01_Letter from the Chairman of BancaIFIS, Sebastien Egon Fürstenberg02_2012, the best year for the threepillars of Banca IFIS:Profitability, Liquidity, Equity03_Banca IFIS and social media presence04_Records05_SMEs: factoring, an instrumentfor companies06_The international factoring07_Recruitment: positions available08_Twittertime with the ManagingDirector Giovanni Bossi09_On the Agenda10_Contactsfollow us on:012013Newsletter 5 31 March 2013_Quarterly newsletter
02follow us on:01 LetterfromtheChairmanofBancaIFIS,Sebastien Egon FürstenbergSebastien Egon Fürstenberg,Presidente di Banca IFIS.Dear Shareholders,2012 was a complex year, however crowned byexcellent results.Further fall-off in economic activity, the continueddeterioration of financial and credit fundamentalsand impairment of the social fabric shook the stabilityof markets and institutions to the core. This situationmeant that it was possible, and sometimes necessary,to act dynamically. Businesses that could judgethe market most astutely were the ones to emergestronger because, despite its established nature, themarket has opened new horizons.2012 was a year in which Banca IFIS grewsignificantly in terms of size and organisation.Profitability was excellent and there was ampleliquidity, supported by increasing equity that wasalways sufficient.The year will be remembered in particular for whatthe Group was able to plan and implement andthe fact that it made the right ideas and choices,permitting it to respond adequately to the worseningeconomic situation; it will also be remembered for theexcellent workforce, which proved itself in terms ofenergy and professional capacity, intelligence andenthusiasm.2013 will present a number of challenges.Economic outlook is still negative. Low or zerogrowth, along with the policies needed to reduce debtlevels lead to worries that the economic context willcontinue to worsen.It will be necessary to respond to change on anincreasingly rapid, efficient basis.The ability to respond will be very important for ourBank in such uncertain times.It will be crucial for all parties involved to maintaina high sense of responsibility: the businesses, smallsavers, employees and stakeholders.I would like to reassure the shareholders that thisBank can face 2013 with equanimity as it is on solidfooting, with a well-prepared game plan, and theintention to continue to get stronger and grow.On this our 30th birthday, we are ready to face theincreasingly complex challenges, having all thecredentials required to fulfil our mandate.
03follow us on:02 2012, the best year forthe three pillars of Banca IFIS:Profitability, Liquidity, EquityGiovanni Bossi,Amministratore Delegatodi Banca IFIS.“The first few weeks of 2013 are in line with the lastfew weeks of 2012 in terms of context and performance.We are proud of the results achieved, starting withthe increase in the Bank’s Equity, without any capitalincrease. We are also aware that opportunities arisein all sectors, contexts and crises and that they can betransformed into new launch pads as long as one is freefrom prejudice and able to make proper critical analysesof the situations presented.”Profits tripled, there was an increase in loans grantedand there are excellent prospects for 2013: 2012 closedon this note for Banca IFIS with exceptional financialresults approved by the Board of Directors on 6 March2013. The key figures include the increase in the netbanking income by 101.7% to 244.9 million euro(121.5 million the previous year), thanks to the higherremuneration from the management and guaranteeservice offered by the Group.The net profit from financial activities increased by114.0% to 191.2 million euro (89.3 million in 2011), whilethere was further improvement in the ratio of costs tonet banking income which fell to 27.9% in 2012.The net profit for the year amounted to a total of 78.1million euro, compared to 26.5 million euro in 2011(+194.2%): this is a significant increase in net profitwhich can be read in terms of ROE equal to 35.6%. Netprofit for the fourth quarter increased by 265.3% to 20.2million euro.Total receivables due from customers were 2,292.3million euro at the end of the year, with a 33.1% increaseover the 1,722.5 million euro at the end of 2011. Withrespect to business loans, the number of customers withreceivables due from the Public Administration hasincreased (30.2% compared to 27.8% as at 31 December2011), while the private sector is slightly down from72.2% as at 31 December 2011 to 69.8% in 2012.The securities portfolio had grown significantly bythe end of the year, amounting to 5,140.1 million euro(+188.5%) compared to 31 December 2011; 97.4% of thisportfolio comprises government bonds (5,008.1 millioneuro). A further 187.5 million euro (nominal value)was added to the portfolio at year end, which had beenacquired as at 31 December with settlement scheduledfor after 31 December 2012.Total funding amounted to 7,676.3 million euro in theGroup’s liabilities, up 109.8% on 31 December 2011.Retail funding continued to increase through the onlinerendimax savings account, which sped up developmentof the deposits - partly thanks to the launch of the new“rendimax Like” product - to amount to 3,046.2 millioneuro at year end (+95.8% compared to the end of 2011).The Net Equity of the Group stood at a total of 309.0million euro as at 31 December 2012 (196.3 million euroas at 31 December 2011).
04follow us on:03 Banca IFISand social media presenceIt is important for Banca IFIS to have a socialnetwork presence, not only in terms of businessopportunities but also in order to interact, relate andconverse with all the stakeholders of the business.Interaction with the users in the social channels anda widespread presence on the Internet mark out theGroup due to its multiple social media presence andits capacity to adapt to all the changing modes ofcommunication thanks to a proper, proactive use ofthe Internet and all related strategies.Banca IFIS chose to get involved in the social mediaphenomenon through its interactive site for the2012 draft financial statements among otherthings: an innovative way of presenting the economicand financial highlights, emphasising the clarity ofpresentation of the significant facts thanks to easy-to-use graphics and updates to the twitter accountsand Facebook status which helped spread the news.bilancio.bancaifis.itScopri il bilanciointerattivo di Banca IFISall’indirizzo:bilancio.bancaifis.itIl bilancio di Banca IFIS
05follow us on:The homepage is divided into subject-specific sections that contain multimedia content (PDF files, videos,slideshare presentations and infographics) on the various areas that comprise the draft financial statements.The results are expressed clearly and are easily readable thanks to the infographics that contain themain economic-asset KPIs and the percentage changes compared to the 2011 financial statements.Banca IFIS shares are explained through graphs that indicate share price trends and the main shareindicators.The social networks are given prominence, and all the channels are indicated (Banca IFIS, rendimax,contomax and MondoPMI) separated by profile, updating the followers and views.The entire site is aimed at sharing the contents: each page can be printed, sent by e-mail, have notesadded or the significant operating information downloaded by clicking the related icons.The glossary section allows the main financial statement items to be easily read through the explanationof the terms comprising the financial statements.The site is completely integrated with the corporate site of the Banking Group, improving interaction andthe exchange of information between the sites.
06follow us on:04 Records(1) Outstanding sharesare net of treasury sharesheld in portfolio.(2) Dividend paid partlyin cash and partlythrough stock grants.NoteThe following table shows the main indicators and performance recorded by the Group during the last 5 years.(in thousands of Euro) 31/12/2012 31/12/2011 31/12/2010 31/12/2009 31/12/2008Available for salefinancial assets1.974.591 1.685.163 818.507 387.705 3.134Due from customers 2.292.314 1.722.481 1.571.592 1.247.026 1.008.649Due to banks 557.323 2.001.734 840.546 840.546 924.189Due to customers 7.119.008 1.657.224 1.802.011 909.615 157.855Equity 309.017 196.282 206.613 155.839 153.106Net banking income 244.917 121.453 94.430 80.810 67.627Net profit from financialactivities191.166 89.310 69.986 60.592 61.224Group net profit 78.076 26.535 18.626 17.216 22.801ROE 35,6% 12,60% 10,90% 11,60% 17,30%ROA 1,50% 1,10% 1,10% 1,30% 2,40%ROCA 1,00% 1,10% 1,10% 1,70% 2,40%Cost/Income ratio 27,9% 39,10% 42,50% 42,80% 42,80%Cost of credit equity 3,0% 1,90% 1,90% 2,10% n.d.Net non-performing loans/Due from customers5,0% 4,30% 2,40% 1,60% 1,00%Net non-performing loans/Equity37,30% 37,70% 18,60% 13,00% 6,90%Solvency ratio 12,72% 10,80% 11,30% 8,90% 10,40%Core Tier 1 12,92% 11,20% 11,50% 9,20% 10,80%Number of sharesoutstanding (in thousands) (1)53.551 52.814 51.582 32.339 33.132Book per share value 5,77 3,72 4,01 4,82 4,62EPS 1,46 0,51 0,36 0,53 0,71Dividend per share 0,37 0,25 0,20 (2) 0,37 (2) 0,3Payout ratio 25,4% 49,80% 56,3% (2) 69,1% (2) 45,10%
07follow us on:05 SMEs: factoring,an instrument for companiesMeeting the needs of companies that havecommercial supply dealings with customers ofgood credit standing: factoring is the instrumentapplied by Banca IFIS to fund small and verysmall companies, transferring the credit risk totheir customers, i.e. the assigned debtor. Themeasurement criteria and assurance related tothe use of this financial instrument are based onthe credit quality and production capacity of thecompany, and not on its equity, and allow BancaIFIS to grant loans basing its intervention oncustomers’ ability to perform well.Banca IFIS has a widespread presence throughoutItaly, with 28 branches, with over 150 professionalswho are responsible for commercial relations and allthe management aspects relating to the customers.The extent of the countrywide organisationensures constant relations between the Bank andits customers. It is standard for Banca IFIS to havedirect relations at the customer’s place of business,and it has high internal standards in terms ofspeed, pragmatism and disintermediation of therelationship between the bank and the customer.The Bank also has selected partners around Italyto develop customer relations, along with qualifiedinstitutional parties such as local banks and similarinstitutions and trade associations, with the aim ofproviding the customers/associates with the mostwide-ranging service possible. Knowledge of thelocal area and customers, along with a businessmodel based on the assignment of trade receivablesand credit risk mitigation resulting from theapplication of factoring, ensure that the Bank has arelatively low risk profile.MondoPMIMondoPMI is the blogdedicated to Small andMedium Enterprises andparticularly to credit,loans to enterprisesand new laws andregulations for SMEswww.mondopmi.com
08follow us on:To find a sustainablesolution together withthe enterprises involved.To offer the personor the enterprise thepossibility to regain theserenity necessary tocontinue working in ahealthy and serious way;an opportunity calledfactoring, a tool forcompanies boastingreceivables due frombigger businesses, thePublic Administration ortheNationalHealthSystemFactoring
09follow us on:06 The international factoringWritten byDaniela Bonzanini,Manager of Banca IFIS’sInternational OfficeEven though the statistics published around this timeby Factors Chain International - the biggest Factorschain in the world with 266 associated membersand operating in 73 countries - are still provisional,they confirm that international factoring is showingpositive trends at global level. The results achievedin 2012 showed a 34.36% increase over the results ofthe previous year.The product with the highest growth in internationalfactoring was Export Factoring if the businessgenerated by Export Factoring without notificationis also considered. The main countries using it, inorder of importance are: China, Turkey, Hong Kong,Taiwan, Spain, Greece and Italy.In the current economic context, Export Factoringis showing how loan, credit management andguarantee services to foreign debtors can be of helpto exporters, especially in those countries where therecession has drastically reduced credit by the banksand insurance companies have actually reduced theassumption of commercial risk to zero. In these cases,the option of working with corresponding factoringcompanies that operate in the countries of residenceof the assigned debtor provides greater flexibility dueto knowledge of market and different product sectors,and direct experience with the importers.This explains why the countries most affected bythe crisis have gone up a number of positions in theclassification of countries that are most likely to useExport Factoring: Italy has gone from 11th to 7thplace in the space of three years. The graph referringto the main factoring companies shows how theamount of credit assigned has more than tripled ina few short years.Internal market demand in Italy continues to fall,and forecasts do not indicate that this trend willchange for several sectors in the short term.On the other hand, sales abroad are on the increaseand over the past few months, appear to be the onlycomponent that can provide a positive contributionto the economy of the country. The contribution ofsales abroad to the GDP exceeded 30% in 2012. Thisshows that exporting Italian companies are capableof providing excellent products in certain sectors,that Italian products are still highly valued abroaddespite competition from low cost country producerssince they cannot match Italian quality standards; italso shows that many companies have improved andfound the motivation and strength to launch theirproducts on new markets. Sales abroad in 2013 areexpected to increase even further.While a significant portion of exports continue to beto European countries, markets such as the UnitedStates, North America, Northern Africa and Asia, andmore especially Japan, are increasing their purchaseof Italian products.
010follow us on:Area recently updated the documentation on theproduct, providing more information that can be ofassistance to the sales network at the stage wherethe customer is approached and negotiations areongoing; internal training courses have also beenorganised and a significant number of sales staffrepresenting all the bank’s branches participated insuch courses.In addition, the Indian, Russian and Brazilianmarkets have been explored in order to provideadequate assistance to exporters in markets thatare becoming more important for Italian exports;assistance in such markets will become operative inthe short term. A medium term project being carriedout in association with the FCI involves the study ofcertain African markets that are expected to becomeinteresting for Italian exporters.Fonte F.C.I.Growth in Export Factoring in Italy (in millions of Euro)6.7665.9899.01316.94421.119In the current economiccontext, Export Factoringshows how loans, creditmanagement andguarantee services forforeign debtors can beof help to exporters,especially in thosecountries where therecession has drasticallyreduced credit offeredby banks and insurancecompanies refuse toassume commercial risks2008 2009 2010 2011 2012By sector, the increase in exports is spurred mostparticularly by mechanical, automobile, chemicaland refined oil products, the fashion, food, metaland metal product sectors and the mechanical tool,chemical & pharmaceutical industries.Most of the new markets, just as with the type ofproducts exported, can be considered suitable forExport Factoring transactions.How does Banca IFIS fit into this panorama?It should first of all be specified that Export Factoringshould not just provide the normal services involvedin order to provide a quality service, but shouldalso act as a “consultant” for the exporting entitywho wishes to approach new customers and/ornew markets. Customers can only be provided withadequate assistance if there is sufficient familiaritywith the product; this is why training is very importantto improve awareness. To that end, the International
011follow us on:07 Recruitment: positions availableIl Gruppo Banca IFIS si differenzia dagli altrioperatori del settore anche per il trend diassunzioni che continua nonostante il quadronazionale negativo.Continua l’ evoluzione dinamica del Gruppo BancaIFIS, così come continua la ricerca di talenti dainserire nel suo organico. La Banca si rivolge sia aigiovani, che forma e fa crescere al suo interno, siaa figure senior che apportano la loro esperienza.Sono vari i profili attualmente ricercati.Work for usVisit our new website orthe Careers section onBanca IFIS’s LinkedIn pageto see our positions vacantAttualmente i profili ricercati sono, tutti per lasede di Venezia:Oracle Database Administrator; Junior Risk Manager;Addetto Compliance; Sistemista Linux; OperationalRisk Manager; Senior Internal Auditor; SeniorSoftware Tester; Project Manager Organizzazione;Junior Credit Sales Assistant.Banca IFIS is a case history in the social recruitmentand will present its experience at the Digital Festivalin Turin (3rd may).
012follow us on:08 Twittertime with Managing DirectorGiovanni BossiTwitter: @GiovanniBossi@GiovanniBossi Monday 14 January 2013 duringa two-hour Twitter Time session (#contomaxlive),the Managing Director of Banca IFIS Giovanni Bossipersonally answered over 40 questions made to himregarding strategies and future developments of thecurrent accounts just launched (www.contomax.it).The questions came from over 15 different locationsin Italy (source Ttwitonomy), and were all relatedto matters regarding the current account includingthe features, services and special features. Morespecifically, this dialogue with the users led to newideas being incorporated into the account.The #contomaxlive participants were also asked tosuggest new ways of communication, leading to aproposal to activate a Skype contact for immediateanswers to questions from customers.On 23 and 25 January 2013, the Managing Director,Giovanni Bossi, answered questions from theTwittersphere directly from the World EconomicForum in Davos (official hashtag #IFISDavos),sharing impressions and sensations from the biggestglobal event on economics. For the entire durationof the event (23-27 January), Giovanni Bossi alsocontinued the dialogue and discussion with histwitter followers through the hashtag #wef.
013follow us on:Giovanni Bossi, Banca IFIS’s C.E.O., will take part in the initiative “The annual report explained in atweet”. On April 24, from 12am (Italian time), through the hastags #capirebilancio and #IRSocial,Mr. Bossi will share Banca IFIS’s 2012 Annual Results with tweet users, answering questionson the items contained in the Annual Report. Banca IFIS’s staff will also be twitting for the Bank forall those who wish to ask for explanations and clarification, to exchange information or simply to satisfytheir curiosity on a difficult topic like financial reports.
014follow us on:09 On the AgendaThe digital company: new initiatives for SMSsImpresa DigitaleThe Banca IFIS Group, in collaboration with Digital Accademia - the first digital business school in Italy -,will organise a series of meetings called “L’impresa nell’era digitale” (The company in the digital era), acourse aimed at business people, CEOs, General Managers, CFOs and Marketing Managers of companies inthe North East of Italy, with the idea of providing more in-depth insight into how companies can improve theirbusinesses using the Internet. Info: firstname.lastname@example.orgThe company in the digital eraMeetings in APRIL:• Tuesday, 9 April 2013, 6:00pmSocial media e social network:Una minaccia o un’opportunità al serviziodelle imprese?• Tuesday, 16 April 2013, 6:00pmMEASURING THE RESULTS - Basic instrumentsand analysis techniques• Saturday, 20 April 2013, 9:00amFinal workshop: 10 THINGS TO DO TOIMPROVE YOUR RESULTS STARTING FROMTOMORROW - Laboratory and exercisesc/o Tenuta Ca’ Tron,Digital Accademia offices in RoncadeIt will be possible to follow all the meetings andcontinue the discussion on social media throughthe live tweeting of the event with the hashtag#impresadigitale and on the @BancaIFISTwitter profile.• From April to July “Un libro al mese in villa”(A book a month at the Villa),presentation of books with their authors.Save the date(s):23 April - 23 May - 20 June - 11 July• 16/04/2013: Banca IFIS at Facebook CaseHistory Forum (Milan)• 18/04/2013: Finance Day a Cà Foscari• 30/04/2013: Shareholders’ meeting forapproval of the 2012 financial statements• 03/05/2013: Banca IFIS presents its experience insocial recruitment at the Digital Festival in Turin• 08/05/2013: Approval of the results forthe first quarter of 2013• 09/05/2013: Banca IFIS at Ca’ Foscari Digital Week• 17-18/05/2013: Salone d’Impresa (Business fair)• 24-25/05/2013: Ambrosetti Technology Forum,Castelbrando (TV)• 28/05/2013: Report given at the University ofPadua: Banca IFIS and web marketing• 30/05/2013 Banca IFIS at the IV edition of theSocial Case History Forum
015follow us on:Financial CalendarBanca IFIS’s shares on the stock marketL’Azione Banca IFIS in Borsa08/05/2013 Approvazione risultati del primo trimestre 201308/08/2013 Approvazione relazione semestrale al 30 giugno 2013103/11/2013 Approvazione terza trimestrale 2013Prezzo al 29/03/2013 6.71 €Min-max 2013 5,525 € (02/01/13) - 7,035 € (06/03/13)N. azioni emesse 53.811.095Capitalizzazione 361.072.447,45 €Performance 1 mese + 2.20% *Performance 6 mesi + 26,90% *Performance 1 anno + 46,63% *Dividendo Il Consiglio di Amministrazione, riunitosi in data 06/03/2013, ha deliberato di proporreall’Assemblea dei soci la distribuzione di un dividendo unitario di 0,37 euro/azione in contanti aciascuna azione ordinaria alla data stacco (la messa in pagamento del dividendo è prevista a partiredal giorno 9 maggio 2013).Specialist CentrobancaAlla luce dei risultati del progetto di Bilancio approvati dal Consiglio di Amministrazione in data 06/03/2013,l’azione di Banca IFIS ha riscontrato un netto apprezzamento da parte degli operatori di mercato. Giudiziopositivo è confermato dai nuovi report finanziari e dagli aggiornamenti degli studi redatti dai diversi uffici studi,quali Edison, Akros e Centrobanca.Sebastien Egon FurstenbergFlottanteGiovanni BossiRiccardo PreveAzioni proprie68.9%24.7%3.4%2.4%0.6%*dati al 02/04/2013dati aggiornati al 31/12/2012
016follow us on:10 ContactsCoverage by analystsFollow us on ContactsMarco OpipariCentrobanca, Gruppo UBI Bancamarco.email@example.com_Marco CavalleriBanca Akrosmarco.firstname.lastname@example.org://twitter.com/BancaIFIShttp://www.facebook.com/Banca.IFIShttp://www.linkedin.com/company/banca-ifishttp://tvchannel.bancaifis.it/http://www.youtube.com/user/BancaIFISWebsite: http://www.bancaifis.itWebsite of 2012 financial statements:http://bilancio.bancaifis.itInvestor contact: Mara Di GiorgioEmail: email@example.comTel. +39 041 502 7623Mark ThomasEdison, Investment Researchfinancials@edisoninvestmentresearch.co.uk_