Presentation of the Rabobank Group Interim Report 2013

1. Interim Financial Information 2013
Rabobank Group – Press Conference
22 August 2013

2. Interim Financial Information 2013
– results
Piet Moerland, Chairman of the Executive Board
22 August 2013

3. g
Rabobank Group
Decrease in profit amid continuing recession
Amounts in millions of euros 30‐Jun‐13 30‐Jun‐12 Change
Interest 4,455 4,473
Fees and commission 1,046 1,169
Other results 944 1,241
Income 6,445 6,883 ‐6%
Operating expenses 4,243 4,391 ‐3%
Value adjustments 1,106 1,096
Income tax expense 82 180
Net profit from continued operations 1,014 1,216 ‐17%
Net profit from discontinued operations 98 71
Net profit 1,112 1,287 ‐14%

4. • Weak economic conditions in the Netherlands
• Benefit from strategic international focus on food and agri
• Robeco sold in July
• New Collective Labour Agreement and transition to new pension scheme
• LIBOR investigations
Developments in first half of 2013 (1)

5. Market shares in the Netherlands
30‐Jun‐13 31‐Dec‐12
• Mortgages 31% (31%)
• Savings 39% (39%)
• Trade, industry and services 44% (43%)
Cooperative dividend
Developments in first half of 2013 (2)

6. g
Balance sheet developments and ratios
Strong positions
Amounts in billions of euros 30‐Jun‐13 30‐Jun‐12
CoreTier 1 ratio 12.9% 12.7%
Tier 1 ratio 16.9% 16.9%
Total capital ratio 18.7% 17.6%
Liquidity position 131 159
Loan‐to‐deposit ratio 1.35 1.38
Private sector loan portfolio 454 462
Amounts due to customers 340 341

7. Domestic retail banking division
Net profit EUR 615 million; ‐3%
30‐Jun‐13
30‐Jun‐12
Net profit in millions of euros
30‐Jun‐13
31‐Dec‐12
In billions of euros
Amounts due to customers Loan portfolio
• Some recovery of margins on savings deposits
• Increase in innovation costs
• Slight rise in value adjustments
635
215
307
218
305
615
• Loan portfolio EUR 305 billion; ‐0.5%
• Amounts due to customers EUR 218 billion;
+1.7%

8. Wholesale and international retail
Net profit EUR 496 million; ‐9%
30‐Jun‐13
30‐Jun‐12
Net profit in millions of euros
30‐Jun‐13
31‐Dec‐12
In billions of euros
Amounts due to customers Loan portfolio
• Sale of Yes Bank in the first half of 2012
• Lower results at Global Financial Markets
and Rabo Private Equity
• Decrease in value adjustments in Ireland
543
496
118
108
120
105
• Loan portfolio EUR 105 billion; ‐2.0%
• Food and agri comprises 50% of the portfolio
• Amounts due to customers EUR 120 billion;
+1.7%
• IDB savings EUR 27 billion; +12%

9. Leasing
Net profit EUR 232 million; +21%
30‐Jun‐13
30‐Jun‐12
Net profit in millions of euros
30‐Jun‐13
31‐Dec‐12
Lease portfolio in billions of euros
• Increase in interest income
• Limited rise in value adjustments
191
232
29.6
30.2
• Lease portfolio EUR 30.2 billion; +2.0%
• Food and agri comprises 30% of the portfolio

10. Real Estate
Net loss Rabo Real Estate Group EUR 198 million
30‐Jun‐13
30‐Jun‐12
Net profit in millions of euros • High(er) impairments on land
• Phasing out MAB Development
• Increase in bad debt costs
47
‐198
7341
17200
8982
17800
30‐Jun‐13
31‐Dec‐12
In billions of euros
Loan portfolio Assets under management
• Number of homes sold 1,749; ‐30%
• Loan portfolio EUR 19.3 billion; +0.5%
• Assets under management EUR 5.7 billion;
+4%
19.2
5.5
5.7
19.3

11. Interim Financial Information 2013
– analysis
Bert Bruggink , CFO
22 August 2013

12. Loan portfolio EUR 454 billion; ‐0.8%
• Contraction at local Rabobanks and Rabobank International
• Growth at Obvion and De Lage Landen
Lending
420
430
440
450
460
31‐Dec‐12 Private individuals TIS Food and agri 30‐Jun‐13
Private sector loan portfolio in billions of euros
+0% ‐1.2% ‐1.9%

13. Home mortgages in the Netherlands
30‐Jun‐13
31‐Dec‐12
Home mortgages in billions of euros
30‐Jun‐13
31‐Dec‐12
Value adjustments in millions of euros
First half Second half
Home mortgages EUR 210 billion
• Few home sales, amended tax regulations and
additional repayments
• 46% of total lending
• Loan‐to‐value 83%
• 20% of portfolio financed with NHG
209.6
113
68
210.1
Value adjustments 6 basis points
• 6% of total value adjustments
• Approximately 7,000 or 0.56% customers have
a payment arrears of 90 days or more
• Recovery is no longer possible in the case of
approximately 2,800 or 0.23% customers

14. g
Commercial real estate Netherlands (1)
6% of lending; 26% of value adjustments
In millions of euros Portfolio Impaired loans Provisions Value
adjustments
30 June 2013
Investment property 26,120 2,922 913 212
Property
development
3,035 734 344 81
31 December 2012
Investment property 26,305 2,384 728 326
Property
development
3,113 644 269 121

15. Commercial real estate Netherlands (2)
Write‐downs versus value adjustments
0
50
100
150
200
250
300
350
400
450
500
2010 2011 2012 H1 2013
In millions of euros
Value adjustments Write‐downs

16. Amounts due to customers EUR 340 billion; +1.6%
• Customer savings deposits EUR 156 billion; +4.3%
• Debt securities in issue EUR 198 billion; EUR ‐25 billion
• NSFR 102% and LCR 131%
Funding
Amounts due to customers and debt securities in issue
310
320
330
340
350
31‐Dec‐12 Savings Other 30‐Jun‐13
Amounts due to customers in billions of euros
+4.3% ‐0.5%

17. g
Equity
In billions of euros
Equity at 31‐Dec‐12 42.3
Net profit 1.1
Payments on member certificates, hybrid capital and non‐controlling interests ‐0.5
Earnings retention 0.6
Revaluation of liability for pension entitlements ‐0.7
Repayments of hybrid capital and change in member certificates ‐0.5
Other changes (including exchange rates and IAS19R for Robeco and
ACCBank)
‐1.0
Equity at 30‐Jun‐13 40.7

18. g
Balance sheet
In billions of euros 30‐Jun‐13 31‐Dec‐12 30‐Jun‐13 31‐Dec‐12
Cash and cash
equivalents
45 68 Due to customers 340 334
Loans to customers 479 485 Debt securities in
issue
198 223
Financial assets 63 63 Due to other banks 19 27
Due from other banks 34 35 Derivative financial
instruments and
other trade liabilities
59 75
Derivative financial
instruments
48 65 Other liabilities 41 49
Other assets 29 35 Equity 41 42
Total assets 698 751 Total liabilities 698 751

19. Rabobank capital strategy
retained
earnings &
reserves
9.9%
retained
earnings &
reserves
approx.12%
Capital structure in % of risk-weighted assets
member
certificates
3%
member
certificates
approx. 2%
hybrid
capital
approx. 3.5%
hybrid
capital
4%
T2 1.8%
T2 >2.5%
Core Tier 1
12.9%
Core Tier 1
14%
Tier 1
17.5%
Tier 1
16.9%
Total capital ratio
>20%Total capital ratio
18.7%

20. • Value adjustments 49 bp; long‐term average 28 bp
• Increase primarily at local Rabobanks and Rabo Real Estate Group
• Decrease at Rabobank International
Value adjustments
0
10
20
30
40
50
60
2004 2005 2006 2007 2008 2009 2010 2011 2012 H1 2013
In basis points of average lending
Value adjustments
10‐year moving
average

21. Profit development Rabobank Group
0
500
1.000
1.500
2.000
2.500
3.000
2004 2005 2006 2007 2008 2009 2010 2011 2012 H1 2013
Net profit in millions of euros
First half of the year Second half of the year

22. Development of capital ratios
0
4
8
12
16
20
2004 2005 2006 2007 2008 2009 2010 2011 2012 H1 2013*
Capital ratios in percentages
Core Tier 1 ratio Tier 1 ratio Capital ratio
* Excluding impact sale of Robeco on 1 July 2013

23. Interim Financial Information 2013
– current developments
Piet Moerland, Chairman of the Executive Board
22 August 2013

24. Slight improvement in worldwide growth
Global economy improves slightly
• Growth emerging markets limited
• Outlook US and UK considerably better
• The Eurozone is pulling out of recession
Dutch growth hindered by decrease in domestic spending
• Higher export growth prospects due to higher growth in the US and the UK and return to
growth in Eurozone
• Government austerity measures continue to put pressure on spending
• Further drop in consumer spending, because of decrease in disposable income
• Hope is placed in recovery of housing market
Economic outlook

25. • Supervision on local Rabobanks for 90 years
• Supervisory role is legally embedded and allocated to Rabobank Nederland
• Rabobank Group encompasses 136 autonomous local Rabobanks. They are the foundation of
the Rabobank organisation. Each local Rabobank is autonomous and has its own banking
licence
• Local Rabobanks guarantee each other’s obligations. They can fall back on their centralised
organisation Rabobank Nederland
• Delegated supervision on behalf of De Nederlandsche Bank has existed since the early 1950s.
Supervision pertains to controlled and honest business operations, solvency and liquidity
• The principle is that each local Rabobank performs well. If a bank does not perform well,
additional guidance is provided by Rabobank Nederland to the local Rabobank concerned. This
is a normal part of the continuous improvement for which the local Rabobanks strive
• On average 5‐10% of the local Rabobanks need additional guidance
Local Rabobanks supervised by RN

26. • The world and customer behaviour are changing dramatically
• Customers have a need for simple and transparent financial services and want to be able to take
care of their financial affairs anytime and anywhere
• We are streamlining processes, simplifying the product portfolio and providing self‐service
online and via mobile phones
• This way of serving the customer goes with an efficient organization with a structural higher
profitability
• From 28,000 to 20,000 jobs and from 136 to 100 local Rabobanks
• This will also lower our cost base by EUR 1 billion
• Number of branch offices will be halved to approximately 400. Rabobank will still have the most
dense branch office network in the Netherlands
• Rabobank will look different in 2016, but it is and will remain the cooperative, sound and
sustainable bank for its customers
Vision 2016

27. Interim Financial Information 2013
Thank you for your attention

28. Interim Financial Information 2013