Indicate by check mark whether
the registrant files or will file annual reports under cover of Form
20-F
or Form
40-F:
Indicate by check mark whether by furnishing the information contained in this Form, the Registrant is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934:
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):
N/A
The accompanying explanatory notes and exhibits are an integral part of these financial statements.
NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
FOR
THE PERIOD ENDED SEPTEMBER 30, 2018
(Stated in thousands of pesos)
BBVA Banco Francés S.A. (hereinafter, indistinctly, “BBVA Francés” or the “Entity” or the “Bank”)
is a corporation (
“sociedad anónima
”) incorporated under the laws of Argentina, operating as a universal bank with a network of 251 national branches.
Since December 1996, BBVA Francés is part of the global strategy of Banco Bilbao Vizcaya Argentaria S.A. (BBVA or the “controlling
entity”), which directly and indirectly controls the Entity, with 66.55% of the share capital as of September 30, 2018.
These
financial statements include the Entity and its controlled or subsidiary companies (collectively referred to, including the Entity, as the “Group”). The Entity’s subsidiaries are listed below:
|
|
•
|
|
BBVA Francés Valores S.A.: corporation incorporated under the laws of Argentina as a comprehensive
clearing and settlement agent;
|
|
|
•
|
|
BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión: corporation
incorporated under the laws of Argentina as an agent for the management of mutual investment products;
|
|
|
•
|
|
Consolidar Administradora de Fondos de Jubilaciones y Pensiones S.A. (undergoing liquidation proceedings):
corporation incorporated under the laws of Argentina undergoing liquidation proceedings. On December 4, 2008, Law No. 26,425 was enacted, providing for the elimination and replacement of the capitalization regime that was part of the
Integrated Retirement and Pension System, with a single government regime called the Argentine Integrated Retirement and Pensions System (SIPA). Consequently, Consolidar A.F.J.P. S.A. ceased to manage the resources that were part of the individual
capitalization accounts of affiliates and beneficiaries of the capitalization regime of the Integrated Retirement and Pension System, which were transferred to the Guarantee Fund for the Sustainability of the Argentine Retirement and Pension Regime
as they were already invested, and the Argentine Social Security Administration (ANSES) is now the sole and exclusive owner of those assets and rights. Likewise, on October 29, 2009, the ANSES issued Resolution No. 290/2009 whereby
retirement and pension funds management companies interested in reconverting their social purpose to manage the funds for voluntary contributions and deposits held by participants in their capitalization accounts had 30 business days to express
their intention of reconverting. On December 28, 2009, based on the foregoing and taking into consideration that it is impossible for Consolidar A.F.J.P. S.A. to comply with the corporate purpose for which it was incorporated, it was resolved,
through a Unanimous General and Extraordinary Shareholders’ Meeting to approve the dissolution and subsequent liquidation of that company effective as of December 31, 2009.
|
|
|
•
|
|
Volkswagen Financial Services Compañía Financiera S.A. (VWFS): On September 25, 2018, BBVA
Francés ceased to have control over the company due to the termination of the
two-year
term committed by the Entity to provide financing to the company if it would fail to diversify its sources of
funding. According to International Financial Reporting Standard (IFRS) No. 11 “Joint Arrangements”, Volkswagen Financial Services Compañía Financiera S.A. qualifies as a joint arrangement and, as such, it has been
deconsolidated effective since September 25, 2018.
|
|
|
|
|
|
|
|
|
- 11 -
|
|
|
Argentine Capital Markets Law No. 26,831, enacted on December 28, 2012 and amended
by Law No. 27,440 dated May 11, 2018, subsequently regulated through General Resolution No. 622/13 and General Resolution No. 731/2018 issued by the Argentine Securities Commission (CNV), establishes in its Section 47 that
agents have an obligation to register before the CNV, to act in the market in any of the capacities set forth in such law. On September 9 and 19, 2014, the Entity was registered as an Agent for the Custody of Mutual Fund Investment Products
under No. 4 and as a Comprehensive Clearing and Settlement Agent under No. 42. On August 7, 2014, the subsidiary BBVA Banco Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión was registered as
Mutual Investment Funds Products Management Agent under No. 3. On September 19, 2014, the subsidiary BBVA Francés Valores S.A. was registered as comprehensive Settlement, Clearing and Trading Agent under No. 41.
Part of the Entity’s stock capital is publicly traded and has been registered with the Buenos Aires Stock Exchange, the New York Stock
Exchange and the Madrid Stock Exchange.
|
2.
|
Basis for the preparation of the Financial Statements
|
These condensed financial statements for the nine-month period ended September 30, 2018 are part of the period covered by the first annual
financial statements prepared pursuant to the reporting framework established by the Argentine Central Bank (B.C.R.A.) that requires supervised entities to submit financial statements prepared pursuant to the International Financial Reporting
Standards (IFRS) issued by the International Accounting Standards Board (IASB), with a temporary exception for the application of the impairment model in Section 5.5 “Impairment” of IFRS 9 “Financial instruments” and, in
turn, taking into consideration the standards prescribed through Memorandum No. 6/2017 issued by the regulatory entity on May 29, 2017 regarding the treatment to be applied to uncertain tax positions. Besides, given the effectiveness of
Communication “A” 3921 issued by the B.C.R.A., the Entity has not applied International Accounting Standard No. 29 (IAS No. 29) “Financial reporting in hyperinflationary economies” in the preparation of these financial
statements (“financial reporting framework established by the BCRA”).
The exceptions described are a deviation from IFRS and are
detailed below:
|
|
a)
|
Had the impairment model set forth in Section 5.5 “Impairment” of IFRS 9 been applied, assets
would have decreased by 2,385 and 247,851 as of September 30, 2018 and December 31, 2017, respectively. Likewise, the income for the nine-month period ended September 30, 2018 would have increased by 245,466 and retained earnings
would have decreased by 247,851.
|
|
|
b)
|
Had the IFRS treatment regarding uncertain tax positions been applied, liabilities would have decreased by
2,207,318 and 1,185,800 as of September 30, 2018 and December 31, 2017, respectively. Likewise, the result for the nine-month periods ended September 30, 2018 and September 30, 2017 would have increased by 1,021,518 and
1,185,800, respectively.
|
|
|
c)
|
In the particular case of IAS No. 29, due to the effectiveness of Communication “A” 3921 issued
by the B.C.R.A. which prohibits the presentation of information adjusted for inflation, the Entity has not quantified the effect that would derive from the application thereof.
|
As this is an interim period, the Group has opted to present condensed information, pursuant to the guidelines of IAS No. 34 “Interim
Financial Information”; therefore, not all the information required for the preparation of complete financial statements under IFRS is included. Therefore, these financial statements should be read jointly with the interim financial statements
as of March 31, 2018. However, explanatory notes of events and transactions that are material for understanding any changes in the financial position as from March 31. 2018 are included.
|
|
|
|
|
|
|
|
|
- 12 -
|
|
|
As of September 30, 2018, no new standards were adopted for the period ended on that
date that may affect these financial statements.
Furthermore, the B.C.R.A., through Communications “A” 6323 and 6324 set forth
guidelines for the preparation and presentation of the financial statements of financial institutions for fiscal years beginning on or after January 1, 2018, including the additional reporting requirements as well as the information to be
submitted as Exhibits.
These financial statements have been approved by the Board of Directors of BBVA Banco Francés S.A. as of
November 22, 2018.
|
3.
|
Functional and presentation currency and Unit of account
|
|
|
3.1.
|
Functional and presentation currency
|
The Group considers the Argentine Peso as the functional and presentation currency. All amounts are stated in thousands of pesos, unless
otherwise stated.
According to IAS No. 29, entities are required to restate financial statements stated in local currency as their functional currency to
reflect the changes in the purchasing power of such currency, based on the existence or not of a hyperinflationary economy. IAS No. 29 provides certain qualitative and quantitative guidelines to determine the existence of a hyperinflationary
economy. Accordingly, hyperinflation shall be deemed to exist where the last three years’ cumulative inflation approaches or exceeds 100%.
As a result of the increase in inflation that has been experienced in the first months of fiscal year 2018, the Argentine economy would qualify
as a hyperinflationary economy according to the guidelines set forth under IAS No. 29. Therefore, IAS No. 29 should be applied in preparing financial statements under IFRS for annual or interim periods ending after July 1, 2018.
IAS 29 sets forth that the financial statements of an entity with a functional currency of a high inflationary economy shall be restated for
the changes in the general pricing power of the functional currency for the reporting period, regardless of whether the financial statements are based on an historical cost or current cost approach. To that effect,
non-monetary
items shall include the inflation from the date of acquisition or the date of revaluation, as applicable.
Furthermore, the figures for the preceding fiscal years or periods presented for comparative purposes shall be restated.
As stated below, considering the restriction for the preparation of financial statements adjusted for inflation as set forth in Communication
“A” 3921 issued by the B.C.R.A., the Group does not apply, and will not apply during the effectiveness of such restriction, financial statements restatement mechanisms.
The existence of such inflationary economic environment affects the Group’s financial position and results of operations; therefore, the
impact of inflation should be taken into consideration in understanding the Group’s information reported in these interim condensed financial statements.
|
4.
|
Accounting estimates and judgments
|
Significant judgments made by the Board of Directors in the application of accounting policies as well as the premises and estimates on
uncertainties as of September 30, 2018 were the same as those described in Note 4.1. and 4.2. to the interim financial statements as of March 31, 2018.
|
|
|
|
|
|
|
|
|
- 13 -
|
|
|
In addition, the Bank applies the same methodologies for the assessment of fair values and
the same criteria for the classification of fair value levels as those described in Note 4.3. to the interim financial statements as of March 31, 2018.
|
5.
|
Significant accounting policies
|
The Group has consistently applied the accounting policies described in Note 5 to the interim consolidated financial statements as of
March 31, 2018, in all periods presented in these financial statements and the preparation of the Balance Sheet as of December 31, 2016 for the purposes of the transition to the financial reporting framework established by the BCRA. Note
56 details the impact of the transition regarding the accounting regulations set forth by the BCRA previously applied.
These financial
statements for the nine-month period ended September 30, 2018 have been prepared pursuant to IAS 34 “Interim Financial Reporting” and IFRS 1 “First-time Adoption of International Financial Reporting Standards”. The interim
financial statements have been prepared based on the policies the Entity expects to adopt in its annual financial statements as of December 31, 2018. Comparative amounts and the amounts as of the date of transition have been modified to reflect
the adjustments to the new financial reporting framework.
|
6.
|
IFRS issued but not yet effective
|
A series of new standards and changes to the standards will become effective after January 1, 2019, with early adoption allowed.
The Group has decided not to make early adoption of these new regulations or changes to regulations in force in the preparation of these
consolidated financial statements.
The Group considers the only standard that may have a potentially significant impact on the financial
standing and the results of the Group is IFRS 16 - “Leases”, which will replace the current standards on leases for fiscal years beginning on or after January 1, 2019.
IFRS 16 introduces a single lease accounting model for lessees, whereby a
right-of-use
asset and a lease liability for the obligation of making payments for the lease are recognized. There are exemptions allowing not to recognize short-term
leases and
low-value
leases.
IFRS 16 does not introduce any changes to the lessor’s
accounting, that is to say, leases are still classified as financial or operating.
The Group acts as lessor of a series of branches and
offices, which is why the Group is expected to recognize new assets for the right to use such real estate and the related debt for leases. The Group has not yet completed the assessment of the amounts that will be required to be recognized in the
following fiscal year as a consequence of IFRS 16 becoming effective.
|
7.
|
Cash and deposits in banks
|
The breakdown of the item in the Consolidated Balance Sheet and the balance of cash and cash equivalents computed for the purposes of the
preparation of the Consolidated Statement of Cash Flows includes the following items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
09.30.17
|
|
|
12.31.16
|
|
|
Cash
|
|
|
18,477,265
|
|
|
|
7,977,326
|
|
|
|
6,156,681
|
|
|
|
14,176,643
|
|
|
BCRA - Unrestricted current account
|
|
|
62,851,235
|
|
|
|
29,427,394
|
|
|
|
20,574,258
|
|
|
|
31,248,052
|
|
|
Balances with other local and foreign financial institutions
|
|
|
6,493,356
|
|
|
|
831,222
|
|
|
|
992,203
|
|
|
|
2,740,254
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
87,821,856
|
|
|
|
38,235,942
|
|
|
|
27,723,142
|
|
|
|
48,164,949
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 14 -
|
|
|
|
8.
|
Debt securities at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Government securities
|
|
|
224,661
|
|
|
|
1,410,356
|
|
|
|
2,034,161
|
|
|
Private securities - Corporate bonds
|
|
|
152,809
|
|
|
|
134,094
|
|
|
|
176,714
|
|
|
BCRA Bills
|
|
|
97,961
|
|
|
|
4,251,188
|
|
|
|
1,460,628
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
475,431
|
|
|
|
5,795,638
|
|
|
|
3,671,503
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In the ordinary course of business, the Group carried out foreign currency forward transactions with daily or monthly settlement of
differences, with no delivery of the underlying asset and interest rate swap transactions. These transactions do not qualify as hedging pursuant to IFRS 9 - “Financial Instruments”.
The aforementioned instruments are measured at fair value and were recognized in the Condensed Consolidated Balance Sheet in the item
“Derivative instruments”; and changes in fair values were recognized in the Condensed Consolidated Statement of Income in “Net income/(loss) from measurement of financial instruments at fair value through profit or loss”.
The breakdown of the item is as follows:
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
63,881
|
|
|
|
110,057
|
|
|
|
28,655
|
|
|
Interest Rate Swaps
|
|
|
—
|
|
|
|
32,688
|
|
|
|
25,068
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
63,881
|
|
|
|
142,745
|
|
|
|
53,723
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
3,879,997
|
|
|
|
137,639
|
|
|
|
5,070
|
|
|
Interest Rate Swaps
|
|
|
551,580
|
|
|
|
92,136
|
|
|
|
53,235
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,431,577
|
|
|
|
229,775
|
|
|
|
58,305
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The notional amounts of the term and foreign currency forward transactions, stated in US Dollars, as well as
the base value of interest rate swaps are reported below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency forward purchases
|
|
|
31,431,933
|
|
|
|
12,671,490
|
|
|
|
2,623,708
|
|
|
Foreign currency forward sales
|
|
|
33,971,903
|
|
|
|
12,592,256
|
|
|
|
3,186,904
|
|
|
Interest rate swaps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed rate for variable rate
|
|
|
3,857,661
|
|
|
|
4,376,498
|
|
|
|
2,251,362
|
|
|
|
|
|
|
|
|
|
|
- 15 -
|
|
|
The breakdown of the item is as follows:
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Financial institutions
|
|
|
|
|
209,348
|
|
|
|
603,035
|
|
|
|
58,322
|
|
|
BCRA
|
|
|
|
|
1,124,065
|
|
|
|
1,353,992
|
|
|
|
—
|
|
|
Non-financial
institutions
|
|
(1)
|
|
|
8,249,233
|
|
|
|
4,372,912
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
|
|
9,582,646
|
|
|
|
6,329,939
|
|
|
|
58,322
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
For two repo transactions of Argentine Bonds in US Dollars 2024 carried out in August and September 2017 with
Argentina for a total of USD 250,000,000 with final maturity on December 28, 2018 and March 1, 2019.
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Financial institutions
|
|
|
—
|
|
|
|
285,410
|
|
|
|
135,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
—
|
|
|
|
285,410
|
|
|
|
135,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.
|
Other financial assets
|
The breakdown of Other financial assets is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Measured at amortized cost
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial debtors for spot transactions pending settlement
|
|
|
4,535,016
|
|
|
|
1,431,589
|
|
|
|
—
|
|
|
Non-financial
debtors for spot transactions pending
settlement
|
|
|
154,073
|
|
|
|
110,454
|
|
|
|
75,025
|
|
|
Other receivables
|
|
|
1,352,709
|
|
|
|
783,696
|
|
|
|
594,880
|
|
|
Other
|
|
|
465,801
|
|
|
|
56,344
|
|
|
|
71,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,507,599
|
|
|
|
2,382,083
|
|
|
|
741,552
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Measured at fair value through profit or loss
Investment funds
|
|
|
284,192
|
|
|
|
350,754
|
|
|
|
154,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
284,192
|
|
|
|
350,754
|
|
|
|
154,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses (Exhibit R)
|
|
|
(84,685
|
)
|
|
|
(68,698
|
)
|
|
|
(71,285
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
6,707,106
|
|
|
|
2,664,139
|
|
|
|
825,117
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 16 -
|
|
|
|
12.
|
Loans and other financing
|
The Group keeps loans and other financing under a business model for the purpose of collecting contractual cash flows. Therefore, it measures
loans and other financing at amortized cost. Below is a breakdown of the related balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Non-financial
government sector
|
|
|
177
|
|
|
|
218
|
|
|
|
98,819
|
|
|
BCRA
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
9,724,645
|
|
|
|
4,649,114
|
|
|
|
2,686,109
|
|
|
Overdrafts
|
|
|
16,405,607
|
|
|
|
11,707,264
|
|
|
|
9,801,870
|
|
|
Discounted instruments
|
|
|
10,122,369
|
|
|
|
11,164,895
|
|
|
|
6,456,171
|
|
|
Notes
|
|
|
12,422,189
|
|
|
|
7,049,131
|
|
|
|
4,348,688
|
|
|
Documents purchased
|
|
|
—
|
|
|
|
13,450
|
|
|
|
—
|
|
|
Real estate mortgage
|
|
|
8,718,885
|
|
|
|
4,457,821
|
|
|
|
1,917,412
|
|
|
Pledge loans
|
|
|
1,774,642
|
|
|
|
4,539,300
|
|
|
|
2,974,398
|
|
|
Consumer loans
|
|
|
21,923,282
|
|
|
|
16,638,201
|
|
|
|
9,566,943
|
|
|
Credit Cards
|
|
|
37,421,393
|
|
|
|
30,144,824
|
|
|
|
22,625,315
|
|
|
Loans for the prefinancing and financing of exports
|
|
|
46,551,521
|
|
|
|
23,147,427
|
|
|
|
8,486,700
|
|
|
Receivables from financial leases
|
|
|
2,617,227
|
|
|
|
2,296,233
|
|
|
|
1,994,613
|
|
|
Loans to personnel
|
|
|
1,037,125
|
|
|
|
626,305
|
|
|
|
176,129
|
|
|
Other financing
|
|
|
13,920,418
|
|
|
|
13,663,961
|
|
|
|
9,040,564
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
182,639,481
|
|
|
|
130,098,144
|
|
|
|
80,173,731
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses (Exhibit R)
|
|
|
(4,000,918
|
)
|
|
|
(2,290,430
|
)
|
|
|
(1,613,650
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
178,638,563
|
|
|
|
127,807,714
|
|
|
|
78,560,081
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The information on the concentration of loans and other financing is presented in Exhibits B and C. The
reconciliation of the information included in that Exhibit with the carrying amounts is shown below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Total exhibits B and C
|
|
|
184,227,925
|
|
|
|
131,993,461
|
|
|
|
81,693,140
|
|
|
Plus:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans to personnel
|
|
|
1,037,125
|
|
|
|
626,305
|
|
|
|
176,129
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowances for loan losses
|
|
|
4,000,918
|
|
|
|
2,290,430
|
|
|
|
1,613,650
|
|
|
Adjustments for effective interest rate
|
|
|
118,436
|
|
|
|
599,460
|
|
|
|
581,232
|
|
|
Corporate bonds
|
|
|
221,574
|
|
|
|
292,352
|
|
|
|
325,925
|
|
|
Loans commitments
|
|
|
2,285,560
|
|
|
|
1,629,810
|
|
|
|
788,381
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total loans and other financing
|
|
|
178,638,563
|
|
|
|
127,807,714
|
|
|
|
78,560,081
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan commitments
To meet the specific financial needs of customers, the Group’s credit policy also includes, among others, the granting of collaterals,
letters of credit and in relation to foreign trade transactions. Although these transactions are not recognized in the Consolidated Balance Sheet, because they imply a potential liability for the Group, they expose the Group to credit risks in
addition to those recognized in the Consolidated Balance Sheet and are, therefore, an integral part of the Group’s total risk.
|
|
|
|
|
|
|
|
|
- 17 -
|
|
|
As of September 30, 2018 and December 31, 2017 and 2016, the Group holds the
following contingent transactions:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Overdrafts and receivables agreed not used
|
|
|
589,732
|
|
|
|
772,541
|
|
|
|
176,296
|
|
|
Guarantees granted
|
|
|
1,005,726
|
|
|
|
398,063
|
|
|
|
264,058
|
|
|
Liabilities related to foreign trade transactions
|
|
|
265,291
|
|
|
|
107,418
|
|
|
|
97,467
|
|
|
Discounted instruments
|
|
|
424,811
|
|
|
|
351,788
|
|
|
|
250,560
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,285,560
|
|
|
|
1,629,810
|
|
|
|
788,381
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Such guarantees are initially recognized at fair value of the commission received in “Other financial
liabilities”.
Risks related to the aforementioned contingent transactions are evaluated and controlled in the framework of the
Group’s credit risks policy.
|
13.
|
Other debt securities
|
13.1 Financial assets measured at amortized cost
They include corporate bonds for which the Group is carrying out credit recovery transactions, for an amount of 190 as of September 30,
2018 and December 31, 2017, and 243 as of December 31, 2016.
13.2 Financial assets measured at fair
value through OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Government securities
|
|
|
13,352,630
|
|
|
|
5,580,301
|
|
|
|
3,121,198
|
|
|
BCRA Bills
|
|
|
—
|
|
|
|
10,559,358
|
|
|
|
5,924,317
|
|
|
BCRA Liquidity Bills
|
|
|
17,421,132
|
|
|
|
—
|
|
|
|
—
|
|
|
Private securities - Corporate bonds
|
|
|
210,577
|
|
|
|
160,590
|
|
|
|
150,227
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30,984,339
|
|
|
|
16,300,249
|
|
|
|
9,195,742
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses-Private securities (Exhibit R)
|
|
|
(2,342
|
)
|
|
|
(1,605
|
)
|
|
|
(1,502
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
30,981,997
|
|
|
|
16,298,644
|
|
|
|
9,194,240
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 18 -
|
|
|
|
14.
|
Financial assets pledged as collateral
|
The breakdown of the financial assets pledged as collateral as of September 30, 2018, December 31, 2017 and 2016 is included below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
BCRA - Special guarantee accounts
|
|
|
(1
|
)
|
|
|
1,717,920
|
|
|
|
977,566
|
|
|
|
914,587
|
|
|
Guarantee Trust - BCRA Bills at fair value through OCI
|
|
|
(2
|
)
|
|
|
2,316,742
|
|
|
|
476,370
|
|
|
|
12,905
|
|
|
Guarantee Trust - Pesos
|
|
|
(2
|
)
|
|
|
8,400
|
|
|
|
3,090
|
|
|
|
1,120
|
|
|
Deposits as collateral
|
|
|
(3
|
)
|
|
|
2,258,895
|
|
|
|
1,475,728
|
|
|
|
1,120,490
|
|
|
For reverse repo transactions - BCRA Bills at fan value through OCI
|
|
|
|
|
|
|
—
|
|
|
|
296,630
|
|
|
|
134,027
|
|
|
For reverse repo transactions - Government securities at fair value through OCI
|
|
|
|
|
|
|
—
|
|
|
|
21,080
|
|
|
|
1,065
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
|
|
|
|
6,301,957
|
|
|
|
3,250,464
|
|
|
|
2,184,194
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Special guarantee checking accounts opened at the BCRA for the transactions related to the automated clearing
houses and other similar entities.
|
|
(2)
|
Set up as collateral to operate with ROFEX and MAE on foreign currency forward and term transactions. The trust
fund consists of pesos and monetary regulation instruments issued by the BCRA.
|
|
(3)
|
Deposits pledged as collateral for activities related to credit card transactions in the country and abroad,
with leases and forward transactions.
|
|
|
a)
|
Current income tax assets
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Advances
|
|
|
385
|
|
|
|
9,189
|
|
|
|
1,161
|
|
|
Collections and withholdings
|
|
|
—
|
|
|
|
151
|
|
|
|
360
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
385
|
|
|
|
9,340
|
|
|
|
1,521
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
b)
|
Current income tax liabilities
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Advances
|
|
|
(49,463
|
)
|
|
|
(637,952
|
)
|
|
|
(1,204,305
|
)
|
|
Collections and withholdings
|
|
|
(12,777
|
)
|
|
|
(7,579
|
)
|
|
|
(4,386
|
)
|
|
Income Tax Provision (1)
|
|
|
3,053,551
|
|
|
|
2,115,417
|
|
|
|
2,313,430
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,548,311
|
|
|
|
1,469,886
|
|
|
|
1,104,739
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
The balance as of September 30, 2018 includes a reduction by 1,021,518 for the action seeking declaration
of unconstitutionality, while, as of December 31, 2017, such reduction amounts to 1,185,800.
|
|
|
|
|
|
|
|
|
|
- 19 -
|
|
|
Breakdown of income tax expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Current tax
|
|
|
3,141,014
|
|
|
|
1,432,394
|
|
|
Deferred tax
|
|
|
(479,965
|
)
|
|
|
(132,584
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,661,049
|
|
|
|
1,299,810
|
|
|
|
|
|
|
|
|
|
|
|
Income tax, pursuant to IAS No. 34, is recognized in interim periods over the best estimate of the
weighted average tax rate that the Entity expects for the fiscal year.
The Group’s effective rate for the nine-month period ended
September 30, 2018 was 28%, while for the nine-month period ended September 30, 2017, it was 29%.
|
|
•
|
|
Income tax– Tax inflation adjustment for fiscal years 2016 and 2017
|
On May 10, 2017 and May 10, 2018, and based on related case law, the Entity approved the filing of an action seeking declaration of
unconstitutionality of Section 39 of Law 24,073, Section 4 of Law 25,561, Section 5 of Decree No. 214/02 issued by the Argentine Executive and any other regulation voiding the inflation adjustment mechanism provided for under Law
20,628, as amended, due to the confiscatory effect in the specific case, for fiscal years 2016 and 2017. Consequently, the Entity submitted its Income Tax Returns for fiscal years 2016 and 2017 taking into consideration the effect of those
restatement mechanisms.
The net impact of this measure is an adjustment to the Income Tax assessed for the fiscal year ended
December 31, 2016 of 1,185,800 while during the fiscal year ended December 31, 2017 the Income Tax adjustment amounted to 1,021,518.
Through Memorandum No. 6/2017 dated May 29, 2017, the BCRA, without passing judgment on the decisions adopted by the corporate bodies
or the right of the Entity regarding the suit filed, in its capacity as issuer of accounting standards, requested the Entity to record a contingency provision in the applicable item in “Liabilities” in the amount of earnings recorded,
because it considers that “a new assessment of income tax applying the inflation adjustment is not contemplated in the regulation issued by the BCRA”.
In response to this Memorandum, the Entity submitted the related statement and ratified its position and provided the background of the
accounting registration made. Notwithstanding the foregoing, the Entity recorded the requested provision in the “Provisions” account in liabilities and in “Other operating expenses” in the Statement of Income, specifically
pursuant to the accounting standard prescribed by the regulator for this case.
As a result of the assessment made and based on the opinion
of its legal and tax advisors, the Entity considers that it is more likely for the Entity to obtain a favorable judgment in the last instance supporting the idea that this period’s income tax shall be assessed including the inflation tax
adjustment, based on the confiscatory nature of the rate that would result from not applying said adjustment in the fiscal years ended December 31, 2017 and 2016.
Therefore, the recording of the contingency provision required by the BCRA results in a deviation from IFRS, as stated in Note 2.
|
|
|
|
|
|
|
|
|
- 20 -
|
|
|
|
|
•
|
|
Income tax – requests for recovery for fiscal years 2013, 2014 and 2015
|
Regarding fiscal years 2013, 2014 and 2015, the Entity assessed income tax without applying the tax inflation adjustment, which resulted in an
amount higher than the tax paid, by 264,257, 647,945 and 555,002 for those periods.
Based on the grounds stated in the previous section,
on November 19, 2015, the refund administrative claim was filed for periods 2013 and 2014, and the related complaint was filed on September 23, 2016 for both periods, given that there was no response from the administration.
In turn, on April 4, 2017, a refund was requested for the higher amount of tax paid for fiscal year 2015. Likewise, on December 29,
2017, the related complaint was filed for this fiscal year.
As of the date of these financial statements, the tax authorities have not
issued a resolution regarding the claims filed.
Pursuant to the financial reporting framework set forth by the BCRA, the Entity does not
record assets in relation to contingent assets derived from the claims filed.
16. Investments in equity instruments
Investments in equity instruments for which the Group has no control, joint control or a significant influence are measured at fair value
through profit or loss and at fair value through other comprehensive income. The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Mercado de Valores de Buenos Aires S.A.
|
|
|
28,240
|
|
|
|
35,417
|
|
|
|
66,400
|
|
|
BYMA-Bolsas y Mercados Argentinos S.A.
|
|
|
89,962
|
|
|
|
85,000
|
|
|
|
—
|
|
|
Banco Latinoaméricano de Exportaciones S.A.
|
|
|
10,293
|
|
|
|
4,725
|
|
|
|
3,989
|
|
|
Other
|
|
|
739
|
|
|
|
2,145
|
|
|
|
419
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
129,234
|
|
|
|
127,287
|
|
|
|
70,808
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
17.
|
Investments in Associates
|
The Group has investments in the following entities over which it has a significant influence and, therefore, measures those investments by
applying the equity method:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Volkswagen Financial Services Compañía Financiera S.A. (1)
|
|
|
611,500
|
|
|
|
—
|
|
|
|
—
|
|
|
PSA Finance Arg. Cía. Financiera S.A.
|
|
|
432,462
|
|
|
|
344,710
|
|
|
|
369,977
|
|
|
Rombo Cia. Financiera S.A.
|
|
|
518,230
|
|
|
|
393,953
|
|
|
|
349,027
|
|
|
BBVA Consolidar Seguros S.A.
|
|
|
184,591
|
|
|
|
131,334
|
|
|
|
109,399
|
|
|
Interbanking S.A.
|
|
|
33,864
|
|
|
|
18,798
|
|
|
|
10,581
|
|
|
Prisma Medios de Pago S.A. (2)
|
|
|
—
|
|
|
|
—
|
|
|
|
105,185
|
|
|
Other
|
|
|
578
|
|
|
|
638
|
|
|
|
518
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
1,781,225
|
|
|
|
889,433
|
|
|
|
944,687
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Reclassified to “Investments in associates” as of September 30, 2018 due to the loss of control
of the subsidiary, mentioned in Note 1.
|
|
(2)
|
Reclassified to “Assets held for sale” as of December 31, 2017, based on the divestment
agreement mentioned in Note 21.
|
|
|
|
|
|
|
|
|
|
- 21 -
|
|
|
|
18.
|
Property, plant and equipment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Real estate
|
|
|
6,628,152
|
|
|
|
7,160,050
|
|
|
|
7,045,777
|
|
|
Constructions in progress
|
|
|
372,587
|
|
|
|
350,316
|
|
|
|
141,101
|
|
|
Furniture and facilities
|
|
|
1,418,174
|
|
|
|
1,163,405
|
|
|
|
571,877
|
|
|
Machinery and equipment
|
|
|
740,346
|
|
|
|
734,878
|
|
|
|
461,421
|
|
|
Automobiles
|
|
|
13,651
|
|
|
|
11,213
|
|
|
|
11,228
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
9,172,910
|
|
|
|
9,419,862
|
|
|
|
8,231,404
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Licenses
|
|
|
429,880
|
|
|
|
340,971
|
|
|
|
238,675
|
|
|
Other intangible assets
|
|
|
166,430
|
|
|
|
95,149
|
|
|
|
76,962
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
596,310
|
|
|
|
436,120
|
|
|
|
315,637
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
20.
|
Other
non-financial
assets
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Investment properties
|
|
|
100,853
|
|
|
|
102,720
|
|
|
|
105,106
|
|
|
Tax advances
|
|
|
295,548
|
|
|
|
66,239
|
|
|
|
65,130
|
|
|
Prepayments
|
|
|
703,781
|
|
|
|
764,223
|
|
|
|
447,881
|
|
|
Advances to suppliers of goods
|
|
|
114,426
|
|
|
|
266,649
|
|
|
|
475,767
|
|
|
Other miscellaneous assets
|
|
|
134,069
|
|
|
|
197,207
|
|
|
|
210,304
|
|
|
Advances to personnel
|
|
|
11,771
|
|
|
|
45,316
|
|
|
|
118,544
|
|
|
Foreclosed assets
|
|
|
1,636
|
|
|
|
1,066
|
|
|
|
1,831
|
|
|
Other
|
|
|
12,947
|
|
|
|
86,849
|
|
|
|
44,357
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
1,375,031
|
|
|
|
1,530,269
|
|
|
|
1,468,920
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
During November 2017, the Board of Directors agreed to a plan to sell its ownership interest in Prisma Medios de Pago S.A., and therefore the
accounting balance of that ownership interest is presented as “Assets held for sale”, for an amount of 252,805 as of September 30, 2018 and 196,379 as of December 31, 2017. The efforts to sell that asset have begun and the sale
is expected to take place in 2018.
|
|
|
|
|
|
|
|
|
- 22 -
|
|
|
The information on concentration of deposits is presented in Exhibit H.
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Non-financial
government sector
|
|
|
2,030,030
|
|
|
|
1,042,016
|
|
|
|
2,640,909
|
|
|
Financial sector
|
|
|
196,891
|
|
|
|
166,970
|
|
|
|
222,974
|
|
|
Non-financial
private sector and residents abroad
|
|
|
245,001,047
|
|
|
|
152,725,685
|
|
|
|
111,746,413
|
|
|
Checking accounts
|
|
|
24,722,884
|
|
|
|
24,275,831
|
|
|
|
19,879,927
|
|
|
Savings accounts
|
|
|
143,828,389
|
|
|
|
79,047,758
|
|
|
|
42,591,155
|
|
|
Time deposits
|
|
|
71,779,030
|
|
|
|
44,825,433
|
|
|
|
35,747,602
|
|
|
Investment accounts
|
|
|
—
|
|
|
|
—
|
|
|
|
85,194
|
|
|
Other
|
|
|
4,670,744
|
|
|
|
4,576,663
|
|
|
|
13,442,535
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
247,227,968
|
|
|
|
153,934,671
|
|
|
|
114,610,296
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23.
|
Liabilities at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Obligations for securities transactions
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
24.
|
Other financial liabilities
|
Other financial liabilities are measured at amortized cost and the breakdown is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Creditors for spot transactions pending settlement
|
|
|
5,457,682
|
|
|
|
2,089,348
|
|
|
|
189,883
|
|
|
Obligations for financing of purchases
|
|
|
8,412,734
|
|
|
|
7,644,011
|
|
|
|
4,796,098
|
|
|
Accrued commisions payable
|
|
|
11,680
|
|
|
|
16,321
|
|
|
|
16,274
|
|
|
Collections and other transactions on behalf of thud parties
|
|
|
3,862,739
|
|
|
|
1,613,752
|
|
|
|
1,570,768
|
|
|
Interest accrued payable
|
|
|
62,002
|
|
|
|
17,115
|
|
|
|
7,761
|
|
|
Other
|
|
|
4,127,797
|
|
|
|
2,621,806
|
|
|
|
1,204,761
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
21,934,634
|
|
|
|
14,002,353
|
|
|
|
7,785,545
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
25.
|
Financing received from the BCRA and other financial institutions
|
Financing received from the BCRA and other financial institutions is measured at amortized cost and the breakdown is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Local financial institutions
|
|
|
124,510
|
|
|
|
387,111
|
|
|
|
36,957
|
|
|
BCRA
|
|
|
7,622
|
|
|
|
8,482
|
|
|
|
31,970
|
|
|
Foreign financial institutions
|
|
|
5,625,582
|
|
|
|
295,702
|
|
|
|
636,153
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
5,757,714
|
|
|
|
691,295
|
|
|
|
705,080
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 23 -
|
|
|
|
26.
|
Corporate bonds issued
|
Below is a detail of corporate bonds in force as of September 30, 2018, as of December 31, 2017 and 2016:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carrying amount as of
|
|
|
Detail
|
|
Issuance date
|
|
|
Nominal
Value
(in thousands
of pesos)
|
|
|
Maturity
date
|
|
|
Annual Nominal
Rate
|
|
Payment
of interest
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Class 9
|
|
|
02/11/2014
|
|
|
|
145,116
|
|
|
|
02/11/2017
|
|
|
Badlar Private +
4.70%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
—
|
|
|
|
143,116
|
|
|
Class 11
|
|
|
07/18/2014
|
|
|
|
165,900
|
|
|
|
07/18/2017
|
|
|
Badlar Private +
3.75%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
—
|
|
|
|
165,900
|
|
|
Class 13
|
|
|
11/13/2014
|
|
|
|
107,500
|
|
|
|
11/13/2017
|
|
|
Badlar Private +
3.75%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
—
|
|
|
|
107,500
|
|
|
Class 16
|
|
|
07/30/2015
|
|
|
|
204,375
|
|
|
|
07/30/2017
|
|
|
Badlar Private +
3.75%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
—
|
|
|
|
204,375
|
|
|
Class 17
|
|
|
12/28/2015
|
|
|
|
199,722
|
|
|
|
06/28/2017
|
|
|
Badlar Private +
3.50%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
—
|
|
|
|
189,750
|
|
|
Class 18
|
|
|
12/28/2015
|
|
|
|
152,500
|
|
|
|
12/28/2018
|
|
|
Badlar Private +
4.08%
|
|
|
Quarterly
|
|
|
|
137,500
|
|
|
|
152,500
|
|
|
|
152,500
|
|
|
Class 19
|
|
|
08/08/2016
|
|
|
|
207,500
|
|
|
|
02/08/2018
|
|
|
Badlar Private +
2.40%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
207,500
|
|
|
|
207,500
|
|
|
Class 20
|
|
|
08/08/2016
|
|
|
|
292,500
|
|
|
|
08/08/2019
|
|
|
Badlar Private +
3.23%
|
|
|
Quarterly
|
|
|
|
289,000
|
|
|
|
290,500
|
|
|
|
292,500
|
|
|
Class 21
|
|
|
11/18/2016
|
|
|
|
90,000
|
|
|
|
05/18/2018
|
|
|
Badlar Private +
2.75%
|
|
|
Quarterly
|
|
|
|
—
|
|
|
|
90,000
|
|
|
|
90,000
|
|
|
Class 22
|
|
|
11/18/2016
|
|
|
|
181,053
|
|
|
|
11/18/2019
|
|
|
Badlar Private +
3.50%
|
|
|
Quarterly
|
|
|
|
181,053
|
|
|
|
180,053
|
|
|
|
181,053
|
|
|
Class 23
|
|
|
12/27/2017
|
|
|
|
553,125
|
|
|
|
12/27/2019
|
|
|
TM20 (*)+
3.20%
|
|
|
Quarterly
|
|
|
|
553,125
|
|
|
|
553,125
|
|
|
|
—
|
|
|
Class 24
|
|
|
12/27/2017
|
|
|
|
546,500
|
|
|
|
12/27/2020
|
|
|
Badlar Private +
4.25%
|
|
|
Quarterly
|
|
|
|
541,500
|
|
|
|
546,500
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Capital
|
|
|
|
|
|
|
1,702,178
|
|
|
|
2,020,178
|
|
|
|
1,734,194
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest accrued
|
|
|
|
|
|
|
33,165
|
|
|
|
32,312
|
|
|
|
52,091
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total capital and interest accrued
|
|
|
|
|
|
|
1,735,343
|
|
|
|
2,052,490
|
|
|
|
1,786,285
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(*)
|
The TM20 rate is the single arithmetic mean of interest rates for term deposits of twenty million pesos or more
and thirty to thirty five day terms.
|
On November 8, 2018, the Entity issued Class 25 Corporate Notes, which
were fully subscribed and paid in in the form of 27,852,778 UVAs, equivalent to 784,334, at 24 months and fully payable upon maturity, with an annual nominal margin of 9.50% and quarterly interest payments. The proceeds of the issue were applied to
interest-bearing checking accounts.
|
|
|
|
|
|
|
|
|
- 24 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Income tax contingency (Note 15.c))
|
|
|
2,207,318
|
|
|
|
1,185,800
|
|
|
|
—
|
|
|
Occasional commitments provision
|
|
|
1,432
|
|
|
|
1,117
|
|
|
|
581
|
|
|
For administrative, disciplinary and criminal penalties (Note 55)
|
|
|
5,000
|
|
|
|
5,000
|
|
|
|
5,000
|
|
|
Provisions for post-employment defined benefit plans
|
|
|
55,317
|
|
|
|
48,173
|
|
|
|
42,362
|
|
|
Other contingencies
|
|
|
1,178,948
|
|
|
|
887,767
|
|
|
|
853,576
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
3,448,015
|
|
|
|
2,127,857
|
|
|
|
901,519
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provisions for post-employment defined benefits plans
There are groups of terminated employees for which the Bank assumes the coverage of the cost of prepaid medical plan service installments
(total or partially) for a certain period after their termination. The Bank does not cover events requiring medical assistance, but it simply pays the medical plan service installments.
The main actuarial hypotheses considered are as follows:
|
|
•
|
|
The inflation rate projected by private consulting agencies was used.
|
|
|
•
|
|
For the medical plan service installment, a 2% increase was estimated over the projected inflation.
|
|
|
•
|
|
The discount rate curve was estimated based on the projected inflation for each year, also considering an annual
actual discount rate of 4%.
|
|
|
•
|
|
In order to make the sensitivity analysis, a variation of 100 basis points in the hypotheses presented was
considered. This variation implies an increase or reduction of approximately 2% in the actuarial value of liabilities.
|
In the opinion of the Entity’s Board of Directors and its legal advisors, there are no other significant effects other than those stated
in these financial statements, the amounts and repayment terms of which have been recorded based on the actual value of those estimates, considering the probable date of their final resolution.
|
28.
|
Other
non-financial
liabilities
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Short term personnel benefits
|
|
|
2,337,187
|
|
|
|
1,737,009
|
|
|
|
1,356,494
|
|
|
Long term personnel benefits
|
|
|
154,429
|
|
|
|
137,389
|
|
|
|
109,240
|
|
|
Other collections and withholdings
|
|
|
1,775,105
|
|
|
|
1,504,774
|
|
|
|
1,321,518
|
|
|
Social security payable
|
|
|
241,811
|
|
|
|
20,045
|
|
|
|
14,945
|
|
|
Advance collections
|
|
|
1,178,967
|
|
|
|
827,850
|
|
|
|
947,619
|
|
|
Miscellaneous creditors
|
|
|
3,028,318
|
|
|
|
2,512,994
|
|
|
|
1,290,560
|
|
|
For contract liabilities
|
|
|
209,425
|
|
|
|
212,022
|
|
|
|
158,152
|
|
|
Other taxes payable
|
|
|
842,834
|
|
|
|
474,447
|
|
|
|
348,957
|
|
|
Other
|
|
|
8,677
|
|
|
|
31,556
|
|
|
|
41,244
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
9,776,753
|
|
|
|
7,458,086
|
|
|
|
5,588,729
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 25 -
|
|
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares
|
|
|
Share capital
|
|
|
Class
|
|
Quantity
|
|
|
Nominal
value
per
share
|
|
|
Votes
per
share
|
|
|
Shares
outstanding
|
|
|
Pending
issuance or
distribution
|
|
|
Paid-in
(1)
|
|
|
Ordinary
|
|
|
612,659,638
|
|
|
|
1
|
|
|
|
1
|
|
|
|
612,615
|
|
|
|
45
|
|
|
|
612,660
|
|
|
(1)
|
Registered with the Public Registry of Commerce.
|
BBVA Banco Francés S.A. is a corporation (
sociedad anónima
) incorporated under the laws of Argentina. The liability of
its shareholders is limited to the shares subscribed and paid in, pursuant to the Argentine Companies Law (Law No. 19,550). Therefore, and pursuant to Law No. 25,738, it is reported that neither foreign capital majority shareholders nor
local or foreign shareholders shall be liable in excess of the above mentioned capital contribution for obligations arising from transactions carried out by the financial institution.
The Shareholders’ Meeting held on June 13, 2017 approved the increase in capital stock by up to $ 145,000,000 in par value
through the issuance of 145,000,000 new ordinary book-entry shares entitled to one vote and with a nominal value of $ 1 per share, granting the Board of Directors the necessary authority to implement that capital increase and determine the issuance
conditions.
On July 18, 2017, the issuance of 66,000,000 ordinary book-entry shares was approved, with a nominal value of $ 1 each,
with a subscription price of USD 5.28 per share and USD 15.85 per each American Depositary Share (ADS), at the reference exchange rate published by the BCRA as of that date ($ 17.0267) for the purposes of paying the shares in pesos. On
July 24, 2017, the shares subscribed for were paid in.
Pursuant to the terms of the Shares Subscription Agreement, on July 26,
2017 International Underwriters opted to acquire 9,781,788 new shares (equivalent to 3,260,596 ADS) at the same issue price. On July 31, 2017 those shares were paid in, using the spot exchange rate stated.
The Entity applied the funds obtained from the global offer and the exercise of preemptive subscription rights to continue with its growth
strategy in the Argentine financial system.
|
|
|
|
|
|
|
|
|
- 26 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Interest on loans to the financial sector
|
|
|
1,049,728
|
|
|
|
470,830
|
|
|
Interest from overdrafts
|
|
|
3,956,923
|
|
|
|
2,185,343
|
|
|
Interest from documented instruments
|
|
|
3,470,030
|
|
|
|
1,448,391
|
|
|
Real estate mortgage
|
|
|
520,112
|
|
|
|
264,002
|
|
|
Interest from pledge loans
|
|
|
1,014,742
|
|
|
|
637,853
|
|
|
Interest from credit card loans
|
|
|
4,952,684
|
|
|
|
4,410,599
|
|
|
Interest from financial leases
|
|
|
388,673
|
|
|
|
298,001
|
|
|
Interest from consumer loans
|
|
|
4,513,028
|
|
|
|
2,775,764
|
|
|
Interest from other loans
|
|
|
2,359,349
|
|
|
|
1,381,042
|
|
|
Premium for reverse repurchase agreements
|
|
|
421,870
|
|
|
|
355,274
|
|
|
Interest from government securities
|
|
|
4,232,063
|
|
|
|
731,303
|
|
|
Interest from private securities
|
|
|
—
|
|
|
|
27,148
|
|
|
Interest from loans for the prefinancing and financing of exports
|
|
|
986,599
|
|
|
|
246,270
|
|
|
Stabilization Coefficient (CER) clause adjustment
|
|
|
63,245
|
|
|
|
312,625
|
|
|
Acquisition Value Unit (UVA) clause adjustment
|
|
|
1,760,389
|
|
|
|
56,000
|
|
|
Other financial income
|
|
|
28,640
|
|
|
|
3,552
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
29,718,075
|
|
|
|
15,603,997
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Checking accounts deposits
|
|
|
1,845,594
|
|
|
|
302,094
|
|
|
Savings accounts deposits
|
|
|
64,338
|
|
|
|
24,507
|
|
|
Time deposits
|
|
|
8,281,445
|
|
|
|
4,423,875
|
|
|
Bank loans
|
|
|
229,629
|
|
|
|
16,851
|
|
|
Other liabilities
|
|
|
906,331
|
|
|
|
323,012
|
|
|
Premium for reverse repurchase agreements
|
|
|
82,637
|
|
|
|
72,520
|
|
|
Acquisition Value Unit (UVA) clause adjustments
|
|
|
636,895
|
|
|
|
28,788
|
|
|
Other
|
|
|
4,719
|
|
|
|
1,171
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
12,051,588
|
|
|
|
5,192,818
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Linked to liabilities
|
|
|
4,192,247
|
|
|
|
2,746,891
|
|
|
Linked to loans
|
|
|
3,539,261
|
|
|
|
1,920,417
|
|
|
Linked to securities
|
|
|
103,069
|
|
|
|
59,468
|
|
|
From guarantees granted
|
|
|
2,108
|
|
|
|
572
|
|
|
From foreign currency transactions
|
|
|
323,410
|
|
|
|
209,209
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
8,160,095
|
|
|
|
4,936,557
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 27 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
For credit and debit cards
|
|
|
2,084,459
|
|
|
|
1,288,596
|
|
|
Latam Pass Commissions
|
|
|
1,653,189
|
|
|
|
1,046,594
|
|
|
Linked to transactions with securities
|
|
|
1,022
|
|
|
|
718
|
|
|
For foreign trade transactions
|
|
|
97,807
|
|
|
|
58,592
|
|
|
For payment of wages
|
|
|
201,701
|
|
|
|
114,189
|
|
|
For promotions
|
|
|
176,634
|
|
|
|
104,140
|
|
|
For digital sales services
|
|
|
294,680
|
|
|
|
181,014
|
|
|
Other commission expenses
|
|
|
358,875
|
|
|
|
214,706
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,868,367
|
|
|
|
3,008,549
|
|
|
|
|
|
|
|
|
|
|
|
|
34.
|
Net (loss)/income from financial instruments at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Loss from foreign currency forward transactions
|
|
|
(442,734
|
)
|
|
|
(18,301
|
)
|
|
Income from government securities
|
|
|
648,616
|
|
|
|
1,768,506
|
|
|
Income from corporate bonds
|
|
|
11,227
|
|
|
|
45,374
|
|
|
Income from private securities
|
|
|
375,375
|
|
|
|
44,087
|
|
|
Interest rate swaps
|
|
|
(682,907
|
)
|
|
|
15,431
|
|
|
Other
|
|
|
(1
|
)
|
|
|
(1
|
)
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
(90,424
|
)
|
|
|
1,855,096
|
|
|
|
|
|
|
|
|
|
|
|
|
35.
|
Net income from write-down of assets at amortized cost and at fair value through OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Income from sale or derecognition of government securities
|
|
|
57,241
|
|
|
|
6,742
|
|
|
Expenses for sale or derecognition of government securities
|
|
|
(111,398
|
)
|
|
|
(19
|
)
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
(54,157
|
)
|
|
|
6,723
|
|
|
|
|
|
|
|
|
|
|
|
|
36.
|
Foreign exchange gains/(losses)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Conversion of foreign currency assets and liabilities into pesos
|
|
|
1,564,090
|
|
|
|
(134,406
|
)
|
|
Income from purchase-sale of foreign currency
|
|
|
2,764,991
|
|
|
|
1,506,588
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,329,081
|
|
|
|
1,372,182
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 28 -
|
|
|
|
37.
|
Other operating income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Rental of safe deposit boxes
|
|
|
323,592
|
|
|
|
245,975
|
|
|
Adjustments and interest on miscellaneous receivables
|
|
|
325,284
|
|
|
|
102,691
|
|
|
Punitive interest
|
|
|
53,070
|
|
|
|
28,691
|
|
|
Loans recovered
|
|
|
202,001
|
|
|
|
220,772
|
|
|
Allowances reversed
|
|
|
79,794
|
|
|
|
82,822
|
|
|
Commissions for the hiring of insurance
|
|
|
511,225
|
|
|
|
494,762
|
|
|
Income tax contingency (Note 15.c))
|
|
|
1,021,518
|
|
|
|
1,185,800
|
|
|
Commissions for transportation of values
|
|
|
33,917
|
|
|
|
38,231
|
|
|
Commissions for custody
|
|
|
46,212
|
|
|
|
35,151
|
|
|
Commissions for credit and debit cards
|
|
|
328,403
|
|
|
|
233,352
|
|
|
Other operating income
|
|
|
730,266
|
|
|
|
585,569
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
3,655,282
|
|
|
|
3,253,816
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Salaries
|
|
|
3,684,484
|
|
|
|
2,941,548
|
|
|
Social security charges
|
|
|
1,109,696
|
|
|
|
859,545
|
|
|
Personnel compensations and rewards
|
|
|
391,585
|
|
|
|
298,085
|
|
|
Personnel services
|
|
|
129,883
|
|
|
|
109,264
|
|
|
Other short term personnel benefits
|
|
|
1,056,670
|
|
|
|
643,933
|
|
|
Post-employment personnel benefits - Defined benefits
|
|
|
1,822
|
|
|
|
1,617
|
|
|
Other long term benefits
|
|
|
16,724
|
|
|
|
12,377
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
6,390,864
|
|
|
|
4,866,369
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 29 -
|
|
|
|
39.
|
Administrative expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Travel expenses
|
|
|
62,774
|
|
|
|
48,023
|
|
|
Administrative services
|
|
|
385,915
|
|
|
|
255,666
|
|
|
Security services
|
|
|
222,065
|
|
|
|
227,682
|
|
|
Fees to Bank Directors and Supervisory Committee
|
|
|
10,153
|
|
|
|
7,448
|
|
|
Other fees
|
|
|
207,696
|
|
|
|
150,593
|
|
|
Insurance
|
|
|
51,239
|
|
|
|
40,942
|
|
|
Rent
|
|
|
538,696
|
|
|
|
342,700
|
|
|
Stationery and supplies
|
|
|
28,829
|
|
|
|
30,732
|
|
|
Electricity and communications
|
|
|
209,143
|
|
|
|
151,309
|
|
|
Advertising
|
|
|
325,316
|
|
|
|
294,216
|
|
|
Taxes
|
|
|
1,161,476
|
|
|
|
872,860
|
|
|
Maintenance costs
|
|
|
536,232
|
|
|
|
396,779
|
|
|
Armored transportation services
|
|
|
650,193
|
|
|
|
504,244
|
|
|
Other administrative expenses
|
|
|
591,188
|
|
|
|
467,898
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,980,915
|
|
|
|
3,791,092
|
|
|
|
|
|
|
|
|
|
|
|
|
40.
|
Depreciation and amortization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Depreciation of property, plant and equipment
|
|
|
531,284
|
|
|
|
381,326
|
|
|
Amortization of intangible assets
|
|
|
93,422
|
|
|
|
85,743
|
|
|
Depreciation of other assets
|
|
|
1,980
|
|
|
|
1,871
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
626,686
|
|
|
|
468,940
|
|
|
|
|
|
|
|
|
|
|
|
|
41.
|
Other operating expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Contributions to the Deposits Guarantee Fund (Note 49)
|
|
|
223,842
|
|
|
|
156,365
|
|
|
Turnover tax
|
|
|
2,872,712
|
|
|
|
1,634,778
|
|
|
Charge for other allowances
|
|
|
1,428,376
|
|
|
|
1,444,159
|
|
|
Sinisters
|
|
|
101,931
|
|
|
|
68,813
|
|
|
Other operating expenses
|
|
|
591,106
|
|
|
|
967,076
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
5,217,967
|
|
|
|
4,271,191
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 30 -
|
|
|
|
42.
|
Fair values of financial instruments
|
|
a)
|
Assets and liabilities measured at fair value
|
The fair value hierarchy of assets and liabilities measured at fair value as of September 30, 2018 is detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities at fair value through profit or loss
|
|
|
475,431
|
|
|
|
475,431
|
|
|
|
84,149
|
|
|
|
185,598
|
|
|
|
205,684
|
|
|
Other financial assets
|
|
|
284,192
|
|
|
|
284,192
|
|
|
|
284,192
|
|
|
|
—
|
|
|
|
—
|
|
|
Other debt securities
|
|
|
30,984,339
|
|
|
|
30,984,339
|
|
|
|
1,412,165
|
|
|
|
29,361,597
|
|
|
|
210,577
|
|
|
Financial assets pledged as collateral
|
|
|
2,316,742
|
|
|
|
2,316,742
|
|
|
|
1,117,160
|
|
|
|
1,199,582
|
|
|
|
—
|
|
|
Investments in equity instruments
|
|
|
129,234
|
|
|
|
129,234
|
|
|
|
118,202
|
|
|
|
—
|
|
|
|
11,032
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities at fair value through profit or loss
|
|
|
1,345,749
|
|
|
|
1,345,749
|
|
|
|
1,258,486
|
|
|
|
87,263
|
|
|
|
—
|
|
|
Derivative instruments
|
|
|
4,431,577
|
|
|
|
4,431,577
|
|
|
|
—
|
|
|
|
4,431,577
|
|
|
|
—
|
|
The fair value hierarchy of assets and liabilities measured at fair value as of December 31, 2017 is
detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities at fair value through profit or loss
|
|
|
5,795,638
|
|
|
|
5,795,638
|
|
|
|
4,230,903
|
|
|
|
1,433,301
|
|
|
|
131,434
|
|
|
Other financial assets
|
|
|
350,754
|
|
|
|
350,754
|
|
|
|
350,754
|
|
|
|
—
|
|
|
|
—
|
|
|
Other debt securities
|
|
|
16,300,249
|
|
|
|
16,300,249
|
|
|
|
10,201,453
|
|
|
|
5,995,456
|
|
|
|
103,340
|
|
|
Financial assets pledged as collateral
|
|
|
794,080
|
|
|
|
794,080
|
|
|
|
794,080
|
|
|
|
—
|
|
|
|
—
|
|
|
Investments in equity instruments
|
|
|
127,287
|
|
|
|
127,287
|
|
|
|
122,103
|
|
|
|
—
|
|
|
|
5,184
|
|
|
Derivative instruments
|
|
|
142,745
|
|
|
|
142,745
|
|
|
|
—
|
|
|
|
142,745
|
|
|
|
—
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Derivative instruments
|
|
|
229,775
|
|
|
|
229,775
|
|
|
|
—
|
|
|
|
229,775
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
- 31 -
|
|
|
The fair value hierarchy of assets and liabilities measured at fair value as of
December 31, 2016 is detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Debt securities at fair value through profit or loss
|
|
|
3,671,503
|
|
|
|
3,671,503
|
|
|
|
2,149,034
|
|
|
|
1,522,469
|
|
|
|
—
|
|
|
Other financial assets
|
|
|
154,850
|
|
|
|
154,850
|
|
|
|
154,850
|
|
|
|
—
|
|
|
|
—
|
|
|
Other debt securities
|
|
|
9,195,742
|
|
|
|
9,195,742
|
|
|
|
649,721
|
|
|
|
8,546,021
|
|
|
|
—
|
|
|
Financial assets pledged as collateral
|
|
|
147,997
|
|
|
|
147,997
|
|
|
|
147,997
|
|
|
|
—
|
|
|
|
—
|
|
|
Investments in equity instruments
|
|
|
70,808
|
|
|
|
70,808
|
|
|
|
66,400
|
|
|
|
—
|
|
|
|
4,408
|
|
|
Derivative instruments
|
|
|
53,723
|
|
|
|
53,723
|
|
|
|
28,655
|
|
|
|
25,068
|
|
|
|
—
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Derivative instruments
|
|
|
58,305
|
|
|
|
58,305
|
|
|
|
5,070
|
|
|
|
53,235
|
|
|
|
—
|
|
The fair value of a financial asset or liability is the price that would be received for the sale of an asset
or paid for the transfer of a liability in an orderly transaction between market participants at the measurement date.
The most objective
and usual reference of the fair value of a financial asset or liability is the price that would be paid in an orderly, transparent and deep market, that is to say its quoting or market price.
If it is not possible to obtain a market price, a fair value is determined using best market practice quoting techniques, such as cash flows
discount based on a yields curve for the same class and type of instrument.
In line with the accounting standard, a three-level
classification of financial instruments is established. This classification is mainly made based on the observability of the necessary inputs to calculate that fair value, defining the following levels:
|
|
•
|
|
Level 1: Valuation using the quoting of the financial instrument, observable and available in independent
prices sources and in active markets that the Group can access at the measurement date.
|
|
|
•
|
|
Level 2: Valuation with market prices with criterion different to those considered in Level 1, or
through techniques using variables obtained from observable market data.
|
|
|
•
|
|
Level 3: Valuation using models where variables not obtained from observable market information are used.
|
Financial assets at fair value mainly consist of Argentine Treasury and BCRA Bills, together with a minor share in
Argentine Government Bonds and corporate bonds. Likewise, financial derivatives are classified at fair value, which includes foreign currency forward transactions and interest rate swaps with settlement at maturity. Level 3 financial assets are
corporate bonds or
sub-sovereign
bonds
|
|
|
|
|
|
|
|
|
- 32 -
|
|
|
|
b)
|
Transfers between hierarchy levels
|
|
b.1)
|
Transfers from Level 1 to Level 2
|
The following instruments measured at fair value were transferred from Level 1 to Level 2 of the fair value hierarchy:
|
|
|
|
|
|
|
|
|
12.31.17
|
|
|
Argentine Treasury Bonds at fixed rate due 2023
|
|
|
398,162
|
|
|
Argentine Treasury Bonds in Pesos at fixed rate due 2021
|
|
|
19,776
|
|
|
Argentine Bond in Pesos at private Badlar + 325 bps. due 2020
|
|
|
(22,659
|
)
|
|
Argentine Bond in Pesos at private Badlar + 250 bps. due 2019
|
|
|
877
|
|
As of September 30, 2018, no transfers have occurred from Level 1 to Level 2.
|
b.2)
|
Transfers from Level 2 to Level 1
|
The following instruments measured at fair value were transferred from Level 2 to Level 1 of the fair value hierarchy:
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
Treasury Bills in US dollars due
11-16-18
|
|
|
1,315,513
|
|
No transfers have occurred from Level 2 to Level 1 as of December 31, 2017.
Transfers from Level 2 to Level 1 were due to the fact that, in the most recent period, the instruments had executable prices and
were listed for more than 90% of the last business days, thus qualifying for classification under Level 1.
|
b.3)
|
Valuation techniques for Levels 2 and 3
|
The determination of fair value prices set forth by the bank for fixed income consists of considering reference market prices for active
markets MAE (“
Mercado Abierto Electrónico
”) and BYMA (“
Bolsas y Mercados Argentinos
”). If there are no quotings for the last 10 business days, a theoretical assessment is made.
The valuation allocated to corporate notes and
sub-sovereign
bonds that were not listed in the last 10
business days is determined by considering the latest quoted market price, plus interest accrued until the valuation date.
The theoretical
assessment carried out for swaps and
non-delivery
forwards consists in discounting the future flows of the investment applying the interest rate as per the proper spot curve (prepared with comparable
instruments with market quoting).
The estimate of future cash flows for swaps is made considering the ARS and BADLAR rates curve as input.
In the case of
non-delivery
forwards, future cash flows are estimated considering the fair values of Rofex futures as inputs.
Calculations both for Level 2 and Level 3 species do not require quantitative information based on
non-observable
inputs. In all cases, the input data is observable: the last quoted market price (MAE or BYMA), the terms of the bond issue as detailed in the respective offering memorandum or, in the
particular case of BADLAR-adjustable bonds, the terms published in the BCRA’s web site.
|
|
|
|
|
|
|
|
|
- 33 -
|
|
|
|
b.4)
|
Reconciliation of opening and closing balances of Level 3 assets and liabilities at fair value
|
The following table shows a reconciliation between initial and closing balances of Level 3 fair values.
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
Balances at the beginning of the year
|
|
|
239,958
|
|
|
|
4,408
|
|
|
(Loss) / Income for the period recognized in profit or loss
|
|
|
(710
|
)
|
|
|
1,106
|
|
|
(Loss)/Income for the period recognized in OCI
|
|
|
(2,965
|
)
|
|
|
1,411
|
|
|
Purchases
|
|
|
154,598
|
|
|
|
112,256
|
|
|
Sales
|
|
|
(76,188
|
)
|
|
|
—
|
|
|
Transfers from Level 2
|
|
|
110,202
|
|
|
|
120,777
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at closing
|
|
|
424,895
|
|
|
|
239,958
|
|
|
|
|
|
|
|
|
|
|
|
|
c)
|
Fair value of Assets and Liabilities not measured at fair value
|
Below is a description of methodologies and assumptions used to assess the fair value of the main financial instruments not measured at fair
value, when the instrument does not have a quoting value in a known market.
|
|
•
|
|
Assets and liabilities with fair value similar to their accounting balance
|
For financial assets and financial liabilities maturing in less than one year, it is considered that the accounting balance is similar to fair
value. This assumption also applies for deposits, because a significant portion thereof (more than 99% considering contractual terms) have a residual maturity of less than one year.
|
|
•
|
|
Fixed rate financial instruments
|
The fair value of financial assets was assessed by discounting future cash flows from market rates at each measurement date for financial
instruments with similar characteristics.
|
|
•
|
|
Variable rate financial instruments
|
For financial assets and financial liabilities accruing a variable rate, it is considered that the accounting balance is similar to the fair
value.
The fair value hierarchy of assets and liabilities not measured at fair value as of September 30, 2018 is detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and deposits in banks
|
|
|
87,821,856
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Repo transactions
|
|
|
9,582,646
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial assets
|
|
|
6,422,914
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans and other financing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-financial
government sector
|
|
|
177
|
|
|
|
177
|
|
|
|
—
|
|
|
|
177
|
|
|
|
—
|
|
|
Argentine Central Bank (BCRA)
|
|
|
1
|
|
|
|
1
|
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
9,634,439
|
|
|
|
9,519,686
|
|
|
|
—
|
|
|
|
2,071,093
|
|
|
|
7,448,593
|
|
|
Non-financial
private sector and residents abroad
|
|
|
169,003,946
|
|
|
|
160,960,063
|
|
|
|
—
|
|
|
|
111,987,717
|
|
|
|
48,972,346
|
|
|
Other debt securities
|
|
|
190
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial assets pledged as collateral
|
|
|
3,985,215
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
247,227,968
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial liabilities
|
|
|
21,934,634
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financing received from the Argentine Central Bank (BCRA) and other financial
institutions
|
|
|
5,757,714
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Corporate bonds issued
|
|
|
1,735,343
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
- 34 -
|
|
|
The fair value hierarchy of assets and liabilities not measured at fair value as of
December 31, 2017 is detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and deposits in banks
|
|
|
38,235,942
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Repo transactions
|
|
|
6,329,939
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial assets
|
|
|
2,313,385
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans and other financing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-financial
government sector
|
|
|
218
|
|
|
|
218
|
|
|
|
—
|
|
|
|
218
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
4,608,947
|
|
|
|
4,608,279
|
|
|
|
—
|
|
|
|
933,359
|
|
|
|
3,674,920
|
|
|
Non-financial
private sector and residents abroad
|
|
|
123,198,549
|
|
|
|
122,052,647
|
|
|
|
—
|
|
|
|
80,890,239
|
|
|
|
41,162,408
|
|
|
Other debt securities
|
|
|
190
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial assets pledged as collateral
|
|
|
2,456,384
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
153,934,671
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Repo transactions
|
|
|
285,410
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial liabilities
|
|
|
14,002,353
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financing received from the Argentine Central Bank (BCRA) and other financial
institutions
|
|
|
691,295
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Corporate bonds issued
|
|
|
2,052,490
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
(1)
|
The Group does not report the fair value as it considers it to be similar to its accounting value.
|
The fair value hierarchy of assets and liabilities not measured at fair value as of December 31, 2016 is detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting
balance
|
|
|
Total
fair value
|
|
|
Level 1
Fair value
|
|
|
Level 2
Fair value
|
|
|
Level 3
Fair value
|
|
|
Financial Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and deposits in banks
|
|
|
48,164,949
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Repo transactions
|
|
|
58,322
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial assets
|
|
|
670,267
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans and other financing
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-financial
government sector
|
|
|
98,819
|
|
|
|
98,819
|
|
|
|
2
|
|
|
|
98,817
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
2,661,976
|
|
|
|
2,659,352
|
|
|
|
—
|
|
|
|
902,851
|
|
|
|
1,756,501
|
|
|
Non-financial
private sector and residents abroad
|
|
|
75,799,286
|
|
|
|
74,887,339
|
|
|
|
—
|
|
|
|
50,349,392
|
|
|
|
24,537,947
|
|
|
Other debt securities
|
|
|
243
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial assets pledged as collateral
|
|
|
2,036,197
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financial Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
114,610,296
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Repo transactions
|
|
|
135,139
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial liabilities
|
|
|
7,785,545
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Financing received from the Argentine Central Bank (BCRA) and other financial
institutions
|
|
|
705,080
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Corporate bonds issued
|
|
|
1,786,285
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
(1)
|
The Group does not report the fair value as it considers it to be similar to its accounting value.
|
|
|
|
|
|
|
|
|
|
- 35 -
|
|
|
Basis for segmentation
The Group identified the operating segments based on the management information reviewed by the chief operating decision maker:
|
|
•
|
|
As of September 30, 2018, the Group has determined that it has only one reporting segment related to banking
activities; and
|
|
|
•
|
|
As of September 30, 2017, December 31, 2017 and 2016, the information presented to the chief operating
decision maker was prepared based on the following operating segments: (i) BBVA Banco Francés S.A. (banking), and (ii) Volkswagen Financial Services S.A. (financial services), each considered by the Group as a single reportable
segment.
|
Reportable segments are strategic business units offering different products and services. They are managed
separately because each segment is aimed at different markets and consequently requires different commercialization technologies and strategies.
During 2017, the Entity updated its internal business segment information adding the analysis of loans and deposits per lines of business
(corporate banking, small and medium enterprises and retail).
The following tables present information regarding business segments:
|
|
|
|
|
|
|
BBVA Banco Francés S.A. (bank) (1)
|
|
Total as of
09.30.18
|
|
|
Loans and other financing
|
|
|
178,638,563
|
|
|
Corporate Banking
|
|
|
58,706,660
|
|
|
Small and medium companies
|
|
|
50,176,235
|
|
|
Retail
|
|
|
69,755,669
|
|
|
Other assets
|
|
|
155,269,607
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
333,908,170
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
247,227,968
|
|
|
Corporate Banking
|
|
|
41,702,887
|
|
|
Small and medium companies
|
|
|
46,546,184
|
|
|
Retail
|
|
|
158,978,897
|
|
|
Other liabilities
|
|
|
51,026,170
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
298,254,138
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 36 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BBVA Banco
Francés S.A.
(bank) (1)
|
|
|
VWFS (financial
services)
|
|
|
Total
as of 12.31.17
|
|
|
Loans and other financing
|
|
|
123,126,092
|
|
|
|
4,681,622
|
|
|
|
127,807,714
|
|
|
Corporate Banking
|
|
|
30,515,864
|
|
|
|
—
|
|
|
|
30,515,864
|
|
|
Small and medium companies
|
|
|
40,895,786
|
|
|
|
2,010,777
|
|
|
|
42,906,563
|
|
|
Retail
|
|
|
51,714,442
|
|
|
|
2,670,845
|
|
|
|
54,385,287
|
|
|
Other assets
|
|
|
85,209,812
|
|
|
|
137,632
|
|
|
|
85,347,444
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
208,335,904
|
|
|
|
4,819,254
|
|
|
|
213,155,158
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
153,934,671
|
|
|
|
—
|
|
|
|
153,934,671
|
|
|
Corporate Banking
|
|
|
13,199,994
|
|
|
|
—
|
|
|
|
13,199,994
|
|
|
Small and medium companies
|
|
|
31,526,243
|
|
|
|
—
|
|
|
|
31,526,243
|
|
|
Retail
|
|
|
109,208,434
|
|
|
|
—
|
|
|
|
109,208,434
|
|
|
Other liabilities
|
|
|
28,410,590
|
|
|
|
425,539
|
|
|
|
28,836,129
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
182,345,261
|
|
|
|
425,539
|
|
|
|
182,770,800
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BBVA Banco
Francés S.A.
(bank) (1)
|
|
|
VWFS (financial
services)
|
|
|
Total
as of 12.31.16
|
|
|
Loans and other financing
|
|
|
76,974,605
|
|
|
|
1,585,476
|
|
|
|
78,560,081
|
|
|
Other assets
|
|
|
74,999,661
|
|
|
|
192,719
|
|
|
|
75,192,380
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
151,974,266
|
|
|
|
1,778,195
|
|
|
|
153,752,461
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
114,610,296
|
|
|
|
—
|
|
|
|
114,610,296
|
|
|
Other liabilities
|
|
|
18,795,909
|
|
|
|
256,761
|
|
|
|
19,052,670
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
133,406,205
|
|
|
|
256,761
|
|
|
|
133,662,966
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BBVA Banco
Francés S.A.
(bank) (1)
|
|
|
VWFS (financial
services)
|
|
|
Total
as of 09.30.17
|
|
|
Net income from interest and similar items
|
|
|
9,824,879
|
|
|
|
586,300
|
|
|
|
10,411,179
|
|
|
Net commission income
|
|
|
1,941,033
|
|
|
|
(13,025
|
)
|
|
|
1,928,008
|
|
|
Income from financial assets at fair value through profit or loss
|
|
|
1,855,096
|
|
|
|
—
|
|
|
|
1,855,096
|
|
|
Income from write-down of assets at amortized cost
|
|
|
6,723
|
|
|
|
—
|
|
|
|
6,723
|
|
|
Net foreign exchange difference
|
|
|
1,372,000
|
|
|
|
182
|
|
|
|
1,372,182
|
|
|
Other operating income
|
|
|
3,252,029
|
|
|
|
1,787
|
|
|
|
3,253,816
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL OPERATING INCOME BEFORE FINANCIAL ASSETS IMPAIRMENT LOSS
|
|
|
18,251,760
|
|
|
|
575,244
|
|
|
|
18,827,004
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loan loss provision generated by loans
|
|
|
(1,370,845
|
)
|
|
|
(24,164
|
)
|
|
|
(1,395,009
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SUBTOTAL
|
|
|
16,880,915
|
|
|
|
551,080
|
|
|
|
17,431,995
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total operating expenses
|
|
|
(13,259,069
|
)
|
|
|
(138,523
|
)
|
|
|
(13,397,592
|
)
|
|
Total income from associates and joint ventures
|
|
|
386,661
|
|
|
|
—
|
|
|
|
386,661
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME BEFORE INCOME TAX
|
|
|
4,008,507
|
|
|
|
412,557
|
|
|
|
4,421,064
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income tax
|
|
|
(1,267,763
|
)
|
|
|
(32,047
|
)
|
|
|
(1,299,810
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME
|
|
|
2,740,744
|
|
|
|
380,510
|
|
|
|
3,121,254
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders of the Controlling Entity
|
|
|
|
|
|
|
|
|
|
|
3,094,050
|
|
|
Non-controlling interest
|
|
|
|
|
|
|
|
|
|
|
27,204
|
|
|
(1)
|
Includes BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de
Inversión, BBVA Francés Valores S.A. and Consolidar A.F.J.P. (undergoing liquidation proceedings).
|
|
|
|
|
|
|
|
|
|
- 37 -
|
|
|
Below is the information on the Bank’s subsidiaries:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Name
|
|
Registered Office (country)
|
|
|
Ownership interest as of
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
BBVA Francés Valores S.A.
|
|
|
Argentina
|
|
|
|
96.9953
|
%
|
|
|
96.9953
|
%
|
|
|
96.9953
|
%
|
|
Consolidar A.F.J.P. S.A. (undergoing liquidation proceedings)
|
|
|
Argentina
|
|
|
|
53.8892
|
%
|
|
|
53.8892
|
%
|
|
|
53.8892
|
%
|
|
Volkswagen Financial Services Compañía Financiera S.A.
|
|
|
Argentina
|
|
|
|
(2
|
)
|
|
|
51.0000
|
%
|
|
|
51.0000
|
%
|
|
BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión
(1)
|
|
|
Argentina
|
|
|
|
95.0000
|
%
|
|
|
95.0000
|
%
|
|
|
95.0000
|
%
|
|
(1)
|
The Entity owns a direct 95% interest in the Company’s capital stock and an indirect 4.8498% interest
through BBVA Francés Valores S.A.
|
|
(2)
|
On September 25, 2018, the Bank deconsolidated Volkswagen Financial Services Compañía
Financiera S.A. as a result of the loss of control referred to in Note 1.
|
|
45.
|
Involvement with
non-consolidated
structured entities
|
The Group participates in a fiduciary capacity and as manager of financial and
non-financial
trusts and mutual investment funds (refer to Notes 53 and 54).
The Bank’s direct controlling entity is Banco Bilbao Vizcaya Argentaria.
|
|
b)
|
Key Management personnel
|
Pursuant to IAS 24, key management personnel are those having the authority and responsibility for planning, managing and controlling the
Group’s activities, whether directly or indirectly.
Based on that definition, the Group considers the members of the Board of
Directors as key personnel.
|
|
b.1)
|
Remuneration of key management personnel
|
The key personnel of the Board of Directors received the following compensations:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Fees
|
|
|
8,714
|
|
|
|
6,079
|
|
|
Total
|
|
|
8,714
|
|
|
|
6,079
|
|
|
|
|
|
|
|
|
|
|
- 38 -
|
|
|
|
|
b.2)
|
Transactions and balances with key management personnel
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit cards
|
|
|
2,146
|
|
|
|
2,435
|
|
|
|
1,907
|
|
|
|
69
|
|
|
|
44
|
|
|
Overdrafts
|
|
|
27
|
|
|
|
20
|
|
|
|
—
|
|
|
|
7
|
|
|
|
12
|
|
|
Personal loans
|
|
|
—
|
|
|
|
10
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8
|
|
|
Mortgage loans
|
|
|
1,329
|
|
|
|
1,366
|
|
|
|
—
|
|
|
|
178
|
|
|
|
184
|
|
|
Financial leases
|
|
|
—
|
|
|
|
—
|
|
|
|
86
|
|
|
|
—
|
|
|
|
1
|
|
|
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Checking account
|
|
|
9
|
|
|
|
12
|
|
|
|
3
|
|
|
|
—
|
|
|
|
—
|
|
|
Savings account
|
|
|
26,826
|
|
|
|
10,567
|
|
|
|
4,511
|
|
|
|
2
|
|
|
|
1
|
|
|
Term deposits
|
|
|
—
|
|
|
|
—
|
|
|
|
6,306
|
|
|
|
—
|
|
|
|
—
|
|
Loans are granted on an arm’s length basis.
|
|
b.3)
|
Transactions and balances with related parties (except key Management personnel)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
Parent
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash balances and deposits in banks
|
|
|
350,603
|
|
|
|
425,754
|
|
|
|
245,089
|
|
|
|
—
|
|
|
|
—
|
|
|
Derivative instruments (Assets)
|
|
|
9,946
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other Non-financial Liabilities
|
|
|
192,783
|
|
|
|
54,701
|
|
|
|
113,967
|
|
|
|
77,483
|
|
|
|
46,306
|
|
|
Securities in custody
|
|
|
64,789,534
|
|
|
|
62,359,948
|
|
|
|
37,468,665
|
|
|
|
—
|
|
|
|
—
|
|
|
Derivative instruments (Memorandum Accounts)
|
|
|
212,769
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,353
|
|
|
|
—
|
|
|
Sureties Granted
|
|
|
585,981
|
|
|
|
296,403
|
|
|
|
126,286
|
|
|
|
17
|
|
|
|
—
|
|
|
Guarantees Received
|
|
|
1,100
|
|
|
|
371
|
|
|
|
371
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
- 39 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
Associates
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash and deposits in banks
|
|
|
77
|
|
|
|
76
|
|
|
|
8
|
|
|
|
|
|
|
|
—
|
|
|
Loans and other financing
|
|
|
6,137,148
|
|
|
|
2,067,515
|
|
|
|
1,165,928
|
|
|
|
645,901
|
|
|
|
478,416
|
|
|
Debt securities at fair value through profit or loss
|
|
|
14,154
|
|
|
|
4,179
|
|
|
|
5,849
|
|
|
|
11,146
|
|
|
|
—
|
|
|
Derivative instruments (Assets)
|
|
|
—
|
|
|
|
743
|
|
|
|
3,093
|
|
|
|
—
|
|
|
|
13,315
|
|
|
Deposits
|
|
|
278,817
|
|
|
|
36,506
|
|
|
|
25,983
|
|
|
|
5,642
|
|
|
|
—
|
|
|
Other Non-Financial Liabilities
|
|
|
3,370
|
|
|
|
3,124
|
|
|
|
407
|
|
|
|
5,599
|
|
|
|
3,855
|
|
|
Financing Received
|
|
|
—
|
|
|
|
82,175
|
|
|
|
—
|
|
|
|
5,357
|
|
|
|
—
|
|
|
Derivative instruments (Liabilities)
|
|
|
408,246
|
|
|
|
12,026
|
|
|
|
576
|
|
|
|
505,739
|
|
|
|
—
|
|
|
Corporate bonds issued
|
|
|
80,716
|
|
|
|
95,374
|
|
|
|
29,738
|
|
|
|
21,600
|
|
|
|
5,179
|
|
|
Interest Rate Swaps
|
|
|
2,609,450
|
|
|
|
2,711,960
|
|
|
|
1,087,279
|
|
|
|
—
|
|
|
|
—
|
|
|
Securities in custody
|
|
|
1,017,841
|
|
|
|
223,475
|
|
|
|
380,819
|
|
|
|
—
|
|
|
|
—
|
|
|
Notes
|
|
|
28,676
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Transactions have been agreed upon on an arm’s length basis.
|
47.
|
Restrictions to the payment of dividends
|
Pursuant to the provisions in the regulation in force issued by the BCRA, financial institutions shall apply an annual 20% of the year’s
profits to increase legal reserves.
Furthermore, pursuant to the requirements in General Resolution No. 622 issued by the CNV, the
Shareholders’ Meeting considering the financial statements with positive accumulated results shall specifically provide for the allocation of those results.
Specifically, the mechanism to be followed by financial institutions to assess distributable balances is defined by the BCRA through the
regulations in force on the “Distribution of earnings”, provided certain conditions are not met, such as the registration for financial assistance for lack of liquidity granted by that entity, deficiencies in capital or minimum cash
contributions and the existence of a certain type of penalty set forth by various regulators and weighted as significant and/or failure to implement corrective measures, among other conditions.
In addition, the Group shall maintain a minimum capital after the proposed distribution of profits.
|
|
|
|
|
|
|
|
|
- 40 -
|
|
|
On April 10, 2018 the Shareholders’ Meeting approved the distribution of dividends
for an amount of 970,000, which were paid on May 9, 2018. Furthermore, on March 30, 2017, the Shareholders’ Meeting approved the distribution of dividends for an amount of 911,000, which were paid on August 10, 2017.
The Shareholders’ Meeting of the subsidiary BBVA Francés Valores S.A. held on April 19, 2018 approved the distribution of
dividends for an amount of 20,000, which were paid on May 18, 2018.
The Shareholders’ Meeting of the subsidiary BBVA
Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión held on April 20, 2018, approved the distribution of dividends for an amount of 221,266, which were paid on May 15, 2018. Furthermore, the
Shareholders’ Meeting held on April 24, 2017 approved the distribution of dividends for an amount of 140,000, which were paid on May 29, 2017.
|
48.
|
Restricted availability assets
|
As of September 30, 2018, as of December 31, 2017 and 2016, the Entity has the following restricted assets:
|
|
a)
|
The Entity applied Argentine Treasury Bonds adjusted by CER in pesos maturing in 2021 in the amount of 76,508
and 41,108 as of September 30, 2018 and December 31, 2017, respectively, and Secured Bonds maturing in 2020 in the amount of 41,997 as of December 31, 2016, as security for loans agreed under the Global Credit Program for micro, small
and medium enterprises granted by the Inter-American Development Bank (IDB).
|
|
|
b)
|
The Entity applied Argentine Treasury Bonds adjusted by CER in pesos maturing in 2021 in the amount of 7,830 as
of December 31, 2017, and Secured Bonds maturing in 2020 in the amount of 45,717 as of December 31, 2016, as guarantee for funding granted by the Bicentennial Fund.
|
|
|
c)
|
Also, the Entity has accounts, deposits and trusts applied as guarantee for activities related to credit card
transactions, with automated clearing houses, transactions settled at maturity, foreign currency futures, court proceedings and leases in the amount of 6,301,957, 2,932,754 and 2,049,102, as of September 30, 2018, December 31, 2017 and
2016, respectively.
|
|
|
d)
|
The Entity maintains accounts opened at the BCRA for retirement and pension payments for 167,006 as of
September 30, 2018.
|
|
|
e)
|
The Entity applied Argentine Treasury Bonds adjusted by CER in pesos maturing in 2021 in the amount of 227,946
as of December 31, 2016, as security for its role in the custody safekeeping on behalf of the Guarantee Fund for the Sustainability of the Argentine Retirement and Pension Regime and custody of Registered Bills.
|
|
|
f)
|
BBVA Francés Valores S.A. has shares in Mercado de Valores de Buenos Aires S.A. (VALO) in the amounts of
28,240 and 35,417, and BYMA, in the amounts of 89,962 and 85,000 as of September 30, 2018 and December 31, 2017, respectively. Those shares are subject to a lien over credit rights in favor of “Crédito and Caución
Compañía de Seguros S.A.” under the insurance contract signed by the company issuing such shares, to secure noncompliance with the company’s obligations.
|
That company registered the shares in Mercado de Valores de Buenos Aires S.A. (MERVAL), in the amount of 66,400 as of December 31, 2016.
These shares were subject to a lien over credit rights in favor of “CHUBB Argentina de Seguros S.A.” under the insurance contract executed by the company issuing those shares, to secure noncompliance with the company’s obligations.
|
|
|
|
|
|
|
|
|
- 41 -
|
|
|
|
49.
|
Deposits guarantee regime
|
The Entity is included in the Deposits Guarantee Fund Insurance System of Law No. 24,485, Regulatory Decrees No. 540/95,
No. 1292/96, No. 1127/98 and No. 30/18 and Communication “A” 5943 issued by the BCRA
That law provided for the
incorporation of the company “Seguros de Depósitos Sociedad Anónima” (SEDESA) for the purpose of managing the Deposits Guarantee Fund (DGF), the shareholders of which, pursuant to the changes introduced by Decree
No. 1292/96, will be the BCRA with at least one share and the trustees of the trust with financial institutions in the proportion determined by the BCRA for each, based on their contributions to the DGF.
In August 1995 that company was incorporated, and the Entity has a 9.363% share of the corporate stock.
The Deposits Guarantee Insurance System, which is limited, mandatory and for valuable consideration, has been created for the purpose of
covering bank deposit risks as a supplement of the deposits privileges and protection system set forth by the Law on Financial Institutions.
The guarantee covers the refund of the principal paid plus interest accrued up to the date of revocation of the authorization to operate or
until the date of suspension of the entity by application of Section 49 of the Articles of Organization of the BCRA, if this measure had been adopted previously, without exceeding the amount of four hundred and fifty thousand pesos. For
transactions in the name of two or more people, the guarantee shall be distributed on a
pro-rata
basis among them. In no case shall the total guarantee per person exceed the aforementioned amount, regardless
of the number of accounts and/or deposits.
In addition, it is set forth that financial institutions shall make a monthly contribution to
the DGF an amount equivalent to 0.015% of the monthly average of daily balances of the items listed in the related regulations.
As of
September 30, 2018 and 2017 the contributions to the Fund have been recorded in the item “Other operating expenses - Contributions to the deposits guarantee fund” in the amounts of 223,842 and 156,365, respectively.
|
50.
|
Minimum cash and minimum capital requirements
|
50.1 Minimum cash requirements
The BCRA establishes different cautious regulations to be observed by financial institutions, mainly regarding solvency levels, liquidity and
credit assistance levels.
Minimum cash regulations set forth an obligation to keep liquid assets in relation to deposits and other
obligations recorded for each period. The items included for the purpose of meeting that requirement are detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Balances at the BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Argentine Central Bank (BCRA) – checking account - not restricted
|
|
|
66,734,020
|
|
|
|
28,112,990
|
|
|
|
31,248,052
|
|
|
Argentine Central Bank (BCRA) – special guarantee accounts – restricted (Note
14)
|
|
|
1,717,920
|
|
|
|
977,566
|
|
|
|
914,587
|
|
|
Argentine Central Bank (BCRA) – special retirement and pension accounts – restricted
(Note 48)
|
|
|
206,364
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
68,658,304
|
|
|
|
29,090,556
|
|
|
|
32,162,639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Argentine Treasury Bonds in pesos at fixed rate due November 2020
|
|
|
6,056,250
|
|
|
|
—
|
|
|
|
—
|
|
|
Liquidity Bills – B.C.R.A.
|
|
|
17,421,132
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
92,135,686
|
|
|
|
29,090,556
|
|
|
|
32,162,639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 42 -
|
|
|
|
|
50.2
|
Minimum capital requirements
|
The regulatory breakdown of minimum capitals is as follows as of the above mentioned date:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Credit risk
|
|
|
17,914,664
|
|
|
|
11,661,200
|
|
|
Operational risk
|
|
|
3,256,660
|
|
|
|
2,414,538
|
|
|
Market risk
|
|
|
192,083
|
|
|
|
317,338
|
|
|
Breach of other technical ratios
|
|
|
25,102
|
|
|
|
—
|
|
|
Pay-in
|
|
|
35,303,313
|
|
|
|
26,009,378
|
|
|
|
|
|
|
|
|
|
|
|
|
Excess
|
|
|
13,914,804
|
|
|
|
11,616,302
|
|
|
|
|
|
|
|
|
|
|
|
|
51.
|
Compliance with the provisions of the Argentine Securities Commission – minimum shareholders’
equity and liquid assets
|
According to CNV’s General Resolution No. 622/13, as amended by CNV’s
General Resolution No. 731, the minimum Shareholders’ Equity required to operate as “Settlement and Clearing Agent - Comprehensive” and “Mutual Investment Funds Products Custodian Agent” amounts to 27,000 and the
minimum of liquid assets required by those rules amounts to 13,750. This amount is available in Argentine Treasury Bonds adjusted by CER due 2021 deposited with the account opened at Caja de Valores S.A. entitled “Depositor 1647 Brokerage
Account 5446483 BBVA Banco Francés Minimum Counterbalancing Entry”. As of September 30, 2018, December 31, 2017 and 2016, the Bank’s Shareholders’ Equity exceeds the minimum amount imposed by the CNV.
Likewise, the subsidiary BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión, as Mutual Investment
Funds Products Management Agent, provided the minimum counterbalance entry required by the CNV, with 282,641 investment units of FBA Ahorro Pesos Fondo Común de Inversión, for a balance of 3,672, through custody account
No. 493-0005459481
at BBVA Banco Francés S.A. The minimum equity required to act as Mutual Investment Funds Products Management Agent of the Company amounts to 2,100. As of September 30, 2018,
December 31, 2017 and 2016, the company’s Shareholders’ Equity exceeds the minimum amount imposed by the CNV.
The
subsidiary BBVA Francés Valores S.A., as Comprehensive Settlement and Clearing Agent, provided the minimum counterbalance entry required by the CNV, with 9,000,000 investment units of FBA Renta Fija Plus for an amount of 11,875, through
custody account
No. 601-493-0005448549
at BBVA Banco Francés S.A. The minimum equity required to act as Comprehensive Settlement and Clearing Agent amounts
to 18,000, while the liquid counterbalance entry amounts to 9,000. As of September 30, 2018, December 31, 2017 and 2016, the company’s Shareholders’ Equity exceeds the minimum amount imposed by the CNV.
|
|
|
|
|
|
|
|
|
- 43 -
|
|
|
|
52.
|
Compliance with the provisions of the Argentine Securities Commission – documentation
|
The CNV issued General Resolution No. 629 on August 14, 2014 to introduce changes to its own rules
governing the maintenance and safekeeping of corporate books, accounting records and business documentation. In this respect, it is reported that the Bank keeps the documentation that supports its operations for the periods still open to audit for
safekeeping in Administradora de Archivos S.A. (AdeA), domiciled at Ruta 36 Km, 31,5 of Florencio Varela, Province of Buenos Aires.
In
addition, it is put on record that a detail of the documentation delivered for safekeeping, as well as the documentation referred to in Section 5,
Sub-section
a.3), Section I of Chapter V of Title II of
the CNV rules is available at the Bank’s registered office (Amended Text 2013 and amending regulations).
On January 5, 2001, the Board of Directors of BCRA issued Resolution No. 19/2001, providing for the exclusion of Mercobank
S.A.’s senior liabilities under the terms of section 35
bis
of the Financial Institutions Law, the authorization to transfer the excluded assets to the Bank as trustee of the Diagonal Trust, and the authorization to transfer the excluded
liabilities to beneficiary banks. Also, on the mentioned date, the agreement to set up the Diagonal Trust was subscribed by Mercobank S.A. as Settler and the Bank as Trustee in relation to the exclusion of assets as provided in the above-mentioned
resolution. As of September 30, 2018, December 31, 2017 and 2016, the assets of Diagonal Trust amount to 2,427, considering its recoverable value.
In addition, the Entity in its capacity as Trustee in the Corp Banca Trust recorded the selected assets on account of the redemption in kind of
participation certificates for 4,177 as of September 30, 2018, December 31, 2017 and 2016.
In addition, the Entity acts as
Trustee in 11
non-financial
trusts, in no case as personally liable for the liabilities assumed in the performance of the contract obligations; such liabilities will be settled with and up to the full amount
of the trust assets and the proceeds therefrom. The
non-financial
trusts concerned were set up to manage assets and/or secure the receivables of several creditors (beneficiaries) and the trustee was entrusted
the management, care, preservation and custody of the corpus assets until (i) the requirements to show the noncompliance with the obligations by the debtor (settler)
vis-a-vis
the creditors (beneficiaries) are met, when such assets will be sold and the proceeds therefrom will be distributed (net of expenses) among all
beneficiaries, the remainder (if any) being delivered to the settler, or (ii) all contract terms and conditions are complied with, in which case all the trust assets will be returned to the settler or to whom it may indicate. The trust assets
totaled 231,632, 167,724 and 152,337 as of September 30, 2018, December 31, 2017 and 2016, respectively, and consist of cash, creditors’ rights, real estate and shares.
As of September 30, 2018, December 31, 2017 and 2016, the Entity holds in custody, as Custodian Agent of Mutual Funds managed by BBVA
Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de Inversión, term deposit certificates, shares, corporate bonds, government securities, mutual investments, deferred payment checks, BCRA instruments, Buenos Aires City
Government Bills, ADRS, Buenos Aires Province Government Bills and repos in the amounts of 20,361,356, 31,533,051 and 16,665,210, which are part of the Funds’ portfolio and are recorded in debit accounts “Control – Others”.
|
|
|
|
|
|
|
|
|
- 44 -
|
|
|
The Mutual Funds equities are as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY AS OF
|
|
|
|
|
|
MUTUAL FUNDS
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
FBA Renta Pesos
|
|
|
14,648,149
|
|
|
|
4,965,075
|
|
|
|
2,609,965
|
|
|
FBA Renta Fija Dólar
|
|
|
5,196,379
|
|
|
|
3,571,433
|
|
|
|
—
|
|
|
FBA Ahorro Pesos
|
|
|
4,727,063
|
|
|
|
15,207,847
|
|
|
|
11,269,857
|
|
|
FBA Bonos Argentina
|
|
|
4,425,166
|
|
|
|
5,602,270
|
|
|
|
2,793,125
|
|
|
FBA Renta Fija Dólar Plus
|
|
|
2,385,616
|
|
|
|
3,631,659
|
|
|
|
—
|
|
|
FBA Horizonte
|
|
|
2,292,220
|
|
|
|
317,162
|
|
|
|
252,402
|
|
|
FBA Acciones Argentinas
|
|
|
554,351
|
|
|
|
615,530
|
|
|
|
35,594
|
|
|
FBA Calificado
|
|
|
518,650
|
|
|
|
617,636
|
|
|
|
393,708
|
|
|
FBA Acciones Latinoamericanas
|
|
|
426,607
|
|
|
|
193,867
|
|
|
|
101,400
|
|
|
FBA Horizonte Plus
|
|
|
230,151
|
|
|
|
78,972
|
|
|
|
—
|
|
|
FBA Renta Fija Plus (ex FBA Commodities)
|
|
|
193,092
|
|
|
|
237,710
|
|
|
|
—
|
|
|
FBA Retorno Total II
|
|
|
132,787
|
|
|
|
34,524
|
|
|
|
—
|
|
|
FBA Retorno Total I
|
|
|
123,630
|
|
|
|
9,104
|
|
|
|
—
|
|
|
FBA Renta Mixta
|
|
|
115,495
|
|
|
|
327,777
|
|
|
|
9,055
|
|
|
FBA Bonos Globales
|
|
|
73,789
|
|
|
|
6,837
|
|
|
|
282
|
|
|
FBA Bonos Latam
|
|
|
61,686
|
|
|
|
32,541
|
|
|
|
—
|
|
|
FBA Renta Pesos Plus
|
|
|
14,467
|
|
|
|
11,894
|
|
|
|
10,083
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
36,119,298
|
|
|
|
35,461,838
|
|
|
|
17,475,471
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The subsidiary BBVA Francés Asset Management S.A. acts as mutual funds manager, authorized by the CNV,
which registered that company as mutual funds management agent under No.
3 under Provision 2002 issued by the CNV on August 7, 2014.
|
55.
|
Penalties and administrative proceedings instituted by the BCRA
|
According to the requirements of Communication “A” 5689, as amended, issued by the BCRA, below is a detail of the administrative
and/or disciplinary penalties as well as the sentences imposed by criminal trial courts, enforced or brought by the BCRA of which the Entity has been notified:
Administrative proceedings commenced by the BCRA
|
|
•
|
|
“Banco Francés S.A. over breach of Law 19,359”.
Administrative Proceedings for Foreign
Exchange Offense investigated by the BCRA notified on February 22, 2008 and identified under No. 3511, File No. 100,194/05, on grounds of a breach of the Criminal Foreign Exchange Regime of foreign currency by reason of purchases and
sales of US Dollars through the BCRA in excess of the authorized amounts. These totaled 44 transactions involving the Bank’s branches 099, 342, 999 and 320. BBVA Banco Francés S.A. and the following Bank officers who served in the
capacities described below at the date when the breaches were perpetrated were accused: (i) two Territory Managers, (ii) four Branch Managers, (iii) four Heads of Back-Office Management and (iv) twelve cashiers. On
August 21, 2014, the trial court acquitted all the accused from all charges. The State Attorney’s Office filed an appeal and the Panel A of the Appellate Court with jurisdiction over Criminal and Economic Matters confirmed the Bank’s
and the involved officers’ acquittal from all charges. The State Attorney’s Office filed an Extraordinary Appeal which was granted and, as of the date of these financial statements, is being heard by the Supreme Court of Justice.
|
|
|
|
|
|
|
|
|
|
- 45 -
|
|
|
|
|
•
|
|
“Banco Francés S.A. over breach of Law 19,359”.
Administrative Proceedings for Foreign
Exchange Offense investigated by the BCRA notified on December 1, 2010 and identified under No. 4539, File No. 18,398/05 where charges focus on simulated foreign exchange transactions through false statements in their processing
incurred by personnel from five branches in Mar del Plata, which would entail failure to comply with the client identification requirements imposed by foreign exchange rules and regulations through Communication “A” 3471, paragraph 6. BBVA
Banco Francés S.A., the five regular members of the Board of Directors and the following Bank officers who served in the capacities described below at the date when the breaches were perpetrated were accused: (i) the Retail Bank Manager,
(ii) the Territorial Manager, (iii) the Area Manager, (iv) a commercial aide to the Area Manager, (v) five Branch Managers, (vi) four Heads of Back-Office Management, (vii) five Main Cashiers and (viii) one
cashier. To date, the case is being heard by Federal Court No. 3, Criminal Division, of the City of Mar del Plata, under File No. 16,377/2016. On June 21, 2017 the court sought to obtain further evidence at its own initiative ordering
that a court letter should be sent to the BCRA for it to ascertain if the rules governing the charges pressed in the Case File No. 18,398/05 Summary Proceedings No. 4539 have been subject to any change. The BCRA answered the request from
the Court, stating that
non-compliance
with the provisions in Communication “A” 3471 would not currently be a case of application of the most favorable criminal law. Moreover, the Entity is waiting
for an answer by the Court regarding the transfer of the requested court files. On July 5, 2018, the Entity was notified of the hearing under Section No. 41 of the Criminal Code, which was held on August 7, 2018.
|
|
|
•
|
|
“BBVA Banco Francés S.A. over breach of Law 19,359”.
Administrative Proceedings for
Foreign Exchange Offense investigated by the BCRA notified on December 1, 2010 and identified under No. 4524, File No. 3,406/06 where charges focus on simulated foreign exchange transactions, conducted in the name of a deceased,
perpetrated by personnel from the Branch 240 - Mendoza -, which would entail failure to comply with the client identification requirements imposed by foreign exchange rules and regulations through Communication “A” 3471, Paragraph 6. BBVA
Banco Francés S.A., five regular members of the Board of Directors and the following Bank officers who served in the capacities described below at the date when the breaches were perpetrated were accused: (i) the Retail Bank Manager,
(ii) the Territorial Manager, (iii) the Area Manager, (iv) the Branch Manager, (v) the Back Office Branch Management Head and (vi) the Main Cashier. The period for offering and producing evidence came to a close. The case is
being heard by the Federal Court No. 1, Criminal department of the city of Mendoza, File No. 23,461/2015. The Federal Court of Mendoza requested by electronic mail to the Federal Justice of Comodoro Rivadavia and Mar del Plata, to certify
the causes that are said to be related in terms of procedural object, imputed and legal qualification. The Federal Justice of Comodoro Rivadavia answered the letter partially while the Federal Justice of Mar del Plata has not done so at the date of
issuance of these financial statements.
|
|
|
•
|
|
“BBVA Banco Francés S.A. over breach of Law 19,359”.
Administrative Proceedings for
Foreign Exchange Offense investigated by the BCRA notified on July 26, 2013 and identified under No. 5406, File No. 100,443/12 where charges focus on simulated foreign exchange transactions through false statements in their processing
incurred by personnel in Branch 087 - Salta -, which would entail failure to comply with the client identification requirements imposed by foreign exchange rules and regulations through Communication “A” 3471, Paragraph 6. BBVA Banco
Francés S.A. and the following Bank officers who served in the capacities described below at the date when the breaches were perpetrated were accused: (i) the Branch Manager (ii) the Back Office Management Head, (iii) the Main
Cashier and (iv) two cashiers. The period for offering and producing evidence came to a close and the BCRA must send the file to Salta’s Federal Court.
|
|
|
•
|
|
“BBVA Banco Francés S.A. over breach of Law 19,359”.
Administrative Proceedings for
foreign exchange offense by the BCRA, notified on December 23, 2015 and identified under No. 6684, File No. 100,068/13. The proceedings were brought for allegedly having completed operations under Code 631 “Professional and
technical business services” from ROCA ARGENTINA S.A. against the applicable exchange regulations (Communications “A” 3471, “A” 3826 and “A” 5264), allegedly the
|
|
|
|
|
|
|
|
|
|
- 46 -
|
|
|
|
|
provision of the services has not been fully evidenced. BBVA Banco Francés S.A. and two of the Entity’s officers holding the positions described below on the date of the charges were
accused: (i) the Foreign Trade Manager and (ii) an officer of the Area. The BCRA has decided that the period for the production of evidence has come to an end. The case is being heard by Federal Court No. 2, in Lomas de Zamora,
Province of Buenos Aires, Criminal Division, under File No. 39,130/2017. On October 26, 2017, the Entity filed a request for retroactive application of the most favorable criminal law, given that Communication “A” 5264, known as
the “lifting of the restriction of foreign trade transactions”, released the payment of services abroad.
|
The
Entity and its legal advisors estimate that a reasonable interpretation of the applicable regulations in force was made and do not expect an adverse financial impact on these senses.
|
56.
|
Initial implementation of the financial reporting framework established by the BCRA
|
The items and amounts in the reconciliations included in this note are subject to changes and shall only be
considered final upon preparation of the annual consolidated financial statements for this fiscal year.
|
|
a)
|
Reconciliations of equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reference
|
|
|
12.31.17
|
|
|
09.30.17
|
|
|
12.31.16
|
|
|
Equity as per the previous financial statements
|
|
|
|
|
|
|
26,056,548
|
|
|
|
24,638,812
|
|
|
|
16,460,035
|
|
|
Adjustments due to initial implementation of the new financial reporting framework set forth by
the BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deemed cost of properties
|
|
|
(a)
|
|
|
|
4,889,491
|
|
|
|
4,909,496
|
|
|
|
4,960,575
|
|
|
Effective rate of Loans
|
|
|
(b)
|
|
|
|
(316,269
|
)
|
|
|
(261,198
|
)
|
|
|
(559,072
|
)
|
|
Rate below market rate
|
|
|
(c)
|
|
|
|
(3,116
|
)
|
|
|
—
|
|
|
|
—
|
|
|
Fair value of government and private securities
|
|
|
(d)
|
|
|
|
(24,587
|
)
|
|
|
(14,193
|
)
|
|
|
(31,439
|
)
|
|
Fair value of derivatives
|
|
|
(e)
|
|
|
|
(37,337
|
)
|
|
|
(37,188
|
)
|
|
|
(34,122
|
)
|
|
Equity method for associates and joint ventures
|
|
|
(f)
|
|
|
|
115,304
|
|
|
|
195,943
|
|
|
|
155,464
|
|
|
Assets and Liabilities for contracts with customers
|
|
|
(g)
|
|
|
|
(131,840
|
)
|
|
|
(126,202
|
)
|
|
|
(138,665
|
)
|
|
Goodwill
|
|
|
(h)
|
|
|
|
360
|
|
|
|
270
|
|
|
|
—
|
|
|
Deferred income tax
|
|
|
(i)
|
|
|
|
(450,485
|
)
|
|
|
(781,217
|
)
|
|
|
(981,667
|
)
|
|
Financial guarantee contracts
|
|
|
(j)
|
|
|
|
(5,454
|
)
|
|
|
(5,393
|
)
|
|
|
(3,425
|
)
|
|
Employee benefits
|
|
|
(k)
|
|
|
|
(1,562
|
)
|
|
|
(2,302
|
)
|
|
|
(1,683
|
)
|
|
Actions for the protection of constitutional rights (
Amparos
)
|
|
|
(l)
|
|
|
|
(4,821
|
)
|
|
|
(4,504
|
)
|
|
|
(4,243
|
)
|
|
Non-controlling
interest
|
|
|
(m)
|
|
|
|
298,126
|
|
|
|
295,049
|
|
|
|
267,737
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
30,384,358
|
|
|
|
28,807,373
|
|
|
|
20,089,495
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to the Bank
|
|
|
|
|
|
|
30,076,334
|
|
|
|
28,509,307
|
|
|
|
19,818,422
|
|
|
Attributable to the
non-controlling
interest
|
|
|
|
|
|
|
308,024
|
|
|
|
298,066
|
|
|
|
271,073
|
|
|
|
|
|
|
|
|
|
|
- 47 -
|
|
|
|
|
b)
|
Reconciliations of Comprehensive Income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reference
|
|
|
Quarter from
07.01.17 to
09.30.17
|
|
|
Accumulated
as of 09.30.17
|
|
|
Income as per the previous financial statements
|
|
|
|
|
|
|
1,134,580
|
|
|
|
2,457,355
|
|
|
Adjustments due to initial implementation of the financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation/Impairment of properties
|
|
|
(a)
|
|
|
|
(2,391
|
)
|
|
|
(51,080
|
)
|
|
Effective rate of Loans
|
|
|
(b)
|
|
|
|
63,369
|
|
|
|
297,874
|
|
|
Fair value of government and private securities
|
|
|
(d)
|
|
|
|
111,190
|
|
|
|
208,712
|
|
|
Fair value of derivatives
|
|
|
(e)
|
|
|
|
(44,396
|
)
|
|
|
(3,066
|
)
|
|
Equity method of associates and joint ventures
|
|
|
(f)
|
|
|
|
8,650
|
|
|
|
38,768
|
|
|
Assets and Liabilities for contracts with customers
|
|
|
(g)
|
|
|
|
31,191
|
|
|
|
12,463
|
|
|
Goodwill
|
|
|
(h)
|
|
|
|
90
|
|
|
|
270
|
|
|
Deferred income tax
|
|
|
(i)
|
|
|
|
78,520
|
|
|
|
132,584
|
|
|
Financial guarantee contracts
|
|
|
(j)
|
|
|
|
(851
|
)
|
|
|
(1,968
|
)
|
|
Employee benefits
|
|
|
(k)
|
|
|
|
(100
|
)
|
|
|
(619
|
)
|
|
Provision for actions for the protection of constitutional rights (
Amparos
)
|
|
|
(l)
|
|
|
|
(118
|
)
|
|
|
(261
|
)
|
|
Prepaid medical plan service
|
|
|
(m)
|
|
|
|
—
|
|
|
|
2,698
|
|
|
Non-controlling interest
|
|
|
(n)
|
|
|
|
12,926
|
|
|
|
27,524
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income pursuant to the new financial reporting framework set forth by the BCRA
|
|
|
|
|
|
|
1,392,660
|
|
|
|
3,121,254
|
|
|
Other comprehensive income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair value of government and private securities
|
|
|
|
|
|
|
(86,439
|
)
|
|
|
(191,466
|
)
|
|
Equity method of associates and joint ventures
|
|
|
|
|
|
|
7,485
|
|
|
|
1,710
|
|
|
Deferred income tax
|
|
|
|
|
|
|
38,945
|
|
|
|
66,923
|
|
|
Post-employment defined benefit plans
|
|
|
|
|
|
|
—
|
|
|
|
(1,754
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Comprehensive Income pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
(40,009
|
)
|
|
|
(124,587
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Comprehensive Income pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
1,352,651
|
|
|
|
2,996,667
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to the Bank
|
|
|
|
|
|
|
1,341,477
|
|
|
|
2,969,463
|
|
|
Attributable to the non-controlling interest
|
|
|
|
|
|
|
11,174
|
|
|
|
27,204
|
|
|
|
|
|
|
|
|
|
|
- 48 -
|
|
|
|
|
|
|
|
Reference
|
|
Account
|
|
|
|
|
(a)
|
|
The Group has elected to use the option set forth in IFRS 1 to consider the fair value (market value) as the deemed cost as of January 1, 2017 for its real estate assets.
|
|
|
|
|
(b)
|
|
In accordance with IFRS, under the effective interest method, for financial assets and financial liabilities valued at amortized cost the Group shall identify commissions that are an integral part of those financial instruments and
treat them as an adjustment to the effective interest rate, amortizing them along the instrument’s lifetime. Pursuant to prior accounting standards, those commissions were recognized in income/(loss) upon origination of the financial asset
and/or liability.
|
|
|
|
|
(c)
|
|
Adjustments to take the Group’s loans portfolio at fair value upon initial recognition, since they are financing granted at a rate lower than the market rate.
|
|
|
|
|
(d)
|
|
Adjustments to the measurement of securities, pursuant to the business model for financial assets, defined by the Group. According to the previous regulations, they were measured at fair market value and/or cost plus
yield.
|
|
|
|
|
(e)
|
|
Adjustment for the purpose of measuring derivative instruments of the Group at fair value through profit or loss.
|
|
|
|
|
(f)
|
|
An adjustment was recorded for the recognition of IFRS adjustments to subsidiaries and entities over which the Group has a significant influence (Rombo Compañía Financiera S.A., PSA Finance Compañía
Financiera S.A., and BBVA Consolidar Seguros S.A.).
|
|
|
|
|
(g)
|
|
Pursuant to IFRS 15, income from contracts with customers accrue as the Group satisfies the performance obligations identified in the contract.
|
|
|
|
|
(h)
|
|
Pursuant to the previous accounting standards, the Group recognized goodwill generated by business combinations measured at net acquisition cost of accumulated amortizations calculated in proportion to the estimated useful life
months. As per IFRS, there is no defined useful life for goodwill, and its recoverability shall be evaluated for each fiscal year or when there are indications of impairment.
|
|
|
|
|
(i)
|
|
The Group recognized the effect of deferred tax (net deferred liability) as set forth by IAS 12 - “Income taxes”. Likewise, adjustments related to the transition to IFRS originate temporary differences that were taken into
consideration in that assessment.
|
|
|
|
|
(j)
|
|
Collateral granted are recognized at the highest of the initially recognized value minus the accumulated amount of income recognized as per IFRS 15 and the allowance for loan losses (as per the regulations set forth by the BCRA). In
that sense, the amount of income from services is accrued according to the criteria and scope of IFRS 15.
|
|
|
|
|
(k)
|
|
Amounts have been adapted to the amounts of vacation allowances, under the terms of IAS 19, pursuant to the amount set forth by the related law for pending vacation days in the payroll, including the related employer
contributions.
|
|
|
|
|
(l)
|
|
In those cases where the Entity has paid amounts relating to actions for the protection of constitutional rights (
Amparos
) filed by its customers for government securities and quotas of Common Funds under the custody of the
Entity, such amounts were capitalized by blocking the custody account of the depositor. Paragraph 21 of IAS 37 Provisions, Contingent Liabilities and Contingent Assets sets forth that contingent assets should not be recognized in the financial
statements.
|
|
|
|
|
(m)
|
|
The Entity reclassified income for defined benefit plans to other comprehensive income, as set forth in IFRS 19 Employee benefits.
|
|
|
|
|
(n)
|
|
For minority interests as per the previous accounting standards that are part of the net shareholders’ equity consolidated as per IFRS.
|
|
|
|
|
|
|
|
|
|
- 49 -
|
|
|
|
|
c)
|
Significant adjustments to the Cash Flows are detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
12.31.17
|
|
|
Non-
consolidated
transactions
PSA
Finance
S.A.
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
12.31.17
|
|
|
Cash
|
|
|
7,977,326
|
|
|
|
—
|
|
|
|
—
|
|
|
|
7,977,326
|
|
|
Argentine Central Bank (BCRA)
|
|
|
28,129,615
|
|
|
|
(16,625
|
)
|
|
|
1,314,404
|
|
|
|
29,427,394
|
|
|
Financial institutions and correspondents
|
|
|
1,557,441
|
|
|
|
(48
|
)
|
|
|
(726,171
|
)
|
|
|
831,222
|
|
|
Local interfinancial loans
|
|
|
1,860,000
|
|
|
|
—
|
|
|
|
(1,860,000
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
39,524,382
|
|
|
|
(16,673
|
)
|
|
|
(1,271,767
|
)
|
|
|
38,235,942
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
09.30.17
|
|
|
Non-
consolidated
transactions
PSA
Finance
S.A.
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
09.30.17
|
|
|
Cash
|
|
|
6,156,681
|
|
|
|
—
|
|
|
|
—
|
|
|
|
6,156,681
|
|
|
Argentine Central Bank (BCRA)
|
|
|
17,189,932
|
|
|
|
(89,978
|
)
|
|
|
3,474,304
|
|
|
|
20,574,258
|
|
|
Financial institutions and correspondents
|
|
|
4,600,719
|
|
|
|
(38
|
)
|
|
|
(3,608,478
|
)
|
|
|
992,203
|
|
|
Local interfinancial loans
|
|
|
170,000
|
|
|
|
—
|
|
|
|
(170,000
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
28,417,332
|
|
|
|
(90,016
|
)
|
|
|
(304,174
|
)
|
|
|
27,723,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
12.31.16
|
|
|
Non-
consolidated
transactions
PSA
Finance
S.A.
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
12.31.16
|
|
|
Cash
|
|
|
14,176,644
|
|
|
|
(1
|
)
|
|
|
—
|
|
|
|
14,176,643
|
|
|
Argentine Central Bank (BCRA)
|
|
|
31,268,051
|
|
|
|
(19,999
|
)
|
|
|
—
|
|
|
|
31,248,052
|
|
|
Financial institutions and correspondents
|
|
|
2,781,412
|
|
|
|
(20
|
)
|
|
|
(41,138
|
)
|
|
|
2,740,254
|
|
|
Local interfinancial loans
|
|
|
630,000
|
|
|
|
—
|
|
|
|
(630,000
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
48,856,107
|
|
|
|
(20,020
|
)
|
|
|
(671,138
|
)
|
|
|
48,164,949
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Under the previous reporting framework, Cash and due from banks and investments with high liquidity with an
original maturity of three months or less were deemed cash and cash equivalents. Under the reporting framework based on the IFRS, Cash and deposits in banks, which include foreign currency purchases and sales to be settled with an original maturity
of three months or less are deemed cash and cash equivalents.
Under the previous reporting framework, cash and cash equivalents from the
interest in PSA Finance Argentina Compañía Financiera S.A. (PSA Finance S.A.) were consolidated with the Group. Under the reporting framework based on the IFRS, such company is not consolidated.
Under the new financial reporting framework set forth by the BCRA, the main impacts on the presentation of the statement of cash flows derive
from the application of the indirect method set for by IAS 7.
No other facts or transactions took place from the closing date for the fiscal period and the date these financial statements were issued which
may significantly affect the shareholders’ equity or income/(loss) of the Entity as of September 30, 2018.
|
|
|
|
|
|
|
|
|
- 50 -
|
|
|
|
58.
|
Accounting principles – Explanation added for translation into English
|
These financial statements are the English translation of those originally issued in Spanish.
These financial statements are presented on the basis of the accounting standards established by the financial reporting framework set forth by
BCRA. Certain accounting practices applied by the Bank that conform to the standards of the BCRA may not conform to the generally accepted accounting principles in other countries.
The differences between the financial reporting framework set forth by BCRA and IFRS are detailed in Note 2 to the consolidated financial
statements. Accordingly, these financial statements are not intended to present financial position, results of operations and cash flows in accordance with generally accepted accounting principles other than the financial reporting framework set
forth by the BCRA.
|
|
|
|
|
|
|
|
|
- 51 -
|
|
|
EXHIBIT B
CLASSIFICATION OF LOANS AND OTHER FINANCING ACCORDING TO PERFORMANCE AND GUARANTEES RECEIVED
CONSOLIDATED WITH CONTROLLED COMPANIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
Account
|
|
09.30.18
|
|
|
12.31.17
|
|
|
COMMERCIAL PORTFOLIO
|
|
|
|
|
|
|
|
|
|
Normal performance
|
|
|
109,104,563
|
|
|
|
73,469,368
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
2,420,255
|
|
|
|
1,429,483
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
1,340,743
|
|
|
|
1,262,598
|
|
|
No preferred collateral or counter guarantees
|
|
|
105,343,565
|
|
|
|
70,777,287
|
|
|
With special follow-up
|
|
|
1,512,355
|
|
|
|
34,601
|
|
|
|
|
|
|
|
|
|
|
|
|
Under observation
|
|
|
1,512,355
|
|
|
|
34,601
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
3,970
|
|
|
|
8,570
|
|
|
No preferred collateral or counter guarantees
|
|
|
1,508,385
|
|
|
|
26,031
|
|
|
Troubled
|
|
|
103,701
|
|
|
|
55,393
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
3,446
|
|
|
|
—
|
|
|
No preferred collateral or counter guarantees
|
|
|
100,255
|
|
|
|
55,393
|
|
|
With high insolvency risk
|
|
|
238,879
|
|
|
|
58,410
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
8,627
|
|
|
|
9,895
|
|
|
No preferred collateral or counter guarantees
|
|
|
230,252
|
|
|
|
48,515
|
|
|
Uncollectible
|
|
|
12,527
|
|
|
|
7,040
|
|
|
|
|
|
|
|
|
|
|
|
|
No preferred collateral or counter guarantees
|
|
|
12,527
|
|
|
|
7,040
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
110,972,025
|
|
|
|
73,624,812
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 52 -
|
|
|
EXHIBIT B
(Continued)
CLASSIFICATION OF LOANS AND OTHER FINANCING ACCORDING TO PERFORMANCE AND GUARANTEES RECEIVED
CONSOLIDATED WITH CONTROLLED COMPANIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
Account
|
|
09.30.18
|
|
|
12.31.17
|
|
|
CONSUMER AND HOUSING PORTFOLIO
|
|
|
|
|
|
|
|
|
|
Normal performance
|
|
|
70,786,914
|
|
|
|
57,047,162
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
9,375
|
|
|
|
11,517
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
6,695,439
|
|
|
|
5,051,088
|
|
|
No preferred collateral or counter guarantees
|
|
|
64,082,100
|
|
|
|
51,984,557
|
|
|
Low risk
|
|
|
964,062
|
|
|
|
540,883
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
37,518
|
|
|
|
56,459
|
|
|
No preferred collateral or counter guarantees
|
|
|
926,544
|
|
|
|
484,424
|
|
|
Medium risk
|
|
|
908,102
|
|
|
|
483,019
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
13,088
|
|
|
|
12,547
|
|
|
No preferred collateral or counter guarantees
|
|
|
895,014
|
|
|
|
470,472
|
|
|
High risk
|
|
|
547,570
|
|
|
|
260,898
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
51
|
|
|
|
—
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
22,959
|
|
|
|
22,031
|
|
|
No preferred collateral or counter guarantees
|
|
|
524,560
|
|
|
|
238,867
|
|
|
Uncollectible
|
|
|
49,252
|
|
|
|
36,685
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
15
|
|
|
|
—
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
8,148
|
|
|
|
6,784
|
|
|
No preferred collateral or counter guarantees
|
|
|
41,089
|
|
|
|
29,901
|
|
|
Uncollectible for technical reasons
|
|
|
—
|
|
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
—
|
|
|
|
—
|
|
|
No preferred collateral or counter guarantees
|
|
|
—
|
|
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
73,255,900
|
|
|
|
58,368,649
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL GENERAL
|
|
|
184,227,925
|
|
|
|
131,993,461
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 53 -
|
|
|
EXHIBIT C
CONCENTRATION OF LOANS AND OTHER FINANCING
CONSOLIDATED WITH CONTROLLED COMPANIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
31.12.17
|
|
|
Number of customers
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
10 largest customers
|
|
|
25,876,809
|
|
|
|
14.05
|
%
|
|
|
12,983,980
|
|
|
|
9.84
|
%
|
|
50 following largest customers
|
|
|
33,607,244
|
|
|
|
18.24
|
%
|
|
|
20,804,256
|
|
|
|
15.76
|
%
|
|
100 following largest customers
|
|
|
18,848,647
|
|
|
|
10.23
|
%
|
|
|
10,985,454
|
|
|
|
8.32
|
%
|
|
All other customers
|
|
|
105,895,225
|
|
|
|
57.48
|
%
|
|
|
87,219,771
|
|
|
|
66.08
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
184,227,925
|
|
|
|
100.00
|
%
|
|
|
131,993,461
|
|
|
|
100.00
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 54 -
|
|
|
EXHIBIT D
BREAKDOWN PER TERM OF LOANS AND OTHER FINANCING
CONSOLIDATED WITH CONTROLLED COMPANIES
AS OF SEPTEMBER 30, 2018
(stated
in thousands of pesos) (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Terms remaining to maturity
|
|
|
ITEM
|
|
Portfolio
due
|
|
|
1
month
|
|
|
3
months
|
|
|
6
months
|
|
|
12
months
|
|
|
24
months
|
|
|
more than
24
months
|
|
|
TOTAL
as of 09.30.18
|
|
|
Non-financial government sector
|
|
|
—
|
|
|
|
177
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
177
|
|
|
Agrentine Central Bank (BCRA)
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1
|
|
|
Financial Sector
|
|
|
—
|
|
|
|
2,985,803
|
|
|
|
2,487,897
|
|
|
|
1,004,346
|
|
|
|
1,463,266
|
|
|
|
1,351,681
|
|
|
|
1,177,942
|
|
|
|
10,470,935
|
|
|
Non-financial private sector and residents abroad
|
|
|
907,493
|
|
|
|
68,262,944
|
|
|
|
23,807,859
|
|
|
|
24,468,540
|
|
|
|
17,746,549
|
|
|
|
19,693,352
|
|
|
|
39,816,039
|
|
|
|
194,702,776
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
907,493
|
|
|
|
71,248,925
|
|
|
|
26,295,756
|
|
|
|
25,472,886
|
|
|
|
19,209,815
|
|
|
|
21,045,033
|
|
|
|
40,993,981
|
|
|
|
205,173,889
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Balances hereof are total contractual flows and, therefore, include principal, interest and accrued and to be
accrued accesories.
|
|
|
|
|
|
|
|
|
|
- 55 -
|
|
|
EXHIBIT H
DEPOSITS CONCENTRATION
CONSOLIDATED WITH CONTROLLED COMPANIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
Number of customers
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
10 largest customers
|
|
|
17,144,324
|
|
|
|
6.93
|
%
|
|
|
5,616,361
|
|
|
|
3.65
|
%
|
|
50 following largest customers
|
|
|
20,199,867
|
|
|
|
8.17
|
%
|
|
|
8,597,760
|
|
|
|
5.58
|
%
|
|
100 following largest customers
|
|
|
12,992,446
|
|
|
|
5.26
|
%
|
|
|
6,168,839
|
|
|
|
4.01
|
%
|
|
All other customers
|
|
|
196,891,331
|
|
|
|
79.64
|
%
|
|
|
133,551,711
|
|
|
|
86.76
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
247,227,968
|
|
|
|
100.00
|
%
|
|
|
153,934,671
|
|
|
|
100.00
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 56 -
|
|
|
EXHIBIT I
BREAKDOWN OF FINANCIAL LIABILITIES PER REMAINING TERMS
AS OF SEPTEMBER 30, 2018
(stated in thousands of pesos) (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Terms remaining to maturity
|
|
|
ITEMS
|
|
1
month
|
|
|
3
months
|
|
|
6
months
|
|
|
12
months
|
|
|
24
months
|
|
|
more than
24
months
|
|
|
TOTAL
as of 09.30.18
|
|
|
Deposits
|
|
|
227,347,333
|
|
|
|
17,006,125
|
|
|
|
5,631,554
|
|
|
|
977,529
|
|
|
|
28,621
|
|
|
|
670
|
|
|
|
250,991,832
|
|
|
Non-financial government sector
|
|
|
2,024,578
|
|
|
|
23,859
|
|
|
|
—
|
|
|
|
65
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,048,502
|
|
|
Financial sector
|
|
|
196,891
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
196,891
|
|
|
Non-financial private sector and residents abroad
|
|
|
225,125,864
|
|
|
|
16,982,266
|
|
|
|
5,631,554
|
|
|
|
977,464
|
|
|
|
28,621
|
|
|
|
670
|
|
|
|
248,746,439
|
|
|
Liabilities at fair value through profit or loss
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,345,749
|
|
|
Derivative instruments
|
|
|
4,431,577
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,431,577
|
|
|
Other financial liabilities
|
|
|
19,728,791
|
|
|
|
172,661
|
|
|
|
232,227
|
|
|
|
449,144
|
|
|
|
892,466
|
|
|
|
198,599
|
|
|
|
21,673,888
|
|
|
Financing received from the BCRA and other financial institutions
|
|
|
277,654
|
|
|
|
2,497,271
|
|
|
|
2,815,977
|
|
|
|
—
|
|
|
|
187,725
|
|
|
|
—
|
|
|
|
5,778,627
|
|
|
Corporate bonds issued
|
|
|
51,233
|
|
|
|
355,092
|
|
|
|
184,523
|
|
|
|
661,547
|
|
|
|
1,079,614
|
|
|
|
611,482
|
|
|
|
2,943,491
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
253,182,337
|
|
|
|
20,031,149
|
|
|
|
8,864,281
|
|
|
|
2,088,220
|
|
|
|
2,188,426
|
|
|
|
810,751
|
|
|
|
287,165,164
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Balances hereof are total contractual flows and, therefore, include principal, interest and accrued and to be
accrued accessories.
|
|
|
|
|
|
|
|
|
|
- 57 -
|
|
|
EXHIBIT J
PROVISIONS
CONSOLIDATED
WITH CONTROLLED COMPANIES
FOR THE NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2018 AND
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Decreases
|
|
|
|
|
|
|
|
|
Accounts
|
|
Balances as of
beginning of the
year
|
|
|
Increases
|
|
|
Reversals
|
|
|
Applications
|
|
|
Balances
as of 09.30.18
|
|
|
Balances
as of 12.31.17
|
|
|
OF LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Provisions for potential commitments
|
|
|
1,117
|
|
|
|
773(1
|
)
|
|
|
458
|
|
|
|
—
|
|
|
|
1,432
|
|
|
|
1,117
|
|
|
- For administrative, disciplinary and criminal penalties
|
|
|
5,000
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,000
|
|
|
|
5,000
|
|
|
- Provisions for post-employment defined benefits plans
|
|
|
48,173
|
|
|
|
7,144(2
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
55,317
|
|
|
|
48,173
|
|
|
- Other
|
|
|
2,073,567
|
|
|
|
1,427,603(3
|
)
|
|
|
8,307
|
|
|
|
106,597(4
|
)
|
|
|
3,386,266
|
|
|
|
2,073,567
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL PROVISIONS
|
|
|
2,127,857
|
|
|
|
1,435,520
|
|
|
|
8,765
|
|
|
|
106,597
|
|
|
|
3,448,015
|
|
|
|
2,127,857
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Set up in compliance with the provisions in Communication “A” 2950 and supplementary regulations of
the BCRA.
|
|
(2)
|
Set up to cover contingencies referred to prepaid medical service.
|
|
(3)
|
Set up to cover for potential contingencies not considered in other accounts (civil, commercial, labor and
other lawsuits), and as required by Memorandum 6/2017 issued by the BCRA.
|
|
(4)
|
Includes a reduction of 15,421 due to the effect of the loss of control in the subsidiary Volkswagen Financial
Services Compañía Financiera S.A.
|
|
|
|
|
|
|
|
|
|
- 58 -
|
|
|
EXHIBIT R
ADJUSTMENT OF VALUES FOR LOSSES - ALLOWANCES FOR LOAN LOSSES
CONSOLIDATED WITH CONTROLLED COMPANIES
FOR THE NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2018 AND
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Decreases
|
|
|
|
|
|
|
|
|
Accounts
|
|
Balances as of
beginning of the
year
|
|
|
Increases
|
|
|
Reversals
|
|
|
Applications
|
|
|
Loss of control
over subsidiary (1)
|
|
|
Balances
as of 09.30.18
|
|
|
Balances
as of 12.31.17
|
|
|
Other financial assets
|
|
|
68,698
|
|
|
|
20,066
|
(2)
|
|
|
2,594
|
|
|
|
1,485
|
|
|
|
—
|
|
|
|
84,685
|
|
|
|
68,698
|
|
|
Loans and other financing
|
|
|
2,290,430
|
|
|
|
2,745,514
|
(3)
|
|
|
69,142
|
|
|
|
931,010
|
|
|
|
34,874
|
|
|
|
4,000,918
|
|
|
|
2,290,430
|
|
|
Other financial institutions
|
|
|
40,167
|
|
|
|
72,231
|
|
|
|
60,546
|
|
|
|
|
|
|
|
(38,354
|
)
|
|
|
90,206
|
|
|
|
40,167
|
|
|
Non-financial private sector and residents abroad
|
|
|
2,250,263
|
|
|
|
2,673,283
|
|
|
|
8,596
|
|
|
|
931,010
|
|
|
|
73,228
|
|
|
|
3,910,712
|
|
|
|
2,250,263
|
|
|
Overdrafts
|
|
|
79,099
|
|
|
|
67,817
|
|
|
|
—
|
|
|
|
64,653
|
|
|
|
—
|
|
|
|
82,263
|
|
|
|
79,099
|
|
|
Discounted instruments
|
|
|
376,589
|
|
|
|
648,397
|
|
|
|
—
|
|
|
|
1,609
|
|
|
|
—
|
|
|
|
1,023,377
|
|
|
|
376,589
|
|
|
Real estate mortgage
|
|
|
38,924
|
|
|
|
44,555
|
|
|
|
—
|
|
|
|
79
|
|
|
|
—
|
|
|
|
83,400
|
|
|
|
38,924
|
|
|
Collateral loans
|
|
|
106,417
|
|
|
|
27,924
|
|
|
|
—
|
|
|
|
8,700
|
|
|
|
71,877
|
|
|
|
53,764
|
|
|
|
106,417
|
|
|
Consumer loans
|
|
|
473,853
|
|
|
|
513,748
|
|
|
|
—
|
|
|
|
230,467
|
|
|
|
—
|
|
|
|
757,134
|
|
|
|
473,853
|
|
|
Credit cards
|
|
|
805,049
|
|
|
|
996,417
|
|
|
|
—
|
|
|
|
447,121
|
|
|
|
—
|
|
|
|
1,354,345
|
|
|
|
805,049
|
|
|
Financial leases
|
|
|
34,767
|
|
|
|
21,968
|
|
|
|
—
|
|
|
|
6,645
|
|
|
|
140
|
|
|
|
49,950
|
|
|
|
34,767
|
|
|
Other
|
|
|
335,565
|
|
|
|
352,457
|
|
|
|
8,596
|
|
|
|
171,736
|
|
|
|
1,211
|
|
|
|
506,479
|
|
|
|
335,565
|
|
|
Private Securities
|
|
|
1,605
|
|
|
|
737
|
(3)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,342
|
|
|
|
1,605
|
|
|
Occasional commitments
|
|
|
1,117
|
|
|
|
773
|
|
|
|
458
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,432
|
|
|
|
1,117
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ALLOWANCES
|
|
|
2,361,850
|
|
|
|
2,767,090
|
(4)
|
|
|
72,194
|
|
|
|
932,495
|
|
|
|
34,874
|
|
|
|
4,089,377
|
|
|
|
2,361,850
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
On September 25, 2018, the Bank and Volkswagen Financial Services Compañía Financiera S. A.
deconsolidated as a result of the loss of control (see Note 1).
|
|
(2)
|
Set up in compliance with the provisions of Communication “A” 2950 and supplementary regulations
issued by the BCRA taking into consideration what was mentioned above in Note 11 - Other financial assets and Note 12 - Loans and other financing, to the consolidated financial statements.
|
|
(3)
|
Set up in compliance with the provisions of Communication “A” 4084 issued by the BCRA.
|
|
(4)
|
Includes total exchange rate difference of:
|
|
|
|
|
|
|
|
- Other financial assets
|
|
|
13,075
|
|
|
- Loans and other financing
|
|
|
389,413
|
|
|
- Private securities
|
|
|
635
|
|
|
|
|
|
|
|
|
|
KPMG
|
|
Telephone + 54 11 4316 5700
|
|
|
Bouchard 710 - 1° piso - C1106ABL
|
|
Fax +54 (11) 4316 5800
|
|
|
Buenos Aires, Argentina
|
|
Internet .... www.kpmg.com.ar
|
REPORT ON THE REVIEW OF THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS
To the President and Directors of
BBVA Banco Francés
S.A.
Legal address: Av. Córdoba 111
City of Buenos
Aires
Taxpayer Identification Number (C.U.I.T.):
30-50000319-3
Report on Interim Financial Statements
We have
reviewed the attached condensed consolidated interim financial statements of BBVA Banco Francés S.A. (the “Entity”) and its controlled companies, which comprise the condensed consolidated statement of financial position as at
September 30, 2018, the condensed consolidated statements of income, other comprehensive income, changes in shareholders’ equity and cash flows for the nine-month period ended as of that date, exhibits and the selected explanatory notes.
The balances and other information corresponding to the fiscal year 2017 and interim periods are an integral part of the aforementioned financial
statements and should therefore be considered in relation to those financial statements.
Responsibility of the Entity’s Board of Directors and
Management
The Entity’s Board of Directors and Management are responsible for the preparation and presentation of the accompanying financial
statements in accordance with the financial reporting framework established by the Argentine Central Bank (BCRA), which, as described in Note 2 to the attached financial statements, are based on the International Financial Reporting Standards
(“IFRS”) and specifically on International Accounting Standard No. 34, “Interim Financial Reporting” (IAS 34), as issued by the International Accounting Standards Board (“IASB”) and adopted by the Argentine
Federation of Professional Councils of Economic Sciences (“FACPCE”), with the exception in the application of section 5.5 “Impairment” of IFRS 9 “Financial instruments”, which was temporarily excluded by the BCRA from
the accounting framework applicable to financial institutions and, in turn, taking into consideration the standards prescribed through Memorandum No. 6/2017 issued by the regulator on May 29, 2017 regarding the accounting treatment to be
applied to uncertain tax positions. Besides, given the effectiveness of Communication “A” 3921 issued by the BCRA, the Entity has not applied International Accounting Standard 29 “Financial reporting in Hyperinflationary
Economies” (IAS 29) for the preparation of these financial statements. The Entity’s Board of Directors and Management are also responsible for the proper internal control deemed necessary to allow for the preparation of interim financial
reports free of significant misstatements due to errors or irregularities.
Scope of the Review
Our responsibility is to express a conclusion on the accompanying condensed consolidated interim financial statements based on our review. We conducted our
review in accordance with the standards set forth by Technical Resolution No. 37 of the Argentine Federation of Professional Councils of Economic Sciences and the “Minimum Requirements on External Audits” issued by the BCRA applicable
to the review of interim financial statements. A review of interim financial information consists principally of applying analytical procedures and other review procedures on the accounting information included in the interim financial statements
and making inquiries to persons responsible for financial and accounting matters.
KPMG, una sociedad argentina y firma miembro de la red
de firmas miembro independientes de KPMG afiliadas a
KPMG International Cooperative (“KPMG International”), una entidad suiza.
Derechos reservados.
|
|
|
|
|
|
|
|
|
- 60 -
|
|
|
It is substantially less in scope than an audit conducted in accordance with auditing standards in force, the
objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion on the condensed consolidated financial statements of interim period attached.
Conclusion
Based on our review, nothing has come out to
our attention that causes us to believe that the accompanying condensed consolidated interim financial statements of BBVA Banco Francés S.A. have not been prepared, in all material respects, in conformity with the financial reporting
framework established by the BCRA, as described in Note 2 to the accompanying financial statements.
Emphasis on certain matters disclosed in the
financial statements
Without modifying our conclusion, we draw the attention of the users of this report to the following information disclosed in the
attached financial statements:
|
a)
|
as mentioned in Note 2 to the accompanying financial statements, they have been prepared by the Entity’s
Board of Directors and Management pursuant to financial reporting framework established by the BCRA, which differs from IFRS in relation with the application of Section 5.5 “Impairment” of IFRS 9 “Financial Instruments” that
was temporarily excluded by the BCRA from the accounting framework applicable to financial institutions and considering, in turn, the standards prescribed through Memorandum No. 6/2017 issued by the regulator on May 29, 2017 regarding the
treatment to be applied to uncertain tax positions,
|
|
b)
|
as mentioned in Note 2 to the accompanying financial statements, given the effectiveness of
Communication “A” 3921 of the BCRA, the Entity has not applied International Accounting Standard 29 (IAS 29) “Financial reporting in Hyperinflationary Economies” for the preparation of the accompanying financial statements.
|
As of the date of this report, the Entity is in the process of quantifying the effect that the application of IAS 29 would have, as
mentioned in section b) above. The issues indicated in paragraphs a) and b) above do not modify the conclusion expressed in the previous paragraph but must be taken into account by those users who use IFRS for the interpretation of the attached
financial statements,
|
c)
|
as mentioned in note 5 to the accompanying financial statements, they refer to an interim period in the first
fiscal year in which the Entity applies the new financial reporting framework established by the BCRA. The effects of changes caused by the application of this new accounting framework are presented in note 56 to the accompanying financial
statements. The items and figures, contained in the reconciliations included in these note, are subject to changes that may occur as a result of changes in IFRS that are finally applied and can only be considered final when preparing the annual
financial statements for the current fiscal year. This issue does not modify the conclusion expressed in the previous section.
|
|
|
|
|
|
|
|
|
|
- 61 -
|
|
|
Other matters
Regarding the amounts and other information for the fiscal year ended December 31, 2016, date of transition to the new financial reporting framework
established by the BCRA as from January 1, 2018, they arise from the financial statements as of December 31, 2016 issued by the Entity in accordance with the accounting standards of the BCRA applicable as of that date. Those financial
statements were examined by other auditors, who issued their audit report on February 9, 2017, and stated an unqualified opinion. That report does not include the adjustments subsequently made by the Entity’s Board of Directors and
Management for the conversion of that information to the new financial reporting framework established by the BCRA, which we have audited and, in our opinion, are appropriate and have been prepared according to the new financial reporting framework
established by the BCRA.
City of Buenos Aires, November 22, 2018.
KPMG
María Gabriela Saavedra
Partner
|
|
|
|
|
|
|
|
|
- 62 -
|
|
|
CONDENSED SEPARATE BALANCE SHEETS
AS OF SEPTEMBER 30, 2018, DECEMBER 31, 2017 AND 2016
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes and
Exhibits
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and deposits in banks
|
|
|
4
|
|
|
|
87,818,503
|
|
|
|
38,179,507
|
|
|
|
48,029,860
|
|
|
Cash
|
|
|
|
|
|
|
18,476,752
|
|
|
|
7,977,088
|
|
|
|
14,176,412
|
|
|
Financial institutions and correspondents
|
|
|
|
|
|
|
69,341,751
|
|
|
|
30,202,419
|
|
|
|
33,853,448
|
|
|
Argentine Central Bank (BCRA)
|
|
|
|
|
|
|
62,851,235
|
|
|
|
29,405,422
|
|
|
|
31,230,217
|
|
|
Other in the country and abroad
|
|
|
|
|
|
|
6,490,516
|
|
|
|
796,997
|
|
|
|
2,623,231
|
|
|
Debt securities at fair value through profit or loss
|
|
|
5 and Exhibit A
|
|
|
|
473,033
|
|
|
|
5,772,572
|
|
|
|
3,640,801
|
|
|
Derivatives
|
|
|
6
|
|
|
|
63,881
|
|
|
|
142,745
|
|
|
|
53,723
|
|
|
Repo transactions
|
|
|
7
|
|
|
|
9,582,646
|
|
|
|
6,329,939
|
|
|
|
58,322
|
|
|
Other financial assets
|
|
|
8
|
|
|
|
6,357,184
|
|
|
|
2,276,081
|
|
|
|
646,953
|
|
|
Loans and other financing
|
|
|
9
|
|
|
|
178,616,519
|
|
|
|
126,900,123
|
|
|
|
77,967,675
|
|
|
Non-financial
government sector
|
|
|
|
|
|
|
177
|
|
|
|
218
|
|
|
|
98,819
|
|
|
Argentine Central Bank (BCRA)
|
|
|
|
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
|
|
|
|
9,634,439
|
|
|
|
8,405,517
|
|
|
|
3,672,017
|
|
|
Non-financial
private sector and residents abroad
|
|
|
|
|
|
|
168,981,902
|
|
|
|
118,494,388
|
|
|
|
74,196,839
|
|
|
Other debt securities
|
|
|
10
|
|
|
|
30,982,187
|
|
|
|
16,298,834
|
|
|
|
9,194,483
|
|
|
Financial assets pledged as collateral
|
|
|
11
|
|
|
|
6,301,957
|
|
|
|
3,250,464
|
|
|
|
2,184,194
|
|
|
Investments in equity instruments
|
|
|
13 and Exhibit A
|
|
|
|
11,032
|
|
|
|
6,870
|
|
|
|
4,408
|
|
|
Investments in subsidiaries, associates and joint ventures
|
|
|
14
|
|
|
|
2,330,561
|
|
|
|
1,724,235
|
|
|
|
1,605,718
|
|
|
Property, plant and equipment
|
|
|
15
|
|
|
|
9,172,910
|
|
|
|
9,206,870
|
|
|
|
8,017,217
|
|
|
Intangible assets
|
|
|
16
|
|
|
|
596,310
|
|
|
|
434,572
|
|
|
|
315,637
|
|
|
Deferred income tax assets
|
|
|
|
|
|
|
100,826
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
non-financial
assets
|
|
|
17
|
|
|
|
1,372,686
|
|
|
|
1,521,106
|
|
|
|
1,449,278
|
|
|
Assets held for sale
|
|
|
18
|
|
|
|
252,805
|
|
|
|
196,379
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
|
|
|
|
334,033,040
|
|
|
|
212,240,297
|
|
|
|
153,168,269
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 63 -
|
|
|
CONDENSED SEPARATE BALANCE SHEETS
AS OF SEPTEMBER 30, 2018, DECEMBER 31, 2017 AND 2016
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes and
Exhibits
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
19 and Exhibit H
|
|
|
247,477,881
|
|
|
|
153,962,733
|
|
|
|
114,652,105
|
|
|
Non-financial
government sector
|
|
|
|
|
2,030,030
|
|
|
|
1,042,016
|
|
|
|
2,640,909
|
|
|
Financial sector
|
|
|
|
|
196,891
|
|
|
|
187,122
|
|
|
|
247,891
|
|
|
Non-financial
private sector and residents abroad
|
|
|
|
|
245,250,960
|
|
|
|
152,733,595
|
|
|
|
111,763,305
|
|
|
Liabilities at fair value through profit or loss
|
|
20
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
Derivative instruments
|
|
6
|
|
|
4,431,577
|
|
|
|
229,775
|
|
|
|
58,305
|
|
|
Repo transactions
|
|
7
|
|
|
—
|
|
|
|
285,410
|
|
|
|
135,139
|
|
|
Other financial liabilities
|
|
21
|
|
|
21,934,634
|
|
|
|
13,865,576
|
|
|
|
7,648,411
|
|
|
Financing received from the BCRA and other financial institutions
|
|
22
|
|
|
5,757,714
|
|
|
|
562,175
|
|
|
|
668,123
|
|
|
Corporate bonds issued
|
|
23
|
|
|
1,735,343
|
|
|
|
2,052,490
|
|
|
|
1,786,285
|
|
|
Current income tax liabilities
|
|
12 a)
|
|
|
2,474,435
|
|
|
|
1,346,870
|
|
|
|
1,066,172
|
|
|
Provisions
|
|
Exhibit J
|
|
|
3,430,745
|
|
|
|
2,092,059
|
|
|
|
860,176
|
|
|
Deferred income tax liabilities
|
|
|
|
|
—
|
|
|
|
421,099
|
|
|
|
937,293
|
|
|
Other
non-financial
liabilities
|
|
24
|
|
|
9,745,844
|
|
|
|
7,345,776
|
|
|
|
5,537,838
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
|
|
298,333,922
|
|
|
|
182,163,963
|
|
|
|
133,349,847
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share capital
|
|
25
|
|
|
612,660
|
|
|
|
612,660
|
|
|
|
536,878
|
|
|
Non-capital
contributions
|
|
|
|
|
6,735,977
|
|
|
|
6,735,977
|
|
|
|
182,511
|
|
|
Capital adjustments
|
|
|
|
|
312,979
|
|
|
|
312,979
|
|
|
|
312,979
|
|
|
Reserves
|
|
|
|
|
17,424,932
|
|
|
|
14,516,667
|
|
|
|
11,783,995
|
|
|
Retained earnings
|
|
|
|
|
4,014,897
|
|
|
|
3,260,218
|
|
|
|
3,438,188
|
|
|
Accumulated other comprehensive income
|
|
|
|
|
(79,386
|
)
|
|
|
4,889
|
|
|
|
98,169
|
|
|
Income for the period
|
|
|
|
|
6,677,059
|
|
|
|
4,632,944
|
|
|
|
3,465,702
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL EQUITY
|
|
|
|
|
35,699,118
|
|
|
|
30,076,334
|
|
|
|
19,818,422
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND EQUITY
|
|
|
|
|
334,033,040
|
|
|
|
212,240,297
|
|
|
|
153,168,269
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 64 -
|
|
|
CONDENSED SEPARATE STATEMENT OF INCOME
FOR THE INTERIM NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2018 AND 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes and
Exhibits
|
|
Accumulated
as of 09.30.18
|
|
|
Accumulated
as of 09.30.17
|
|
|
Quarter from
07.01.18 to
09.30.18
|
|
|
Quarter from
07.01.17 to
09.30.17
|
|
|
Interest income
|
|
26
|
|
|
28,899,208
|
|
|
|
15,307,855
|
|
|
|
11,897,359
|
|
|
|
5,114,597
|
|
|
Interest expenses
|
|
27
|
|
|
(11,864,668
|
)
|
|
|
(5,193,158
|
)
|
|
|
(5,607,946
|
)
|
|
|
(1,793,499
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
|
|
|
|
|
17,034,540
|
|
|
|
10,114,697
|
|
|
|
6,289,413
|
|
|
|
3,321,098
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commission income
|
|
28
|
|
|
7,860,133
|
|
|
|
4,697,955
|
|
|
|
3,772,503
|
|
|
|
1,766,858
|
|
|
Commission expenses
|
|
29
|
|
|
(4,846,275
|
)
|
|
|
(2,995,524
|
)
|
|
|
(1,978,674
|
)
|
|
|
(1,090,661
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net commission income
|
|
|
|
|
3,013,858
|
|
|
|
1,702,431
|
|
|
|
1,793,829
|
|
|
|
676,197
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income/(loss) from financial instruments at fair value through profit or loss
|
|
30
|
|
|
(156,206
|
)
|
|
|
1,806,517
|
|
|
|
105,687
|
|
|
|
996,685
|
|
|
Net income/(loss) from write-down of assets at amortized cost and at fair value through
OCI
|
|
31
|
|
|
(54,157
|
)
|
|
|
6,723
|
|
|
|
12,774
|
|
|
|
35
|
|
|
Foreign exchange gains/(losses)
|
|
32
|
|
|
4,242,969
|
|
|
|
1,370,514
|
|
|
|
1,544,951
|
|
|
|
633,393
|
|
|
Other operating income
|
|
33
|
|
|
3,672,832
|
|
|
|
3,262,306
|
|
|
|
1,162,997
|
|
|
|
788,556
|
|
|
Loan loss provision
|
|
Exhibit R
|
|
|
(2,337,129
|
)
|
|
|
(1,370,845
|
)
|
|
|
(1,023,549
|
)
|
|
|
(585,930
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating income
|
|
|
|
|
25,416,707
|
|
|
|
16,892,343
|
|
|
|
9,886,102
|
|
|
|
5,830,034
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Personnel benefits
|
|
34
|
|
|
(6,285,755
|
)
|
|
|
(4,795,547
|
)
|
|
|
(2,460,824
|
)
|
|
|
(1,646,644
|
)
|
|
Administrative expenses
|
|
35
|
|
|
(4,899,413
|
)
|
|
|
(3,752,707
|
)
|
|
|
(1,793,719
|
)
|
|
|
(1,276,131
|
)
|
|
Depreciation and amortization
|
|
36
|
|
|
(623,370
|
)
|
|
|
(463,971
|
)
|
|
|
(219,127
|
)
|
|
|
(164,488
|
)
|
|
Other operating expenses
|
|
37
|
|
|
(4,929,211
|
)
|
|
|
(4,206,266
|
)
|
|
|
(1,536,193
|
)
|
|
|
(1,001,604
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
|
|
|
|
|
8,678,958
|
|
|
|
3,673,852
|
|
|
|
3,876,239
|
|
|
|
1,741,167
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from associates and joint ventures
|
|
|
|
|
490,660
|
|
|
|
574,490
|
|
|
|
188,302
|
|
|
|
207,213
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income tax
|
|
|
|
|
9,169,618
|
|
|
|
4,248,342
|
|
|
|
4,064,541
|
|
|
|
1,948,380
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
|
|
12 b)
|
|
|
(2,492,559
|
)
|
|
|
(1,154,292
|
)
|
|
|
(1,056,700
|
)
|
|
|
(566,894
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income for the period
|
|
|
|
|
6,677,059
|
|
|
|
3,094,050
|
|
|
|
3,007,841
|
|
|
|
1,381,486
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 65 -
|
|
|
EARNINGS PER SHARE
AS OF SEPTEMBER 30, 2018 AND 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
Accounts
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Numerator:
|
|
|
|
|
|
|
|
|
|
Net income attributable to owners of the Bank
|
|
|
6,677,059
|
|
|
|
3,094,050
|
|
|
Net income attributable to owners of the Bank adjusted to reflect the effect of dilution
|
|
|
6,677,059
|
|
|
|
3,094,050
|
|
|
Denominator:
|
|
|
|
|
|
|
|
|
|
Weighted average of outstanding ordinary shares for the period
|
|
|
612,659,638
|
|
|
|
555,184,914
|
|
|
Weighted average of outstanding ordinary shares for the period adjusted to reflect the effect of
dilution
|
|
|
612,659,638
|
|
|
|
555,184,914
|
|
|
Earnings per basic share (stated in thousands of pesos)
|
|
|
10.8985
|
|
|
|
5.5730
|
|
|
Earnings per diluted share (stated in thousands of pesos) (1)
|
|
|
10.8985
|
|
|
|
5.5730
|
|
|
(1)
|
Since BBVA Banco Francés S.A. has not issued financial instruments with a dilutive effect on earnings
per share, basic and diluted earnings per share are the same.
|
|
|
|
|
|
|
|
|
|
- 66 -
|
|
|
CONDENSED SEPARATE STATEMENT OF OTHER COMPREHENSIVE INCOME
FOR THE INTERIM NINE-MONTH PERIODS ENDED SEPTEMBER 30, 2018 AND 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated
as of 09.30.18
|
|
|
Accumulated
as of 09.30.17
|
|
|
Quarter from
07.01.18 to
09.30.18
|
|
|
Quarter from
07.01.17 to
09.30.17
|
|
|
Net income
|
|
|
6,677,059
|
|
|
|
3,094,050
|
|
|
|
3,007,841
|
|
|
|
1,381,486
|
|
|
Other comprehensive income components not to be reclassified to income/(loss) for the
period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Post-employment defined benefits plans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accumulated actuarial income/(loss) for post-employment defined benefits plans
|
|
|
(5,322
|
)
|
|
|
(2,698
|
)
|
|
|
—
|
|
|
|
—
|
|
|
Income tax
|
|
|
1,600
|
|
|
|
944
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(3,722
|
)
|
|
|
(1,754
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Comprehensive Income/(Loss) not to be
re-classified
to income/(loss) for the period
|
|
|
(3,722
|
)
|
|
|
(1,754
|
)
|
|
|
—
|
|
|
|
—
|
|
|
Other Comprehensive Income components to be
re-classified
to income/(loss) for the period:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair value reserve (Item 4.1.2a of IFRS 9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in fair value of financial assets at FVOCI
|
|
|
(363,357
|
)
|
|
|
(100,794
|
)
|
|
|
(258,594
|
)
|
|
|
(86,303
|
)
|
|
Net amount reclassified to profit or loss
|
|
|
54,155
|
|
|
|
(90,672
|
)
|
|
|
42,612
|
|
|
|
(136
|
)
|
|
Income tax
|
|
|
92,885
|
|
|
|
66,923
|
|
|
|
65,773
|
|
|
|
38,945
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(216,317
|
)
|
|
|
(124,543
|
)
|
|
|
(150,209
|
)
|
|
|
(47,494
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Share in Other Comprehensive Income from associates and joint ventures booked by application of
the equity method:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income/(loss) for the period for the share in OCI from associates at equity-method
|
|
|
135,764
|
|
|
|
1,710
|
|
|
|
32,931
|
|
|
|
7,485
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
135,764
|
|
|
|
1,710
|
|
|
|
32,931
|
|
|
|
7,485
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Other Comprehensive Loss to be reclassified to income/(loss) for the
period
|
|
|
(80,553
|
)
|
|
|
(122,833
|
)
|
|
|
(117,278
|
)
|
|
|
(40,009
|
)
|
|
Total Other Comprehensive Loss for the period
|
|
|
(84,275
|
)
|
|
|
(124,587
|
)
|
|
|
(117,278
|
)
|
|
|
(40,009
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
|
|
|
6,592,784
|
|
|
|
2,969,463
|
|
|
|
2,890,563
|
|
|
|
1,341,477
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 67 -
|
|
|
CONDENSED SEPARATE STATEMENT OF CHANGES IN SHAREHOLDERS’ EQUITY
FOR THE INTERIM NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2018
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
|
|
|
Non-
capital
contributions
|
|
|
|
|
|
Other comprehensive income
|
|
|
Cumulative results
|
|
|
|
|
|
|
|
|
Transactions
|
|
Share capital
|
|
|
Share premium
|
|
|
Adjustments
to equity
|
|
|
Fair value
reserve
|
|
|
Other
|
|
|
Legal reserve
|
|
|
Optional
reserve
|
|
|
Retained
earnings
|
|
|
Total
equity
|
|
|
Balance at the beginning of the year
|
|
|
612,660
|
|
|
|
6,735,977
|
|
|
|
312,979
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,027,251
|
|
|
|
10,489,416
|
|
|
|
3,878,265
|
|
|
|
26,056,548
|
|
|
Impact of the implementation of the financial reporting framework set forth by the BCRA (Note
42)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
14,922
|
|
|
|
(10,033
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
4,014,897
|
|
|
|
4,019,786
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted balance at the beginning of the year
|
|
|
612,660
|
|
|
|
6,735,977
|
|
|
|
312,979
|
|
|
|
14,922
|
|
|
|
(10,033
|
)
|
|
|
4,027,251
|
|
|
|
10,489,416
|
|
|
|
7,893,162
|
|
|
|
30,076,334
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Comprehensive income for the period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Net income for the period
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
6,677,059
|
|
|
|
6,677,059
|
|
|
- Other Comprehensive Income/(Loss) for the period
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(216,317
|
)
|
|
|
132,042
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(84,275
|
)
|
|
- Allocation of unappropriated retained earnings as per the Shareholders’ Meeting held on
April 10, 2018 to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Legal reserve
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
775,653
|
|
|
|
—
|
|
|
|
(775,653
|
)
|
|
|
—
|
|
|
Cash dividends
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(970,000
|
)
|
|
|
(970,000
|
)
|
|
Other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,132,612
|
|
|
|
(2,132,612
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances at period end
|
|
|
612,660
|
|
|
|
6,735,977
|
|
|
|
312,979
|
|
|
|
(201,395
|
)
|
|
|
122,009
|
|
|
|
4,802,904
|
|
|
|
12,622,028
|
|
|
|
10,691,956
|
|
|
|
35,699,118
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 68 -
|
|
|
CONDENSED SEPARATE STATEMENT OF
CHANGES IN SHAREHOLDERS’ EQUITY
FOR THE INTERIM NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
|
|
|
Non-
capital
contributions
|
|
|
|
|
|
Other comprehensive income
|
|
|
Cumulative results
|
|
|
|
|
|
|
|
|
Transactions
|
|
Share
capital
|
|
|
Share
premium
|
|
|
Adjustments
to
equity
|
|
|
Fair value
reserve
|
|
|
Other
|
|
|
Legal
reserve
|
|
|
Optional
reserve
|
|
|
Retained
earnings
|
|
|
Total
equity
|
|
|
Balance at the beginning of the year
|
|
|
536,878
|
|
|
|
182,511
|
|
|
|
312,979
|
|
|
|
—
|
|
|
|
—
|
|
|
|
3,298,517
|
|
|
|
8,485,478
|
|
|
|
3,643,672
|
|
|
|
16,460,035
|
|
|
Impact of the implementation of the financial reporting framework set forth by the BCRA (Note
42)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
100,117
|
|
|
|
(1,948
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
3,260,218
|
|
|
|
3,358,387
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted balance at the beginning of the year
|
|
|
536,878
|
|
|
|
182,511
|
|
|
|
312,979
|
|
|
|
100,117
|
|
|
|
(1,948
|
)
|
|
|
3,298,517
|
|
|
|
8,485,478
|
|
|
|
6,903,890
|
|
|
|
19,818,422
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Comprehensive income for the period
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Net income for the period
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
3,094,050
|
|
|
|
3,094,050
|
|
|
- Other Comprehensive Income/(Loss) for the period
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(124,543
|
)
|
|
|
(44
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(124,587
|
)
|
|
- Allocation of unappropriated retained earnings as per the Shareholders’ Meeting held on
March 30, 2017 to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Legal reserve
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
728,734
|
|
|
|
—
|
|
|
|
(728,734
|
)
|
|
|
—
|
|
|
Cash dividends
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(911,000
|
)
|
|
|
(911,000
|
)
|
|
Other
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,003,938
|
|
|
|
(2,003,938
|
)
|
|
|
—
|
|
|
-Subscription for shares as per the Shareholders’
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Meeting held on June 13, 2017
|
|
|
75,782
|
|
|
|
6,556,640
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
6,632,422
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances at period end
|
|
|
612,660
|
|
|
|
6,739,151
|
|
|
|
312,979
|
|
|
|
(24,426
|
)
|
|
|
(1,992
|
)
|
|
|
4,027,251
|
|
|
|
10,489,416
|
|
|
|
6,354,268
|
|
|
|
28,509,307
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 69 -
|
|
|
CONDENSED SEPARATE STATEMENT OF CASH FLOWS
FOR THE INTERIM NINE-MONTH PERIODS ENDED ON SEPTEMBER 30, 2018 AND 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
Accounts
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash flow from operating activities
|
|
|
|
|
|
|
|
|
|
Income before Income Tax
|
|
|
9,169,618
|
|
|
|
4,248,342
|
|
|
Adjustments to obtain flows from operating activities:
|
|
|
(22,872,357
|
)
|
|
|
(1,391,245
|
)
|
|
Depreciation and amortization
|
|
|
623,370
|
|
|
|
463,971
|
|
|
Net impairment loss
|
|
|
2,337,129
|
|
|
|
1,370,845
|
|
|
Other adjustments
|
|
|
(25,832,856
|
)
|
|
|
(3,226,061
|
)
|
|
Net decreases from operating assets:
|
|
|
(70,773,485
|
)
|
|
|
(51,200,459
|
)
|
|
Debt securities at fair value through profit or loss
|
|
|
5,085,695
|
|
|
|
(2,070,765
|
)
|
|
Derivative instruments
|
|
|
132,799
|
|
|
|
53,723
|
|
|
Repo transactions
|
|
|
(3,055,859
|
)
|
|
|
(5,057,830
|
)
|
|
Loans and other financing
|
|
|
(50,685,950
|
)
|
|
|
(32,347,305
|
)
|
|
Non-financial
government sector
|
|
|
41
|
|
|
|
98,552
|
|
|
Other financial institutions
|
|
|
(838,379
|
)
|
|
|
(2,654,233
|
)
|
|
Non-financial
private sector and residents abroad
|
|
|
(49,847,612
|
)
|
|
|
(29,791,624
|
)
|
|
Other debt securities
|
|
|
(15,244,323
|
)
|
|
|
(5,619,976
|
)
|
|
Financial assets pledged as collateral
|
|
|
(3,051,493
|
)
|
|
|
(1,546,914
|
)
|
|
Investments in equity instruments
|
|
|
(4,162
|
)
|
|
|
(391
|
)
|
|
Other assets
|
|
|
(3,950,192
|
)
|
|
|
(4,611,001
|
)
|
|
Net increases from operating liabilities:
|
|
|
102,127,628
|
|
|
|
22,610,032
|
|
|
Deposits
|
|
|
91,546,972
|
|
|
|
15,169,923
|
|
|
Non-financial
government sector
|
|
|
988,014
|
|
|
|
(1,112,585
|
)
|
|
Financial sector
|
|
|
9,769
|
|
|
|
(132,820
|
)
|
|
Non-financial
private sector and residents abroad
|
|
|
90,549,189
|
|
|
|
16,415,328
|
|
|
Liabilities at fair value through profit or loss
|
|
|
1,345,749
|
|
|
|
44,415
|
|
|
Derivative instruments
|
|
|
(67,810
|
)
|
|
|
44,485
|
|
|
Repo transactions
|
|
|
(285,410
|
)
|
|
|
1,108,021
|
|
|
Other liabilities
|
|
|
9,588,127
|
|
|
|
6,243,188
|
|
|
Income tax paid
|
|
|
(668,318
|
)
|
|
|
(510,928
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Total cash flows generated by / (used in) operating activities
|
|
|
16,983,086
|
|
|
|
(26,244,258
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 70 -
|
|
|
CONDENSED SEPARATE STATEMENT OF CASH FLOWS
FOR THE INTERIM NINE-MONTH PERIODS ENDED ON SEPTEMBER 30, 2018 AND 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
Accounts
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash flows from investing activities
|
|
|
|
|
|
|
|
|
|
Payments:
|
|
|
(876,463
|
)
|
|
|
(1,575,999
|
)
|
|
Purchase of property, plant, and equipment, intangible assets and other assets
|
|
|
(599,651
|
)
|
|
|
(1,575,999
|
)
|
|
Purchase of debt or equity instruments issued by other entities
|
|
|
(232,610
|
)
|
|
|
—
|
|
|
Other payments related to investing activities
|
|
|
(44,202
|
)
|
|
|
—
|
|
|
Collections:
|
|
|
934,664
|
|
|
|
374,347
|
|
|
Sale of property, plant and equipment, intangible assets and other assets
|
|
|
380,261
|
|
|
|
—
|
|
|
Other collections related to investing activities
|
|
|
554,403
|
|
|
|
374,347
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash flows generated by / (used in) investing activities
|
|
|
58,201
|
|
|
|
(1,201,652
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities
|
|
|
|
|
|
|
|
|
|
Payments:
|
|
|
(1,387,950
|
)
|
|
|
(1,940,665
|
)
|
|
Dividends
|
|
|
(970,000
|
)
|
|
|
(911,000
|
)
|
|
Non-subordinated
corporate bonds
|
|
|
(350,312
|
)
|
|
|
(699,354
|
)
|
|
BCRA
|
|
|
—
|
|
|
|
(4,095
|
)
|
|
Financing by local financial institutions
|
|
|
(67,638
|
)
|
|
|
(326,216
|
)
|
|
Collections:
|
|
|
5,263,177
|
|
|
|
6,632,422
|
|
|
Issuance of equity instruments
|
|
|
—
|
|
|
|
6,632,422
|
|
|
Argentine Central Bank
|
|
|
1,998
|
|
|
|
—
|
|
|
Other collections related to financing activities
|
|
|
5,261,179
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash flows generated by financing activities
|
|
|
3,875,227
|
|
|
|
4,691,757
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash equivalents balances
|
|
|
28,772,481
|
|
|
|
2,382,329
|
|
|
Total changes in cash flows
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net increase / (net decrease) in cash and cash equivalents
|
|
|
49,638,996
|
|
|
|
(20,371,824
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at the beginning of the year (1)
|
|
|
38,179,507
|
|
|
|
48,029,860
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at the end of the period (1)
|
|
|
87,818,503
|
|
|
|
27,658,036
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 71 -
|
|
|
NOTES
TO THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS
AS OF SEPTEMBER 30, 2018
(Stated in thousands of pesos)
|
1.
|
Basis for the preparation of the separate financial statements
|
As mentioned in Note 2 to the consolidated financial statements, BBVA Banco Francés S.A. (the “Bank”) presents consolidated
financial statements in accordance with the financial reporting framework set forth by the BCRA.
These financial statements of the Bank
are supplementary to the consolidated financial statements mentioned above, and are intended for the purposes of complying with legal and regulatory requirements.
|
2.
|
Criteria for the preparation of the financial statements
|
These condensed financial statements for the nine-month period ended September 30, 2018 are part of the period covered by the first annual
financial statements prepared based on the reporting framework established by the Argentine Central Bank (BCRA), which provide that entities under its supervision shall submit financial statements prepared pursuant to International Financial
Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB), with a temporary exception of the application of the impairment model in Section 5.5 “Impairment” of IFRS 9 “Financial Instruments”
(hereinafter “financial reporting framework established by the BCRA”) and considering, in turn, the accounting standards set forth by the BCRA through Memorandum No. 6/2017 regarding the criterion applicable to recognize uncertain tax
provisions. IAS 29 has not been applied as provided by BCRA Communication “A” 3924.
As stated in Note 2 to the consolidated
financial statements, the above mentioned circumstances result in a deviation from the IFRS, as detailed in that note.
As this is an
interim period, the Bank has opted to present condensed information. Likewise, these separate financial statements contain the additional information and exhibits required by the BCRA through Communication “A” 6324.
To avoid duplication of information already provided, we refer to the consolidated financial statements regarding:
|
|
•
|
|
Functional and presentation currency and measurement unit (Note 3 to the consolidated financial statements)
|
|
|
•
|
|
Accounting judgment and estimates (Note 4 to the consolidated financial statements)
|
|
|
•
|
|
Significant accounting policies (Note 5 to the consolidated financial statements), except for the measurement of
ownership interests in subsidiaries.
|
|
|
•
|
|
IFRS issued but not yet effective (Note 6 to the consolidated financial statements)
|
|
|
•
|
|
Provisions (Note 27 to the consolidated financial statements)
|
|
|
•
|
|
Fair values of financial instruments (Note 42 to the consolidated financial statements)
|
|
|
•
|
|
Segment reporting (Note 43 to the consolidated financial statements)
|
|
|
•
|
|
Subsidiaries (Note 44 to the consolidated financial statements)
|
|
|
•
|
|
Involvement with
non-consolidated
structured entities (Note 45 to the
consolidated financial statements)
|
|
|
•
|
|
Deposits guarantee regime (Note 49 to the consolidated financial statements)
|
|
|
•
|
|
Compliance with the provisions of the Argentine Securities Commission – minimum shareholders’ equity
and liquid assets (Note 51 to the consolidated financial statements)
|
|
|
•
|
|
Trust activities (Note 53 to the consolidated financial statements)
|
|
|
|
|
|
|
|
|
|
- 72 -
|
|
|
|
|
•
|
|
Mutual funds (Note 54 to the consolidated financial statements)
|
|
|
•
|
|
Penalties and administrative proceedings instituted by the BCRA (Note 55 to the consolidated financial
statements)
|
|
|
•
|
|
Subsequent events (Note 57 to the consolidated financial statements)
|
|
3.
|
Significant accounting policies
|
The Bank has consistently applied the accounting policies described in Note 5 to the interim consolidated financial statements as of
March 31, 2018, in all periods presented in these financial statements and the preparation of the Balance Sheet as of December 31, 2016 for the purposes of the transition to the financial reporting framework set forth by the BCRA. Note 42
contains a detail of the impact of the transition regarding the accounting regulations set forth by the BCRA previously applied.
These
financial statements for the nine-month period ended September 30, 2018 have been prepared pursuant to IAS 34 “Interim Financial Reporting” and IFRS 1 “First-time Adoption of International Financial Reporting Standards”. The
interim financial statements have been prepared based on the policies the Entity expects to adopt in its annual financial statements as of December 31, 2018. Comparative amounts and the amounts as of the date of transition have been modified to
reflect the adjustments to the new financial reporting framework.
Investments in subsidiaries
Subsidiaries are all the entities controlled by the Bank. The Bank owns a controlling interest in an entity when it is exposed to, or has
rights over, the variable yields for its interest in the participated company, and has the power to affect the changes in such yields. The Bank reevaluates if its control is maintained when there are changes in any of the conditions mentioned.
Interests in Subsidiaries are measured using the equity method. They are initially recognized at cost, which includes transaction costs. After
initial recognition, the financial statements include the Bank’s share in the results and OCI of investments accounted for using the equity method, until the date when the significant influence or joint control cease.
|
4.
|
Cash and deposits in banks
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
09.30.17
|
|
|
12.31.16
|
|
|
Cash
|
|
|
18,476,752
|
|
|
|
7,977,088
|
|
|
|
6,156,460
|
|
|
|
14,176,412
|
|
|
BCRA - Unrestricted current account
|
|
|
62,851,235
|
|
|
|
29,405,422
|
|
|
|
20,539,990
|
|
|
|
31,230,217
|
|
|
Balances in local and foreign financial institutions
|
|
|
6,490,516
|
|
|
|
796,997
|
|
|
|
961,586
|
|
|
|
2,623,231
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
87,818,503
|
|
|
|
38,179,507
|
|
|
|
27,658,036
|
|
|
|
48,029,860
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
5.
|
Debt securities at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Government securities
|
|
|
222,263
|
|
|
|
1,387,290
|
|
|
|
2,003,459
|
|
|
Private securities - Corporate bonds
|
|
|
152,809
|
|
|
|
134,094
|
|
|
|
176,714
|
|
|
BCRA Bills
|
|
|
97,961
|
|
|
|
4,251,188
|
|
|
|
1,460,628
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
473,033
|
|
|
|
5,772,572
|
|
|
|
3,640,801
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In the ordinary course of business, the Bank carried out foreign currency forward transactions with daily or monthly settlement of differences,
with no delivery of the underlying asset and interest rate swap transactions. These transactions do not qualify as hedging pursuant to IFRS 9 - “Financial Instruments”.
|
|
|
|
|
|
|
|
|
- 73 -
|
|
|
The aforementioned instruments
are measured at fair value and were recognized in the Balance Sheet in the item “Derivative instruments”; and changes in fair values were recognized in the Statement of Income in the item “Net income from measurement of financial
instruments at fair value through profit or loss”.
The breakdown of the item is as follows:
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
63,881
|
|
|
|
110,057
|
|
|
|
28,655
|
|
|
Interest Rate Swaps
|
|
|
—
|
|
|
|
32,688
|
|
|
|
25,068
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
63,881
|
|
|
|
142,745
|
|
|
|
53,723
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
3,879,997
|
|
|
|
137,639
|
|
|
|
5,070
|
|
|
Interest Rate Swaps
|
|
|
551,580
|
|
|
|
92,136
|
|
|
|
53,235
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,431,577
|
|
|
|
229,775
|
|
|
|
58,305
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The notional amounts of the term and foreign currency forward transactions, stated in US Dollars, as well as
the base value of interest rate swaps are reported below.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Foreign Currency Forwards
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Foreign currency forward purchases
|
|
|
31,431,933
|
|
|
|
12,671,490
|
|
|
|
2,623,708
|
|
|
Foreign currency forward sales
|
|
|
33,971,903
|
|
|
|
12,592,256
|
|
|
|
3,186,904
|
|
|
Interest rate swaps
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed rate for variable rate
|
|
|
3,857,661
|
|
|
|
4,376,498
|
|
|
|
2,251,362
|
|
The breakdown of the item is as follows:
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Financial institutions
|
|
|
|
|
|
|
209,348
|
|
|
|
603,035
|
|
|
|
58,322
|
|
|
BCRA
|
|
|
|
|
|
|
1,124,065
|
|
|
|
1,353,992
|
|
|
|
—
|
|
|
Non-financial
institutions
|
|
|
(1
|
)
|
|
|
8,249,233
|
|
|
|
4,372,912
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
|
|
|
|
9,582,646
|
|
|
|
6,329,939
|
|
|
|
58,322
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
For two repo transactions of Argentine Bonds in US Dollars 2024 carried out in August and September 2017 with
Argentina for a total of USD 250,000,000.
|
|
|
|
|
|
|
|
|
|
- 74 -
|
|
|
Liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Financial institutions
|
|
|
—
|
|
|
|
285,410
|
|
|
|
135,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
—
|
|
|
|
285,410
|
|
|
|
135,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8.
|
Other financial assets
|
The breakdown of Other financial assets is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Measured at amortized cost
Financial debtors for spot transactions pending settlement
|
|
|
4,535,016
|
|
|
|
1,431,589
|
|
|
|
—
|
|
|
Non-financial debtors for spot transactions pending settlement
|
|
|
94,328
|
|
|
|
110,454
|
|
|
|
75,025
|
|
|
Other receivables
|
|
|
1,330,716
|
|
|
|
735,260
|
|
|
|
560,415
|
|
|
Other
|
|
|
465,801
|
|
|
|
56,344
|
|
|
|
71,647
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,425,861
|
|
|
|
2,333,647
|
|
|
|
707,087
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses (Exhibit R)
|
|
|
(68,677
|
)
|
|
|
(57,566
|
)
|
|
|
(60,134
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
6,357,184
|
|
|
|
2,276,081
|
|
|
|
646,953
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
9.
|
Loans and other financing
|
The Bank keeps loans and other financing under a business model with the purpose of collecting contractual cash flows. Therefore, it measures
loans and other financing at amortized cost. Below is a breakdown of the related balance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Non-financial
government sector
|
|
|
177
|
|
|
|
218
|
|
|
|
98,819
|
|
|
BCRA
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
9,724,645
|
|
|
|
8,484,038
|
|
|
|
3,703,085
|
|
|
Overdrafts
|
|
|
16,405,607
|
|
|
|
11,707,264
|
|
|
|
9,801,870
|
|
|
Discounted instruments
|
|
|
10,122,369
|
|
|
|
11,164,895
|
|
|
|
6,456,171
|
|
|
Notes
|
|
|
12,422,189
|
|
|
|
7,049,131
|
|
|
|
4,348,688
|
|
|
Documents purchased
|
|
|
—
|
|
|
|
13,450
|
|
|
|
—
|
|
|
Real estate mortgage
|
|
|
8,718,885
|
|
|
|
4,457,821
|
|
|
|
1,917,412
|
|
|
Pledge loans
|
|
|
1,774,642
|
|
|
|
2,088,092
|
|
|
|
2,966,858
|
|
|
Consumer loans
|
|
|
21,923,282
|
|
|
|
16,638,201
|
|
|
|
9,566,943
|
|
|
Credit Cards
|
|
|
37,421,393
|
|
|
|
30,144,824
|
|
|
|
22,625,315
|
|
|
Loans for the prefinancing and financing of exports
|
|
|
46,551,521
|
|
|
|
23,147,427
|
|
|
|
8,486,700
|
|
|
Receivables from financial leases
|
|
|
2,617,227
|
|
|
|
2,290,031
|
|
|
|
1,992,915
|
|
|
Loans to personnel
|
|
|
1,037,125
|
|
|
|
626,175
|
|
|
|
174,993
|
|
|
Other financing
|
|
|
13,898,374
|
|
|
|
11,365,907
|
|
|
|
7,432,255
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
182,617,437
|
|
|
|
129,177,474
|
|
|
|
79,572,024
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses (Exhibit R)
|
|
|
(4,000,918
|
)
|
|
|
(2,277,351
|
)
|
|
|
(1,604,349
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
178,616,519
|
|
|
|
126,900,123
|
|
|
|
77,967,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 75 -
|
|
|
The information on the
concentration of loans and other financing is presented in Exhibits B and C. The reconciliation of the information included in that Exhibit with the accounting balances is shown below.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Total exhibits B and C
|
|
|
184,205,881
|
|
|
|
130,789,730
|
|
|
|
81,070,409
|
|
|
Plus:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans to personnel
|
|
|
1,037,125
|
|
|
|
626,175
|
|
|
|
174,993
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses
|
|
|
4,000,918
|
|
|
|
2,277,351
|
|
|
|
1,604,349
|
|
|
Adjustments for effective interest rate
|
|
|
118,436
|
|
|
|
316,269
|
|
|
|
559,072
|
|
|
Corporate bonds
|
|
|
221,574
|
|
|
|
292,352
|
|
|
|
325,925
|
|
|
Loans commitments
|
|
|
2,285,560
|
|
|
|
1,629,810
|
|
|
|
788,381
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total loans and other financing
|
|
|
178,616,519
|
|
|
|
126,900,123
|
|
|
|
77,967,675
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
10.
|
Other debt securities
|
|
|
a)
|
Financial assets measured at amortized cost
|
They include corporate bonds for which the Entity is carrying out credit recovery transactions, for an amount of 190 as of September 30,
2018 and December 31, 2017 and 243 as of December 31, 2016.
|
|
b)
|
Financial assets measured at fair value through OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Government securities
|
|
|
13,352,630
|
|
|
|
5,580,301
|
|
|
|
3,121,198
|
|
|
BCRA Bills
|
|
|
—
|
|
|
|
10,559,358
|
|
|
|
5,924,317
|
|
|
BCRA Liquidity Bills
|
|
|
17,421,132
|
|
|
|
—
|
|
|
|
—
|
|
|
Private securities - Corporate bonds
|
|
|
210,577
|
|
|
|
160,590
|
|
|
|
150,227
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
30,984,339
|
|
|
|
16,300,249
|
|
|
|
9,195,742
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses- Private securities (Exhibit R)
|
|
|
(2,342
|
)
|
|
|
(1,605
|
)
|
|
|
(1,502
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
30,981,997
|
|
|
|
16,298,644
|
|
|
|
9,194,240
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11.
|
Financial assets pledged as collateral
|
As of September 30, 2018, December 31, 2017 and December 31, 2016, the Entity delivered the financial assets listed below as
collateral:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
BCRA - Special guarantee accounts
|
|
|
(1
|
)
|
|
|
1,717,920
|
|
|
|
977,566
|
|
|
|
914,587
|
|
|
Guarantee Trust - BCRA Bills at fair value through OCI
|
|
|
(2
|
)
|
|
|
2,316,742
|
|
|
|
476,370
|
|
|
|
12,905
|
|
|
Guarantee Trust - Pesos
|
|
|
(2
|
)
|
|
|
8,400
|
|
|
|
3,090
|
|
|
|
1,120
|
|
|
Deposits as collateral
|
|
|
(3
|
)
|
|
|
2,258,895
|
|
|
|
1,475,728
|
|
|
|
1,120,490
|
|
|
For reverse repo transactions - BCRA Bills at fair value through OCI
|
|
|
|
|
|
|
—
|
|
|
|
296,630
|
|
|
|
134,027
|
|
|
For reverse repo transactions - Government securities at fair value through OCI
|
|
|
|
|
|
|
—
|
|
|
|
21,080
|
|
|
|
1,065
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
|
|
|
|
6,301,957
|
|
|
|
3,250,464
|
|
|
|
2,184,194
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Special guarantee checking accounts opened at the BCRA for the transactions related to the automated clearing
houses and other similar entities.
|
|
|
|
|
|
|
|
|
|
- 76 -
|
|
|
|
|
(2)
|
Set up as collateral to operate with ROFEX and MAE on term and foreign currency forward transactions. The trust
fund consists of pesos and monetary regulation instruments issued by the BCRA.
|
|
|
(3)
|
Deposits pledged as collateral for activities related to credit card transactions in the country and abroad,
leases and forward transactions.
|
|
|
a)
|
Current income tax liabilities
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Advances
|
|
|
(444,990
|
)
|
|
|
(594,048
|
)
|
|
|
(1,172,124
|
|
|
Collections and withholdings
|
|
|
(575
|
)
|
|
|
(82
|
)
|
|
|
(4
|
)
|
|
Income Tax Provision
|
|
|
2,920,000
|
|
|
|
1,941,000
|
|
|
|
2,238,300
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,474,435
|
|
|
|
1,346,870
|
|
|
|
1,066,172
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Breakdown of income tax expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Current tax
|
|
|
2,920,000
|
|
|
|
1,279,000
|
|
|
Deferred tax
|
|
|
(427,441
|
)
|
|
|
(124,708
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,492,559
|
|
|
|
1,154,292
|
|
|
|
|
|
|
|
|
|
|
|
Income tax, pursuant to IAS 34, is recognized in interim periods based on the best estimate of the weighted average tax rate
that the Entity expects for the fiscal year.
The Bank’s effective rate for the nine-month period ended September 30, 2018 and 2017 was 27%.
|
13.
|
Investments in equity instruments
|
Investments in equity instruments over which the Bank has no control, joint control or a significant influence are measured at fair value
through OCI. The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Banco Latinoaméricano de Exportaciones S.A.
|
|
|
10,293
|
|
|
|
4,725
|
|
|
|
3,989
|
|
|
Other
|
|
|
739
|
|
|
|
2,145
|
|
|
|
419
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
11,032
|
|
|
|
6,870
|
|
|
|
4,408
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 77 -
|
|
|
|
14.
|
Investments in subsidiaries and associates
|
The Bank has investments in the following entities over which it has a control or significant influence and, therefore, measures them by
applying the equity method:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
BBVA Francés Valores S.A.
|
|
|
156,686
|
|
|
|
161,266
|
|
|
|
99,462
|
|
|
Consolidar A.F.J.P. S.A. (under liquidation proceedings)
|
|
|
27,657
|
|
|
|
5,490
|
|
|
|
3,253
|
|
|
Volkswagen Financial Services Compañía Financiera S.A.
|
|
|
611,500
|
|
|
|
309,845
|
|
|
|
275,494
|
|
|
BBVA Francés Asset Management S.A. Sociedad Gerente de Fondos Comunes de
Inversión
|
|
|
365,571
|
|
|
|
358,839
|
|
|
|
283,340
|
|
|
PSA Finance Arg. Cía. Financiera S.A.
|
|
|
432,463
|
|
|
|
344,710
|
|
|
|
369,977
|
|
|
Rombo Cía. Financiera S.A.
|
|
|
518,230
|
|
|
|
393,953
|
|
|
|
349,027
|
|
|
BBVA Consolidar Seguros S.A.
|
|
|
184,591
|
|
|
|
131,334
|
|
|
|
109,399
|
|
|
Interbanking S.A.
|
|
|
33,863
|
|
|
|
18,798
|
|
|
|
10,581
|
|
|
Prisma Medios de Pago S.A. (1)
|
|
|
—
|
|
|
|
—
|
|
|
|
105,185
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
2,330,561
|
|
|
|
1,724,235
|
|
|
|
1,605,718
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Reclassified to “Assets held for sale” as of December 31, 2017, based on the divestment
agreement mentioned in Note 21 to the consolidated financial statements.
|
|
15.
|
Property, plant and equipment
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Real estate
|
|
|
6,628,152
|
|
|
|
6,960,452
|
|
|
|
6,841,675
|
|
|
Constructions in progress
|
|
|
372,587
|
|
|
|
350,315
|
|
|
|
141,101
|
|
|
Furniture and facilities
|
|
|
1,418,174
|
|
|
|
1,156,711
|
|
|
|
564,791
|
|
|
Machinery and equipment
|
|
|
740,346
|
|
|
|
731,187
|
|
|
|
461,292
|
|
|
Automobiles
|
|
|
13,651
|
|
|
|
8,205
|
|
|
|
8,358
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
9,172,910
|
|
|
|
9,206,870
|
|
|
|
8,017,217
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Licenses
|
|
|
429,880
|
|
|
|
339,423
|
|
|
|
238,675
|
|
|
Other intangible assets
|
|
|
166,430
|
|
|
|
95,149
|
|
|
|
76,962
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
596,310
|
|
|
|
434,572
|
|
|
|
315,637
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
17.
|
Other
non-financial
assets
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Investment properties
|
|
|
100,853
|
|
|
|
102,720
|
|
|
|
105,106
|
|
|
Prepayments
|
|
|
295,079
|
|
|
|
65,635
|
|
|
|
58,900
|
|
|
Advance payments
|
|
|
703,221
|
|
|
|
760,184
|
|
|
|
446,837
|
|
|
Advances to suppliers of goods
|
|
|
114,426
|
|
|
|
266,649
|
|
|
|
475,767
|
|
|
Other miscellaneous assets
|
|
|
134,069
|
|
|
|
195,194
|
|
|
|
205,577
|
|
|
Advances to personnel
|
|
|
11,771
|
|
|
|
44,769
|
|
|
|
118,544
|
|
|
Property taken as security for loan
|
|
|
1,636
|
|
|
|
959
|
|
|
|
1,724
|
|
|
Other
|
|
|
11,631
|
|
|
|
84,996
|
|
|
|
36,823
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
1,372,686
|
|
|
|
1,521,106
|
|
|
|
1,449,278
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 78 -
|
|
|
During November 2017, the Board of Directors agreed to a plan to sell its ownership interest in Prisma Medios de Pago S.A., and therefore the
accounting balance of that ownership interest is presented as “Assets held for sale”, for an amount of 252,805 and 196,379 as of September 30, 2018 and December 31, 2017. The efforts to sell that asset have begun and the sale is
expected to take place in 2018.
The information on concentration of deposits is presented in Exhibit H.
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Non-financial
government sector
|
|
|
2,030,030
|
|
|
|
1,042,016
|
|
|
|
2,640,909
|
|
|
Financial sector
|
|
|
196,891
|
|
|
|
187,122
|
|
|
|
247,891
|
|
|
Non-financial
private sector and residents abroad
|
|
|
245,250,960
|
|
|
|
152,733,595
|
|
|
|
111,763,305
|
|
|
Checking accounts
|
|
|
24,972,797
|
|
|
|
24,283,741
|
|
|
|
19,896,819
|
|
|
Savings accounts
|
|
|
143,828,389
|
|
|
|
79,047,758
|
|
|
|
42,591,155
|
|
|
Time deposits
|
|
|
71,779,030
|
|
|
|
44,825,433
|
|
|
|
35,747,602
|
|
|
Investment accounts
|
|
|
—
|
|
|
|
—
|
|
|
|
85,194
|
|
|
Other
|
|
|
4,670,744
|
|
|
|
4,576,663
|
|
|
|
13,442,535
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
247,477,881
|
|
|
|
153,962,733
|
|
|
|
114,652,105
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
20.
|
Liabilities at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Obligations for securities transactions
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
21.
|
Other financial liabilities
|
Other financial liabilities are measured at amortized cost and the breakdown is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Creditors for spot transactions pending settlement
|
|
|
5,457,682
|
|
|
|
2,089,348
|
|
|
|
189,883
|
|
|
Obligations for financing of purchases
|
|
|
8,412,734
|
|
|
|
7,644,011
|
|
|
|
4,796,098
|
|
|
Accrued commissions payable
|
|
|
11,680
|
|
|
|
16,321
|
|
|
|
16,274
|
|
|
Collections and other transactions on behalf of third parties
|
|
|
3,862,739
|
|
|
|
1,613,752
|
|
|
|
1,570,768
|
|
|
Interest accrued payable
|
|
|
62,002
|
|
|
|
17,115
|
|
|
|
7,761
|
|
|
Other
|
|
|
4,127,797
|
|
|
|
2,485,029
|
|
|
|
1,067,627
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
21,934,634
|
|
|
|
13,865,576
|
|
|
|
7,648,411
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 79 -
|
|
|
|
22.
|
Financing received from the BCRA and other financial institutions
|
The financing received from the BCRA and other financial institutions is measured at amortized cost and the breakdown is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Local financial institutions
|
|
|
124,510
|
|
|
|
257,991
|
|
|
|
—
|
|
|
BCRA
|
|
|
7,622
|
|
|
|
8,482
|
|
|
|
31,970
|
|
|
Foreign financial institutions
|
|
|
5,625,582
|
|
|
|
295,702
|
|
|
|
636,153
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
5,757,714
|
|
|
|
562,175
|
|
|
|
668,123
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
23.
|
Corporate bonds issued
|
The detail of corporate bonds in force as of September 30, 2018, December 31, 2017 and 2016, is included in Note 26 to the
consolidated financial statements.
|
24.
|
Other
non-financial
liabilities
|
The breakdown of the item is as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Short term personnel benefits
|
|
|
2,326,042
|
|
|
|
1,698,647
|
|
|
|
1,334,089
|
|
|
Long term personnel benefits
|
|
|
154,113
|
|
|
|
137,389
|
|
|
|
109,240
|
|
|
Other collections and withholdings
|
|
|
1,774,690
|
|
|
|
1,503,831
|
|
|
|
1,319,998
|
|
|
Social security payable
|
|
|
241,811
|
|
|
|
20,045
|
|
|
|
14,945
|
|
|
Advance collections
|
|
|
1,178,967
|
|
|
|
827,850
|
|
|
|
947,619
|
|
|
Miscellaneous creditors
|
|
|
3,012,519
|
|
|
|
2,474,331
|
|
|
|
1,288,898
|
|
|
For contract liabilities
|
|
|
209,425
|
|
|
|
212,022
|
|
|
|
158,152
|
|
|
Other taxes payable
|
|
|
839,858
|
|
|
|
466,268
|
|
|
|
346,008
|
|
|
Other
|
|
|
8,419
|
|
|
|
5,393
|
|
|
|
18,889
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
9,745,844
|
|
|
|
7,345,776
|
|
|
|
5,537,838
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The information on the corporate stock is disclosed in Note 29 to the consolidated financial statements.
|
|
|
|
|
|
|
|
|
- 80 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Interest on loans to the financial sector
|
|
|
1,836,055
|
|
|
|
784,168
|
|
|
Interest from overdrafts
|
|
|
3,956,923
|
|
|
|
2,185,343
|
|
|
Interest from documented instruments
|
|
|
3,470,030
|
|
|
|
1,448,391
|
|
|
Interest from mortgage loans
|
|
|
520,112
|
|
|
|
264,002
|
|
|
Interest from pledge loans
|
|
|
362,303
|
|
|
|
408,088
|
|
|
Interest from credit cards
|
|
|
4,952,684
|
|
|
|
4,410,599
|
|
|
Interest from financial leases
|
|
|
387,907
|
|
|
|
297,903
|
|
|
Interest from consumer loans
|
|
|
4,513,028
|
|
|
|
2,775,764
|
|
|
Interest from other loans
|
|
|
1,454,080
|
|
|
|
1,028,573
|
|
|
Premium for repo transactions
|
|
|
421,870
|
|
|
|
355,274
|
|
|
Interest from government securities
|
|
|
4,232,063
|
|
|
|
731,303
|
|
|
Interest from loans for the prefinancing and financing of exports
|
|
|
986,599
|
|
|
|
246,270
|
|
|
Stabilization Coefficient (CER) clause adjustment
|
|
|
63,245
|
|
|
|
312,625
|
|
|
Acquisition Value Unit (UVA) clause adjustment
|
|
|
1,713,669
|
|
|
|
56,000
|
|
|
Other financial income
|
|
|
28,640
|
|
|
|
3,552
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
28,899,208
|
|
|
|
15,307,855
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Checking accounts deposits
|
|
|
1,845,594
|
|
|
|
302,093
|
|
|
Savings accounts deposits
|
|
|
64,338
|
|
|
|
24,507
|
|
|
Time deposits
|
|
|
8,281,445
|
|
|
|
4,423,875
|
|
|
Bank loans
|
|
|
43,165
|
|
|
|
17,192
|
|
|
Other liabilities
|
|
|
905,875
|
|
|
|
323,012
|
|
|
Premium for repurchase agreements
|
|
|
82,637
|
|
|
|
72,520
|
|
|
Acquisition Value Unit (UVA) clause adjustments
|
|
|
636,895
|
|
|
|
28,788
|
|
|
Other
|
|
|
4,719
|
|
|
|
1,171
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
11,864,668
|
|
|
|
5,193,158
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Linked to liabilities
|
|
|
4,192,247
|
|
|
|
2,746,891
|
|
|
Linked to loans
|
|
|
3,239,299
|
|
|
|
1,682,047
|
|
|
Linked to securities
|
|
|
103,069
|
|
|
|
59,468
|
|
|
From guarantees granted
|
|
|
2,108
|
|
|
|
340
|
|
|
From foreign and exchange transactions
|
|
|
323,410
|
|
|
|
209,209
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
7,860,133
|
|
|
|
4,697,955
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 81 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
For credit and debit cards
|
|
|
2,084,459
|
|
|
|
1,184,637
|
|
|
Latam Pass Commissions
|
|
|
1,653,189
|
|
|
|
936,857
|
|
|
Linked to transactions with securities
|
|
|
858
|
|
|
|
718
|
|
|
For foreign trade transactions
|
|
|
97,807
|
|
|
|
58,592
|
|
|
For payment of wages
|
|
|
201,701
|
|
|
|
114,189
|
|
|
For promotions
|
|
|
176,634
|
|
|
|
104,140
|
|
|
For digital sales services
|
|
|
294,680
|
|
|
|
181,014
|
|
|
Other commission expenses
|
|
|
336,947
|
|
|
|
415,377
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,846,275
|
|
|
|
2,995,524
|
|
|
|
|
|
|
|
|
|
|
|
|
30.
|
Net income/(loss) from measurement of financial instruments at fair value through profit or loss
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Income/(loss) from foreign currency forward transactions
|
|
|
(442,734
|
)
|
|
|
(18,301
|
)
|
|
Income from government securities
|
|
|
647,308
|
|
|
|
1,763,981
|
|
|
Income from corporate bonds
|
|
|
11,227
|
|
|
|
45,374
|
|
|
Income from private securities
|
|
|
310,900
|
|
|
|
32
|
|
|
Income/(loss) from interest rate swaps
|
|
|
(682,907
|
)
|
|
|
15,431
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
(156,206
|
)
|
|
|
1,806,517
|
|
|
|
|
|
|
|
|
|
|
|
|
31.
|
Income from derecognition of financial assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Income from sale or derecognition of government securities
|
|
|
57,241
|
|
|
|
6,742
|
|
|
Expenses for sale or derecognition of government securities
|
|
|
(111,398
|
)
|
|
|
(19
|
)
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
(54,157
|
)
|
|
|
6,723
|
|
|
|
|
|
|
|
|
|
|
|
|
32.
|
Foreign exchange gains/(losses)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Conversion of assets and liabilities in foreign currency into pesos
|
|
|
1,477,978
|
|
|
|
(136,074
|
)
|
|
Income from purchase-sale of foreign currency
|
|
|
2,764,991
|
|
|
|
1,506,588
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,242,969
|
|
|
|
1,370,514
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 82 -
|
|
|
|
33.
|
Other operating income
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Rental of safe deposit boxes
|
|
|
323,592
|
|
|
|
245,975
|
|
|
Adjustments and interest on miscellaneous receivables
|
|
|
325,284
|
|
|
|
102,691
|
|
|
Punitive interest
|
|
|
51,520
|
|
|
|
28,299
|
|
|
Loans recovered
|
|
|
202,001
|
|
|
|
220,439
|
|
|
Allowances reversed
|
|
|
72,192
|
|
|
|
77,046
|
|
|
Commissions for the hiring of insurance
|
|
|
511,225
|
|
|
|
494,762
|
|
|
Income tax contingency (Note 15c. to the consolidated financial statements)
|
|
|
1,021,518
|
|
|
|
1,185,800
|
|
|
Commissions for transportation of values
|
|
|
33,917
|
|
|
|
38,231
|
|
|
Commissions for custody
|
|
|
46,212
|
|
|
|
35,151
|
|
|
Commissions for credit and debit cards
|
|
|
328,403
|
|
|
|
233,352
|
|
|
Other operating income
|
|
|
756,968
|
|
|
|
600,560
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
3,672,832
|
|
|
|
3,262,306
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Salaries
|
|
|
3,600,548
|
|
|
|
2,888,003
|
|
|
Social security charges
|
|
|
1,099,078
|
|
|
|
851,232
|
|
|
Personnel compensation and benefits
|
|
|
384,653
|
|
|
|
291,909
|
|
|
Personnel services
|
|
|
126,687
|
|
|
|
107,095
|
|
|
Other short term personnel benefits
|
|
|
1,056,243
|
|
|
|
643,314
|
|
|
Post-employment personnel benefits - Defined benefits
|
|
|
1,822
|
|
|
|
1,617
|
|
|
Other long term benefits
|
|
|
16,724
|
|
|
|
12,377
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
6,285,755
|
|
|
|
4,795,547
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 83 -
|
|
|
|
35.
|
Administrative expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Travel expenses
|
|
|
58,908
|
|
|
|
45,773
|
|
|
Administrative services
|
|
|
343,854
|
|
|
|
251,014
|
|
|
Security services
|
|
|
222,065
|
|
|
|
227,682
|
|
|
Fees to Bank Directors and Supervisory Committee
|
|
|
9,599
|
|
|
|
6,854
|
|
|
Other fees
|
|
|
211,344
|
|
|
|
139,343
|
|
|
Insurance
|
|
|
50,514
|
|
|
|
39,876
|
|
|
Rent
|
|
|
535,641
|
|
|
|
345,841
|
|
|
Stationery and supplies
|
|
|
28,604
|
|
|
|
30,619
|
|
|
Electricity and communications
|
|
|
208,520
|
|
|
|
151,055
|
|
|
Advertising and publicity
|
|
|
322,882
|
|
|
|
293,116
|
|
|
Taxes
|
|
|
1,138,945
|
|
|
|
861,204
|
|
|
Maintenance costs
|
|
|
532,394
|
|
|
|
394,143
|
|
|
Armored transportation services
|
|
|
650,193
|
|
|
|
504,244
|
|
|
Other administrative expenses
|
|
|
585,950
|
|
|
|
461,943
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,899,413
|
|
|
|
3,752,707
|
|
|
|
|
|
|
|
|
|
|
|
|
36.
|
Depreciation and amortization
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Depreciation of property, plant and equipment
|
|
|
528,487
|
|
|
|
376,357
|
|
|
Amortization of intangible assets
|
|
|
92,903
|
|
|
|
85,743
|
|
|
Depreciation of other assets
|
|
|
1,980
|
|
|
|
1,871
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
623,370
|
|
|
|
463,971
|
|
|
|
|
|
|
|
|
|
|
|
|
37.
|
Other operating expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Contribution to the Deposits Guarantee Fund (Note 49 to the consolidated financial
statements)
|
|
|
223,842
|
|
|
|
156,365
|
|
|
Turnover tax
|
|
|
2,728,000
|
|
|
|
1,579,450
|
|
|
Charge for other allowances (Exhibit J)
|
|
|
1,423,181
|
|
|
|
1,443,642
|
|
|
Sinisters
|
|
|
101,931
|
|
|
|
68,813
|
|
|
Other operating expenses
|
|
|
452,257
|
|
|
|
957,996
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
4,929,211
|
|
|
|
4,206,266
|
|
|
|
|
|
|
|
|
|
|
|
a) Parent
The Bank’s direct
controlling entity is Banco Bilbao Vizcaya Argentaria S.A.
b) Key Management personnel
Pursuant to IAS 24, key management personnel are those having the authority and responsibility for planning, managing and controlling the
Bank’s activities, whether directly or indirectly.
|
|
|
|
|
|
|
|
|
- 84 -
|
|
|
Based on that definition, the
Bank considers the members of the Board of Directors as key personnel.
b.1) Remuneration of key management personnel
The key management personnel received the following remuneration:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Fees
|
|
|
8,714
|
|
|
|
6,079
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
8,714
|
|
|
|
6,079
|
|
b.2) Transactions and balances with key management personnel
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Credit cards
|
|
|
2,146
|
|
|
|
2,435
|
|
|
|
1,907
|
|
|
|
69
|
|
|
|
44
|
|
|
Overdrafts
|
|
|
27
|
|
|
|
20
|
|
|
|
—
|
|
|
|
7
|
|
|
|
12
|
|
|
Personal loans
|
|
|
—
|
|
|
|
10
|
|
|
|
—
|
|
|
|
—
|
|
|
|
8
|
|
|
Mortgage loans
|
|
|
1,329
|
|
|
|
1,366
|
|
|
|
—
|
|
|
|
178
|
|
|
|
184
|
|
|
Financial leases
|
|
|
—
|
|
|
|
—
|
|
|
|
86
|
|
|
|
—
|
|
|
|
1
|
|
|
Deposits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Checking account
|
|
|
9
|
|
|
|
12
|
|
|
|
3
|
|
|
|
—
|
|
|
|
—
|
|
|
Savings account
|
|
|
26,826
|
|
|
|
10,567
|
|
|
|
4,511
|
|
|
|
2
|
|
|
|
1
|
|
|
Term deposits
|
|
|
—
|
|
|
|
—
|
|
|
|
6,306
|
|
|
|
—
|
|
|
|
—
|
|
Transactions have been agreed upon on an arm’s length basis.
b.3) Transactions and balances with related parties (except key management personnel)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
Parent
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash and deposits in banks
|
|
|
350,603
|
|
|
|
425,754
|
|
|
|
245,089
|
|
|
|
—
|
|
|
|
—
|
|
|
Derivative instruments (Assets)
|
|
|
9,946
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other Non-financial Liabilities
|
|
|
192,783
|
|
|
|
54,701
|
|
|
|
113,967
|
|
|
|
77,483
|
|
|
|
46,306
|
|
|
Securities in custody
|
|
|
64,789,534
|
|
|
|
62,359,948
|
|
|
|
37,468,665
|
|
|
|
—
|
|
|
|
—
|
|
|
Derivative instruments (Memorandum Accounts)
|
|
|
212,769
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,353
|
|
|
|
—
|
|
|
Sureties Granted
|
|
|
585,981
|
|
|
|
296,403
|
|
|
|
126,286
|
|
|
|
17
|
|
|
|
—
|
|
|
Guarantees Received
|
|
|
1,100
|
|
|
|
371
|
|
|
|
371
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
- 85 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
Subsidiaries
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Loans and other financing
|
|
|
88
|
|
|
|
3,811,207
|
|
|
|
1,015,703
|
|
|
|
894,606
|
|
|
|
330.896
|
|
|
Other financial assets
|
|
|
422
|
|
|
|
229
|
|
|
|
12
|
|
|
|
—
|
|
|
|
—
|
|
|
Deposits
|
|
|
253,383
|
|
|
|
28,115
|
|
|
|
50,059
|
|
|
|
—
|
|
|
|
—
|
|
|
Financing Received
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,350
|
|
|
|
260
|
|
|
Securities in Custody
|
|
|
348,432
|
|
|
|
375,785
|
|
|
|
186,440
|
|
|
|
—
|
|
|
|
—
|
|
|
Sureties
|
|
|
281
|
|
|
|
281
|
|
|
|
281
|
|
|
|
—
|
|
|
|
—
|
|
|
Other Operating Income
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,666
|
|
|
|
3,590
|
|
|
Administrative Expenses
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
756
|
|
|
|
6,006
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balances as of
|
|
|
Transactions
|
|
|
Associates
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Cash and deposits in banks
|
|
|
77
|
|
|
|
76
|
|
|
|
8
|
|
|
|
—
|
|
|
|
—
|
|
|
Loans and other financing
|
|
|
6,137,148
|
|
|
|
2,067,515
|
|
|
|
1,165,928
|
|
|
|
645,901
|
|
|
|
478,416
|
|
|
Debt securities at fair value through profit or loss
|
|
|
14,154
|
|
|
|
4,179
|
|
|
|
5,849
|
|
|
|
11,146
|
|
|
|
—
|
|
|
Derivative instruments (Assets)
|
|
|
—
|
|
|
|
743
|
|
|
|
3,093
|
|
|
|
—
|
|
|
|
13,315
|
|
|
Deposits
|
|
|
278,817
|
|
|
|
36,506
|
|
|
|
25,983
|
|
|
|
5,642
|
|
|
|
—
|
|
|
Other Non-Financial Liabilities
|
|
|
3,370
|
|
|
|
3,124
|
|
|
|
407
|
|
|
|
5,599
|
|
|
|
3,855
|
|
|
Financing Received
|
|
|
—
|
|
|
|
82,175
|
|
|
|
—
|
|
|
|
5,357
|
|
|
|
—
|
|
|
Derivative instruments (Liabilities)
|
|
|
408,246
|
|
|
|
12,026
|
|
|
|
576
|
|
|
|
505,739
|
|
|
|
|
|
|
Corporate bonds issued
|
|
|
80,716
|
|
|
|
95,374
|
|
|
|
29,738
|
|
|
|
21,600
|
|
|
|
5,179
|
|
|
Interest Rate Swaps
|
|
|
2,609,450
|
|
|
|
2,711,960
|
|
|
|
1,087,279
|
|
|
|
—
|
|
|
|
—
|
|
|
Securities in custody
|
|
|
1,017,841
|
|
|
|
223,475
|
|
|
|
380,819
|
|
|
|
—
|
|
|
|
—
|
|
|
Documented credits
|
|
|
28,676
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
Transactions are agreed upon on an arm’s length basis.
|
|
|
|
|
|
|
|
|
- 86 -
|
|
|
|
39.
|
Restrictions to the payment of dividends
|
We refer to Note 47 to the consolidated financial statements regarding the restrictions to the payment of dividends.
|
40.
|
Restricted availability assets
|
The Entity’s restricted assets are detailed in Note 48 to the consolidated financial statements.
|
41.
|
Minimum cash and minimum capital requirements
|
41.1 Minimum cash requirements
The BCRA establishes different cautious regulations to be observed by financial institutions, mainly regarding solvency levels, liquidity and
credit assistance levels, among others.
Minimum cash regulations set forth an obligation to keep liquid assets in relation to deposits and
other obligations recorded for each period. The items included for the purpose of meeting that requirement are detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounts
|
|
09.30.18
|
|
|
12.31.17
|
|
|
12.31.16
|
|
|
Balances at the BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Argentine Central Bank (BCRA) – checking account not restricted
|
|
|
66,734,020
|
|
|
|
28,091,018
|
|
|
|
31,230,217
|
|
|
Argentine Central Bank (BCRA) – special guarantee accounts - restricted (Note 11)
|
|
|
1,717,920
|
|
|
|
977,566
|
|
|
|
914,587
|
|
|
Argentine Central Bank (BCRA) – special retirement and pension accounts – restricted
(Note 40)
|
|
|
206,364
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
68,658,304
|
|
|
|
29,068,584
|
|
|
|
32,144,804
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Treasury Bonds in pesos at fixed rate due November 2020
|
|
|
6,056,250
|
|
|
|
—
|
|
|
|
—
|
|
|
Liquidity Bills – B.C.R.A.
|
|
|
17,421,132
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
92,135,686
|
|
|
|
29,068,584
|
|
|
|
32,144,804
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
41.2 Minimum capital requirements
The breakdown of minimum capital requirements is as follows as of the mentioned date:
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
09.30.17
|
|
|
Credit risk
|
|
|
16,880,435
|
|
|
|
10,589,694
|
|
|
Operational risk
|
|
|
3,057,896
|
|
|
|
2,259,356
|
|
|
Market risk
|
|
|
171,996
|
|
|
|
316,024
|
|
|
Breach of other technical ratios
|
|
|
814,296
|
|
|
|
—
|
|
|
Pay-in
|
|
|
31,826,433
|
|
|
|
23,955,563
|
|
|
|
|
|
|
|
|
|
|
|
|
Excess
|
|
|
10,901,810
|
|
|
|
10,790,489
|
|
|
|
|
|
|
|
|
|
|
|
|
42.
|
Initial implementation of the financial reporting framework established by the BCRA
|
The items and amounts in the reconciliations included in this note are subject to changes and shall only be
considered final upon preparation of the annual financial statements for this fiscal year.
|
|
|
|
|
|
|
|
|
- 87 -
|
|
|
a) Reconciliations of equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reference
|
|
|
12.31.17
|
|
|
09.30.17
|
|
|
12.31.16
|
|
|
Equity as per the previous financial statements
|
|
|
|
|
|
|
26,056,548
|
|
|
|
24,638,812
|
|
|
|
16,460,035
|
|
|
Adjustments due to initial implementation of the financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deemed cost of Real Property
|
|
|
(a)
|
|
|
|
4,721,093
|
|
|
|
4,740,292
|
|
|
|
4,788,955
|
|
|
Effective rate of Loans
|
|
|
(b)
|
|
|
|
(316,269
|
)
|
|
|
(261,198
|
)
|
|
|
(559,072
|
)
|
|
Rate below market rate
|
|
|
(c)
|
|
|
|
(3,116
|
)
|
|
|
—
|
|
|
|
—
|
|
|
Fair value of government and private securities
|
|
|
(d)
|
|
|
|
(24,587
|
)
|
|
|
(14,193
|
)
|
|
|
(31,439
|
)
|
|
Fair value of derivatives
|
|
|
(e)
|
|
|
|
(37,337
|
)
|
|
|
(37,188
|
)
|
|
|
(34,122
|
)
|
|
Equity method for subsidiaries, associates and joint ventures
|
|
|
(f)
|
|
|
|
240,464
|
|
|
|
321,103
|
|
|
|
275,577
|
|
|
Assets and Liabilities for contracts with customers
|
|
|
(g)
|
|
|
|
(131,840
|
)
|
|
|
(126,202
|
)
|
|
|
(138,665
|
)
|
|
Goodwill
|
|
|
(h)
|
|
|
|
360
|
|
|
|
270
|
|
|
|
—
|
|
|
Deferred income tax
|
|
|
(i)
|
|
|
|
(421,099
|
)
|
|
|
(744,718
|
)
|
|
|
(937,293
|
)
|
|
Financial guarantee contracts
|
|
|
(j)
|
|
|
|
(5,454
|
)
|
|
|
(5,393
|
)
|
|
|
(3,425
|
)
|
|
Actions for the protection of constitutional rights (
Amparos
)
|
|
|
(k)
|
|
|
|
(2,429
|
)
|
|
|
(2,278
|
)
|
|
|
(2,129
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
|
|
30,076,334
|
|
|
|
28,509,307
|
|
|
|
19,818,422
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
b) Reconciliations of Income/(Loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reference
|
|
|
Quarter from
07.01.17 to
09.30.17
|
|
|
Accumulated as
of 09.30.17
|
|
|
Income as per the previous financial statements
|
|
|
|
|
|
|
1,134,580
|
|
|
|
2,457,355
|
|
|
Adjustments due to initial implementation of the financial reporting framework set forth by
BCRA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation/Impairment of Real Property
|
|
|
(a)
|
|
|
|
(1,585
|
)
|
|
|
(48,663
|
)
|
|
Effective rate of Loans
|
|
|
(b)
|
|
|
|
63,369
|
|
|
|
297,874
|
|
|
Fair value of government and private securities
|
|
|
(d)
|
|
|
|
111,190
|
|
|
|
208,712
|
|
|
Fair value of derivatives
|
|
|
(e)
|
|
|
|
(44,396
|
)
|
|
|
(3,066
|
)
|
|
Equity method for associates and joint ventures
|
|
|
(f)
|
|
|
|
13,867
|
|
|
|
43,816
|
|
|
Assets and Liabilities for contracts with customers
|
|
|
(g
|
)
|
|
|
31,191
|
|
|
|
12,463
|
|
|
Goodwill
|
|
|
(h)
|
|
|
|
90
|
|
|
|
270
|
|
|
Deferred income tax
|
|
|
(i)
|
|
|
|
74,106
|
|
|
|
124,708
|
|
|
Financial guarantee contracts
|
|
|
(j)
|
|
|
|
(851
|
)
|
|
|
(1,968
|
)
|
|
Actions for the protection of constitutional rights (
Amparos
)
|
|
|
(k)
|
|
|
|
(75
|
)
|
|
|
(149
|
)
|
|
Prepaid medical plan service
|
|
|
(l)
|
|
|
|
—
|
|
|
|
2,698
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income pursuant to the new financial reporting framework set forth by the BCRA
|
|
|
|
|
|
|
1,381,486
|
|
|
|
3,094,050
|
|
|
|
|
|
|
|
|
|
|
- 88 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income
|
|
|
|
|
|
|
|
|
|
|
|
Fair value of government and private securities
|
|
|
|
|
(86,439
|
)
|
|
|
(191,466
|
)
|
|
Equity method for associates and joint ventures
|
|
|
|
|
7,485
|
|
|
|
1,710
|
|
|
Deferred income tax
|
|
|
|
|
38,945
|
|
|
|
66,923
|
|
|
Post-employment defined benefits plans
|
|
|
|
|
—
|
|
|
|
(1,754
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other Comprehensive Income pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
(40,009
|
)
|
|
|
(124,587
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income pursuant to the new financial reporting framework set forth by the
BCRA
|
|
|
|
|
1,341,477
|
|
|
|
2,969,463
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 89 -
|
|
|
|
|
|
|
|
Reference
|
|
Account
|
|
|
|
|
(a)
|
|
The Entity has elected to use the option set forth in IFRS 1 to consider the fair value (market value) as the deemed cost as of January 1, 2017 for its real estate assets.
|
|
|
|
|
(b)
|
|
In accordance with IFRS, under the effective interest method, for financial assets and financial liabilities valued at amortized cost the Entity shall identify commissions that are an integral part of those financial instruments and
treat them as an adjustment to the effective interest rate, amortizing them along the instrument’s lifetime. Pursuant to prior accounting standards, those commissions were recognized in income/(loss) upon origination of the financial asset
and/or liability.
|
|
|
|
|
(c)
|
|
Adjustments to take the Entity’s loan portfolio at fair value upon initial recognition, since they are financing granted at a rate lower than the market rate.
|
|
|
|
|
(d)
|
|
Adjustments to the measurement of securities, pursuant to the business model for financial assets, defined by the Entity. According to the previous regulations, they were measured at fair market value and/or cost plus
yield.
|
|
|
|
|
(e)
|
|
Adjustment for the purpose of measuring derivative instruments of the Entity at fair value through profit or loss.
|
|
|
|
|
(f)
|
|
An adjustment was recorded for the recognition of IFRS adjustments to subsidiaries and entities over which the Entity has a significant influence (Rombo Compañía Financiera S.A., PSA Finance Compañía
Financiera S.A., and BBVA Consolidar Seguros S.A.).
|
|
|
|
|
(g)
|
|
Pursuant to IFRS 15, income from contracts with customers accrue as the Entity satisfies the performance obligations identified in the contract.
|
|
|
|
|
(h)
|
|
Pursuant to the previous accounting standards, the Entity recognized goodwill generated by business combinations measured at net acquisition cost of accumulated amortizations calculated in proportion to the estimated useful life
months. As per IFRS, there is no defined useful life for goodwill, and its recoverability shall be evaluated for each fiscal year or when there are indications of impairment.
|
|
|
|
|
(i)
|
|
The Entity recognized the effect of deferred tax (net deferred liability) as set forth by IAS 12—“Income taxes”. Likewise, adjustments related to the transition to IFRS originate temporary differences that were taken
into consideration in that assessment.
|
|
|
|
|
(j)
|
|
Guarantees granted are recognized at the highest of the initially recognized value minus the accumulated amount of income recognized as per IFRS 15 and the allowance for loan losses (as per the regulations set forth by the BCRA). In
that sense, the amount of income from services accrues according to the criteria and scope of IFRS 15.
|
|
|
|
|
(k)
|
|
In those cases where the Entity has paid amounts relating to actions for the protection of constitutional rights (
Amparos
) filed by its customers for government securities and quotas of Common Funds under the custody of the
Entity, such amounts were capitalized by blocking the custody account of the depositor. Paragraph 21 of IAS 37 Provisions, Contingent Liabilities and Contingent Assets sets forth that contingent assets should not be recognized in the financial
statements.
|
|
|
|
|
(l)
|
|
The Entity reclassified income for defined benefit plans to other comprehensive income, as set forth in IFRS 19 Employee benefits.
|
|
|
|
|
|
|
|
|
|
- 90 -
|
|
|
c) Significant adjustments to the Cash Flow are detailed below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
12.31.17
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
12.31.17
|
|
|
Cash
|
|
|
7,977,088
|
|
|
|
—
|
|
|
|
7,977,088
|
|
|
Argentine Central Bank (BCRA)
|
|
|
28,091,018
|
|
|
|
1,314,404
|
|
|
|
29,405,422
|
|
|
Financial institutions and correspondents
|
|
|
1,523,168
|
|
|
|
(726,171
|
)
|
|
|
796,997
|
|
|
Local interfinancial loans
|
|
|
3,132,000
|
|
|
|
(3,132,000
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
40,723,274
|
|
|
|
(2,543,767
|
)
|
|
|
38,179,507
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
09.30.17
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
09.30.17
|
|
|
Cash
|
|
|
6,156,460
|
|
|
|
—
|
|
|
|
6,156,460
|
|
|
Argentine Central Bank (BCRA)
|
|
|
17,065,686
|
|
|
|
3,474,304
|
|
|
|
20,539,990
|
|
|
Financial institutions and correspondents
|
|
|
4,570,064
|
|
|
|
(3,608,478
|
)
|
|
|
961,586
|
|
|
Local interfinancial loans
|
|
|
1,340,700
|
|
|
|
(1,340,700
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
29,132,910
|
|
|
|
(1,474,874
|
)
|
|
|
27,658,036
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
Previous
accounting
framework
12.31.16
|
|
|
Adjustments
|
|
|
IFRS
accounting
framework
12.31.16
|
|
|
Cash
|
|
|
14,176,412
|
|
|
|
—
|
|
|
|
14,176,412
|
|
|
Argentine Central Bank (BCRA)
|
|
|
31,230,217
|
|
|
|
—
|
|
|
|
31,230,217
|
|
|
Financial institutions and correspondents
|
|
|
2,664,369
|
|
|
|
(41,138
|
)
|
|
|
2,623,231
|
|
|
Local interfinancial loans
|
|
|
1,705,000
|
|
|
|
(1,705,000
|
)
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
|
|
|
49,775,998
|
|
|
|
(1,746,138
|
)
|
|
|
48,029,860
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Under the previous reporting framework, Cash and due from banks and investments with high liquidity with an
original maturity of three months or less were deemed cash and cash equivalents. Under the reporting framework based on the IFRS, Cash and deposits in banks, which include foreign currency purchases and sales to be settled with an original maturity
of three months or less are deemed cash and cash equivalents.
Under the new financial reporting framework set forth by the BCRA, the main
impacts on the presentation of the statement of cash flows are from the use of the indirect method provided for by IAS 7.
|
43.
|
Accounting principles – Explanation added for translation into English
|
These financial statements are the English translation of those originally issued in Spanish.
These financial statements are presented on the basis of the accounting standards established by the financial reporting framework set forth by
BCRA. Certain accounting practices applied by the Bank that conform to the standards of the BCRA may not conform to the generally accepted accounting principles in other countries.
The differences between the financial reporting framework set forth by BCRA and IFRS are detailed in Note 2 to the consolidated financial
statements. Accordingly, these financial statements are not intended to present financial position, results of operations and cash flows in accordance with generally accepted accounting principles other than the financial reporting framework set
forth by the BCRA.
|
|
|
|
|
|
|
|
|
- 91 -
|
|
|
EXHIBIT A
DETAIL OF GOVERNMENT AND PRIVATE SECURITIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HOLDING
|
|
|
POSITION
|
|
|
Account
|
|
Identification
|
|
|
Fair
Value
|
|
|
Fair
value
level
|
|
|
Book
balance
09-30-18
|
|
|
Book
balance
12-31-17
|
|
|
Position with no
options
|
|
|
Options
|
|
|
Final
position
|
|
|
SECURITIES AT FAIR VALUE THROUGH PROFIT OR LOSS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Local:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government Securities - In pesos
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Secured Bond, Maturity 2020
|
|
|
2423
|
|
|
|
67,320
|
|
|
|
2
|
|
|
|
67,320
|
|
|
|
—
|
|
|
|
67,320
|
|
|
|
—
|
|
|
|
67,320
|
|
|
Province of Rio Negro debt security, variable rate, Maturity 2021
|
|
|
42016
|
|
|
|
50,477
|
|
|
|
3
|
|
|
|
50,477
|
|
|
|
—
|
|
|
|
50,477
|
|
|
|
—
|
|
|
|
50,477
|
|
|
Argentine Treasury Bond in pesos, fixed rate, Maturity 2021
|
|
|
5318
|
|
|
|
32,770
|
|
|
|
2
|
|
|
|
32,770
|
|
|
|
19,776
|
|
|
|
32,770
|
|
|
|
—
|
|
|
|
32,770
|
|
|
Federal Government Bond in pesos adjusted by CER, Maturity
03-06-23
|
|
|
5324
|
|
|
|
28,080
|
|
|
|
2
|
|
|
|
28,080
|
|
|
|
—
|
|
|
|
28,080
|
|
|
|
—
|
|
|
|
28,080
|
|
|
Treasury Bills in pesos, Maturity
11-30-18
|
|
|
5259
|
|
|
|
20,150
|
|
|
|
1
|
|
|
|
20,150
|
|
|
|
—
|
|
|
|
20,150
|
|
|
|
—
|
|
|
|
20,150
|
|
|
Argentine Treasury Bond in pesos, fixed rate, Maturity 2026
|
|
|
5320
|
|
|
|
18,344
|
|
|
|
2
|
|
|
|
18,344
|
|
|
|
53,748
|
|
|
|
18,344
|
|
|
|
—
|
|
|
|
18,344
|
|
|
Treasury Bills in pesos, Maturity
09-30-19
|
|
|
5266
|
|
|
|
2,653
|
|
|
|
2
|
|
|
|
2,653
|
|
|
|
—
|
|
|
|
2,653
|
|
|
|
—
|
|
|
|
2,653
|
|
|
Treasury Bills in pesos, Maturity
03-29-19
|
|
|
5260
|
|
|
|
439
|
|
|
|
2
|
|
|
|
439
|
|
|
|
—
|
|
|
|
439
|
|
|
|
—
|
|
|
|
439
|
|
|
Federal Government Bond in pesos BADLAR private + 200 Pbs, Maturity 2022
|
|
|
5480
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
471,717
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Argentine Treasury Bond in pesos, fixed rate, Maturity 09-19-2018
|
|
|
5317
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
138,271
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
727
|
|
|
|
|
|
|
|
727
|
|
|
|
6,657
|
|
|
|
727
|
|
|
|
—
|
|
|
|
727
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Government Securities - In pesos
|
|
|
|
|
|
|
220,960
|
|
|
|
|
|
|
|
220,960
|
|
|
|
690,169
|
|
|
|
220,960
|
|
|
|
—
|
|
|
|
220,960
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government Securities - In foreign currency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Treasury Bills in USD, Maturity
10-12-18
|
|
|
5231
|
|
|
|
138
|
|
|
|
2
|
|
|
|
138
|
|
|
|
—
|
|
|
|
138
|
|
|
|
—
|
|
|
|
138
|
|
|
Treasury Bills in USD, Maturity
01-11-19
|
|
|
5248
|
|
|
|
40
|
|
|
|
2
|
|
|
|
40
|
|
|
|
—
|
|
|
|
40
|
|
|
|
—
|
|
|
|
40
|
|
|
Treasury Bills in USD, Maturity
11-30-18
|
|
|
5226
|
|
|
|
26
|
|
|
|
2
|
|
|
|
26
|
|
|
|
—
|
|
|
|
26
|
|
|
|
—
|
|
|
|
26
|
|
|
Treasury Bills in USD, Maturity
11-16-18
|
|
|
5241
|
|
|
|
5
|
|
|
|
1
|
|
|
|
5
|
|
|
|
—
|
|
|
|
5
|
|
|
|
—
|
|
|
|
5
|
|
|
Treasury Bills in USD, Maturity
04-27-18
(375D)
|
|
|
5216
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
385,645
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Treasury Bills in USD, Maturity
04-27-18
(360D)
|
|
|
5217
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
305,651
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Treasury Bills in USD, Maturity
08-24-18
|
|
|
5222
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
3,748
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Treasury Bills in USD, Maturity
10-26-18
|
|
|
5240
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
388
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
1,094
|
|
|
|
|
|
|
|
1,094
|
|
|
|
1,689
|
|
|
|
1,094
|
|
|
|
—
|
|
|
|
1,094
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Government Securities - In Foreign Currency
|
|
|
|
|
|
|
1,303
|
|
|
|
|
|
|
|
1,303
|
|
|
|
697,121
|
|
|
|
1,303
|
|
|
|
—
|
|
|
|
1,303
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA Bills
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA Bills, internal segment in pesos, Maturity 10-17-18
|
|
|
46831
|
|
|
|
97,952
|
|
|
|
1
|
|
|
|
97,952
|
|
|
|
—
|
|
|
|
97,952
|
|
|
|
—
|
|
|
|
97952
|
|
|
BCRA Bills, internal segment in pesos, Maturity 11-21-18
|
|
|
46832
|
|
|
|
9
|
|
|
|
1
|
|
|
|
9
|
|
|
|
—
|
|
|
|
9
|
|
|
|
—
|
|
|
|
9
|
|
|
BCRA Bills, internal segment in pesos, Maturity 02-21-18
|
|
|
46822
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
1,678,068
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 06-21-18
|
|
|
46827
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
1,158,375
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 05-16-18
|
|
|
46825
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
482,766
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 04-18-18
|
|
|
46824
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
418,317
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 03-21-18
|
|
|
46823
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
167,026
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 09-19-18
|
|
|
46830
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
126,998
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills, internal segment in pesos, Maturity 07-18-18
|
|
|
46828
|
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
72,983
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
—
|
|
|
|
|
|
|
|
—
|
|
|
|
146,655
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal BCRA Bills
|
|
|
|
|
|
|
97,961
|
|
|
|
|
|
|
|
97,961
|
|
|
|
4,251,188
|
|
|
|
97,961
|
|
|
|
—
|
|
|
|
97,961
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private Securities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate Bond Banco de Galicia y Bs. As. Class II
|
|
|
53478
|
|
|
|
49,250
|
|
|
|
3
|
|
|
|
49,250
|
|
|
|
—
|
|
|
|
49,250
|
|
|
|
—
|
|
|
|
49,250
|
|
|
Corporate Bond Banco Santander Rio S.A. Class XXIII
|
|
|
53448
|
|
|
|
44,800
|
|
|
|
3
|
|
|
|
44,800
|
|
|
|
—
|
|
|
|
44,800
|
|
|
|
—
|
|
|
|
44,800
|
|
|
Corporate Bond YPF S.A. Class XVII
|
|
|
38562
|
|
|
|
18,070
|
|
|
|
3
|
|
|
|
18,070
|
|
|
|
16,048
|
|
|
|
18,070
|
|
|
|
—
|
|
|
|
18,070
|
|
|
Corporate Bond Banco de la Provincia de Bs. As. Class IV
|
|
|
32890
|
|
|
|
17,552
|
|
|
|
3
|
|
|
|
17,552
|
|
|
|
21,035
|
|
|
|
17,552
|
|
|
|
—
|
|
|
|
17,552
|
|
|
Corporate Bond YPF S.A. Class XXXV
|
|
|
39792
|
|
|
|
8,982
|
|
|
|
3
|
|
|
|
8,982
|
|
|
|
18,775
|
|
|
|
8,982
|
|
|
|
—
|
|
|
|
8,982
|
|
|
Corporate Bond Rombo Cia Financiera S.A. Class 42
|
|
|
53238
|
|
|
|
5,178
|
|
|
|
3
|
|
|
|
5,178
|
|
|
|
—
|
|
|
|
5,178
|
|
|
|
—
|
|
|
|
5,178
|
|
|
Corporate Bond Rombo Cia Financiera S.A. Class 40
|
|
|
52940
|
|
|
|
4,893
|
|
|
|
3
|
|
|
|
4,893
|
|
|
|
—
|
|
|
|
4,893
|
|
|
|
—
|
|
|
|
4,893
|
|
|
Corporate Bond Rombo Cia Financiera S.A. Class 36
|
|
|
52186
|
|
|
|
4,084
|
|
|
|
3
|
|
|
|
4,084
|
|
|
|
4,179
|
|
|
|
4,084
|
|
|
|
—
|
|
|
|
4,084
|
|
|
Corporate Bond Banco de Galicia y Bs. As. Maturity 05-18-20
|
|
|
52450
|
|
|
|
—
|
|
|
|
3
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Corporate Bond Banco de la Provincia de Bs. As. Class III
|
|
|
32889
|
|
|
|
—
|
|
|
|
3
|
|
|
|
—
|
|
|
|
68,267
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
—
|
|
|
|
|
|
|
|
—
|
|
|
|
5,790
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Private Securities
|
|
|
|
|
|
|
152,809
|
|
|
|
|
|
|
|
152,809
|
|
|
|
134,094
|
|
|
|
152,809
|
|
|
|
—
|
|
|
|
152,809
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL DEBT SECURITIES AT FAIR VALUE THROUGH PROFIT OR LOSS
|
|
|
|
|
|
|
473,033
|
|
|
|
|
|
|
|
473,033
|
|
|
|
5,772,572
|
|
|
|
473,033
|
|
|
|
—
|
|
|
|
473,033
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 92 -
|
|
|
EXHIBIT A
(Continued)
DETAIL OF GOVERNMENT AND PRIVATE SECURITIES
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HOLDING
|
|
|
POSITION
|
|
|
Account
|
|
Identification
|
|
|
Fair
Value
|
|
|
Fair
value
level
|
|
|
Book
balance
as of
09-30-18
|
|
|
Book
balance
as of
12-31-17
|
|
|
Position
without
options
|
|
|
Options
|
|
|
Final
position
|
|
|
OTHER DEBT SECURITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MEASURED AT FAIR VALUE THROUGH OCI
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Local:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government Securities - In pesos
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Argentine Treasury Bond in pesos at fixed rate, Maturity November 2020
|
|
|
5330
|
|
|
|
6,056,250
|
|
|
|
2
|
|
|
|
6,056,250
|
|
|
|
—
|
|
|
|
6,056,250
|
|
|
|
—
|
|
|
|
6,056,250
|
|
|
Argentine Treasury Bond adjusted by CER, Maturity 2021
|
|
|
5315
|
|
|
|
96,657
|
|
|
|
1
|
|
|
|
96,657
|
|
|
|
64,598
|
|
|
|
96,657
|
|
|
|
—
|
|
|
|
96,657
|
|
|
Secured Bond Maturity 2020
|
|
|
2423
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
1,469,473
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Government Securities - In pesos
|
|
|
|
|
|
|
6,152,907
|
|
|
|
|
|
|
|
6,152,907
|
|
|
|
1,534,071
|
|
|
|
6,152,907
|
|
|
|
—
|
|
|
|
6,152,907
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Government Securities - In foreign currency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Treasury Bills in USD, Maturity 11-30-18
|
|
|
5226
|
|
|
|
2,486,859
|
|
|
|
2
|
|
|
|
2,486,859
|
|
|
|
—
|
|
|
|
2,486,859
|
|
|
|
—
|
|
|
|
2,486,859
|
|
|
Treasury Bills in USD, Maturity 11-16-18
|
|
|
5241
|
|
|
|
1,315,508
|
|
|
|
1
|
|
|
|
1,315,508
|
|
|
|
826,467
|
|
|
|
2,432,668
|
|
|
|
—
|
|
|
|
2,432,668
|
|
|
Treasury Bills in USD, Maturity 02-08-2019
|
|
|
5250
|
|
|
|
693,014
|
|
|
|
2
|
|
|
|
693,014
|
|
|
|
—
|
|
|
|
1,892,596
|
|
|
|
—
|
|
|
|
1,892,596
|
|
|
Treasury Bills in USD, Maturity 10-12-18
|
|
|
5231
|
|
|
|
863,069
|
|
|
|
2
|
|
|
|
863,069
|
|
|
|
395,258
|
|
|
|
863,069
|
|
|
|
—
|
|
|
|
863,069
|
|
|
Treasury Bills in USD, Maturity 03-15-19
|
|
|
5261
|
|
|
|
743,842
|
|
|
|
2
|
|
|
|
743,842
|
|
|
|
—
|
|
|
|
743,842
|
|
|
|
—
|
|
|
|
743,842
|
|
|
Federal Government Bond in Dual Currency, Maturity
02-13-20
|
|
|
5486
|
|
|
|
500,500
|
|
|
|
2
|
|
|
|
500,500
|
|
|
|
—
|
|
|
|
500,500
|
|
|
|
—
|
|
|
|
500,500
|
|
|
Treasury Bills in USD, Maturity 12-14-18
|
|
|
5229
|
|
|
|
495,004
|
|
|
|
2
|
|
|
|
495,004
|
|
|
|
243,498
|
|
|
|
495,004
|
|
|
|
—
|
|
|
|
495,004
|
|
|
Treasury Bills in USD, Maturity 10-26-18
|
|
|
5240
|
|
|
|
101,927
|
|
|
|
2
|
|
|
|
101,927
|
|
|
|
—
|
|
|
|
101,927
|
|
|
|
—
|
|
|
|
101,927
|
|
|
Treasury Bills in USD, Maturity 02-23-18
|
|
|
5234
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
1,500,077
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Treasury Bills in USD, Maturity 03-16-18
|
|
|
5235
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
546,837
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
—
|
|
|
|
|
|
|
|
—
|
|
|
|
534,093
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Government Securities - In foreign Currency
|
|
|
|
|
|
|
7,199,723
|
|
|
|
|
|
|
|
7,199,723
|
|
|
|
4,046,230
|
|
|
|
9,516,465
|
|
|
|
—
|
|
|
|
9,516,465
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA Bills
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BCRA Liquidity Bills in pesos, Maturity 10-04-18
|
|
|
13254
|
|
|
|
9,704,685
|
|
|
|
2
|
|
|
|
9,704,685
|
|
|
|
—
|
|
|
|
9,704,685
|
|
|
|
—
|
|
|
|
9,704,685
|
|
|
BCRA Liquidity Bills in pesos, Maturity 10-05-18
|
|
|
13255
|
|
|
|
4,740,903
|
|
|
|
2
|
|
|
|
4,740,903
|
|
|
|
—
|
|
|
|
4,740,903
|
|
|
|
—
|
|
|
|
4,740,903
|
|
|
BCRA Liquidity Bills in pesos, Maturity 10-03-18
|
|
|
13253
|
|
|
|
2,975,544
|
|
|
|
2
|
|
|
|
2,975,544
|
|
|
|
—
|
|
|
|
2,975,544
|
|
|
|
—
|
|
|
|
2,975,544
|
|
|
BCRA Bills internal segment in pesos, Maturity 09-19-18
|
|
|
46830
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
422,503
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills internal segment in pesos, Maturity 06-21-18
|
|
|
46827
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
1,805,368
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills internal segment in pesos, Maturity 05-16-18
|
|
|
46825
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
2,376,688
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
BCRA Bills internal segment in pesos, Maturity 01-17-18
|
|
|
46821
|
|
|
|
—
|
|
|
|
2
|
|
|
|
—
|
|
|
|
5,932,590
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other
|
|
|
|
|
|
|
—
|
|
|
|
|
|
|
|
—
|
|
|
|
22,209
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal BCRA Bills
|
|
|
|
|
|
|
17,421,132
|
|
|
|
|
|
|
|
17,421,132
|
|
|
|
10,559,358
|
|
|
|
17,421,132
|
|
|
|
—
|
|
|
|
17,421,132
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private Securities - In Pesos
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate Bond YPF S.A. Class XLIV
|
|
|
51096
|
|
|
|
100,375
|
|
|
|
3
|
|
|
|
100,375
|
|
|
|
103,341
|
|
|
|
100,375
|
|
|
|
—
|
|
|
|
100,375
|
|
|
Private Securities - In foreign currency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate Bond John Deeree Credit Cia. Financiera S.A. Class XII
|
|
|
51620
|
|
|
|
110,202
|
|
|
|
3
|
|
|
|
110,202
|
|
|
|
57,249
|
|
|
|
110,202
|
|
|
|
—
|
|
|
|
110,202
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Private Securities
|
|
|
|
|
|
|
210,577
|
|
|
|
|
|
|
|
210,577
|
|
|
|
160,590
|
|
|
|
210,577
|
|
|
|
—
|
|
|
|
210,577
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Subtotal Measured at Fair Value through OCI
|
|
|
|
|
|
|
30,984,339
|
|
|
|
|
|
|
|
30,984,339
|
|
|
|
16,300,249
|
|
|
|
33,301,081
|
|
|
|
—
|
|
|
|
33,301,081
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MEASURED AT AMORTIZED COST
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private Securities - In Pesos
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate Bond EXO. S.A.
|
|
|
|
|
|
|
190
|
|
|
|
3
|
|
|
|
190
|
|
|
|
190
|
|
|
|
190
|
|
|
|
—
|
|
|
|
190
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL OTHER DEBT SECURITIES
|
|
|
|
|
|
|
30,984,529
|
|
|
|
|
|
|
|
30,984,529
|
|
|
|
16,300,439
|
|
|
|
33,301,271
|
|
|
|
—
|
|
|
|
33,301,271
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY INSTRUMENTS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Local:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private Securities - In Pesos
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
|
225
|
|
|
|
3
|
|
|
|
225
|
|
|
|
1,909
|
|
|
|
225
|
|
|
|
—
|
|
|
|
225
|
|
|
Foreign:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Private Securities - In foreign currency
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
|
|
|
|
|
|
|
10,807
|
|
|
|
3
|
|
|
|
10,807
|
|
|
|
4,961
|
|
|
|
10,807
|
|
|
|
—
|
|
|
|
10,807
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL EQUITY INSTRUMENTS
|
|
|
|
|
|
|
11,032
|
|
|
|
|
|
|
|
11,032
|
|
|
|
6,870
|
|
|
|
11,032
|
|
|
|
—
|
|
|
|
11,032
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 93 -
|
|
|
EXHIBIT B
CLASSIFICATION OF LOANS AND OTHER FINANCING ACCORDING TO PERFORMANCE
AND GUARANTEES RECEIVED
AS
OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
COMMERCIAL PORTFOLIO
|
|
|
|
|
|
|
|
|
|
Normal performance
|
|
|
109,082,519
|
|
|
|
74,979,005
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
2,420,255
|
|
|
|
1,429,483
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
1,340,743
|
|
|
|
1,262,556
|
|
|
No preferred collateral or counter guarantees
|
|
|
105,321,521
|
|
|
|
72,286,966
|
|
|
With special follow-up
|
|
|
1,512,355
|
|
|
|
34,601
|
|
|
|
|
|
|
|
|
|
|
|
|
Under observation
|
|
|
1,512,355
|
|
|
|
34,601
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
3,970
|
|
|
|
8,570
|
|
|
No preferred collateral or counter guarantees
|
|
|
1,508,385
|
|
|
|
26,031
|
|
|
Troubled
|
|
|
103,701
|
|
|
|
55,393
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
3,446
|
|
|
|
—
|
|
|
No preferred collateral or counter guarantees
|
|
|
100,255
|
|
|
|
55,393
|
|
|
With high insolvency risk
|
|
|
238,879
|
|
|
|
58,410
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
8,627
|
|
|
|
9,895
|
|
|
No preferred collateral or counter guarantees
|
|
|
230,252
|
|
|
|
48,515
|
|
|
Uncollectible
|
|
|
12,527
|
|
|
|
7,040
|
|
|
|
|
|
|
|
|
|
|
|
|
No preferred collaterals and counter guarantees
|
|
|
12,527
|
|
|
|
7,040
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
110,949,981
|
|
|
|
75,134,449
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 94 -
|
|
|
EXHIBIT B
(Continued)
CLASSIFICATION OF
LOANS AND OTHER FINANCING ACCORDING TO PERFORMANCE
AND GUARANTEES RECEIVED
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
CONSUMER AND HOUSING PORTFOLIO
|
|
|
|
|
|
|
|
|
|
Normal performance
|
|
|
70,786,914
|
|
|
|
54,359,057
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
9,375
|
|
|
|
11,517
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
6,695,439
|
|
|
|
2,620,981
|
|
|
No preferred collaterals and counter guarantees
|
|
|
64,082,100
|
|
|
|
51,726,559
|
|
|
Low risk
|
|
|
964,062
|
|
|
|
519,727
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
37,518
|
|
|
|
35,935
|
|
|
No preferred collaterals and counter guarantees
|
|
|
926,544
|
|
|
|
483,792
|
|
|
Medium risk
|
|
|
908,102
|
|
|
|
480,012
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
13,088
|
|
|
|
9,551
|
|
|
No preferred collaterals and counter guarantees
|
|
|
895,014
|
|
|
|
470,461
|
|
|
High risk
|
|
|
547,570
|
|
|
|
259,798
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
51
|
|
|
|
—
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
22,959
|
|
|
|
20,932
|
|
|
No preferred collaterals and counter guarantees
|
|
|
524,560
|
|
|
|
238,866
|
|
|
Uncollectible
|
|
|
49,252
|
|
|
|
36,685
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred collaterals and counter guarantees “A”
|
|
|
15
|
|
|
|
—
|
|
|
Preferred collaterals and counter guarantees “B”
|
|
|
8,148
|
|
|
|
6,784
|
|
|
No preferred collaterals and counter guarantees
|
|
|
41,089
|
|
|
|
29,901
|
|
|
Uncollectible for technical reasons
|
|
|
—
|
|
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
No preferred collaterals and counter guarantees
|
|
|
—
|
|
|
|
2
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
73,255,900
|
|
|
|
55,655,281
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL GENERAL
|
|
|
184,205,881
|
|
|
|
130,789,730
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 95 -
|
|
EXHIBIT C
|
CONCENTRATION OF LOANS AND OTHER FINANCING
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
Number of customers
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
10 largest customers
|
|
|
25,876,809
|
|
|
|
14.05
|
%
|
|
|
16,002,640
|
|
|
|
12.24
|
%
|
|
50 following largest customers
|
|
|
33,607,244
|
|
|
|
18.24
|
%
|
|
|
21,441,157
|
|
|
|
16.39
|
%
|
|
100 following largest customers
|
|
|
18,848,647
|
|
|
|
10.23
|
%
|
|
|
10,907,665
|
|
|
|
8.34
|
%
|
|
All other customers
|
|
|
105,873,181
|
|
|
|
57.48
|
%
|
|
|
82,438,268
|
|
|
|
63.03
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
184,205,881
|
|
|
|
100.00
|
%
|
|
|
130,789,730
|
|
|
|
100.00
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 96 -
|
|
|
EXHIBIT D
BREAKDOWN PER TERM OF LOANS AND OTHER FINANCING
AS OF SEPTEMBER 30, 2018
(stated
in thousands of pesos) (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Terms remaining to maturity
|
|
|
ITEM
|
|
Portfolio
due
|
|
|
1
month
|
|
|
3
months
|
|
|
6
months
|
|
|
12
months
|
|
|
24
months
|
|
|
more than
24
months
|
|
|
TOTAL
|
|
|
Non-financial government secto
|
|
|
—
|
|
|
|
177
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
177
|
|
|
Argentine Central Bank (BCRA
|
|
|
—
|
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1
|
|
|
Financial sector
|
|
|
—
|
|
|
|
2,985,803
|
|
|
|
2,487,897
|
|
|
|
1,004,346
|
|
|
|
1,463,266
|
|
|
|
1,351,681
|
|
|
|
1,177,942
|
|
|
|
10,470,935
|
|
|
Non-financial private sector and residents abroad
|
|
|
907,493
|
|
|
|
68,240,900
|
|
|
|
23,807,859
|
|
|
|
24,468,540
|
|
|
|
17,746,549
|
|
|
|
19,693,352
|
|
|
|
39,816,039
|
|
|
|
194,680,732
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
907,493
|
|
|
|
71,226,881
|
|
|
|
26,295,756
|
|
|
|
25,472,886
|
|
|
|
19,209,815
|
|
|
|
21,045,033
|
|
|
|
40,993,981
|
|
|
|
205,151,845
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Balances hereof are total contractual flows and, therefore, include principal, interest and accrued and to be
accrued accesories.
|
|
|
|
|
|
|
|
|
|
- 97 -
|
|
|
EXHIBIT H
DEPOSITS CONCENTRATION
AS
OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18
|
|
|
12.31.17
|
|
|
Number of customers
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
Debt
balance
|
|
|
% over
total
portfolio
|
|
|
10 largest customers
|
|
|
17,144,324
|
|
|
|
6.93
|
%
|
|
|
5,616,361
|
|
|
|
3.65
|
%
|
|
50 following largest customers
|
|
|
20,199,867
|
|
|
|
8.16
|
%
|
|
|
8,597,760
|
|
|
|
5.58
|
%
|
|
100 following largest customers
|
|
|
12,992,446
|
|
|
|
5.25
|
%
|
|
|
6,168,839
|
|
|
|
4.01
|
%
|
|
All other customers
|
|
|
197,141,244
|
|
|
|
79.66
|
%
|
|
|
133,579,773
|
|
|
|
86.76
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
247,477,881
|
|
|
|
100.00
|
%
|
|
|
153,962,733
|
|
|
|
100.00
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 98 -
|
|
|
EXHIBIT I
BREAKDOWN OF FINANCIAL LIABILITIES PER REMAINING TERMS
AS OF SEPTEMBER 30, 2018
(stated in thousands of pesos) (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Terms remaining to maturity
|
|
|
ITEMS
|
|
1
month
|
|
|
3
months
|
|
|
6
months
|
|
|
12
months
|
|
|
24
months
|
|
|
more than
24
months
|
|
|
TOTAL
|
|
|
Deposits
|
|
|
227,597,246
|
|
|
|
17,006,125
|
|
|
|
5,631,554
|
|
|
|
977,529
|
|
|
|
28,621
|
|
|
|
670
|
|
|
|
251,241,745
|
|
|
Non-financial government sector
|
|
|
2,024,578
|
|
|
|
23,859
|
|
|
|
—
|
|
|
|
65
|
|
|
|
—
|
|
|
|
—
|
|
|
|
2,048,502
|
|
|
Financial sector
|
|
|
196,891
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
196,891
|
|
|
Non-financial private sector and residents abroad
|
|
|
225,375,777
|
|
|
|
16,982,266
|
|
|
|
5,631,554
|
|
|
|
977,464
|
|
|
|
28,621
|
|
|
|
670
|
|
|
|
248,996,352
|
|
|
Liabilities at fair value through profit or loss
|
|
|
1,345,749
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
1,345,749
|
|
|
Derivative instruments
|
|
|
4,431,577
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,431,577
|
|
|
Other financial liabilities
|
|
|
19,728,791
|
|
|
|
172,661
|
|
|
|
232,227
|
|
|
|
449,144
|
|
|
|
892,466
|
|
|
|
198,599
|
|
|
|
21,673,888
|
|
|
Financing received from the BCRA and other financial institutions
|
|
|
277,654
|
|
|
|
2,497,271
|
|
|
|
2,815,977
|
|
|
|
—
|
|
|
|
187,725
|
|
|
|
—
|
|
|
|
5,778,627
|
|
|
Corporate bonds issued
|
|
|
51,233
|
|
|
|
355,092
|
|
|
|
184,523
|
|
|
|
661,547
|
|
|
|
1,079,614
|
|
|
|
611,482
|
|
|
|
2,943,491
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
253,432,250
|
|
|
|
20,031,149
|
|
|
|
8,864,281
|
|
|
|
2,088,220
|
|
|
|
2,188,426
|
|
|
|
810,751
|
|
|
|
287,415,077
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Balances hereof are total contractual flows and, therefore, include principal, interest and accrued and to be
accrued accesories.
|
|
|
|
|
|
|
|
|
|
- 99 -
|
|
|
EXHIBIT J
PROVISIONS
FOR THE
NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2018 AND
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Decreases
|
|
|
|
|
|
|
|
|
Accounts
|
|
Balances as of
beginning of the
year
|
|
|
Increases
|
|
|
Reversals
|
|
|
Applications
|
|
|
Balances
as of 09.30.18
|
|
|
Balances
as of 12.31.17
|
|
|
OF LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- Provisions for potential commitments
|
|
|
1,117
|
|
|
|
773
|
(1)
|
|
|
458
|
|
|
|
—
|
|
|
|
1,432
|
|
|
|
1,117
|
|
|
- For administrative, disciplinary and criminal penalties
|
|
|
5,000
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
5,000
|
|
|
|
5,000
|
|
|
- Provisions for post-employment defined benefits plans
|
|
|
48,173
|
|
|
|
7,144
|
(2)
|
|
|
—
|
|
|
|
—
|
|
|
|
55,317
|
|
|
|
48,173
|
|
|
- Other
|
|
|
2,037,769
|
|
|
|
1,422,408
|
(3)
|
|
|
5
|
|
|
|
91,176
|
|
|
|
3,368,996
|
|
|
|
2,037,769
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL PROVISIONS
|
|
|
2,092,059
|
|
|
|
1,430,325
|
|
|
|
463
|
|
|
|
91,176
|
|
|
|
3,430,745
|
|
|
|
2,092,059
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Set up in compliance with the provisions in Communication “A” 2950 and supplementary regulations of
the BCRA.
|
|
(2)
|
Set up to cover contingences referred to prepaid medical services.
|
|
(3)
|
Set up to cover for potential contingencies not considered in other accounts (civil, commercial, labor and
other lawsuits), and as required by Memorandum 6/2017 issued by the BCRA.
|
|
|
|
|
|
|
|
|
|
- 100 -
|
|
|
EXHIBIT L
BALANCES IN FOREIGN CURRENCY
AS OF SEPTEMBER 30, 2018 AND DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
AS OF
09.30.18
|
|
|
AS OF 09.30.18 (per currency)
|
|
|
TOTAL
AS OF
12.31.17
|
|
|
|
|
Dollar
|
|
|
Euro
|
|
|
Real
|
|
|
Other
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and Deposits in Banks
|
|
|
49,920,771
|
|
|
|
47,597,773
|
|
|
|
2,261,853
|
|
|
|
18,632
|
|
|
|
42,513
|
|
|
|
21,258,981
|
|
|
Debt securities at fair value through profit or loss
|
|
|
1,303
|
|
|
|
1,303
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
697,121
|
|
|
Repo transactions
|
|
|
8,249,233
|
|
|
|
8,249,233
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,372,912
|
|
|
Other financial assets
|
|
|
630,847
|
|
|
|
625,042
|
|
|
|
5,805
|
|
|
|
—
|
|
|
|
—
|
|
|
|
114,932
|
|
|
Loans and other financing
|
|
|
62,109,698
|
|
|
|
61,843,700
|
|
|
|
265,998
|
|
|
|
—
|
|
|
|
—
|
|
|
|
28,183,009
|
|
|
Non-financial government sector
|
|
|
22
|
|
|
|
22
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
62
|
|
|
Argentine Central Bank (BCRA)
|
|
|
1
|
|
|
|
1
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial institutions
|
|
|
133,989
|
|
|
|
133,989
|
|
|
|
|
|
|
|
—
|
|
|
|
—
|
|
|
|
93,156
|
|
|
Non-financial private sector and residents abroad
|
|
|
61,975,686
|
|
|
|
61,709,688
|
|
|
|
265,998
|
|
|
|
—
|
|
|
|
—
|
|
|
|
28,089,791
|
|
|
Other Debt Securities
|
|
|
7,308,823
|
|
|
|
7,308,823
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,102,722
|
|
|
Financial assets pledged as collateral
|
|
|
3,988,688
|
|
|
|
3,988,688
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
766,844
|
|
|
Investments in Equity Instruments
|
|
|
10,807
|
|
|
|
10,807
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,961
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
132,220,170
|
|
|
|
129,625,369
|
|
|
|
2,533,656
|
|
|
|
18,632
|
|
|
|
42,513
|
|
|
|
59,501,482
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
115,780,018
|
|
|
|
113,915,327
|
|
|
|
1,864,691
|
|
|
|
—
|
|
|
|
—
|
|
|
|
54,349,370
|
|
|
Non-financial government sector
|
|
|
471,294
|
|
|
|
465,829
|
|
|
|
5,465
|
|
|
|
—
|
|
|
|
—
|
|
|
|
101,861
|
|
|
Financial sector
|
|
|
95,859
|
|
|
|
93,816
|
|
|
|
2,043
|
|
|
|
—
|
|
|
|
—
|
|
|
|
55,867
|
|
|
Non-financial private sector and residents abroad
|
|
|
115,212,865
|
|
|
|
113,355,683
|
|
|
|
1,857,182
|
|
|
|
—
|
|
|
|
—
|
|
|
|
54,191,642
|
|
|
Liabilities at fair value through profit or loss
|
|
|
814,658
|
|
|
|
814,658
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
Other financial liabilities
|
|
|
6,145,494
|
|
|
|
5,849,981
|
|
|
|
282,808
|
|
|
|
—
|
|
|
|
12,705
|
|
|
|
2,139,909
|
|
|
Financing received from the BCRA and other financial institutions
|
|
|
5,625,720
|
|
|
|
5,361,270
|
|
|
|
264,450
|
|
|
|
—
|
|
|
|
—
|
|
|
|
298,578
|
|
|
Other non-financial liabilities
|
|
|
534,206
|
|
|
|
524,140
|
|
|
|
10,066
|
|
|
|
—
|
|
|
|
—
|
|
|
|
335,829
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES
|
|
|
128,900,096
|
|
|
|
126,465,376
|
|
|
|
2,422,015
|
|
|
|
—
|
|
|
|
12,705
|
|
|
|
57,123,686
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 101 -
|
|
|
EXHIBIT O
DERIVATIVES
AS OF
SEPTEMBER 30, 2018
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Type of Contract
|
|
Purpose of
the transactions
|
|
Underlying
Assets
|
|
Type of Settlement
|
|
Scope of
Negotiation or
Counterparty
|
|
Weighted Average
Term Originally
Agreed
|
|
|
Residual
Weighted
Average
Term
|
|
|
Weighted Average
Term for Settlement
of Differences
|
|
|
Amount
|
|
|
SWAPS
|
|
Financial
transactions
own account
|
|
—
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
FINANCIAL
SECTOR
|
|
|
28
|
|
|
|
14
|
|
|
|
47
|
|
|
|
3,844,481
|
|
|
SWAPS
|
|
Interest rate
hedging
|
|
—
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
NON-
FINANCIAL
SECTOR
|
|
|
122
|
|
|
|
12
|
|
|
|
6
|
|
|
|
13,181
|
|
|
REPO TRANSACTIONS
|
|
Financial
transactions
own account
|
|
Other
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
FINANCIAL
SECTOR
|
|
|
1
|
|
|
|
1
|
|
|
|
3
|
|
|
|
1,222,951
|
|
|
REPO TRANSACTIONS
|
|
Financial
transactions
own account
|
|
Argentine
Government
Securities
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
FINANCIAL
SECTOR
|
|
|
1
|
|
|
|
1
|
|
|
|
4
|
|
|
|
227,111
|
|
|
REPO TRANSACTIONS
|
|
Financial
transactions
own account
|
|
Argentine
Government
Securities
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
NON-
FINANCIAL
SECTOR
|
|
|
6
|
|
|
|
1
|
|
|
|
184
|
|
|
|
18,127,121
|
|
|
FUTURES
|
|
Financial
transactions
own account
|
|
Foreign
Currency
|
|
Daily
differences
|
|
ROFEX
|
|
|
4
|
|
|
|
2
|
|
|
|
1
|
|
|
|
31,349,461
|
|
|
FUTURES
|
|
Financial
transactions
own account
|
|
Foreign
Currency
|
|
Daily
differences
|
|
RESIDENTS
IN THE
COUNTRY
FINANCIAL
SECTOR
|
|
|
4
|
|
|
|
2
|
|
|
|
1
|
|
|
|
14,263,860
|
|
|
FUTURES
|
|
Financial
transactions
own account
|
|
Foreign
Currency
|
|
At maturity
for
differences
|
|
RESIDENTS
ABROAD
FINANCIAL
SECTOR
|
|
|
1
|
|
|
|
1
|
|
|
|
29
|
|
|
|
212,769
|
|
|
FUTURES
|
|
Financial
transactions
own account
|
|
Foreign
Currency
|
|
At maturity
for
differences
|
|
RESIDENTS
IN THE
COUNTRY
NON-
FINANCIAL
SECTOR
|
|
|
5
|
|
|
|
3
|
|
|
|
160
|
|
|
|
19,567,749
|
|
|
|
|
|
|
|
|
|
|
- 102 -
|
|
|
EXHIBIT R
ADJUSTMENT OF VALUES FOR LOSSES - ALLOWANCES FOR LOAN LOSSES
FOR THE NINE-MONTH PERIOD ENDED SEPTEMBER 30, 2018 AND
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2017
(stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Decreases
|
|
|
|
|
|
|
|
|
Accounts
|
|
Balances as of
beginning of the
year
|
|
|
Increases
|
|
|
Reversals
|
|
|
Applications
|
|
|
Balances
as of 09.30.18
|
|
|
Balances
as of 12.31.17
|
|
|
Other financial assets
|
|
|
57,566
|
|
|
|
15,045
|
(1)
|
|
|
2,594
|
|
|
|
1,340
|
|
|
|
68,677
|
|
|
|
57,566
|
|
|
|
|
|
|
|
|
|
|
Loans and other financing
|
|
|
2,277,351
|
|
|
|
2,723,719
|
(1)
|
|
|
69,142
|
|
|
|
931,010
|
|
|
|
4,000,918
|
|
|
|
2,277,351
|
|
|
Other financial institutions
|
|
|
78,521
|
|
|
|
72,231
|
|
|
|
60,546
|
|
|
|
—
|
|
|
|
90,206
|
|
|
|
78,521
|
|
|
Non-financial private sector and residents abroad
|
|
|
2,198,830
|
|
|
|
2,651,488
|
|
|
|
8,596
|
|
|
|
931,010
|
|
|
|
3,910,712
|
|
|
|
2,198,830
|
|
|
Overdrafts
|
|
|
79,099
|
|
|
|
67,817
|
|
|
|
—
|
|
|
|
64,653
|
|
|
|
82,263
|
|
|
|
79,099
|
|
|
Discounted instruments
|
|
|
376,589
|
|
|
|
648,397
|
|
|
|
—
|
|
|
|
1,609
|
|
|
|
1,023,377
|
|
|
|
376,589
|
|
|
Real estate mortgage
|
|
|
38,924
|
|
|
|
44,555
|
|
|
|
—
|
|
|
|
79
|
|
|
|
83,400
|
|
|
|
38,924
|
|
|
Collateral loans
|
|
|
55,288
|
|
|
|
7,176
|
|
|
|
—
|
|
|
|
8,700
|
|
|
|
53,764
|
|
|
|
55,288
|
|
|
Consumer loans
|
|
|
473,853
|
|
|
|
513,748
|
|
|
|
—
|
|
|
|
230,467
|
|
|
|
757,134
|
|
|
|
473,853
|
|
|
Credit cards
|
|
|
805,049
|
|
|
|
996,417
|
|
|
|
—
|
|
|
|
447,121
|
|
|
|
1,354,345
|
|
|
|
805,049
|
|
|
Financial leases
|
|
|
34,705
|
|
|
|
21,890
|
|
|
|
—
|
|
|
|
6,645
|
|
|
|
49,950
|
|
|
|
34,705
|
|
|
Other
|
|
|
335,323
|
|
|
|
351,488
|
|
|
|
8,596
|
|
|
|
171,736
|
|
|
|
506,479
|
|
|
|
335,323
|
|
|
Private Securities
|
|
|
1,605
|
|
|
|
737
|
(2)
|
|
|
—
|
|
|
|
—
|
|
|
|
2,342
|
|
|
|
1,605
|
|
|
Occasional commitments
|
|
|
1,117
|
|
|
|
773
|
|
|
|
458
|
|
|
|
—
|
|
|
|
1,432
|
|
|
|
1,117
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL ALLOWANCES
|
|
|
2,337,639
|
|
|
|
2,740,274
|
(3)
|
|
|
72,194
|
|
|
|
932,350
|
|
|
|
4,073,369
|
|
|
|
2,337,639
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Set up in compliance with the provisions of Communication “A” 2950 and supplementary regulations
issued by the BCRA taking into consideration what was mentioned above in Note 8 - Other financial assets and Note 9 - Loans and other financing, to the separate financial statements.
|
|
(2)
|
Set up in compliance with the provisions of Communication “A” 4084 issued by the BCRA.
|
|
(3)
|
Includes total exchange rate difference of:
|
|
|
|
|
|
|
|
- Other financial assets
|
|
|
12,324
|
|
|
- Loans and other financing
|
|
|
389,413
|
|
|
- Private securities
|
|
|
635
|
|
- 103 -
|
|
|
|
|
|
|
|
|
KPMG
Bouchard 710 - 1° piso -
C1106ABL
Buenos Aires, Argentina
|
|
Telephone+54 11 4316 5700
Fax +54 (11) 4316
5800
Internet.... www.kpmg.com.ar
|
REPORT ON THE REVIEW OF THE CONDENSED SEPARATE INTERIM FINANCIAL STATEMENTS
To the President and Directors of
BBVA Banco Francés S.A.
Legal address: Av. Córdoba 111
City of Buenos Aires
Taxpayer Identification Number (C.U.I.T.):
30-50000319-3
Report on Interim Financial Statements
We have
reviewed the attached condensed separate interim financial statements of BBVA BancoFrancés S.A. (the “Entity”), which comprise the statement of financial position as at September 30, 2018, the statements of income, other
comprehensive income, changes in shareholders’ equity and cash flows for the nine-month period ended as of that date, exhibits and the selected explanatory notes.
The balances and other information corresponding to the fiscal year 2017 and interim periods are an integral part of the aforementioned financial statements
and should therefore be considered in relation to those financial statements.
Responsibility of the Entity’s Board of Directors and Management
The Entity’s Board of Directors and Management are responsible for the preparation and presentation of the accompanying financial statements in
accordance with the financial reporting framework established by the Argentine Central Bank (“BCRA”), which, as described in Note 2 to the attached financial statements, are based on the International Financial Reporting Standards
(“IFRS”) and specifically on International Accounting Standard No. 34, “Interim Financial Reporting” (IAS 34), as issued by the International Accounting Standards Board (“IASB”) and adopted by the Argentine
Federation of Professional Councils of Economic Sciences (“FACPCE”), with the exception in the application of section 5.5 “Impairment” of IFRS 9 “Financial instruments”, which was temporarily excluded by the BCRA from
the accounting framework applicable to financial institutions and, in turn, taking into consideration the standards prescribed through Memorandum No. 6/2017 issued by the regulator on May 29, 2017 regarding the accounting treatment to be
applied to uncertain tax positions. Besides, given the effectiveness of Communication “A” 3921 issued by the BCRA, the Entity has not applied International Accounting Standard 29 “Financial reporting in Hyperinflationary
Economies” (IAS 29) for the preparation of these financial statements. The Entity’s Board of Directors and Management are also responsible for the proper internal control deemed necessary to allow for the preparation of interim financial
reports free of significant misstatements due to errors or irregularities.
Scope of the Review
Our responsibility is to express a conclusion on the accompanying condensed separate interim financial statements based on our review. We conducted our review
in accordance with the standards set forth by Technical Resolution No. 37 of the Argentine Federation of Professional Councils of Economic Sciences and the “Minimum Requirements on External Audits” issued by the BCRA applicable to the
review of interim financial statements. A review of interim financial information consists principally of applying analytical procedures and other review procedures on the accounting information included in the interim financial statements and
making inquiries to persons responsible for financial and accounting matters. It is substantiallyless in scope than an audit conducted in accordance with auditing standards in force, the objective of which is the expression of an opinion regarding
the financial statements taken as a whole. Accordingly, we do not express such an opinion on the separate financial statements of interim period condensed attached.
KPMG, una sociedad argentina y firma miembro de la red de firmas miembro independientes de KPMG afiliadas a
KPMG International Cooperative (“KPMG International”), una entidad suiza. Derechos reservados.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
- 104 -
|
|
|
Conclusion
Based on our review, nothing has come out to our attention that causes us to believe that the accompanying condensed separate interim financial statements of
BBVA Banco Francés S.A. have not been prepared, in all material respects, in conformity with the financial reporting framework established by the BCRA as described in Note 2 to the accompanying financial statements.
Emphasis on certain matters disclosed in the financial statements
Without modifying our conclusion, we draw the attention of the users of this report to the following information disclosed in the attached financial
statements:
|
a)
|
as mentioned in Note 2 to the accompanying financial statements, they have been prepared by the Entity’s
Board of Directors and Management pursuant to the financial reporting framework established by the BCRA, which differs from IFRS in relation with the application of Section 5.5 “Impairment” of IFRS 9 “Financial Instruments”
that was temporarily excluded by the BCRA from the accounting framework applicable to financial institutions and considering, in turn, the standards prescribed through Memorandum No. 6/2017 issued by the regulator on May 29, 2017 regarding
the treatment to be applied to uncertain tax positions,
|
|
b)
|
as mentioned in Note 2 to the accompanying financial statements, given the effectiveness of
Communication “A” 3921 of the BCRA, the Entity has not applied International Accounting Standard 29 (IAS 29) “Financial reporting in Hyperinflationary Economies” for the preparation of the accompanying financial statements.
|
As of the date of this report, the Entity is in the process of quantifying the effect that the application of IAS 29 would have, as
mentioned in section b) above. The issues indicated in paragraphs a) and b) above do not modify the conclusion expressed in the previous paragraph but must be taken into account by those users who use IFRS for the interpretation of the attached
financial statements,
|
c)
|
as mentioned in Note 3 to the accompanying financial statements, they refer to an interim period in the first
fiscal year in which the Entity applies the new financial reporting framework established by the BCRA. The effects of the changes caused by the application of this new accounting framework are presented in note 42 to the accompanying financial
statements. The items and figures, contained in the reconciliations included in these note, are subject to changes that may occur as a result of changes in IFRS that are finally applied and can only be considered final when preparing the annual
financial statements for the current fiscal year. This issue does not modify the conclusion expressed in the previous section.
|
Other
matters
Regarding the amounts and other information for the fiscal year ended December 31, 2016, date of transition to the new financial
reporting framework established by the BCRA as from January 1, 2018, they arise from the financial statements as of December 31, 2016 issued by the Entity in accordance with the accounting standards of the BCRA applicable as of that date.
Those financial statements were examined by other auditors who issued their audit report on February 9, 2017, and stated an unqualified opinion. That report does not include the adjustments subsequently made by the Entity’s Board of
Directors and Management for the conversion of that information to the new financial reporting framework established by the BCRA, which we have audited and, in our opinion, are appropriate and have been prepared according to the new financial
reporting framework established by the BCRA.
City of Buenos Aires, November 22, 2018.
KPMG
María Gabriela Saavedra
Partner
- 105 -
INFORMATION REPORT FOR
THE PERIOD ENDED
SEPTEMBER 30, 2018
(Consolidated, stated in thousands of pesos)
On December 12, 2016, the BCRA set forth the application of International Financial Reporting Standards (IFRS) for fiscal years beginning on or after
January 1, 2018 with a temporary exception for Section 5.5 - “Impairment”, in IFRS 9 and considering, in turn, the accounting standards set forth by that Regulatory Authority through Memorandum No. 6/2017 regarding the
criterion to be applied in recognizing uncertain tax provisions. Besides, in the particular case of International Accounting Standard (IAS) No. 29, due to the effectiveness of Decree No. 664/2003 and Communication “A” 3921 of the
BCRA which prohibit the presentation of information adjusted for inflation, the Entity has not quantified the effects that the application thereof would have (“New financial reporting framework set forth by the BCRA”). As a consequence of
the application of those standards, BBVA Francés presents its financial statements prepared pursuant to the new financial reporting framework set forth by the BCRA as of September 30, 2018, December 2017 and September 30, 2017.
As of September 30, 2018 assets amounted to 333,982,353, liabilities amounted to 298,254,138 and shareholders’ equity amounted to 35,728,215.
On September 25, 2018, BBVA Francés ceased to have control over Volkswagen Financial Services Compañía Financiera S.A. (VWFS) due to
the termination of the
two-year
term committed by the Bank to provide financing to the company if it would fail to diversify its sources of funding. According to International Financing Reporting Standard
(IFRS) No. 11 “Joint Arrangements”, VWFS qualifies as a joint arrangement and, as such, it has been deconsolidated since such date.
The
Entity offers its products and services through a wide multi-channel distribution network with presence in all the provinces in Argentina and the City of Buenos Aires, with more than 2.8 million customers as of September 30, 2018. That
network includes 251 branches providing services for the retail segment and also to small and medium enterprises and organizations. Corporate Banking is divided by industry sector: Consumers, Heavy Industries and Energy, providing customized
services for large companies. To supplement the distribution network, the Entity has 15
in-company
banks, one point of sales, two points of Express attention, 820 ATMs and 823 self-service terminals.
Also, it has a telephone banking service, a modern, safe and functional Internet banking platform, a mobile banking app and a total of 6,250 employees as of
September 30, 2018.
The private loans portfolio totaled 178,638,385 million pesos as of September 30, 2018, reflecting an increase by
61.5% as compared to the same period of the previous year, which allowed the Bank to win 14 basis points of the market share, reaching 8.4% as of the end of the nine-month period.
The growth of the loans portfolio was backed by the growth in the mortgage loans and personal loans portfolios, which recorded an increase by 188.1% and 56%
as compared to September 2017, respectively, while the credit cards and collateral loans business continued to strengthen, increasing in consumer market share. Collateral loans has dropped during the period mainly due to the effect generated by the
deconsolidation of Volkswagen Compañía Financiera.
Besides, commercial loans also dropped compared to the same period of 2017.
In terms of portfolio quality, the Entity has managed to maintain very good ratios. The irregular portfolio ratio (Financings with irregular compliance/total
financing) was 1.01%, with a coverage level (total allowances/irregular compliance financing) of 215.1% as of September 30, 2018.
The total exposure
for securities and loans to the Government Sector totaled 41,100,009 pesos at year end, including repos both with the BCRA and Argentina, the latter for USD 250 million.
- 106 -
Information not Covered by the Review Report.
In terms
of liabilities, customers’ resources totaled 247,227,968, with an increase by 90.5% over the last twelve months.
The market share of deposits to the
private sector increased to 24 basis points, and reached 8.4% as of September 30, 2018.
Breakdown of changes in the main income/loss items:
BBVA Francés recorded an accumulated profit as of September 30, 2018 of 6,767,534, representing a return on average liabilities of 2.9%
and a return on average assets of 2.5%.
Net financial income totaled 17,666,487, with a 69.7% growth as compared with the same period of the previous
year, mainly driven by the growth of the activity and better spreads.
Net income from services totaled 3,291,728, a 70.7% increase compared with the same
period for the previous year. This increase is due to both the increase in activity and the rise in prices and commissions from credit and debit cards, which is reflected in the increase of the consumption quota.
Administrative expenses and personnel benefits totaled 11,371,779, a 31.4% growth in relation to those recorded for September 2017. The increase in personnel
expenses is mainly a consequence of salary increases agreed with the union. The remaining expenses grow due to the increased volume of activity, the general increase in prices, currency depreciation and increase in utility rates.
Outlook
BBVA Francés will continue to
strengthen its strategy based on the growth and transformation for the purpose of leading a more efficient financial system and with a tendency towards consolidation and offering a better experience to customers through a change in banking.
Along this line, the growth plan will be focused both on obtaining new customers and strengthening the relationship with customers already in the portfolio,
for the purpose of increasing cross-sell, improving the quality of service and evolving in efficiency levels as well as the development and training of teams.
Likewise, in a context that has turned out to be more complex, focus will be made on funding, mainly retail, so as to reach a higher efficiency in the mix and
developing more relevant liabilities for the purpose of sustaining credit growth.
- 107 -
Information not covered by the Review Report.
CONSOLIDATED BALANCE SHEET STRUCTURE
COMPARATIVE WITH THE SAME PERIODS FOR PREVIOUS YEARS
(Stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18 (1)
|
|
|
09.30.17 (1)
|
|
|
Total Assets
|
|
|
333,982,353
|
|
|
|
185,198,241
|
|
|
Total Liabilities
|
|
|
298,254,138
|
|
|
|
156,390,868
|
|
|
Parent’s Shareholders’ Equity
|
|
|
35,699,118
|
|
|
|
28,509,307
|
|
|
Minority interest
|
|
|
29,097
|
|
|
|
298,066
|
|
|
Total Liabilities + Minority interest + Shareholders’ Equity
|
|
|
333,982,353
|
|
|
|
185,198,241
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.16 (2)
|
|
|
09.30.15 (2)
|
|
|
09.30.14 (2)
|
|
|
Total Assets
|
|
|
130,932,897
|
|
|
|
92,177,134
|
|
|
|
74,947,272
|
|
|
Total Liabilities
|
|
|
114,667,119
|
|
|
|
79,350,232
|
|
|
|
65,182,951
|
|
|
Minority interest
|
|
|
388,148
|
|
|
|
298,800
|
|
|
|
246,802
|
|
|
Shareholders’ Equity
|
|
|
15,877,630
|
|
|
|
12,528,102
|
|
|
|
9,517,519
|
|
|
Total Liabilities + Minority interest + Shareholders’ Equity
|
|
|
130,932,897
|
|
|
|
92,177,134
|
|
|
|
74,947,272
|
|
|
(1)
|
Pursuant to the valuation and disclosure criteria mentioned in these financial statements.
|
|
(2)
|
Pursuant to the valuation and disclosure criteria set forth by the BCRA at each date.
|
- 108 -
CONSOLIDATED STATEMENT OF INCOME STRUCTURE
COMPARATIVE WITH THE SAME PERIODS FOR PREVIOUS YEARS
(Stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18 (1)
|
|
|
09.30.17 (1)
|
|
|
Net interest income
|
|
|
17,666,487
|
|
|
|
10,411,179
|
|
|
Net commission income
|
|
|
3,291,728
|
|
|
|
1,928,008
|
|
|
Net income / (loss) from measurement of financial instruments at fair value through profit or
loss
|
|
|
(90,424
|
)
|
|
|
1,855,096
|
|
|
Net income / (loss) from write-down of assets at amortized cost and at fair value through
OCI
|
|
|
(54,157
|
)
|
|
|
6,723
|
|
|
Gold and foreign currency quotation differences
|
|
|
4,329,081
|
|
|
|
1,372,182
|
|
|
Other operating income
|
|
|
3,655,282
|
|
|
|
3,253,816
|
|
|
Loan loss provision
|
|
|
(2,363,194
|
)
|
|
|
(1,395,009
|
)
|
|
Net operating income
|
|
|
26,434,803
|
|
|
|
17,431,995
|
|
|
Personnel benefits
|
|
|
(6,390,864
|
)
|
|
|
(4,866,369
|
)
|
|
Administrative expenses
|
|
|
(4,980,915
|
)
|
|
|
(3,791,092
|
)
|
|
Asset depreciation and impairment
|
|
|
(626,686
|
)
|
|
|
(468,940
|
)
|
|
Other operating expenses
|
|
|
(5,217,967
|
)
|
|
|
(4,271,191
|
)
|
|
Operating income
|
|
|
9,218,371
|
|
|
|
4,034,403
|
|
|
Income from associates and joint ventures
|
|
|
210,212
|
|
|
|
386,661
|
|
|
Income before income tax from continuing activities
|
|
|
9,428,583
|
|
|
|
4,421,064
|
|
|
Income before income tax from continuing activities
|
|
|
(2,661,049
|
)
|
|
|
(1,299,810
|
)
|
|
Income tax from continuing activities
|
|
|
6,767,534
|
|
|
|
3,121,254
|
|
|
Net income for the period
|
|
|
6,767,534
|
|
|
|
3,121,254
|
|
- 109 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.16 (2)
|
|
|
09.30.15 (2)
|
|
|
09.30.14 (2)
|
|
|
Financial income
|
|
|
9,170,396
|
|
|
|
6,587,358
|
|
|
|
5,638,654
|
|
|
Loan loss provision
|
|
|
(723,815
|
)
|
|
|
(439,476
|
)
|
|
|
(422,340
|
)
|
|
Income from services
|
|
|
3,246,377
|
|
|
|
2,714,330
|
|
|
|
2,430,573
|
|
|
Administrative expenses
|
|
|
(6,701,363
|
)
|
|
|
(4,703,610
|
)
|
|
|
(4,128,857
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net intermediation income
|
|
|
4,991,595
|
|
|
|
4,158,602
|
|
|
|
3,518,030
|
|
|
Miscellaneous profits and losses - net
|
|
|
197,514
|
|
|
|
29,875
|
|
|
|
196,145
|
|
|
Loss from minority interest
|
|
|
(94,821
|
)
|
|
|
(96,734
|
)
|
|
|
(74,407
|
)
|
|
Income tax and minimum presumed income tax
|
|
|
(2,033,021
|
)
|
|
|
(1,495,517
|
)
|
|
|
(1,249,629
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income for the period
|
|
|
3,061,267
|
|
|
|
2,596,226
|
|
|
|
2,390,139
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Pursuant to the valuation and disclosure criteria mentioned in these financial statements.
|
|
(2)
|
Pursuant to the valuation and disclosure criteria set forth by the BCRA at each date.
|
- 110 -
CONSOLIDATED CASH FLOW STRUCTURE COMPARATIVE WITH
THE SAME PERIODS FOR PREVIOUS YEARS
(Stated in thousands of pesos)
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18 (1)
|
|
|
09.30.17 (1)
|
|
|
Net cash generated by / (used in) operating activities
|
|
|
14,893,540
|
|
|
|
(26,169,374
|
)
|
|
Net cash generated by / (used in) investment activities
|
|
|
758,331
|
|
|
|
(1,340,552
|
)
|
|
Net cash generated by financing activities
|
|
|
5,281,917
|
|
|
|
4,685,790
|
|
|
Effect of exchange rate changes
|
|
|
28,722,481
|
|
|
|
2,382,329
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash generated by / (used in) during the period
|
|
|
49,656,269
|
|
|
|
(20,441,807
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.16 (2)
|
|
|
09.30.15 (2)
|
|
|
09.30.14 (2)
|
|
|
Net cash generated by operating activities
|
|
|
6,644,503
|
|
|
|
3,510,633
|
|
|
|
1,065,138
|
|
|
Net cash used in investment activities
|
|
|
(1,262,832
|
)
|
|
|
(1,014,942
|
)
|
|
|
(990,858
|
)
|
|
Net cash used in financing activities
|
|
|
(2,967,873
|
)
|
|
|
(1,394,829
|
)
|
|
|
(363,113
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total cash generated by / (used in) during the period
|
|
|
2,413,798
|
|
|
|
1,100,862
|
|
|
|
(288,833
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Pursuant to the valuation and disclosure criteria mentioned in these financial statements.
|
|
(2)
|
Pursuant to the valuation and disclosure criteria set forth by the BCRA at each date.
|
- 111 -
STATISTICAL DATA COMPARATIVE WITH THE SAME PERIOD
FOR PREVIOUS YEARS
(Variation of
balances during the same period of the previous fiscal year)
|
|
|
|
|
|
|
|
|
09.30.18 / 17 (1)
|
|
|
Total loans
|
|
|
61.51
|
%
|
|
Total Deposits
|
|
|
90.48
|
%
|
|
Income / (loss)
|
|
|
116.82
|
%
|
|
Shareholders’ Equity
|
|
|
24.02
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.17 /16 (2)
|
|
|
09.30.16 / 15 (2)
|
|
|
09.30.15 / 14 (2)
|
|
|
09.30.14 / 13 (2)
|
|
|
Total loans
|
|
|
56.86
|
%
|
|
|
42.45
|
%
|
|
|
23.22
|
%
|
|
|
20.56
|
%
|
|
Total Deposits
|
|
|
41.39
|
%
|
|
|
45.38
|
%
|
|
|
27.10
|
%
|
|
|
25.72
|
%
|
|
Income / (loss)
|
|
|
-19.73
|
%
|
|
|
17.91
|
%
|
|
|
8.62
|
%
|
|
|
105.99
|
%
|
|
Shareholders’ Equity
|
|
|
55.18
|
%
|
|
|
26.74
|
%
|
|
|
31.63
|
%
|
|
|
51.26
|
%
|
|
(1)
|
Pursuant to the valuation and disclosure criteria mentioned in these financial statements.
|
|
(2)
|
Pursuant to the valuation and disclosure criteria set forth by the BCRA at each date.
|
- 112 -
COMPARATIVE RATIOS WITH THE SAME PERIODS FOR PREVIOUS YEARS
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.18 (1)
|
|
|
09.30.17 (1)
|
|
|
Solvency (1)
|
|
|
11.98
|
%
|
|
|
18.42
|
%
|
|
Liquidity (2)
|
|
|
48.25
|
%
|
|
|
37.02
|
%
|
|
Tied-up capital (3)
|
|
|
27.34
|
%
|
|
|
32.99
|
%
|
|
Indebtedness (4)
|
|
|
8.35
|
|
|
|
5.43
|
|
|
(1)
|
Total Shareholders’ Equity/Liabilities.
|
|
(2)
|
Sum of cash and deposits in banks, debt securities at fair value through profit or loss and other debt
securities/deposits.
|
|
(3)
|
Sum of intangible assets and property, plant and equipment/Shareholders’ Equity.
|
|
(4)
|
Total Liabilities/Shareholders’ Equity.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
09.30.16 (2)
|
|
|
09.30.15 (2)
|
|
|
09.30.14 (2)
|
|
|
Solvency (1)
|
|
|
13.80
|
%
|
|
|
15.73
|
%
|
|
|
14.55
|
%
|
|
Liquidity (2)
|
|
|
47.29
|
%
|
|
|
46.82
|
%
|
|
|
44.63
|
%
|
|
Tied-up capital (3)
|
|
|
2.84
|
%
|
|
|
2.88
|
%
|
|
|
2.69
|
%
|
|
Indebtedness (4)
|
|
|
7.25
|
|
|
|
6.36
|
|
|
|
6.87
|
|
|
(1)
|
Total Shareholders’ Equity/Liabilities (including minority interest).
|
|
(2)
|
Sum of cash and due from banks and government and private securities/deposits.
|
|
(3)
|
Sum of premises and equipment, miscellaneous assets and intangible assets/Assets.
|
|
(4)
|
Total Liabilities (including minority interest)/Shareholders’ Equity.
|
|
|
(1)
|
Pursuant to the valuation and disclosure criteria mentioned in these financial statements.
|
|
|
(2)
|
Pursuant to the valuation and disclosure criteria set forth by the BCRA at each date
|
- 113 -
Additional Information required by the Argentine Securities Commission (CNV)’s General Resolution No. 622/13, Chapter III, Title IV,
Section 12 (General Resolution No. 622/13)
|
1.
|
General matters concerning the Entity’s business
|
|
|
a)
|
Significant specific legal regimes that entail the contingent termination or reinstatement of the benefits set
forth by such regimes’ provisions.
|
None.
|
|
b)
|
Significant changes in the Entity’s activities or other similar circumstances taking place during the
periods covered by the financial statements which affect the financial statements’ comparability with those presented in previous periods or capable of affecting comparability with the financial statements to be presented in future periods.
|
The Shareholders’ Meeting held on June 13, 2017 adopted a decision to increase capital stock through the
issuance of new book-entry ordinary shares. Refer to Note 29. Stock Capital of the Condensed Consolidated Financial Statements of BBVA Banco Francés S.A.
On January 18, 2018, the Entity made a capital contribution in proportion to its ownership interest in Volkswagen Financial Services
Compañía Financiera S.A. for an amount of 204,000 thousand pesos, equivalent to 204,000,000 ordinary,
non-endorsable
registered shares, with a value of $1 and one vote per share.
On September 25, 2018, the Entity made a capital contribution in proportion to its ownership interest in Consolidar Administradora de
Fondos de Jubilaciones y Pensiones S.A. for an aggregate amount of 26,945 thousand pesos, equivalent to 26,944,600 ordinary,
non-endorsable
registered shares, with a value of $1 and one vote per share.
|
2.
|
Classification of the balances receivable (financing) and payable (deposits and liabilities) according
to their maturity dates.
|
See “Exhibit D - Breakdown per Term of Loans and Other Financing”, and “Exhibit
I - Breakdown of Financial Liabilities per Remaining Terms” of BBVA Banco Francés S.A.’s Condensed Consolidated Financial Statements.
- 114 -
|
3.
|
Classification of the balances receivable (financing) and payable (deposits and liabilities), to know
the financial effects of maintenance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Item
|
|
Local currency
|
|
|
Foreign currency
|
|
|
|
|
|
In thousands of Pesos
|
|
With Interest
rate clause
|
|
|
With CER
adjustment
clause
|
|
|
Without Interest
rate clause
|
|
|
With interest
rate clause
|
|
|
Without interest
rate clause
|
|
|
Financing facilities (net of allowances)
Loans and other financing
|
|
|
104,707,643
|
|
|
|
11,731,519
|
|
|
|
90,453
|
|
|
|
62,108,948
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
104,707,643
|
|
|
|
11,731,519
|
|
|
|
90,453
|
|
|
|
62,108,948
|
|
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Local currency
|
|
|
Foreign currency
|
|
|
|
|
|
Item
In thousands of Pesos
|
|
With Interest
rate clause
|
|
|
With CER
adjustment
clause
|
|
|
Without Interest
rate clause
|
|
|
With interest
rate clause
|
|
|
Without interest
rate clause
|
|
|
Securities
|
|
|
Deposits and
liabilities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
101,196,335
|
|
|
|
2,375,373
|
|
|
|
27,876,242
|
|
|
|
93,890,309
|
|
|
|
21,889,709
|
|
|
|
—
|
|
|
Other liabilities (1)
|
|
|
3,784,286
|
|
|
|
—
|
|
|
|
29,450,657
|
|
|
|
5,658,393
|
|
|
|
6,678,188
|
|
|
|
660,882
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL
|
|
|
104,980,621
|
|
|
|
2,375,373
|
|
|
|
57,326,899
|
|
|
|
99,548,702
|
|
|
|
28,567,897
|
|
|
|
660,882
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1)
|
Includes the following items: Derivative instruments, Repo Transactions, Other financial liabilities, Loans
received from the BCRA and other financial institutions, Corporate bonds issued, Other non-financial liabilities and Current and deferred income tax liabilities.
|
|
4.
|
Breakdown of the percentage of ownership interests in other companies’ capital stock and total
votes and debt and/or credit balances per company.
|
Refer to Note 44. Subsidiaries and Note 46. Related Parties of the
Condensed Consolidated Financial Statements of BBVA Banco Francés S.A.
|
5.
|
Receivables from sales or loans to directors.
|
Refer to Note 46. Related Parties of the Condensed Consolidated Financial Statements of BBVA Banco Francés S.A.
|
6.
|
Physical count of inventories. Term and scope of physical count of inventories.
|
Does not apply.
- 115 -
|
7.
|
Ownership interests in other companies in excess of the amount allowed under Section 31 of Law
No. 19,550 and corrective measures plan.
|
None.
|
8.
|
Recoverable Values: Criteria followed to determine significant “recoverable values” of
inventories, premises and equipment and other assets, used as limits for their respective accounting valuations.
|
To
determine the “recoverable values”, the net realization value for the status and condition of premises and equipment is considered.
|
9.
|
Insurance covering tangible assets.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets insured in
thousands of Pesos
|
|
Risk
|
|
Insured
Amount
|
|
|
Book value
|
|
|
Monies, checks and other valuables
|
|
Fraud, robbery, safety boxes and valuables in transit
|
|
|
5,951,288
|
|
|
|
18,477,265
|
|
|
Buildings, machines, equipment, furniture, fixtures and works of art
|
|
Fire, vandalism and earthquake
|
|
|
21,264,450
|
|
|
|
9,649,614
|
|
|
Motor vehicles
|
|
All kinds of risks and third-party insurance
|
|
|
20,836
|
|
|
|
13,651
|
|
|
Furniture, electronic equipment used in IT, signage and telephones
|
|
Transportation of goods
|
|
|
81,793
|
|
|
|
—
|
|
|
10.
|
Positive and negative contingencies
|
|
|
a)
|
Elements considered to calculate allowances whose balances exceed, individually or jointly, two percent (2%) of
the equity.
|
|
|
-
|
Refer to Note 15. Income Tax of the Condensed Consolidated Financial Statements.
|
|
|
b)
|
Contingent situations as of the date of the financial statements that are unlikely to occur and with equity
effects not accounted for, stating if the lack of accounting is based on the probability of occurrence or difficulties for the quantification of its effects.
|
None.
|
11.
|
Irrevocable advances on account of future subscriptions. Status of the process aimed at capitalization.
|
None.
|
12.
|
Preferred shares cumulative dividends unpaid.
|
None.
|
13.
|
Conditions, circumstances or terms for the cessation of restrictions on the distribution of retained
earnings.
|
Refer to Note 47. Restrictions on the payment of dividends of the Condensed Consolidated Financial Statements
of BBVA Banco Francés S.A.