Crédit Agricole Consolidated Financial Statements 2023 PDF

UNIVERSAL REGISTRATION DOCUMENT 2023 6 CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2023 Approved by the Board of Directors on 06 February 2024 and submitted for the approval of the...

UNIVERSAL REGISTRATION DOCUMENT 2023 6 CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2023 Approved by the Board of Directors on 06 February 2024 and submitted for the approval of the Ordinary General Meeting on 30 April 2024. S  6 CONTENTS 1. GENERAL FRAMEWORK.................................. 274 NOTE 10: RECLASSIFICATION OF FINANCIAL INSTRUMENTS..................................................370 1.1. LEGAL PRESENTATION OF CRÉDIT AGRICOLE NOTE 11: FAIR VALUE OF FINANCIAL CORPORATE AND INVESTMENT BANK................... 274 INSTRUMENTS...................................................370 1.2. SYNTHETIC GROUP ORGANISATION TO NOTE 12: SCOPE OF CONSOLIDATION AT 31 DECEMBER 2023.................................................... 275 31 DECEMBER 2023.........................................380 1.3. AN ESSENTIALLY MUTUALIST BANKING GROUP.276 NOTE 13: NON-CONSOLIDATED INVESTMENTS AND STRUCTURED ENTITIES..................................384 1.4. INTERNAL RELATIONS AT CRÉDIT AGRICOLE......276 NOTE 14: EVENTS SUBSEQUENT TO 1.5. INFORMATION ABOUT RELATED PARTIES...........278 31 DECEMBER 2023.........................................387 2. CONSOLIDATED FINANCIAL STATEMENTS...... 279 4. STATUTORY AUDITOR’S REPORT ON THE 2.1. INCOME STATEMENT..................................................279 CONSOLIDATED FINANCIAL STATEMENTS (FOR THE YEAR ENDED 31 DECEMBER 2023) 388 2.2. NET INCOME AND OTHER COMPREHENSIVE INCOME........................................................................280 4.1. OPINION.......................................................................388 2.3. BALANCE SHEET - ASSETS.......................................281 4.2. BASIS FOR OPINION.................................................388 2.4. BALANCE SHEET - LIABILITIES...............................282 4.3. JUSTIFICATION OF ASSESSMENTS – KEY AUDIT MATTERS.....................................................................388 2.5. STATEMENT OF CHANGES IN EQUITY...................283 4.4. SPECIFIC VERIFICATIONS........................................393 2.6. CASH FLOW STATEMENT.........................................285 4.5. OTHER VERIFICATIONS AND INFORMATION PURSUANT TO LEGAL AND REGULATORY REQUIREMENTS.........................................................393 3. NOTES TO THE FINANCIAL STATEMENTS........ 287 4.6. RESPONSIBILITIES OF MANAGEMENT AND NOTE 1: GROUP ACCOUNTING POLICIES AND THOSE CHARGED WITH GOVERNANCE FOR THE PRINCIPLES, JUDGEMENTS AND ESTIMATES CONSOLIDATED FINANCIAL STATEMENTS...........393 APPLIED...............................................................287 4.7. RESPONSIBILITIES OF THE STATUTORY AUDITORS NOTE 2: MAJOR STRUCTURAL TRANSACTIONS AND RELATING TO THE AUDIT OF THE CONSOLIDATED MATERIAL EVENTS DURING THE PERIOD... 304 FINANCIAL STATEMENTS..........................................394 NOTE 3: FINANCIAL MANAGEMENT, RISK EXPOSURE AND HEDGING POLICY.....................................305 NOTE 4: NOTES ON NET INCOME AND OTHER COMPREHENSIVE INCOME.............................. 335 NOTE 5: SEGMENT REPORTING....................................342 NOTE 6: NOTES TO THE BALANCE SHEET................. 344 NOTE 7: EMPLOYEE BENEFITS AND OTHER REMUNERATION................................................364 NOTE 8: LEASES................................................................367 NOTE 9: COMMITMENTS GIVEN AND RECEIVED AND OTHER GUARANTEES.......................................369 272 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S € 2,241 M NET INCOME GROUP SHARE € 29,937 M TOTAL EQUITY GROUP SHARE € 7,317 M NET BANKING INCOME € 757,367 M 6 TOTAL ASSETS 101 NUMBER OF CONSOLIDATED ENTITIES S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 273  Chapter 6 – Consolidated financial statements at 31 December 2023 GENERAL FRAMEWORK The consolidated financial statements consist of the general framework, the consolidated financial statements and the Notes to the consolidated financial statements. 1. GENERAL FRAMEWORK 1.1. Legal presentation of Crédit Agricole Corporate and Investment Bank COMPANY NAME: Crédit Agricole Corporate and Investment Bank TRADING NAMES: Crédit Agricole Corporate and Investment Bank - Crédit Agricole CIB - CACIB ADDRESS OF THE COMPANY’S REGISTERED OFFICE: 12, place des Etats-Unis CS 70052 92547 MONTROUGE CEDEX France REGISTRATION: Registered with the Nanterre Trade and Company Registry under number 304 187 701. NAF CODE: 6419 Z (APE) LEI CODE: 1VUV7VQFKUOQSJ21A208 LEGAL FORM: Crédit Agricole Corporate and Investment Bank is a public limited company (Société Anonyme) under French law (with a Board of Directors) governed by the laws and regulations applicable to credit institutions and French public limited companies and by its Articles of Association. As of December 2011, Crédit Agricole Corporate and Investment Bank is affiliated with Crédit Agricole, within the meaning of the French Monetary and Financial Code (CMF). SHARE CAPITAL: EUR 7,851,636,342 CORPORATE PURPOSE (ART. 3 OF THE COMPANY’S ARTICLES OF ASSOCIATION): The purpose of the Company, in France and abroad, is: y to enter into any banking transactions and any finance transactions and more particularly: - the receipt of funds, the granting of loans, advances, credit, financing, guarantees, carrying out standard collections, payments and the collection of past due amounts; - to provide financial advice, particularly regarding financing, debt, subscriptions, issues, investments, acquisitions, disposals, mergers and restructuring operations; - the custody, management, purchase, sale, exchange, brokerage, arbitrage of every kind of security, company right, financial products, derivatives, currencies, goods, precious metals and other securities of any kind; y providing any investment services and related services, within the meaning of the French Monetary and Financial Code and any subsequent text; y to establish and to participate in any ventures, associations, corporations, by way of subscription, purchase of shares or equity rights, merger or in any other way; y to enter into commercial, industrial, securities or real estate transactions, directly or indirectly related to any or all of the above pur- poses or to any similar or connected purposes; y the foregoing, both on its own behalf and on behalf of third parties or as a partner and in any form whatsoever. 274 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 GENERAL FRAMEWORK 1.2. Synthetic group organisation to 31 December 2023 CORPORATE WEALTH AND INVESTMENT BANKING MANAGEMENT CRÉDIT AGRICOLE CIB S.A. (Parent company and branches) Europe Asia/ Pacific America Africa/ Europe/ Middle East Middle East/Asia 100% Ester Finance 100% Crédit Agricole CIB 100% Banco Crédit 100% Crédit Agricole CIB 100% CA Indosuez Technologies China Ltd Agricole Brasil Arabia Financial 100% Crédit Agricole 100% CA Securities Asia 100% Crédit Agricole 100% CA Indosuez Midcap Advisors BV (Tokyo Branch) Securities (USA) (Switzerland) Inc. SUBSIDIARIES 100% CA Securities 100% CA Indosuez (Asia) Ltd (Seoul Wealth Branch) (Europe) 83% AZQORE 70% CFM Indosuez Wealth 70% WEALTH DYNAMICS LIMITED Germany Australia Canada Abu Dhabi Belgium Belgium South Korea United States Dubaï Dubaï 6 Denmark Hong-Kong Qatar Spain BRANCHES Spain India Hong-Kong Finland Japan Italy Italy Singapore New Caledonia United Taiwan Singapore Kingdom Sweden S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 275  Chapter 6 – Consolidated financial statements at 31 December 2023 GENERAL FRAMEWORK 1.3. An essentially mutualist banking Group In accordance with the provisions of the French Monetary and Monetary and Financial Code) and to ensure their proper functioning Financial Code (Articles L. 511-31 and L. 511-32), as the corporate and compliance with all regulations and legislation governing them. centre of the Crédit Agricole network, Crédit Agricole S.A. is In that regard, Crédit Agricole S.A. may take all necessary measures responsible for exercising administrative, technical and financial notably to ensure the liquidity and solvency of the network as a control over the institutions affiliated to it in order to maintain a whole and of each of its affiliated institutions. cohesive network (as defined in Article R. 512-18 of the French 1.4. Internal relations at Crédit Agricole Internal financial mechanisms institutions whose failure could significantly impact the economy, to protect depositors and to avoid or limit the use of public financial The financial mechanisms that govern reciprocal relations within support as much as possible. Under this system, the European Crédit Agricole are specific to the Group. resolution authorities, including the Single Resolution Board, are vested with very broad powers to take any necessary measures TLTRO III MECHANISM for the resolution, in part or in whole, of a credit institution or the group to which it belongs. Crédit Agricole S.A. has subscribed to TLTRO III loans with the For cooperative banking groups, the “extended single point of ECB. Given the internal refinancing mechanisms, the Crédit Agricole entry” (“extended SPE”) resolution strategy is favoured by the CIB group can benefit from Crédit Agricole S.A. drawdowns or resolution authorities, whereby resolution tools would be applied refinance directly with the ECB. simultaneously at the level of Crédit Agricole S.A. and the affiliated entities. In this respect and in the event of a resolution of the Crédit Agricole Group, the scope comprising Crédit Agricole S.A. (as the Hedging of liquidity and solvency risks and bank central body) and the affiliate entities would be taken together as resolution the extended SPE. In light of the preceding and the Network’s existing solidarity mechanisms, a member of the Crédit Agricole Under the legal internal financial solidarity mechanism enshrined Network cannot be individually placed in resolution. in Article L. 511-31 of the French Monetary and Financial Code (CMF), Crédit Agricole S.A. as the central body, shall take any The resolution authorities may initiate resolution proceedings necessary measures to ensure the liquidity and solvency of each against a credit institution where it considers that: the institution institution affiliated with the Network, as well as the Network as has failed or is likely to fail, there is no reasonable prospect that a whole. As a result, each member of the Network benefits from another private measure will prevent the failure within a reasonable and contributes to this internal financial solidarity mechanism. time, a resolution measure is necessary and a liquidation procedure would be inadequate to achieve the resolution The general provisions of the French Monetary and Financial objectives mentioned above. Code are transposed into internal provisions setting out the operational measures required for this legal internal financial The resolution authorities may use one or more resolution tools, solidarity mechanism. as described below, with the objective of recapitalising or restoring the viability of the institution. The resolution tools should be For the purposes of Crédit Agricole S.A.’s IPO, CNCA (now Crédit implemented in such a way that equity holders (shares, mutual Agricole S.A.) entered into a Memorandum of Understanding in shares, CCIs, CCAs) bear losses first, with creditors following 2001 with the Regional Banks aimed in particular at governing up immediately, provided that they are not excluded from bail-in internal relations in the Crédit Agricole Network. This MoU legally speaking or by a decision of the resolution authorities. established a Fund for Bank Liquidity and Solvency Risks (Fonds French law also provides for a protective measure when certain pour Risques Bancaires de Liquidité et de Solvabilité – FRBLS) resolution tools or decisions are implemented, such as the designed to enable Crédit Agricole S.A. to fulfil its role as central principle that equity holders and creditors of an institution in body by providing assistance to any Network member that may resolution may not incur greater losses than those they would be experiencing difficulties. The main provisions of the MoU are have incurred if the institution had been liquidated in the context detailed in Chapter III of the Crédit Agricole S.A. Registration of a judicial liquidation procedure under the French Commercial Document filed with the Commission des Opérations de Bourse Code (NCWOL principle referred to in Article L. 613-57.I of the on 22 October 2001 under number R. 01-453. CMF). Thus investors are entitled to claim compensation if the The European banking crisis management framework was adopted treatment they receive in a resolution is less favourable than the in 2014 by EU Directive 2014/59 (known as the “Bank Recovery treatment they would have received if the institution had been and Resolution Directive - BRRD”), incorporated into French law subject to normal insolvency proceedings. by Order 2015-1024 of 20 August 2015, which also adapted In the event that the resolution authorities decide to put the Crédit French law to the provisions of European Regulation 806/2014 of Agricole Group in resolution, they will first write down the CET1 15 July 2014 establishing uniform rules and a uniform procedure instruments (shares, mutual shares, CCI and CCA), additional for the resolution of credit institutions and certain investment firms Tier 1 and Tier 2 instruments, in order to absorb losses and then in the framework of a Single Resolution Mechanism and a Single Resolution Fund. Directive (EU) 201/879 of 20 May 2019, known as “BRRD2”, amended the BRRD and was incorporated into French law by Order 2020-1636 of 21 December 2020. This framework, which includes measures to prevent and to resolve banking crises, is intended to preserve financial stability, to ensure the continuity of activities, services and operations of 276 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 GENERAL FRAMEWORK possibly convert the additional Tier 1 and Tier 2 instruments into losing their investment in the event a bank resolution proceeding equity securities (1). Then, if the resolution authorities decide to use is initiated against the Group, regardless of the entity serving as the bail-in tool, the latter would be applied to debt instruments (2), creditor. resulting in the partial or total write-down of these instruments or The other resolution tools available to the resolution authorities their conversion into equity in order to absorb losses. are essentially the total or partial transfer of the activities of With respect to the corporate centre and all affiliated entities, the the institution to a third party or to a bridge institution and the resolution authorities may decide to implement, in a coordinated separation of the assets of the institution. manner, impairment or conversion measures and, where applicable, This resolution framework does not affect the legal internal financial bail-ins. In such an event, the impairment or conversion measures solidarity mechanism enshrined in Article L. 511-31 of the CMF, and, where applicable, Bail-ins measures would apply to all entities which applies to the Crédit Agricole network, as defined in Article within the Crédit Agricole network, regardless of the entity in R. 512-18 of the same Code. Crédit Agricole S.A. considers that, question and regardless of the origin of the losses. in practice, this mechanism should be implemented prior to any The creditor hierarchy in resolution is defined by the provisions resolution procedure. of Article L 613-55-5 of the CMF, effective as at the date of Application of the resolution proceeding to the Crédit Agricole implementation of the resolution. Group implies that the legal internal solidarity mechanism would Equity holders and creditors of the same rank or with identical rights not resolve the default of one or more Network entities and thus in liquidation will then be treated equally, regardless of the Group the default of the Network as a whole. It would also limit the entity of which they are creditors. likelihood that the conditions for triggering the guarantee covering The scope of this bail-in, which also aims to recapitalise the the liabilities of Crédit Agricole S.A., granted in 1988 to its third Crédit Agricole Group, is based on capital requirements at the party creditors by the Regional Banks on a joint and several basis consolidated level. and up to the amount of their aggregate capital, are met. It should Investors should thus be aware that holders of equities, cooperative be recalled that this guarantee may be implemented in the event shares, cooperative investment certificates and cooperative of an asset shortfall following Crédit Agricole S.A.’s court-ordered member certificates and holders of debt instruments issued liquidation or dissolution. by a member of the network, are exposed to significant risk of 6 (1) Articles L. 613-48 and L. 613-48-3 of the CMF. (2) Articles L. 613-55 and L. 613-55-1 of the CMF Completed in June 2019 by Regulation (EU) 2019/876 and in June 2020 by Regulation (EU) 2020/873. S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 277  Chapter 6 – Consolidated financial statements at 31 December 2023 GENERAL FRAMEWORK 1.5. Information about related parties The Crédit Agricole CIB group’s related parties are the Crédit Relations between the Crédit Agricole CIB group’s Agricole Group companies and the Crédit Agricole CIB group consolidated companies companies that are fully consolidated or consolidated using the equity method and the group’s senior executives. A list of the Crédit Agricole CIB group’s consolidated companies can be found in Note 12. Transactions realised between two fully consolidated entities are Relations with the Crédit Agricole Group fully eliminated. Outstandings at year-end between fully consolidated companies The on-and off-balance sheet amounts representing transactions and equity-consolidated companies are not eliminated in the between the Crédit Agricole CIB group and the rest of the Crédit Group’s consolidated financial statements. Agricole Group are summarised in the following table: At 31 December 2023, the non-netted outstandings on and off In millions of euros 31.12.2023 the balance sheet reported by Crédit Agricole CIB with its affiliate Assets UBAF are: Financial assets at amortised cost 46,676 In millions of euros 31.12.2023 Financial assets at fair value through profit or 55,504 Assets loss Financial assets at fair value through other Financial assets at amortised cost - 91 Financial assets at fair value through profit or comprehensive income 20 Accruals, prepayments and sundry assets 16,884 loss Property, plant and equipment 239 Financial assets at fair value through other - comprehensive income Current and deferred tax assets 385 Accruals, prepayments and sundry assets 1 Liabilities Liabilities Financial liabilities at amortised cost 44,650 Financial liabilities at amortised cost 16 Financial liabilities at fair value through profit 36,362 Financial liabilities at fair value through profit or loss 3 or loss Accruals, deferred income and sundry liabilities 18,057 Accruals, deferred income and sundry liabilities 13 Subordinated debt 4,255 Provisions - Preferred shares - Financing and guarantee commitments Provisions - Commitments given 35 Reserves (AT1 issuances) 9,565 Financing commitments - Current and deferred tax liabilities 114 Guarantee commitments 35 Financing and guarantee commitments Commitments received - Commitments given 1,309 Financing commitments - Financing commitments 590 Guarantee commitments - Guarantee commitments 719 Commitments received 4,380 Financing commitments - Relations with senior executives Guarantee commitments 4,380 Information on the remuneration of senior executives is detailed in Financial assets and liabilities at amortised cost represent the cash Note 7.7 “Remuneration of senior managers”. flow between Crédit Agricole CIB and the Crédit Agricole Group. Assets and liabilities at fair value through profit or loss primarily concern held-for-trading derivative outstandings, which mainly represent Crédit Agricole Group interest rate hedging transactions arranged in the market by Crédit Agricole CIB. Accruals and deferred income mainly include margin calls (or variable margins) and guarantee deposits given or received in the form of cash for derivatives transactions. Crédit Agricole CIB, owned by the Crédit Agricole Group since 27 December 1996 and some of its subsidiaries are part of Crédit Agricole S.A.’s tax consolidation group. Accordingly, Crédit Agricole S.A. compensates the Crédit Agricole CIB sub-group for any potential tax losses, which are charged against the Crédit Agricole Group’s taxable income. 278 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2. CONSOLIDATED FINANCIAL STATEMENTS 2.1. Income statement In millions of euros Notes 31.12.2023 31.12.2022 Interest and similar income 4.1 20,661 8,928 Interest and similar expenses 4.1 (16,826) (5,100) Fee and commission income 4.2 1,795 1,673 Fee and commission expenses 4.2 (973) (768) Net gains (losses) on financial instruments at fair value through profit or loss 4.3 2,661 1,918 Net gains (losses) on held for trading assets/liabilities 2,924 (2,851) Net gains (losses) on other financial assets/liabilities at fair value through profit or loss (263) 4,769 Net gains (losses) on financial instruments at fair value through other comprehensive 4.4 (1) 17 income Net gains (losses) on debt instruments at fair value through other comprehensive income (12) (1) that may be reclassified subsequently to profit or loss Remuneration of equity instruments measured at fair value through other comprehensive 11 18 income that will not be reclassified subsequently to profit or loss (dividends) Net gains (losses) arising from the derecognition of financial assets at amortised cost 4.5 (16) 1 Net gains (losses) arising from the reclassification of financial assets at amortised cost to - - financial assets at fair value through profit or loss Net gains (losses) arising from the reclassification of financial assets at fair value through - - other comprehensive income to financial assets at fair value through profit or loss Net income from insurance activities - - Income on other activities 4.6 142 125 Expenses on other activities 4.6 (126) (97) Revenues 7,317 6,697 Operating expenses 4.7 (4,132) (3,858) Depreciation, amortisation and impairment of property, plant & equipment and intangible 4.8 (233) (246) assets Gross operating income 2,952 2,593 Cost of risk 4.9 (121) (253) Operating income 2,831 2,340 Share of net income (loss) of equity-accounted entities Net gains (losses) on other assets 4.10 1 (5) - (7) 6 Change in value of goodwill 6.13 - - Pre-tax income 2,827 2,333 Income tax charge 4.11 (571) (490) Net income from discontinued operations 1 4 Net income 2,257 1,847 Non-controlling interests 12.2 16 9 NET INCOME GROUP SHARE 2,241 1,838 Earnings per share (in euros) ¹ 6.16 5.32 4.73 Diluted earnings per share (in euros) ¹ 6.16 5.32 4.73 ¹ Corresponds to income per share including net income from discontinued operations. S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 279  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2.2. Net income and other comprehensive income In millions of euros Notes 31.12.2023 31.12.2022 Net income 2,257 1,847 Actuarial gains and losses on post-employment benefits 4.12 (69) 145 Other comprehensive income on financial liabilities attributable to changes in own credit risk ¹ 4.12 (283) 781 Other comprehensive income on equity instruments that will not be reclassified to profit or 4.12 (16) (30) loss ¹ Insurance finance income or expenses recognised in other comprehensive income that will not - - be reclassified to profit or loss Pre-tax other comprehensive income on items that will not be reclassified to profit or 4.12 (368) 896 loss excluding equity-accounted entities Pre-tax other comprehensive income on items that will not be reclassified to profit or 4.12 - - loss on equity-accounted entities Income tax related to items that will not be reclassified to profit or loss excluding 4.12 78 (234) equity-accounted entities Income tax related to items that will not be reclassified to profit or loss on equity- 4.12 - - accounted entities Other comprehensive income on items that will not be reclassified to profit or loss 4.12 - - from discontinued operations Other comprehensive income on items that will not be reclassified subsequently to 4.12 (290) 662 profit or loss net of income tax Gains and losses on translation adjustments 4.12 (218) 292 Other comprehensive income on debt instruments that may be reclassified to profit or loss 4.12 (25) (34) Gains and losses on hedging derivative instruments 4.12 1,001 (2,666) Insurance finance income or expenses recognised in other comprehensive income that will be - - reclassified to profit or loss Insurance finance income or expenses related to reinsurance contracts held recognised in - - other comprehensive income Pre-tax other comprehensive income on items that may be reclassified to profit or 4.12 758 (2,408) loss excluding equity-accounted entities Pre-tax other comprehensive income on items that may be reclassified to profit or 4.12 - - loss on equity-accounted entities, Group Share Income tax related to items that may be reclassified to profit or loss excluding 4.12 (252) 696 equity-accounted entities Income tax related to items that may be reclassified to profit or loss on equity- 4.12 - - accounted entities Other comprehensive income on items that may be reclassified to profit or loss from 4.12 - 4 discontinued operations Other comprehensive income on items that may be reclassified subsequently to 4.12 506 (1,708) profit or loss net of income tax OTHER COMPREHENSIVE INCOME NET OF INCOME TAX 4.12 216 (1,046) NET INCOME AND OTHER COMPREHENSIVE INCOME 2,473 801 Of which Group share 2,459 790 Of which non-controlling interests 14 11 ¹ Amount of items that will not be reclassified in profit or loss transferred to reserves 4.12 4 18 280 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2.3. Balance sheet - assets In millions of euros Notes 31.12.2023 31.12.2022 Cash, central banks 6.1 77,175 78,711 Financial assets at fair value through profit or loss 3.1 - 3.2 - 6.2 - 6.6 349,710 295,492 Financial assets held for trading 349,401 295,043 Other financial instruments at fair value through profit or loss 309 449 Hedging derivative Instruments 3.3 - 3.5 2,271 2,611 Financial assets at fair value through other comprehensive income 3.1 - 3.2 - 6.4 - 6.6 10,558 10,772 Debt instruments at fair value through other comprehensive income that may 10,195 10,436 be reclassified to profit or loss Equity instruments at fair value through other comprehensive income that will 363 336 not be reclassified to profit or loss Financial assets at amortised cost 3.1 - 3.2 - 3.4 - 6.5 - 6.6 265,410 274,396 Loans and receivables due from credit institutions 58,358 60,494 Loans and receivables due from customers 172,624 179,186 Debt securities 34,428 34,716 Revaluation adjustment on interest rate hedged portfolios - - Current and deferred tax assets 6.9 1,798 1,551 Accruals, prepayments and sundry assets 6.10 47,717 62,183 Non-current assets held for sale and discontinued operations - - Insurance contracts issued that are assets - - Reinsurance contracts held that are assets - - Investments in equity-accounted entities 6.11 - - Investment property - - Property, plant and equipment 6.12 1,108 938 Intangible assets 6.12 506 462 Goodwill 6.13 1,114 1,086 TOTAL ASSETS 757,367 728,202 6 S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 281  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2.4. Balance sheet - liabilities In millions of euros Notes 31.12.2023 31.12.2022 Central banks 6.1 27 33 Financial liabilities at fair value through profit or loss 6.2 350,487 303,316 Held for trading financial liabilities 295,606 274,534 Financial liabilities designated at fair value through profit or loss 54,881 28,782 Hedging derivative Instruments 3.3 - 3.5 3,993 5,141 Financial liabilities at amortised cost 6.7 320,657 335,021 Due to credit institutions 3.4 - 6.7 67,365 79,781 Due to customers 3.1 - 3.4 - 6.7 183,332 186,851 Debt securities 3.4 - 6.7 69,960 68,389 Revaluation adjustment on interest rate hedged portfolios (191) (368) Current and deferred tax liabilities 6.9 2,326 2,198 Accruals, deferred income and sundry liabilities 6.10 44,729 49,268 Liabilities associated with non-current assets held for sale and discontinued - - operations Insurance contracts issued that are liabilities - - Reinsurance contracts held that are liabilities - - Provisions 6.14 1,017 922 Subordinated debt 3.4 - 6.15 4,254 4,293 Total Liabilities 727,299 699,824 Equity 30,068 28,378 Equity - Group share 29,937 28,255 Share capital and reserves 19,683 19,413 Consolidated reserves 8,705 7,914 Other comprehensive income 4.12 (692) (910) Other comprehensive income on non-current assets held for sale and - - discontinued operations Net income (loss) for the year 2,241 1,838 Non-controlling interests 131 123 TOTAL LIABILITIES AND EQUITY 757,367 728,202 282 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2.5. Statement of changes in equity Group share Share and capital reserves Other comprehensive income Other com- Other com- prehensive prehensive Total income on income on Share capital items that items that premium Elimina- Other and may be will not be and con- tion of equity consol- reclassified reclassified Total other Share solidated treasury instru- idated to profit and to profit and comprehen- Net Total In millions of euros capital reserves shares ments reserves loss loss sive income income equity Equity at 1st January 2022 published 7,852 11,849 - 6,561 26,262 705 (567) 138 - 26,400 Impacts of new accounting standards, IFRIC decisions/ - - - - - - - - - - interpretations Equity at 1st January 2022 7,852 11,849 - 6,561 26,262 705 (567) 138 - 26,400 Capital increase - - - - - - - - - - Changes in treasury shares held - - - - - - - - - - Issuance / Redemption of equity instruments - - - 2,080 2,080 - - - - 2,080 Remuneration of undated deeply subordinated notes - - - (463) (463) - - - - (463) Dividends paid in 2022 - (553) - - (553) - - - - (553) Impact of acquisitions/disposals on non-controlling interests - - - - - - - - - - Changes due to share-based payments - 2 - - 2 - - - - 2 Changes due to transactions with shareholders - (551) - 1,617 1,066 - - - - 1,066 Changes in other comprehensive income - (19) - - (19) (1,705) 657 (1,048) - (1,067) Of which other comprehensive income on equity instruments that will not be reclassified to profit or loss - (14) - - (14) - 14 14 - - reclassified to consolidated reserves Of which other comprehensive income attributable to changes in own credit risk reclassified to consolidated - (4) - - (4) - 4 4 - - reserves Share of changes in equity-accounted entities - - - - - - - - - - Net income for 2022 - - - - - - - - 1,838 1,838 Other variations - 18 - - 18 - - - - 18 Equity at 31 December 2022 7,852 11,297 - 8,178 27,327 (1,000) 90 (910) 1,838 28,255 Appropriation of 2022 net income - 1,838 - - 1,838 - - - (1,838) - Equity at 1st January 2023 7,852 13,135 - 8,178 29,165 (1,000) 90 (910) - 28,255 Impacts of new accounting standards, IFRIC decisions/ - - - - - - - - - - interpretations Equity at 1st January 2023 restated 7,852 13,135 - 8,178 29,165 (1,000) 90 (910) - 28,255 Capital increase Changes in treasury shares held Issuance / Redemption of equity instruments - - - - - - - - - 270 - - 270 - - - - - - - - - - - - - - 270 - - 6 Remuneration of undated deeply subordinated notes - - - (693) (693) - - - - (693) Dividends paid in 2023 - (343) - - (343) - - - - (343) Dividends received from Regional Banks and subsidiaries - - - - - - - - - - Impact of acquisitions/disposals on non-controlling interests - - - - - - - - - - Changes due to share-based payments - 9 - - 9 - - - - 9 Changes due to transactions with shareholders - (334) - (423) (757) - - - - (757) Changes in other comprehensive income - (4) - - (4) 504 (286) 218 - 214 Of which other comprehensive income on equity instruments that will not be reclassified to profit or loss - (8) - - (8) - 8 8 - - reclassified to consolidated reserves Of which other comprehensive income attributable to changes in own credit risk reclassified to consolidated - 3 - - 3 - (3) (3) - - reserves Share of changes in equity-accounted entities - - - - - - - - - - Net income for 2023 - - - - - - - - 2,241 2,241 Other variations - (16) - - (16) - - - - (16) EQUITY AT 31 DECEMBER 2023 7,852 12,781 - 7,755 28,388 (496) (196) (692) 2,241 29,937 S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 283  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS Non-controlling interests Other comprehensive income Other Other com- comprehen- prehensive sive income income on Capital, on items items that will associated that may be not be reclas- Total other Total reserves and reclassified to sified to profit comprehensive consolidated In millions of euros income profit and loss and loss income Total equity equity Equity at 1st January 2022 published 122 1 (3) (2) 120 26,520 Impacts of new accounting standards, IFRIC decisions/ - - - - - - interpretations Equity at 1st January 2022 122 1 (3) (2) 120 26,520 Capital increase - - - - - - Changes in treasury shares held - - - - - - Issuance / Redemption of equity instruments - - - - - 2,080 Remuneration of undated deeply subordinated notes - - - - - (463) Dividends paid in 2022 (8) - - - (8) (561) Impact of acquisitions/disposals on non-controlling - - - - - - interests Changes due to share-based payments - - - - - 2 Changes due to transactions with shareholders (8) - - - (8) 1,058 Changes in other comprehensive income - (3) 5 2 2 (1,065) Of which other comprehensive income on equity instruments that will not be reclassified to profit or loss - - - - - - reclassified to consolidated reserves Of which other comprehensive income attributable to changes in own credit risk reclassified to consolidated - - - - - - reserves Share of changes in equity-accounted entities - - - - - - Net income for 2022 9 - - - 9 1,847 Other variations - - - - - 18 Equity at 31 December 2022 123 (2) 2 - 123 28,378 Appropriation of 2022 net income - - - - - - Equity at 1st January 2023 123 (2) 2 - 123 28,378 Impacts of new accounting standards, IFRIC decisions/ - - - - - - interpretations Equity at 1st January 2023 restated 123 (2) 2 - 123 28,378 Capital increase - - - - - - Changes in treasury shares held - - - - - - Issuance / Redemption of equity instruments - - - - - 270 Remuneration of undated deeply subordinated notes - - - - - (693) Dividends paid in 2023 (12) - - - (12) (355) Dividends received from Regional Banks and subsidiaries - - - - - - Impact of acquisitions/disposals on non-controlling - - - - - - interests Changes due to share-based payments - - - - - 9 Changes due to transactions with shareholders (12) - - - (12) (769) Changes in other comprehensive income - 2 (4) (2) (2) 212 Of which other comprehensive income on equity instruments that will not be reclassified to profit or loss - - - - - - reclassified to consolidated reserves Of which other comprehensive income attributable to changes in own credit risk reclassified to consolidated - - - - - - reserves Share of changes in equity-accounted entities - - - - - - Net income for 2023 16 - - - 16 2,257 Other variations 6 - - - 6 (10) EQUITY AT 31 DECEMBER 2023 133 - (2) (2) 131 30,068 284 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS 2.6. Cash flow statement The cash flow statement is presented using the indirect method. Financing activities show the impact of cash inflows and outflows Operating activities are the Crédit Agricole CIB group’s revenue associated with other comprehensive income and long term generating activities. financing. Tax inflows and outflows are included in full within operating Net cash flows attributable to operating, investment and financing activities. activities from discontinued operations are recorded under Investment activities show the impact of cash inflows and separate headings in the cash flow statement. outflows associated with purchases and sales of investments in Net cash and cash equivalents include cash, amounts due to and consolidated and non-consolidated companies, property, plant and from central banks and demand accounts (assets and liabilities) equipment and intangible assets. This section includes strategic and loans held with credit institutions. equity investments recorded under “fair value through profit or loss” or “fair value through other comprehensive income that cannot be reclassified to profit or loss”. In millions of euros Notes 31.12.2023 31.12.2022 Pre-tax income 2,827 2,333 Net depreciation and impairment of property, plant & equipment and intangible assets 233 246 Impairment of goodwill and other fixed assets 6.13 - - Net addition to provisions 148 280 Share of net income (loss) of equity-accounted entities (1) - Net income (loss) from investment activities (2) 2 Net income (loss) from financing activities 388 161 Other movements 1,185 (332) Total non-cash and other adjustment items included in pre-tax income 1,951 357 Change in interbank items (10,806) (19,230) Change in customer items 6,099 15,788 Change in financial assets and liabilities (5,703) 25,130 Change in non-financial assets and liabilities 9,393 (12,118) Dividends received from equity-accounted entities 1 - Taxes paid (852) (382) Net change in assets and liabilities used in operating activities (1,868) 9,188 Cash provided (used) by discontinued operations 2 6 Total net cash flows from (used by) operating activities (A) 2,912 11,884 Change in equity investments ¹ (38) (21) Change in property, plant & equipment and intangible assets (212) (180) Cash provided (used) by discontinued operations - - Total net cash flows from (used by) investing activities (B) (250) (201) Cash received from (paid to) shareholders ² (779) 1,063 Other cash provided (used) by financing activities ³ Cash provided (used) by discontinued operations (2,541) - (745) - 6 Total net cash flows from (used by) financing activities (C) (3,320) 318 Impact of exchange rate changes on cash and cash equivalents (D) (2,718) (1,153) NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENT (A + B + C + D) (3,376) 10,848 Cash and cash equivalents at beginning of period 72,861 62,013 Net cash accounts and accounts with central banks * 78,668 63,840 Net demand loans and deposits with credit institutions ** (5,807) (1,827) Cash and cash equivalents at end of period 69,485 72,861 Net cash accounts and accounts with central banks * 77,130 78,668 Net demand loans and deposits with credit institutions ** (7,645) (5,807) NET CHANGE IN CASH AND CASH EQUIVALENTS (3,376) 10,848 * Consisting of the net balance of the Cash and central banks item, excluding accrued interest and including cash of entities reclassified as discountinued operations. ** Consisting of the balance of Performing current accounts in debit and Performing overnight accounts and advances as detailed in Note 6.5 and Current accounts in credit and overnight accounts and advances as detailed in Note 6.7 (excluding accrued interest). ¹ Flows related to equity investments: This line includes net impacts of acquisitions and disposals of consolidated equity investments on cash. These operations are not significant at 31 December 2023. ² Cashflows from or for shareholders: For the year 2023, this amount includes the payment of Crédit Agricole CIB dividends to its shareholders, especially Crédit Agricole S.A., for - €343 million, an AT1 issuance subscribed by Crédit Agricole S.A for + €270 million and a payment of interest under the AT1 issue of - €693 million. ³ Other cash provided (used) by financing activities: This line mainly consists of the redemption of SNP for - €2,082 million against Crédit Agricole S.A. London and the settlement of coupons on AT2 issues and on SNP for - €368 million. S CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 285  Chapter 6 – Consolidated financial statements at 31 December 2023 CONSOLIDATED FINANCIAL STATEMENTS Detailed notes contents NOTE 1: GROUP ACCOUNTING POLICIES AND PRINCIPLES, NOTE 7: EMPLOYEE BENEFITS AND OTHER JUDGEMENTS AND ESTIMATES APPLIED.......287 REMUNERATION............................364 1.1 Applicable standards and comparability..............287 7.1 Breakdown of payroll expenses....................364 1.2 Accounting principles and methods................. 287 7.2 Average headcount for the period..................364 1.3 Consolidation principles and methods 7.3 Post-employment benefits, defined-contribution plans... 364 (IFRS 10, IFRS 11 and IAS 28).....................301 7.4 Post-employment benefits, defined-benefit plans.......364 NOTE 2: MAJOR STRUCTURAL TRANSACTIONS AND 7.5 Other employee benefits.........................366 MATERIAL EVENTS DURING THE PERIOD.......304 7.6 Share-based payments..........................366 2.1 Major structural transactions......................304 7.7 Remuneration of senior managers..................366 2.2 Other significant events during the period.............304 NOTE 8: LEASES...................................367 NOTE 3: FINANCIAL MANAGEMENT, RISK EXPOSURE AND 8.1 Leases for which the Crédit Agricole CIB group is the lessee. HEDGING POLICY...........................305 367 3.1 Credit risk..................................... 305 8.2 Leases for which the Crédit Agricole CIB group is the lessor. 368 3.2 Exposure to sovereign risk.......................325 3.3 Market risk.................................... 326 NOTE 9: COMMITMENTS GIVEN AND RECEIVED AND 3.4 Liquidity and financing risk.......................328 OTHER GUARANTEES.......................369 3.5 Hedge accounting..............................330 NOTE 10: RECLASSIFICATION OF FINANCIAL 3.6 Operational risks...............................334 INSTRUMENTS............................370 3.7 Capital management and regulatory ratios...........334 NOTE 11: FAIR VALUE OF FINANCIAL INSTRUMENTS....370 NOTE 4: NOTES ON NET INCOME AND OTHER 11.1 Fair value of financial assets and liabilities recognised at COMPREHENSIVE INCOME...................335 amortised cost...............................370 4.1 Interest income and expenses.....................335 11.2 Information about financial instruments measured at fair 4.2 Net income and expenses of commissions........... 335 value.......................................372 4.3 Net gains (losses) on financial instruments at fair value 11.3 Estimated impact of the inclusion of the margin through profit or loss............................336 at inception..................................378 4.4 Net gains (losses) on financial instruments at fair value 11.4 Reminders on benchmark rate reforms and implications through other comprehensive income...............337 for the Crédit Agricole CIB group.................. 379 4.5 Net gains (losses) from the derecognition of financial assets NOTE 12: SCOPE OF CONSOLIDATION AT at amortised cost...............................337 31 DECEMBER 2023........................380 4.6 Income (expenses) related to other activities........... 337 12.1 Information on subsidiaries....................... 380 4.7 Operating expenses............................. 337 12.2 Non-controlling interests......................... 381 4.8 Depreciation, amortisation and impairment of property, plant & equipment and intangible assets.............338 12.3 Composition of the consolidation scope.............381 4.9 Cost of risk....................................339 NOTE 13: NON-CONSOLIDATED INVESTMENTS AND 4.10 Net gains/losses on other assets..................339 STRUCTURED ENTITIES....................384 4.11 Income tax charge............................. 340 13.1 Non-consolidated investments....................384 4.12 Changes in other comprehensive income............ 341 13.2 Information on non-consolidated structured entities...384 NOTE 5: SEGMENT REPORTING......................342 NOTE 14: EVENTS SUBSEQUENT TO 5.1 Segment reporting by operating segment............342 31 DECEMBER 2023........................387 5.2 Segment reporting by geographic area...............343 NOTE 6: NOTES TO THE BALANCE SHEET.............344 6.1 Cash, central banks.............................344 6.2 Financial assets and liabilities at fair value through profit or loss.........................................344 6.3 Hedging derivative instruments.....................345 6.4 Financial asset at fair value through other comprehensive income.......................................345 6.5 Financial assets at amortised cost..................347 6.6 Transferred assets not derecognised or derecognised with continuing involvement...........................348 6.7 Financial liabilities at amortised cost.................349 6.8 Information on offsetting financial assets and liabilities...350 6.9 Current and deferred tax assets and liabilities..........352 6.10 Accruals - assets, liabilities and other...............353 6.11 Joint ventures and associates....................354 6.12 Property, plant & equipment and intangible assets (excluding goodwill)....................................355 6.13 Goodwill..................................... 356 6.14 Provisions...................................357 6.15 Subordinated debt............................. 360 6.16 Total equity................................... 360 6.17 Breakdown of financial assets and liabilities by contractual maturity..........................................363 286 CRÉDIT AGRICOLE CIB - UNIVERSAL REGISTRATION DOCUMENT 2023 S  Chapter 6 – Consolidated financial statements at 31 December 2023 NOTES TO THE FINANCIAL STATEMENTS - NOTE 1: GROUP ACCOUNTING POLICIES AND PRINCIPLES, JUDGEMENTS AND ESTIMATES APPLIED 3. NOTES TO THE FINANCIAL STATEMENTS NOTE 1: GROUP ACCOUNTING