Transfer of SelectedTransfer of Selected 

Assets & Liabilities of ATEbank

to Piraeus Bankto Piraeus Bank 

30 July 2012

Piraeus and ATE Joining Forces 2

1. Two highly recognisable banking brand names in Greece, Piraeus & ATE, are joining forces

2. Supplementary financial services model, targeting collateralised SME loans, mortgage loan segment and agricultural sector 

3. 2nd largest Greek banking Group in terms of assets (€74 bn), c.1,230 branches, c.17,000 employees, presence in 10 countries2 largest Greek banking Group in terms of assets (€74 bn), c.1,230 branches, c.17,000 employees, presence in 10 countries

4. Wide and loyal customer base; significant cross sell potential

5. Nationwide network of branches, ATMs, payment machines, advanced e‐banking platforms

6 Employees: high level of higher education (67% Piraeus / 62% ATE), strong experience & specialized banking knowledge6.Efficient branch model in Greece: 7 people per branch (Piraeus) / 8 people per branch (ATE) on average

7. Improved funding profile: pro forma Group L/D at 124% (118% in Greece); low cost deposits at 43% of pro forma deposits  

8. More than 25% of pro forma loans are mortgage loans, enhancing collateralisation level of loan portfolio 

9 Pro forma NPLs ratio at 13%; coverage at 56%; cumulative provisions over loans at 7 4%9. Pro forma NPLs ratio at 13%; coverage at 56%; cumulative provisions over loans at 7.4%

Transaction Overview 3

Piraeus  Bank acquires selected healthy ATEbank assets and liabilities:

ATEbank branch network, premises and trademarks

OverviewATEbank Transferred Assets* & Liabilities

Selected Net Loans €10.6bn

Customer Deposits €14 3bn

ATE Insurance SA

ATE Mutual Funds SA

ATEbank Romania

Other Assets€4.2bn

€14.3bn

Other Liabilities€7.1bn

Total Assets €14 7bn Total Liabilities €21 4bn 1 branch in Germany

All of ATEbank employees will be transferred to Piraeus Bank

HFSF provides the associated cash to cover the funding gap and the 

Total Assets €14.7bn Total Liabilities €21.4bn

Pro forma Piraeus Group Balance Sheetnecessary equity to maintain capital adequacy ratio above 8%

Piraeus Bank pays €95 million in cash consideration

Transaction has been approved by the Hellenic Financial Stability 

Pro forma Piraeus Group Balance Sheet

Piraeus Assets€52.1bn

Piraeus Liabilities €49.1bn

Piraeus Equity€3.0bn

Fund (HFSF) and the Bank of Greece (BoG), as well as the EC‐DG Competition

According to the provisions of Law 3601/07, the transaction has been agreed based on pro forma financial data as of July 27th ‘12 

ATEbank Assets €14.7bn

New Equity

ATEbank Liabilities€21.4bn

HFSF Funding & C it l €7 2b

g p y

The final closing is subject to a due diligence process that will be carried out by an auditor(s) appointed by the Bank of Greece and any valuation differences will be adjusted through the funding gap cash injection made by the HFSF

€0.5bn

Total Assets €74.0bn Total Liabilities €74.0bn

Employees c. 17,000 Branches c. 1,230

Piraeus data as at Mar‘12 (incl HFSF advance of €4 7bn)

Capital €7.2bn

injection made by the HFSF

Lazard Frères acted as financial advisor to Piraeus for the transaction

Piraeus data as at Mar‘12 (incl. HFSF advance of €4.7bn) 

* not including assets of ATE Insurance, ATE M/Fs SA & ATEbank Romania 

Strategic Rationale 4

Significantly Improves Market Position in Greece

Largest branch network in Greece

Leading positions in key product segments

Combination of two long‐standing and well recognised 19%(a)

Pro forma DepositsMarket Share

16%(b)

Pro forma LoansMarket Share1

franchises

Substantial Costs

Estimated €155mn fully realized after tax synergies                      after a 3‐year period (mid 2012‐mid 2015)

i l d i i i iCosts Synergies Funding & Revenue 

Synergies

2

#2 in Greece #2 in Greece

Substantial Costs, Funding & 

Revenues Synergies

• material administrative cost savings

• lower funding costs through improved deposit mix

• revenue synergies exploiting opportunities,                             such as cross‐selling to ATEbank customers 

€94mn

Synergies

€61mn

Significant Value Creation

Contribution of ATEbank selected healthy part has positive impact on pro forma future profitability of new Group

ATEbank’s selected transferred part deposit overhang 

Standalone L/D (Mar ’12)

Pro forma Group L/D (Mar ’12)

3

p p gimproves new Group’s funding profile

Improved deposit mix

158% 124%

4Diversification Benefits and Opportunities

p p

Rebalanced Greek loan book, with enhanced mortgage loans contribution

Introduction of Piraeus’ best practices to broaden client base28%

Savings Deposits as % of Pro forma Deposits

28%

Mortgages as % of Pro forma Net Loans

a Data as of 31 March 2012b Piraeus as of 31 March 2012. ATEbank perimeter transferred gross loans (€11.3bn)

1 Bank, 2 Brand Names in Greece 5

In Greece, the Bank will operate under both established brand names: “Piraeus Bank” and “ATEbank”

328 branches ‐690 ATMs (a) 468 branches 907 ATMs (b)328 branches  690 ATMs

2.6 million customers (a)468 branches ‐ 907 ATMs (b)

2.0 million customers (b)

1916: Piraeus Bank is established1918: the Bank’s shares are listed on Athens Stock Exchange

1929: Agricultural Bank of Greece is founded as an non‐profit organisation, providing credit to the agricultural sectorg

1963: the Bank is integrated into Emporiki Bank Group, under which it came under state control in 1975

1991: Piraeus Bank is privatised

2000: unique 3 way merger i e Piraeus Bank Macedonia Thrace and Xios

1991: the Bank became a societé anonyme

2000: the Bank’s shares are listed on the Athens Stock Exchange

2004‐2006: implementation of wide range reforms and structural changes and development of  branch network competitiveness and productivity

2000: unique 3‐way merger, i.e. Piraeus Bank, Macedonia Thrace and Xios 

Piraeus Bank effectively formed through 14 acquisitions in the past 15 years, while it expanded in  a number of countries outside Greece,  with emphasis on promising markets in Southeastern Europe 

July 2012: Piraeus Bank absorbs the ‘good’ part of ATEbank

Introduction of Piraeus’ commercial business practices in the agricultural sector

Incorporation of Piraeus’ expertise in the SME segment as well as Piraeus’ credit culture to manage ATEbank loan portfolio

Integration of winbank “e‐banking” platform with ATEbank e‐banking platform, providing state of the art services to customers 

Leverage of Piraeus’ knowhow in “green banking” to become the bank of choice for one of most promising sector of the economy, Green Business

Servicing of ATEbank’s customer base combining experience with customer‐centric approach 

Piraeus top customer satisfaction rate in Greece (96% in 2011) 

a as of 31 March 2012b as of 30 July 2012

Leading Branch Network in Greece 6

Ranking by Total Branches in Greece as of 31 Dec 2011 (#)

Ranking by Group Total Assets as of  31 Mar 2012 (€ bn)

104,1

74.0

814

542

#1

#2

73,6

57 6

468

414 57,6

52,1

414

402(d)

21.9

21,7

346

323(b)

(a)

,

15,9

3 3

150(c)

Source: Company data, HBA data for branches Notes:   a  ATEbank perimeter, HBA for branches

b  as of 31 Dec 2011c  as of 30 Sep 2011d including HFSF capital advance of €4.7 bn

Second Largest Deposit Base 7

Ranking by Group Customer Deposits as of 31 Mar 2012 (€ bn)

Ranking by Group Total Net Loans as of  31 Mar 2012 (€ bn)

64,3

45,4

57,4

35.2 #2

43.730,5 #3 (#2 in Greece)

43,7

33.1

27,9

20.9

19,1

10 6

14.3

11 3

(b)

(a)

(a)

(b)

transferred deposits

10.6

7,7

11,3

10,9(c)(c)

transferred loans

Source: Company dataNotes:   a  ATEbank perimeter 

b  as of 31 Dec 2011c  as of 30 Sep 2011

8Efficiency Potential 

Estimate for c.€194 mn in annual pre‐tax f ll li d i (€155 ft t )

Comments Gross Expected Costs and Synergies

fully realized synergies (€155 mn after tax)in 3‐year period (mid 2012‐mid 2015)

• material administrative cost savings and branch network optimisation

F di i C i I i C I i C

4.0% 14.4% 25.9%Cost Savings as % of ATE Cost Base

• lower funding costs through improved deposit pricing and mix

• revenue synergies from new cross‐selling opportunities (Piraeus cross‐sell ratio

€194 mn

Funding synergies Cost savings Integration Costs Integration Costs

opportunities (Piraeus cross sell ratio               at 2.9x, ATEbank at 1.8x)

Full realisation of synergies achievable given Piraeus extensive track record in successful M&A transactions and post merger

1865

118

3

14

29

12

46

47

€(26) mn €33 mn€(69) mn

€126 mn

€(64) mn

M&A transactions and post merger integration

Integration costs expected to be ca. 134% of fully realised pre‐tax cost synergies (i t ti t i d 3

1st Year (est.)

2nd Year (est.)

3rd Year (est.)

(integration costs are incurred over 3 years after acquisition)

Diversified Loan &Funding Profile 9

31 Mar 2012 ‐ Group data Transferred Perimeter

Consumer C Consumer

LOANS BY 

Consumer loans9%

Residential mortgages

20%

Consumer loans9%

Consumer loans9%

Residential mortgages

CUSTOMER SEGMENT

Business loans71%

Residential mortgages

51%

Business loans40%

28%

Business loans63%

Total net loans to customers: €33.1bn Total net loans to customers: €10.6bn Total net loans to customers: €43.7bn

Sight6%

Sight7%

Savings

Sight8% Savings

5%

FUNDING BY TYPE

Savings35%

Interbank32%

Savings15%

Interbank46%

5%

Term31%

Interbank53%

Total funding: €46.9bn Total funding: €21.0bn Total funding: €67.9bn

Term27%

Term30%Debt 

securities2%

Debt securities

3%

Pro forma loan portfolio still be skewed towards business loans, but benefit from broader diversification, especially towards residential mortgages

ΑΤΕ bank’s loans to agricultural sector at €1.8 bn

Indicative Integration Timetable 10

August 2012 ‐ July 2013 (t + 12m)

Preparation Implementation

INTEGRATION PHASE

Preparation Implementation

Steering committee to coordinate integration project

Establishment of appropriate teams with members from 2 banks to design and prepare detailed integration plan

Integration of IT infrastructure (ATE currently uses the same core IT system ‐ “Profit”‐ that was used by Macedonia Thrace Bank, which was successfully 2 banks to design and prepare detailed integration plan

Front office integration ‐ homogenisation of products

Prepare back office optimisation (e.g. IT, internal procedures etc)

merged in 2000 into Piraeus IT system)

Customer and other data migration

Consolidation of risk management systems, origination policies, internal audit and arrears management

Coordination of marketing efforts

Finalisation of consolidation & process

p , g

Merger of product factories

Introduction of new organisational structure

Communication ‐ Disclaimer 11

Piraeus Bank Investor Relations

George Poulopoulos CFO

DisclaimerThis presentation has been prepared solely for informational George Poulopoulos, CFO

George Marinopoulos, Director

Chryssanthi Bermpati, Senior Manager

Vicky Diamantopoulou Senior Manager

p p p ypurposes. Any projections or other estimates in thispresentation, including estimates of returns orperformance, comments with respect to our objectives andstrategies, or the results of our operations and business, areforward-looking statements based upon certain assumptions

Vicky Diamantopoulou, Senior Manager

4, Amerikis St., PC: 105 64, Athens  

that may be wrong. These assumptions may be influenced byfactors within or beyond our control, and actual results maydiffer materially from any estimates and projections. Factorsinfluencing actual results include but are not limited tofluctuations in interest rates and stock indices, the effects ofcompetition in the areas in which we operate and changes in

Tel. : (+30 ) 210 333 5026 ‐ 5027 ‐ 5062 ‐ 5739

Fax : (+30 ) 210 333 5079

investor_relations@piraeusbank.gr

competition in the areas in which we operate, and changes ineconomic, regulatory and economic conditions.

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

Bloomberg:  TPEIR GA <F8>

Reuters:  BOPr.AT

www.piraeusbank.gr

y g gy p p yconstrued as constituting investment advice or arecommendation to enter into any transaction. Norepresentation or warranty is given with respect to the accuracyor completeness of the information contained in thispresentation, and no claim is made that any future offer to

i i ill f h btransact any securities will conform to any terms that may becontained herein. Before entering into any transaction, investorsshould determine any economic risks and benefits, as well asany legal, tax and accounting consequences of doing so, as wellas their ability to assume such risks, without reliance on theinformation contained in this presentationinformation contained in this presentation.