BANCO BILBAO VIZCAYA ARGENTARIA, S.A. AND ... - BBVA

• The balance of “Operating expenses” for the six months ended June 30, 2010 was €244 million, an
increase of 4.0% over the €234 million for the six months ended June 30, 2009.
As a result of the foregoing, the "Operating income" for the six months ended June 30, 2010 was €690
million, an increase of 3.0% on the figure of €670 million for the six months ended June 30, 2009.
• The balance of “Impairment losses on financial assets (net)” for the six months ended June 30, 2010
was €11 million, with a 13.0% decrease from the €13 million recorded for the six months ended June 30,
2009, due mainly to reduced lending, as well as a focus on customers with a higher credit quality.
• The balance of "Provisions (net)” and “Other gains (losses)” for the six months ended June 30, 2010
was a recovery of €2 million.
As a result of the foregoing, the balance of “Income before tax” for the six months ended June 30, 2010
was €681 million, an increase of 3.7% over the €657 million recorded for the six months ended June 30,
2009.
• The balance of “Share of profit or loss of entities accounted for using the equity method” for the
six months ended June 30, 2010 was €149 million, a fall of 15.9% over the €177 million recorded for the
six months ended June 30, 2009, due to the favorable tax effect from the result of entities accounted for
using the equity method.
In all, both the “Net income” and the "Net income attributed to parent company" ” for the six months
ended June 30, 2010 was €532 million. This was an increase of 10.9% over €480 million recorded for the six
months ended June 30, 2009 in the case of net income, and of 11.4% on €477 million for net income
attributed to parent company.
The changes in the principal headings of activity in this area of business were as follows:
• As of June 30, 2010, the “Loans and advances to customers (gross)” balance was €32,502
million, an increase of 4.6% from €31,058 million recorded as of December 31, 2009. The increase
was extremely focused on the Corporate and Investment Banking unit, which concentrates on
customers with a high credit quality, with whom commercial relations are being fostered.
• As of June 30, 2010, total customer funds, both those included on the balance and off-balance funds
(comprising mutual funds, pension funds and other funds), were €42,705 million a 2.8% decrease on
the €43,926 million as of December 31, 2009, due primarily to the high rate of maturities in some
funds and difficult market conditions.
Corporate Activities
Millions of Euros
Corporate Activities
June June
2010 2009
% Change
NET INTEREST INCOME 138 186 (25.6)
Net fees and commissions (91) (77) 17.8
Net gains (losses) on financial assets and liabilities and net
exchange differences 401 79 405.1
Other operating income and expenses 163 233 (30.1)
GROSS INCOME 611 420 45.3
Operating expenses (410) (346) 18.3
Personnel, general and administrative expenses (301) (247) 21.6
Depreciation and amortization (109) (99) 10.3
OPERATING INCOME 201 74 171.3
Impairment losses on financial assets (net) (701) (181) 288.1
Provisions (net) (198) (112) 77.6
Other gains (losses) (160) (168) (5.0)
INCOME BEFORE TAX (858) (386) 122.1
Income tax 260 235 10.5
NET INCOME (598) (151) 295.8
Net income attributed to non-controlling interests 12 (25) (149.2)
NET INCOME ATTRIBUTED TO PARENT COMPANY (586) (176) 232.1
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