on net income based on our position as of December 31,
2008
|
(in
millions of pesos, except percentages)
|
||
5%
|
(42)
|
(23)
|
(5)%
|
42
|
23
|
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
|
||
U.S.$0.02
(or less) per ADR
|
§
|
Any
cash distribution to ADRs registered holders
|
|
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
|
|
U.S.$0.02
(or less) per ADR per calendar year
|
§
|
Depositary
services
|
|
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.
|
2009
|
2008
|
|||||||
(in millions of pesos)
|
||||||||
Audit
fees
|
4.39 | 5.11 | ||||||
Audit-related
fees
|
— | — | ||||||
Tax
fees
|
0.24 | 0.26 | ||||||
All
other fees
|
— | — | ||||||
Total
fees
|
4.63 | 5.37 | ||||||
§
|
Index to Consolidated Financial Statements: | |
Page
|
||
Report
of Independent Registered Public Accounting Firm
|
F-2
|
|
Consolidated
Balance Sheets as of December 31, 2009 and 2008
|
F-4
|
|
Consolidated
Statements of Operations for the fiscal years ended December 31, 2009,
2008 and 2007
|
F-8
|
|
Consolidated
Statements of Cash and Cash Equivalents Flows for the fiscal years ended
December 31, 2009, 2008 and 2007
|
F-10
|
|
Consolidated
Statements of Changes in Stockholders’ Equity for the fiscal years ended
December 31, 2009, 2008 and 2007
|
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 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 in the
BBVA Banco Francés Annual Report on Form 20-F for the year ended December
31, 2005 filed with the Securities and Exchange Commission on June 29,
2006.
|
BBVA
BANCO FRANCÉS S.A.
|
||||||
Date: | April 30, 2010 | By: |
/s/ Martín Ezequiel Zarich
|
|||
Name: | Martín Ezequiel Zarich | |||||
Title: | Chief Financial Officer |
Page
|
|
F-2
|
|
F-4
|
|
F-8
|
|
F-10
|
|
F-13
|
|
F-14
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
ASSETS
|
||||||||
CASH
AND DUE FROM BANKS
|
5,255,412 | 4,243,080 | ||||||
Cash
|
1,357,066 | 1,066,447 | ||||||
Due
from banks and correspondents
|
3,898,346 | 3,176,633 | ||||||
Argentine
Central Bank
|
3,723,387 | 3,127,010 | ||||||
Other
local
|
34,144 | 3,220 | ||||||
Foreign
|
140,815 | 46,403 | ||||||
GOVERNMENT AND PRIVATE
SECURITIES (Note 6.a)
|
7,214,232 | 5,233,660 | ||||||
Holdings
in investment accounts
|
1,334,763 | 955,534 | ||||||
Holdings
for trading or financial transactions
|
488,176 | 272,769 | ||||||
Government
Securities for repurchase agreements with the BCRA
|
68,250 | 334,688 | ||||||
Holdings
available for sale
|
640,175 | 577,502 | ||||||
Unlisted
Government Securities
|
1,961,046 | 1,004,833 | ||||||
Instruments
issued by the BCRA
|
2,953,144 | 2,676,687 | ||||||
Investments
in listed private securities
|
218,605 | 164,394 | ||||||
Less:
Allowances
|
449,927 | 752,747 | ||||||
LOANS
|
11,751,889 | 12,507,489 | ||||||
To
governmental sector
|
1,400,243 | 2,400,511 | ||||||
To
financial sector
|
384,331 | 598,755 | ||||||
Inter-financial
– (Calls granted)
|
61,000 | 22,550 | ||||||
Other
financing to local financial institutions
|
289,367 | 529,779 | ||||||
Interest
and listed-price differences accrued and pending of
collection
|
33,964 | 46,426 | ||||||
To
non-financial private sector and residents abroad:
|
10,305,001 | 9,704,814 | ||||||
Overdraft
|
1,703,750 | 1,413,522 | ||||||
Discounted
instruments
|
1,068,567 | 1,241,508 | ||||||
Real
estate mortgage
|
838,410 | 946,804 | ||||||
Collateral
loans
|
480,694 | 511,374 | ||||||
Consumer
|
1,819,382 | 1,855,767 | ||||||
Credit
cards
|
1,464,163 | 1,239,588 | ||||||
Other
(Note 6.b)
|
2,806,667 | 2,373,476 | ||||||
Interest
and listed-price differences accrued and pending of
collection
|
139,839 | 147,079 | ||||||
Less:
Interest documented together with main obligation
|
16,471 | 24,304 | ||||||
Less:
Difference arising from purchase of portfolio
|
— | 102 | ||||||
Less:
Allowances
|
337,686 | 196,489 | ||||||
Carried
forward
|
24,221,533 | 21,984,229 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Brought
forward
|
24,221,533 | 21,984,229 | ||||||
OTHER
RECEIVABLES FROM FINANCIAL TRANSACTIONS
|
931,465 | 2,442,925 | ||||||
Argentine
Central Bank
|
560,781 | 876,987 | ||||||
Amounts
receivable for spot and forward sales to be settled
|
9,469 | 1,283,910 | ||||||
Instruments
to be received for spot and forward purchases to be
settled
|
10,264 | 7,221 | ||||||
Premiums
for options bought
|
— | 2,513 | ||||||
Unlisted
corporate bonds
|
119,488 | 104,476 | ||||||
Non-deliverable
forward transactions balances to be settled
|
84,070 | 27,230 | ||||||
Other
receivables not covered by debtor classification
regulations
|
39,357 | 34,432 | ||||||
Other
receivables covered by debtor classification regulations
|
79,883 | 72,209 | ||||||
Interest
accrued and pending of collection not covered by debtor classification
regulations
|
51,212 | 36,958 | ||||||
Interest
accrued and pending of collection covered by debtor classification
regulations
|
— | 2 | ||||||
Less:
Allowances
|
23,059 | 3,013 | ||||||
ASSETS
SUBJECT TO FINANCIAL LEASING
|
311,784 | 379,120 | ||||||
Assets
subject to financial leasing
|
317,345 | 383,652 | ||||||
Less:
Allowances
|
5,561 | 4,532 | ||||||
INVESTMENTS
IN OTHER COMPANIES
|
106,289 | 96,640 | ||||||
In
Financial institutions
|
51,474 | 38,699 | ||||||
Other
(Note 6.c)
|
54,819 | 57,944 | ||||||
Less:
Allowances
|
4 | 3 | ||||||
OTHER
RECEIVABLES
|
243,057 | 392,099 | ||||||
Tax
on minimum presumed income – Tax credit
|
— | 188,324 | ||||||
Other
(Note 6.d)
|
589,442 | 432,188 | ||||||
Other
accrued interest receivable
|
2,558 | — | ||||||
Less:
Allowances
|
348,943 | 228,413 | ||||||
PREMISES
AND EQUIPMENT
|
486,483 | 441,666 | ||||||
OTHER
ASSETS
|
26,475 | 27,786 | ||||||
INTANGIBLE
ASSETS
|
59,835 | 55,332 | ||||||
Organization
and development expenses
|
59,835 | 55,332 | ||||||
SUSPENSE
ITEMS
|
4,222 | 4,230 | ||||||
OTHER SUBSIDIARIES’ ASSETS
(Note 6.e)
|
450 | 1,438 | ||||||
TOTAL
ASSETS
|
26,391,593 | 25,825,465 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
LIABILITIES
|
||||||||
DEPOSITS
|
18,334,845 | 17,079,203 | ||||||
Governmental
sector
|
1,004,442 | 1,685,730 | ||||||
Financial
sector
|
190,115 | 198,179 | ||||||
Non-financial
private sector and residents abroad:
|
17,140,288 | 15,195,294 | ||||||
Checking
accounts
|
3,491,170 | 3,293,842 | ||||||
Savings
deposits
|
5,982,379 | 4,664,223 | ||||||
Time
deposits
|
7,245,384 | 6,810,809 | ||||||
Investments
accounts
|
19,022 | 9,740 | ||||||
Other
|
348,397 | 338,758 | ||||||
Interest
and listed—price differences accrued payable
|
53,936 | 77,922 | ||||||
OTHER
LIABILITIES FROM FINANCIAL TRANSACTIONS
|
1,224,668 | 3,135,153 | ||||||
Argentine
Central Bank — Other
|
2,691 | 2,982 | ||||||
Banks
and International Institutions
|
55,523 | 331,311 | ||||||
Amounts
payable for spot and forward purchases to be settled
|
7,562 | 13 | ||||||
Instruments
to be delivered for spot and forward sales to be settled
|
80,268 | 1,604,467 | ||||||
Premiums
for options written
|
— | 1,927 | ||||||
Financing
received from Argentine financial institutions
|
38,247 | 55,713 | ||||||
Inter-financial
- (Calls received)
|
— | 550 | ||||||
Other
financing from local financial institutions
|
38,247 | 55,163 | ||||||
Non-deliverable
forward transactions balances to be settled
|
2,825 | 67,056 | ||||||
Other
(Note 6.f)
|
1,036,350 | 1,060,504 | ||||||
Interest
and listed—Price differences accrued payable
|
1,202 | 11,180 | ||||||
OTHER
LIABILITIES
|
471,729 | 429,085 | ||||||
Fees
payable
|
82 | 65 | ||||||
Other
(Note 6.g)
|
471,647 | 429,020 | ||||||
ALLOWANCES
|
529,429 | 379,243 | ||||||
SUSPENSE
ITEMS
|
75,043 | 68,507 | ||||||
OTHER SUBSIDIARIES’ LIABILITIES
(Note 6.h)
|
2,616,225 | 2,410,111 | ||||||
TOTAL
LIABILITIES
|
23,251,939 | 23,501,302 | ||||||
MINORITY
INTEREST IN SUBSIDIARIES
|
213,182 | 248,139 | ||||||
STOCKHOLDERS’
EQUITY
|
2,926,472 | 2,076,024 | ||||||
TOTAL
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
26,391,593 | 25,825,465 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
MEMORANDUM
ACCOUNTS
|
||||||||
DEBIT
ACCOUNTS
|
||||||||
Contingent
|
3,657,897 | 4,859,751 | ||||||
Credit
lines obtained (unused balances)
|
— | 52,729 | ||||||
Guaranties
received
|
2,999,676 | 4,109,820 | ||||||
Contra
contingent debit accounts
|
658,221 | 697,202 | ||||||
Control
|
40,238,423 | 26,695,971 | ||||||
Receivables
classified as non-recoverable
|
317,547 | 267,935 | ||||||
Other
(Note 6.i)
|
39,298,438 | 25,950,390 | ||||||
Contra
control debit accounts
|
622,438 | 477,646 | ||||||
Derivatives
|
4,287,825 | 3,117,794 | ||||||
“Notional”
amount of put options bought
|
— | 5,850 | ||||||
“Notional”
amount of non-deliverable forward transactions
|
1,940,035 | 1,446,615 | ||||||
Interest
rate SWAP
|
102,697 | 155,650 | ||||||
Other
|
50,000 | 50,000 | ||||||
Contra
debit derivatives accounts
|
2,195,093 | 1,459,679 | ||||||
For
trustee activities
|
12,119 | 17,575 | ||||||
Funds
in trust
|
12,119 | 17,575 | ||||||
TOTAL
|
48,196,264 | 34,691,091 | ||||||
CREDIT
ACCOUNTS
|
||||||||
Contingent
|
3,657,897 | 4,859,751 | ||||||
Credit
lines granted (unused portion) covered by debtor classification
regulations
|
56,290 | 74,294 | ||||||
Guaranties
provided to the BCRA
|
138,433 | 51,698 | ||||||
Other
guaranties given covered by debtor classification
regulations
|
228,366 | 175,508 | ||||||
Other
guarantees given non-covered by debtor classification
regulations
|
121,626 | 141,835 | ||||||
Other
covered by debtor classification regulations
|
113,506 | 253,867 | ||||||
Contra
contingent credit accounts
|
2,999,676 | 4,162,549 | ||||||
Control
|
40,238,423 | 26,695,971 | ||||||
Items
to be credited
|
549,582 | 425,136 | ||||||
Other
|
72,856 | 52,510 | ||||||
Contra
control credit accounts
|
39,615,985 | 26,218,325 | ||||||
Derivatives
|
4,287,825 | 3,117,794 | ||||||
“Notional”
amount of put options written
|
— | 5,265 | ||||||
“Notional”
amount of non-deliverable forward transactions
|
2,195,093 | 1,454,414 | ||||||
Contra
debit derivatives accounts
|
2,092,732 | 1,658,115 | ||||||
For
trustee activities
|
12,119 | 17,575 | ||||||
Contra
credit accounts for trustee activities
|
12,119 | 17,575 | ||||||
TOTAL
|
48,196,264 | 34,691,091 |
Fiscal
year ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
FINANCIAL
INCOME
|
3,560,203 | 2,279,104 | 1,904,212 | |||||||||
Interest
cash and due from banks
|
29 | 11,745 | 20,202 | |||||||||
Interest
on loans to the financial sector
|
203,089 | 187,728 | 146,833 | |||||||||
Interest
on overdraft
|
366,655 | 264,989 | 164,659 | |||||||||
Interest
on discounted instruments
|
154,894 | 176,250 | 101,775 | |||||||||
Interest
on real estate mortgage
|
122,623 | 107,322 | 64,264 | |||||||||
Interest
on collateral loans
|
90,803 | 55,231 | 15,089 | |||||||||
Interest
on credit card loans
|
182,231 | 107,461 | 55,026 | |||||||||
Interest
on other loans
|
581,402 | 495,666 | 301,738 | |||||||||
Interest
on other receivables from financial transactions
|
1,322 | 20,175 | 23,757 | |||||||||
Income
from Federal Government secured loans—Decree No. 1387/01
|
260,466 | 214,690 | 236,964 | |||||||||
Net
income from governmental and private securities
|
1,042,950 | — | 319,666 | |||||||||
Indexation
by Benchmark Stabilization Coefficient (CER)
|
11,017 | 199,209 | 210,342 | |||||||||
Gold
and foreign currency exchange difference
|
200,696 | 206,869 | 117,403 | |||||||||
Other
|
342,026 | 231,769 | 126,494 | |||||||||
FINANCIAL
EXPENSES
|
1,013,959 | 1,201,681 | 680,131 | |||||||||
Interest
on checking accounts
|
21,719 | 28,083 | 23,180 | |||||||||
Interest
on savings deposits
|
10,002 | 8,713 | 6,598 | |||||||||
Interest
on time deposit
|
744,526 | 720,759 | 491,577 | |||||||||
Interest
on inter-financial financing - (Calls received)
|
318 | 733 | 1,983 | |||||||||
Interest
on other financing from financial institutions
|
5,489 | 10,824 | 3,394 | |||||||||
Interest
on other liabilities from financial transactions
|
9,252 | 28,486 | 26,627 | |||||||||
Other
interest
|
3,216 | 6,832 | 8,478 | |||||||||
Net
expense from governmental and private securities
|
— | 288,141 | — | |||||||||
Net
expense from options
|
2 | 100 | — | |||||||||
Indexation
by CER
|
375 | 7,212 | 49,230 | |||||||||
Contribution
to the deposit guarantee fund
|
31,906 | 26,702 | 23,714 | |||||||||
Other
|
187,154 | 75,096 | 45,350 | |||||||||
GROSS
INTERMEDIATION MARGIN—GAIN
|
2,546,244 | 1,077,423 | 1,224,081 | |||||||||
ALLOWANCES
FOR DOUBTFUL LOANS
|
245,966 | 36,708 | 62,262 | |||||||||
SERVICE
CHARGE INCOME
|
1,203,005 | 1,190,417 | 1,182,789 | |||||||||
Related
to lending transactions
|
368,392 | 272,266 | 163,281 | |||||||||
Related
to liability transactions
|
502,568 | 413,474 | 318,038 | |||||||||
Other
commissions
|
77,224 | 283,494 | 530,772 | |||||||||
Other
(Note 6.j)
|
254,821 | 221,183 | 170,698 | |||||||||
Carried
forward
|
3,503,283 | 2,231,132 | 2,344,608 |
Fiscal
year ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Brought
forward
|
3,503,283 | 2,231,132 | 2,344,608 | |||||||||
SERVICE
CHARGE EXPENSE
|
279,691 | 240,631 | 158,927 | |||||||||
Commissions
|
191,896 | 176,463 | 114,371 | |||||||||
Other
(Note 6.k)
|
87,795 | 64,168 | 44,556 | |||||||||
OPERATING
EXPENSES
|
1,633,899 | 1,413,448 | 1,124,161 | |||||||||
Payroll
expenses
|
1,009,758 | 837,175 | 653,644 | |||||||||
Fees
to Bank Directors and Statutory Auditors
|
692 | 570 | 463 | |||||||||
Other
professional fees
|
35,254 | 36,369 | 29,107 | |||||||||
Advertising
and publicity
|
65,433 | 72,764 | 67,212 | |||||||||
Taxes
|
103,615 | 63,235 | 52,119 | |||||||||
Fixed
assets depreciation
|
49,244 | 42,468 | 37,203 | |||||||||
Organizational
expenses amortization
|
18,520 | 32,706 | 21,961 | |||||||||
Other
operating expenses
|
209,624 | 189,733 | 149,660 | |||||||||
Other
|
141,759 | 138,428 | 112,792 | |||||||||
NET
GAIN FROM FINANCIAL TRANSACTIONS
|
1,589,693 | 577,053 | 1,061,520 | |||||||||
NET
(LOSS) / GAIN ON MINORITY INTEREST IN SUBSIDIARIES
|
(14,890 | ) | 2,801 | (19,541 | ) | |||||||
OTHER
INCOME
|
253,339 | 773,451 | 828,284 | |||||||||
Income
from long-term investments
|
20,841 | 65,121 | 9,363 | |||||||||
Punitive
interests
|
3,873 | 2,444 | 961 | |||||||||
Loans
recovered and reversals of allowances
|
53,355 | 187,767 | 434,295 | |||||||||
Other
(Note 6.l)
|
175,270 | 518,119 | 383,665 | |||||||||
OTHER
EXPENSES
|
738,102 | 1,000,525 | 1,584,820 | |||||||||
Punitive
interests and charges paid to BCRA
|
879 | 40 | 34 | |||||||||
Charge
for uncollectibility of other receivables and other
allowances
|
246,484 | 199,603 | 157,626 | |||||||||
Amortization
of difference arising from judicial resolutions
|
48,804 | 107,793 | 323,139 | |||||||||
Depreciation
and losses from miscellaneous assets
|
505 | 579 | 4,035 | |||||||||
Goodwill
amortization
|
— | 12,200 | 6,629 | |||||||||
Other
(Note 6.m)
|
441,430 | 680,310 | 1,093,357 | |||||||||
NET
GAIN BEFORE INCOME TAX AND TAX ON MINIMUM PRESUMED INCOME
|
1,090,040 | 352,780 | 285,443 | |||||||||
INCOME
TAX AND TAX ON MINIMUM PRESUME INCOME
|
371,578 | 31,270 | 50,394 | |||||||||
NET
INCOME FOR THE FISCAL YEAR
|
718,462 | 321,510 | 235,049 | |||||||||
NET INCOME PER ORDINARY SHARE
(1)
|
1.47 | 0.68 | 0.50 |
(1)
|
See
Note 18.14.
|
Fiscal
year ended December 31,
|
|||||||||||||||
2009
|
2008
|
2007
|
|||||||||||||
CHANGES
IN CASH AND ITS EQUIVALENTS
|
|||||||||||||||
Cash
and its equivalents at the beginning of fiscal year
|
4,661,349 | (1) | 3,465,634 | (1) | 2,928,807 | ||||||||||
Cash
and its equivalents at the end of the fiscal year
|
5,818,088 | (1) | 4,661,349 | (1) | 3,465,634 | (1) | |||||||||
Net
increase in cash and its equivalents
|
1,156,739 | 1,195,715 | 536,827 | ||||||||||||
REASONS
FOR CHANGES IN CASH AND ITS EQUIVALENTS
|
|||||||||||||||
Operating
activities
|
|||||||||||||||
Net
collections/ (payments) from:
|
|||||||||||||||
-
Governmental and private securities
|
(722,215 | ) | 50,042 | (623,058 | ) | ||||||||||
-
Loans
|
2,940,284 | 1,097,487 | (332,979 | ) | |||||||||||
to
financial sector
|
130,962 | (26,690 | ) | (25,573 | ) | ||||||||||
to
non-financial public sector
|
203,662 | 100,151 | 367,802 | ||||||||||||
to
non-financial private sector and residents abroad
|
2,605,660 | 1,024,026 | (675,208 | ) | |||||||||||
-
Other receivables from financial transactions
|
(57,949 | ) | (77,590 | ) | (63,401 | ) | |||||||||
-
Assets subject to financial leasing
|
67,336 | (55,598 | ) | (88,334 | ) | ||||||||||
-
Deposits
|
240,976 | 896,683 | 1,854,830 | ||||||||||||
to
financial sector
|
(7,078 | ) | 2,220 | 39,186 | |||||||||||
to
non-financial public sector
|
(684,597 | ) | 1,623,718 | (19,579 | ) | ||||||||||
to
non-financial private sector and residents abroad
|
932,651 | (729,255 | ) | 1,835,223 | |||||||||||
-
Other liabilities from financial transactions
|
(17,296 | ) | 245,531 | 221,229 | |||||||||||
Financing
from financial or inter-financial sector (calls received)
|
(550 | ) | (9,469 | ) | (138,881 | ) | |||||||||
Others
(except liabilities included in Financing Activities)
|
(16,746 | ) | 255,000 | 360,110 | |||||||||||
Collections
related to service charge income
|
1,197,698 | 1,186,610 | 1,182,608 | ||||||||||||
Payments
related to service charge expense
|
(279,618 | ) | (240,631 | ) | (158,927 | ) | |||||||||
Administrative
expenses paid
|
(1,591,412 | ) | (1,332,728 | ) | (1,020,873 | ) | |||||||||
Organizational
and development expenses paid
|
(2,927 | ) | (8,094 | ) | (3,848 | ) | |||||||||
Net
collections from punitive interest
|
2,610 | 1,974 | 822 | ||||||||||||
Differences
from judicial resolutions paid
|
(48,804 | ) | (50,304 | ) | (37,124 | ) | |||||||||
Collections
of dividends from other companies
|
10,557 | 49,499 | 6,321 | ||||||||||||
Other
payments related to other income and expenses
|
(202,700 | ) | (103,522 | ) | (656,249 | ) | |||||||||
Net
cash flows provided by operating activities
|
1,536,540 | 1,659,359 | 281,017 | ||||||||||||
Investment
activities
|
|||||||||||||||
Net
payments from premises and equipment
|
(108,887 | ) | (84,519 | ) | (38,922 | ) | |||||||||
Net
collections / (payments) from other assets
|
806 | 9,547 | (7,805 | ) | |||||||||||
Other
payments from investment activities
|
(224,086 | ) | (207,810 | ) | (146,501 | ) | |||||||||
Net
cash flows used in investment activities
|
(332,167 | ) | (282,782 | ) | (193,228 | ) |
Fiscal
year ended December 31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Financing
activities
|
||||||||||||
Net
collections/ (payments) from:
|
||||||||||||
-
Non-subordinated corporate bonds
|
— | — | (248,638 | ) | ||||||||
-
BCRA
|
(309 | ) | 1,133 | 67 | ||||||||
Others
|
(309 | ) | 1,133 | 67 | ||||||||
-
Banks and international agencies
|
(275,788 | ) | (224,531 | ) | 376,899 | |||||||
-
Financing received from local financial institutions
|
(16,916 | ) | (7,483 | ) | (24,322 | ) | ||||||
Dividends
paid in cash
|
(35,000 | ) | (164,000 | ) | (90,000 | ) | ||||||
Other
collections from financing activities
|
280,350 | 202,274 | 414,830 | |||||||||
Net
cash flows (used in) / provided by financing activities
|
(47,663 | ) | (192,607 | ) | 428,836 | |||||||
Financial
results and results from holdings of cash and its equivalents (including
interest)
|
29 | 11,745 | 20,202 | |||||||||
Net
increase in cash and its equivalents
|
1,156,739 | 1,195,715 | 536,827 |
(1)
|
See
Note 3.4.21. to the Consolidated Financial
Statements.
|
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, 2006
|
471,361 | 175,132 | 312,979 | 465,317 | — | 529,795 | 1,954,584 | |||||||||||||||||||||
Decisions
of Stockholders’ Meeting of April 26, 2007:
|
||||||||||||||||||||||||||||
-
Dividends paid in cash
|
— | — | — | — | — | (90,000 | ) | (90,000 | ) | |||||||||||||||||||
-
Statutory Reserve
|
— | — | — | 82,064 | — | (82,064 | ) | — | ||||||||||||||||||||
Unrealized
valuation difference (2)
|
— | — | — | — | (42,796 | ) | — | (42,796 | ) | |||||||||||||||||||
Net
income for the fiscal year
|
— | — | — | — | — | 235,049 | 235,049 | |||||||||||||||||||||
Balances
at December 31, 2007
|
471,361 | 175,132 | 312,979 | 547,381 | (42,796 | ) | 592,780 | 2,056,837 | ||||||||||||||||||||
Decisions
of Stockholders’ Meeting of March 28, 2008:
|
||||||||||||||||||||||||||||
-
Dividends paid in cash
|
— | — | — | — | — | (164,000 | ) | (164,000 | ) | |||||||||||||||||||
-
Statutory Reserve
|
— | — | — | 47,010 | — | (47,010 | ) | — | ||||||||||||||||||||
Unrealized
valuation difference (2)
|
— | — | — | — | (138,323 | ) | — | (138,323 | ) | |||||||||||||||||||
Net
income for the fiscal year
|
— | — | — | — | — | 321,510 | 321,510 | |||||||||||||||||||||
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 (1)
|
— | — | — | — | — | (35,000 | ) | (35,000 | ) | |||||||||||||||||||
-
Dividends paid in shares (1)
|
65,000 | — | — | — | — | (65,000 | ) | — | ||||||||||||||||||||
-
Statutory Reserve
|
— | — | — | 64,302 | — | (64,302 | ) | — | ||||||||||||||||||||
Unrealized
valuation difference (2)
|
— | — | — | — | 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 |
(1)
|
See
Note 1.2.
|
(2)
|
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, 2003:
|
368,128
|
||||||||
04-22-2004
|
01-25-2005
|
(1)
|
103,233
|
471,361
|
|
||||
03-27-2009
|
10-05-2009
|
(2)
|
65,000
|
536,361
|
(3)
|
|
(1)
|
Through
public subscription of shares.
|
|
(2)
|
For
payment of share dividend.
|
|
(3)
|
The
amount of Capital Stock is fully paid in and authorized for public
offering by National Securities Commission (CNV). On September 4, 2009,
the Argentine Central Bank (BCRA) through its Resolution No. 313/47/09
approved the distribution of 65,000 share dividends and 35,000 cash
dividends. On October 5, 2009 the new shares were registered with the
Public Registry of Commerce.
|
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 1,981, 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,
2009
and 2008
|
||||
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.
|
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
|
2009
|
2008
|
2009
|
2008
|
2009
|
2008
|
||||||||||||||||||||||
Francés
Valores Sociedad de Bolsa S.A
|
Stockbroker
|
Common
|
12,137 | 12,137 | 94.9687 | 94.9687 | 94.9687 | 94.9687 | ||||||||||||||||||||
Atuel
Fideicomisos S.A.
|
Trust
manager
|
Common
|
13,099,869 | 13,099,869 | 99.9999 | 99.9999 | 99.9999 | 99.9999 | ||||||||||||||||||||
Consolidar
AFJP S.A. (undergoing
liquidation proceedings)
|
Pensions
fund manager
|
Common
|
35,425,947 | 75,842,839 | 53.8892 | 53.8892 | 53.8892 | 53.8892 | ||||||||||||||||||||
Consolidar
Cía. de Seguros de Vida S.A.
|
Insurance
company
|
Common
|
— | 7,383,921 | — | 65.9600 | — | 65.9600 | ||||||||||||||||||||
Consolidar
Cía. de Seguros de Retiro S.A.
|
Insurance
company
|
Common
|
32,274,350 | 25,033,832 | 66.2101 | 66.6666 | 66.2101 | 66.6666 | ||||||||||||||||||||
PSA
Finance Argentina Cía. Financiera S.A.
|
Financial
institution
|
Common
|
26,089 | 26,089 | 50.0000 | 50.0000 | 50.0000 | 50.0000 |
|
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
|
50,517.6
|
||||
Consolidar
ART S.A.
|
Argentina
|
12.50%
|
Workers
compensation
|
22,908.9
|
||||
BBVA
Consolidar Seguros S.A.
|
Argentina
|
12.22%
|
Insurance
|
10,254.0
|
||||
Coelsa
S.A.
|
Argentina
|
11.39%
|
Clearing
house
|
97.5
|
||||
Interbanking
S.A.
|
Argentina
|
10.00%
|
Information
services for financial markets
|
1,760.7
|
||||
Argencontrol
S.A.
|
Argentina
|
7.77%
|
Agent
Mandatary
|
54.0
|
||||
Sedesa
S.A.
|
Argentina
|
13.31%
|
Deposit
Guarantee Fund
|
117.0
|
||||
Banelco
S.A.
|
Argentina
|
10.91%
|
Nationwide
ATM network & credit card administrating
|
6,612.3
|
||||
Visa
Argentina S.A.
|
Argentina
|
9.79%
|
Credit
card issuer
|
5,887.7
|
|
3.1.
|
Basis
of presentation
|
-
|
As
of December 31, 2009:
|
a)
|
With
the financial statements of 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 years 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 periods ended
December 31, 2009.
|
|
-
|
As
of December 31, 2008 and 2007:
|
|
a)
|
With
the financial statements of 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 years ended December 31, 2008 and
2007.
|
|
b)
|
With
the financial statements of Consolidar Administradora de Fondos de
Jubilaciones y Pensiones S.A., Consolidar Cía. de Seguros de Vida S.A.,
and Consolidar Cía. de Seguros de Retiro S.A., for the six-month periods
ended December 31, 2008 and 2007.
|
|
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
for trading or financial transactions and instruments issued by the BCRA
(except Holdings available for sale): they were valued based on current
listed prices for each security as of December 31, 2009 and 2008.
Differences in listed prices were credited/charged to income for each
fiscal year.
|
§
|
Government
Securities for repurchase agreements with the BCRA: as of December 31,
2009 and 2008 they were valued on the basis of the quotations in force for
each security at the end of each fiscal year. Differences in listed prices
were credited/charged to income for each fiscal
year.
|
§
|
Holdings
available for sale (Government Securities and Instruments issued by the
BCRA): according to Communication “A” 4702 dated August 30, 2007, the
Government Securities and Instruments issued by BCRA, included in the list
of volatilities published by the BCRA on a monthly basis, were classified
in the category “Available for
sale”.
|
|
§
|
Unlisted
government securities: as of December 31, 2009 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. In addition, the Bank has raised an allowance for impairment to
book such securities at their fair realization
values.
|
|
§
|
Unlisted
instruments issued by the BCRA: 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, 2009 and 2008, 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.
|
|
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, 2009 and
2008.
|
|
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, 2009 and 2008, 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.
|
|
§
|
Holdings
in investments:
|
|
-
|
Holdings
for trading transactions (Government and private securities) as well as
instruments issued by the BCRA: in accordance with the method described in
Note 3.4.2 above.
|
|
-
|
Holdings
available for sale, instruments issued by the BCRA: in accordance with 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.
|
Assets
subject to financing leasing
|
3.4.11.
|
Investments
in other companies
|
|
§
|
Banelco
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, 2009 and 2008 were
valued by the equity method at the end of each fiscal
year.
|
|
§
|
VISA
Argentina S.A.: as of December 31, 2009 and 2008 was valued by applying
the equity method on the basis of the financial statements of the issuer
company as of May 31, 2009 and 2008, respectively, plus new capital
contributions and dividend distribution until those
dates.
|
|
§
|
Bladex
S.A.: as of December 31, 2009 and 2008 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, 2009 and 2008 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 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, 2009, 2008 and 2007, 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,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
a)
Cash and due from banks
|
5,255,412 | 4,243,080 | 3,169,314 | |||||||||
b
) Government securities held for trading or financial
transactions
|
488,176 | 272,769 | 170,320 | |||||||||
c)
Loans to financial sector, calls granted maturity date less than three
months as from the end of the fiscal years
|
74,500 | 145,500 | 126,000 | |||||||||
CASH
AND ITS EQUIVALENTS
|
5,818,088 | 4,661,349 | 3,465,634 |
3.4.22.
|
Other
assets and other liabilities from subsidiaries (Consolidar
Group)
|
3.4.23.
|
Use
of estimates
|
|
4.1.
|
Valuation
criteria
|
|
a)
|
Federal Government
secured loans
|
|
b)
|
Tax
effects
|
|
c)
|
Derivative financial
instruments
|
|
d)
|
Consolidar AFJP S.A.
building acquisition
|
|
4.2.
|
Valuation
criteria and aspects related to disclosure of
information
|
|
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 National
Superintendence of Insurance (S.S.N.) and the main differences with the
professional accounting standards in force in
Argentina:
|
|
(i)
|
Federal
Government secured loans - Decree 1387/01 held by Consolidar Cía. de
Seguros de Retiro S.A. amounting to 606,217 and 914,113 as of December 31,
2009 and 2008, respectively, were valued in accordance with the
regulations of the National Superintendence of Insurance
(S.S.N.).
|
|
(ii)
|
Consolidar
Cía. de Seguros de Retiro S.A.: the portfolio of Government securities in
investment accounts has been booked in accordance with the standards of
the S.S.N.
|
(iii)
|
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.
|
(iv)
|
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 8,993 and 13,084 at December
31, 2009 and 2008, respectively, corresponding to the regularizing account
called “Unaccrued Federal Government secured loans valuation difference”
which, as established by the S.S.N., will be settled through subsequent
accrual of the regularizing accounts of Federal Government 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.
|
|
(v)
|
Upon
booking the effects of the interest rate swaps as of December 31, 2009 and
2008, 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 and
3,950 as of December 31, 2009 and 2008,
respectively.
|
b)
|
Arising
from the application of the accounting standards laid down by BCRA and the
professional accounting standards in force in
Argentina:
|
|
(i)
|
Consolidar
Cía. de Seguros de Retiro S.A. as of December 31, 2009 and 2008 and
Consolidar Cía. de Seguros de Vida S.A. as of December 31, 2008: 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, 2009 and 2008 amounted to 7,435 (income) and 7,011 (loss),
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 4,271 and 5,720 as of
December 31, 2009 and 2008,
respectively.
|
(iii)
|
The
Bank has not made disclosures required by professional accounting
standards in force in Argentina on discontinued operations or on
discontinuation, in relation to the process of liquidating its
subsidiary Consolidar
AFJP.
|
|
5.1.
|
Income
tax
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
Deferred
tax assets
|
604,500 | 534,394 | ||||||
Deferred
tax liabilities
|
(290,800 | ) | (340,842 | ) | ||||
Net
deferred assets
|
313,700 | 193,552 | ||||||
Allowance
|
(313,700 | ) | (193,552 | ) |
|
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.
|
2009
|
2008
|
|||||||
a)
GOVERNMENT AND PRIVATE SECURITIES
|
||||||||
Holdings in investment
accounts
|
||||||||
Discount
Bonds in pesos
|
367,210 | 345,449 | ||||||
Federal
Government Bonds LIBOR 2014
|
— | 40,961 | ||||||
Federal
Government Bonds in Pesos 10.5 % due in 2012
|
25,632 | 24,597 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 350 bp due in 2013
|
29,140 | 28,809 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 275 bp due in 2014
|
109,145 | — | ||||||
Discount
Bonds in US dollar
|
102,240 | 56,768 | ||||||
Federal
Government Bonds due in 2015
|
88,720 | 27,939 | ||||||
BCRA
Notes (NOBAC)
|
546,402 | 371,274 | ||||||
Federal
Government Bocon PRE9
|
13,723 | 38,285 | ||||||
Federal
Government Bocon PRO13
|
33,797 | — | ||||||
Federal
Government Bocon PRO12
|
8,326 | 14,819 | ||||||
Other
|
10,428 | 6,633 | ||||||
Total
|
1,334,763 | 955,534 |
2009 | 2008 | |||||||
Holdings for trading
or financial transactions
|
||||||||
Federal
Government Bonds LIBOR 2012
|
11,404 | 16,627 | ||||||
Federal
Government Bonds LIBOR 2013
|
1,104 | 4,805 | ||||||
Federal
Government Bonds in US dollar 7% P.A. due 2015
|
37,950 | — | ||||||
Buenos
Aires City Bond
|
— | 3,043 | ||||||
Discount
Bonds in pesos
|
17,080 | 18,527 | ||||||
Peso-denominated
GDP-related securities (1)
|
8,237 | 410 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 350 bp due in 2013
|
8,587 | — | ||||||
Cuasipar
Bonds in pesos
|
— | 5,433 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 275 bp due in 2014
|
16,854 | — | ||||||
Federal
Government Bocon PRE9
|
— | 4,421 | ||||||
Bonds
issued by the Republic of Austria
|
— | 20,924 | ||||||
Treasury
Notes
|
8,813 | 163,257 | ||||||
Treasury
Bills
|
361,489 | — | ||||||
Guaranteed
Bonds issued by the Government of San Juan at 13.25%
|
60 | 15,416 | ||||||
Federal
Government Bonds in US dollar 7% due in 2011
|
11,286 | 6,029 | ||||||
Other
|
5,312 | 13,877 | ||||||
Total
|
488,176 | 272,769 | ||||||
(1)
At December 31, 2009 this includes 7,774 from repo
transactions.
|
||||||||
Government Securities
for repurchase agreements with the BCRA
|
||||||||
Bonar
X
|
68,250 | — | ||||||
Bonar
VII
|
— | 334,688 | ||||||
Total
|
68,250 | 334,688 | ||||||
Holdings available for
sale
|
||||||||
Secured
Bonds due in 2018
|
76,670 | 26,456 | ||||||
Federal
Government Bocon PRO 12
|
157,614 | 65,213 | ||||||
BCRA
Bills (LEBAC)
|
205,583 | — | ||||||
BCRA
Notes (NOBAC)
|
83,996 | 485,833 | ||||||
Federal
Government Bonds in US dollar 7% P.A. due 2015
|
84,405 | — | ||||||
Other
|
31,907 | — | ||||||
Total
|
640,175 | 577,502 | ||||||
Unlisted government
securities
|
||||||||
Secured
Bonds due in 2020
|
1,053,732 | 987,550 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 350 bp due in 2013
|
14,847 | 14,881 | ||||||
Federal
Government Bonds in Pesos BADLAR plus 275 bp due in 2014
|
892,214 | — | ||||||
Other
|
253 | 2,402 | ||||||
Total
|
1,961,046 | 1,004,833 | ||||||
Instruments issued by
the BCRA
|
||||||||
BCRA
Bills (LEBAC)
|
2,164,361 | 1,267,667 | ||||||
BCRA
Notes (NOBAC)
|
788,783 | 1,409,020 | ||||||
Total
|
2,953,144 | 2,676,687 |
2009
|
2008 | |||||||
Investments in listed
private securities
|
||||||||
Corporate
Bonds Telefónica de Argentina S.A.
|
125 | 2,428 | ||||||
Corporate
Bonds Camuzzi Gas Pampeana
|
— | 5,114 | ||||||
Corporate
Bonds Grupo Concesionario del Oeste
|
7,492 | 7,893 | ||||||
Corporate
Bonds Tarjeta Cuyana
|
2,054 | 4,009 | ||||||
Corporate
Bonds Gas Natural Ban
|
19,464 | 10,717 | ||||||
Corporate
Bonds Banco Macro
|
— | 2,171 | ||||||
Corporate
Bonds Petrobrás Energía S.A.
|
3,494 | 5,004 | ||||||
Corporate
Bonds YPF
|
30,069 | — | ||||||
Fideicomiso
de Gas
|
11,036 | 17,357 | ||||||
Tarjeta
Naranja Trust
|
— | 8,045 | ||||||
Radar
Financial Trust
|
— | 39,250 | ||||||
Galtrust
1 Financial Trust
|
— | 3,990 | ||||||
MBT
Serie 1 Clase A Financial Trust
|
10,436 | — | ||||||
FBA
Ahorro Pesos Investment Fund
|
19,286 | 2,700 | ||||||
FBA
Bonos Argentinos Investment Fund
|
— | 3,950 | ||||||
FBA
Renta Pesos Investment Fund
|
107,765 | 42,608 | ||||||
Other
|
7,384 | 9,158 | ||||||
Sub-Total
|
218,605 | 164,394 | ||||||
Allowances
|
(449,927 | ) | (752,747 | ) | ||||
Total
|
7,214,232 | 5,233,660 | ||||||
b)
LOANS – Other
|
||||||||
Loans
granted to pre-finance exports
|
1,762,203 | 1,381,330 | ||||||
Fixed-rate
financial loans
|
979,912 | 669,047 | ||||||
Other
|
64,552 | 323,099 | ||||||
Total
|
2,806,667 | 2,373,476 | ||||||
c)
INVESTMENTS IN OTHER COMPANIES – Other
|
||||||||
In
other non-controlled companies- unlisted
|
33,215 | 31,773 | ||||||
In
non-controlled companies-supplementary activities
|
21,604 | 26,171 | ||||||
Total
|
54,819 | 57,944 | ||||||
d)
OTHER RECEIVABLES – Other
|
||||||||
Prepayments
|
53,164 | 33,381 | ||||||
Guarantee
deposits
|
69,100 | 33,936 | ||||||
Miscellaneous
receivables
|
120,719 | 95,197 | ||||||
Tax
prepayments
|
319,859 | 246,457 | ||||||
Other
|
26,600 | 23,217 | ||||||
Total
|
589,442 | 432,188 | ||||||
e)
OTHER SUBSIDIARIES’ ASSETS
|
||||||||
Others
related to insurance business
|
450 | 1,438 | ||||||
Total
|
450 | 1,438 |
2009 | 2008 | |||||||
f)
OTHER LIABILITIES FROM FINANCIAL
|
||||||||
TRANSACTIONS
– Other
|
||||||||
Correspondents
– our account
|
— | 11,909 | ||||||
Collections
and other operations for the account of third parties
|
314,732 | 392,840 | ||||||
Other
withholdings and collections at source
|
172,809 | 115,131 | ||||||
Accounts
payable for consumption
|
246,919 | 201,343 | ||||||
Money
orders payable
|
102,347 | 125,811 | ||||||
Loans
received from Argentine Technological Fund (FONTAR)
|
37,906 | 39,951 | ||||||
Loans
received from Interamerican Development Bank (BID)
|
32,271 | 48,520 | ||||||
Pending
Banelco debit transactions
|
27,407 | 23,807 | ||||||
Other
|
101,959 | 101,192 | ||||||
Total
|
1,036,350 | 1,060,504 | ||||||
g)
OTHER LIABILITIES – Other
|
||||||||
Accrued
salaries and payroll taxes
|
174,495 | 199,772 | ||||||
Accrued
taxes
|
175,170 | 113,509 | ||||||
Miscellaneous
payables
|
119,203 | 110,609 | ||||||
Other
|
2,779 | 5,130 | ||||||
Total
|
471,647 | 429,020 | ||||||
h)
OTHER SUBSIDIARIES’
LIABILITIES
|
||||||||
Fluctuation
fund – Consolidar Cía. de Seguros de Retiro S.A.
|
207,399 | 140,119 | ||||||
Insurance
companies, mathematical reserve
|
2,322,949 | 2,232,779 | ||||||
Difference
arising from Federal Government secured loans accrued valuation Consolidar
Cía. de Seguros de Retiro S.A.
|
(8,993 | ) | (13,084 | ) | ||||
Others
related to insurance business
|
94,870 | 50,297 | ||||||
Total
|
2,616,225 | 2,410,111 | ||||||
i)
MEMORANDUM ACCOUNTS – DEBIT – CONTROL
– Other
|
||||||||
Items
in safekeeping
|
12,538,495 | 8,015,275 | ||||||
Collections
items
|
285,311 | 660,981 | ||||||
Checks
drawn on the Bank pending clearing
|
220,248 | 213,423 | ||||||
Checks
not yet credited
|
919,380 | 832,783 | ||||||
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
State
|
25,249,313 | 16,151,027 | ||||||
Other
|
85,691 | 76,901 | ||||||
Total
|
39,298,438 | 25,950,390 |
2009
|
2008
|
2007
|
||||||||||
j)
SERVICE CHARGE INCOME - Other
|
||||||||||||
Rental
of safe-deposit boxes
|
34,997 | 23,354 | 17,400 | |||||||||
Commissions
for capital market transactions
|
10,120 | 12,762 | 7,917 | |||||||||
Commissions
for salary payment
|
7,305 | 6,452 | 6,973 | |||||||||
Commissions
for trust management
|
2,246 | 2,253 | 2,875 | |||||||||
Commissions
for hiring of insurances
|
116,202 | 94,669 | 65,645 | |||||||||
Commissions
for transportations of values
|
11,589 | 9,017 | 7,326 | |||||||||
Commissions
for loans and guaranties
|
17,984 | 26,793 | 19,685 | |||||||||
Other
|
54,378 | 45,883 | 42,877 | |||||||||
Total
|
254,821 | 221,183 | 170,698 |
2009
|
2008
|
2007
|
||||||||||
k)
SERVICE CHARGE EXPENSE - Other
|
||||||||||||
Turn-over
tax
|
63,935 | 47,638 | 34,175 | |||||||||
Insurance
paid on lease transactions
|
19,205 | 12,839 | 9,558 | |||||||||
Other
|
4,655 | 3,691 | 823 | |||||||||
Total
|
87,795 | 64,168 | 44,556 | |||||||||
l)
OTHER INCOME - Other
|
||||||||||||
Premiums
– Insurance companies
|
20,285 | 314,807 | 299,659 | |||||||||
Related
parties expenses recovery
|
7,060 | 5,587 | 6,100 | |||||||||
Deferred
income tax (1)
|
120,148 | 138,052 | 55,500 | (3) | ||||||||
Income
from the sale of fixed and miscellaneous assets
|
3,082 | 10,825 | 1,092 | |||||||||
Tax
recovery
|
10,820 | — | — | |||||||||
Rent
|
807 | 1,668 | 2,038 | |||||||||
Other
|
13,068 | 47,180 | 19,276 | |||||||||
Total
|
175,270 | 518,119 | 383,665 |
(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.
|
m)
OTHER EXPENSE – Other
|
|||||||||||||
Insurance
companies, mathematical reserve
|
168,135 | 355,643 | 357,063 | ||||||||||
Life
Annuities – Consolidar Cía. de Seguros de Retiro S.A.
|
166,673 | 147,389 | 119,971 | ||||||||||
Tax
on bank credits and debits
|
— | 40,714 | 33,064 | ||||||||||
Deferred
tax expenses (2)
|
— | — | 337,000 | (3) | |||||||||
Insurance
premiums for disability and death
|
64 | 42,780 | 884 | ||||||||||
Claims
paid – Insurance companies
|
3,803 | (5,042 | ) | 200,459 | |||||||||
Redemptions
|
34,336 | — | — | ||||||||||
Other
|
68,419 | 98,826 | 44,916 | ||||||||||
Total
|
441,430 | 680,310 | 1,093,357 |
(2)
As of December 31, 2007, the recovery of this amount had been
booked in the line Loans recovered and reversals of allowances under the
caption Other Income.
|
|
(3)
Net change for deferred tax amounts 281,500.
|
|
a)
|
The
Government and Private Securities account includes 75,902 in Guaranteed
Bonds maturing in 2018 and 61,000 in Federal Government Bocon PRO12,
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 loan funds of its active portfolio in an amount of 1,519
to secure debts with the BCRA.
|
|
c)
|
The
Bank appropriated BCRA Notes (BADLAR), in an amount of 113,197 to secure
loans arranged under the Credit Global Program given by the Interamerican
Development Bank (B.I.D.).
|
|
d)
|
Francés
Valores Sociedad de Bolsa S.A. (stock broking company) holds shares of
Mercado de Valores de Buenos Aires S.A, booked in the amount of 6,400.
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.
|
|
9.1.
|
Financial
Trusts
|
|
§
|
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 BCRA 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.
|
|
9.2.
|
Non-Financial
Trusts
|
|
§
|
Transactions
as of December 31, 2009:
|
|
-
|
Interest
rate swaps for 20,000 (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; and interest rate swaps for
15,000 (BADLAR versus Fixed Rate) maturing within a period not exceeding 2
years, for which the Bank pays a fixed amount and receives a variable
amount based on the changes in the BADLAR
rate.
|
|
-
|
Interest
rate swaps for 67,697 (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 payable in
Pesos, maturing within a period not exceeding 1 year, for 1,940,035 and
2,195,093, which are recorded under “Memorandum debit accounts -
Derivatives – “Notional” amount of non-deliverable forward transactions”,
and “Memorandum credit accounts - Derivatives – “Notional” amount of
non-deliverable forward transactions”,
respectively.
|
|
-
|
Forward
sales due to national government securities repurchase agreements for
76,024, which are recorded under “Other liabilities from financial
transactions – Instruments to be delivered for spot and forward sales to
be settled”.
|
|
§
|
Transactions
as of December 31, 2008:
|
|
-
|
Interest
rate swaps for 47,000 (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 and interest rate swaps for 5,000
(BADLAR versus Fixed Rate) maturing within a period not exceeding 2 years,
for which the Bank pays a fixed amount and receives a variable amount
based on the changes in the BADLAR
rate.
|
|
-
|
Interest
rate swaps for 33,650 (Fixed Rate versus BADLAR), maturing within a period
not exceeding 2 years and 70,000, with final maturity in August
2019, for which the Bank would pay a variable amount in accordance with
changes in the BADLAR, Encuesta rate, and would receive a fixed amount
based on stated notional amounts.
|
|
-
|
Non-deliverable
forward purchase and sale transactions in foreign currency payable in
Pesos, maturing within a period not exceeding 1 year, for 1,446,615 and
1,480,514, which are recorded under “Memorandum debit accounts -
Derivatives – “Notional” amount of non-deliverable forward transactions”,
and “Memorandum credit accounts - Derivatives – “Notional” amount of
non-deliverable forward transactions”,
respectively.
|
|
-
|
Put
options bought for 5,850 and put options written for 5,265 agreed as
hedging for the Bank’s borrowing position in connection with term
investments yielding variable income conducted by
customers.
|
|
12.1.
|
Compliance
with the requirements to act as agent in the over-the-counter
market
|
|
12.2.
|
Investment
Funds custodian
|
December
31,
|
||||||||
Name
of Mutual Fund
|
2009
|
2008
|
||||||
FBA
Acciones Globales
|
73,127 | 39,748 | ||||||
FBA
Total
|
14,856 | 7,905 | ||||||
FBA
Renta
|
13,703 | 10,200 | ||||||
FBA
Renta Pesos
|
1,167,950 | 502,232 | ||||||
FBA
Renta Dólares
|
4,276 | 4,302 | ||||||
FBA
Bonos
|
13,740 | 5,950 | ||||||
FBA
Calificado
|
81,142 | 35,773 | ||||||
FBA
Internacional
|
544 | 365 | ||||||
FBA
Ahorro Dólares
|
11,372 | 11,368 | ||||||
FBA
Renta Fija
|
15,153 | 11,434 | ||||||
FBA
Ahorro Pesos
|
182,545 | 24,663 | ||||||
FBA
Renta Premium
|
7,976 | 5,051 | ||||||
FBA
Europa
|
3,161 | 2,001 | ||||||
FBA
Horizonte
|
20,320 | 8,166 | ||||||
FBA
EEUU
|
3,156 | 1,372 | ||||||
FBA
Renta Corto Plazo
|
562 | 544 | ||||||
FBA
Acciones Latinoamericanas
|
27,571 | 14,888 | ||||||
FBA
Bonos Argentina
|
3,649 | 8,563 | ||||||
FBA
Brasil
|
47,117 | 14,054 | ||||||
FBA
México
|
982 | 653 | ||||||
FBA
Commodities
|
53 | 36 | ||||||
FBA
Acciones Argentinas
|
471 | 228 | ||||||
FBA
Bonos Globales
|
57 | 52 | ||||||
Total
|
1,693,483 | 709,548 |
|
a)
|
On
September 4, 2009, the Argentine Central Bank, through its Case File No.
313/47/09 authorized the dividends distribution in the following manner:
65,000 to pay through the issued of new shares and 35,000 to pay in cash.
In addition, the Ordinary and Extraordinary Shareholders’ Meeting held on
March 27, 2009 approved the allocation of earnings as
follows:
|
|
-
|
To
Statutory Reserve: 64,302.
|
|
-
|
To
cash dividends: 35,000.
|
|
-
|
To
dividends paid in shares: 65,000.
|
|
-
|
To
Unappropriated earnings: 157,208.
|
|
b)
|
In
accordance with Communication “A” 4664, issued on May 11, 2007, 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 Unappropriated retained earnings as
set forth in point 2.1 of said 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.
|
|
c)
|
In
accordance with the provisions of BCRA, the next Shareholders’ Meeting
must appropriate the amount of 143,692 currently included under
Unappropriated earnings to the Statutory
Reserve.
|
|
d)
|
Law
No. 26,222:
|
|
e)
|
Law
N° 26.425- Dissolution and liquidation of Consolidar AFJP
S.A.:
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
Consolidar
Administradora de Fondos de Jubilaciones y Pensiones S.A.
|
26,808 | 109,429 | ||||||
Consolidar
Cía. de Seguros de Vida S.A.
|
— | 69,122 | ||||||
Consolidar
Cía. de Seguros de Retiro S.A.
|
133,978 | 34,980 | ||||||
Francés
Valores Sociedad de Bolsa S.A.
|
418 | 528 | ||||||
Atuel
Fideicomisos S.A.
|
2 | 1 | ||||||
PSA
Finance Argentina Cía. Financiera S.A.
|
51,976 | 34,079 | ||||||
213,182 | 248,139 |
COMPUTABLE
COMPLIANCE PESOS
|
||||
Cash
|
589,501 | |||
Special Guarantee
Accounts
|
119,853 | |||
BCRA Checking
Account
|
1,135,981 | |||
Cash in valuables’
transportation
|
309,342 | |||
Franchises
|
177,988 | |||
TOTAL
|
2,332,665 | |||
COMPUTABLE
COMPLIANCE IN US DOLLARS (Stated in Pesos)
|
||||
Cash
|
303,970 | |||
BCRA Checking
Account
|
2,537,271 | |||
Cash in
transit
|
2,451 | |||
Cash in valuables’
transportation
|
81,173 | |||
TOTAL
|
2,924,865 | |||
COMPUTABLE
COMPLIANCE IN EUROS (Stated in Pesos)
|
||||
Cash
|
59,146 | |||
BCRA Checking
Account
|
48,995 | |||
Cash in
transit
|
36 | |||
Cash in valuables’
transportation
|
9,221 | |||
TOTAL
|
117,398 |
|
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)
|
Market
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.
|
|
-
|
Determine
the calculation of the Credit Exposure of the Treasury Client counterparts
(Credit Risk in the Market Desk).
|
|
c)
|
Liquidity
and Structural Risk
|
|
-
|
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.
|
|
d)
|
Operational
Risk
|
|
-
|
To
assess the degree of mitigation activity implemented in the various
areas.
|
|
-
|
To
verify that the measures have been adopted in accordance with priority
criteria for the mitigation of risk
factors.
|
|
-
|
To
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.
|
|
18.1.
|
Transactions
with related parties
|
Balance
Sheet
|
Memorandum
Accounts (1)
|
|||||||||||||||||||||||
Assets
|
Liabilities
|
|||||||||||||||||||||||
Company
|
2009
|
2008
|
2009
|
2008
|
2009
|
2008
|
||||||||||||||||||
BBVA
S.A.
|
38,039 | 28,129 | 5,099 | 2,510 | 30,076 | 25,029 | ||||||||||||||||||
Consolidar
A.R.T. S.A.
|
70 | 98 | 50,600 | 134,150 | 5,524 | 491,433 | ||||||||||||||||||
BBVA
Consolidar Seguros S.A.
|
6,330 | 5,737 | 1,906 | 28,492 | 5,229 | 98,334 | ||||||||||||||||||
Rombo
Cía. Financiera S.A.
|
90,486 | 133,873 | 7,260 | 6,664 | 15,000 | 47,000 | ||||||||||||||||||
Inversora
Otar S.A.
|
— | 107 | 652 | 78 | 408,322 | 168,344 | ||||||||||||||||||
Consolidar
Comercializadora S.A.
|
651 | 136 | 6,528 | 8,531 | 13,765 | 796 |
(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.
|
Net
Income (1)
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Income
|
103,101 | 101,916 | 89,416 | |||||||||
Expenses
|
(39,174 | ) | (28,045 | ) | (2,658 | ) | ||||||
63,927 | 73,871 | 86,758 | ||||||||||
|
18.2.
|
Minimum
cash balances and restricted
deposit
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
Peso
and Foreign Currency Balances
|
3,042,059 | 2,789,726 |
18.3.
|
Interest-bearing
deposits with other banks
|
|
a)
|
Included
in “Cash and Due from Banks” there are: (1) interest-bearing deposits with
the BCRA totaling 3,723,387 and 3,127,010 as of December 31, 2009 and
2008, respectively; (2) interest-bearing deposits in foreign banks
totaling 57,459 and 1,246 as of December 31, 2009 and 2008, respectively,
and (3) interest-bearing deposits in local banks totaling 30,557 and 1,218
as of December 31, 2009 and 2008,
respectively.
|
|
b)
|
Included
in “Loans” there are: overnight foreign bank interest-bearing deposits
totaling 664 and 101,704 as of December 31, 2009 and 2008,
respectively.
|
|
c)
|
Included
in “Other Receivables from Financial Transactions” there are other
interest-bearing deposits with the BCRA totaling 119,853 and 117,859 as of
December 31, 2009 and 2008,
respectively.
|
|
18.4.
|
Securities
holdings in investment accounts and available for sale under BCRA’s
rules
|
December
31
|
||||||||||||||||||||||||||||||||
2009
|
2008
|
2009
|
2008
|
2009(*) | 2008(*) |
2009
|
2008
|
|||||||||||||||||||||||||
Book
value
|
Gross
unrealized
gains
|
Gross
unrealized
|
Market
value
|
|||||||||||||||||||||||||||||
Debt
Consolidation Bonds - Social Security (BOCON)
|
55,846 | 59,737 | — | — | 9,435 | 36,072 | 46,411 | 23,665 | ||||||||||||||||||||||||
Argentine
Governments Bonds
|
732,515 | 524,523 | 66,263 | — | — | 225,431 | 798,778 | 299,092 | ||||||||||||||||||||||||
BCRA
Notes
|
546,402 | 371,274 | — | — | 19,786 | 1,858 | 526,616 | 369,416 | ||||||||||||||||||||||||
Total
|
1,334,763 | 955,534 | 66,263 | — | 29,221 | 263,360 | 1,371,805 | 692,174 |
December
31, 2009
|
||||||||
Book
value
|
Market
value
|
|||||||
Due
in one year or less
|
378,663 | 350,301 | ||||||
Due
after one year through five years
|
381,499 | 389,891 | ||||||
Due
after five years through ten years
|
97,159 | 158,902 | ||||||
Thereafter
|
477,442 | 472,712 | ||||||
Total
|
1,334,763 | 1,371,805 | ||||||
December
31, 2009
|
||||||||
Amortized
cost
|
Market
value
|
|||||||
Due
in one year or less
|
334,036 | 328,091 | ||||||
Due
after one year through five years
|
191,097 | 170,721 | ||||||
Due
after five years through ten years
|
129,174 | 141,363 | ||||||
Thereafter
|
— | — | ||||||
Total
|
654,308 | 640,175 | ||||||
|
18.5.
|
Loans
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
Government
sector
|
1,400,243 | 2,400,511 | ||||||
Financial
sector
|
384,331 | 598,755 | ||||||
Non-financial
private sector and residents abroad
|
10,305,001 | 9,704,814 | ||||||
—Commercial
portfolio
|
||||||||
With
self-liquidating preferred guarantees
|
64,172 | 67,365 | ||||||
With
other preferred guarantees
|
75,207 | 118,017 | ||||||
Without
preferred guarantees
|
4,875,420 | 4,514,478 | ||||||
—Consumer
portfolio
|
||||||||
With
self-liquidating preferred guarantees
|
8,437 | 6,506 | ||||||
With
other preferred guarantees
|
1,164,931 | 1,202,805 | ||||||
Without
preferred guarantees
|
4,116,834 | 3,795,643 | ||||||
Less:
Difference arising from purchase of portfolio
|
— | (102 | ) | |||||
Less:
Allowances for doubtful loans
|
(337,686 | ) | (196,489 | ) | ||||
Total
|
11,751,889 | 12,507,489 | ||||||
Industry
Segment
|
Percentage
of
Total
Loans
|
Consumer
|
36.82%
|
Other
|
28.02%
|
Governmental
Services
|
11.58%
|
Mining
Products
|
4.69%
|
Financial
Sector
|
3.18%
|
Industrial
Metals
|
2.71%
|
Food
Stuff
|
2.55%
|
Wholesale
Trade
|
2.47%
|
Agricultural
and Livestock
|
2.42%
|
Retail
Trade
|
2.18%
|
Beverage
|
2.11%
|
Oil
and Carbon
|
1.27%
|
Total
|
100.00%
|
2009
|
2008
|
|||||||
Balance
at the beginning of the fiscal year
|
114,676 | 132,604 | ||||||
New
Loans
|
11,582 | 6,351 | ||||||
Repayments
|
(7,868 | ) | (24,279 | ) | ||||
Balance
at the end of the fiscal year
|
118,390 | 114,676 |
|
18.6.
|
Allowance
for loan losses
|
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||
Balance
at the beginning of the fiscal year
|
196,489 | 198,728 | 167,097 | |||||||||
Provision
for loan losses
|
244,800 | 38,124 | 61,985 | |||||||||
Write-offs
|
(103,603 | ) | (40,363 | ) | (30,354 | ) | ||||||
Balance
at the end of the fiscal year
|
337,686 | 196,489 | 198,728 |
|
18.7.
|
Other
receivables from financial
transactions
|
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
With
self-liquidating guarantees
|
— | 58 | ||||||
With
preferred guarantees
|
484,384 | 481,698 | ||||||
Without
preferred guarantees
|
470,140 | 1,964,182 | ||||||
Allowances
|
(23,059 | ) | (3,013 | ) | ||||
931,465 | 2,442,925 | |||||||
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
Forward
Purchases and Sales
|
||||||||
“Notional”
amount of non-deliverable forward purchases
|
1,940,035 | 1,446,615 | ||||||
“Notional”
amount of non-deliverable forward sales
|
2,195,093 | 1,454,414 | ||||||
Interest
rate SWAP
|
152,697 | 205,650 | ||||||
Options
|
— | 11,115 | ||||||
Contra
credit derivatives accounts
|
(2,092,732 | ) | (1,658,115 | ) | ||||
Contra
debit derivatives accounts
|
(2,195,093 | ) | (1,459,679 | ) | ||||
Non-deliverable
forward transactions balances pending
settlement-Receivables
|
84,070 | 27,230 | ||||||
Non-deliverable
forward transactions balances pending settlement-Liability
|
(2,825 | ) | (67,056 | ) | ||||
Forward
sales of foreign exchange
|
||||||||
Debtors
under forward sales of foreign exchange
|
— | 10 | ||||||
Repurchase
and reverse repurchase agreements with government
securities
|
||||||||
Debtors
under reverse repurchase agreements
|
— | 1,272,056 | ||||||
Forward
sales under reverse repurchase agreements
|
76,024 | 1,594,911 | ||||||
Financial
debtors under reverse repurchase agreements with the BCRA
|
76,397 | 395,289 |
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
Spot
transactions with pending settlement
|
||||||||
Unsettled
spot securities purchases
|
2,727 | 7,209 | ||||||
Creditors
under unsettled spot securities purchases
|
— | 1 | ||||||
Debtors
under unsettled spot securities sales
|
198 | 77 | ||||||
Unsettled
spot securities sales
|
2,890 | 7,345 | ||||||
Debtors
under unsettled spot foreign exchange sales
|
1,334 | 2,190 | ||||||
Unsettled
spot foreign exchange sales
|
1,324 | 2,174 | ||||||
Unsettled
spot Government securities purchases
|
7,537 | 12 | ||||||
Creditors
under unsettled spot Government securities purchases
|
7,562 | 12 | ||||||
Debtors
under unsettled spot Government securities sales
|
7,937 | 9,577 | ||||||
Unsettled
spot Government securities sales
|
30 | 37 |
|
18.8.
|
Premises
and equipment and other assets
|
18.8.1.
|
Premises
and equipment
|
Estimated
useful
life
(years)
|
December
31,
|
|||||||||||
Description
|
2009
|
2008
|
||||||||||
Land
and buildings
|
50
|
510,913 | 484,858 | |||||||||
Furniture
and facilities
|
10
|
89,504 | 76,975 | |||||||||
Machinery
and equipment
|
5
|
158,230 | 141,193 | |||||||||
Vehicles
|
5
|
3,788 | 5,410 | |||||||||
Accumulated
depreciation
|
(275,952 | ) | (266,770 | ) | ||||||||
Total
|
486,483 | 441,666 |
18.8.2.
|
Other
assets
|
Estimated
useful
life
(years)
|
December
31,
|
|||||||||||
Description
|
2009
|
2008
|
||||||||||
Rent
assets
|
50
|
5,764 | 6,496 | |||||||||
Works
of art
|
—
|
983 | 983 | |||||||||
Assets
acquired for secure loans
|
50
|
5,005 | 4,283 | |||||||||
Stationery
and office supplies
|
—
|
3,461 | 3,667 | |||||||||
Land
and buildings not affected by banking activities
|
50
|
11,262 | 12,357 | |||||||||
Total
|
26,475 | 27,786 |
|
18.9.
|
Intangible
assets
|
Estimated
useful
life
(years)
|
December
31,
|
|||||||||||
Description
|
2009
|
2008
|
||||||||||
Computer
software acquisition expenses and computer programs development
expenses
|
5
|
15,738 | 17,663 | |||||||||
Other
intangible assets
|
5
|
44,097 | 37,669 | |||||||||
Total
|
59,835 | 55,332 | ||||||||||
December
31,
|
||||||||
2009
|
2008
|
|||||||
Balance
at the beginning of the fiscal year
|
55,332 | 104,180 | ||||||
—Additions
|
23,112 | 93,767 | ||||||
—Decreases
|
(89 | ) | (2,116 | ) | ||||
—Period
amortization
|
(18,520 | ) | (140,499 | ) | ||||
Balance
at the end of the fiscal year
|
59,835 | 55,332 | ||||||
|
18.10.
|
Other
liabilities from financial transactions –
BCRA
|
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
Short-term
liabilities
|
2,691 | 2,982 | ||||||
Total
|
2,691 | 2,982 |
|
18.11.
|
Other
liabilities from financial transactions – Banks and international
institutions and financing received from financial
institutions
|
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
Short-term
liabilities
|
||||||||
Other
lines of credit from local and foreign banks
|
82,794 | 355,612 | ||||||
Total
short-term liabilities
|
82,794 | 355,612 | ||||||
Long-term
liabilities
|
||||||||
Other
lines of credit from local and foreign banks
|
12,178 | 42,103 | ||||||
Total
long-term liabilities
|
12,178 | 42,103 | ||||||
Total
|
94,972 | 397,715 | ||||||
Fiscal
year
|
||||
2011
|
105,283 | |||
2012
|
18,648 | |||
2013
|
260 | |||
Total
|
124,191 |
|
18.12.
|
Balances
in foreign currency
|
December
31,
|
||||||||
Description
|
2009
|
2008
|
||||||
Assets
|
||||||||
Cash
and due from Banks
|
3,185,297 | 2,205,798 | ||||||
Government
and private securities
|
673,850 | 671,606 | ||||||
Loans
|
1,891,935 | 1,919,116 | ||||||
Other
receivables from financial transactions
|
163,583 | 489,736 | ||||||
Assets
subject to financial leasing
|
2,736 | 58 | ||||||
Investments
in other companies
|
1,004 | 913 | ||||||
Other
receivables
|
53,561 | 39,138 | ||||||
Suspense
items
|
113 | 228 | ||||||
Total
|
5,972,079 | 5,326,593 | ||||||
Liabilities
|
||||||||
Deposits
|
4,525,952 | 3,528,814 | ||||||
Other
liabilities from financial transactions
|
558,217 | 1,205,564 | ||||||
Other
liabilities
|
40,279 | 40,153 | ||||||
Suspense
items
|
472 | 905 | ||||||
Total
|
5,124,920 | 4,775,436 | ||||||
|
18.13.
|
Minimum
capital requirements
|
Required
Minimum
Capital
|
Computable
Capital
|
Excess
of actual
Minimum
Capital
over
Required
Minimum
Capital (1)
|
||||||||||
December
31, 2009
|
1,572,169 | 2,948,406 | 1,376,237 | |||||||||
December
31, 2008
|
1,425,376 | 2,277,354 | 851,978 |
|
(1)
|
The
Bank must maintain a surplus of minimum paid-in
capitals amounting to at least 64,477 and 41,800 as at December
31, 2009 and 2008, 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.
|
|
18.14.
|
Earnings
per share
|
|
18.15.
|
Employee
benefit plans
|
|
18.16.
|
Business
segment consolidated information
|
As
of December 31, 2009
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
Pension
Fund Manager
|
||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
22,667,089 | 412,389 | 23,079,478 | 3,164,710 | (2,806 | ) | 26,241,382 | 150,211 | 26,391,593 | |||||||||||||||||||||||
Financial
income
|
2,966,359 | 74,709 | 3,041,068 | 501,703 | (8,841 | ) | 3,533,930 | 26,273 | 3,560,203 | |||||||||||||||||||||||
Service
charge income and other income
|
1,422,129 | 67,805 | 1,489,934 | 20,762 | (1,758 | ) | 1,508,938 | (52,594 | ) | 1,456,344 | ||||||||||||||||||||||
Total
income /
(expense)
(1)
|
4,388,488 | 142,514 | 4,531,002 | 522,465 | (10,599 | ) | 5,042,868 | (26,321 | ) | 5,016,547 | ||||||||||||||||||||||
Financial
expenses
|
(967,992 | ) | (9,037 | ) | (977,029 | ) | (469 | ) | 8,841 | (968,657 | ) | (45,302 | ) | (1,013,959 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(241,622 | ) | (4,344 | ) | (245,966 | ) | — | — | (245,966 | ) | — | (245,966 | ) | |||||||||||||||||||
Operating
expenses
|
(1,553,125 | ) | (9,201 | ) | (1,562,326 | ) | (19,922 | ) | 1,758 | (1,580,490 | ) | (53,409 | ) | (1,633,899 | ) | |||||||||||||||||
Other
expenses
|
(946,385 | ) | (25,039 | ) | (971,424 | ) | (413,581 | ) | (1,385,005 | ) | (4,366 | ) | (1,389,371 | ) | ||||||||||||||||||
Total
expenses (2)
|
(3,709,124 | ) | (47,621 | ) | (3,756,745 | ) | (433,972 | ) | 10,599 | (4,180,118 | ) | (103,077 | ) | (4,283,195 | ) | |||||||||||||||||
(Loss)
/ Gain on minority interest in subsidiaries
|
(29,832 | ) | (17,897 | ) | (47,729 | ) | — | — | (47,729 | ) | 32,839 | (14,890 | ) | |||||||||||||||||||
Total
net income
|
649,532 | 76,996 | 726,528 | 88,493 | — | 815,021 | (96,559 | ) | 718,462 |
As
of December 31, 2008
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
Pension
Fund Manager
|
||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
22,400,481 | 452,766 | 22,853,247 | 2,872,885 | (174,585 | ) | 25,551,547 | 273,918 | 25,825,465 | |||||||||||||||||||||||
Financial
income
|
1,944,883 | 49,091 | 1,993,974 | 352,065 | (90,609 | ) | 2,255,430 | 23,674 | 2,279,104 | |||||||||||||||||||||||
Service
charge income and other income
|
1,372,305 | 49,498 | 1,421,803 | 329,851 | (2,869 | ) | 1,748,785 | 215,083 | 1,963,868 | |||||||||||||||||||||||
Total
income (1)
|
3,317,188 | 98,589 | 3,415,777 | 681,916 | (93,478 | ) | 4,004,215 | 238,757 | 4,242,972 | |||||||||||||||||||||||
Financial
expenses
|
(1,274,521 | ) | (11,977 | ) | (1,286,498 | ) | (5,682 | ) | 90,609 | (1,201,571 | ) | (110 | ) | (1,201,681 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(33,462 | ) | (3,246 | ) | (36,708 | ) | — | — | (36,708 | ) | — | (36,708 | ) | |||||||||||||||||||
Operating
expenses
|
(1,128,183 | ) | (7,651 | ) | (1,135,834 | ) | (50,969 | ) | 2,436 | (1,184,367 | ) | (229,081 | ) | (1,413,448 | ) | |||||||||||||||||
Other
expenses
|
(603,047 | ) | (24,785 | ) | (627,832 | ) | (598,860 | ) | 433 | (1,226,259 | ) | (46,167 | ) | (1,272,426 | ) | |||||||||||||||||
Total
expenses (2)
|
(3,039,213 | ) | (47,659 | ) | (3,086,872 | ) | (655,511 | ) | 93,478 | (3,648,905 | ) | (275,358 | ) | (3,924,263 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(9,007 | ) | (5,068 | ) | (14,075 | ) | — | — | (14,075 | ) | 16,876 | 2,801 | ||||||||||||||||||||
Total
net income
|
268,968 | 45,862 | 314,830 | 26,405 | — | 341,235 | (19,725 | ) | 321,510 |
As
of December 31, 2007
|
||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations (4)
|
Total
|
||||||||||||||||||||||||||||||
Banking
Financial
|
Insurance
|
Eliminations
|
Total
|
Pension
Fund Manager
|
||||||||||||||||||||||||||||
BBVA
Banco Francés S.A.(3)
|
PSA
Finance S.A.
|
Total
|
||||||||||||||||||||||||||||||
Total
assets
|
18,903,940 | 264,251 | 19,168,191 | 2,562,922 | (52,277 | ) | 21,678,836 | 344,163 | 22,022,999 | |||||||||||||||||||||||
Financial
income
|
1,610,891 | 14,594 | 1,625,485 | 247,412 | (5,843 | ) | 1,867,054 | 37,158 | 1,904,212 | |||||||||||||||||||||||
Service
charge income and other income
|
1,220,097 | 20,469 | 1,240,566 | 580,609 | (2,342 | ) | 1,818,833 | 192,240 | 2,011,073 | |||||||||||||||||||||||
Total
income (1)
|
2,830,988 | 35,063 | 2,866,051 | 828,021 | (8,185 | ) | 3,685,887 | 229,398 | 3,915,285 | |||||||||||||||||||||||
Financial
expenses
|
(682,913 | ) | (2,642 | ) | (685,555 | ) | (8 | ) | 5,843 | (679,720 | ) | (411 | ) | (680,131 | ) | |||||||||||||||||
Allowances
for doubtful loans
|
(60,370 | ) | (1,892 | ) | (62,262 | ) | — | — | (62,262 | ) | — | (62,262 | ) | |||||||||||||||||||
Operating
expenses
|
(872,913 | ) | (4,887 | ) | (877,800 | ) | (38,741 | ) | 1,350 | (915,191 | ) | (208,970 | ) | (1,124,161 | ) | |||||||||||||||||
Other
expenses
|
(1,027,268 | ) | (9,911 | ) | (1,037,179 | ) | (748,572 | ) | 992 | (1,784,759 | ) | (9,382 | ) | (1,794,141 | ) | |||||||||||||||||
Total
expenses (2)
|
(2,643,464 | ) | (19,332 | ) | (2,662,796 | ) | (787,321 | ) | 8,185 | (3,441,932 | ) | (218,763 | ) | (3,660,695 | ) | |||||||||||||||||
(Loss)/Gain
on minority interest in subsidiaries
|
(14,180 | ) | (458 | ) | (14,638 | ) | — | — | (14,638 | ) | (4,903 | ) | (19,541 | ) | ||||||||||||||||||
Total
net income
|
173,344 | 15,273 | 18,8617 | 40,700 | — | 229,317 | 5,732 | 235,049 |
(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
TOMPI.
|
(3)
|
Includes:
Atuel Fideicomisos S.A. and Francés Valores Sociedad de Bolsa
S.A.
|
(4)
|
See
Note 14.b)
|
|
18.17.
|
Consolidated
income statements and balance
sheets
|
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Consolidated
Income Statements
|
||||||||||||
Interest
and fees on loans
|
1,896,925 | 1,699,128 | 1,202,946 | |||||||||
Interest
on investment securities
|
120,537 | 55,774 | 4,498 | |||||||||
Trading
account interest
|
927,259 | — | 403,747 | |||||||||
Total
interest income
|
2,944,721 | 1,754,902 | 1,611,191 | |||||||||
Interest
on deposits
|
779,804 | 771,304 | 578,982 | |||||||||
Trading
account interest
|
— | 253,463 | — | |||||||||
Interest
on short-tern borrowings
|
15,093 | 41,268 | 33,663 | |||||||||
Interest
on long-term debt
|
— | 107 | 19 | |||||||||
Total
interest expense
|
794,897 | 1,066,142 | 612,664 | |||||||||
Net
interest income
|
2,149,824 | 688,760 | 998,527 | |||||||||
Allowances
for doubtful loans
|
245,966 | 36,708 | 62,262 | |||||||||
Net
interest gain after allowances for doubtful loans
|
1,903,858 | 652,052 | 936,265 | |||||||||
Service
charges on deposit accounts
|
295,145 | 246,473 | 191,952 | |||||||||
Credit
card service charges and fees
|
461,906 | 326,623 | 203,096 | |||||||||
Fees
on securities activities
|
13,270 | 15,547 | 11,464 | |||||||||
Other
commissions
|
505,442 | 652,560 | 825,990 | |||||||||
Income
from investment in equity securities
|
20,841 | 65,121 | 9,363 | |||||||||
Foreign
currency gains, net
|
200,920 | 207,582 | 117,403 | |||||||||
Gains
on disposal of fixed and other assets
|
— | 9,559 | 1,005 | |||||||||
Minority
interest in subsidiaries
|
— | 2,801 | — | |||||||||
Others
|
573,194 | 928,786 | 943,790 | |||||||||
Total
other income
|
2,070,718 | 2,455,052 | 2,304,063 |
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Consolidated
Expenses Statements
|
||||||||||||
Commissions
|
191,896 | 176,463 | 114,371 | |||||||||
Personnel
expenses
|
899,885 | 745,034 | 588,483 | |||||||||
Fees
and external administrative services
|
134,438 | 109,645 | 76,414 | |||||||||
Depreciation
of bank premises and equipment and other fixed assets
|
49,749 | 43,047 | 41,238 | |||||||||
Business
travel and development
|
11,381 | 19,435 | 18,317 | |||||||||
Utilities
|
29,936 | 30,074 | 26,016 | |||||||||
Advertising
and promotion
|
65,433 | 72,764 | 67,212 | |||||||||
Contributions
and taxes
|
299,349 | 200,650 | 148,858 | |||||||||
Maintenance
and repairs
|
59,694 | 53,718 | 38,553 | |||||||||
Amortization
of Goodwill
|
— | 12,200 | 6,629 | |||||||||
Provision
for loss contingencies
|
246,484 | 199,603 | 157,626 | |||||||||
Loss
on disposal of fixed and other assets
|
15,327 | — | — | |||||||||
Minority
interest in subsidiaries
|
14,890 | — | 19,541 | |||||||||
Others
|
866,074 | 1,091,691 | 1,651,627 | |||||||||
Total
other expenses
|
2,884,536 | 2,754,324 | 2,954,885 | |||||||||
Income
before income tax and tax on minimum presumed income
expenses
|
1,090,040 | 352,780 | 285,443 | |||||||||
Income
tax and tax on minimum presumed income expenses
|
371,578 | 31,270 | 50,394 | |||||||||
Net
income
|
718,462 | 321,510 | 235,049 | |||||||||
Net
income per Ordinary Share
|
1.47 | 0.68 | 0.50 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Assets
|
||||||||
Cash
and due from banks
|
1,444,009 | 1,113,606 | ||||||
Interest
bearing deposits in other banks
|
3,931,256 | 3,247,332 | ||||||
Unsettled
spot purchases
|
10,264 | 7,221 | ||||||
Debtors
under forward sales and under reverse repurchase
agreements
|
76,397 | 1,667,355 | ||||||
Debtors
under unsettled spot sales
|
9,469 | 11,844 | ||||||
Trading
account assets
|
5,171,044 | 3,365,936 | ||||||
Investments
securities
|
1,441,052 | 1,052,174 | ||||||
Loans
|
12,089,575 | 12,703,978 | ||||||
Allowance
for loan losses
|
(337,686 | ) | (196,489 | ) | ||||
Premises
and equipment
|
486,483 | 441,666 | ||||||
Intangible
assets
|
59,835 | 55,332 | ||||||
Other
assets
|
2,009,895 | 2,355,510 | ||||||
Total
assets
|
26,391,593 | 25,825,465 | ||||||
Liabilities
and Stockholders’ Equity
|
||||||||
Interest
bearing deposits
|
14,812,214 | 13,232,394 | ||||||
Non
interest bearing deposits
|
3,522,631 | 3,846,809 | ||||||
Creditors
under forward purchases and under reverse repurchase
agreements
|
2,825 | 67,056 | ||||||
Creditors
under unsettled spot purchases
|
7,562 | 13 | ||||||
Forward
sales and under repurchase agreements
|
76,024 | 1,594,911 | ||||||
Unsettled
spot sales
|
4,244 | 9,556 | ||||||
Other
short-term borrowings
|
1,082,088 | 1,359,909 | ||||||
Other
liabilities
|
51,925 | 101,781 | ||||||
Long-term
debt
|
3,162,997 | 2,909,630 | ||||||
Commitments
and contingent liabilities
|
529,429 | 379,243 | ||||||
Minority
Interest in subsidiaries
|
213,182 | 248,139 | ||||||
Common
Stock
|
536,361 | 471,361 | ||||||
Non-capitalized
contributions
|
175,132 | 175,132 | ||||||
Other
stockholders’ equity
|
2,214,979 | 1,429,531 | ||||||
Total
liabilities and stockholders’ equity
|
26,391,593 | 25,825,465 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Assets
|
||||||||
Cash
and due from banks
|
(388 | ) | (3,294 | ) | ||||
Interest
bearing deposits in other banks
|
42,581 | 6,829 | ||||||
Debtors
under unsettled spot sales
|
— | 9 | ||||||
Trading
account assets
|
122,276 | 114,497 | ||||||
Loans
|
15,059 | 120,843 | ||||||
Allowance
for loan losses
|
— | — | ||||||
Premises
and equipment
|
10 | 23,503 | ||||||
Other
assets
|
(29,327 | ) | 11,531 | |||||
Total
assets
|
150,211 | 273,918 | ||||||
Liabilities
|
||||||||
Interest
bearing deposits
|
(14,906 | ) | (10,932 | ) | ||||
Other
short-term borrowings
|
21,646 | 3,090 | ||||||
Long-term
debt
|
42,231 | 25,364 | ||||||
Commitments
and contingent liabilities
|
43,098 | 19,075 | ||||||
Minority
Interest in subsidiaries
|
26,808 | 109,429 | ||||||
Total
liabilities
|
118,877 | 146,026 | ||||||
|
18.18.
|
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. As December 31, 2009 the Bank did not have
outstanding options.
|
|
§
|
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
11.
|
December
31, 2009
|
December
31, 2008
|
|||||||||||||||
Trading
|
Total
|
Trading
|
Total
|
|||||||||||||
Forward
sales and purchases of foreign exchange
|
4,134,894 | 4,134,894 | 2,901,029 | 2,901,029 | ||||||||||||
Forward
sales and purchases of government securities
|
76,024 | 76,024 | — | — | ||||||||||||
Other
forward sales and purchases
|
234 | 234 | — | — | ||||||||||||
Interest
rate SWAP
|
152,697 | 152,697 | 205,650 | 205,650 | ||||||||||||
Options
|
— | — | 11,115 | 11,115 |
|
b)
|
Credit-related
financial instruments
|
December
31,
|
||||||||
2009
|
2008
|
|||||||
Credit
lines granted (unused portion) cover by debtor
classification
|
56,290 | 74,294 | ||||||
Foreign
trade acceptances and standby letters of credit
|
113,506 | 253,867 | ||||||
Guarantees
granted
|
349,992 | 317,343 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Self-liquidating
counter guarantees
|
15,721 | 17,681 | ||||||
Preferred
counter guarantees
|
3,546 | 8,138 |
December
31,
|
||||||||
2009
|
2008
|
|||||||
Checks
drawn on the Bank pending clearing
|
220,248 | 213,423 | ||||||
Checks
drawn against other Banks
|
549,582 | 425,136 | ||||||
Drafts
and notes for collection
|
285,311 | 660,891 |
|
c)
|
Trust
activities
|
|
19.1.
|
Income
taxes
|
December
31,
|
||||||||||||
Description
|
2009
|
2008
|
2007
|
|||||||||
Income
before income tax in accordance with US GAAP
|
1,160,800 | 1,541,720 | 1,931,451 | |||||||||
Statutory
income tax rate
|
35.00 | % | 35.00 | % | 35.00 | % | ||||||
Income
tax provision computed at statutory rate
|
406,280 | 539,602 | 676,008 | |||||||||
Tax
exempt income
|
(5,709 | ) | 87,774 | 78,754 | ||||||||
Other,
net
|
(34,444 | ) | (27,221 | ) | 21,766 | |||||||
Income
tax computed in accordance with U.S. GAAP
|
366,127 | 600,155 | 776,528 | |||||||||
Income
tax computed in accordance with BCRA’s rules
|
(120,148 | ) | (138,052 | ) | 281,500 | |||||||
Adjustments
to reconcile income tax (benefit) to U.S. GAAP
|
486,275 | 738,207 | 495,028 | |||||||||
(Recover)
of allowances on deferred tax assets
|
(86,348 | ) | (331,511 | ) | (328,508 | ) |
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Tax
on minimum presumed income (Income tax and TOMPI line item – Page
F-9)
|
371,578 | 31,270 | 50,394 | |||||||||
Income
tax computed in accordance with BCRA’s rule (Other Income/Expenses line
item)
|
(120,148 | ) | (138,052 | ) | 281,500 | |||||||
Total
– Income tax plus Tax on minimum presumed income
|
251,430 | (106,782 | ) | 331,894 | ||||||||
December
31,
|
||||||||||||
Description
|
2009
|
2008
|
2007
|
|||||||||
Deferred tax
assets:
|
||||||||||||
Government
and private securities valuation
|
142,694 | 208,239 | — | |||||||||
Loan
origination and issuance credit card’s fees
|
20,943 | 28,216 | 18,004 | |||||||||
Property,
equipment and miscellaneous assets
|
31,051 | 19,084 | 13,491 | |||||||||
Other
liabilities
|
16,232 | 10,016 | 21,624 | |||||||||
Allowance
for loss contingencies
|
209,923 | 169,603 | 225,647 | |||||||||
Reserves
from insurance activities
|
— | — | 2,174 | |||||||||
Net
operating loss
|
— | 87,394 | 403,938 | |||||||||
Other
|
4,780 | 24,567 | 5,965 | |||||||||
425,623 | 547,119 | 690,843 | ||||||||||
Deferred tax
liabilities:
|
||||||||||||
Government
and private securities valuation
|
— | — | (23,484 | ) | ||||||||
Loans
|
(64,928 | ) | (150,209 | ) | (66,268 | ) | ||||||
Foreign
exchange difference
|
(18,785 | ) | (14,133 | ) | (15,460 | ) | ||||||
Intangible
assets
|
— | (28 | ) | (4,550 | ) | |||||||
Reserves
from insurance activities
|
(79,443 | ) | (57,485 | ) | — | |||||||
(163,156 | ) | (221,855 | ) | (109,762 | ) | |||||||
Net
deferred tax asset under U.S. GAAP
|
262,467 | 325,264 | 581,081 | |||||||||
Net
deferred tax asset in accordance with BCRA’s rules
|
313,700 | 193,552 | 55,500 | |||||||||
Adjustment
to reconcile net deferred tax assets to U.S. GAAP
|
(51,233 | ) | 131,712 | 525,581 | ||||||||
Allowances
on deferred tax assets in accordance with BCRA’s rules
|
(313,700 | ) | (193,552 | ) | (55,500 | ) | ||||||
Adjustment
to reconcile Allowances on deferred tax assets to U.S.
GAAP
|
266,433 | 180,085 | (151,426 | ) | ||||||||
Allowances
on deferred tax assets in accordance with US GAAP
|
(47,267 | ) | (13,467 | ) | (206,926 | ) | ||||||
Net
deferred tax asset under BCRA
|
— | — | — | |||||||||
Net
deferred tax asset under U.S. GAAP – Net of allowances
|
215,200 | 311,797 | 374,155 | |||||||||
|
§
|
Government
and private securities valuation: as mentioned in Note 19.5. 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,
2009, 2008 and 2007.
|
|
§
|
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 19.4.4.), 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
19.2.).
|
|
§
|
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.
|
|
19.2.
|
Loan
origination and issuance credit card’s
fees
|
|
19.3.
|
Intangible
assets
|
|
19.4.
|
Loan
loss reserve
|
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
—Total
amount of loans considered as impaired
|
219,977 | 181,591 | 110,516 | |||||||||
Amount
of loans considered as impaired for which there is a related allowance for
credit losses
|
219,977 | 181,591 | 110,516 | |||||||||
Amount
of loans considered as impaired for which there is no related allowance
for credit losses
|
— | — | — | |||||||||
—Reserves
allocated to impaired loans
|
138,467 | 97,663 | 72,667 | |||||||||
—Average
balance of impaired loans during the fiscal year
|
215,443 | 150,956 | 114,057 |
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||
Balance
at the beginning of the fiscal year
|
103,678 | 91,498 | 96,852 | |||||||||
Provision
for loan losses
|
132,679 | 52,543 | 25,000 | |||||||||
Charge-offs
|
(103,603 | ) | (40,363 | ) | (30,354 | ) | ||||||
Balance
at the end of the fiscal year
|
132,754 | 103,678 | 91,498 |
19.4.1.
|
Interest
recognition—non-accrual loans
|
19.4.2.
|
Impaired
loans—Non-Financial Private Sector and residents
abroad
|
19.4.3.
|
Federal
Government Secured Loans
|
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Guaranteed
loan portfolio under BCRA
|
717,335 | 2,057,870 | 2,054,855 | |||||||||
Guaranteed
loan portfolio under USGAAP
|
645,278 | 1,840,401 | 1,712,450 | |||||||||
Difference
– Reconciliation adjustment
|
72,057 | 217,469 | 342,405 | |||||||||
Portfolio
sales price
|
US
GAAP value
|
Gain
on portfolio sales
|
Total
income adjustment
|
|||||||||||||
2007
|
677,304 | 533,362 | 143,942 | 216,809 |
19.4.4.
|
Argentine
Government Notes
|
|
19.5.
|
Government
and private securities valuation
|
19.5.1.
|
Government
and other debt securities—Available for
sale
|
Government
securities
|
||||||||
December
31,
|
||||||||
2009
|
2008
|
|||||||
Amortized
cost
|
6,646,290 | 3,838,488 | ||||||
Gross
Unrealized Loss
|
(435,965 | ) | (1,110,913 | ) | ||||
Gross
Unrealized Gains
|
198,511 | 6,801 | ||||||
Fair
Value
|
6,408,836 | 2,734,376 | ||||||
Number
of Positions
|
65 | 61 |
Less
than 12 months
|
12
months or greater
|
Total
|
||||||||||||||||||||||
Fair
value
|
Unrealized
losses
|
Fair
value
|
Unrealized
losses
|
Fair
value
|
Unrealized
losses
|
|||||||||||||||||||
Government
securities
|
1,183,157 | (52,084 | ) | 4,002,914 | (383,881 | ) | 5,186,071 | (435,965 | ) |
|
§
|
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 in
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.
|
19.5.2.
|
Government
and private securities—Trading
Account
|
|
19.6.
|
Gain
contingencies
|
|
19.7.
|
Investment
in other companies
|
|
19.8.
|
Vacation
expense
|
|
19.9.
|
Items
in process of collection
|
|
19.10.
|
Forward
and unsettled spot transactions
|
|
19.11.
|
Technical
Valuation – Inflation adjustments
|
|
19.12.
|
Acceptances
|
|
19.13.
|
Provisions
and technical commitments related to insurance
activities
|
19.13.1.
|
Provision
related to insurance activities
|
19.13.2.
|
Technical
Commitments
|
|
19.14.
|
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 Banco
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 Banco
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, 2009
|
||||||||||||||||
Description
|
Level
1
|
Level
2
|
Level
3
|
Total
|
||||||||||||
Assets
|
||||||||||||||||
Government
and private securities
|
2,955,680
|
4,343,875
|
—
|
7,299,555
|
|
|||||||||||
Other
receivables from financial transactions
|
94,334
|
—
|
—
|
94,334
|
|
|||||||||||
|
|
|||||||||||||||
Liabilities
|
|
|
||||||||||||||
Other
liabilities from financial transactions
|
83,093
|
—
|
—
|
83,093
|
|
|
(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, 2009 and
2008.
|
|
§
|
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.
|
|
§
|
Forward
purchases of Government securities under repurchase agreements with
holdings in investment accounts: fair value for these receivables were
based upon quoted market prices (if available) at December 31, 2009 and
2008 of the securities to be received after the fiscal
year-end.
|
|
§
|
Unlisted
corporate bonds: 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.
|
December
31,
|
|
|||||||||||||||
2009
|
2008
|
|
||||||||||||||
Carrying
Amount
|
Estimated
Fair
Value
|
Carrying
Amount
|
Estimated
Fair
Value
|
|
||||||||||||
Financial
assets
|
|
|||||||||||||||
Cash
and due from banks
|
5,255,412
|
5,255,412
|
4,243,080
|
4,243,080
|
|
|||||||||||
Government
and private securities (1)
|
7,214,232
|
7,299,555
|
5,233,660
|
4,528,599
|
|
|||||||||||
Loans
(2)
|
11,751,889
|
11,030,342
|
12,507,489
|
11,122,671
|
|
|||||||||||
Other
receivables from financial transactions (3)
|
931,465
|
932,405
|
2,442,925
|
2,445,805
|
|
|||||||||||
Assets
subject to financial leasing
|
311,784
|
311,784
|
379,120
|
379,120
|
|
|||||||||||
Investments
in other companies
|
106,289
|
106,289
|
96,640
|
96,640
|
|
|||||||||||
25,571,071
|
24,935,787
|
24,902,914
|
22,825,915
|
|
||||||||||||
Financial
liabilities
|
|
|
|
|||||||||||||
Deposits
|
18,334,845
|
18,334,845
|
17,079,203
|
17,079,203
|
|
|||||||||||
Other
liabilities from financial transactions (3)
|
1,224,668
|
1,110,910
|
3,135,153
|
3,132,891
|
|
|||||||||||
19,559,513
|
19,445,755
|
20,214,356
|
20,212,094
|
|
||||||||||||
|
|
(1)
|
Includes the effect
described in Note 19.5.
|
|
(2)
|
Includes
the effects described in Notes 19.4.2., 19.4.3. and
19.4.4.
|
|
(3)
|
Includes
the effects described in Note
19.16.
|
|
19.15.
|
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.
|
The effect of adjustments over continued operations required to state such amounts in accordance with U.S. GAAP would have increased assets by 254,882 at December 31, 2009, 2008 and 2007. |
|
§
|
On
May 13, 1999, BBVA (majority owner of BBVA Banco Francés) acquired Corp
Banca and Atuel Fideicomisos S.A. and on September, 13, 1999, BBVA sold
its interests in both companies to BBVA Banco 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, 54,695 and 42,495 at December 31, 2009, 2008 and 2007,
respectively. Additionally, the income would have increased by 12,200 and
6,629 for the years ended December 31, 2008 and 2007,
respectively.
|
|
§
|
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, 2009, 2008 and 2007,
respectively.
|
|
19.16.
|
Accounting
for Derivative Instruments and Hedging
Activities
|
|
19.17.
|
Allowance
for other contingencies
|
19.18.
|
Premises
and equipment
|
|
19.19.
|
Minority
interest in subsidiaries
|
|
19.20.
|
Stock
dividend
|
|
19.21.
|
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
|
2009
|
2008 (1)
|
2007 (1)
|
|||||||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
||||||||||||||||||||||||||||||||
Net
income as stated
|
815,021 | (96,559 | ) | 718,462 | 341,235 | (19,725 | ) | 321,510 | 229,317 | 5,732 | 235,049 | |||||||||||||||||||||||||||||
Deferred
taxes
|
19.1 | 115,811 | 4,574 | 120,385 | (747,114 | ) | 8,906 | 738,208 | (490,935 | ) | (4,093 | ) | (495,028 | ) | ||||||||||||||||||||||||||
Allowances
on deferred tax assets
|
19.1 | 86,348 | — | 86,348 | 331,511 | — | 331,511 | 328,508 | — | 328,508 | ||||||||||||||||||||||||||||||
Loan
origination and issuance credit card’s fees
|
19.2 | 19,332 | 11,868 | 31,200 | (26,062 | ) | (12,230 | ) | (38,292 | ) | (7,283 | ) | (2,552 | ) | (9,835 | ) | ||||||||||||||||||||||||
Intangible
assets
|
19.3 | (1 | ) | — | (1 | ) | 2 | 6,826 | 6,828 | 21 | 4,527 | 4,548 | ||||||||||||||||||||||||||||
Impaired
loans-Non Financial Private Sector and residents abroad
loans
|
19.4.2 | 112,121 | — | 112,121 | (14,419 | ) | — | (14,419 | ) | 36,985 | — | 36,985 | ||||||||||||||||||||||||||||
Federal
Government secured loans
|
19.4.3 | 131,781 | 13,631 | 145,412 | 121,446 | 3,490 | 124,936 | 217,317 | (508 | ) | 216,809 | |||||||||||||||||||||||||||||
Argentine
Government Notes
|
19.4.4 | (31,552 | ) | — | (31,552 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Government
and private securities valuation
|
19.5 | (436,717 | ) | — | (436,717 | ) | 660,761 | — | 660,761 | 147,594 | 1,021 | 148,615 | ||||||||||||||||||||||||||||
Gain
contingencies
|
19.6 | (2,725 | ) | — | (2,725 | ) | 58,322 | — | 58,322 | 285,710 | — | 285,710 | ||||||||||||||||||||||||||||
Investment
in other companies
|
19.7 | 3,473 | — | 3,473 | (11,403 | ) | — | (11,403 | ) | (5,974 | ) | — | (5,974 | ) | ||||||||||||||||||||||||||
Vacation
expense
|
19.8 | 22,839 | — | 22,839 | 36,806 | — | 36,806 | (11,588 | ) | — | (11,588 | ) | ||||||||||||||||||||||||||||
Provision
related to insurance activities
|
19.13.1 | — | — | — | — | — | — | — | 230,194 | 230,194 | ||||||||||||||||||||||||||||||
Technical
Commitments
|
19.13.2 | 48,640 | — | 48,640 | 159,908 | — | 159,908 | (13,285 | ) | — | (13,285 | ) | ||||||||||||||||||||||||||||
Goodwill
|
19.15 | — | — | — | 12,200 | — | 12,200 | 6,629 | — | 6,629 | ||||||||||||||||||||||||||||||
Accounting
for Derivative Instruments and Hedging Activities
|
19.16 | (812 | ) | — | (812 | ) | 4,621 | — | 4,621 | (3,439 | ) | — | (3,439 | ) | ||||||||||||||||||||||||||
Allowance
for other contingencies
|
19.17 | 29,053 | — | 29,053 | — | — | — | (44,818 | ) | — | (44,818 | ) | ||||||||||||||||||||||||||||
Premises
and equipment
|
19.18 | (38,136 | ) | — | (38,136 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Minority
interest in subsidiaries
|
19.19 | 254,604 | (32,839 | ) | 221,765 | 12,089 | (16,876 | ) | (4,787 | ) | 190,546 | 4,903 | 195,449 | |||||||||||||||||||||||||||
Net
income in accordance with U.S. GAAP
|
1,129,080 | (99,325 | ) | 1,029,755 | 939,903 | (29,609 | ) | 910,294 | 865,305 | 239,224 | 1,104,529 | |||||||||||||||||||||||||||||
Net
income per share in accordance with U.S. GAAP attributable to parent
entity
|
1.79 | (0.13 | ) | 1.66 | 1.90 | (0.03 | ) | 1.87 | 1.38 | 0.48 | 1.86 | |||||||||||||||||||||||||||||
Net
income per share in accordance with U.S. GAAP attributable to minority
interest in subsidiaries
|
2.32 | (0.21 | ) | 2.11 | 1.93 | (0.06 | ) | 1.87 | 1.77 | 0.50 | 2.27 | |||||||||||||||||||||||||||||
Weighted average number of shares outstanding (in
thousands) (2)
|
487,611 | 487,611 | 487,611 | 487,611 | 487,611 | 487,611 | 487,611 | 487,611 | 487,611 | |||||||||||||||||||||||||||||||
(1)
|
Restated
from its original version to exhibit the impact of minority interest in
subsidiaries (see Note 19.19).
|
(2)
|
Restated
from its original version to reflect the established by ASC 260-10,
Earnings per share: Overall.
|
Consolidated
Stockholders’ Equity December 31,
|
||||||||||||||||||||||||||||||||||||||||
Ref
|
2009
|
2008 (1)
|
2007 (1)
|
|||||||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
||||||||||||||||||||||||||||||||
Stockholders’
equity as stated
|
2,895,138 | 31,334 | 2,926,472 | 1,948,132 | 127,892 | 2,076,024 | 1,909,220 | 147,617 | 2,056,837 | |||||||||||||||||||||||||||||||
Deferred
taxes
|
19.1 | (60,620 | ) | 9,387 | (51,233 | ) | 126,899 | 4,813 | 131,712 | 529,674 | (4,093 | ) | 525,581 | |||||||||||||||||||||||||||
Allowances
on deferred tax assets
|
19.1 | 266,433 | — | 266,433 | 180,085 | — | 180,085 | (151,426 | ) | — | (151,426 | ) | ||||||||||||||||||||||||||||
Loan
origination and issuance credit card’s fees
|
19.2 | (55,565 | ) | — | (55,565 | ) | (74,897 | ) | (11,868 | ) | (86,765 | ) | (48,835 | ) | 362 | (48,473 | ) | |||||||||||||||||||||||
Intangible
assets
|
19.3 | 3 | — | 3 | 4 | — | 4 | 2 | (6,826 | ) | (6,824 | ) | ||||||||||||||||||||||||||||
Impaired
loans-Non Financial Private Sector and residents abroad
loans
|
19.4.2 | 204,932 | — | 204,932 | 92,811 | — | 92,811 | 107,230 | — | 107,230 | ||||||||||||||||||||||||||||||
Federal
Government secured loans
|
19.4.3 | (72,057 | ) | — | (72,057 | ) | (203,838 | ) | (13,631 | ) | (217,469 | ) | (325,284 | ) | (17,121 | ) | (342,405 | ) | ||||||||||||||||||||||
Argentine
Government Notes
|
19.4.4 | (31,552 | ) | — | (31,552 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Government
and private securities valuation
|
19.5 | 46,764 | — | 46,764 | (216,190 | ) | — | (216,190 | ) | (31,448 | ) | — | (31,448 | ) | ||||||||||||||||||||||||||
Gain
contingencies
|
19.6 | (22,580 | ) | — | (22,580 | ) | (19,855 | ) | — | (19,855 | ) | (78,177 | ) | — | (78,177 | ) | ||||||||||||||||||||||||
Investment
in other companies
|
19.7 | (35,738 | ) | — | (35,738 | ) | (39,211 | ) | — | (39,211 | ) | (27,808 | ) | — | (27,808 | ) | ||||||||||||||||||||||||
Vacation
expense
|
19.8 | (337 | ) | — | (337 | ) | (23,176 | ) | — | (23,176 | ) | (59,982 | ) | — | (59,982 | ) | ||||||||||||||||||||||||
Technical
Commitments
|
19.13.2 | 225,413 | — | 225,413 | 176,773 | — | 176,773 | 16,865 | — | 16,865 | ||||||||||||||||||||||||||||||
Goodwill
|
19.15 | — | — | — | — | — | — | (12,200 | ) | — | (12,200 | ) | ||||||||||||||||||||||||||||
Accounting
for Derivative Instruments and Hedging Activities
|
19.16 | 370 | — | 370 | 1,182 | — | 1,182 | (3,439 | ) | — | (3,439 | ) | ||||||||||||||||||||||||||||
Allowance
for other contingencies
|
19.17 | 29,053 | — | 29,053 | — | — | — | — | — | — | ||||||||||||||||||||||||||||||
Premises
and equipment
|
19.18 | (38,136 | ) | — | (38,136 | ) | — | — | — | — | — | — | ||||||||||||||||||||||||||||
Minority
interest in subsidiaries
|
19.19 | 277,449 | 26,808 | 304,257 | 82,043 | 87,611 | 169,654 | 53,395 | 106,124 | 159,519 | ||||||||||||||||||||||||||||||
Consolidated
Stockholders’ equity in accordance with U.S. GAAP
|
3,628,970 | 67,529 | 3,696,499 | 2,030,762 | 194,817 | 2,225,579 | 1,877,787 | 226,063 | 2,103,850 | |||||||||||||||||||||||||||||||
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Assets
|
27,760,274 | 27,199,899 | 23,266,358 | |||||||||
Liabilities
|
24,063,775 | 24,974,320 | 21,162,508 |
|
19.22.
|
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,
|
||||||||||||||||||||||||||||||||||||
2009
|
2008
|
2007
|
||||||||||||||||||||||||||||||||||
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
Continued
operations
|
Discontinued
operations
|
Total
|
||||||||||||||||||||||||||||
Financial
income
|
3,299,127 | 26,273 | 3,325,400 | 3,074,806 | 23,674 | 3,098,480 | 1,974,579 | 38,179 | 2,012,758 | |||||||||||||||||||||||||||
Financial
expenses
|
(971,744 | ) | (45,302 | ) | (1,017,046 | ) | (1,196,547 | ) | (110 | ) | (1,196,657 | ) | (681,162 | ) | (411 | ) | (681,573 | ) | ||||||||||||||||||
Allowances
for doubtful loans
|
(133,845 | ) | — | (133,845 | ) | (51,127 | ) | — | (51,127 | ) | (25,277 | ) | — | (25,277 | ) | |||||||||||||||||||||
Service
charge income
|
1,231,042 | 11,868 | 1,242,910 | 946,652 | 198,124 | 1,144,776 | 714,902 | 457,930 | 1,172,832 | |||||||||||||||||||||||||||
Service
charge expenses
|
(279,691 | ) | — | (279,691 | ) | (234,504 | ) | (6,127 | ) | (240,631 | ) | (153,309 | ) | (5,618 | ) | (158,927 | ) | |||||||||||||||||||
Operating
expenses
|
(1,558,483 | ) | (53,409 | ) | (1,611,892 | ) | (1,141,717 | ) | (222,255 | ) | (1,363,972 | ) | (922,882 | ) | (204,443 | ) | (1,127,325 | ) | ||||||||||||||||||
Other
income
|
299,353 | (38,963 | ) | 260,390 | 1,210,687 | 8,219 | 1,218,906 | 1,917,857 | (267,469 | ) | 1,650,388 | |||||||||||||||||||||||||
Other
expenses
|
(623,161 | ) | (2,265 | ) | (625,426 | ) | (1,030,809 | ) | (37,246 | ) | (1,068,055 | ) | (1,140,298 | ) | 228,873 | (911,425 | ) | |||||||||||||||||||
Income
before income tax
|
1,262,598 | (101,798 | ) | 1,160,800 | 1,577,441 | (35,721 | ) | 1,541,720 | 1,684,410 | 247,041 | 193,1451 | |||||||||||||||||||||||||
Income
Tax
|
(133,518 | ) | 2,473 | (131,045 | ) | (609,062 | ) | 8,906 | (600,156 | ) | (772,435 | ) | (4,093 | ) | (776,528 | ) | ||||||||||||||||||||
Tax
on minimum presumed income
|
— | — | (28,476 | ) | (2,794 | ) | (31,270 | ) | (46,670 | ) | (3,724 | ) | (50,394 | ) | ||||||||||||||||||||||
Total
consolidated income
|
1,129,080 | (99,325 | ) | 1,029,755 | 939,903 | (29,609 | ) | 910,294 | 865,305 | 239,224 | 1,104,529 | |||||||||||||||||||||||||
Comprehensive
income
|
||||||||||||||||||||||||||||||||||||
Net
income in accordance with U.S. GAAP
|
1,029,755 | 910,294 | 1,104,529 | |||||||||||||||||||||||||||||||||
Other comprehensive (loss) / income, net of tax
(1)
(2)
|
563,328 | (639,487 | ) | (94,595 | ) | |||||||||||||||||||||||||||||||
Comprehensive
net income in accordance with U.S. GAAP
|
1,593,083 | 270,807 | 1,009,934 | |||||||||||||||||||||||||||||||||
|
19.23.
|
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, 2009, 2008 and
2007:
|
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||||||||||||||||||||||||||
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
gains/(losses) on securities
|
866,658 | (303,330 | ) | 563,328 | (983,826 | ) | 344,339 | (639,487 | ) | (145,531 | ) | 50,936 | (94,595 | ) | ||||||||||||||||||||||
Other
comprehensive income gain/(loss)
|
866,658 | (303,330 | ) | 563,328 | (983,826 | ) | 344,339 | (639,487 | ) | (145,531 | ) | 50,936 | (94,595 | ) | ||||||||||||||||||||||
December
31, 2009
|
December
31, 2008
|
December
31, 2007
|
||||||||||||||||||||||||||||||||||
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
|
— | (717,673 | ) | (717,673 | ) | — | (78,186 | ) | (78,186 | ) | — | 16,409 | 16,409 | |||||||||||||||||||||||
Current-fiscal
year change
|
— | 563,328 | 563,328 | — | (639,487 | ) | (639,487 | ) | — | (94,595 | ) | (94,595 | ) | |||||||||||||||||||||||
Ending
balance
|
— | (154,345 | ) | (154,345 | ) | — | (717,673 | ) | (717,673 | ) | — | (78,186 | ) | (78,186 | ) | |||||||||||||||||||||
|
19.24.
|
Cash
flows information
|
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Cash
and cash equivalents at the end of the fiscal year
|
5,255,412 | 4,243,080 | 3,169,314 | |||||||||
Cash
and cash equivalents at beginning of the fiscal year
|
4,243,080 | 3,169,314 | 2,558,484 | |||||||||
Increase
in cash and cash equivalents
|
1,012,332 | 1,073,766 | 610,830 | |||||||||
CAUSES
OF CHANGES IN CASH AND CASH EQUIVALENTS
|
||||||||||||
Cash
provided by operating activities
|
1,392,162 | 1,549,155 | 375,222 | |||||||||
Cash
used in investing activities
|
(143,120 | ) | (161,650 | ) | (167,392 | ) | ||||||
Cash
(used in) / provided by financing activities
|
(47,663 | ) | (192,607 | ) | 428,836 | |||||||
Effect
of exchange rate changes on cash
|
(189,047 | ) | (121,132 | ) | (25,836 | ) | ||||||
Increase
in cash and cash equivalents
|
1,012,332 | 1,073,766 | 610,830 | |||||||||
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
CAUSES
OF CHANGES IN CASH AND CASH EQUIVALENTS OVER DISCONTINUED
OPERATIONS
|
||||||||||||
Cash
provided by / (used in) operating activities
|
18,927 | 9,293 | (115,492 | ) | ||||||||
Cash
provided by investing activities
|
14,174 | 55,939 | 25,462 | |||||||||
Cash
provided by / (used in) financing activities
|
17,523 | (20,378 | ) | 117,003 | ||||||||
Effect
of exchange rate changes on cash
|
(11,966 | ) | (65,305 | ) | (20,784 | ) | ||||||
Increase
in cash and cash equivalents
|
38,658 | (20,451 | ) | 6,189 | ||||||||
December
31,
|
||||||||||||
2009
|
2008
|
2007
|
||||||||||
Net
gain for the fiscal year
|
718,462 | 321,510 | 235,049 | |||||||||
Adjustments
to reconcile net income to net cash from operating
activities:
|
||||||||||||
Amortization
and depreciation
|
131,899 | 196,784 | 392,998 | |||||||||
Allowances
for doubtful loans and special reserves, net of reversals
|
243,937 | 69,036 | (223,362 | ) | ||||||||
Minority
interests in subsidiaries
|
14,890 | (2,801 | ) | 19,541 | ||||||||
Deferred
taxes
|
371,578 | 31,270 | 50,394 | |||||||||
Equity
(loss) of unconsolidated subsidiaries
|
(10,284 | ) | (15,622 | ) | (3,042 | ) | ||||||
Net
(increase) / decrease in interest receivable and payable and other accrued
income and expenses
|
(78,320 | ) | 948,978 | (96,356 | ) | |||||||
Net
cash provided by operating activities
|
1,392,162 | 1,549,155 | 375,222 |
|
19.25.
|
New
accounting pronouncements (U.S.
GAAP)
|
|
§
|
removes
the concept of a qualifying special-purpose
entity,
|
|
§
|
explains
that a transferor must consider its continuing involvements in the
transferred financial asset, including all arrangements or agreements made
contemporaneously with, or in contemplation of, the transfer, even if they
were not entered into at the time of the transfer to evaluate if it has
surrendered control over transferred financial
assets,
|
|
§
|
limits
the circumstances in which a financial asset should be derecognized when
the transferor has not transferred the entire original financial asset to
an entity that is not consolidated with the transferor in the financial
statements being presented and/or when the transferor has continuing
involvement with the transferred financial asset,
and
|
|
§
|
defines
the term participating interest to establish specific conditions for
reporting a transfer of a portion of a financial asset as a
sale.
|
|
c)
|
ASU
2010-06 Fair Value Measurements and Disclosures (ASC 820): Improving
Disclosures about Fair Value
Measurements
|
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 Banco Francés Annual Report on Form 20-F for the
year ended December 31, 2005 filed with the Securities and Exchange
Commission on June 29, 2006.
|