January-march

2011
QUARTERLY REPORT
1
Q
1
1
1
Q
1
1
Contents
2 ||V/ Crouo n|qn||qnts
3 Crouo |n|ornat|on
Re|evant events :
|arn|nqs o
|a|ance sneet ano ous|ness act|v|t, :
Cao|ta| oase
R|s| nanaqenent 9
ne ||V/ snare 2
Coroorate resoons|o|||t, 22
23 |us|ness areas
'oa|n 2
|uras|a :
|ex|co :4
'outn /ner|ca :8
ne n|teo 'tates 42
Coroorate /ct|v|t|es 4o
Otner |n|ornat|on Wno|esa|e |an||nq c /sset |anaqenent 49
!anuar,narcn
2
Q/R|R|/ R||OR
2 ||V/ Crouo n|qn||qnts
||V/ Crouo n|qn||qnts
BBVA Group highlights
Conso||oateo ||qures`
31-03-11 % 31-03-10 31-12-10
Balance sheet (million euros)
ota| assets o24 :922 2:8
Custoner |eno|nq qross` :4o84 2 ::o8 :482:
Custoner |unos on oa|ance sneet :89: :o :8:88
Otner custoner |unos 442: o 422o 42
ota| custoner |unos ::9o 4 :42 29o
ota| eou|t, :88 9 :824 :4
'nareno|oers |unos :8 29 298 :oo89
Income statement (million euros)
Net |nterest |ncone : o2` ::8o ::2
Cross |ncone 2o: ` : 29
Ooerat|nq |ncone 294 88` :8: 942
lncone oe|ore tax o9 9` 8o2 o422
Net attr|outao|e oro||t :` 24 4oo
Data per share and share performance ratios
'nare or|ce euros` 8o ` : o
|ar|et cao|ta||zat|on n||||on euros` :844 : :9o ::9
Net attr|outao|e oro||t oer snare euros` 2 2` :
|oo| va|ue oer snare euros` 849 o 9 8
|/|V |r|ce/|oo| va|ue t|nes` : 9
Significant ratios (%)
RO| Net attr|outao|e oro||t//veraqe eou|t,` 28 8
RO/ Net |ncone//veraqe tota| assets` 9 89
RORW/ Net |ncone//veraqe r|s|we|qnteo assets` o 88 o4
|||c|enc, rat|o 448 4 429
R|s| oren|un 2 2o ::
N|/ rat|o 4 4: 4
N|/ coveraqe rat|o o 9 o2
Capital adequacy ratios (%)
|l' Rat|o : :4 :
Core cao|ta| 89 8 9o
|er l 98 9
Other information
Nunoer o| snares n||||ons` 449 :48 449
Nunoer o| snareno|oers 92o 8822 92o8
Nunoer o| eno|o,ees
`
894 :4 o9o
Nunoer o| orancnes
`
42 4o9 :o
Nunoer o| /|s
`
o4 oo o99
General note: These quarterly statements have not been audited. The consolidated accounts of the BBVA Group have been drawn up according to the International Financial
Reporting Standards (IFRS) adopted by the European Union and in conformity with Bank of Spain Circular 4/2004, together with the changes introduced therein.
` |xc|uo|nq Carant|
: Re|evant events
ln the first quarter of 2011 ||V/ o|ss|oateo tne na|n oouots
reqaro|nq qrowtn |or tne ,ear as a wno|e
/qa|nst a oac|oroo o| concerns aoout tne solvency o|
||nanc|a| |nst|tut|ons tne Crouo c|oseo as o| :|ar2 w|tn
a core cao|ta| rat|o o| 89 nav|nq aosoroeo tne anount oa|o
|or tne ourcnase o| 249 o| Carant| n|s was acn|eveo o,
tne qenerat|on o| earn|nqs ano tne |no|enentat|on o| tne
o|v|oeno oot|on
ln terns o| tne caoac|t, |or wno|esa|e |uno|nq |t |s |noortant
to note tnat ||V/ was tne ||rst oan| to nove |nto tne liquidity
nar|et |n !anuar, 2 w|tn a new |ssue o| nortqaqecovereo
oonos ano a vo|une o| |onqtern ||nance tnat covers a |arqe
oart o| tne natur|t|es |orecast |or tn|s ,ear
nere nas a|so oeen oos|t|ve news |n re|at|on to tne |an|s
asset quality ne N|/ rat|o rena|neo stao|e at 4 at tne
c|ose o| :|arcn2 ano tne r|s| oren|un |noroveo o, :
oas|s oo|nts over tne ouarter
ne caoac|t, to qenerate earnings nas rena|neo n|qn ano
aoove tne |eve|s o| tne orev|ous two ouarters n|s |s oeso|te
tne |act tnat excnanqe rates nave not oeen |avorao|e |n tne ||rst
tnree nontns o| 2
Once nore a|| tne business areas nave contr|outeo oos|t|ve|,
to qenerate net attr|outao|e oro||t
|e|ow are sone o| tne re|evant asoects |n tne |an|s oer|ornance
ano tnat o| |ts na|n areas oetween !anuar, ano |arcn o| tn|s
,ear
ne gross income |or tne oer|oo o| 2o:n |s aoove tnat o|
tne two orev|ous ouarters n|s oos|t|ve oer|ornance can oe
exo|a|neo o, two |actors ||rst a oa|anceo ous|ness oort|o||o
tnat nas qrowtn ootent|a| w|tn 9 o| revenues |ron
enerq|nq countr|es as a oercentaqe o| tne qross |ncone
qenerateo o, tne ||ve ous|ness areas` secono tne notao|e
contr|out|on net trao|nq |ncone Nl` w|tn a s|qn|||cant
contr|out|on o| tne |ar|ets un|t
Impairment losses on financial assets were at tne|r |owest
||qure s|nce tne ||rst ouarter o| 29 tnan|s to tne qooo oua||t,
o| ||V/s oort|o||o w|tn an |ncreas|nq orooort|on o|
|owerr|s| |tens n|s nas oeen ooss|o|e wn||e na|nta|n|nq
oruoent cr|ter|a ano na||nq aoo|t|ona| orov|s|ons to |ncrease
tne Crouos oa|ance o| qener|c orov|s|ons |n 'oa|n
ln terns o| business activity |eno|nq cont|nueo to re||ect tne
qeoqraon|ca| o|||erent|at|on o| orev|ous ouarters lt was ver,
stronq |n |ex|co ano 'outn /ner|ca out staqnant |n 'oa|n ln
tne n|teo 'tates tne treno cont|nues oownwaro as a resu|t
o| tne qraoua| cnanqe |n tne oort|o||o n|x towaros ||nes w|tn
|ower assoc|ateo r|s| ln custoner |unos custoner oeoos|ts
oer|orneo oart|cu|ar|, we|| oas|ca||, |n tne res|oent sector
/s o| :|ar2 ||V/ cont|nues to nave n|qn |eve|s o| unrea||zeo
gains |n |ts nost ||ou|o oort|o||os o| eou|t, no|o|nqs at 8n
||V/s Annual General Meeting was ne|o on |arcn 2
w|tn a n|qn oart|c|oat|on o2` aoove even tne n|qn |eve|s
o| tne orev|ous ,ear ne /C| aooroveo tne o|v|oeno oot|on
wn|cn a||ows snareno|oers to cnoose now tne, rece|ve tne|r
renunerat|on e|tner |n new snares tnrouqn a cao|ta| |ncrease
or |n casn o, se|||nq tne r|qnts ass|qneo unoer tne r|qnts |ssue
/ccoro|nq to tn|s s,sten on /or2 an anount o| 49
oer snare was oa|o tnus tota| snareno|oers renunerat|on |or
tne ,ear was na|nta|neo at 42 oer snare
|, business areas tne nost |noortant event |n tne ouarter
was tne oa,nent o| 4:9n |or tne ourcnase o| 249 o|
Carant| ne transact|on too| o|ace on |arcn 22
no
a|ter wn|cn
Carant| was |ncoroorateo |nto tne qrouo o, tne orooort|ona|
conso||oat|on netnoo n|s neans tnat ||V/ now nas a
ver, s|qn|||cant oresence |n |urooe ano /s|a |n terns o| |ts
oa|ance sneet ano resu|ts |or tnese ano otner reasons wn|cn
are nent|oneo |n tne |ntroouct|on to tne ous|ness areas`
sone o| tne un|ts orev|ous|, |nc|uoeo |n 'oa|n ano |ortuqa|
or Wno|esa|e |an||nq c /sset |anaqenent nave oeen
reqrouoeo |nto 'oa|n ano |uras|a
ne ous|ness |n Spain cont|nues to oe a||ecteo o, tne wea|
econon, |owever tne net |nterest |ncone wn|cn |s oown on
a ,ear aqo oue to tne o|||erent nar|et cono|t|ons |n tne ||rst
na|| o| 2 nas reouceo |ts ,earon,ear s|owoown conoareo
w|tn tne orev|ous ouarter Nl was ver, oos|t|ve oue to tne
qooo oer|ornance o, |ar|ets ||na||, |oan|oss orov|s|ons
nave oeen ne|o |n cnec| ne, were 2n aoove tne ||qure
|or tne |ourtn ouarter o| 2 oue to tne |ncreaseo oa|ance o|
qener|c orov|s|ons ln a|| tne oro||t qenerateo o, tne area |n tne
||rst ouarter was 4n
Crouo |n|ornat|on
Re|evant events
4 Crouo |n|ornat|on
Economic environment
ne q|ooa| econon, cont|nueo to recover |n tne
first quarter of 2011 a|tnouqn tne rates var|eo
oetween tne oeve|ooeo zones wn|cn are st|||
qrow|nq oe|ow tne|r ootent|a| ano tne enerq|nq
econon|es wn|cn nave conso||oateo tne|r
oos|t|on as tne nost o,nan|c |n |act tne|r n|qn
|eve|s o| oonest|c oenano are even |eao|nq
to sone overneat|nq n|s s|tuat|on cono|neo
w|tn |ncreaseo connoo|t, or|ces oart|cu|ar|,
o||` nas |ncreaseo tne r|s| o| |n||at|on r|s|nq |n
enerq|nq econon|es wn||e oe|a,|nq recover, |n
oeve|ooeo ones
||qures |ron tne United States nave snown a
recover, |n consunot|on tnouqn |t |s st||| ne|o
oac| o, tne oe|everaq|nq orocess unoerwa,
ne |aoor ano rea| estate nar|ets a|so rena|n
wea| |eanwn||e core |n||at|on |s st||| unoer
tne |eos con|ort zone wn|cn suqqests tnere
w||| oe |ew cnanqes |n o||c|a| |nterest rates |n
2 a|tnouqn tne new oroqran o| ouant|tat|ve
eas|nq Q|2` |s exoecteo to exo|re |n !une
|conon|c act|v|t, |n Europe as a wno|e
rose suror|s|nq|, at tne eno o| 2 ano tne
||rst ouarter o| 2 out tnere |s a qrow|nq
o||erence oetween tne qreater strenqtn o| core
countr|es ano wea| econon, ano con||oence
|n oer|onera|s ne oer|onera| countr|es nave
unoouoteo|, oeen a|ecteo o, tne ||nanc|a|
tens|on |n Creece lre|ano ano |ortuqa| |orceo
to see| a|o |ron tne |urooean n|on ano
tne lnternat|ona| |onetar, |uno` ln nar|eo
contrast oroqress |n tne structura| re|orn
orocess |n Spain nas |eo to a oos|t|ve o||erence
oetween tne countr,s ||nanc|a| nar|ets ano
tnose o| tne otner tnree n|s snou|o oe re||ecteo
|n |ncreaseo con||oence ano oos|t|ve e|ects on
econon|c act|v|t,
ln Eurasia tnere was a notao|e contr|out|on
o, Cn|na C|t|c |an| CNC|` earn|nqs uo
:2 ,earon,ear` ano tne orooort|ona|
|nteqrat|on o| Carant| |nto tne Crouo ne
|noact o| tn|s |nteqrat|on w||| oecone
s|qn|||cant over tne con|nq ouarters
|etween !anuar, ano |arcn 2 tn|s area
qenerateo earn|nqs o| 98n : o| tne
tota| oro||t o| tne ||V/ ous|ness areas w|tn
o| tne Crouos assets
Mexico oer|orneo we|| w|tn stronq ous|ness
act|v|t, aoove a|| |n tne conoan|es oort|o||o
ano consuner ||nance nere were na,or
,earon,ear qa|ns |n nar|et snare |n
oract|ca||, a|| tne |tens |arn|nqs qenerateo
anounteo to 4:on uo : ,earon,ear at
constant excnanqe rates tnan|s to |noroveo
revenues ano a cont|nu|nq oos|t|ve treno |n
|oan|oss orov|s|ons
|us|ness resu|ts |n South America were
exce||ent ne cont|nueo oos|t|ve econon|c
c||nate |avors act|v|t, |n tne ||nanc|a| sector
|n ||ne w|tn wnat nas oeen ooserveo |n
recent ouarters w|tn an act|ve oart|c|oat|on
o, tne o|||erent un|ts |n tne area Revenues
cont|nue to qrow steao||, ne, ousneo tne
net attr|outao|e oro||t uo to 28n uo
,earon,ear at constant excnanqe rates`
tnus a|so ne|o|nq ||nance exoans|on oro,ects
tnat w||| ensure tne qrowtn o| |uture earn|nqs
|n tne area
||na||, tne United States cont|nues w|tn tne
orocess o| cnanq|nq tne oort|o||o n|x w|tn
a s|qn|||cant qrowtn |n res|oent|a| rea| estate
uo :28 ,earon,ear` ano w|tn |ts reor|c|nq
e||ort ne aoove nas nao a oos|t|ve |noact
ootn on revenues ano |oan|oss orov|s|ons
ano |ncreaseo tne oro||t |n tne area to 8n
uo 4 ,earon,ear`
Interest rates
Quarter|, averaqes`
2011 2010
1Q 4Q 3Q 2Q 1Q
O||c|a| |C| rate
|ur|oor : nontns 2 8 o9 oo
|ur|oor ,ear 4 2 4 2 22
'/ |eoera| rates 2 2 2 2 2
ll| |ex|co` 48 48 49 494 492
Re|evant events
|s |orc|nq tne autnor|t|es to ta|e ao,ustnent
neasures wn|cn are a|reao, oeq|nn|nq to
reouce oressures on tne rea| estate nar|et ano
nooerat|nq creo|t` ||na||, Turkey c|oseo 2
as one o| tne countr|es w|tn tne n|qnest rates
o| qrowtn ln||at|on rena|ns at n|stor|ca||, |ow
|eve|s |avoreo anonq otner |actors o, stao|e
caoac|t, ut|||zat|on oeso|te tne rate o| econon|c
qrowtn
ln terns o| exchange rates tne ||na| rates o| tne
|ex|can oeso ano ' oo||ar nave oeorec|ateo
|n ootn ,earon,ear ano ouarteronouarter
terns nese are tne currenc|es w|tn tne o|qqest
|n||uence on tne Crouos ||nanc|a| statenents
n|s treno nas a|so nao an e|ect on tne rest o|
re|evant |at|n /ner|can currenc|es wn|cn |n
qenera| nave noveo |n tne sane o|rect|on nus
tne|r |noact on ootn tne oa|ance sneet ano
ous|ness act|v|t, |s neqat|ve |owever |n averaqe
excnanqe rates tne |ex|can oeso ' oo||ar
Cn||ean ano Co|ono|an oeso ano |eruv|an so|
nave a|| aoorec|ateo ,earon,ear wn||e tne '
oo||ar tne /rqent|nean ano Co|ono|an oeso
tne |eruv|an so| ano tne Venezue|an oo||var
nave oeorec|ateo over tne ouarter nus tne|r
e|ect |s oos|t|ve |n tne ,earon,ear conoar|son
out neqat|ve |or tne ouarter o sun uo tne
|noact o| tne excnanqerates over tne ouarter |s
neqat|ve |n ootn earn|nqs ano tne oa|ance sneet
ano vo|une o| ous|ness out oos|t|ve |n
,earon,ear conoar|son |or earn|nqs
ne Mexican economy nas oeen stronqer tnan
exoecteo tnrouqnout tne |ourtn ouarter o| 2
ano ||rst |ew nontns o| 2 |n ootn oonest|c
oenano ano exoorts suooorteo o, |avorao|e
||nanc|nq cono|t|ons 'teao, ,oo creat|on nas
re||ecteo tn|s s|tuat|on ne r|se |n tne o|| or|ce
so |ar reoresents a oen|qn snoc| as a|tnouqn
|t w||| out uowaro oressure on |n||at|on |t w|||
a|so |norove tne ||sca| ano externa| oa|ances
|oreover |t nas not |eo to an econon|c
s|owoown |n tne n|teo 'tates wn|cn |s |ex|cos
na|n trao|nq oartner ln a|| tne r|s| o| |ncreaseo
|n||at|onar, oressures w||| orooao|, nean tnat
tne Centra| |an| w||| start on a ser|es o| |nterest
rate r|ses |n 2
||na||, qrowtn |n otner enerq|nq econon|es
cont|nues to ease to nore susta|nao|e |eve|s
tnus ||n|t|nq tne r|s| o| overneat|nq ln South
America oonest|c oenano nas na|nta|neo
rooust qrowtn rates |n tne ||rst ouarter o|
2 wn||e tne treno |n |n||at|on nas oeen
uowaro lncreaseo connoo|t, or|ces nave
resu|teo oos|t|ve |or tne ||sca| ano |ore|qn
oa|ances |n oart o|sett|nq tne r|se |n |noorts
oer|veo |ron tne stronq oonest|c econon,
|owever |n||at|onar, oressures are |eao|nq
var|ous countr|es |n tne req|on to w|tnoraw
tne|r nonetar, st|nu|| a|tnouqn tne tone o|
oo||c|es rena|ns acconnooat|ve ln China
recent |no|cators o| econon|c act|v|t, suqqest
a reneweo surqe ano |ncreaseo |n||at|on n|s
Exchange rates
|xoresseo |n currenc,/euro`
Year-end exchange rates Average exchange rates
31-03-11
% on
31-03-10
% on
31-12-10 1Q11
% on
1Q11
|ex|can oeso o92o o` 22` o8
' oo||ar 42 ` 9` :o8
/rqent|nean oeso 9oo :` ` oo 49`
Cn||ean oeso o849: : 8` o8o 89
Co|ono|an oeso 2oooo 2o` 4` 2o9 4o
|eruv|an new so| :99 4` o` :8 :
Venezue|an oo||var |uerte o4 ` 9` 8 :9`
ur||sn ||ra 294 o` ` 29 :4`
Cn|nese ,uan 9::o ` 2` 928 49
o Crouo |n|ornat|on
||V/ c|oseo tne first quarter of 2011 w|tn a
net attr|outao|e oro||t o| n oract|ca||, tne
sane as tne averaqe ouarter|, oro||t |n 2
2n` tnus oenonstrat|nq a n|qn |eve| o|
res|||ence ne na|n asoects to n|qn||qnt are as
|o||ows
/n exce||ent oer|ornance o| tne nore
recurrent earnings net |nterest |ncone
ano |ees` |n tne /ner|cas tnus |arqe|,
conoensat|nq |or tne |ower qenerat|on o|
ous|ness |n 'oa|n
|os|t|ve contr|out|on |ron Nl w|tn a qooo
oer|ornance o| tne |ar|ets un|ts
Cooo oer|ornance o| eou|t,accounteo
|ncone oue to tne qreater contr|out|on |ron
CNC|
|arn|nqs
Consolidated income statement: quarterly evolution
|||||on euros`
2011 2010
1Q 4Q 3Q 2Q 1Q
Net interest income 3,175 3,138 3,245 3,551 3,386
Net |ees ano conn|ss|ons 4 : : oo o
Net trao|nq |ncone 2 22 9 49 o::
D|v|oeno |ncone 2: 22 4 2: 2
lncone o, tne eou|t, netnoo 2 24 o 94
Otner ooerat|nq |ncone ano exoenses 9 8 4 9:
Gross income 5,263 4,946 5,084 5,579 5,301
Ooerat|nq costs 2:9` 2:2` 22o2` 22o2` 28`
|ersonne| exoenses 2o` 24` 2` 2` 49`
Cenera| ano aon|n|strat|ve exoenses 88` 88` 8` 8` 9o`
Deorec|at|on ano anort|zat|on 9o` 99` 9` 92` 4`
Operating income 2,904 2,621 2,821 3,317 3,183
lnoa|rnent on ||nanc|a| assets net` 2:` 2` 8` :4` 8`
|rov|s|ons net` ` ` :8` 99` `
Otner qa|ns |osses` ` 2:` : 88` 2`
Income before tax 1,659 1,162 1,609 1,789 1,862
lncone tax :o9` 2` :9` 4:` `
Net income 1,290 1,034 1,250 1,358 1,352
Noncontro|||nq |nterests 4` 9o` ` ` :`
Net attributable profit 1,150 939 1,140 1,287 1,240
Basic earnings per share (euros) 0.25 0.23 0.29 0.32 0.31
Net attributable profit
(Million euros)
(1) At constant exchange rate: 9.3%.
1,240
1Q
1,287
2Q
1,140
3Q
939
4Q
1,150
1Q
7.3%
(1)
2010 2011
939 939 939
1150
939
1140
1287
1240
0
200
400
600
800
1,000
1,200
1,400
|arn|nqs
ano 'outn /ner|ca uo 2 ,earon,ear at
constant excnanqe rates` |arqe|, o|sets tne
|ower contr|out|on o, ous|ness |n 'oa|n resu|t|nq
|ron tne qenera| |a|| |n tn|s |ten |n tne countr,s
||nanc|a| s,sten Nevertne|ess |t |s |noortant to
lncrease |n expenses |n ||ne w|tn tne ||na|
nontns o| 2 oue to tne cont|nueo
oeve|oonent o| tne Crouos var|ous qrowtn
ano exoans|on o|ans aoove a|| tnose
|no|enenteo |n enerq|nq nar|ets
ne oer|ornance o| impairment losses on
financial assets ano tne r|s| oren|un were
ver, |avorao|e
Cenerat|on o| earn|nqs tnat were a|nost
ent|re|, organic Carant| was |ncoroorateo
|n |arcn w|tn a contr|out|on o| 2n |n net
attr|outao|e oro||t`
Net interest income
Net interest income cont|nues to oe res|||ent
tnan|s to a nunoer o| |actors |nc|uo|nq ||V/s
oa|anceo oort|o||o o, qeoqraon|ca| areas
custoner seqnents ano orooucts ln tne ||rst
tnree nontns o| 2 |t anounteo to :n
:on n|qner tnan |n tne |ourtn ouarter o| 2
::8n` lts qooo oer|ornance |n |ex|co
Consolidated income statement
|||||on euros`
1Q11 %
% at constant
exchange rates 1Q10 %
% at constant
exchange rates 4Q10
Net interest income 3,175 (6.2) (8.1) 3,386 1.2 0.9 3,138
Net |ees ano conn|ss|ons 4 ` o 8` 9` :
Net trao|nq |ncone 2 88 : o:: 984 98o 22
D|v|oeno |ncone 2: 92` ` 2 899` 899` 22
lncone o, tne eou|t, netnoo 2 : 4 28` 28` 24
Otner ooerat|nq |ncone ano exoenses 9 ` 88` 9: : :4
Gross income 5,263 (0.7) (2.7) 5,301 6.4 6.2 4,946
Ooerat|nq costs 2:9` 4 94 28` 4 2:2`
|ersonne| exoenses 2o` 94 49` 29 : 24`
Cenera| ano aon|n|strat|ve exoenses 88` 4 89 9o` ` 88`
Deorec|at|on ano anort|zat|on 9o` : 4` ` 4` 99`
Operating income 2,904 (8.8) (10.7) 3,183 10.8 10.5 2,621
lnoa|rnent on ||nanc|a| assets net` 2:` ` ` 8` 9` 8` 2`
|rov|s|ons net` ` ` 2o` ` : 99 `
Otner qa|ns |osses` ` o` ` 2` 4` 4` 2:`
Income before tax 1,659 (10.9) (12.8) 1,862 42.9 42.2 1,162
lncone tax :o9` 2o` 292` ` 92 88 2`
Net income 1,290 (4.6) (6.6) 1,352 24.7 24.1 1,034
Noncontro|||nq |nterests 4` 248 2:4 :` 4o 48 9o`
Net attributable profit 1,150 (7.3) (9.3) 1,240 22.5 21.8 939
Basic earnings per share (euros) 0.25 (20.0) 0.31 9.5 0.23
Net interest income
(Million euros)
3138 3138 3138 3175 3138
3245
3551
3386
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
(1) At constant exchange rate: 8.1%.
3,386
1Q
3,551
2Q
3,245
3Q
3,138
4Q
3,175
1Q
6.2%
(1)
2010 2011
8 Crouo |n|ornat|on
ouarter` even tnouqn tne orooucts w|tn a n|qner
r|s| ano soreao sucn as consuner ||nance
ano creo|t caros cont|nue to account |or a |ow
orooort|on o| tne oort|o||o as a wno|e nus tne
custoner soreao stooo at at tne eno o|
tne ouarter 2 at tne c|ose o| tne |ourtn
ouarter o| 2` ano tne net |nterest |ncone |s
uo to ,earon,ear at constant excnanqe
rates uo 8 over tne ouarter`
ln South America ne|qnteneo conoet|t|ve
oressure |n tne req|on ano tne |noact o| tne
note tnat |ts ,earon,ear |a|| nas s|oweo |ron
2 |n tne |ourtn ouarter o| 2 to 49 |n
tne ||rst ouarter o| 2
n|s oer|ornance |s |noortant oear|nq |n n|no
tnat |eno|nq act|v|t, nas oeen restr|cteo |n
|urooe w|tn a reouceo orooort|on o| oort|o||os
w|tn qreatest r|s| n|qn conoet|t|ve oressure |n
enerq|nq econon|es r|s|nq |nterest rates ano
nore exoens|ve wno|esa|e |unos Deso|te tn|s
||V/ nas nanaqeo to |eeo an act|ve oe|ense o|
custoner soreaos ano qooo nanaqenent o| tne
oa|ance sneet
ln |ts ous|ness w|tn custoners |n tne euro zone
|n tne ||rst ouarter tne ,|e|o on |oans qrew |or
tne ||rst t|ne |n 9 ouarters o, 2 oas|s oo|nts to
:2 ne na|ntenance o| soreaos cont|nues
to oe a cruc|a| |actor |n tn|s oer|ornance w|tn
qraoua| reor|c|nq o| tne |oan ooo| ano oos|t|ve
soreaos |n new |eno|nq Cost o| oeoos|ts |e|| o,
oo|nts to : /s a resu|t tne custoner soreao
|ncreaseo o, 8 oas|s oo|nts to 9
ln Mexico |nteroan| |nterest rates |e|| s||qnt|,
conoareo w|tn tne |eve|s at tne c|ose o| tne
|ourtn ouarter o| 2 averaqe ll| at 48`
ne cost o| oeoos|ts |e|| o, oas|s oo|nts
over tne sane oer|oo |owever tne ,|e|o on
|oans oeqan to r|se uo 29 oas|s oo|nts over tne
Breakdown of yields and costs
1Q11 4Q10 3Q10 2Q10 1Q10

% of
ATA
% yield/
Cost
% of
ATA
% yield/
Cost
% of
ATA
% yield/
Cost
% of
ATA
% yield/
Cost
% of
ATA
% yield/
Cost
Casn ano oa|ances w|tn centra| oan|s : : 4 42 99 : o :4 9
||nanc|a| assets ano oer|vat|ves 244 :: 22 2 2o 2o 2o8 2o 2o 29
|oans ano aovances to creo|t |nst|tut|ons 4 22: 4 9 42 24 4o 9 48 8:
|oans ano aovances to custoners o2 24 99 489 9 48o 9 499 98 482
|uros 4 :2 :9 :2 :9 :2 :8 :2: 42 ::
|ore|qn currenc|es 2: 898 24 8: 2 89 24 8: 9o 9
Otner assets o 44 o2 4o o 4: :
Total assets 100.0 4.12 100.0 3.79 100.0 3.73 100.0 3.81 100.0 3.79
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons : 2o8 29 2 82 9 oo : 98
Deoos|ts |ron custoners o 48 o: 4o 449 2 4
|uros 28 : 24o 4 22 2: 9o 4 2 8
|ore|qn currenc|es 224 228 2:4 8 2:2 8 2: o4 2o 44
Deot cert|||cates ano suooro|nateo ||ao|||t|es 2 2:: 24 2 2o 9 28 9 2: 8
Otner ||ao|||t|es 9 2: o4 28 o4 44 9
|ou|t, o9 o: 9 8
Total liabilities and equity 100.0 1.77 100.0 1.58 100.0 1.45 100.0 1.29 100.0 1.27
Net interest income/Average total assets (ATA) 2.35 2.21 2.28 2.52 2.52
Customer spread. BBVA Group
(Percentage)
1Q 2Q
4.82
3Q 4Q 1Q
2010 2011
4.99
4.86 4.89
5.24
3.75 3.75
3.35
3.27
3.48
1.07
1.25
1.51
1.63
1.77
Customer
spread
Cost of
deposits
Yield on total
net lending
4.82
4.99
4.86 4.89
5.24
3.75 3.75
3.35
3.27
3.48
1.07
1.25
1.51
1.63
1.76
0
1
2
3
4
5
6
9 |arn|nqs
Net trading income oer|orneo we|| at 2n
|n tne ouarter o::n tne orev|ous ,ear` tnan|s
to tne s|qn|||cant oroqress naoe |n tne |ar|ets
act|v|t, oart|cu|ar|, |n 'oa|n Oneo| sa|es ano
va|uat|ons o| sone oos|t|ons aoove a|| |n |ex|co
ano Venezue|a` nave a|so q|ven r|se to sone
aoo|t|ona| qa|ns
Dividend |ncone at 2:n |s we|| |n ||ne w|tn
tnat o| tne ||rst ouarter o| 2 2n`
Equity-accounted income anounteo to 2n
wn|cn conoares ver, |avorao|, w|tn tne ||qure
o| n |or tne ||rst ouarter o| tne orev|ous ,ear
n|s r|se |s exo|a|neo oart|, o, tne |act tnat tne
ourcnase oot|on |or an aoo|t|ona| o| CNC|
was exerc|seo |n tne secono ouarter o| 2
/or|| ` ano a|so o, tne exce||ent oer|ornance
o| CNC| |tse||
||na||, other operating income and expenses
anounteo to 9n 9:n |n tne sane oer|oo
|n 2` n|s ||qure |s s|qn|||cant|, |n||uenceo
o, |ncreaseo contr|out|ons to oeoos|t quarantee
|unos |n var|ous countr|es uo :22
,earon,ear` ln contrast |t |s wortn oo|nt|nq
to tne qooo oer|ornance o| tne |nsurance
ous|ness wnere revenues qrew o,
,earon,ear |n tne ||rst ouarter
/s a resu|t tne gross income stooo at 2o:n
|n tne ||rst ouarter /|tnouqn tn|s reoresents a
s||qnt |a|| o| on tne ||rst ouarter o| |ast ,ear
wnen tne econon|c ano ||nanc|a| s|tuat|on was
o||erent |ron tne current one |t |s ver, |avorao|e
conoareo w|tn tne |ourtn ano tn|ro ouarters o|
2 w|tn qrowtn o| o4 ano : resoect|ve|,
orocess o| |nterest rate |ncreases cont|nueo
to ||n|t tne strenqtn o| soreaos |owever tne
ev|oent |ncrease |n act|v|t, |s st||| o|sett|nq tn|s
e|ect ano tne net |nterest |ncone |n tne area
was uo 2: at constant excnanqe rates
||na||, |n tne United States tne net |nterest
|ncone |n tne ||rst tnree nontns o| tne ,ear was
oract|ca||, at tne sane |eve|s o| tne |ast ouarter
o| 2 at constant excnanqe rates oeso|te
tne cont|nueo |ncrease |n tne orooort|on o|
|eno|nq w|tn a |ower r|s| ano |ower soreao sucn
as res|oent|a| nortqaqes ano connerc|a| ano
coroorate |oans Once nore tnere nas oeen a
reor|c|nq e|ort o, ||V/ Conoass
Gross income
ln tne ||rst ouarter o| 2 net fees and
commissions stooo at 4n a s||qnt
,earon,ear |ncrease o| Once nore a
o|st|nct|on nas to oe naoe oetween enerq|nq
countr|es wnere tn|s |ten was uo ,earon,ear
o, 2` ano oeve|ooeo ones oown 84
,earon,ear` n|s var,|nq oer|ornance
nas oeen |n||uenceo o, tne o||erence |n
econon|c act|v|t, |n tne two qrouos staqnant
|n oeve|ooeo econon|es ano nore o,nan|c
|n enerq|nq ones` |o,a|t, ou||o|nq oas|ca||,
|n 'oa|n wnere a reouct|on |n |ees nas oeen
aoo||eo to |ncreas|nq|, nore custoners` ano
|eqa| restr|ct|ons tnat entereo |nto |orce |ron
|arcn 2 |n sone /ner|can countr|es
|eanwn||e |ees on |uno nanaqenent qrew o,
24 aoove a|| oue to oens|on |unos wn||e tnose
||n|eo to oan| serv|ces rena|neo ver, stao|e
Net interest income/ATA
BBVA Group (Percentage)
1Q 2Q
2.52
3Q 4Q 1Q
2010 2011
2.52 2.52
2.28
2.21
2.35
0.0
0.5
1.0
1.5
2.0
2.5
3.0
2.52
2.28
2.21
2.35
Gross income
(Million euros)
(1) At constant exchange rate: 2.7%.
5,301
1Q
5,579
2Q
5,084
3Q
4,946
4Q
5,263
1Q
2010 2011
0.7%
(1)
4946 4946 4946
5263
4946
5084
5579
5301
0
1,000
2,000
3,000
4,000
5,000
6,000
Crouo |n|ornat|on
oeve|ooeo nar|ets now tnat tne rans|ornat|on
||an oequn |n 2o nas conc|uoeo tne Crouo
|s |ocus|nq |ts e|orts on exteno|nq |ts re|at|ons
w|tn custoners ano |norov|nq tne e||c|enc, o|
o|str|out|on w|tn tne a|n o| cont|nu|nq to w|n
nar|et snare Deso|te tn|s tne eficiency ratio
|or tne ||rst tnree nontns o| 2 nas |noroveo
on tne orev|ous ouarter ano at 448 cont|nues
to oe |n a oetter oos|t|on tnan tne averaqe |or
tne oeers
Operating income
Operating expenses cont|nue to |ncrease
|n ||ne w|tn tne orev|ous ,ear 4 uo on tne
|ourtn ouarter o| 2 at 2:9n ano w|tn a
,earon,ear |ncrease o| 4 ne |nvestnent
orocess cont|nues na|n|, |n tne |rancn|ses
ooerat|nq |n enerq|nq countr|es wn|cn are tne
enq|nes o| |uture q|ooa| qrowtn ln tnese areas
oroqress |s oe|nq naoe |n oeve|oo|nq custoner
orooucts ano seqnents ano exteno|nq oan||nq
oenetrat|on to |ncrease qrowtn ln contrast |n
Breakdown of operating costs and eficiency calculation
|||||on euros`
1Q11 % 1Q10 2010
Personnel expenses 1,276 11.1 1,149 4,814
Waqes ano sa|ar|es 98: 88 :4
|no|o,ee we||are exoenses 94 4 o89
ra|n|nq exoenses ano otner 99 o 94 :8o
General and administrative expenses 887 11.4 796 3,392
|ren|ses 24 9 8:
l 4o : 4 o:
Connun|cat|ons o8 284
/overt|s|nq ano ouo||c|t, 8o : o :4
Coroorate exoenses 22 8 9 89
Otner exoenses 2o 9o 2:8 4
|ev|es ano taxes 92 29 :22
Administration costs 2,163 11.2 1,945 8,207
Depreciation and amortization 196 13.0 174 761
Operating costs 2,359 11.4 2,118 8,967
Gross income 5,263 (0.7) 5,301 20,910
Eficiency ratio (Operating costs/Gross income, in %) 44.8 40.0 42.9
Operating costs
(Million euros)
(1) At constant exchange rate: +9.4%.
2,118
1Q
2,262
2Q
2,262
3Q
2,325
4Q
2,359
2010
1Q
2011
+11.4%
(1)
2325 2325 2325
2359
2325
2262 2262
2118
0
500
1,000
1,500
2,000
2,500
Efficiency
1Q
2010
1Q
2011
40,0
42,9
44,8
0
5
10
15
20
25
30
35
40
45
Gross
income
Operating
cost
2010
(Million euros) (Percentage)
Efficiency ratio
5,301
20,910
5,263
2,118
8,967
2,359
1Q
2010
1Q
2011
2010
5263
-2359
20910
-8967
5301
-2118
-10.000
-5.000
0
5.000
10.000
15.000
20.000
25.000
40.0
42.9
44.8
|arn|nqs
Provisions and others
ne Crouo c|oseo tne ouarter w|tn ver,
qooo news |n terns o| |oan|oss orov|s|on|nq
Impairment losses on financial assets
anounteo to 2:n |n !anuar,|arcn 2
/t tne c|ose o| |arcn 2 tne Crouo nao
894 employees uo 49 ,earon,ear`
49 nore tnan as o| :|ar2 lts branch
network oecreaseo o, orancnes over tne
sane oer|oo to reacn a tota| o| 42 w|tn new
ooen|nqs |n 'outn /ner|ca ano to a |esser
extent |n |ex|co lt |s |noortant to oo|nt out tnat
tne qreat e|orts naoe to rat|ona||ze tne networ|
|n orev|ous ,ears nave ant|c|oateo noves o, tne
rest o| tne sector wn|cn |s current|, enqaqeo
|n s|n||ar ooerat|ons n|s nas nao an e|ect on
tne |ncreaseo nar|et snare o| ||V/ orancnes
|n 'oa|n ne nunoer o| ATMs cont|nues to r|se
c|os|nq tne ouarter at o4 uo 94
,earon,ear` ||na||, oroqress cont|nues |n
oronot|nq nu|t|cnanne| oan||nq ano tne
|no|enentat|on o| a|ternat|ve o|str|out|on
cnanne|s wn|cn w||| nave a oos|t|ve e|ect on
connerc|a| oroouct|v|t,
o sun uo tne operating income qenerateo |n
tne ouarter was 294 n||||on a ver, oos|t|ve
recurrent ano so||o ||qure conoareo w|tn tne
secono na|| o| 2 at 2o2n |n tne |ourtn
ouarter ano 282n |n tne tn|ro
Number of employees
(1)
103,545
March
2010
28,274,0
28,416,0
28,925,0
32,565,0
34,082,0
34,525,0
28,304,0
29,608,0 30,054,0
12,455,0 12,863,0 12,978,0
1,947,0 2,007,0 2,112,0
mar-10 dic-10 mar-11
0
20,000
40,000
60,000
80,000
100,000
120,000
Spain
Mexico
South America
The United States
Rest of the world
106,976
December
2010
108,594
March
2011
28,274
28,416
28,925
32,565
34,082 34,525
28,304
29,608 30,054
12,455 12,863 12,978
(1) Excluding Garanti.
Number of branches
(1)
7,469
March
2010
7,361
December
2010
7,412
March
2011
3,056,0
3,024,0 3,025,0
1,987,0
1,985,0 1,990,0
1,498,0
1,456,0 1,518,0
784,0 752,0 752,0
144,0 144,0 127,0
mar-10 dic-10 mar-11
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
3,056
3,024 3,025
1,987
1,985 1,990
1,498 1,456 1,518
784 752 752
Spain
Mexico
South America
The United States
Rest of the world
(1) Excluding Garanti.
Operating income
(Million euros)
(1) At constant exchange rate: 10.7%.
3,183
1Q
3,317
2Q
2,821
3Q
2,621
4Q
2,904
2010
1Q
2011
8.8%
(1)
2621 2621 2621
2904
2621
2821
3317
3183
0
500
1,000
1,500
2,000
2,500
3,000
3,500
Number of ATMs
(1)
16,016
March
2010
Spain
Mexico
South America
The United States
16,995
December
2010
17,564
March
2011
4,931,0
5,138,0
5,212,0
6,370,0
6,760,0
6,979,0
3,717,0
4,019,0
4,289,0
998,0 1,078,0 1,084,0
marzo 10 dic 10 marzo 11
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
4,931
5,138
5,212
6,370
6,760
6,979
3,717
4,019 4,289
998 1,078 1,084
(1) Excluding Garanti.
Impairment losses on financial assets
(Million euros)
(1) At constant exchange rate: 7.5%.
1,078
1Q
1,341
2Q
1,187
3Q
1,112
4Q
1,023
1Q
2010 2011
5.1%
(1)
1112 1112 1112
1023
1112
1187
1341
1078
0
200
400
600
800
1,000
1,200
1,400
2 Crouo |n|ornat|on
tnat Carant|s resu|ts nave on|, oeen cons|oereo
|or oa,s wnereas tne |u|| e|ect o| tne cao|ta|
|ncrease |s |nc|uoeo Return on tota| averaqe
assets ROA` stanos at 9 |otn RO| ano
RO/ cont|nue to conoare ver, we|| w|tn ||V/s
na|n oeers
tne |owest ||qure s|nce tne ||rst ouarter o| 29
/s a resu|t tne Crouos r|s| oren|un |noroveo
: oas|s oo|nts |n tne ouarter to 2 wn||e tne
coveraqe rat|o was naro|, a|ecteo as o|
:|ar2 |t stooo at o conoareo w|tn o2
at tne c|ose o| 2 n|s nas oeen ooss|o|e
tnan|s to tne oos|t|ve ooerat|nq oro||t wn|cn
nas a||oweo oruoent|a| cr|ter|a to oe na|nta|neo
wn||e na||nq aoo|t|ona| orov|s|ons to |ncrease
tne Crouos oa|ance o| qener|c orov|s|ons |n
'oa|n ano a|so to tne qooo creo|t oua||t, o|
||V/s oort|o||o wn|cn |nc|uoes an |ncreas|nq|,
qreater orooort|on o| |owerr|s| |tens
Provisions anounteo to n conoareo
w|tn n |n !anuar,|arcn 2 n|s
|nc|uoes :n |or ear|, ret|renent ano otner
contr|out|ons to oens|on |unos
||na||, other gains (losses) anounteo to
oract|ca||, tne sane ||qure as 2 nontns ear||er
at n 2n |n tne ||rst ouarter o| 2`
ne, corresoono na|n|, to orov|s|ons |or rea|
estate assets naoe to na|nta|n coveraqe at
|eve|s aoove :
Net attributable profit
nus tne oos|t|ve oroqress o| revenues ano tne
exce||ent treno |n orov|s|ons a||oweo ||V/ to
cont|nue w|tn |ts exoans|on o|ans ano |a, tne
|ounoat|ons |or |uture qrowtn n|s nas a|| ta|en
o|ace |n a nacroeconon|c env|ronnent tnat nas
cnanqeo s|qn|||cant|, over tne |ast ,ear |ron |t
w||| enerqe a new oroer o| q|ooa| qrowtn ano
na,or cnanqes |n tne ||nanc|a| |noustr, ano
at tne |eve| o| soc|et, Deso|te tn|s tne Crouo
na|nta|ns a qooo |eve| o| net attributable profit
at n |n tne ||rst ouarter w|tn a oos|t|ve
contr|out|on |ron a|| areas o| ous|ness 'oa|n
contr|outeo 4n |uras|a 98n |ex|co
4:on 'outn /ner|ca 28n ano tne n|teo
'tates 8n
Earnings per share (EPS) stano at 2
conoareo w|tn : |n tne ||rst ouarter o|
2 tne cao|ta| |ncrease was carr|eo out |n
Novenoer 2` ne |ncrease |n tne Crouos
snareno|oers |unos nas |eo to an |ncrease |n
tne ooo| va|ue oer snare o| o ,earon,ear
to 849 /s a resu|t tne ROE nas |a||en to 28
'ucn reouct|on |s na|n|, exo|a|neo o, tne |act
Earnings per share
(Euros)
1Q
2009
1Q
2010
1Q
2011
0,0
0,5
1,0
0.33
0.31
0.25
ROE
(Percentage)
1Q
2010
2010 1Q
2011
17,7
15,8
12,8
0
10
20
30
17.7
15.8
12.8
ROA
(Percentage)
1Q
2010
2010 1Q
2011
0
1
2
1.01
0.89
0.95
: |a|ance sneet ano ous|ness act|v|t,
||V/ c|oseo tne first quarter of 2011 w|tn tota|
assets at o2 o||||on nar||nq a ,earon,ear
|ncrease o| ano a |ncrease as conoareo
to tne ||qure |or tne c|ose o| tne orev|ous ,ear
ne or|nar, causes oen|no tne oroqress o| tne
Crouos oa|ance sneet ano ous|ness act|v|t, |n tn|s
oer|oo |nc|uoe
lncoroorat|on o, orooort|onate conso||oat|on
netnoo o| tne no|o|nq |n Garanti |n tne
nontn o| |arcn wn|cn accounteo |or nore
tnan o n||||on |n assets
Neqat|ve e||ect o| tne exchange rate |n ootn
tne |ast ,ear ano a|so w|tn qreater |ntens|t,
|n tne ouarter oue to tne oeorec|at|on o| tne
oo||ar ano |ts |n||uence on tne course o| tne rest
o| |at|n /ner|can currenc|es ln tn|s reqaro at
constant excnanqe rates tne ouarteronouarter
var|at|on o| tne Crouos assets was :
|a|ance sneet ano ous|ness act|v|t,
Consolidated balance sheet
|||||on euros`
31-03-11 % 31-03-10 31-12-10
Casn ano oa|ances w|tn centra| oan|s 2:2 :2 :: 998
||nanc|a| assets ne|o |or trao|nq 8 4` o88 o:28:
Otner ||nanc|a| assets oes|qnateo at |a|r va|ue tnrouqn oro||t or |oss 29 42 2o 24
/va||ao|e|orsa|e ||nanc|a| assets o:4 8` o89o o4
|oans ano rece|vao|es :o8:44 :o :2o :o4
|oans ano aovances to creo|t |nst|tut|ons 284o o 2o4oo 2:o:o
|oans ano aovances to custoners ::9 28 :28o ::88
Otner 2289 nn 4 22:
|e|otonatur|t, |nvestnents 92: 2: 924 994o
lnvestnents |n ent|t|es accounteo |or us|nq tne eou|t, netnoo 44: 4: :o 44
anq|o|e assets o89 4o o2 o
lntanq|o|e assets 29o 94 8
Otner assets o: :2 8: o::o
Total assets 562,174 1.5 553,922 552,738
||nanc|a| ||ao|||t|es ne|o |or trao|nq :429 o` :o2 :22
Otner ||nanc|a| ||ao|||t|es at |a|r va|ue tnrouqn oro||t or |oss o4 :o 49 o
||nanc|a| ||ao|||t|es at anort|zeo cost 4oo 4oo 4:o4
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons o84: 82` 8:o8 o88
Deoos|ts |ron custoners 28:9 2: 289
Deot cert|||cates 884 4` 9824 88
'uooro|nateo ||ao|||t|es 8:2 :2 42
Otner ||nanc|a| ||ao|||t|es o89 : o8 o9o
||ao|||t|es unoer |nsurance contracts 829 4 o 8::
Otner ||ao|||t|es 2 :8 4oo: 24o
Total liabilities 524,293 0.4 522,098 515,262
Noncontro|||nq |nterests 98 :o o
Va|uat|on ao,ustnents 8:` nn 2 `
'nareno|oers |unos :8 29 298 :oo89
Total equity 37,881 19.0 31,824 37,475
Total equity and liabilities 562,174 1.5 553,922 552,738
Memorandum item:
Cont|nqent ||ao|||t|es :o229 94 ::: :8o
4 Crouo |n|ornat|on
ln terns o| tne loan-book tne qeoqraon|ca| oua||t, ooserveo
|n orev|ous ouarters cont|nueo Ver, o,nan|c tnouqn a||ecteo
o, tne excnanqe rate |n |ex|co ano 'outn /ner|ca |n wn|cn
|t qrew : ano 2 resoect|ve|, |n tne ,ear at constant
excnanqe rates` ln contrast 'oa|n rena|ns staqnant w|tn a
var|at|on |n tne sane oer|oo o| ln |uras|a tne |ncrease
|s ,ust|||eo o, tne |ncoroorat|on o| Carant| ||na||, |n tne n|teo
'tates tne treno cont|nues oownwaro at as a resu|t o|
tne qraoua| cnanqe |n tne oort|o||o n|x towaros ||nes w|tn |ower
assoc|ateo r|s|
Cooo oer|ornance o| customer deposits, or|nar||, |n tne
res|oent sector
ln terns o| off-balance sheet funds, tne|r oos|t|ve oer|ornance
|n tne rest o| tne wor|o oreoon|nates |n ootn nutua| |unos
ano oens|ons ln aoo|t|on ||V/ reva||oateo |ts |eaoersn|o
oos|t|on |n oens|ons |n 'oa|n ano no|os a cruc|a| oos|t|on |or tne
oeve|oonent o| tne or|vate oens|on scnenes |n |at|n /ner|ca
Lending to customers
Gross lending to customers as o| |arcn : 2 stooo at :4
o||||on a ||qure tnat |s ver, s|n||ar to tnat o| tne orev|ous ,ear out
tnat |s uo 2 ,earon,ear |xc|uo|nq tne excnanqerate e|ect tne
|ncrease |s |n tne ouarter
|eno|nq nas a|so var|eo o, geographical area. lt nas snown
outstano|nq qrowtn |n |at|n /ner|ca ln tn|s reqaro |n |ex|co
|oans cont|nue to |ncrease at a stronq rate ano tne oroqress o|
tne connerc|a| ano consuner oort|o||os nas oeen exce||ent ln
'outn /ner|ca tne cont|nueo oos|t|ve econon|c c||nate |avors
tne stronq oer|ornance o| ous|ness act|v|t, o| tne ||nanc|a| sector
|n ||ne w|tn tnat ooserveo |n recent ouarters w|tn a ver, act|ve
oart|c|oat|on o| tne o||erent ||V/ oan|s ne Crouo earneo 4
Customer lending
|||||on euros`
31-03-11 % 31-03-10 31-12-10
Domestic sector 193,675 (0.8) 195,172 198,634
|uo||c sector 249 48 228 2:oo
Otner oonest|c sectors o82o 28` 299 498
'ecureo |oans 4:9 ` : 2
Connerc|a| |oans o:2 8` o4 o84
||nanc|a| |eases 49: 2` o8 ooo
Otner tern |oans 448 :` 492:9 4o22
Creo|t caro oeotors 2:o o` :o o9
Otner oenano ano n|sce||aneous oeotors 24 :2 998 2222
Otner ||nanc|a| assets 442 o: 2:9 :2
Non-domestic sector 137,930 8.7 126,877 134,258
'ecureo |oans 4988 44: 49
Otner |oans 884: 8:4 88
Non-performing loans 15,210 (2.0) 15,519 15,361
Donest|c sector 2` 989 9:
|uo||c sector 2 9 o8
Otner oonest|c sectors 89 :` 922 84
Nonoonest|c sector 4499 ` 4: 448
Customer lending (gross) 346,814 2.7 337,568 348,253
|oan|oss orov|s|ons 9224` 9 9:` 9:9o`
Customer lending (net) 337,590 2.8 328,516 338,857
Customer lending (gross)
(Billion euros)
338
March
2010
340
March
2009
347
March
2011
(1) At constant exchange rate: +3.6%.
+2.7%
(1)
347
338 340
0
50
100
150
200
250
300
350
|a|ance sneet ano ous|ness act|v|t,
oas|s oo|nts o| nar|et snare |n tn|s area |n tne |ast 2 nontns
accoro|nq to |eoruar, 2 oata` ln tne n|teo 'tates an area
tnat |s st||| |nnerseo |n |ts orocess o| cnanq|nq tne oort|o||o n|x
towaros |owerr|s| |tens res|oent|a| rea| estate nas oer|orneo
extrene|, we|| uo :28 ,earon,ear` /ct|v|t, |n 'oa|n rena|ns
staqnant out ||V/s connerc|a| nanaqenent nas oeen
stanoout w|tn a new ,earon,ear nar|et snare qa|n o| : oas|s
oo|nts accoro|nq to tne |atest oata ava||ao|e |ron |eoruar, 2`
|n n|qn|o,a|t, orooucts nortqaqes` to tne oetr|nent o| oort|o||os
w|tn a qreater assoc|ateo r|s|
ne aoove exo|a|ns tnere|ore tne o||erent oroqress oetween tne
oonest|c ano nonoonest|c sectors O| tne net |oans to domestic
customers |eno|nq to tne ouo||c sector |ncreaseo o, 48
,earon,ear to 2 o||||on out |oans to tne otner oonest|c sectors
were oown 28 to o8 o||||on as a resu|t o| tne qenera||zeo |a||
|n tne |eno|nq act|v|t, |n 'oa|n |owever tne |tens w|tn tne |east
assoc|ateo r|s| ano qreatest re|at|ve we|qnt secureo |oans wn|cn
tota|eo 4 o||||on are n|qn|, stao|e ano were tnose tnat |e|| tne |east
oown |n tne ,ear out oare|, oown o |n tne ouarter`
|urtnernore net |eno|nq to non-domestic customers rose to :8
o||||on as o| |arcn : 2 w|tn a ,earon,ear |ncrease o| 8 tnat
exc|uo|nq tne excnanqe rate e|ect was uo 4 n|s |ncrease
wn|cn was recoroeo |n ootn secureo |oans ano |n tne otner |oans
cateqor, |s tne resu|t o| tne qreat o,nan|sn o| tne ous|ness act|v|t,
|n a|nost a|| countr|es |n |at|n /ner|ca ano |uras|a tnan|s to tne
recent |ncoroorat|on o| Carant|
||na||, non-performing loans were oown 2 |n tne |ast ,ear
ne oecreases were qenera||zeo ano were ooserveo |n ootn tne
oonest|c ano nonoonest|c sectors
Customer funds
/s o| |arcn : 2 tota| customer funds |ncreaseo to :4 o||||on
nar||nq an |ncrease o| 4 on tne ||qure 2 nontns or|or ano uo
on Decenoer : 2
Once aqa|n a o|st|nct|on nust oe naoe oetween tne course
o| on-balance sheet customer funds wn|cn were uo to :9
o||||on ano reoresent : o| tne tota| ano otner |unos sucn as
nutua| |unos oens|ons ano custoner oort|o||os wn|cn tota|eo
44 o||||on ne exce||ent oer|ornance o| onoa|ance sneet |unos
stooo out w|tn qrowtn at ,earon,ear ano : |or tne
ouarter n|s |norovenent cont|nues to oe oaseo on tne strenqtn
o| custoner oeoos|ts uo ,earon,ear to 284 o||||on` wn|cn
nave oer|orneo ver, oos|t|ve|, |n tne oonest|c sector wn||e t|ne
oeoos|ts aovanceo :o |n tne ouarter Non-domestic oeoos|ts
|e|| oac| 9 to 4 o||||on as a resu|t o| tne oecrease o| t|ne
oeoos|ts oown 2o ,earon,ear` wn|cn nevertne|ess oeqan
to s|ow |ts s|owoown as conoareo to recent ouarters On tne
otner nano neao|nqs w|tn |ower assoc|ateo costs |||e current ano
sav|nqs accounts qrew 2: ,earon,ear ano tne|r |ess oos|t|ve
tra,ector, |n tne ouarter |s or|nar||, oue to tne neqat|ve e|ect o|
excnanqe rates
Customer funds
|||||on euros`
31-03-11 % 31-03-10 31-12-10
Customer funds on balance sheet 389,731 5.0 371,116 378,388
Deposits from customers 283,559 11.1 255,301 275,789
Donest|c sector :oooo 9424 ::o29
|uo||c sector 24894 nn :889 42
Otner oonest|c sectors 2 292 8o: o2
Current ano sav|nqs accounts 429 4` 424 4:22
|ne oeoos|ts 9: o2 :8o 49o
/ssets so|o unoer reourcnase aqreenent ano otner 8o9 92 92 2:8:2
Nonoonest|c sector 4o894 9` o48 429
Current ano sav|nqs accounts 4o 2: o9:9 4o8
|ne oeoos|ts oo 2o` 94 oo2o
/ssets so|o unoer reourcnase aqreenent ano otner : 298` 8o4 82
Debt certificates 88,040 (10.4) 98,240 85,180
|ortqaqe oonos 44824 o2 :8 424o
Otner oeot cert|||cates 4:2o 2o` 9oo: 449::
Subordinated liabilities 18,132 3.2 17,575 17,420
Other customer funds 144,230 1.6 142,026 147,580
|utua| |unos 422o2 4` 4929 4::8:
|ens|on |unos o4 99 o899 8o:
Custoner oort|o||os 2o24 9 2:888 24:4
Total customer funds 533,961 4.1 513,142 525,968
o Crouo |n|ornat|on
Of-balance sheet custoner |unos anounteo
to 44 o||||on as o| |arcn : 2 wn|cn |s
s||qnt|, over tne ||qure one ,ear or|or out unoer
tnat at tne c|ose o| 2 uo o ano oown
2: resoect|ve|,` O| tnen tnose |ron Spain
reoresent :8 uo to o||||on tnat tnouqn oown
2 ,earon,ear are uo : |n tne ouarter ne
|noroveo oer|ornance |n tne ouarter ||es |n tne
custoner oort|o||os wn|cn rose 2 to 4 o||||on
|ens|on |unos a|so qrew w|tn resoect to tne
orev|ous ouarter esoec|a||, |n |no|v|oua| oens|on
scnenes ne aoove cont|nues to a||ow ||V/
to na|nta|n |ts |eao|nq oos|t|on as oens|on |uno
nanaqer |n 'oa|n w|tn a nar|et snare o| 8:
|atest ava||ao|e oata as o| Decenoer` ||na||,
nutua| |unos |e|| 2 |n tne sane oer|oo as a
resu|t o| tne |ncreaseo ore|erence o| savers |or
otner orooucts |||e t|ne oeoos|ts
O|oa|ance sneet |unos |or tne rest of the world
9 o||||on |e|| 4: |n tne ouarter or|nar||,
oue to tne neqat|ve |noact o| tne excnanqe
rate |xc|uo|nq tne e|ect o| tne currenc|es |ts
oercent cnanqe was - w|tn ver, |avorao|e
oer|ornance |n nutua| |unos ano oens|ons as
we|| as custoner oort|o||os
Statement of changes in equity
/t tne c|ose o| tne ||rst ouarter o| 2 ||V/s
total equity cane to :88 n||||on nar||nq a
new |ncrease s|nce Decenoer : 2 oeso|te
tne neqat|ve e|ect o| excnanqe rates ne net
attr|outao|e oro||t |or tne ouarter n||||on
o|us tne |no|enentat|on o| tne o|v|oeno oot|on
,ust||, tn|s oroqress
Other customer funds
|||||on euros`
31-03-11 % 31-03-10 31-12-10
Spain 54,598 (12.5) 62,415 53,874
|utua| |unos 2:244 2` :8o 2:8
|ens|on |unos 42 22` 4: o8
lno|v|oua| oens|on o|ans 98o :` 82 9o4
Coroorate oens|on |unos oo ` 249 o4
Custoner oort|o||os 4:2 9 :28 ::
Rest of the world 89,632 12.6 79,611 93,707
|utua| |unos ano |nvestnent conoan|es 98 9 :o: 9o
|ens|on |unos 822 4 488 o92
Custoner oort|o||os 892 o 28
Other customer funds 144,230 1.6 142,026 147,580
Customer funds
(Billion euros)
513
March
2010
493
March
2009
534
March
2011
(1) At constant exchange rate: +4.9%.
+4.1%
(1)
123
142
144
370 371
390
0
100
200
300
400
500
600
Other
customer
funds
Customer
funds on
balance
sheet
142
123
144
371 370
390
Cao|ta| oase
/s o| |arcn : 2 tne ||V/ Crouos capital
base ca|cu|ateo accoro|nq to tne |l' ll
requ|at|on reacneo 44on :4 |ess tnan
at tne c|ose o| 2 n|s oecrease |s or|nar||,
exo|a|neo o, tne nater|a||zat|on o| tne 249
acou|s|t|on o| tne ur||sn oan| Carant| carr|eo
out |n |arcn ano o, tne excnanqerate e|ect
Risk-weighted assets RW/s` stooo at
:944n uo 8 on tne c|ose o| Decenoer
ne |ncrease |n RW/ oue to tne entr, o| Carant|
nas oeen oart|a||, o|set o, tne qenera||zeo
oeorec|at|on o| currenc|es |n tne ouarter
ne minimum capital requirements 8 o|
RW/` reacneo tnere|ore 22:n w|tn a
cao|ta| oase suro|us o| 9:n nere|ore tne
Crouo nas o2 o| cao|ta| aoove tne n|n|nun
reou|reo |eve|s
Core capital reacneo 2842n as o| |arcn
: 2 ne rat|o |n tne sane oate |s o9 oas|s
oo|nts |ower conoareo to Decenoer : 2
Orqan|c cao|ta| qenerat|on contr|outeo 2
oercentaqe oo|nts ano o|v|oeno oot|on aooeo
anotner 2 oercentaqe oo|nts |n tne ouarter
wn||e tne e|ect o| tne |ncoroorat|on o| Carant|
o|us otner |tens suotracteo oercentaqe
oo|nts nus tne core rat|o stanos at 89
ne Tier I rat|o c|oseo tne ouarter at 98
|urtnernore ore|erence snares |e|| s||qnt|, to
28n oue to tne a|orenent|oneo oeorec|at|on
o| tne oo||ar ano tne|r orooort|on over |er l
cao|ta| stanos at o
ne rest o| tne e||q|o|e cao|ta| Tier II wn|cn
na|n|, cons|sts o| suooro|nateo oeot suro|us
qener|c orov|s|ons ano unrea||zeo cao|ta| qa|ns
cane to 24on uo : on tne c|ose o| tne
,ear nus tne |er ll rat|o stanos at :2 sane
|eve| as o| Decenoer : 2 n|s cnanqe |s
oue anonq otner reasons to tne 'D 2
n||||on suooro|nateo oeot |ssueo o, ||V/
|anconer ano tne currenc|es oeorec|at|on
o sunnar|ze tne BIS rat|o nas aosoroeo tne
|noact o| tne Carant| ooerat|on ano as o| |arcn
Cao|ta| oase
Capital base (BIS II Regulation)
|||||on euros`
31-03-11 31-12-10 30-09-10 30-06-10 31-03-10
'nareno|oers |unos :8 :oo89 :o :o9 298
/o,ustnents ano oeouct|ons o4` 892` 8o42` o8` 89`
|anoator, convert|o|e oonos 2 2 2 2 2
Core capital 28,452 30,097 24,969 24,929 23,908
|re|erence snares 28 o4 o 224 :
Deouct|ons 2:o` 22:9` 9` 8:` 94`
Capital (Tier I) 31,214 33,023 28,234 28,351 27,867
'uooro|nateo oeot ano otner 2o: 24 29 2: 2o2
Deouct|ons 2:o` 22:9` 9` 8:` 94`
Other eligible capital (Tier II) 10,246 9,901 11,055 10,935 11,568
Capital base 41,460 42,924 39,289 39,285 39,435
||n|nun cao|ta| reou|renent |l' ll Requ|at|on` 22: 2oo 24o 24o9 2:4
Capital surplus 15,937 17,858 14,783 14,516 15,888
Risk-weighted assets 319,044 313,327 306,319 309,617 294,336
BIS ratio (%) 13.0 13.7 12.8 12.7 13.4
Core capital (%) 8.9 9.6 8.2 8.1 8.1
Tier I (%) 9.8 10.5 9.2 9.2 9.5
Tier II (%) 3.2 3.2 3.6 3.5 3.9
8 Crouo |n|ornat|on
wn|cn was oaseo on tne act|ons carr|eo out
orev|ous|, on 'oa|ns sovere|qn rat|nq ln a
orocess |n wn|cn tne aqenc, |owereo tne scores
|or : ent|t|es ||V/s rat|nq was con||rneo at
/a2
: 2 stooo at : : at tne c|ose o|
2`
Ratings
ln |arcn |ooo,s ||na||zeo tne oer|oo o| rev|ew
|or tne rat|nqs o| tne 'oan|sn oan||nq s,sten
Ratings
Long term Short term Financial strength Outlook
|ooo,s /a2 | | Neqat|ve
||tcn // |- | 'tao|e
'tanoaro c |oors // /- Neqat|ve
Core capital generation
(Percentage)
Organic
generation
1Q 2011
December
2010
March
2011
8,90
1,01
0,17 0,15
9,60
0
1
2
3
4
5
6
7
8
9
10
Dividend
option
Other
(1)
(1) Garanti + Exchange rate + Other.
8.9
9.6
0.2 1.1
0.2
March
2010
13.4
8.1
9.5
3.9
June
2010
12.7
8.1
9.2
3.5
September
2010
12.8
8.2
9.2
3.6
December
2010
13.7
9.6
10.5
3.2
Capital base: BIS II ratio
(Percentage)
Tier II
Core capital
Tier I
3.9
3.5 3.6
3.2
3.2
9.5
9.2 9.2
10.5
9.8
8.1 8.1 8.2
9.6
8.9
0
2
4
6
8
10
12
14
March
2011
13.0
8.9
9.8
3.2
9 R|s| nanaqenent
|o||ow|nq tne ant|c|oat|on e|ort to neet
reou|renents |or orov|s|ons naoe at tne eno
o| 29 tne first quarter of 2011 nas oeen
tne |||tn ouarter |n a row |n wn|cn ||V/s N|/
rat|o rena|ns |n cnec| nere nas a|so oeen an
|norovenent |n tne r|s| oren|un wn|cn nas
|a||en to 2 :: |n tne orev|ous ouarter`
nese |no|cators suooort tne Crouos |eao|nq
oos|t|on aqa|nst tne s,sten
ln aoo|t|on tne vo|une o| total risks w|tn
custoners |nc|uo|nq cont|nqent ||ao|||t|es` stooo
at :8:4:n at tne eno o| tne ouarter :
oown on tne ||qure at tne c|ose o| 2 s|nq
a |||e|or|||e conoar|son w|tnout |nc|uo|nq tne
Carant| ||qures tne reouct|on was : n|s
oecrease |s aoove a|| oue to tne oeva|uat|on o|
tne na|n currenc|es aqa|nst tne euro as |eno|nq
was uo |n tne ,ear at constant excnanqe
rates
Non-performing assets as o| :|ar2 stooo
at 28n oown on tne ||qure at tne c|ose
o| 2 n|s |nc|uoes 248n corresoono|nq
Ratings
R|s| nanaqenent
Variations in non-performing assets
|||||on euros`
1Q11 4Q10 3Q10 2Q10 1Q10
Beginning balace 15,685 15,560 16,137 15,870 15,602
|ntr|es 284 :82 : :42 :2o2
Recover|es 882` 249` 2o` 28` 2:88`
Net variation 922 1,373 935 962 874
Wr|teo|s 4` 2o9` 9` :4` 88`
|xcnanqe rate o||erences ano otner o 2 :9:` ::9 29
Period-end balance 15,528 15,685 15,560 16,137 15,870
Memorandum item:
Nonoer|orn|nq |oans 2 :o 28 8 2
Nonoer|orn|nq cont|nqent ||ao|||t|es :9 :24 :42 : :
Credit risk management
|||||on euros`
31-03-11 31-12-10 30-09-10 30-06-10 31-03-10
Nonoer|orn|nq assets 28 o8 o o: 8
ota| r|s|s
`
:8:4: :84o9 :o42 :84:44 :o99
|rov|s|ons 949 9o 9o4 99 9:8
'oec|||c oo o82: o2 o o4:
Cener|c ano countr,r|s| 294 28:2 :89 :42 282
N|/ rat|o ` 4 4 4 42 4:
N|/ coveraqe rat|o ` o o2 o2 o 9
` lnc|uo|nq cont|nqent ||ao|||t|es
Non-performing assets
(Million euros)
15870
16137
15560 15685 15528
0
2.000
4.000
6.000
8.000
10.000
12.000
14.000
16.000
18.000
15,528
March
2011
March
2010
15,870
June
2010
16,137
September
2010
15,560
December
2010
15,685
1.0%
2 Crouo |n|ornat|on
starteo o, tne |eoera| Covernnent wn||e |n |uras|a |t nas |a||en to
: |ron 4 |n tne orev|ous ouarter oue to tne |ncoroorat|on
o| Carant| /oo|t|ona||, |t |s wortn not|nq tnat 98 o| tne Crouos
r|s| |s co||atera||zeo
Economic capital
/ttr|outao|e econon|c r|s| cao|ta| |RC` consunot|on reacneo
24 n||||on as o| |arcn : 2 s|n||ar to tne ||qure as o|
Decenoer 2

/s |s to oe exoecteo |ron ||V/s oro|||e nost o| tn|s ||qure
o2:` |s creo|t r|s| on oort|o||os or|q|nateo |n tne Crouos orancn
networ| |ron |ts own custoner oase n|s r|s| rose |n tne ouarter
oue to tne |ncoroorat|on o| Carant|
|ar|et r|s| cont|nues to oe tne |east re|evant |ten 22` q|ven
tne nature o| ||V/s ous|ness ano |ts oo||c, o| n|n|na| oroor|etar,
trao|nq lt rena|ns at a s|n||ar |eve| to tne orev|ous ouarter |ou|t,
r|s| oas|ca||, re||ects tne oort|o||o o| |o|o|nqs |n lnoustr|a| c
||nanc|a| Conoan|es ano tne sta|e |n CllC lts ,eareno |eve|
|s s|n||ar to tnat at tne c|ose o| Decenoer at 8 'tructura|
oa|ancesneet r|s| stooo at o at tne eno o| |arcn 2 lt
or|q|nates |ron tne nanaqenent o| tne Crouos structura|
|nterestrate r|s| ano excnanqerate r|s| ||na||, ooerat|ona| r|s|
rena|neo at 2 o| tota| |RC
to Carant| tne |a|| over tne ouarter |s 2o us|nq a |||e|or|||e
conoar|son` ne |a|| |s a|ecteo o, tne excnanqerate |noact out
a|so o, tne qooo oer|ornance o| qross aoo|t|ons |n a|| ous|ness
areas w|tn tne recover|es rate as a oercentaqe o| aoo|t|ons to N|/
at o at tne eno o| tne ||rst ouarter conoareo w|tn o44 |n tne
orev|ous ouarter
/s a resu|t tne Crouos NPA ratio rena|ns at 4 tne sane |eve|
as at tne c|ose o| 2 |ro|en oown o, ous|ness areas tne
rat|o rena|ns at 48 |n 'oa|n :2 |n |ex|co ano 2 |n 'outn
/ner|ca ln tne n|teo 'tates tne rat|o |ncreaseo o, on|, oas|s
oo|nts ano c|oseo tne ouarter at 4 44 at tne c|ose o| 2`
ln |uras|a wn|cn |nc|uoes tne |ncoroorat|on o| Carant| tne N|/
rat|o was 2 9 at tne c|ose o| 2`
Coverage provisions |or r|s|s w|tn custoners anounteo to
949n a s||qnt oecrease o| on on tne ||qure at tne c|ose
o| 2 aoove a|| oue to tne excnanqerate |noact O| tn|s tota|
qener|c orov|s|ons anount to 294n ano reoresent :: o| tne
tota|
ne N|/ coverage ratio stanos at o |, ous|ness areas |t nas
|noroveo |n tne n|teo 'tates to o4 o at tne c|ose o| 2`
ano |n 'outn /ner|ca to :4 : as o| :Dec2` ln 'oa|n
|t enoeo tne ouarter at 4: a s|n||ar |eve| to tne c|ose o| 2
44` lt nas |a||en |n |ex|co to :o 2 at tne c|ose o| 2`
oas|ca||, as a resu|t o| tne ear|, eno o| tne Punto Final o|an
NPA and coverage ratios
(Percentage)
59,0
61,0
62,0 62,0 62,0
4,3 4,2 4,1 4,1 4,1
0
10
20
30
40
50
60
70
March
2011
June
2010
September
2010
December
2010
NPA ratio
Coverage
ratio
March
2010
59
61
62 62
61
4,3
4,2
4,1 4,1 4,1
Recoveries over entries to NPA
(Percentage)
73,2
68,4
69,4
64,4
67,1
0
15
30
45
60
75
2Q 3Q 4Q
2010
1Q 1Q
2011
73.2
68.4
69.4
64.4
67.1
` n|s ||qure |nc|uoes tne annua| e|ects o| reca||orat|on ano rev|ew o| tne nooe|s |n !anuar, 2 Conoarao|e ||qures |or tne c|ose o| Decenoer 2 wou|o oe 2o29:n conoareo
w|tn tne ouo||sneo ||qure o| 248n
2 ne ||V/ snare
ln tne ||rst ouarter o| 2 tne main stock market indices
oroqresseo ver, uneven|, ne 'toxx |n |urooe ano tne |'|
|n tne n|teo ||nqoon rena|neo oract|ca||, ||at wn||e tne '
nar|et oer|orneo oos|t|ve|, ano |ts 'c| |noex was uo 4
ne loex : |n 'oa|n was a|so uo : tnan|s to tne |noroveo
oerceot|on o| |ts sovere|qn r|s| as conoareo to otner countr|es |n
'outnern |urooe
/qa|nst tn|s oac|oroo |n tne European banking sector |actors
sucn as so|venc, ||nanc|nq ano ||ou|o|t, cont|nue to oe tne |ocus
o| tne nar|et Certa|n requ|ator, uncerta|nt|es reqaro|nq tnese
too|cs cou|o oe reso|veo |n tne con|nq nontns ne |noroveo
or|ces on tne creo|t nar|et aooear to oe |n||uenc|nq tne eou|t,
nar|et oos|t|ve|, ln tn|s reqaro tne |urooean oan| |noex 'toxx
|an|s oresenteo a s||qnt|, oos|t|ve course |n tne ouarter ano was
uo : wn||e tn|s |r|t|sn oan| |noex |'| |an|s |e|| oac| 2:
ln tne n|teo 'tates tne ||nanc|a| |nst|tut|on |noex 'c| ||nanc|a|s
lnoex was uo 28 wn||e tne req|ona| oan| |noex 'c| Req|ona|
|an|s rose 2
BBVAs results |or tne |ourtn ouarter o| 2 nave oeen |n
||ne w|tn or s||qnt|, aoove ana|,sts exoectat|ons ln qenera|
tne Crouos so||o ||ou|o|t, ano so|venc, oos|t|on |s esoec|a||,
notewortn, |, ous|ness areas 'oa|n ano |ortuqa| nas oer|orneo
oetter tnan |orecasteo o, tne nar|et ano oroouceo res|||ent
resu|ts st||| a|ecteo o, tne o|||cu|t econon|c s|tuat|on out
|eeo|nq |ts N|/ rat|o we|| |n cnec| ne resu|ts |n |ex|co once
aqa|n exceeoeo exoectat|ons ano req|stereo oetter revenues
tnan nao oeen |orecasteo ne oos|t|ve N|/ rat|o |s |or ana|,sts
a re||ect|on o| tne qraoua| recover, o| tne |ex|can econon, ln
aoo|t|on tne stanoaro|zat|on o| tne r|s| oren|un ano qrowtn o|
vo|unes nave a|so oeen we|| va|ueo ln 'outn /ner|ca tne resu|ts
nave aqa|n oeen a o|easant suror|se 'one ana|,sts c|a|n tnat
ootn 'outn /ner|ca ano ur|e, w||| contr|oute ver, oos|t|ve|, to
tne Crouos oro||ts |n 2
/qa|nst tn|s oac|oroo tne BBVA share nas |noroveo :2 over
tne ouarter aoove tne loex ano |urooean oan||nq sector ano
c|oseo at 8o oer snare |or a nar|et cao|ta||zat|on o| :844
n||||on n|s o|aces tne or|ce/tanq|o|e ooo| va|ue at tne |/|
ca|cu|ateo on tne neo|an est|nateo earn|nqs |or 2 accoro|nq
to tne consensus anonq ||oonoerq ana|,sts` at 82 ano tne
o|v|oeno ,|e|o a|so ca|cu|ateo on tne neo|an o|v|oenos oer snare
est|nateo o, tne ana|,sts |or 2 as conoareo to tne ouoteo
or|ce as o| |arcn : 2` at 49
ne ||V/ snare cont|nues to nave a notao|, n|qn |eve| o|
liquidity ln tne ||rst ouarter o| tne ,ear tne averaqe traoe |n
nunoer o| snares was 8 n||||on |or a oa||, averaqe anount o|
o8 n||||on
ln terns o| shareholder remuneration on /or||
tn
|t
was o|str|outeo 49 oer snare nus tota| snareno|oer
renunerat|on corresoono|nq to tne ,ear 2 anounteo to
42 oer snare /s aqreeo |n tne /nnua| Cenera| |eet|nq o|
'nareno|oers on |arcn 2 a ||ex|o|e renunerat|on s,sten
was |no|enenteo Ca||eo tne o|v|oeno oot|on |t a||ows q|ven
snareno|oers to oene||t |ron |ts ||sca| oene||ts ano ||V/ to
strenqtnen |ts cao|ta| rat|os ne oercentaqe o| snareno|oers
wno nave ooteo to rece|ve ||V/ snares reacneo 9 tnus
con||rn|nq tne w|oe acceotance o| tn|s new renunerat|on
s,sten
ne ||V/ snare
The BBVA share and share performance ratios
31-03-11 31-12-10
Nunoer o| snareno|oers 92o 92o8
Nunoer o| snares |ssueo 4499828 4499828
Da||, averaqe nunoer o| snares
traoeo
482 8989o
Da||, averaqe trao|nq
n||||on euros`
o8 4
|ax|nun or|ce euros` 949
||n|nun or|ce euros` o8
C|os|nq or|ce euros` 8o o
|oo| va|ue oer snare euros` 849 8
|ar|et cao|ta||zat|on n||||on euros` :844 ::9
|r|ce/|oo| va|ue t|nes` 9
||R |r|ce/|arn|nqs t|nes` 82 4
/|e|o D|v|oeno/|r|ce ` 49 o
Share price index
(31-03-10=100)
BBVA
Stoxx 50
EuropeStoxx Banks
60
70
80
90
100
110
120
60
70
80
90
100
110
120
30-06-10 30-09-10 31-03-10 31-12-10 31-03-11
Stoxx 50
BBVA
Europe Stoxx
Banks
22 Crouo |n|ornat|on
Coroorate resoons|o|||t, CR` orov|oes ||V/ w|tn a wa, o|
ooost|nq |nteqrateo ano crosscutt|nq management |n ootn
||nanc|a| ano non||nanc|a| ous|ness natters o, aoo|,|nq tne
coroorate principles o| |nteqr|t, oruoence ano transoarenc, nus
env|ronnenta| soc|a| ano coroorate qovernance cr|ter|a oecone
nanaqenent var|ao|es tnat can resoono to tne exoectat|ons
o| a|| sta|eno|oer qrouos ln ||ne w|tn tn|s conn|tnent at tne
recent Davos 'unn|t tne Cna|rnan ano C|O o| ||V/ |ranc|sco
Conza|ez suooorteo tne |auncn o| C|ooa| Conoact ||/D a
new o|at|orn createo o, tne N C|ooa| Conoact to oronote
n|qn |eve|s o| coroorate oer|ornance |n env|ronnenta| soc|a|
ano qovernance natters ano to serve as a nooe| |or coroorate
susta|nao|||t, ne |o||ow|nq are tne na|n act|ons re|ateo to CR |or
tne ||rst ouarter o| 2
Financial literacy
||V/ nas s|qneo a co||aoorat|on aqreenent w|tn tne O|CD to
exteno tne oer|neter o| tne |l'/ reoort o, |nc|uo|nq |no|cators
tnat a||ow an assessnent o| tne |eve| o| ||nanc|a| ||terac,
conoetence ano |now|eoqe o, ,ounq oeoo|e aqeo ,ears |n 9
countr|es start|nq |n 22
Financial inclusion
ne ||V/ ||cro||nance |ounoat|on nas reacneo an aqreenent
w|tn |anco |ananeno oe |a V|v|enoa '/ to ourcnase |ts
sta|e |n ||croser||n` W|tn tn|s transact|on tne ||V/ ||cro||nance
|ounoat|on naoe |urtner oroqress |n conso||oat|nq |ts oro,ect
to exoano |n tne n|cro||nance nar|et |n |at|n /ner|ca wnere |t
a|reao, nas 8 custoners tnrouqn 2 orancnes w|tn ::
eno|o,ees
Responsible banking
Responsible finance. CllC Caroon /ssets |anaqenent
ano ||V/ nave conc|uoeo an exc|us|ve contract to create tne
Roqers C|ooa| Resources |ou|t, lnoex ||st|nq conoan|es oea||nq
|n natura| resources sucn as aqr|cu|ture n|n|nq ano trao|t|ona|
ano a|ternat|ve enerq, w|no so|ar etc` ano to se|| |nvestnent
orooucts ||n|eo to |t ne oro,ect nas oeen oeve|ooeo ,o|nt|,
o, !|n Roqers ano CllC Caroon /ssets |anaqenent a new
o|at|orn createo o, tne CllC Crouo to oronote tne oeve|oonent
o| |ow caroonen|ss|on |noustr|es ano |nvestnent |n Cn|na
Human resources. ||V/ |rov|nc|a| nas oeen |nc|uoeo |n tne
ran||nq oreoareo o, tne Creat ||ace to Wor| lnst|tute o| Venezue|a
wn|cn assesses tne oest conoan|es to wor| |n oaseo on tne|r
oo||c|es oract|ces coroorate cu|ture strateq|es ano tne oo|n|on o|
tne eno|o,ees tnense|ves ||V/ nas a|so snown |ts conn|tnent
to eoua||t, ano o|vers|t, o, s|qn|nq tne Wonens |noowernent
|r|nc|o|es a oro,ect oeve|ooeo o, tne N C|ooa| Conoact ano tne
n|teo Nat|ons Deve|oonent |uno |or Wonen Nl|||`
The environment. ||V/ once nore too| oart |n tne |artn
|our canoa|qn o, sw|tcn|nq o| 2: ou||o|nqs ano : orancnes
|n 9 c|t|es across : countr|es lt |s a|so wortn n|qn||qnt|nq ||V/s
oart|c|oat|on |n tne oresentat|on o| tne CD| Reoort |or 2 |n
'oa|n lts a|n |s to q|ve |nvestors arouno tne wor|o tne too|s to
o|scover now tne o|qqest conoan|es nave eva|uateo tne r|s|s ano
oooortun|t|es assoc|ateo w|tn c||nate cnanqe ano now tne, are
aoaot|nq to tnen
Community involvement
||V/ ano |'/D| ,o|nt|, oresenteo tne |onentun |ro,ect to
ooost soc|a| entreoreneursn|o |n 'oa|n ano |ortuqa| |acn ,ear
tn|s |n|t|at|ve q|ves soc|a| entreoreneurs tne cnance to ta|e
oart |n a tra|n|nq aov|ce ano suooort oroqran tnat w||| ne|o
tne|r enteror|ses to qrow ano oecone oro||tao|e ||V/ nas a|so
|auncneo tne aoo||cat|on Facebook Lugares |aceooo| '|tes` |or
ce|| onones n|s |s a s,sten o| qeo|ocat|on nar|et|nq tnrouqn
wn|cn custoners wno are |n a ||V/ orancn can contr|oute an
euro |or oeve|oonent oro,ects |n |a|t|
BBVA and sustainability indices
||V/ cont|nues to nave a |eao|nq oos|t|on |n tne na|n
susta|nao|||t, |no|ces ne|r we|qnt|nqs over tne ouarter were as
|o||ows
Coroorate resoons|o|||t,
Main sustainability indices in which BBVA
participates
Weighting (%)
D!'l Wor|o o4
D!'l |urooe :
D!'l |urozone 2oo
/'|l |urozone lnoex 24
|tn|oe| 'usta|nao|||t, lnoex
|xce||ence |urooe o
|tn|oe| 'usta|nao|||t, lnoex
|xce||ence C|ooa|
|'Cl Wor|o |'C lnoex 4:
|'Cl Wor|o ex '/ |'C lnoex 8
|'Cl |urooe |'C lnoex 42
|'Cl |/|| |'C lnoex 9:
2: |us|ness areas
ln tn|s sect|on we o|scuss tne nore s|qn|||cant aspects o| tne
act|v|t|es ano earn|nqs o| tne Crouos o||erent ous|ness areas
a|onq w|tn tnose o| tne na|n un|ts w|tn|n eacn o|us Coroorate
/ct|v|t|es 'oec|||ca||, we oea| w|tn tne |ncone statenent tne
oa|ance sneet ano tne na|n rat|os e||c|enc, N|/ rat|o N|/
coveraqe rat|o ano tne r|s| oren|un
|o||ow|nq tne acou|s|t|on o| 249 o| tne ur||sn oan| Carant|
ano |ts |ncoroorat|on |nto tne ||nanc|a| statenents o| tne Crouo
start|nq |n |arcn 2 ||V/ oeqan to nave a s|qn|||cant oresence
|n |urooe ano /s|a |n terns o| |ts oa|ance sneet ano earn|nqs
ln aoo|t|on s|nce tne start o| tne cr|s|s tne |noortance o| tne
qeoqraon|ca| |ocat|on o| ous|ness nas oeen c|ear |or orov|o|nq
a orooer oerceot|on o| r|s|s ano an |noroveo est|nate o| tne
caoac|t, |or |uture qrowtn ||na||, tne new requ|at|ons |avor
a |oca| nanaqenent o| structura| r|s|s tnat avo|os ooss|o|e
contaq|on oetween ||nanc|a| s,stens |or tnese not|ves tne
ous|nesses orev|ous|, |nc|uoeo |n 'oa|n ano |ortuqa| ano W|c/|
nave oeen reqrouoeo |nto tne |o||ow|nq areas
Spain: |nc|uoes ||V/ ous|nesses |n a|| seqnents w|tn|n tne
countr,
Eurasia: covers a|| ||V/ act|v|t, |n tne rest o| |urooe ano /s|a
|nc|uo|nq tne Crouos sta|e |n Carant|
n|s resoonos to tne |ncreaseo oenano |or qeoqraon,soec|||c
|n|ornat|on |ron o||erent users |nc|uo|nq tne requ|ators
ln aoo|t|on |t |s wortn not|nq tnat |n 2 ||ou|o|t, cono|t|ons on tne
||nanc|a| nar|ets nave naoe access to ||nance nore exoens|ve |or
'oan|sn creo|t |nst|tut|ons ||V/ '/ nas oeen no exceot|on to tn|s
ano tnus s|nce !anuar, 2 ano w|tn retroact|ve e|ect |or 2
oata tne ||ou|o|t, oren|un |nouteo to ous|ness areas tnrouqn tne
s,sten o| |nterna| re|erence rates nas oeen |ncreaseo ne a|n |s to
aoaot to tne new rea||t, o| tne ||nanc|a| nar|ets
ne business areas are now orqan|zeo as |o||ows
Spain wn|cn |nc|uoes ne reta|| networ| w|tn tne seqnents o|
|no|v|oua| custoners or|vate oan||nq ano sna|| ous|ness ano
reta|| oan||nq |n tne oonest|c nar|et Coroorate ano |us|ness
|an||nq C||` wn|cn nano|es tne neeos o| '||s coroorat|ons
qovernnent ano oeve|ooers |n tne countr, Coroorate
ano lnvestnent |an||nq wn|cn |nc|uoes act|v|t, w|tn |arqe
coroorat|ons ano nu|t|nat|ona| qrouos |ar|ets w|tn tne trao|nq
||oor ano o|str|out|on ous|ness |n tne oonest|c nar|et ano
otner un|ts anonq tnen ||V/ 'equros ano /sset |anaqenent
nanaqenent o| nutua| ano oens|on |unos |n 'oa|n`
Eurasia wn|cn |nc|uoes ous|ness |n tne rest o| |urooe ano
/s|a ln 2 |t was reoorteo e|tner |n 'oa|n ano |ortuqa| ||V/
|ortuqa| Consuner ||nance lta|, ano |ortuqa| ano tne reta||
ous|ness o| orancnes |n |ar|s |onoon ano |russe|s` or |n
W|c/| Coroorate ano lnvestnent |an||nq |ar|ets CNC|
ano Cl||` /oo|t|ona||, |t a|so |nc|uoes tne |n|ornat|on on
Carant|
Mexico |nc|uoes tne oan||nq oens|ons ano |nsurance
ous|nesses |n tne countr,
United States enconoasses tne Crouos ous|ness |n tne n|teo
'tates ano |n tne Connonwea|tn o| |uerto R|co
South America |nc|uoes tne oan||nq oens|ons ano |nsurance
ous|nesses |n 'outn /ner|ca
/s we|| as tne un|ts |no|cateo a|| tne areas a|so nave a||ocat|ons
o| otner ous|nesses tnat |nc|uoe e||n|nat|ons ano otner |tens not
ass|qneo to tne un|ts
||na||, tne aqqreqate o| Corporate Activities |nc|uoes tne
rest o| |tens tnat are not a||ocateo to tne ous|ness areas
nese oas|ca||, |nc|uoe tne costs o| neao o|||ces w|tn a str|ct|,
coroorate |unct|on certa|n a||ocat|ons to orov|s|ons sucn as ear|,
ret|renents ano otners a|so o| a coroorate nature Coroorate
/ct|v|t|es a|so oer|orns ||nanc|a| nanaqenent |unct|ons |or
tne Crouo as a wno|e essent|a||, nanaqenent o| asset ano
||ao|||t, oos|t|ons |or |nterest rates |n tne eurooenon|nateo
oa|ance sneet ano |or excnanqe rates as we|| as ||ou|o|t, ano
cao|ta| nanaqenent |unct|ons ne nanaqenent o| asset ano
||ao|||t, |nterestrate r|s| |n currenc|es otner tnan tne euro |s
recoroeo |n tne corresoono|nq ous|ness areas lt a|so |nc|uoes
tne lnoustr|a| ano ||nanc|a| |o|o|nqs un|t ano tne Crouos rea|
estate ous|nesses
ln aoo|t|on supplementary information |s orov|oeo o| tne q|ooa|
ous|ness carr|eo out o, tne ||V/ Crouo |onoqeneous orooucts
ano r|s|s ano connon cnaracter|st|cs o| tne custoners serveo
na|e tn|s aqqreqate o| ous|nesses re|evant to oetter unoerstano
tne ||V/ Crouo
|urtnernore as usua| |n tne case o| ne /ner|cas ootn constant
ano current exchange rates nave oeen aoo||eo wnen ca|cu|at|nq
,earon,ear var|at|ons
ne Crouo cono||es reoort|nq |n|ornat|on on a |eve| as
o|saqqreqateo as ooss|o|e ano a|| oata re|at|nq to tne ous|nesses
tnese un|ts nanaqe |s recoroeo |n |u|| nese oas|c un|ts are
tnen aqqreqateo |n accoroance w|tn tne orqan|zat|ona| structure
estao||sneo o, tne Crouo at n|qner|eve| un|ts ano ||na||, tne
ous|ness areas tnense|ves '|n||ar|, a|| tne conoan|es na||nq uo
tne Crouo are a|so ass|qneo to tne o||erent un|ts accoro|nq to tne
qeoqraon|ca| area o| tne|r act|v|t,
|us|ness areas
24 |us|ness areas
Once tne conoos|t|on o| eacn ous|ness area nas oeen oe||neo
certa|n management criteria are aoo||eo o| wn|cn tne |o||ow|nq
are oart|cu|ar|, |noortant
Capital Cao|ta| |s a||ocateo to eacn ous|ness accoro|nq
to econon|c r|s| cao|ta| |RC` cr|ter|a n|s |s oaseo on
tne conceot o| unexoecteo |oss at a soec|||c con||oence
|eve| oeoeno|nq on tne Crouos cao|ta| aoeouac, tarqets
nese tarqets nave two |eve|s tne ||rst |s core eou|t, wn|cn
oetern|nes tne cao|ta| a||ocateo n|s anount |s useo as a
oas|s |or ca|cu|at|nq tne oro||tao|||t, o| eacn ous|ness ne
secono |eve| |s tota| cao|ta| wn|cn oetern|nes tne aoo|t|ona|
a||ocat|on |n terns o| suooro|nate oeot ano ore|erreo secur|t|es
ne ca|cu|at|on o| tne |RC cono|nes creo|t r|s| nar|et r|s|
structura| oa|ancesneet r|s| eou|t, oos|t|ons ooerat|ona| r|s|
ano ||xeo asset ano tecnn|ca| r|s|s |n tne case o| |nsurance
conoan|es nese ca|cu|at|ons are carr|eo out us|nq |nterna|
nooe|s tnat nave oeen oe||neo |o||ow|nq tne qu|oe||nes ano
reou|renents estao||sneo unoer tne |ase| ll cao|ta| accoro w|tn
econon|c cr|ter|a oreva|||nq over requ|ator, ones
|RC |s r|s|sens|t|ve ano tnus ||n|eo to tne nanaqenent oo||c|es
o| tne ous|nesses tnense|ves lt stanoaro|zes cao|ta| a||ocat|on
oetween tnen |n accoroance w|tn tne r|s|s |ncurreo ano na|es
|t eas|er to conoare oro||tao|||t, across un|ts ln otner woros |t |s
ca|cu|ateo |n a wa, tnat |s stanoaro ano |nteqrateo |or a|| ||nos
o| r|s|s ano |or eacn ooerat|on oa|ance or r|s| oos|t|on a||ow|nq
|ts r|s|ao,usteo return to oe assesseo ano an aqqreqate to oe
ca|cu|ateo |or tne oro||tao|||t, o, c||ent oroouct seqnent un|t or
ous|ness area
Internal transfer prices lnterna| trans|er rates are aoo||eo to
ca|cu|ate tne net |nterest |ncone o| eacn ous|ness on ootn tne
assets ano ||ao|||t|es nese rates are conooseo o| a nar|et rate
tnat oeoenos on tne rev|s|on oer|oo o| tne ooerat|on ano a ||ou|o|t,
oren|un tnat nas oeen rev|seo as |no|cateo aoove |arn|nqs are
o|str|outeo across revenueqenerat|nq ano o|str|out|on un|ts eq |n
asset nanaqenent orooucts` at nar|et or|ces
Assignment of operating expenses |otn o|rect ano |no|rect costs
are ass|qneo to tne ous|ness areas exceot wnere tnere |s no c|ear|,
oe||neo re|at|onsn|o w|tn tne ous|nesses |e wnen tne, are o| a
c|ear|, coroorate or |nst|tut|ona| nature |or tne Crouo as a wno|e
Cross selling: |n sone cases conso||oat|on ao,ustnents are
reou|reo to e||n|nate snaoow account|nq entr|es |n tne resu|ts o|
two or nore un|ts as a resu|t o| crossse|||nq |ncent|ves
Recurrent economic profit by business area
!anuar,|arcn 2 |||||on euros`

Adjusted net
attributable profit
Economic profit
(EP)
'oa|n 2: 2:
|uras|a 9: 99
|ex|co 4o: :48
'outn /ner|ca 22: 4
ne n|teo 'tates 84 4
Coroorate /ct|v|t|es 2o4` 2o:`
BBVA Group 1,222 610
Mayor income statement items by business area and presence in emerging and developed countries
|||||on euros`
Business areas Business areas
BBVA
Group Spain Eurasia Mexico
The United
States
South
America
Corporate
Activities Emerging
(1)
Developed
1Q11
Net |nterest |ncone : 9 4 9o 42 o94 2` o82 9
Cross |ncone 2o: o :: 4: o4 o 2 2: 2:8
Ooerat|nq |ncone 294 o2 249 9o 229 o:9 9` o98 :9
lncone oe|ore tax o9 o2 22o 9 4 : 4` 22: 88
Net attributable profit 1,150 477 198 436 81 280 (322) 843 628
4Q10
Net |nterest |ncone ::8 4: 98 94 49 o2 ` o o42
Cross |ncone 494o 94 :: : 88 98: 4 2 2:o2
Ooerat|nq |ncone 2o2 8 2 89 2o 29 2` 49 4
lncone oe|ore tax o2 8 8 o :9: 48`
Net attributable profit 939 374 169 452 16 191 (264) 763 440
1Q10
Net |nterest |ncone ::8o :4 8 8o 4: o 48 42: 8
Cross |ncone : 929 2: 288 o2 9:4 :8 229 2o9o
Ooerat|nq |ncone :8: 2:8 9 84 2 oo 2 4o 9
lncone oe|ore tax 8o2 8 49 48 82 44o :8` 98: 88
Net attributable profit 1,240 714 124 347 56 233 (235) 632 842
` |ex|co 'outn /ner|ca ur|e, ano /s|a
2 'oa|n
'oa|n
Income statement
|||||on euros`
Spain
1Q11 % 1Q10
Net interest income 1,109 (14.9) 1,304
Net |ees ano conn|ss|ons :92 :` 442
Net trao|nq |ncone : :4o 4
Otner |ncone/exoenses 9: ` 9
Gross income 1,767 (8.4) 1,929
Ooerat|nq costs ` 2 o9`
|ersonne| exoenses 4:4` 4: 4o`
Cenera| ano aon|n|strat|ve exoenses 24` o` 2`
Deorec|at|on ano anort|zat|on 24` 24 24`
Operating income 1,062 (14.2) 1,238
lnoa|rnent on ||nanc|a| assets net` 422` 2:: 89`
|rov|s|ons net` ano otner qa|ns |osses` :2 nn 42`
Income before tax 672 (33.3) 1,008
lncone tax 9` ::` 29:`
Net income 477 (33.3) 715
Noncontro|||nq |nterests 4:` `
Net attributable profit 477 (33.3) 714
Balance sheet
|||||on euros`
Spain
31-03-11 % 31-03-10
Casn ano oa|ances w|tn centra| oan|s ::o 44 2:o
||nanc|a| assets 4 8` o82:
|oans ano rece|vao|es 22::o8 :` 22o:9
|oans ano aovances to custoners 24 ` 292
|oans ano aovances to creo|t |nst|tut|ons ano otner 822 89` :oo
lnterarea oos|t|ons
anq|o|e assets 99 42`
Otner assets 249 2 22o
Total assets/Liabilities and equity 285,738 (4.7) 299,796
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons 2o492 288` :98
Deoos|ts |ron custoners 242: :4 944
Deot cert|||cates
'uooro|nateo ||ao|||t|es :94 : 2:o
lnterarea oos|t|ons 9 :` :99
||nanc|a| ||ao|||t|es ne|o |or trao|nq :22o 2` :48
Otner ||ao|||t|es 9: 4 :2o
|conon|c cao|ta| a||ocateo 9 948
2o |us|ness areas
ne area o| 'oa|n |nc|uoes a|| tne seqnents o|
||V/s oan||nq ano nonoan||nq ous|ness |n
tne countr,
ln tne first quarter of 2011 tne 'oan|sn ||nanc|a|
nar|et cont|nueo to snow s|uqq|sn |eno|nq
act|v|t, w|tn qreater conoet|t|ve oressure |n
tne or|ces o| assets ano ||ao|||t|es ano an uoturn
|n tne N|/ rat|o o| oan|s ano sav|nqs oan|s
'ecur|t, ano conservat|ve |ornu|as cont|nue
to oe tne nost |noortant |actor |n oenano |or
sav|nqs orooucts ne, nave snown qreater
returns tnan tnose ooserveo oe|ore tne ||ou|o|t,
soueeze o| 2 |n a nar|et w|tn a n|qn |eve| o|
nouseno|o sav|nq rat|o ano tnat |s unoerqo|nq a
na,or coroorate oe|everaq|nq orocess
/qa|nst tn|s oac|qrouno ||V/ cont|nues to
or|or|t|ze |o,a|t, ano or|ce over vo|une w|tn
tne a|n o| na|nta|n|nq a oro||tao|e custoner
oase |n a|| |ts seqnents nere|ore gross
lending to customers |n tne area cont|nues
s|uqq|sn /s o| :|ar2 |t stooo at 224n
oown on tne ||qure o| :|ar2 |n
a ouarter tnat |s seasona||, |ower tnan tne
|ourtn Deso|te tn|s ||V/s proactive oo||c, |n
or|nq|nq |ts connerc|a| networ|s ano centra|
serv|ce structures |nto ||ne w|tn an e||c|ent
ano oroouct|ve custonercentr|c o|str|out|on
s,sten as we|| as |ts |ocus on nanaq|nq or|ces
ano a w|oe ranqe o| orooucts ano serv|ces nas
|n tne ||rst ouarter conso||oateo |ts conoet|t|ve
aovantaqe |n terns o| oro||tao|||t, e||c|enc,
ano tne qenerat|on o| recurr|nq |ncone ||V/ |s
a|so cont|nu|nq to w|n nar|et snare |n orooucts
tnat |nvo|ve a qreater |eve| o| custoner |o,a|t,
n|s nas conso||oateo |ts |eao|nq oos|t|on |n tne
na|n seqnents o| nanaqeo custoners
W|tn reqaros to customer funds unoer
nanaqenent oeoos|ts nutua| |unos
ano oens|on |unos` tne oer|ornance was
oart|cu|ar|, qooo ne, c|oseo tne ||rst ouarter
o| 2 at 8:on uo ,earon,ear ano
o over tne ouarter ne oos|t|ve oer|ornance
nas oeen ootn |n t|ne oeoos|ts ano tnose o|
|ower cost
ne Crouo nanaqeo 498n |n
of-balance-sheet funds |n 'oa|n as o|
:|ar2 a s||qnt qrowtn o| : over tne
ouarter ne vo|une o| nutua| |unos nas
stao|||zeo at 2:244n n|s contrasts w|tn tne
|a||s |n tne secono na|| o| 2 ne nar|et snare
rena|ns at o tnan|s to tne oos|t|ve resu|ts
|ron tne sa|e o| quaranteeo |unos wnere ||V/s
snare |s 22 ||na||, oens|on |unos anounteo to
42n a s||qnt qrowtn on tne orev|ous ouarter
aoove a|| |n |no|v|oua| oens|on o|ans nus ||V/
na|nta|ns |ts oos|t|on as tne |eao|nq oens|on |uno
nanaqer |n 'oa|n w|tn a nar|et snare o| 8:
|atest ava||ao|e oata as o| Decenoer`
ne |o||ow|nq |s a sunnar, o| tne earnings |n
tne area
Net |nterest |ncone was : oown over tne
ouarter to 9n as a resu|t o| tne cont|nueo
s|uqq|snness o| ous|ness nent|oneo aoove
tne qreater orooort|on o| |owerr|s| oort|o||os
wn|cn a|so nave a narrower soreao` toqetner
w|tn |ncreaseo wno|esa|e|uno|nq costs
|owever |t |s |noortant to note tnat tne oec||ne
|s s|ow|nq ano tnat tne ||rst ouarter o| 2 a|so
nao two |ewer oa,s tnan tne |ourtn ano tn|ro
o| 2 ne area nas |eot custoner soreaos
|n cnec| ano tnus na|nta|neo oro||tao|||t,
Significant ratios
|ercentaqe`
Spain
31-03-11 31-12-10 31-03-10
|||c|enc, rat|o :99 :99 :8
N|/ rat|o 48 48 49
N|/ coveraqe rat|o 4: 44 4
R|s| oren|un 9 o :
Spain highlights in the
first quarter
|etnarq, o| ous|ness act|v|t, |n tne sector
Cont|nueo nar|et snare qa|ns |n |e, neao|nqs
|ocus on custoner |o,a|t, ano or|ce over tne
vo|une
'|owoown o| tne net |nterest |ncone oecrease
'uoer|or oer|ornance |n r|s|s
2 'oa|n
soreaos ano tne qooo oer|ornance o| act|v|t,
|n |ar|ets /t tne sane t|ne reouceo exoenses
na|e a n|qner |eve| o| orov|s|ons ooss|o|e
/s a resu|t tne net attributable profit |n tne
area was 2n uo on tne orev|ous ouarter at
4n
ne na|n |no|cators o| asset quality were
na|nta|neo |n tne ||rst ouarter o| 2 ne N|/
rat|o cont|nueo at tne |eve|s o| tne c|ose o| 2
48` ano tne coveraqe rat|o stooo at 4: 44
at tne c|ose o| Decenoer 2` n|s |s ooss|o|e
oeso|te tne |ncreaseo N|/ rat|o |n tne sector
overa|| wn|cn accoro|nq to tne |atest ava||ao|e
oata stooo at o2 N|/ rat|o ||qures |or oan|s
ano sav|nqs oan|s as o| |eoruar,` New N|/ |e||
o, : over tne ouarter |eav|nq tne recover,
rate as a orooort|on o| new N|/ at 9 oo8
|n tne orev|ous ouarter` ano tne oa|ance o| N|/
as o| :|ar2 at 2: oe|ow tne ||qure |or
:Dec2
Creo|t exoosure |n tne oeve|ooer sector |n 'oa|n
as o| :|ar2 anounteo to o2:n a s||qnt
|a|| on tne oo8n as o| :Dec2 ano an
|norovenent |n |ts conoos|t|on w|tn a qreater
orooort|on o| cono|eteo ou||o|nqs na|n|,
owe|||nqs` ano a |a|| |n tne nunoer o| ou||o|nqs
unoer construct|on ano unsecureo transact|ons
ne va|ue o| tne quarantees cover|nq oeve|ooer
r|s| oaseo on uotooate aoora|sa|s |s 24:o
n||||on w|tn an averaqe |V o| oo wn|cn
eas||, covers tne oort|o||o va|ue ln aoo|t|on
tnere are soec|||c ano qener|c orov|s|ons
cover|nq 29 o| N|/s o|us suostanoaro
|noa|reo assets ano o| tne anount to
oe orov|s|oneo tne va|ue |n excess o| tne
quarantees a|ter aoo|,|nq tne requ|ator, cr|ter|a
tnat entereo |nto |orce w|tn C|rcu|ar :/2 o|
tne |an| o| 'oa|n` ||V/ a|so na|nta|neo a tota|
o| :2n |n rea| estate assets at qross ooo|
va|ue con|nq |ron |oans to tnese conoan|es
neasureo as tne net |nterest |ncone/// rat|o
at Net |ees ano conn|ss|ons at :92n
nave |a||en over tne oer|oo o, a|so |n
||ne w|tn reouceo oan||nq act|v|t, ano as a
resu|t o| |ncreas|nq custoner |o,a|t, tne area
nas reouceo |ees to an |ncreas|nq nunoer o|
custoners` ne qreater contr|out|on o| Nl |s
oue to tne oos|t|ve ous|ness oer|ornance |n
tne |ar|ets un|t ||na||, tne reouct|on |n tne
otner |ncone/exoenses |ten |s oas|ca||, tne
resu|t o| |ncreaseo contr|out|ons to tne Deoos|t
Cuarantee |uno /s a resu|t o| a|| tne aoove
gross income |s 9 aoove tne |eve| o| tne
|ourtn ouarter o| 2 at on
ln aoo|t|on operating expenses nave oeen
|eot |n cnec| ln tne ||rst ouarter o| 2 tne,
anounteo to n a ,earon,ear |ncrease
o| 2 s||qnt|, oe|ow tne oonest|c |eve| o|
|n||at|on out a |a|| over tne ouarter o| n|s
|s oue to tne oroact|ve neasures |no|enenteo
o, ||V/ w|tn |ts rans|ornat|on ||an o| 2o
two ,ears oe|ore tne treno oequn |n tne sector
as a wno|e
ln a|| tne operating income anounteo to
o2n wn|cn conoares ver, |avorao|, w|tn
tne |ourtn ano tn|ro ouarters o| 2 8n
ano 989n resoect|ve|,` /s a resu|t oeso|te
tne extrene|, o|||cu|t current econon|c
s|tuat|on tnat |s nav|nq c|ear|, neqat|ve e|ects
on tne countr,s ||nanc|a| s,sten tne ooerat|nq
|ncone qenerateo o, tne area |n 'oa|n
cont|nues to oe extrene|, res|stant n|s nas
a||oweo oruoent|a| cr|ter|a to oe na|nta|neo ano
aoo|t|ona| orov|s|ons to oe a||ocateo to |ncrease
tne oa|ance o| qener|c orov|s|ons nus
|noa|rnent |osses on ||nanc|a| assets |ncreaseo
o, 2n over tne ouarter to 422n
o sun uo revenues nave oeen n|qner tnan tne
orev|ous ouarter tnan|s to tne na|ntenance o|
Spain. Operating income
(Million euros)
1,238
1Q
1,162
2Q
989
3Q
851
4Q
2010
1,062
1Q
2011
14.2%
Spain. Net attributable profit
(Million euros)
714
1Q
651
2Q
515
3Q
374
4Q
2010
477
1Q
2011
33.3%
1041 1041 1041
1062
851
989
1162
1238
0
200
400
600
800
1,000
1,200
1,400
462 462 462
477
374
515
651
714
0
100
200
300
400
500
600
700
800
28 |us|ness areas
||V/ nas once nore |ncreaseo |ts residential
mortgage lending snare uo oos over
tne ouarter ano : oos over tne 2 nontns
accoro|nq to tne |atest ava||ao|e ||qures to
|eoruar,` n|s nas oeen ooosteo o, tne
oersona||zeo ano ||ex|o|e |one |urcnase
|oan wn|cn now nas nore assoc|ateo
aovantaqes New |oans anounteo to :n
w|tn ,|e|o uo o, 4 oas|s oo|nts over tne
ouarter uo o oas|s oo|nts over tne 2 nontns`
|anaqeo |oans |n res|oent|a| nortqaqes tnus
|ncreaseo o, 29 ,earon,ear to 89n
lt |s a oort|o||o w|tn a stao|e ano reouceo N|/
rat|o 29` ano a n|qn va|ue oue to |ts caoac|t,
to ou||o |o,a|t, lt w||| ta|e a |ew nontns oe|ore
tne r|se |n |nterest rates oeq|ns to oe re||ecteo |n
tne ,|e|o o| tn|s oort|o||o
||V/ |s |n a |eao|nq oos|t|on o, tne anount
o|str|outeo tnrouqn ICO finance facilities
nese orooert|es nave an averaqe coveraqe
rat|o o| :
Retail and Commercial Banking
n|s un|t |nc|uoes tne Reta|| Networ| w|tn
tne seqnents o| or|vate |no|v|oua| custoners
or|vate oan||nq sna|| conoan|es ano reta||er
seqnents |n tne oonest|c nar|et Coroorate
ano |us|ness |an||nq C||` wn|cn nano|es tne
neeos o| tne '||s coroorat|ons qovernnent
ano oeve|ooers |n tne oonest|c nar|et ano
otner ous|nesses anonq wn|cn are ||V/
'equros
/s o| :|ar2 tne loan book stooo at
9on a |a|| o| oare|, o over tne ouarter
over tne |ast 2 nontns` ne |o||ow|nq
are tne nost |noortant oo|nts |n tn|s resoect
Detail of real estate developers lending
|||||on euros`
31-03-11 % Weighting 31-12-10 % Weighting Absolute variation
W|tn co||atera| : 92 249 98 9o`
||n|sneo orooert|es o98 44 4: 44o 29
Construct|on |n oroqress : 8 :: 2: 2`
|ano 4:4 2o8 4: 2o :
W|tnout co||atera| ano otner 82 : :9 82 `
Total 16,235 100.0 16,608 100.0 (373)
Coverage of real estate developers exposure
|||||on euros at ::`
Risk amount
Shortfall over
collateral
(1)
Provision
% Coverage over
shortfall
% Coverage over
risk
N|| :2 24 8o: 24
'uostanoar 2:99 4 :4 : :
Cener|c orov|s|on 4
Total 5,924 2,286 1,717 75 29
` 'nort|a|| over uooateo co||atera| va|ues ano aoo|t|ona| na|rcut estao||sneo o, tne |an| o| 'oa|n requ|at|on
Foreclosures and asset purchases
|||||on euros at ::`
Gross amount Provision % Coverage Net amount
|ron rea| estate oeve|ooers :2 9 : 242
|ron Dwe|||nqs 98o 2: 24 49
Otner o4 :2 :2
Total 5,162 1,699 33 3,463
29 'oa|n
ano oens|ons nave won a tota| o| 4o new
custoner accounts 48oo oa,ro|| ano o2
oens|on accounts ln a|| tne oort|o||o stoc| o|
transact|ona| accounts nanaqeo anounts to
289 w|tn tne nar|et snare rena|n|nq at
9o s|nce /uqust 2 ln t|ne oeoos|ts tne
Crouo nas a custonercentr|c oo||c, o, wn|cn
custoners rece|ve o|qqer aovantaqes as tne,
|ncrease tne|r |o,a|t, |roqress cont|nueo |n tne
||rst ouarter o| 2 on new oeve|oonents |n
tne ||V/ NO oeoos|t w|tn new oroouct|on
o| on ne |onqertern ||V/ 8 oeoos|ts
were a|so |auncneo to w|n new custoners ano
accounts nese nave accunu|ateo a oa|ance
o| 442n ano orov|oe nore stao|||t, to tne
oeoos|ts qatnereo o, tne connerc|a| networ|
ln a|| tn|s ||ne o| act|on nas q|ven r|se to qrowtn
|n t|ne oeoos|ts o| 882n conoareo w|tn tne
c|ose o| Decenoer ano 4on |n tne |ast 2
nontns at an averaqe cost o| 8 oas|s oo|nts
oe|ow tne nar|et
Custoner |unos |n tne seqnent o| SMEs, large
companies and public and private institutions
|ncreaseo o, 28 ,earon,ear to 22o:8n
Cost o| oeoos|ts was o oas|s oo|nts oe|ow tne
averaqe |n tne sector n|s |s oue to tne n|qn
orooort|on o| current ano sav|nqs accounts ano
a or|ce o|er tnat |s ao,usteo to custoner neeos
ano tne|r |eve| o| |o,a|t,
BBVA Banca Privada |r|vate |an||nq` enoeo
tne ||rst ouarter o| 2 w|tn nanaqeo |unos |n
'oa|n o| :992:n 8 uo on tne sane oate
tne orev|ous ,ear lts custoner oase |ncreaseo
o, 9 ano |t |eot tne |eao|nq oos|t|on |n
'lC/Vs w|tn assets unoer nanaqenent
2988n` a snare o| 4 ano 294 conoan|es
nanaqeo
||na||, |n tne insurance ous|ness tne new ranqe
o| ||V/ re|unoao|e |nsurance |s a o|oneer|nq
|n|t|at|ve |n 'oa|n tnat returns tne anounts
o| oren|un oa|o to tnose |nsureo wn||e tne
|nsurance |s current ano rewaros tne |o,a|t,
o| custoners w|tn oa,ro|| accounts tnrouqn a
o|scount o| uo to 2 |n tne|r annua| oren|un
n|s |auncn nas |eo to an |ncrease o| 4 |n
wr|tten oren|uns over tne |ast 2 nontns as
we|| as a s|qn|||cant reouct|on |n cance||at|ons
oown o ,earon,ear` ne o|str|out|on o|
|nsurance ous|ness tnrouqn tne connerc|a|
networ|s nas naoe ||V/ 'equros tne nar|et
|eaoer |n |no|v|oua| |||e ano acc|oent |nsurance
oo||c|es w|tn a nar|et snare o| :2 o| wr|tten
oren|uns as o| :Dec2 at 484n uo 9
,earon,ear` n|s oos|t|ve treno |s oaseo on
|ncreaseo act|v|t, |n |nsurance sav|nqs scnenes
wn|cn nave contr|outeo oren|uns o| :2n uo
:9`
w|tn new |eno|nq o| 49n over tne ouarter
tnrouqn o9:2 transact|ons /nonq tne
new |ac|||t|es wortn nent|on|nq |n tn|s
resoect are tne Plan Avanza Dos Production
Cinematogrfica nov|e oroouct|on` ano
Sector Manufacturero tne nanu|actur|nq
sector`
||V/ cont|nues to oa, oart|cu|ar attent|on to
||nance |or tne seqnent o| tne
self-employed, retail trade, agricultural
communities and small businesses
lt conc|uoeo transact|ons to tne va|ue
o| 8o8n as o| tne c|ose o| |arcn ln
aoo|t|on |t |auncneo tne Plan Comercios |n
oroer to ou||o |o,a|t, |n tne reta|| seqnent
w|tn |eno|nq uo o, o to :on ano
tne Plan + Profesional wnose resu|ts are
new oro|ess|ona|s ano an |ncrease o|
on |n tne vo|une o| ous|ness / tota| o|
94:9 aoo||cat|ons nave oeen naoe |n tne
aqr|cu|tura| sector |n tne scooe o| tne ||an
Coooerat|vas |or a tota| o| 8n n|s ||qure
|s near|, tw|ce tnat |n tne ||rst ouarter o| 2
ne ||an |ranou|c|as nas |nvo|veo a new
aqreenent w|tn tne ||oas Crouo tne wor|o
|eaoer |n soeeo, necnan|ca| reoa|rs ||V/
a|so conso||oateo |ts |eao|nq oos|t|on |n tne
ous|ness seqnent w|tn qrowtn |n orooucts
sucn as |eas|nq uo 4: ,earon,ear`
|eas|nq |nc|uo|nq na|ntenance uo o` ano
accounts oa,ao|e ||nanc|nq uo o2`
ne oa|ance o| ||nance qranteo to SMEs,
large companies and public and private
institutions o, ||V/ was 898n as
o| :|ar2 924n as o|
:|ar2` ln qenera| tne ||qure nas
rena|neo stao|e w|tn tne nost notao|e
|actor oe|nq oos|t|ve or|ce nanaqenent |,
seqnent tnere nas oeen a notao|e |ncrease
|n ||nance so|ut|ons |or ouo||c |nst|tut|ons
ano |arqe conoan|es /nonq tnese
oetween !anuar, ano |arcn nave oeen
transact|ons w|tn tne Deoutat|on o| /raqon
tne autononous req|on o| |aor|o ano tne
autononous req|on o| tne |a|ear|c ls|anos |or
a tota| o| 2on as we|| as a |oan to Va||aoo||o
/|ta Ve|oc|oao tne n|qnsoeeo ra|| ||n| |or
8n
|anaqeo custoner funds nave oeen ver,
stao|e over tne ouarter ano tota|eo 442o9n
as o| :|ar2 an |ncrease o| o conoareo
w|tn tne sane oate tne orev|ous ,ear Custoner
oeoos|ts oer|orneo oart|cu|ar|, we|| tnan|s
to tne strenqtn o| t|ne oeoos|ts ln a nar|et
|eatur|nq a n|qn |eve| o| conoet|t|on |or
attract|nq |owercost |unos |n tne individuals
seqnent tne oronot|ons |or oa,ro|| accounts
: |us|ness areas
nus tne oos|t|ve nanaqenent o| vo|unes
ano tne or|ces o| assets ano ||ao|||t|es nave |eo
to stao|||zat|on |n tne net |nterest |ncone at
9n ano tnus a s|owoown |n |ts ouarter|, |a||
28 conoareo w|tn o as o| :Dec2
ano 2 as o| :'eo2` ne o|str|out|on
o| nore |nsurance stao|||t, |n tne vo|une o|
nutua| |unos unoer nanaqenent |eaoersn|o |n
oens|on |unos ano a oos|t|ve treno |n |ees ano
otner |ncone |n tne |nst|tut|ona| ano coroorate
seqnent nas a|so ne|oeo to na|t tne |a|||nq treno
o| tne otner revenues |n tne un|t /s a resu|t
tne gross income |or tne ouarter anounteo to
:89n 2 oown on tne |ourtn ouarter o|
2 |owever oecause ooerat|nq exoenses
|e|| tne ooerat|nq |ncone |ncreaseo o, 4
|n tne sane oer|oo to 92n tnus a||ow|nq
nore qener|c orov|s|ons to oe naoe ne net
attributable profit tota|eo 28n s|ow|nq |ts
ouarter|, |a|| o conoareo w|tn 29: |n
tne orev|ous ouarter`
Wholesale Banking & Asset
Management
n|s un|t nanaqes tne ous|ness w|tn |arqe
coroorat|ons ano nu|t|nat|ona| qrouos |n
tne oonest|c nar|et tnrouqn Coroorate ano
lnvestnent |an||nq ano tne act|v|t, o| |ar|ets
|n tne sane qeoqraon|ca| area w|tn tne|r trao|nq
||oor ous|ness ano o|str|out|on lt |s a custoner
oase w|tn o|vers|||eo ous|ness ano n|qn casn
||ows |ron otner countr|es ||V/ |s ao|e to
o|er a |u|| ranqe o| orooucts ano serv|ces ano
suooort tnrouqn |ts extens|ve |nternat|ona|
oresence
ne managed loan-book exc|uo|nq reoos` was
::8n as o| :|ar2 : unoer tne
||qure |or :Dec2 oue to tne strateq, o|
|ocus|nq on tnose custoners w|tn tne n|qnest
|eve|s o| |o,a|t, oro||tao|||t, ano creo|t oua||t,
lt was a|so a|ecteo o, tne qenera| treno |or
nore restr|cteo act|v|t, lt |s wortn n|qn||qnt|nq
tnat |t |s a oort|o||o w|tn a |ow N|/ |eve| ano
|ow orov|s|on|nq neeos Customer funds enoeo
tne ouarter at 224on a ouarter|, |ncrease o|
2 uo :: ,earon,ear` na|n|, as a resu|t
o| tne n|qn |eve|s o| new |uno qatner|nq
n|s nas a oos|t|ve e|ect on tne un|ts recurrent
revenues net |nterest |ncone o|us |ees` wn|cn
stano at 24n |or tne ouarter aoove tne
||qure req|stereo |n tne tnree orev|ous ouarters
ln aoo|t|on tne exce||ent ous|ness |n |ar|ets
nas ooosteo Nl to 2:n Gross income tnus
|ncreaseo o, over tne ||rst ouarter o| 2
ano nore tnan oouo|eo tne ||qure |or tne |ourtn
ouarter o| |ast ,ear |xoenses cont|nue w|tn tne
qrowtn treno starteo |n orev|ous ouarters as a
resu|t o| |nvestnents na|n|, |n s,stens ano tne
oeve|oonent ano exoans|on o| |ar|ets act|v|t,
/s a resu|t tne operating income was 2n
uo 24 ,earon,ear ano nore tnan tnree
t|nes tne ||qure |or tne orev|ous ouarter wn||e
tne net attributable profit was 9n uo 4
,earon,ear`
: |uras|a
|uras|a
Income statement
|||||on euros`
Eurasia
1Q11 % 1Q10
Net interest income 104 28.6 81
Net |ees ano conn|ss|ons o: 24 o
Net trao|nq |ncone : :` :
Otner |ncone/exoenses :9 28 o
Gross income 337 47.0 230
Ooerat|nq costs 88` 29 `
|ersonne| exoenses :` 9o 44`
Cenera| ano aon|n|strat|ve exoenses :` 422 22`
Deorec|at|on ano anort|zat|on ` 4`
Operating income 249 56.4 159
lnoa|rnent on ||nanc|a| assets net` 29` 2 8`
|rov|s|ons net` ano otner qa|ns |osses` o nn 2`
Income before tax 226 51.3 149
lncone tax 28` 2 2o`
Net income 198 60.6 123
Noncontro|||nq |nterests `
Net attributable profit 198 60.0 124
Balance sheet
|||||on euros`
Eurasia
31-03-11 % 31-03-10
Casn ano oa|ances w|tn centra| oan|s 44 ` 48
||nanc|a| assets o9 9 49:o
|oans ano rece|vao|es :o 44 2o8:
|oans ano aovances to custoners :229 : 2:4::
|oans ano aovances to creo|t |nst|tut|ons ano otner :842 22
lnterarea oos|t|ons 24 94` 88
anq|o|e assets 49 o2: ::8
Otner assets 9o2 oo8 :o
Total assets/Liabilities and equity 56,915 12.1 50,754
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons 94 2 9
Deoos|ts |ron custoners 28 ` 28:24
Deot cert|||cates o2 nn
'uooro|nateo ||ao|||t|es 89 4: 24
lnterarea oos|t|ons
||nanc|a| ||ao|||t|es ne|o |or trao|nq 2 292` :o
Otner ||ao|||t|es 24 28 oo
|conon|c cao|ta| a||ocateo 4:9 98 228
:2 |us|ness areas
n|s area covers ||V/s act|v|t, |n |urooe
exc|uo|nq 'oa|n` ano /s|a ln otner woros |t
|nc|uoes ||V/ |ortuqa| Consuner ||nance lta|,
ano |ortuqa| tne reta|| ous|ness o| orancnes |n
|ar|s |onoon ano |russe|s |n 2 tnese were
reoorteo |n 'oa|n ano |ortuqa|` ano W|c/|
act|v|t, Coroorate ano lnvestnent |an||nq
|ar|ets ano CNC|` w|tn|n tn|s qeoqraon|ca|
area lt a|so |nc|uoes tne Crouos no|o|nq |n
Carant|
lt |s an area w|tn a qrow|nq contr|out|on |n terns
o| ootn earn|nqs ano tne oa|ance sneet ln tne
first quarter of 2011 |uras|a qenerateo :
o| tne net attr|outao|e oro||t |ron tne ous|ness
areas 2 o| tne Crouos oro||t` ano accounteo
|or o| ||V/s tota| assets
W|tn resoect to tne vo|une o| ous|ness
gross lending to customers as o| :|ar2
anounteo to :294n lts |ncrease o| :8
,earon,ear ano : ouarteronouarter |s tne
resu|t o| tne recent |ncoroorat|on o| ||V/s sta|e
|n Carant| |xc|uo|nq tne ur||sn oan| |eno|nq
was ver, stao|e ano rena|neo oract|ca||, at
tne sane |eve|s as a ,ear aqo oue to tne |a||
|n q|ooa| ous|ness at tne sane t|ne reta|| ano
connerc|a| oan||nq req|stereo a ,earon,ear
qrowtn o| 4 uo 2 over tne ouarter`
Customer funds qrew o, :o over tne ouarter
to 24n |xc|uo|nq Carant| tne, |e|| o, o
oue na|n|, to tne |eve| o| q|ooa| ous|ness |n
|urooe
ln terns o| earnings |uras|a qenerateo 98n
o| net attr|outao|e oro||t over tne ouarter
Carant|s snare |n tn|s ||qure |s st||| s||qnt as |ts
||nanc|a| statenents were |ncoroorateo |nto tne
Crouo |n |arcn lts contr|out|on w||| tnus oeq|n
to oe nore s|qn|||cant over tne con|nq
ouarters Net |nterest |ncone uo 28o
,earon,ear` ano |ees uo 24` oer|orneo
we|| aqa|nst a oac|qrouno o| restr|cteo |eno|nq
w|tn tne contr|out|on o| Wno|esa|e |an||nq c
/sset |anaqenent oe|nq oart|cu|ar|, |noortant
|n tn|s resoect /s a resu|t ano cono|neo w|tn
tne s|qn|||cant contr|out|on |ron |ncone o,
tne eou|t, netnoo |ron CNC| qross |ncone
|ncreaseo o, 4 ,earon,ear to ::n
Ooerat|nq exoenses anounteo to 88n ano
ousneo ooerat|nq |ncone to 249n
uo o4` O| tn|s ||qure |s a||ocateo |or
|oan|oss orov|s|ons so tne net attr|outao|e oro||t
|ncreaseo o, o over tne |ast twe|ve nontns
O| tne aoove earn|nqs 8o are |ron Asia
ano |nc|uoe tne contr|out|on |ron CNC| Over
tne ||rst ouarter o| 2 tn|s contr|out|on nas
Significant ratios
|ercentaqe`
Eurasia
31-03-11 31-12-10 31-03-10
|||c|enc, rat|o 2o2 2: :o
N|/ rat|o 2 9
N|/ coveraqe rat|o : 4 84
R|s| oren|un 4 :8 :
Eurasia. Operating income
(Million euros)
159
1Q
199
2Q
170
3Q
257
4Q
2010
249
1Q
2011
+56.4%
Eurasia. Net attributable profit
(Million euros)
124
1Q
147
2Q
147
3Q
169
4Q
2010
198
1Q
2011
+60.0%
249 249 249 249
257
170
199
159
0
50
100
150
200
250
300
198 198 198 198
169
147 147
124
0
20
40
60
80
100
120
140
160
180
200
Eurasia highlights in the first quarter
Crow|nq contr|out|on |ron tne strateq|c
no|o|nq |n Cn|na ano |ron tne wno|esa|e
ous|ness |n |urooe
lncreaseo ous|ness act|v|t, |n ootn
qeoqraon|ca| req|ons
lncoroorat|on o| Carant| o, tne orooort|ona|
conso||oat|on netnoo
:: |uras|a
oeen extrene|, s|qn|||cant conoareo w|tn tne
sane oer|oo tne orev|ous ,ear |or two reasons
||rst oecause tne exerc|se o| tne aoo|t|ona|
ourcnase oot|on |or CNC| was naoe e|ect|ve |n
tne secono ouarter o| 2 /or|| ` ano secono
oecause o| tne areas exce||ent oer|ornance
ln oart|cu|ar |t |s wortn not|nq tne s|qn|||cant
qrowtn o| ous|ness |n CNC| /t tne c|ose o|
Decenoer 2 |ts |oan ooo| was uo 8o
ano custoner oeoos|ts uo 29 w|tn earn|nqs
aoove nar|et exoectat|ons 2 earn|nqs were
2 aoove tnose |or 29`
/s o| |arcn 22 ||V/ executeo tne acou|s|t|on
o| 249 o| Garanti tne |eao|nq oan| |n ur|e,
n|s |s an exce||ent |rancn|se w|tn 98 n||||on
custoners a networ| o| 8: orancnes ano
over : /|s ne resu|ts |or 2 snow
a recoro oro||t w|tn a ,earon,ear qrowtn o|
: n|qn qrowtn |n ous|ness ano cont|nuous
|norovenent |n creo|t oua||t, Carant| |s a|so a
ver, so|vent oan| w|tn souno cao|ta| rat|os ano
|ow |everaqe n|s outs |t |n a or|v||eqeo oos|t|on
|or cont|nueo stronq |uture qrowtn
ln terns o| tne conoos|t|on o| |ts oa|ance sneet
|oans ano aovances to custoners anount
to o4 o| tne tota| ano are tne notor o| |ts
ous|ness On tne ||ao|||t|es s|oe |t nas a ver,
o|vers|||eo oase o| sources o| ||nance w|tn 8o
|ron custoner oeoos|ts
Carant| nas oeen conso||oateo |nto tne ||V/
Crouo us|nq tne orooort|ona| conso||oat|on
netnoo lt contr|outes assets o| o o||||on w|tn
|eno|nq ano custoner oeoos|ts o| 89 o||||on
eacn ano a oro||t o| 2n s|nce tne oate o| |ts
acou|s|t|on to tne eno o| tne nontn
Garanti. Significant data
31-12-10
Financial statements (million euros)
/ttr|outao|e oro||t
ota| assets oo9
|oans to custoners :4:4
Deoos|ts |ron custoners :o8o9
Relevant ratios (%)
|||c|enc, rat|o 444
N|/ rat|o :
Other information
Nunoer o| eno|o,ees oo
Nunoer o| orancnes 8:
Nunoer o| /|s ::
Garanti. Composition of assets and lending portfolio
(March 2011)
Garanti. Composition of liabilities
(March 2011)
Cash and banks 12.5%
Credit cards 11.4%
Securities 27.1%
Corporate 19.3%
Consumer 18.1%
SME 12.6%
Commercial 38.6%
Composition of assets Lending portfolio
Other 4.0% Loan to customers
56.4%
Shareholders equity 13.0%
Deposits from customers
58.6%
Other 6.2%
Fund borrowed 15.4%
Repo obligations 5.4%
Deposits from banks 1.4%
:4 |us|ness areas
|ex|co
Income statement
|||||on euros`
Units:
Mexico Banking business Pensions and Insurance
1Q11 % %
(1)
1Q10 1Q11 % %
(1)
1Q10 1Q11 % %
(1)
1Q10
Net interest income 967 12.4 5.1 860 948 12.6 5.2 842 17 (3.2) (9.5) 17
Net |ees ano conn|ss|ons 299 o8 2` 28 282 oo :` 2o 4 2:` 8` 4
Net trao|nq |ncone 2 2 : 9 94 4: :4: oo 2o 44` 44:` 44
Otner |ncone/exoenses :o 2: :9 :2` o:` 28` :8` 99 24o o 8
Gross income 1,437 11.6 4.3 1,288 1,294 14.0 6.5 1,135 156 0.7 (5.9) 155
Ooerat|nq costs 2` o 88 448` 49` 9: 4` 42` 22 2: :`
|ersonne| exoenses 2:` 9 4 2o` 2` 2 4o 88` 9` : 4 `
Cenera| ano aon|n|strat|ve
exoenses 2oo` 9 2 22:` 24` 244 o: 24` 22` 29 2 `
Deorec|at|on ano anort|zat|on 2o` :o 2 9` 2` :4 284 8` ` : : `
Operating income 916 9.0 1.8 840 804 11.0 3.7 724 114 (5.0) (11.2) 120
lnoa|rnent on ||nanc|a| assets net` :` o4` 2` ::` :` o4` 2` ::`
|rov|s|ons net` ano otner qa|ns
|osses` ` :8` o8` 24` ` o` 9` 24` ` nn nn
Income before tax 595 22.5 14.5 485 484 30.8 22.3 370 113 (5.4) (11.6) 120
lncone tax 8` o :8` 2o` 242 o 2` :2` ` o9` :`
Net income 436 25.5 17.3 348 357 33.4 24.6 268 81 (2.9) (9.3) 83
Noncontro|||nq |nterests ` ` ` ` 2o: 8 ` ` :2` `
Net attributable profit 436 25.5 17.3 347 357 33.4 24.6 268 80 (2.9) (9.2) 83
` /t constant excnanqe rate
Balance sheet
|||||on euros`
Units:
Mexico Banking business Pensions and Insurance
31-03-11 % %
(1)
31-03-10 31-03-11 % %
(1)
31-03-10 31-03-11 % %
(1)
31-03-10
Casn ano oa|ances w|tn centra|
oan|s 4 2` o` o4 4 2` o` o4
||nanc|a| assets 2: :` : 2o4 28o8 2` 9` 24 49:9 : 2 449
|oans ano rece|vao|es 42 2o 28 ::882 42:9 28 28 ::o8o :84 4o 484 2o:
|oans ano aovances to
custoners :49 24 42 :o :42 22 4 :94 224 o9 8 ::
|oans ano aovances to creo|t
|nst|tut|ons ano otner 84 o 82 282 oo 9 842 24 9 22o 24o :
anq|o|e assets 8o4 o 8: 8 8 oo 8: 84 8` 8
Otner assets 9: 499` 49` 82 2:2 8o 2o 2 8 9: 98 9
Total assets/Liabilities and equity 75,451 10.4 12.2 68,312 71,891 12.2 14.1 64,050 5,514 13.9 15.7 4,843
Deoos|ts |ron centra| oan|s ano
creo|t |nst|tut|ons :8o9 44 42 98 :8o9 44 42 98
Deoos|ts |ron custoners :o9 : 9 :44: :o94 2 9 :4482
Deot cert|||cates : o9 8 :24 : o9 8 :24
'uooro|nateo ||ao|||t|es 2o4 22 24 o :8 9 9:o 988
||nanc|a| ||ao|||t|es ne|o |or trao|nq 444 ` 4` 24 444 ` 4` 24
Otner ||ao|||t|es 2 : : :49 9o 2` 2` o2 8 9 :8 4o2
|conon|c cao|ta| a||ocateo :99 : 48 ::o: :44 8 :: ::o 4: o8 28
` /t constant excnanqe rate
: |ex|co
n|s area conor|ses tne oan||nq oens|ons ano
|nsurance ous|ness conoucteo |n |ex|co o, tne
||V/ |anconer ||nanc|a| Crouo nere|na|ter
||V/ |anconer`
/t tne start o| 2 tne Mexican economy nas
cont|nueo on |ts qrowtn oatn tnat nas ta|en |t
to CD| rates n|qner tnan tnose oe|ore tne 29
cr|s|s ne susta|neo strenqtn o| |ore|qn oenano
|avorao|e cono|t|ons |or ||nance ano a |aoor
nar|et tnat cont|nues to create ,oos a|| ,ust||,
orosoects |or qrowtn o| 4 |n 2 nere cou|o
oe uowaro oressure on |n||at|on as a resu|t o|
|ncreaseo or|ces o| o|| ano otner connoo|t|es
/qa|nst tn|s oac|oroo o| |ncreaseo oenano
ano qreater costs tne Centra| |an| o| |ex|co
|anx|co` cou|o oeq|n to |ncrease |nterest rates
at tne eno o| 2 ano even c|ose tne ,ear at
near|, 4 |n /or|| 2` |anx|cos creo|o|||t,
|n nonetar, oo||c, nanaqenent ano severa|
nacroeconon|c oo||c|es oes|qneo |or stao|||t,
w||| orevent tne orocess o| |ncreas|nq rates |ron
reacn|nq tne oea|s recoroeo |n tne orev|ous
c,c|e
ln terns o| tne exchange rate tne aounoance
o| qrouo ||ou|o|t, ano tne c,c||ca| nonent
o| tne |ex|can econon, nave enao|eo tne
aoorec|at|on aqa|nst tne oo||ar to oe na|nta|neo
wn|cn as a resu|t o| tne ' currenc,s course
nas oeen |ower aqa|nst tne euro ln |act tne
|ex|can oeso nas oeorec|ateo |n tne |ast
twe|ve nontns tnouqn |n averaqe terns |ts
aoorec|at|on nas cont|nueo ln a|| tne |noact
o| tne currenc, over tne |ast ,ear |s oos|t|ve |n
earn|nqs out neqat|ve on tne oa|ance sneet ano
vo|une o| ous|ness /s |s stanoaro connents
reqaro|nq tne oercent cnanqe are exoresseo |n
terns o| constant excnanqe rates ne ||qures
w|tn ano w|tnout tne currenc, e|ect are snown
|n tne enc|oseo tao|es
ln tne ||rst ouarter o| 2 tne area oresenteo
so||o earn|nqs ne net |nterest |ncone reacneo
9on w|tn ,earon,ear qrowtn o| wn|cn
was ooosteo or|nar||, o, tne qreater vo|unes
o| |eno|nq ano custoner |unos ln aoo|t|on tne
oroqress o| Nl ano revenues |ron |nsurance
act|v|t|es nas o|set tne reouceo contr|out|on o|
certa|n ||nes o| |ees ano conn|ss|ons exo|a|neo
|n oart o, tne requ|ator, noo|||cat|ons tnat
too| e|ect |n !anuar, 2` nus gross income
c|oseo tne ouarter at 4:n uo 4: on tne
sane oer|oo |n 2
Significant ratios
|ercentaqe`
Mexico
31-03-11 31-12-10 31-03-10
|||c|enc, rat|o :o: :4o :48
N|/ rat|o :2 :2 4
N|/ coveraqe rat|o :o 2 :
R|s| oren|un :4: :o 4:4
Mexico highlights in the first
quarter
'tronq ous|ness act|v|t,
Recoro qross |ncone
R|s| stao|||t,
|anconer success|u||, cono|etes tne |arqest
oeot |ssue ever o, a |at|n /ner|can oan|
Mexico. Operating income
(Million euros at constant exchange rate)
899
1Q
930
2Q
922
3Q
897
4Q
2010
916
1Q
2011
+1.8%
(1)
Mexico. Net attributable profit
(Million euros at constant exchange rate)
371
1Q
442
2Q
457
3Q
461
4Q
2010
436
1Q
2011
+17.3%
(1)
(1) At current exchange rate: +25.5%.
884 884 884
916
897
922 930
899
0
100
200
300
400
500
600
700
800
900
1.000
454
436 436 436
461 457
442
371
0
50
100
150
200
250
300
350
400
450
500
(1) At current exchange rate: +9.0%.
:o |us|ness areas
ous|nesses at 289n wn|cn qrew at a
,earon,ear rate o| o ln tne ||rst ouarter
o| tne ,ear ||V/ |anconer |auncneo a new
oroouct ca||eo |anconer net casn wn|cn
orov|oes a q|ooa| e|ectron|c oan||nq so|ut|on |or
coroorate c||ents ous|nesses ano qovernnents
as |t |nteqrates var|ous so|ut|ons oes|qneo to
strean||ne aon|n|strat|ve tas|s oa,nents ano
co||ect|ons ano tne casn ||ows o| tnese c||ents
ne consumer portfolio |nc|uo|nq creo|t caros
nas snown a c|ear recover, w|tn 2 qrowtn
w|tn resoect to tne c|ose o| :|ar2 ano
reacneo 28n n|s nas ensureo tnat tne
,o|nt nar|et snare consuner ||nance ano creo|t
caros` nas r|sen o, nore tnan : oas|s oo|nts
|n tne |ast twe|ve nontns
Mortgage loans exc|uo|nq tne o|o nortqaqe
oort|o||o cont|nueo to oresent susta|neo qrowtn
/t tne c|ose o| |arcn 2 a sun o| 82n
was recoroeo nar||nq a ,earon,ear |ncrease
o| 82 |or 2 ||V/ |anconer exoects to
o|ace |oans to |no|v|oua| custoners |n
oartnersn|o w|tn |OVl'''| tne |nst|tut|on
orov|o|nq res|oent|a| |oans to c|v|| servants`
ln tne ||rst tnree nontns o| tne ,ear ||V/
|anconer nas a|reao, qranteo :8 |oans
to |no|v|oua| custoners n|s neans tnat tne
oan| |s st||| qrant|nq one o| ever, tnree new
nortqaqes on tne nar|et
Customer funds |nc|uo|nq oan| oeoos|ts reoos
nutua| |unos ano |nvestnent conoan|es qrew
o, on :|ar2 to :9on ne|r
conoos|t|on |s wortn nent|on|nq as |t cont|nues
to oe ver, oro||tao|e 44 are |n |owcost |unos
current ano sav|nqs accounts` |n t|ne
oeoos|ts |n reoos ano :: |n |nvestnent
conoan|es ano otner o|oa|ancesneet |unos
Denano |unos |n tne ouarter |ncreaseo tnan|s
|n sone oart to tne Internet Mvil Gratis
canoa|qn anonq '||s wn|cn attracteo nore
tnan 4n |ron 24 custoners |ne
oeoos|ts anounteo to 88n at tne c|ose o|
tne ||rst ouarter o| 2 a ver, s|n||ar ||qure to
tnat at :Dec2
ln of-balance-sheet funds tne assets nanaqeo
o, |nvestnent conoan|es oresenteo a
,earon,ear qrowtn o| 2: to 9n ||V/
|anconer nas oeen recoqn|zeo |or tne |||tn ,ear
as one o| tne nost outstano|nq nanaqers |n tne
|ex|can nar|et |n 2 o, |uno |ro ano |at|n
/sset oue to tne oos|t|ve oer|ornance o| |ts
nutua| |unos lt |s a|so |noortant to nent|on tnat
tne oan| nas one o| tne nost extens|ve ranqes
o| nat|ona| ano |nternat|ona| nutua| |unos on
tne |ex|can nar|et
||V/ |anconer cont|nues to ta|e aovantaqe
o| tne oooortun|t|es oresenteo o, tne |ex|can
nar|et tnrouqn tne oeve|oonent o| |ts 'trateq|c
Crowtn ||an wn|cn was |auncneo |n |arcn
2 n|s ||an reoresents a s|qn|||cant e|ort
|n |nvestnent |n |n|rastructure ano |s oas|ca||,
tne reason |or tne 88 ,earon,ear |ncrease o|
ooerat|nq exoenses to 2n nus |n tne |ast 2
nontns tne /| networ| nas qrown to o99
un|ts o: as o| |arcn 2`
ne a|orenent|oneo oer|ornance o| earn|nqs
ano exoenses nas |eo to an operating income
o| 9on a 8 |ncrease on tne sane oer|oo
|ast ,ear
ne |noroveo o,nan|sn o| tne |oanooo| nas
oeen acconoan|eo o, an |norovenent |n tne
asset quality |no|cators nus |noa|rnent |osses
on ||nanc|a| assets |e|| oac| 2 ,earon,ear
to :n n|s oos|t|ve oroqress |noroveo tne
r|s| oren|un aqa|n o, 22 oas|s oo|nts to c|ose
:|ar2 at :4: ln aoo|t|on tne N|/ rat|o
rena|ns at :2 wn||e tne coveraqe rat|o nas
|a||en to :o 2 as o| :Dec2` n|s
reouct|on |s oue to tne ear|, tern|nat|on o| tne
|eoera| Covernnents Punto Final oroqran |n
!anuar, 2 ne oroqran orov|oeo suooort
|or nortqaqe oeotors a|ecteo o, tne 994
cr|s|s tnrouqn o|scounts qranteo o, tne |eoera|
Covernnent ano oan|s ne aoo||cat|on o|
a o|scount o, tne |eoera| Covernnent |s
reoa,ao|e |n eoua| anounts over ,ears
wn||e tne o|scount corresoono|nq to ||V/
|anconer reoresents a reouct|on |n tne reserves
assoc|ateo w|tn tne o|scount ne resu|t o| tn|s
nas oeen a |a|| |n tne oa|ances o| tne nous|nq
oort|o||o o| tne tota| outstano|nq oort|o||o
as o| :Dec2` w|tn |ts resoect|ve assoc|ateo
|ncone
/s a resu|t ||V/ |anconer nas qenerateo a
,earon,ear qrowtn |n |ts net attributable profit
o| : ano c|oseo tne ouarter at 4:on
Banking business
ln tne ||rst ouarter o| 2 |anconer recoroeo
a ver, oos|t|ve oer|ornance o| |ts connerc|a|
act|v|t, wn|cn was re||ecteo |n a ,earon,ear
qrowtn o| tne loan-book o| 28 to :o::2n
|, seqnents tne commercial portfolio wn|cn
|nc|uoes |eno|nq to tne qovernnent coroorate
c||ents sna|| ano neo|un enteror|ses ano
n|croenteror|ses reacneo 8o9n uo
2 on :|ar2 |art|cu|ar|, notewortn,
|s tne oos|t|ve oer|ornance o| |oans to sna||
: |ex|co
||na||, ||V/ |anconers exce||ent capital
oos|t|on snou|o a|so oe n|qn||qnteo as |t
recoroeo a so||o cao|ta| aoeouac, rat|o o|
8 as o| :|ar2 /s oart o| |ts act|ve
nanaqenent o| tne oa|ance sneet ||V/
|anconer nas success|u||, naoe two oeot
|ssues |n tne ouarter on tne |nternat|ona| cao|ta|
nar|ets |at|n /ner|ca n|teo 'tates n|teo
||nqoon ano /s|a` |or 2 o||||on ' oo||ars 2
n||||on oo||ars |n ,ear cao|ta| notes ano
n||||on |n sen|or ,ear notes n|s |s tne o|qqest
ooerat|on |n n|stor, to oe carr|eo out o, a
oan| |n |at|n /ner|ca ano oetween |nst|tut|ons
ooerat|nq |n enerq|nq nar|ets ne aoove |s a
c|ear re||ect|on o| |nvestors con||oence |n tne
ous|ness oer|ornance ano exoectat|ons |or
||V/ |anconer
Pensions and Insurance
ln tne ||rst ouarter o| 2 tne oens|on
ano |nsurance ous|ness contr|outeo a net
attributable profit o| 8n wn|cn |s 92
|ess tnan |n tne sane oer|oo o| 2 n|s was
oue oas|ca||, to tne |ower net trao|nq |ncone
qenerateo |n conoar|son w|tn tne orev|ous ,ear
a ,ear |n wn|cn |t was exceot|ona||, n|qn
ln tne pension sector /|ore |anconer
oresenteo a oos|t|ve ouarter |n terns o| |ts
connerc|a| var|ao|es nus at tne c|ose o|
|arcn tne tota| |unos unoer nanaqenent were
2 uo ,earon,ear to 2:on wn||e tne
rece|ots |or tne ouarter were uo o n|s nas
ooosteo |ees wn|cn were uo on tne ||rst
ouarter o| 2 |owever as w|tn tne sector as a
wno|e tne n|qn |eve| o| vo|at|||t, |n tne ||nanc|a|
nar|ets tnrouqnout tne ouarter nas nao a
ver, neqat|ve e|ect on Nl /s a resu|t /|ore
|anconer contr|outeo a net attr|outao|e oro||t
o| n
ne insurance business qenerateo a net
attr|outao|e oro||t o| on 8 oown on
tne ||rst ouarter o| 2 n|s |s na|n|, oue
to tne extraoro|nar, |ncone |nc|uoeo |n tne
||rst ouarter o| |ast ,ear oue to a noo|||cat|on
o| tne va|uat|on o| tne reserves o| tne auto
orancn W|tnout tn|s extraoro|nar, |ten tne
,earon,ear qrowtn wou|o oe o lt |s a|so
wortn n|qn||qnt|nq tne oos|t|ve oer|ornance
o| connerc|a| act|v|t, /n exano|e o| tn|s |s
tne notao|e |auncn o| tne nass Autoseguro
canoa|qn oes|qneo to ooost tne sa|e o|
orooucts o| tne auto orancn so|o tnrouqn tne
orancn networ| ln aoo|t|on tne /|ternat|ve
Cnanne|s Deoartnent nas na|nta|neo |ts
oos|t|ve qrowtn treno o, se|||nq 228
oo||c|es over tne ouarter uo 2 on tne ||qure
|or tne ||rst ouarter o| 2` tnrouqn externa|
cnanne|s
:8 |us|ness areas
'outn /ner|ca
Income statement
|||||on euros`
Units:
South America Banking business Pensions and Insurance
1Q11 % %
(1)
1Q10 1Q11 % %
(1)
1Q10 1Q11 % %
(1)
1Q10
Net interest income 694 24.9 23.5 556 682 25.1 23.7 545 12 7.3 4.8 11
Net |ees ano conn|ss|ons 2: 2 : 2o 8 82 2 o 29 4: o
Net trao|nq |ncone 2 8 8 84 o 8 2 2 9` :` 2
Otner |ncone/exoenses 4` 944 2 2` 8:` 48 ` 4: oo o8 :
Gross income 1,106 18.4 16.4 934 954 19.7 18.3 797 156 9.1 4.5 143
Ooerat|nq costs 4o` 2o8 2: :o8` 4` 28 2oo :4` o2` 4 2 4`
|ersonne| exoenses 2:8` 242 22 92` 2:` 242 229 o:` :` 4 o4 2`
Cenera| ano aon|n|strat|ve
exoenses 94` :2 288 49` o` :29 :8 24` :` oo : 2o`
Deorec|at|on ano anort|zat|on :` 2o 28 2` ::` 29 2: 2o` 2` 49 :48 `
Operating income 639 12.8 10.7 566 553 14.4 12.9 484 95 6.2 1.1 89
lnoa|rnent on ||nanc|a| assets net` 2` 2 9 ` 2` 2 9 `
|rov|s|ons net` ano otner qa|ns
|osses` ` 8 :` :` o o4 ` 2` :2` :24` 4`
Income before tax 503 12.8 10.9 446 420 14.9 13.9 366 92 7.8 2.5 86
lncone tax 84` 4` o` 99` o9` 9` ` o` 8` 9` 2` 22`
Net income 419 20.6 18.5 348 351 21.1 20.2 290 74 16.6 10.0 64
Noncontro|||nq |nterests :9` 29 2o 4` 2` 29 28 9o` 8` 9` 8`
Net attributable profit 280 19.9 17.5 233 230 18.7 17.5 194 56 22.9 16.2 46
` /t constant excnanqe rate
Balance sheet
|||||on euros`
Units:
South America Banking business Pensions and Insurance
31-03-11 % %
(1)
31-03-10 31-03-11 % %
(1)
31-03-10 31-03-11 % %
(1)
31-03-10
Casn ano oa|ances w|tn centra|
oan|s : : 422 94 : : 422 94
||nanc|a| assets 888 8` 2 888: o998 2` 24` :8 o8 22: 2
|oans ano rece|vao|es :::4: 2:8 2oo 2o94 :2 2:: 2o 2o48 o 4` o` o
|oans ano aovances to
custoners 2999 248 2o 2:9oo 294 249 2o 2:8o 8 98 24 o2
|oans ano aovances to creo|t
|nst|tut|ons ano otner :4:4 4 88 29 282 8o 8 2o2 :8: 22` 24` 494
anq|o|e assets o 8 8 99 9 oo :o : `
Otner assets 2o 44` :` 29 9 2: 29 : 4` :` 4:
Total assets/Liabilities and equity 51,855 18.6 21.8 43,715 48,795 18.8 21.9 41,084 2,517 7.0 11.2 2,352
Deoos|ts |ron centra| oan|s ano
creo|t |nst|tut|ons 4: o: : 2888 42 o 288 4 :` 24` o
Deoos|ts |ron custoners :29o 4 8: 2848 :: 4o 82 288o
Deot cert|||cates 9 8 o 9 8 o
'uooro|nateo ||ao|||t|es 48 8 8 2:4 o 4o2 4o :o
||nanc|a| ||ao|||t|es ne|o |or trao|nq 2 : 9 2 2 : 9 2
Otner ||ao|||t|es : 24o 29 o2o 4 2 28 449 2 2 4 828
|conon|c cao|ta| a||ocateo 2o: 2 :4 2:2 22 :4 o8 8 498 :o` 4
` /t constant excnanqe rate
:9 'outn /ner|ca
ne 'outn /ner|ca area o| tne ||V/ Crouo
nanaqes tne oan||nq oens|on ano |nsurance
ous|nesses |n tne countr|es o| tne req|on ne
||rst ouarter ||qures |nc|uoe Creo|t ruqua,
an ent|t, acou|reo at tne eno o| 2 tnat w|||
oe nerq|nq w|tn ||V/ ruqua, next ouarter`
wn|cn a|ects tnouqn |ns|qn|||cant|, tne qrowtn
rates ano ||nanc|a| statenents |or tne area
ln tne ||rst tnree nontns o| 2 tne
macroeconomic context rena|neo ver, oos|t|ve
|n tne ent|re req|on tnan|s to tne ooost |ron
|nterna| oenano w|tn a qrow|nq ro|e o| ||xeo
cao|ta| |nvestnent ano |ore|qn o|rect |nvestnent
nus tne |orecasteo qrowtn o| tne req|ona| CD|
|or 2 rose to 4 wn|cn was a|so |n||uenceo
o, tne strenqtn o| tne |ore|qn traoe |no|cators /
|ess oos|t|ve asoect tnat snou|o oe nent|oneo |s
tnat tne strenqtn o| oonest|c oenano toqetner
w|tn r|s|nq |ue| ano |ooo costs |s tr|qqer|nq an
|ncrease |n tne |n||at|on exoectat|ons |or tne
ent|re area n|s nas |eo nonetar, autnor|t|es to
resune tne course o| |nterest rate n||es
|urtnernore tne exchange rates o| tne req|ons
currenc|es nave oeorec|ateo w|tn reqaro to
2 |n terns o| ootn ||na| ano averaqe rates
w|tn tne exceot|on o| tne Cn||ean oeso wn|cn
aoorec|ateo |n averaqe terns` |owever |n
tne |ast ,ear |ts e|ect nas oeen oos|t|ve on
earn|nqs tne Cn||ean ano Co|ono|an oesos ano
tne |eruv|an nuevo so| nave aoorec|ateo` out
neqat|ve on tne oa|ance sneet on|, tne Cn||ean
oeso aoorec|ateo` /s usua| tne attacneo tao|es
|nc|uoe co|unns w|tn tne ,earon,ear cnanqes
at constant excnanqe rates to wn|cn tne
|o||ow|nq connents re|er
ne cont|nueo oos|t|ve econon|c c||nate |avors
act|v|t, |n tne ||nanc|a| sector |n ||ne w|tn wnat
nas oeen ooserveo |n recent ouarters w|tn an
act|ve oart|c|oat|on o, tne o||erent un|ts |n tne
area nus tne loan book |or 'outn /ner|ca at
tne eno o| |arcn reacneo ::o n||||on |or
a ,earon,ear |ncrease o| 2 ano recoroeo
a nar|et snare qa|n o| 4 oas|s oo|nts w|tn
oata |ron |eoruar, tne |atest ava||ao|e` /s |s
oecon|nq tne norn tne |ncrease |n |eno|nq was
acconoan|eo o, an |ncrease |n customer funds
sucn tnat a|| un|ts na|nta|neo con|ortao|e |eve|s
o| ||ou|o|t, tne oeoos|t/|oan rat|o o| tne oan|s
enoeo tne ouarter at 44` O| tne custoner
|unos nanaqeo o, tne oan|s :84o: n||||on
|nc|uo|nq nutua| |unos o8 nore tnan |n
|arcn 2` tne oer|ornance o| |owercost
orooucts current ano sav|nqs accounts` was
(1) At current exchange rate: +12.8%.
South America. Operating income
(Million euros at constant exchange rate)
577
1Q
470
2Q
514
3Q
524
4Q
2010
639
1Q
2011
+10.7%
(1)
South America. Net attributable profit
(Million euros at constant exchange rate)
238
1Q
211
2Q
235
3Q
189
4Q
2010
280
1Q
2011
+17.5%
(1)
(1) At current exchange rate: +19.9%.
639 639 639 639
524
514
470
577
0
100
200
300
400
500
600
700
280 280 280 280
189
235
211
238
0
50
100
150
200
250
300
Significant ratios
|ercentaqe`
South America
31-03-11 31-12-10 31-03-10
|||c|enc, rat|o 422 4:9 :94
N|/ rat|o 2 2 28
N|/ coveraqe rat|o :4 : :2
R|s| oren|un 2
South America highlights in the first
quarter
'tronq ous|ness act|v|t,
|ar|et snare qa|ns |n tne na|n neao|nqs
|xce||ent resu|ts
ne oest r|s| |no|cators |n tne ||V/ Crouo
4 |us|ness areas
ln Chile ||V/ ano |orun cont|nueo |ocus|nq tne|r strateq,
on tne |ncrease o| tne we|qnt o| tne reta|| ous|ness wn|cn nas
trans|ateo |nto s|qn|||cant qrowtn o| consuner |eno|nq |nc|uo|nq
creo|t caros` ano nortqaqe |eno|nq w|tn|n a ,earon,ear |ncrease
o| 4 o| a|| |oans ano a nar|et snare qa|n o| 4 oas|s oo|nts
as o| |eoruar, nere was a|so |avorao|e oroqress |n |owcost
|unos current ano sav|nqs accounts` wn|cn |ncreaseo 2 n|s
|ncrease |n act|v|t, |s o|a,|nq a oec|s|ve ro|e on tne |ncrease o| tne
net |nterest |ncone uo :4 ,earon,ear` ano o| conn|ss|ons
uo 42` tnat rena|n oart|a||, tarn|sneo o, tne oecrease o| tne
net trao|nq |ncone ver, oos|t|ve |n tne ||rst ouarter o| 2 oue
to qa|ns |ron tne sa|e o| tne secur|t|es oort|o||o` |urtnernore
exoenses were |n||uenceo o, tne exoans|on oro,ects nore
orancnes |n tne |ast 2 nontns` ano a c|ear nooerat|on o|
orov|s|ons oown 4` s|tuateo tne net attr|outao|e oro||t |or tne
ouarter at :2 n||||on uo o4`
ln Colombia ||V/ nas acce|erateo tne rate o| qrowtn o| |ts
ous|ness w|tn custoners ano reacneo a ,earon,ear |ncrease o|
22 |n |eno|nq w|tn e|evateo |ncreases |n a|| nooa||t|es ano a
nar|et snare qa|n o| :8 oas|s oo|nts as o| |eoruar,` ano o| o2
|n custoner |unos ooosteo o, current ano sav|nqs accounts uo
24 w|tn :o nore oas|s oo|nts |n nar|et snare` |urtnernore
tnere was a ver, |avorao|e vo|une e|ect on tne net |nterest
|ncone tnat nevertne|ess rena|neo a|ecteo o, a n|qn oownwaro
oressure on soreaos |n tne ent|re sector /|so wortn nent|on
was tne qooo oer|ornance o| |ees ano conn|ss|ons uo o`
wn||e tne net trao|nq |ncone conoareo ooor|, w|tn tne n|qn
||qure |n 2 ne course o| exoenses |n tne ouarter uo o`
was neqat|ve|, a|ecteo o, tne |noact o| tne tax on ||nanc|a|
transact|ons tnat o|o not aoo|, to ||V/ |n 2` wn||e orov|s|ons
oown 29` oene||teo |ron tne oownwaro treno o|
nonoer|orn|nq assets oown :` Conseouent|, tne net
attr|outao|e oro||t |or ||V/ Co|ono|a reacneo :8 n||||on
ln Peru ||V/ |anco Cont|nenta|s exoans|on o|ans are orov|nq
oene||c|a| tnrouqn tne|r e|evateo |ncrease |n act|v|t, |eno|nq was
uo 9: ,earon,ear w|tn 4 oas|s oo|nts nore o| nar|et snare
as o| |eoruar,` w|tn a notewortn, ro|e o| tne |no|v|oua|s ano '||
nooa||t|es |eanwn||e custoner |unos were uo 8 w|tn a 2o
|ncrease |n tne current ano sav|nqs accounts Conseouent|, tne
ent|t,s recurr|nq revenues net |nterest |ncone ano conn|ss|ons`
oresenteo ,earon,ear qrowtn o| ne exoenses |nc|uoe
tne e|ect o| tne exoans|on oro,ects |auncneo o nore orancnes
|n tne |ast 2 nontns` wn||e orov|s|ons are oown notao|, |n ||ne
w|tn tne course o| tne nonoer|orn|nq assets ne net attr|outao|e
oro||t |or tne ouarter c|oseo at : n||||on uo 24 ,earon,ear`
Deso|te tne un|avorao|e course o| tne Venezue|an econon, BBVA
Provincial na|nta|neo an exce||ent rate o| oroqress |n |ts ous|ness
nus |eno|nq was uo 4: ,earon,ear w|tn s|qn|||cant |ncreases
|n a|| seqnents ano a nar|et snare qa|n o| 2 oas|s oo|nts as
o| |eoruar, wn||e custoner |unos were uo :: tnan|s to tne
transact|ona| nooa||t|es uo :o` n|s ooosteo tne net |nterest
|ncone uo 4` ano |ees ano conn|ss|ons |ncone uo 49`
ne net trao|nq |ncone |nc|uoes tne e|ect o| tne reva|uat|on o|
oart o| tne ent|t,s ' oo||ar oos|t|ons tne rest was reva|uateo
|n 2` ne n|qn |eve| o| |n||at|on cont|nues to neqat|ve|, a|ect
exoenses wn||e orov|s|ons |nc|uoe qreater orevent|ve qener|c
esoec|a||, notewortn, w|tn a ,earon,ear qrowtn o| 2o:
|os|t|ve oroqress was a|so recoroeo |or |unos nanaqeo o, tne
oens|on |uno nanaqers |n tne area wn|cn reacneo 49o9
n||||on uo 44`
/s |n orev|ous ouarters tne ne|qnteneo conoet|t|ve oressure |n
tne req|on ano tne |noact o| tne |nterest rate |ncrease orocess
cont|nueo to ||n|t tne course o| tne soreaos |owever tne ev|oent
|ncrease |n act|v|t, cont|nueo to o|set tnat e|ect ano tne net
|nterest |ncone |n tne area was uo 2: ano c|oseo tne ouarter
at o94 n||||on ne |ncreaseo act|v|t, a|so exo|a|ns tne r|se |n |ees
ano conn|ss|ons wn|cn current|, stano at 2: n||||on uo :`
Net trao|nq |ncone |or tne ouarter at 2 n||||on |nc|uoeo as
|n tne ||rst ouarter o| 2` tne e|ect o| tne reva|uat|on o| ||V/
|rov|nc|a|s ' oo||ar oos|t|ons Gross income |or tne ouarter
reacneo o n||||on uo o4 on tne sane oer|oo |n 2
ne otner |ncone/exoenses |tens |nc|uoe tne ao,ustnent |or
n,oer|n||at|on |n Venezue|a wn|cn nas oeen nore neqat|ve |n tn|s
ouarter tnan |n tne ||rst ouarter o| 2
ne areas exoenses 4o n||||on |n tne ouarter nave oeen ver,
nucn |n||uenceo o, tne exoans|on ano o||erent|at|on oro,ects
|auncneo o, tne na,or|t, o| tne un|ts oeso|te wn|cn tne ouarter|,
e||c|enc, rat|o rena|neo ver, oos|t|ve 422` wn||e tne operating
income c|oseo at o:9 n||||on nar||nq a ,earon,ear |ncrease o|

ln ||ne w|tn tne treno starteo |n 2 tne areas assets oua||t,

|noroveo |n tne ouarter ano tne NPA ratio c|oseo at 2 ano
coveraqe at :4 lnoa|rnent |osses on ||nanc|a| assets 2
n||||on was uo 9 ,earon,ear oue or|nar||, to tne qener|c
orov|s|ons ||n|eo to tne |ncrease o| tne oa|ance o| |eno|nq |n
recent nontns
o sunnar|ze revenues cont|nue to qrow steao||, ne, ousneo
tne net attributable profit uo to 28n uo ,earon,ear`
tnus a|so ne|o|nq ||nance exoans|on oro,ects tnat w||| ensure tne
qrowtn o| |uture earn|nqs |n tne area
Banking business
ne oan||nq ous|ness qenerateo a net attr|outao|e oro||t o| 2:
n||||on uo on tne ||qure |or tne orev|ous ,ear ne nost
s|qn|||cant asoects |or eacn o| tne ent|t|es are oeta||eo oe|ow
ln Argentina ||V/ |rances na|nta|neo tne orev|ous ,ears
ouo,anc, |n |ts act|v|t, over tne ||rst nontns o| 2 nus |eno|nq
was uo 29 ,earon,ear w|tn oroqress |n a|| nooa||t|es ano a
,earon,ear nar|et snare qa|n o| oas|s oo|nts as o| |eoruar,
|eanwn||e custoner |unos |ncreaseo 294 ano were qreat|,
|n||uenceo o, tne current ano sav|nqs accounts uo 2o9`
ne oos|t|ve oer|ornance o| ous|ness w|tn custoners ooosteo
revenues as |s re||ecteo |n tne 4 ,earon,ear qrowtn o|
tne qross |ncone |urtnernore exoenses were a|ecteo o, tne
countr,s |eve| o| |n||at|on ano tne exoans|on o|an aoooteo o, tne
un|t wn||e tne orov|s|ons rena|neo nooerate w|tn a r|s| oren|un
o| 2` Conseouent|, tne net attr|outao|e oro||t reacneo :
n||||on uo 2o ,earon,ear`
4 'outn /ner|ca
var|ao|es w|tn qrowtn |n co||ect|ons ano an
: |ncrease |n |ts |unos unoer nanaqenent
|urtnernore AFP Horizonte de Colombia
qenerateo a net attr|outao|e oro||t o| : n||||on
wn||e AFP Horizonte de Per contr|outeo 2
n||||on |n ootn cases oeso|te tne neqat|ve e|ect
o| tne course o| tne nar|ets on tne net trao|nq
|ncone
ln terns o| insurance Cruoo Conso||oar
/rqent|na` recoroeo a net attr|outao|e oro||t
o| n||||on w|tn a s|qn|||cant |ncrease |n
connerc|a| var|ao|es |n oart|cu|ar |n tne
oren|uns wr|tten uo :` n|s nas nao a
ver, oos|t|ve e||ect on tne |eve| o| revenues
wn|cn was acconoan|eo o, a nooerate
|eve| o| c|a|ns ne stronq oroqress o| tne
|nsurance ous|ness |n Cn||e |s a|so wortn, o|
nent|on w|tn a net attr|outao|e oro||t o|
n||||on 4 n||||on |n tne ||rst ouarter o| 2`
||na||, Co|ono|a contr|outeo 2 n||||on ano
Venezue|a : n||||on
orov|s|ons ne net attr|outao|e oro||t |or tne
ouarter tota|eo n||||on uo :94`
||na||, tne oro||t |or BBVA Panama reacneo
n||||on BBVA Paraguay stooo at n||||on ano
BBVA Uruguay was at n||||on |nc|uo|nq tne
contr|out|on o| Creo|t ruqua,`
Pensions and Insurance
ne net attr|outao|e oro||t |or tne ouarter rose
to o n||||on uo o2` o| wn|cn 2o n||||on
corresoono to tne pension business ano :
n||||on to tne insurance business
ln Cn||e AFP Provida qenerateo a net
attr|outao|e oro||t o| 22 n||||on oeso|te tne
neqat|ve e|ect o| tne oer|ornance o| tne
nar|ets on tne net trao|nq |ncone |or tne
ouarter ln tnese ||rst nontns o| 2 |rov|oa
na|nta|neo tne o,nan|sn o| |ts ous|ness
South America. Data per country (banking business, pensions and insurance)
|||||on euros`
Operating income Net attributable profit
Country 1Q11 %
% at constant
exchange rate 1Q10 1Q11 %
% at constant
exchange rate 1Q10
/rqent|na 8 o 8 48 29 : :
Cn||e : o 2` 2: o 2o :4 8
Co|ono|a o4` 2` 9: 44 : :2` 4:
|eru 4 8` 9` 2 :2 2 o` :
Venezue|a 2 :8 o : : :2 :8
Otner countr|es
`
2 8 o8 2 8 94 9
Total 639 12.8 10.7 566 280 19.9 17.5 233
` |anana |araqua, ruqua, |o||v|a ano |cuaoor /oo|t|ona||, |t |nc|uoes e||n|nat|ons ano otner cnarqes
42 |us|ness areas
Income statement
|||||on euros`
The United States
1Q11 % %
(1)
1Q10
Net interest income 402 (8.1) (8.6) 437
Net |ees ano conn|ss|ons ::` :` o
Net trao|nq |ncone o4 o o 2
Otner |ncone/exoenses ` o o:: `
Gross income 604 (1.3) (1.9) 612
Ooerat|nq costs :` 49 4 :`
|ersonne| exoenses 99` 2 : `
Cenera| ano aon|n|strat|ve exoenses :2` 4 ` :2`
Deorec|at|on ano anort|zat|on 44` 9` ` 48`
Operating income 229 (10.1) (10.3) 255
lnoa|rnent on ||nanc|a| assets net` ` ::o` :42` o`
|rov|s|ons net` ano otner qa|ns |osses` 8` 289` 29o` `
Income before tax 114 38.9 40.8 82
lncone tax ::` 2: 2o8 2o`
Net income 81 45.2 47.5 56
Noncontro|||nq |nterests 2oo 2:2
Net attributable profit 81 45.2 47.5 56
` /t constant excnanqe rate
Balance sheet
|||||on euros`
The United States
31-03-11 % %
(1)
31-03-10
Casn ano oa|ances w|tn centra| oan|s 48:4 88 9:9 :4
||nanc|a| assets 89 ` o` 822
|oans ano rece|vao|es :o: o:` 8` 4:44
|oans ano aovances to custoners :4 ` ` 428
|oans ano aovances to creo|t |nst|tut|ons ano otner :: :9:` :o` 2o:
lnterarea oos|t|ons 9 9` 94` 2o
anq|o|e assets 4o 9` :4 o
Otner assets 2249 :` ` 2
Total assets/Liabilities and equity 52,481 (36.1) (32.7) 82,165
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons 49 89` 4` o844
Deoos|ts |ron custoners :9:9 49` :` ooo9
Deot cert|||cates :: :99` :o`
'uooro|nateo ||ao|||t|es : 9` 48` 88
lnterarea oos|t|ons
||nanc|a| ||ao|||t|es ne|o |or trao|nq :8 2: 8o 22:
Otner ||ao|||t|es :o :` ` :o
|conon|c cao|ta| a||ocateo 2:9 4` 9` :9
` /t constant excnanqe rate
ne n|teo 'tates
4: ne n|teo 'tates
n|s area enconoasses tne Crouos ous|ness |n
tne n|teo 'tates ano |n tne Connonwea|tn o|
|uerto R|co
ne |atest ' economic indicators snow
qrowtn |s cont|nu|nq to recover w|tn rea|
GDP exoecteo to qrow at arouno : |n 2
tnan|s to tne oos|t|ve contr|out|on |ron or|vate
consunot|on ano |ore|qn oenano n|s |s
oeso|te tne tenoorar, wea| qrowtn |n tne ||rst
ouarter ano tne |ncrease |n o|| or|ces
ln tne ||rst ouarter o| 2 tnere nave oeen
oos|t|ve s|qns |n tne |noex o| ous|ness
con||oence ano sone oata on tne |aoor nar|et
sucn as net ,oo creat|on ano tne uneno|o,nent
rate wn|cn c|oseo |arcn at 88 |owever
tne |norovenent |n tne |aoor nar|et |s st|||
wea| ano |n tne snort tern |t na, oe a|ecteo
o, |ncreaseo o|| or|ces ne o|| or|ce nas a|so
a|ecteo inflation a|tnouqn tne r|se |s exoecteo
to oe s||qnt ano rena|n |n cnec| ne rea| estate
nar|et cont|nues wea| w|tn reneweo |a||s |n
nous|nq starts ano sa|es o| ex|st|nq nones
ne ouant|tat|ve eas|nq oroqran |no|enenteo
o, tne |eoera| Reserve |eo` at tne eno o| 2
|s exoecteo to exo|re |n !une 2 q|ven tne
|orecasts o| econon|c qrowtn ano a conta|neo
uoturn |n |n||at|on |n tne countr, nus tne |eo
|s not exoecteo to na|e an, cnanqes to o||c|a|
interest rates unt|| |arcn 22
ln terns o| tne exchange rate tne oo||ar/
euro rate nas oeorec|ateo ootn over tne |ast
2 nontns ano over tne ouarter ano 9
resoect|ve|,` ano c|oseo :|ar2 at 42
oo||ars to tne euro n|s |s nav|nq a neqat|ve
|noact on tne oa|ance sneet ano ous|ness
act|v|t, |n tne area |owever |n terns o| averaqe
excnanqe rates tne |noact |s oos|t|ve on
earn|nqs over tne |ast ,ear w|tn an aoorec|at|on
o| to : oo||ars to tne euro a|tnouqn |t
|s neqat|ve |or tne ouarter` /s |s norna||, tne
case tne ||qures oe|ow are q|ven at constant
excnanqe rates un|ess |no|cateo otnerw|se ano
ootn scenar|os can oe seen |n tne ao,o|n|nq
tao|es
Gross lending to customers |n tne area
cont|nues to |a|| as exo|a|neo |n orev|ous
ouarters as a resu|t o| tne cnanqe |n tne n|x
towaros |tens w|tn |ower assoc|ateo r|s| ne
ouarter c|oseo at :oon a ,earon,ear |a||
Significant ratios
|ercentaqe`
The United States
31-03-11 31-12-10 31-03-10
|||c|enc, rat|o o2 9 84
N|/ rat|o 4 44 44
N|/ coveraqe rat|o o4 o o
R|s| oren|un 4 o9 o
The United States. Operating income
(Million euros at constant exchange rate)
255
1Q
277
2Q
263
3Q
203
4Q
2010
229
1Q
2011
The United States. Net attributable profit
(Million euros at constant exchange rate)
55
1Q
81
2Q
79
3Q
15
4Q
2010
81
1Q
2011
+47.5%
(1)
209 209 209
229
203
263
277
255
0
50
100
150
200
250
300
150
15 15
81
15
79
81
55
0
20
40
60
80
100
120
140
160
(1) At current exchange rate: 10.1%.
10.3%
(1)
(1) At current exchange rate: +45.2%.
The United States highlights in the first
quarter
|os|t|ve s|qns |n ous|ness act|v|t, w|tn qraoua|
|norovenent o| tne oort|o||o n|x
lnoroveo custoner soreao
'trenqtn o| tne net attr|outao|e oro||t
Reouct|on o| tne r|s| oren|un ano |ncreaseo
coveraqe
44 |us|ness areas
BBVA Compass Banking Group
||V/ Conoass reoresents aoorox|nate|, o|
assets ano 8 o| earn|nqs |n tne n|teo 'tates
lt qarners tne reta|| ano connerc|a| oan||nq
ous|ness |n tne countr, exc|uo|nq |uerto R|co`
/s o| :|ar2 tne loan book was oown
on tne c|ose o| 2 ano 4 ,earon,ear to
299n ne na|n reason |or tn|s nas oeen
tne |a|| |n |oans |n construct|on rea| estate wn|cn
were oown 44 ,earon,ear ano 22 over
tne ouarter |owever tnere was a s|qn|||cant
aovance |n nortqaqes |n res|oent|a| rea| estate
wn|cn were uo :84 ,earon,ear ano o over
tne ouarter lt |s |noortant to note tnat |n tne
||rst tnree nontns o| 2 a tota| o| 98 n||||on
oo||ars o| new res|oent|a| nortqaqes nave oeen
wr|tten 22 nore tnan |n tne |ourtn ouarter o|
2 ano :: nore tnan |n tne sane oer|oo
tne orev|ous ,ear ln a|| tne res|oent|a| nortqaqe
oort|o||o reoresents 224 o| tne tota| ||V/
Conoass |oan ooo| as o| :|ar2 conoareo
w|tn 8 a ,ear ear||er ln contrast construct|on
rea| estate |eno|nq nas |a||en to 2 |ron 98
|n |arcn 2
Customer deposits |ncreaseo o, 2: over tne
ouarter to :o2on as a resu|t o| tne |ncrease
|n |owercost |unos sucn as current accounts
wn|cn were uo o, 4 ano now reoresent
o| a|| tne un|ts |unos conoareo w|tn o9 a
,ear ear||er
ne qraoua| cnanqe |n tne n|x o| tne |oan
oort|o||o |s tnus oart|, o|set o, tne |ncreaseo
orooort|on o| |owercost oeoos|ts ano tne un|ts
na|ntenance o| w|oe soreaos ln tn|s resoect
s||qnt|, unoer tnat o| tne orev|ous ouarter oown
conoareo to |n tne |ourtn ouarter
o| 2` ano 28 oown on tne ||qure at tne
c|ose o| 2 Customer deposits stoooeo
tne|r ouarter|, |a|| ano na|nta|neo a ||qure ver,
s|n||ar to tnat o| :Dec2 at :8n
|owever tn|s anount st||| reoresents a
,earon,ear |a|| o| :8
|arn|nqs |n tne area nave oer|orneo we||
conoareo w|tn tne |ourtn ouarter o| 2 Gross
income anounteo to o4n 4 uo on tne
orev|ous ouarter oown 9
,earon,ear` ne na|n reasons oen|no tn|s
treno are tne res|||ence o| net |nterest |ncone
tnan|s to a na|ntenance o| custoner soreaos
w|tn|n a context o| a cnanq|nq n|x towaros
|owerr|s| ano |owersoreao oort|o||os tne
oos|t|ve treno |n |ees over tne ouarter uo
2o` ano tne exce||ent oer|ornance o| Nl /||
tn|s cono|neo w|tn a restr|ct|on o| ooerat|nq
exoenses oown o on tne orev|ous ouarter`
ooosteo tne operating income to 229n
uo 28 |n tne ||rst tnree nontns o| 2 ln
aoo|t|on tne qraoua| evo|ut|on |n tne asset
oua||t, |n tne area exo|a|ns tne reouct|on
o| 4o9 |n |noa|rnent |osses on ||nanc|a|
assets oown :42 ,earon,ear` ano tnus tne
|noroveo net attributable profit o| 8n n
as o| :Dec2 ano n as o| :|ar2`
lt |s wortn n|qn||qnt|nq tnat tne |ower orov|s|ons
nave not nao a neqat|ve e|ect on tne coverage
ratio |n tne n|teo 'tates wn|cn |ncreaseo to
o4 at tne c|ose o| |arcn 2 o as o|
:Dec2` ne r|s| oren|un a|so |noroveo
s|qn|||cant|, |a|||nq oas|s oo|nts to 4
||na||, tne N|/ rat|o |ncreaseo o, on|, oas|s
oo|nts ano c|oseo tne ouarter at 4 44 at
tne c|ose o| 2`
Interest bearing accounts
48.8
Commercial
real estate
20.5
Residential
real estate
15.8
BBVA Compass Banking Group. Loan mix
(Percentage)
Commercial
25.6
BBVA Compass Banking Group. Deposit mix
(Percentage)
Construction real estate 19.8
Consumer 18.3
Commercial real estate 20.5
March 2010 March 2011
Residential real estate 22.4
Commercial 30.0
Construction
real estate 11.2
Consumer 16.0
Time deposits
30.1
Non interest bearing
accounts 23.8
Interest bearing accounts
46.1
March 2010 March 2011
Time deposits 24.4
Non interest
bearing
accounts
26.7
Average
cost of
deposits
0.75
Average
cost of
deposits
0.54
4 ne n|teo 'tates
|e|ow are tne n|qn||qnts o| eacn o| tne un|ts
na||nq uo ||V/ Conoass
/s o| :|ar2 Commercial Banking tne un|t
tnat nano|es ous|ness w|tn '||s nanaqeo a
|oan oort|o||o o| 222n uo :8 ,earon,ear`
ano custoner oeoos|ts o| 9424n uo 2`
n|s nas oeen tne resu|t o| tne reouct|on |n
||nance |or construct|on rea| estate
Retail Banking nas a vo|une o| |oans o|
82:n uo 49` ne reouct|on |n tne auto
oea|er ano stuoent |oan oort|o||os nas oeen
nore tnan o|set o, an |ncrease |n res|oent|a|
nortqaqes Custoner |unos |ncreaseo o, 49
to 999:n
|ast|, tne Wealth Management un|t nas a |oan
oort|o||o o| 944n oeoos|ts o| :8n ano
assets unoer nanaqenent o| 429n
tne ,|e|o on |oans nas oare|, |a||en o, one oas|s
oo|nt over tne ouarter to 44o ano tne cost o|
oeoos|ts nas |a||en o, : oas|s oo|nts to 4
/s a resu|t tne custoner soreao nas |noroveo
over tne ouarter o, 2 oas|s oo|nts to :92
ne aoove exo|a|ns tne n|qn |eve| o| res|||ence
o| net |nterest |ncone over tne ouarter wn|cn
nas rena|neo at s|n||ar |eve|s to tnose o| tne
|ourtn ouarter o| 2 at :n ne |noroveo
oer|ornance o| otner |ncone conoareo w|tn
tne orev|ous ouarter nas resu|teo |n gross
income oe|nq 4 uo at n /s a resu|t w|tn
ooerat|nq exoenses oe|nq |eot |n cnec| oown
on tne ouarter` operating income |ncreaseo
o, o over tne |ast ouarter o| 2 to 8n
||na||, net attributable profit anounteo to o:n
n|s conoares ver, |avorao|, w|tn tne on as o|
:Dec2 ano 2on as o| :|ar2 tnan|s
to a s|qn|||cant reouct|on |n |noa|rnent |osses on
||nanc|a| assets anount|nq to 29
ouarteronouarter ano :o2 ,earon,ear
4o |us|ness areas
Coroorate /ct|v|t|es
Income statement
|||||on euros`
Corporate Activities
1Q11 % 1Q10
Net interest income (102) n.m. 148
Net |ees ano conn|ss|ons 4` 9` 4`
Net trao|nq |ncone o: 222` 2
Otner |ncone/exoenses 2` 2 2`
Gross income 12 (96.0) 308
Ooerat|nq costs 22` 99 84`
|ersonne| exoenses 22` 8 4`
Cenera| ano aon|n|strat|ve exoenses o` :` 9`
Deorec|at|on ano anort|zat|on o:` 2:: `
Operating income (190) n.m. 125
lnoa|rnent on ||nanc|a| assets net` :` 8` 282`
|rov|s|ons net` ano otner qa|ns |osses` 22` 492 `
Income before tax (450) 46.0 (308)
lncone tax 29 8
Net income (321) 35.6 (237)
Noncontro|||nq |nterests nn 2
Net attributable profit (322) 37.1 (235)
Balance sheet
|||||on euros`
Corporate Activities
31-03-11 % 31-03-10
Casn ano oa|ances w|tn centra| oan|s 98 :2 :9
||nanc|a| assets 298:o o` :28
|oans ano rece|vao|es :48` nn 8:`
|oans ano aovances to custoners 2` nn 248`
|oans ano aovances to creo|t |nst|tut|ons ano otner 4o` 88 o`
lnterarea oos|t|ons 8:9` 8` 4:9`
anq|o|e assets : 9 :22
Otner assets 88 22: 4o
Total assets/liabilities and equity 39,733 n.m. 9,180
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons ::` nn 889o
Deoos|ts |ron custoners 2o nn 24
Deot cert|||cates 8 2` 928
'uooro|nateo ||ao|||t|es o2: 94` o9
lnterarea oos|t|ons o` :` :99`
||nanc|a| ||ao|||t|es ne|o |or trao|nq :9` o4` 4:`
Otner ||ao|||t|es 49:9` 8:4 2o9:`
Va|uat|on ao,ustnents 8:` nn 2
'nareno|oers |unos :o9 294 28oo
|conon|c cao|ta| a||ocateo 2298` 2oo`
4 Coroorate /ct|v|t|es
n|s aqqreqate |nc|uoes a|| tnose act|v|t|es not |nc|uoeo |n tne
ous|ness areas nese are oas|ca||, tne costs o| tne neaoouarters
w|tn str|ct|, coroorate |unct|ons certa|n a||ocat|ons to orov|s|ons
sucn as ear|, ret|renents ano otners a|so o| a coroorate nature
lt a|so |nc|uoes tne assets ano ||ao|||t|es oer|veo |ron tne
nanaqenent o| structura| ||ou|o|t, |nterestrate ano excnanqe
rate r|s|s o, tne /sset/||ao|||t, |anaqenent un|t as we|| as tne|r
|noact on earn|nqs tnat are not recoqn|zeo |n tne ous|ness areas
v|a trans|er or|c|nq ||na||, |t |nc|uoes certa|n oort|o||os ano assets
w|tn tne|r corresoono|nq resu|ts wnose nanaqenent |s not ||n|eo
to custoner re|at|ons sucn as |o|o|nqs |n lnoustr|a| ano ||nanc|a|
Conoan|es ano Rea| |state |anaqenent
ln tne ||rst ouarter o| 2 tne net |nterest |ncone |ron Coroorate
/ct|v|t|es cane to 2n conoareo w|tn 48n |n tne sane
oer|oo |ast ,ear` /s exo|a|neo |n orev|ous ouarters tn|s |s tne
resu|t o| tne eno o| tne reor|c|nq orocess |or nortqaqe |oans
|o||ow|nq tne |a|| |n |nterest rates |n 29 ano tne current r|se |n
tne |nterestrate curve |n tne euro area ne aoove toqetner w|tn
Nl o| o:n wn|cn conoares neqat|ve|, w|tn tne n|qn ||qure |or
tne ||rst ouarter o| 2 resu|t|nq |ron tne cao|ta| qa|ns |ron tne
oort|o||o useo to nanaqe structura| |nterest rate r|s| resu|teo |n
gross income o| 2n :8n |n tne sane oer|oo tne orev|ous
,ear` Ooerat|nq exoenses anount to 22n conoareo w|tn
tne 84n |n tne ||rst tnree nontns o| 2 n|s |s tne resu|t o|
tne new |nvestnents oe|nq naoe |n |n|rastructures oas|ca||,
tecnno|oq|es ano tne new coroorate neaoouarters |n |aor|o` ln
a|| tne operating income accunu|ateo to |arcn was 9n
2n 2 nontns aqo`
lnoa|rnent |osses on ||nanc|a| assets anounteo to :n |ar
oe|ow tne ||qure o| 282n |n tne ||rst ouarter o| 2 wn|cn was
tne resu|t o| qreater qener|c orov|s|ons naoe tnrouqnout tne
||rst na|| o| 2 as a conseouence o| tne n|qn ooerat|nq |ncone
qenerateo ln aoo|t|on orov|s|ons net` ano otner qa|ns |osses`
|ncreaseo to 22n n|s oas|ca||, |nc|uoes tne orov|s|ons |or
ear|, ret|renents ano tne wr|teoowns |or acou|reo ano |orec|oseo
assets /s a resu|t tne net attributable profit |or tne oer|oo was
:22n 2:n |n !anuar,|arcn o| 2`
Asset/Liability Management
ne /sset/||ao|||t, |anaqenent un|t |s resoons|o|e |or act|ve|,
nanaq|nq structura| |nterestrate ano |ore|qn excnanqe oos|t|ons
as we|| as tne Crouos overa|| ||ou|o|t, ano cao|ta|
Liquidity management ne|os to ||nance tne recurrent qrowtn
o| tne oan||nq ous|ness at su|tao|e natur|t|es ano costs us|nq
a w|oe ranqe o| |nstrunents tnat orov|oe access to a |arqe
nunoer o| a|ternat|ve sources o| ||nance / core or|nc|o|e |n
tne ||V/ Crouos ||ou|o|t, nanaqenent cont|nues to oe to
encouraqe tne ||nanc|a| |noeoenoence o| |ts oan||nq suos|o|ar|es
|n tne /ner|cas n|s a|ns to ensure tnat tne cost o| ||ou|o|t, |s
correct|, re||ecteo |n or|ce |ornat|on ano susta|nao|e qrowtn |n
tne |eno|nq ous|ness ln tne ||rst ouarter o| 2 tne wno|esa|e
|onqtern ano snorttern ||nanc|nq nar|ets nave rena|neo
oos|t|ve as a resu|t o| an |noroveo r|s| oerceot|on |n oer|onera|
|urooean countr|es tne na,or oroqress naoe |n econon|c
|ssues |n |urooe ano tne restructur|nq o| tne ||nanc|a| sector
|n 'oa|n ||V/ nas not on|, ooerateo oer|ect|, norna||, |n tn|s
env|ronnent out was tne ||rst oan| to nove |nto tne ||ou|o|t,
nar|et |n !anuar, 2 w|tn a new |ssue o| nortqaqecovereo
oonos ano a vo|une o| |onqtern ||nance tnat nas ano|,
covereo exo|r|nq natur|t|es ne aoove toqetner w|tn tne
|avorao|e oeve|oonent o| tne we|qnt o| reta|| oeoos|ts |n tne
oa|ance sneet structure |n a|| tne qeoqraon|ca| areas cont|nues
to enao|e tne Crouo to strenqtnen |ts ||ou|o|t, oos|t|on W|tn
a v|ew to tne wno|e o| 2 |ssuance |n tne ||rst tnree nontns
neets nost o| tne ||nanc|nq neeos |or tne wno|e ,ear ln
aoo|t|on ||V/s current ano ootent|a| sources o| ||ou|o|t,
cont|nue to eas||, exceeo exoecteo ora|naqe
ne Crouos capital management nas a two|o|o a|n to na|nta|n
tne |eve|s o| cao|ta||zat|on aooroor|ate to tne ous|ness tarqets
|n a|| tne countr|es |n wn|cn |t ooerates ano at tne sane t|ne
to nax|n|ze tne return on snareno|oers |unos tnrouqn e||c|ent
a||ocat|on o| cao|ta| to o||erent un|ts qooo nanaqenent o| tne
oa|ance sneet ano aooroor|ate use o| tne var|ous |nstrunents
tnat conor|se tne Crouos eou|t, snares ore|erreo snares ano
suooro|nate oeot ln tne ||rst ouarter o| tne ,ear ||V/s /nnua|
Cenera| |eet|nq aooroveo tne |ntroouct|on o| tne o|v|oeno oot|on
to q|ve snareno|oers tne oot|on o| a w|oer ranqe o| renunerat|on
on tne|r cao|ta| ln conc|us|on tne current |eve|s o| cao|ta||zat|on
ensure tne |an|s cono||ance w|tn a|| o| |ts cao|ta| oo,ect|ves
Foreign exchange risk nanaqenent o| ||V/s |onqtern
|nvestnents oas|ca||, stenn|nq |ron |ts |rancn|ses |n tne
/ner|cas a|ns to oreserve tne Crouos cao|ta| rat|os ano ensure
tne stao|||t, o| |ts |ncone statenent ln tne ||rst ouarter o| 2
||V/ nas na|nta|neo a oo||c, o| act|ve|, neoq|nq |ts |nvestnents
|n |ex|co Cn||e |eru ano tne oo||ar area w|tn an aqqreqate
neoq|nq o| c|ose to ln aoo|t|on to tn|s coroorate|eve|
neoq|nq oo||ar oos|t|ons are ne|o at a |oca| |eve| o, sone o| tne
suos|o|ar, oan|s ne excnanqerate r|s| o| tne earn|nqs exoecteo
|n tne /ner|cas |or 2 |s a|so str|ct|, nanaqeo ln tn|s ouarter
tne neoq|nq nas |eo excnanqe rates to nave a s||qnt|, oos|t|ve
e|ect on tne cao|ta| rat|o ano tne Crouos |ncone statenent |or
2 as a wno|e tne sane oruoent ano oroact|ve oo||c, w||| oe
oursueo |n nanaq|nq tne Crouos |ore|qn excnanqe r|s| |ron
tne stanooo|nt o| |ts e|ect on cao|ta| rat|os ano on tne |ncone
statenent
ne un|t a|so act|ve|, nanaqes tne structural interest-rate
exposure on tne Crouos oa|ance sneet n|s a|ns to na|nta|n a
steao, qrowtn |n net |nterest |ncone |n tne snort ano |onq tern
reqaro|ess o| |nterestrate ||uctuat|ons ln tne ||rst ouarter o| 2
tne resu|ts o| tn|s nanaqenent nave oeen ver, sat|s|actor, w|tn
ver, ||n|teo r|s| strateq|es na|nta|neo |n |urooe tne n|teo 'tates
ano |ex|co nese strateq|es are nanaqeo ootn w|tn neoq|nq
oer|vat|ves caos ||oors swaos |R/s` ano w|tn oa|ancesneet
|nstrunents na|n|, qovernnent oonos w|tn tne n|qnest creo|t
ano ||ou|o|t, rat|nqs`
Holdings in Industrial and Financial
Companies
n|s un|t nanaqes tne oort|o||o o| |noustr|a| ano ||nanc|a|
|nvestnents |n conoan|es ooerat|nq |n tne te|econnun|cat|ons
neo|a e|ectr|c|t, o|| qas ano ||nanc|a| sectors |||e /sset/||ao|||t,
|anaqenent |t ||es w|tn|n tne Crouos ||nance D|v|s|on
48 |us|ness areas
Real Estate Management
ne ||V/ Crouo nas a|wa,s naoe use o| exoert teans to nanaqe
tne oeve|ooer ano rea| estate sector ne Rea| |state |anaqenent
un|t |ocuses on orov|o|nq soec|a||zeo nanaqenent o| tne rea|
estate assets |t nas acou|reo |ron |orec|osures reoossess|ons
ourcnases |ron o|stresseo custoners ano tne assets |n ||V/
|roo|eoao tne rea| estate |uno
||V/ aoo||es str|ct reou|renents to tn|s oort|o||o |n terns o|
r|s|contro| oroceoures use o| econon|c cao|ta| ano return on
|nvestnent ano o|vers|||es |nvestnents across o||erent sectors
lt a|so aoo||es o,nan|c neoq|nq ano nonet|zat|on nanaqenent
strateq|es to |ts no|o|nqs ln tne ||rst ouarter o| 2 |nvestnents
were naoe tota||nq 2 n||||on ano o|s|nvestnent cane to
n||||on
/s o| :|ar2 tne nar|et cao|ta||zat|on o| tne |o|o|nqs |n
lnoustr|a| c ||nanc|a| Conoan|es oort|o||o was 44:n w|tn
unrea||zeo cao|ta| qa|ns o| 8n
49 Otner |n|ornat|on Wno|esa|e |an||nq c /sset |anaqenent
Otner |n|ornat|on
Wno|esa|e |an||nq c /sset |anaqenent
Income statement
|||||on euros`
Wholesale Banking & Asset Management
1Q11 % %
(1)
1Q10
Net interest income 365 (9.8) (10.6) 404
Net |ees ano conn|ss|ons 29 8` 2` 2:
Net trao|nq |ncone 24: :9 28 8
Otner |ncone/exoenses ` nn nn
Gross income 811 (1.0) (2.2) 820
Ooerat|nq costs 2:` 8 o 9`
|ersonne| exoenses :8` o 9 8`
Cenera| ano aon|n|strat|ve exoenses 9` 22 24 4`
Deorec|at|on ano anort|zat|on :` 8 49 :`
Operating income 580 (7.2) (8.3) 625
lnoa|rnent on ||nanc|a| assets net` 2:` 2:8 :4o `
|rov|s|ons net` ano otner qa|ns |osses` o` nn nn `
Income before tax 552 (10.1) (11.3) 614
lncone tax o4` o2` :` `
Net income 388 (11.7) (12.9) 439
Noncontro|||nq |nterests 24` 22` 228` :`
Net attributable profit 364 (11.0) (12.2) 409
` /t constant excnanqe rate
Balance sheet
|||||on euros`
Wholesale Banking & Asset Management
31-03-11 % %
(1)
31-03-10
Casn ano oa|ances w|tn centra| oan|s 4 98o 4 29
||nanc|a| assets o2 4:` 4` :92
|oans ano rece|vao|es o4o o9` o` o48
|oans ano aovances to custoners 4o9o o` 4` 28
|oans ano aovances to creo|t |nst|tut|ons ano otner 89 8` ` 244
lnterarea oos|t|ons 22 4` 2` 2o
anq|o|e assets 4o 42 4 44
Otner assets o 22` 22:` 28:
Total assets/liabilities and equity 146,260 (15.8) (14.8) 173,674
Deoos|ts |ron centra| oan|s ano creo|t |nst|tut|ons 4:98 22` 9` :
Deoos|ts |ron custoners 94 24:` 22` 82
Deot cert|||cates nn nn
'uooro|nateo ||ao|||t|es 2 9` 89` 9:o
lnterarea oos|t|ons
||nanc|a| ||ao|||t|es ne|o |or trao|nq ::8o 4o` 4` :4o9
Otner ||ao|||t|es :89 2:` 28` 494
|conon|c cao|ta| a||ocateo 422 8o :8
` /t constant excnanqe rate
|us|ness areas
ne Wno|esa|e |an||nq c /sset |anaqenent
W|c/|` aqqreqate nano|es tne Crouos
wno|esa|e ous|nesses ano asset nanaqenent |n
a|| o| tne qeoqraon|ca| areas wnere |t ooerates
lt |s orqan|zeo |n tnree na|n ous|ness un|ts
Coroorate ano lnvestnent |an||nq C|ooa|
|ar|ets ano /sset |anaqenent
ne ||V/ Crouos Wno|esa|e |an||nq c /sset
|anaqenent cont|nueo to snow a c|ear
custoner |ocus ano a n|qn |eve| o| recurrence
ano oua||t, |n |ts revenues ln tn|s reqaro |n tne
||rst ouarter o| 2 tne qross |ncone |or tne
wno|e o| tnese ous|nesses stooo at 8 n||||on
oare|, nar||nq a 22 ,earon,ear oecrease
ne aoove was oeso|te tne exceot|ona||, n|qn
revenues |n tne ||rst ouarter o| 2 l| tn|s ||qure
|s conoareo w|tn tnat o| tne |ourtn ouarter
qrowtn |s s|qn|||cant w|tn a oos|t|ve oercent
cnanqe o| 8
ln terns o| qeoqraon|ca| areas tne so||o
oer|ornance o| Spain snou|o oe noteo as |t
recoroeo a ,earon,ear |ncrease |n ooerat|nq
|ncone o| wn|cn nore tnan oouo|eo tne
||qure |or tne orev|ous ouarter tnan|s to tne
exce||ent course o| tne |ar|ets act|v|t, lncone
|ron c||ents aoove a|| |ron coroorates ano
|nst|tut|ona| |nvestors` nas cont|nueo |ts uowaro
treno ano trao|nq |ncone nas a|so oroqresseo
s|qn|||cant|,
ln Eurasia qross |ncone |e|| :: oue to tne
|ower Nl |n tne ||rst ouarter as conoareo to tne
sane oer|oo tne orev|ous ,ear Nevertne|ess
tne Coroorate ano lnvestnent |an||nq un|t nas
acn|eveo an |ncrease o| o |n |ts earn|nqs
ln |ar|ets |ncone |ron c||ents |ncreaseo
,earon,ear O| tn|s |ncone |ncone |ron tne
|nst|tut|ona| custoners wn|cn reoresenteo o
exoer|enceo :8 qrowtn
|urtnernore tne |arqest ,earon,ear oecreases
were req|stereo |n Mexico ano tne United
States oown 24o ano 9 resoect|ve|,` as
conoareo to a ver, n|qn ||rst ouarter o| 2
|owever we snou|o n|qn||qnt tne oos|t|ve
oer|ornance o| |ncone |ron custoners |n
|ex|co uo :: ,earon,ear` ano tne worse
tra,ector, o| tne trao|nq |ncone wn|cn were
oue anonq otner |actors to tne |ncrease o|
|nterest rates |n tne countr, ||na||, South
America exoer|enceo a oecrease |n qross
|ncone o| ,earon,ear
Ooerat|nq exoenses at 2: n||||on were uo
o on tne sane oer|oo |n 2 oue to tne
|nvestnents naoe |n s,stens ano tne o||erent
qrowtn o|ans |no|enenteo |n a|| qeoqraon|ca|
areas nere|ore tne operating income
anounteo to 8 n||||on oown 8:
,earon,ear` wn|cn conoares ver, |avorao|,
w|tn tne |ourtn ouarter o| 2 48 n||||on`
ne Wno|esa|e |an||nq c /sset |anaqenent
un|ts cont|nueo to oenonstrate n|qn asset
oua||t, w|tn a reouceo N|/ rat|o a n|qn
coveraqe rat|o ano |oan|oss orov|s|ons tnat
oare|, reoresenteo :9 o| tne ooerat|nq
WB&AM. Operating income
(Million euros at constant exchange rate)
633
1Q
457
2Q
431
3Q
481
4Q
2010
580
1Q
2011
WB&AM. Net attributable profit
(Million euros at constant exchange rate)
415
1Q
295
2Q
271
3Q
237
4Q
2010
364
1Q
2011
12.2%
(1)
580 580 580 580
481
431
457
633
0
100
200
300
400
500
600
700
364 364 364 364
237
271
295
415
0
50
100
150
200
250
300
350
400
450
(1) At current exchange rate: 7.2%.
8.3%
(1)
(1) At current exchange rate: -11.0%.
Wholesale Banking & Asset
Management highlights in the first
quarter
|ocus on return on vo|unes
|os|t|ve resu|ts n|qner tnan |n recent ouarters
|ow r|s| oren|un oue to n|qn asset oua||t,
Otner |n|ornat|on Wno|esa|e |an||nq c /sset |anaqenent
ano tne n||||on |oan |or tne construct|on
o| tne new soccer stao|un |n N|ce w|tn V|nc|
ln Cernan, |t |eo tne ||nanc|nq o| tne secono
qas o|oe||ne tnat w||| connect Russ|a w|tn
Cernan, tnrouqn tne |a|t|c 'ea Noro 'trean
2 |ro,ect` |urtnernore |uronone, nas
o|st|nqu|sneo severa| o| tne transact|ons |eo o,
tne |an| tn|s ouarter ne awaros rece|veo |n
|ex|co snou|o oe n|qn||qnteo |at|n /ner|can
O|| c Cas ostrean Dea| o| tne /ear |or tne
transact|on w|tn tne R Crouo |uronone,`
ano 'tructureo ||nance West 2 |ar|ne
|one, lnternat|ona|` /no |n tne n|teo 'tates
tne ||nanc|nq o| tne |onq |eacn Court |ouse
carr|eo out |n 2 was recoqn|zeo |or |ts
|nnovat|on o, |uronone, w|tn tne awaro Nortn
/ner|can ||| Dea| o| tne /ear
ln syndicated loans tne Crouo no|os an
|noortant oos|t|on |n tne nar|ets ano w|tn
tne custoners w|tn wn|cn |t ooerates nus
'oa|n na|nta|neo |ts |eaoersn|o oos|t|on |n
tne act|v|t, ran||nqs accoro|nq to Dea|oq|c
||V/ |anconer |n |ex|co was a|so q|ven
severa| awaros |at|n /ner|ca |oan o| tne
/ear o, lnternat|ona| ||nanc|a| Rev|ew ano
|est ',no|cateo |oan o, |at|n||nance`
wn|cn oenonstrateo tne |noortance o| certa|n
transact|ons carr|eo out o, tne oan|
ln Corporate Finance, ||V/ cont|nueo to
conso||oate |ts |eaoersn|o oos|t|on |n tne 'oan|sn
|c/ nar|et as |t aov|seo on : transact|ons
announceo |n tne ||rst ouarter o| 2 tne sa|e o|
'o|an oe Caoras o, Osoorne to tne |anou 'an
||que| Crouo consu|t|nq |or tne Osoorne Crouo
|n tne ourcnase o| /quas ||nera|es oe /raqon
ano tne sa|e o| tne l ano e|econnun|cat|ons
orancn o| act|v|t, o, |noesa 'erv|c|os tne
|arqest transact|on |n tne l Outsourc|nq sector
|n 'oa|n |n tne |ast |our ,ears`
ln recoqn|t|on o| |ts exce||ent wor| tne Markets
un|t rece|veo tne Der|vat|ves Dea|ers 2
awaro |ron R|s| naqaz|ne ano won |n tne
cateqor|es o| consu|t|nq on r|s| nanaqenent
ano transact|ons w|tn oer|vat|ves orqan|zeo
oer|vat|ves exot|c |ore|qn currenc, oer|vat|ves
oer|vat|ves researcn ano oest structureo oroouct
|or tne reta|| nar|et
||na||, ||V/ cont|nues to no|o |ts |eaoersn|o
oos|t|on as too oro|er |n 'oan|sn eou|t|es w|tn a
nar|et snare o| 28 as o| |arcn
|ncone nus tne attributable profit stooo at
:o4 n||||on 4 n||||on ano 2: n||||on |n tne
||rst ano |ourtn ouarters o| 2 resoect|ve|,`
ne lending business na|nta|neo |ts nooerate
treno tnrouqnout |ts qeoqraon|ca| areas
or|or|t|z|nq custoner |o,a|t, ano or|ce over
vo|une ano s|ze /s o| |arcn : 2 Wno|esa|e
|an||nq c /sset |anaqenent req|stereo qross
|eno|nq to custoners o| 48442 n||||on oown
o: ,earon,ear` |urtnernore customer
funds stao|||zeo at 882o n||||on nar||nq a
s||qnt oecrease |n tne ouarter o| 2 |ent|on
snou|o oe naoe o| tne |avorao|e course o| |uno
qatner|nq |n 'oa|n wn|cn ooosteo tne qrowtn o|
|unos |n tne ouarter to o |n sa|o countr,
ne na|n transact|ons carr|eo out |n tne Crouos
wno|esa|e ous|ness are sunnar|zeo oe|ow
Structured trade finance |n 'oa|n c|oseo
transact|ons |or a tota| o| n||||on to |ac|||tate
exoorts |ron 'oan|sn conoan|es ln |urooe
two transact|ons were s|qneo oro|er|nq exoorts
|ron lta||an qrouos to |raz|| ano |anana ano |t
oart|c|oateo |n a oorrow|nq oase |ac|||t, |or tne
/oeran qrouo |n |uxenoourq ln /s|a anonq
otners var|ous transact|ons were c|oseo to
suooort tne exoorts |ron tne |uawe| qrouo to
'oa|n w|tn tne coveraqe o| '|nosure Cn|na` ln
|ex|co tne transact|on s|qneo |n 2 w|tn tne
|ex|can suos|o|ar, o| tne Vo||swaqen qrouo
was recoqn|zeo as a Dea| o| tne /ear /no
|n 'outn /ner|ca tne structur|nq o| var|ous
exoorts |ron tne 'ansunq qrouo to |etrooras
was a|so q|ven two Dea| o| tne /ear awaros
ne act|v|t, carr|eo out o, tne Project Finance
un|t cont|nueo to conso||oate ||V/ as one o|
tne too ent|t|es |n tne ous|ness wor|ow|oe ln
'oa|n oeso|te tne nunerous restr|ct|ons on
tne ||nanc|a| nar|ets ||V/ nas na|nta|neo
an |ntense oresence |n ootn tne enerq, ano
|n|rastructure sectors ||V/ nas |||ew|se
oeen oresent |n tne ||nanc|nq o| s|qn|||cant
acou|s|t|ons |n tne nea|tncare sector Cao|o
'an|oao ano Cruoo D|aqnost|co Reco|etos`
ano nas suooorteo /`/ || |n tne ourcnase o|
a snareno|o|nq oart|c|oat|on |n C|| /s a resu|t
o| tne e|orts naoe |n 2 ||V/ rece|veo
tne awaro |est /rranqer o| 'oan|sn |oans
qranteo o, |urowee| naqaz|ne ln |rance ||V/
conc|uoeo tne ||nanc|nq o| tne /o: n|qnwa,
connect|nq |oroeaux w|tn tne 'oan|sn ooroer
INVESTOR RELATIONS
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