P

1
PL Q2 2002 / Q1 2002
Embargo 12.09.02 17h40
2
Overall cost objective will be met in 2002
Initial objective
7/12 of the yearly objective 1,894 M
3,304 M
¼ of the yearly objective 812 M
-2.6
3,248 M
Achieved 1,845 M
Revised objective following changes of scope and
method
-2.1
Achieved 795 M
July 31, 2002
Dec. 31, 2002
March 31, 2002
3
Quarterly evolution of the underlyingGross
Operating Income
(M)
Revenues
Costs
Gross Operating Income
4
Cost of risk related to total net O/S
commitments (in basis points)
3.4 bp
Credit Enhancement
1.2 bp
0.6 bp
0.6 bp
0.7 bp
0.4 bp
Banking Activities
annualized
5
Key Performance indicators
End of period annualized
6
Public / Project Finance Credit Enhancement
Activity Highlights

• Production of L.T. facilities (in off B/S)

11.5
43.1
(Bn )
8.0
39.6
fully consolidated Cos Germany excluded
Artesia excluded (estimation of 260 M for half
2002)

• Top 5 performers

Artesia excluded (estimation of 260 M for 1st
half 2002)
7
Public / Project Finance Credit Enhancement
Activity Highlights

• L.T. Outstandings (in off B/S)

9.1
0.2
123.4
123.6
113.3
(Bn )
fully consolidated Cos Germany excluded
8
Public / Project Finance Credit Enhancement
Activity Highlights

• New Insurance Premiums

32.4
280.3
(M)
211.8
x 2.7
100.7
37.5
Dexia Prévoyance and Dexia Life and Pensions
9
Public / Project Finance Credit Enhancement
Activity Highlights

• FSA Gross Present Value of Premiums

28.5
374.7
(M US)
291.5
14.4
199.9
174.8
10
Focus on FSA cost of risk

• Thorough review of CDOs and CDSs portfolio, in
  the context of the deterioration of corporate
  credit quality in the US
• Identification of 7 CDO transactions (originated
  in 1998-1999) with insufficient protection
• Present Value of potential future losses 51 M
• Now fully covered by the increase in Q2 of the
  general provision (31 M)
• Aggravation of observed loss experience has led
  to increase the statistical provision allowed
  quarterly (4 M)
• Termination of single names CDS exposure
  (outstanding 1Bn), implying a total charge of 43
  M (21M in H1 2002 22M in Q3 2002)

11
Retail Financial Services
Activity Highlights
0.4

• Customers Assets

- 0.6
(Bn )
80.7
80.1
79.8
OPC unit linked - Market effect -1.7 - New
money 0.5
12
Retail Financial Services
Activity Highlights

• Credit Outstandings

7.5
2.1
21.5
(Bn )
21.1
20.1
13
Retail Financial Services
Activity Highlights

• Insurance Premiums

511
(M)
438
420
407
372
14
Investment Management Services
Activity Highlights

• Private Banking / Affluent Customer Assets

(Bn )
37.3
New Money
Market effect
-2.3
34.3
- 0.7
March 2002
June 2002
15
Investment Management Services
Activity Highlights

• Assets under management

New money
(Bn )
Market effect
March 2002
June 2002
16
Fund Administration
Activity Highlights
of transactions processed (000s)
of portfolios managed
of transactions (Millions)
9.9
7.8
3.5
7.9
19.9
10.9
Q1 2002
Q2 2002
Q2 2002
Q1 2002
Q2 2002
Q2 2002
Q1 2002
Q2 2002
Q2 2002
Custody
Central Administration
Transfer Agent
At constant scope, excluding for the
acquisition of the Bank of N.T. Butterfield and
Son Ltd.
17
Segment contributions within Investment
Management Services
18
Focus on Dexia Bank Nederland
19
Update on social negotiations
Artesia integration

• 3 agreements signed allowing for the realization
  of expected synergies
• Overall agreement 26/03/02
• Detailed agreement on the organisation of the
   Employees  network 23/05/02
• Convention Collectives de Travail 03/07/02
• Rules of geographic and functional mobility
• Accompanying measures
• Social plan
• Pursuit of the talks with all the social partners
  so as to harmonize the different existing
  statuses in order to
• Develop the  sense of belonging  to the  new 
  Dexia Bank as well as a  corporate culture 
  among employees
• Develop and modernize the HR policy
• Optimise the administrative management of the
  banks staff

20
Impact on personnel
Artesia integration
Evolution of FTEs at Dexia Bank and former
Artesia
Includes workforce in the Dexia independent
branches
21
Downsizing the branch networks
Artesia integration
22
Cost synergy achievements
Artesia integration

• 11 M linked to staff costs
• 8 M linked to other operating expenses

(M)
Best case
Worst case
Achieved H1 2002
Objective full year 2002