BBVA CIB in figures as of Dec.31st, 2015
- 1. BBVA Corporate & Investment Banking As close as you need, as far as you go Institutional Presentation February 2016 - Figures as of 31st December 2015
- 2. Note This presentation is both for internal and external use. Please contact your local or global Strategy & Business Development team to get a more detailed version of this document. 2
- 3. Disclaimer 3 This presentation is provided by BBVA for external information purposes only and it should be considered by the user as confidential. BBVA reserves the right to update, modify or remove this information. Under no circumstances may BBVA or any of its employees be held responsible for any direct/indirect loss, damage or harm of whatsoever nature that may arise through or in connection with the use of the content of the presentation and its content. Furthermore, BBVA may not be held responsible for the truthfulness, integrity or validity of this information. Under no circumstances shall said information be considered as recommendation, endorsement or distribution on the part of BBVA of the information, products and/or services described herein. The entirety of this presentation, in other words, the elements of which it comprises (texts, images, brands, logos, combinations of colors), as well as the structure, selection and arrangement of its content, is protected by legislation on Intellectual and Industrial Property, and may not be used, reproduced, distributed, modified, publicly disclosed, conveyed or transformed or disseminated in any other way without express permission. BBVA reserves the right to take legal action as appropriate against those users who are in breach of or infringe rights of intellectual and/or industrial property. The presentation and the information that contains is governed by current regulations in Spain. GENERAL DETAILS Banco Bilbao Vizcaya Argentaria S.A. with registered address at Plaza de San Nicolás, 4 - 48005 Bilbao (Vizcaya), telephone (+34 902 18 18 18), contact email: (https://www.bbva.es/TLBS/tlbs/esp/sistema/form/via-email.jsp). ENTRY IN THE COMPANY REGISTER Banco Bilbao Vizcaya Argentaria, S.A. is registered at the Vizcaya Mercantile Registry in volume 2,083, sheet 1, Hoja BI-17-A, 1st inscription.
- 4. 4Source: http://shareholdersandinvestors.bbva.com/ BBVA is a global financial group… 30,616 ATMs 66 million customers 35 countries 9,145 branches 137,968 employees € 750 billion in total assets North America USA / Mexico Europe Germany / Belgium/ Spain/ France / Holland / Italy / Luxembourg / Malta / Portugal / U.K. / Romania / Russia / Switzerland / Turkey Asia - Pacific Australia / China / UAE / Hong Kong / India / Indonesia / Japan / South Korea/ Singapore / Taiwan South America Argentina / Bolivia / Brazil / Chile / Colombia / Paraguay / Peru / Uruguay / Venezuela 12M15 Figures
- 5. 5Source: BBVA’s 4Q15 Quarterly Report BBVA’s sound performance and strong financials 12M15 Figures Gross Income (€ Mm) 23,680 Operating income (€ Mm) 11,363 Net attributable profit (€ Mm) 2,642 Total assets (€ Mm) 750,078 Total equity (€ Mm) 55,439 Customer lending-gross (€ Mm) 432,855 Deposits from customers (€ Mm) 403,069 ROE 5,3% ROA 0,46% Efficiency ratio 52,0% NPL ratio 5,4% NPL coverage ratio 74% Ratio CET 1 Ratio phased in 12,1% Ratio CET 1 Ratio fully loaded 10,3% Earnings Balance sheet Efficiency/ Profitability Risk Management Solvency
- 6. Banco Provincial (Venezuela) is rated by Fitch at CCC 6 BBVA’s ratings BBVA BBVA Banco Francés BBVA BBVA BBVA Banco Continental BBVA Banco Provincial BBVA BBVA BBVA Bancomer BBVA Compass Garanti Bank Group Argentina Chile Colombia Peru Venezuela Uruguay Paraguay Mexico USA Turkey Stand Alone Rating baa2 n.r. baa3 baa2 n.r n.r. n.r ba2 baa1 baa2 ba1 Senior Unsecured Baa1 n.r. A3 Baa2 n.r n.r. n.r Ba1 A3 Baa3 Baa3 Long Term Deposits A3 n.r. A3 Baa2 n.r n.r. n.r Ba2 A3 A3 Baa3 Short Term Deposits P-2 n.r. P-2 P-2 n.r n.r. n.r NP P-2 P-2 P-3 Outlook Stable n.r. Stable Stable n.r n.r. n.r Stable Stable Stable Negative SACP bbb+ 0 bbb 0 bbb 0 bbb- bb- bbb+ bbb + bb+ Long Term BBB + S.D BBB+ n.r BBB n.r BBB BB BBB+ BBB + BB+ Short Term A-2 S.D A-2 n.r A-2 n.r A-2 B A-2 A-2 n.r. Outlook Stable S.D Stable n.r Stable n.r Stable Stable Stable Stable Negative Support rating 5 5 n.r 2 2 n.r n.r n.r. 2 2 2 Viability rating a- ccc n.r bbb a- n.r n.r n.r. a- bbb bbb- Long Term A- n.r. n.r BBB+ A- n.r n.r n.r. A- BBB+ BBB Short Term F2 n.r. n.r F2 F1 n.r n.r n.r. F1 F2 F2 Perspective Stable n.r. n.r Stable Stable n.r n.r n.r. Positive Stable Stable Updated as for 28th January 2016 n.r: no rating; NP: Not prime; S.D: selective default; (*) Under Fitch methodology there is no outlook after ccc *RWP: rating watch positive; *RWN: rating watch negative Rating shown = Operational subsidiary rating (which usually issues) MOODY'S STANDARD& POORS FITCH
- 7. 7 BBVA has a geographically balanced presence supported by its strong global franchises Geographic Mix1 With a strong global franchise: Corporate & Investment Banking (BBVA CIB) Gross Income 12M15 (%) 30 28 11 10 19 2 Rest of Eurasia Mexico Spain USA Turkey South America Source: BBVA’s 4Q15 Quarterly Report 1) Excludes Corporate Center
- 8. 8 BBVA CIB is an integral part of BBVA Group Strategy & Control Execution & Performance • Corporate&Investment Banking Juan Asúa • Country Networks Vicente Rodero Spain: Cristina de Parias Mexico: Eduardo Osuna USA: Manuel Sánchez Peru: Eduardo Torres-Llosa Chile: Manuel Olivares Colombia: Oscar Cabrera Argentina: Martín Zarich Venezuela: Pedro Rodríguez Turkey: Fuat Erbil Others1 New Core Competences • Talent & Culture Donna DeAngelis • Customer Solutions Derek White • Global Marketing & Digital Sales Javier Escobedo • Engineering Ricardo Moreno • New Digital Business Teppo Paavola Risk & Finance • Finance Jaime Saénz de Tejada • Global Risk Management Rafael Salinas • Global Economics Regulation & Public Affairs José Manuel González-Páramo • Legal & Compliance Eduardo Arbizu • Strategy & M&A Javier Rodríguez Soler • Global Accounting & Information Management Ricardo Gómez Barredo • Communications Paul G. Tobin • General Secretary Domingo Armengol • Internal Audit José Luis de los Santos Business Development • Spain: David Puente • USA: José Olalla • Growth Markets2: Ricardo Forcano CEO Carlos Torres Villa Group Executive Chairman Francisco González (1) Others include Paraguay, Uruguay & Switzerland / (2) Growth markets include Mexico, Argentina, Colombia, Chile, Peru, Venezuela and Turkey Source: http://shareholdersandinvestors.bbva.com/
- 9. 12M15 Figures (Banking Business1) 9 BBVA CIB’s contribution to the Group BBVA Group BBVA CIB % CIB/Group = Customer Lending 432,855 57,189 13% = Deposits from customers 403,069 52,813 13% = Economic Risk Capital 32,278 4,558 14% = Gross Income 23,680 2,844 12% = Operating Income 11,363 1,853 16% = Employees (#) 137,968 3,745 3% = Efficiency 52,0% 34,8% Balance Sheet (€ Mm) Income Statement (€ Mm) Others (1) Banking Business excludes Citic / (2) BBVA CIB Business Activity figures consider also GM figures Source: BBVA’s 4Q15 Quarterly Report. Figures as of 12M15 (all figures in this section including Venezuela)
- 10. 10 BBVA CIB’s worldwide presence: As close as you need, as far as you go 3,745 employees... Americas 1,603 employees Europe 1,949 employees Asia 193 employees … with a presence in 26 countries Sources: BBVA’s 4Q15 Quarterly Report & BBVA CIB HR, figures as of 31ST December 2015
- 11. 11 BBVA CIB provides a full range of financial products and services Global Transaction Banking • Cash & Liquidity Management • Securities Services • Working Capital • Trade Finance Day to day transactions and services Global Markets • Fixed Income • FX • Equity Risk hedging and investment activities Global Finance • Project Finance • Syndicated Loans • Acquisition Finance • DCM • Financial Advisory Long term financing solutions Corporate Finance • ECM • M&A Advisory on capital structure and M&A deals
- 12. BBVA CIB serves large corporate and institutional clients, as well as other BBVA client segments 12 SME’s & Retail - Sophistication Size / Global needs LOCAL CORPORATES & BUSINESSES Large/medium businesses with local wholesale banking product needs (advisory, hedging, capital markets products, …) GLOBAL CORPORATES Large businesses with multi-geography and/or multi- currency needs: advisory, financing, risk hedging, capital markets, … Wealth Management INSTITUTIONAL CLIENTS & GOVERNMENTS Pension funds, insurance companies, banks, regulated global institutions with sophisticated balance management and investment needs FINANCIAL SPONSORS Private Equity, Infrastructure or Energy Funds
- 13. BBVA CIB enjoys a solid client franchise, an adequate portfolio diversification and prudent cost and risk management models 13 1 Customer-centric strategy 3 Strong cost control processes 2 Geographic and product diversification 4 Low risk model
- 14. Clients are the focus of BBVA CIB strategy Client Centric model, where the client sets the agenda to follow 14 Full Coverage • Adequate segmentation of clients and Industry expertise • Coverage teams across all geographies, coordinated with product specialist teams • Solid relationship with those clients from our internal networks Ad-hoc Product Offer • Value added products and advisory services • Cross-selling opportunities and diversification of revenues Client Service Excellence • Coordination of client interaction inside the organization (Client Service Team) • Presence in e-commerce channels: www.bbvacib.com Customer Centric Strategy
- 15. Global client coverage model increases product offering and enhances strategic dialogue with clients 15 Solutions Financial Advisory Acquisition Finance Project Finance Syndicated Loans Derivatives DCM Trade Finance FX Cash Management Deposits Working Capital Securities Services M&A ECM CEO Touch points CFO Treasurer HR Manager Purchase Manager BBVA CIB Client Service Team Corporate Finance Global Finance Global Markets Transaction Banking INDUSTRY BANKERS GLOBAL BANKERS LOCAL BANKERS TRANSACTION BANKERS COVERAGE PRODUCT SPECIALISTS
- 16. Geographic Mix1 (EFAN Gross Income %, Banking Business2) Product Mix (EFAN Gross Income3 %, Banking Business2) (1)Turkey not included (2) Banking Business excludes Citic; (3) Complement Account figures not considered Source: BBVA CIB Finance, figures as of 12M15 16 GTB 30% CF 2% SSL 26% GM 42% S. America 23% Mexico 18% USA 12%Asia 2% R. Europe 9% Spain 36% BBVA CIB’s business enjoys a good geographic and product diversification
- 17. Gross Income1 (€Mm, Banking Business2) 17(1) At constant Exchange Rate; (2) Banking Business excludes Citic Source: BBVA CIB Finance, figures as of 12M15 2,7542,741 2,712 12M13 2,625 12M15 2,844 12M14 2,753 EFAN MtM +0% +5% Maintaining growth in a challenging environment
- 18. 18 66 33 66 35 31 p.p. BBVA CIB1 Industry ex-BBVA* 12M14 12M15 12M1412M15 12M14 12M15 1,7931,753 +3% 12M13 1,853 Efficiency Ratio (%) Operating Income1 (EFAN, €Mm, Banking Business2) (1) At constant Exchange Rates; (2) Banking Business excludes Citic Sources: Efficiency Ratio Analysis - BBVA CIB Strategy & Business Intelligence Analysis as for 12M15; Operating Income - BBVA CIB Finance, figures as of 12M15 * Industry ex-BBVA: BAML, Citi, BNPP, DB, GS, ISP, JPM, MS, NOM, SAN, UBS, WF Highly efficient business model ensuring recurrence in PBT generation
- 19. Complete product catalogue adapted to the needs of BBVA clients 19 Origination, structuring and execution of equity and equity- linked financings such as initial public offerings, follow on offerings, equity block transmissions, convertible bonds and preferred stocks ECM Origination, structuring and allocation to investors of financing solutions through bonds and other structured debt products DCM Advisory, origination, structuring and execution of financing solutions (leveraged finance, asset finance, corporate lending,…) Global Finance Investing in international financial markets, structuring and risk hedging services on equity, fixed income and foreign exchange Global Markets Advisory and execution of mergers, acquisitions, divestitures, privatizations, corporate restructurings… M&A Provides solutions for the efficient payments, collections & liquidity management, trade finance, security services and working capital needs through different channels and specialized services Transaction Banking
- 20. We are well positioned in our core markets 20 LatAm ex-Brazil Mexico Spain DCM (EUR / USD) ECM Syndicated Loans (ex PF) Project Finance DCM (local currency) M&A 1 52 2 - - 14 8 22 1 1 12 9 63 2 1 18 FY14 2015 vs. 2014 = # Ranking FY15 Ranking by Volume Source: Dealogic. Rankings by volume. Queries done by January 2015 • M&A: Advisory role in deals announced during the period and with involvement within the regions. Excludes FIG. There is no BBVA Corporate Finance presence in Europe and US and therefore ranking doesn't report it. • ECM: Global coordinator & bookrunner role; Spain: IPOs, follow-ons & convertibles; Mexico, LatAm and LatAm ex-Brazil: IPOs & follow-ons. This analysis does not reflect the rest of deals where BBVA acts within more junior roles, BBVA has participated in important deals as Cellnex & Talgo IPOs and capital increase in Merlín Properties with a co-lead manager role, that is not included in the analysis. Search criteria used: Deals value above 50 € Mn • DCM: Excluding MBS and ABS in Europe/USA and MM&ST in all geographies. In USA ranking for Corporates and in Europe ranking for Platinum/Gold clients • Syndicated loans: Bookrunner role • Project Finance: MLA role
- 21. 21 We are well positioned in our core markets Ranking by # of deals LatAm ex-Brasil Mexico Spain DCM (EUR / USD) ECM Syndicated Loans (ex PF) Project Finance DCM (local currency) M&A 1 92 2 - - 1 10 22 2 1 1 9 82 1 1 1 FY’14 Source: Dealogic. Rankings by number of deals. Queries done by January 2015 • M&A: Advisory role in deals announced during the period and with involvement within the regions. Excludes FIG. There is no BBVA Corporate Finance presence in Europe and US and therefore ranking doesn't report it. • ECM: Global coordinator & bookrunner role; Spain: IPOs, follow-ons & convertibles; Mexico, LatAm and LatAm ex-Brazil: IPOs & follow-ons. This analysis does not reflect the rest of deals where BBVA acts within more junior roles, BBVA has participated in important deals as Cellnex & Talgo IPOs and capital increase in Merlín Properties with a co-lead manager role, that is not included in the analysis. Search criteria used: Deals value above 50 € Mn • DCM: Excluding MBS and ABS in Europe/USA and MM&ST in all geographies. In USA ranking for Corporates and in Europe ranking for Platinum/Gold clients • Syndicated loans: Bookrunner role • Project Finance: MLA role
- 22. Latest Awards Our achievements have been recognized by the industry More information at BBVA CIB website: www.bbvacib.com Global Transaction Banking • Best Cash Management Provider for Non Financial Institutions in Colombia (2015, 2014, 2013) by Euromoney • Best Cash Management Provider for Non Financial Institutions in Venezuela (2015, 2014, 2013, 2012) by Euromoney • Best Cash Management Provider for Non Financial Institutions in Peru (2015, 2014) by Euromoney • Country winner at the World’s Best Internet Banks Awards in Mexico (2015) by Global Finance 22 Global Finance • Best Road Financing (Rutas de Lima), Best infrastructure Financing Andes (Rutas de Lima), Best Local Currency Financing (Rutas de Lima), Best Transport Financing (Metro de Santiago) by LatinFinance Project & Infrastructure Finance Awards (2015) • Americas Infrastructure & PFI 2015 (Freeport LNG's $11bn refinancing) by The Banker Deals of the Year 2015 (2015). • 1 Project Finance Deal of the Year (Cameron LNG) by Trade and Export Finance’s Perfect 10 (2014). Global Markets • House of the Year in Latin America (2015, 2014,2013) & Best Bank in Spain (2013) by Structured Products Awards • Most Active Trading House in Derivatives Market (2015) in NYSE and Portugal • Best Foreign Exchange Providers in Mexico, Spain & Argentina by Global Finance (2015) • Best Debt Bank in Latin America by Global Finance (2015) • 2nd Best Bank in Latam for FX by FX week Global Advisory • Best Investment Bank in Spain (2015, 2014, 2013, 2012) & Best Investment Bank in Mexico (2015) by Global Finance • Top Bank for Mexico Transportation Investment Banking by Dealogic (2014) • M&A Advisor of the Year in Iberia by Financial Times (2014) • M&A Advisor of the Year in Spain by Mergermarket (winner 2014 & 2011; finalist 2013&2012)
- 23. 23 Project Bonds 2015 Italy Bookrunner & Mandated Lead Arranger Loan EUR 430 Mn Bond EUR 150 Mn Lima Metro Line 2 Finance Limited 2015 Peru USD 1.2 Bn Joint Book-runner 2034 Bonds 2015 Mexico Certificados Bursátiles MXN 6.5 Bn 20 years 2015 USA Joint Lead Arranger, Joint Lead Bookrunner, USD 13.1 Bn Sabine Pass Liquefaction 2015 Spain Joint Bookrunner EUR 184.5 Mn Project Bond Financial Advisory 2015 Spain Financial Advisor & Mandated Lead Arranger EUR 48,5 Mm A-52 Celanova Highway Refinancing Ruta del Maule 2015 Chile UF 2,3 Mm Financial Advisor& Liability Manager RUTA DEL MAULE Financial Advisor & Mandated Lead Arranger EUR 114,000,000 Autoestrada Costa da Morte PPP USD 140,000,000 Acquisition of Oil Transport and Wastewater Disposal Pipelines Coordinating Lead Arranger, Sole Bookrunner, Interest Rate Hedge Syndicating Bank, Lender, Administrative Agent, Collateral Agent, Depository Bank 2015 USA 2014-2015 Chile USD +1.000.00.000 Financial Advisor Interchile Highlights of BBVA CIB’s strategic client deals (I) More information at BBVA CIB website: www.bbvacib.com
- 24. 24 Project Finance 2015 France Bookrunner & Mandated Lead Arranger EUR 3.3 Bn Term Loan and RCF Acquisition Facilities Refinancing 2015 Spain Mandated Lead Arranger EUR 245.6 Mn N636 Highway Gerediaga-Elorrio Corporate Loans Joint Lead Arranger & Bookrunner USD 5.25 Bn 2015 Mexico Joint Lead Arranger & Bookrunner USD 1.9 Bn 2015 Colombia USD 2 Bn 2015 USA Joint Lead Arranger Joint Bookrunner Senior Credit Facilities EUR Bn 2015 Spain Bookrunner, Documentation & Facility Agent Acquisition Financing Joint Underwriter 2015 Switzerland EUR 3.6 Bn DCM 5, 10 & 30 Year Joint Bookrunner USD 6,000 Mm A3/BBB+/BBB+ 2015 Mexico USD 2,500 Mm 10Y/20Y/30Y Joint Bookrunner 2015 USA Bookrunner PNC 6Y & PNC 5.5Y EUR 600 Mm & GBP 750 Mm 2015 UK Bookrunner 2Y FRN / 3Y FRN / 3Y FXD / 5Y FXD USD 3,000 Mm 2015 Germany Bookrunner 15Y EUR 7,000 Mm 2015 Spain Baa2/BBB/BBB+ 2015 USA Joint Lead Arranger, Bookrunner, Co-Structuring Lead , Syndication Agent, and Hedge Provider USD 3,692,000,000 Freeport Train 3 2015 Chile Financial Advisor. MLA. Admin Agent and Hedge Provider USD 100.000.000 Alto Jahuel Transmisora de Energía S.A. 2015 México CLA, Underwriter and Bookrunner USD 646,979,202 Waha – Presidio Highlights of BBVA CIB’s strategic client deals (II) More information at BBVA CIB website: www.bbvacib.com
- 25. 25 M&A Financial Advisor and Fairness Opinion provider in the sale of a 24.99% Stake in OPI to 2015 EUR 507 Mm to Financial advisor in the sale of a 100% stake in 2015 EUR 1.0 Bn Sole financial advisor in the sale of 100% of 2015 Confidential to Fairness Opinion Provider of the merger between USD 127 Mn 2015 and 2015 Sole financial advisor in the sale Gasoductos de Chihuahua to USD 1,325 Mn ECM Highlights of BBVA CIB’s strategic client deals (III) More information at BBVA CIB website: www.bbvacib.com
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- 27. BBVA Corporate & Investment Banking As close as you need, as far as you go Institutional Presentation February 2016 - Figures as of 31st December 2015