BBVA in 2012

With the aim of boosting banking services penetration, a new business segment named“express” was developed. Convenient, easy-access products were created for this specificsegment, such as the “Cuenta Express” (Express Account), the first mobile account in Mexico.Moreover, the promotion of the new correspondent network was also given new momentum,which enabled points of sale to continue growing. At the end of the year, more than 20,000stores were registered, with over 52 million basic transactions carried out. In addition, the“Dinero Móvil BBVA Bancomer” (BBVA Bancomer Mobile Money) plan was launched inSeptember 2012 to foster access to banking for new users, and thus contribute to increasefinancial inclusion and the level of banking penetration in the country. The innovationintroduced by the service is the ability to send money to any part of Mexico via the Internet,ATMs or cell phones. The recipient of the deposit receives a message with a password givingaccess to the cash through ATMs in BBVA Bancomer’s network, without the need for a debitcard or a bank account. Finally, a strategy to enhance service quality through self-servicechannels was implemented with the incorporation of “second generation” ATMs called“practicajas” and “recyclers”, through which loan, credit card and service payments, as well asdeposits in BBVA Bancomer accounts, can be made.Consumer Finance UnitThis unit manages the consumer and credit card portfolio, which was one of the highest growthportfolios in 2012. This boost in lending resulted from alternative channels other than branches andpre-approved loans through the multi-channel distribution network. The percentage of loans issuedthrough alternative channels reached 9% in 2012. In 2012, more than 80,000 pre-approved loanswere granted through BBVA Bancomer’s ATMs.In consumer finance, more than 929,200 loans (excluding auto) were granted. Payroll loanperformance was outstanding. Moreover, the positive alliance with car dealers contributed to anincrease in loans for car purchase. At the end of 2012, more than 90,300 loans of this type weregranted.The credit card portfolio saw a year-on-year increase of 14% in revenues from purchases. In 2012,more than 1.8 million credit cards were issued through the branch network, in the case of bankcards, and through the stands set up by commercial partners for finanzia cards. This progresshas enabled BBVA Group to keep its leading position in Mexico in both consumer finance and incredit cards.Government & Corporate BankingThis unit has specialized offices to serve each one of its customer segments: 87 branches forcompanies, 36 branches for the public sector and 14 branches for real-estate developers. As of31-Dec-2012, the unit managed a loan-book volume of €10,430m and customer funds totaling€14,400m.The Corporate segment serves 40,949 customers, 12% more than in 2011. In 2012, 1,344 customerswho were not previously loan customers became so, making the total number of loan userstotal 8,899, or 22% of the total customer base in this unit. This unit also continued to supportits customers through its range of solutions to make their operations much easier and faster.Currently, customers in this unit use 5.04 groups of products on average per corporate group, and66% of the groups are linked to the entity with 5 or more products.The real-estate developers portfolio redesigned its strategy and customer-support model toincorporate new acceptance and monitoring processes to maintain portfolio quality.Throughout 2012, the government segment experienced constant growth in the number ofcustomers. At the end of the year, it reached 3,232, representing 58% of all offices in the Mexicangovernment. Both innovation and the extensive range of services offered, like payrolls for168 Business areas