Scotiabank Latam Financials Forum It Ita a Corpb Corpbanca anca - - PowerPoint PPT Presentation
Scotiabank Latam Financials Forum It Ita a Corpb Corpbanca anca - - PowerPoint PPT Presentation
June 17-19, 2020 Scotiabank Latam Financials Forum It Ita a Corpb Corpbanca anca Disclaimers Information in this presentation is not an offer for sale of securities. This presentation has been prepared solely for informational purposes
Disclaimers
- Information in this presentation is not an offer for sale of securities. This presentation has been prepared solely for informational purposes and is not to be construed as a solicitation or an offer to buy or sell any
securities and should not be treated as giving investment advice. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. Any opinions expressed in this presentation are subject to change without notice and neither Itaú Corpbanca (the “Bank”) nor any other person is under obligation to update or keep current the information contained herein. The information contained herein does not purport to be complete and is subject to qualifications and assumptions, and neither the Bank nor any agent can give any representations as to the accuracy thereof. The Bank and its respective affiliates, agents, directors, partners and employees accept no liability whatsoever for any loss or damage of any kind arising out of the use of all or any part of this presentation.
- Certain statements in this presentation may be considered forward-looking statements. Forward-looking information is often, but not always, identified by the use of words such as "anticipate", "believe", "expect",
"plan", "intend", "forecast", "target", "project", "may", "will", "should", "could", "estimate", "predict" or similar words suggesting future outcomes or language suggesting an outlook. These forward-looking statements include, but are not limited to, statements regarding expected benefits and synergies from the merger of Banco Itaú Chile with and into Corpbanca, the integration process of both banks, anticipated future financial and operating performance and results, including estimates for growth, as well as risks and benefits of changes in the laws of the countries we operate.
- These statements are based on the current expectations of the Bank’s management. There are risks and uncertainties that could cause actual results to differ materially from the forward-looking statements
included in this communication. For example, (1) problems that may arise in successfully integrating the businesses of Banco Itaú Chile and Corpbanca, which may result in the combined company not operating as effectively and efficiently as expected; (2) the combined company may be unable to achieve cost-cutting synergies or it may take longer than expected to achieve those synergies; (3) the credit ratings of the combined company or its subsidiaries may be different from what the Bank or its controlling shareholders expect; (4) the industry may be subject to future regulatory or legislative actions that could adversely affect the Bank; and (5) the Bank may be adversely affected by other economic, business, and/or competitive factors.
- Forward-looking statements and information are based on current beliefs as well as assumptions made by and information currently available to the Bank’s management. Although management considers these
assumptions to be reasonable based on information currently available to it, they may prove to be incorrect. By their very nature, forward-looking statements involve inherent risks and uncertainties, both general and specific, and risks that predictions, forecasts, projections and other forward-looking statements will not be achieved.
- We caution readers not to place undue reliance on these statements as a number of important factors could cause the actual results to differ materially from the beliefs, plans, objectives, expectations and
anticipations, estimates and intentions expressed in such forward-looking statements. More information on potential factors that could affect Itaú Corpbanca’s financial results is included from time to time in the "Risk Factors" section of Itaú Corpbanca’s Annual Report on Form 20-F for the fiscal year ended December 31, 2019, filed with the U.S. Securities and Exchange Commission (the "SEC"). Furthermore, any forward-looking statement contained in this presentation speaks only as of the date hereof and Itaú Corpbanca does not undertake any obligation to update publicly or to revise any of the included forward- looking statements, whether as a result of new information, future events or otherwise. The forward-looking statements contained in this presentation are expressly qualified by this cautionary statement.
- This presentation may not be reproduced in any manner whatsoever. Any reproduction of this presentation in whole or in part is unauthorized. Failure to comply with this directive may result in a violation of the
U.S. Securities Act of 1933, as amended, or the applicable laws of other jurisdiction.
- The information contained herein should not be relied upon by any person. Furthermore, you should consult with own legal, regulatory, tax, business, investment, financial and accounting advisers to the extent
that you deem it necessary, and make your own investment, hedging and trading decision based upon your own judgment and advice from such advisers as you deem necessary and not upon any view expressed in this presentation.
- The Bank is an issuer in Chile of securities registered and regulated by the Commission for the Financial Market (Comisión para el Mercado Financiero or the "CMF"). Shares of our common stock are traded on
the Bolsa de Comercio de Santiago, or the Santiago Stock Exchange, and the Bolsa Electrónica de Chile, or Electronic Stock Exchange, which we jointly refer to as the "Chilean Stock Exchanges", under the symbol "ITAUCORP". The Bank’s American Depositary Shares are traded on the New York Stock Exchange under the symbol "ITCB". Accordingly, we are currently required to file quarterly and annual reports in Spanish and issue hechos esenciales o relevantes (notices of essential or material events) to the CMF, and provide copies of such reports and notices to the Chilean Stock Exchanges and the SEC. All such reports are available at www.cmf.cl, www.sec.gov and in this presentation.
2
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
3
67
Additiona Additional l information
Macr Macroe
- economic
conomic backdrop backdrop
Economic context
GDP Growth (%) Interest Rates (EOP) - % Inflation (CPI) - %
Source: Central Bank of Chile, Central Bank of Colombia and Itaú’s projections.(updated as of June 10, 2020).
Exchange rates – CLP/USD & CLP/COP
6.1 5.3 4.0 1.8 2.3 1.7 1.2 3.9 1.1
- 4.5
4.7 7.4 3.9 4.6 4.7 3.0 2.1 1.4 2.5 3.3
- 4.7
4.2
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020(e) 2021(e)
Chile Colombia 5.3 5.0 4.5 3.0 3.5 3.5 2.5 2.8 1.8 0.5 1.0 4.8 4.3 3.3 4.5 5.8 7.5 4.8 4.3 4.3 2.0 2.0
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020(e) 2021(e)
Chile Colombia 4.4 1.5 3.0 4.6 4.4 2.7 2.3 2.6 3.0 2.6 2.9 3.7 2.4 1.9 3.7 6.8 5.8 4.1 3.2 3.8 2.5 3.0
2011 2012 2013 2014 2015 2016 2017 2018 2019(e) 2020(e) 2021(e)
Chile Colombia
0.20 0.21 0.22 0.23 0.24 0.25 0.26 0.27 580 630 680 730 780 830 880
CLP/USD CLP/COP
4
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
5
67
Additiona Additional l information
Cha Chann nnels els | | Bran Branch ch network network
COVID-19
63% 63%
121 121 branches open 65 in the Metropolitan Area 56 in the rest of country
30% 30%
57 57 branches open 24 in the Metropolitan Area 33 in the rest of country
95% 95%
182 182 branches open 104 in the Metropolitan Area 78 in the rest of country
100 100% % presen presence sin ce since ce the begin the beginni ning of th ng of the crisis e crisis
March 1 April 15 May 4 % Network
6
Digita Digital l Cha Chann nnels els | | Cl Client acc ient access ess
COVID-19
Wi Wide de ra range nge
- f se
- f serv
rvices and prod ices and product ucts
to meet the needs of our clients in this period
41% 41%
Number Number of lo
- f logi
gin to web & app n to web & app
(Mar-20 vs. Mar-19)
Av Avai aila labilit bility y
- f
- f our
- ur digi
digita tal chan l channels nels
99.5 99.5%
(Mar-20)
Companies nies Individ vidua uals ls
57 57% %
Number Number of lo
- f logi
gin to web & app n to web & app
(Mar-20 vs. Mar-19)
Access Access to d to digital igital have i have increa ncreased sed si signif gnificantl icantly; y; desp despite ite thi this tr s trend, avail end, availabil ability ity of digital
- f digital
chan channels els is is at h at high ighest level est level ever ever
7
Clie Client nts | s | Digital Digital ch chan annels nels – Clie Client nt tra transa nsact ctions ions
COVID-19
Mar-Apr 2020
167 167
Mar-Apr 2019
100 100 Payme Payment nts Companies nies Individ vidua uals ls
Mar-Apr 2020
161 161
Mar-Apr 2019
100 100 Tim Time e Depo Deposits sits
Mar-Apr 2020
113 113
Mar-Apr 2019
100 100 Mut Mutual ual Funds unds 133 133 100 100 Transf Transfers ers and and Payme Payment nts 216 216 100 100 Tim Time e Depo Deposits sits 20 200 100 100 Loa Loans ns
Us Use e of digital
- f digital chann
channels els ge gets ts more signi more signifi ficant cant with with end end-to to-end end tra trans nsaction actions, s, ga gain inin ing r g relevance elevance for for Ind Indiv ivid iduals uals and and Com Compani panies es
8
Mar-Apr 2020 Mar-Apr 2019 Mar-Apr 2020 Mar-Apr 2019 Mar-Apr 2020 Mar-Apr 2019
Clie Client nts | s | Digital Digital communic communicat ation ion
COVID-19
1 2
Launch of “Visión Visión de de Líderes Líderes" " Communica Communication tion
Launch of the “Vision of leaders“- Live streaming with the leaders of the most important sectors of the economy We have held over 50 sessions:
- Benito Baranda
- Andrés Velasco & Ricardo Marino
- Raphael Bergoeing
- Carolina Strobell & Tatiana Pimienta
- Juan Pablo Hernández
- Sergio Purcell
- José Luis Daza
- Daniel Apolo
- José de Gregorio
- Alejandro Ferreiro
32,173 Total Views
9
Peo People ple | | Home Home o
- ffic
ffice e
COVID-19
1,259 2,309 2,459
01-mar 16-mar 31-mar 15-abr 30-ab
VPN VPNs VDIs VDIs Lap Lapto tops ps
All All emp employees loyees wi with th acc acces ess s to to videoc videoconfe
- nferenc
ences es thr throug
- ugh Tea
h Teams ms Deploying Deploying Off Office ice 36 365 cloud cloud solu soluti tions
- ns
Capa Capacity city for for 10,000 0,000 remote emote ac acces esse ses s thr throug
- ugh VPN
h VPN
413 700
01-mar 16-mar 31-mar 15-abr 30-ab
1-Mar 15-Mar 23-Apr
+1,200
200 2,070 2,420
01-mar 16-mar 31-mar 15-abr 30-ab
1-Mar 15-Mar 23-Apr 1-Mar 15-Mar 23-Apr
+700 +2,220 Infrastructure capable of supporting our operations in a remote environment ensuring business continuity
1,684
Employees in home office
10 10
Government Government Ac Actions tions | | La Latest test Initiat Initiatives ives
COVID-19
CMF CMF Ministr Ministry y of Finan
- f Finance
ce Centr Central B al Ban ank k of
- f Chile
Chile
Ba Bank nk financ financing ing fa facilit cility y (FCIC) (FCIC) cond condit itional ional to to ba bank nks s loan loan growt
- wth
FCIC FCIC for for 6 6 mont months hs, , up up t to
- 4-year
ear te tenor nor, , ini initi tial al amount amount up up t to
- 3% of
f th the e co comm mmer erci cial al and and co cons nsum umer er port portfolios folios of banks,
- f banks, at
at a a pre prefer feren enti tial al int nter erest est r rate ate Ba Base sel l II III I roll
- ll-in
in proce process ss th that at would would start start in in Dec Decem embe ber r 2020 2020 was was po postpone stponed d fo for r 1 year 1 year The The Council Council of t
- f the
he CM CMF F has has pos postponed tponed th the e comme commence ncemen ment t da date te for for th the e implementati implementation
- n of
- f
Ba Basel sel III III re regul gulati ations ns Wor Working cap ing capit ital al li lines nes for for comp companies anies wi with th ne net t sale sales s up up to U to UF 1 1 mil milli lion
- n ac
according cording to to th the credit e credit risk isk policies policies of
- f ea
each ch inst instit ituti ution,
- n,
for for a max maximum mum amoun amount t of u f up t p to 3 mont months hs of ave f average rage sale sales s and and 75% 75% guarant guarantee eed d by by t the he gove govern rnme ment nt
11 11 Initiatives targeting
provisions and capital
7 Initiatives for liquidity
injection to the economy COVID-19 credit lines
11 11
Government Government Ac Actions tions | | COVI COVID-19 19 Lin Line e – Fir First st T Tende ender r Result Results
COVID-19
Tramo 1 201 215 135 52 49 49 711 2 100 215 43 46 43 126 588 3 63 215 126 29 77 215 754 4 29 215 29 29 23 77 422 Total 393 861 333 155 192 468 2.476
65% 35%
Unmet Demand Demand Met
Itaú Itaú Demand Demand
US$ 547 million ion
Total Total Deman Demand
US$ 2.9 billion ion
Total Total Deman Demand d Met Met
US$ 1.0 billi lion
- n
Itaú Itaú Demand Demand Me Met
US$ 189 million
- n
Total Total Syst System em Deman emand
Demand by bank and by tranche (US$ mn) 2,476
Tranche 235 74 34 117 460 252 252 252 252 1,007 158 148 34 50 390 61 34 34 54 183 57 90 27 50 225 57 252 90 148 547 833 883 494 689 2,899
12 12
Clie Client nts | s | Cred Credit it de deferr ferral campaign al campaign
COVID-19
Deferral of next three installments of non
- verdue contracts, with a
preferential rate through a new loan with 60 installments and the first payment in 6 months
Cons Consumer umer an and d Comm Commer erci cial al L Loan
- ans
s Cred Credit it Card Cards Mor Mortgage tgage Loa Loans ns
Deferral of next three installments of non
- verdue contracts, with a
preferential rate Our clients, with non
- verdue contracts, can
choose zero minimum payment in April
|
20-25% 42% 50%
% Client acceptance
39%
% Client acceptance Client acceptance rate
13 13
42%
Clie Client nts | s | We wan We want t to be to be part part of the sol
- f the solution
ution
COVID-19
Itaú Corpbanca joins the Emergency Private Fund for Health in Chile with a contribution to the “Confederación de la Producción y del Comercio” to to collab collabor
- rate
ate wit with t h the he coun
- untr
try y in in thi this s fig fight ht aga against inst COVID COVID-19 19 Itaú Corpbanca tripled the value of donations made by employees, totaling US US$ 81 810,000 0,000 Itaú Corpbanca supported Chilean female entrepreneurs with US US$ 41, 41,000 000 to make masks for staff working with vulnerable children
Clients nts
US$ 570, 0,000 000
Employe
- yees
es
US$ 60,000 00
Bank
US$ 180, 0,000 000
US$ 1.9 million
- n
World World Giv Giving ing In Index ex (%) (%)
28% 28% 35% 37% 7%
0% 20% 40% 60%
14 14
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
15 15
67
Additiona Additional l information
How How we we ha have e ve evolved? volved?
Corporate profile
16 16
Our Our vision vision
Corporate profile
To be the leading bank in sustainable performance and customer satisfaction
1.
Implement a customer satisfaction-oriented culture, that is business-driven, through a simplified operational structure
- 2. Maximize sustainable shareholder returns, aiming at firm-wide growth
- 3. We aspire to be the preferred bank for top talents at every level
- Attract and retain committed professionals with high ethical standards and strong organizational pride
- Shared leadership, conquered through talent and commitment to excellence, focused on meritocracy
- 4. Create an atmosphere that inspires creativity, entrepreneurialism and the exchange of ideas
- 5. Pursue a cutting-edge technology, striving to best serve our client needs, ultimately creating value
- 6. Uphold the highest ethical standards in the relationship with clients, employees, regulators, society and the markets
17 17
Our Our way way
Corporate profile
We seek to create a culture based on seven attitudes that define our identity and identify us in the way we do business Each one of them represents the core of what we focus on as institution
- 1. It´s only good for us if it’s good for the client
We are people providing service to people, with passion and excellence. We work with the client and for the client –because they are the main reason behind why we do what we do
- 2. We’re passionate about performance
Generating sustainable results is in our DNA. The continuous challenge of seeking leadership in performance has brought us to where we are –and will continue guiding our company towards our objectives
- 3. People mean everything to us
Everything we do is carried out by people. Talented people who enjoy working in a collaborative atmosphere, based on meritocracy and high performance.
- 4. The best argument is the one that matters
We encourage a challenging work environment, which is open to questioning and constructive discussion. For us, the hierarchy which counts is the hierarchy of the best idea
- 5. Simple. Always
We believe that simplicity is the best path to efficiency. That’s why we strive not to mistake depth for complexity, and simplicity for simpleness
- 6. We think and act like owners
We always think like business owners, leading by example and putting collective objectives before personal ambition
- 7. Ethics is non-negotiable
We do what is right, without using shortcuts or devious ways to do business. We exercise leadership in a transparent and responsible way, fully committed to society and the best governance and management practices
18 18
Integrat Integration ion mile milest stones
- nes
Corporate profile
2018 2018 2017 2017 2016 2016
Merge Merger Transition Transition Co Cons nstruct truction ion
- Team building: senior and middle
management
- Corporate Governance, risk
management framework and
- ther policies
- Balance sheet and liquidity
strengthening
- Full focus on client satisfaction
- Focus on increasing and
sustainable results
- Completing technological
integration and advancing with digital agenda
- Strengthening our culture
throughout the organization
- Completion of retail migration and
client segmentation in Chile
- Initial roll out of Digital initiatives
- Resuming business growth in retail
- Introduction of Itaú Brand in the
Colombian retail Market
Our Purpo Our Purpose se
- Continue to deepen on client
centricity, designing products and services and, developing a “service culture”
- Accelerate our digital transformation
process we will continuously increasing the productivity of our technology area and disseminating a digital mentality across the entire bank
- On people management, to enhance
- ur incentive models and our
assessment tools we will consider the new dynamics of cooperative working
202 2020
… 2020 / 2021 Additional synergies by eliminated duplicities of products systems
Co Cons nsolidati
- lidation
- n
- Continue to deepen Itaú’s
management model (commercial growth; people management; risk management)
- Resume growth in commercial
loans
- Advance in the process of digital
transformation
- Client centricity adapting Itaú
experience, listening and engaging customers
2019 2019
19 19
At At a a glanc glance
Corporate profile
We are key part of Itaú Unibanco’s int nter ernat national nalizati zation n str strategy ategy
Reg Region ional l foo
- otprint
tprint & main in & main indic icato tors rs 1 2
10.1 10.1%
% 3
4.1 .1%
% 4 Mar Market S et Sha hare e US$ US$ 22.2
22.2 bn
bn US$ US$ 5.5
5.5 bn
bn Loan
- ans
s 1 US$ US$ 27
27.7 .7 bn
bn
5,59 5,599 5 3,3 3,309 6
Headc Headcount
- unt 1
8,9 ,908 193 193 128 128
Branc Branche hes 1
32 321
US$ 37.1
37.1 bn
bn US$ 7.9
.9 bn
bn Assets ssets 1 US$ 45.0
45.0 bn
bn US$ 46
46 mn
mn US$ 7 mn n Re Recur curring ing Net et Income Income 1Q20 1Q20 US$ 54
54 mn
n
8.4% .4% 3.0% .0%
Re Recur curring ing RoT RoTAE 1Q20 1Q20 7
6.8 .8% %
1 Information as of March 31, 2020; 2 Figures were converted at an exchange rate of 853.82 CLP/USD; 3 Information as of March 31, 2020; 4 Information as of February 29, 2020; 5 Includes headcount of our New York branch and since 1Q’18 also from our RepOffice in Lima and also in Madrid until 2Q’19; 6 Includes headcount of Itaú (Panamá); 7 Tangible Equity: Shareholders equity net of goodwill, intangibles from business combination and related deferred tax liabilities. Sources: Itaú Corpbanca, CMF and SFC.
20 20
Relevan Relevance ce ac across ross La Latin tin Americ America
Corporate profile
US$ Bn
US$ Bn
4 Caixa Bci Banco do Brasil Bradesco Citibank Santander BBVA Scotiabank 1 2 3 4 5 6 7 8 9 15 Bci Grupo Aval BBVA Santander Scotiabank Banco del Estado de Chile 1 2 3 5 6 7 Itaú Latam5 Bancolombia Itaú Corpbanca3 9 8
Itaú Corpbanca represents 18%
- f Itaú Unibanco’s consolidated
loan portfolio6
Itaú Unibanco2 10 Itaú Corpbanca3 Banco de Chile
1 Data as of December 31, 2019. Includes Brasil, México, Colombia, Chile, Argentina, Paraguay, Peru and Uruguay; 2 Includes Brasil, México, Argentina, Peru, Uruguay, Paraguay, Chile and Colombia; 3 Includes Chile and Colombia (Itaú Corpbanca Chile with ~US$36MMM in assets); 4 Data as of December 31, 2019. Includes Colombia, Chile, Argentina, Paraguay, Peru and Uruguay; 5 Includes Colombia, Chile, Argentina, Paraguay, Peru and Uruguay; 6– Considering the consolidated loan portfolios of Itaú Unibanco and Itaú Corpbanca reported in their respective 1Q’20 MD&As at a R$ 4.0552 / US$ and a Ch$ 853.82 / US$ foreign exchange rates as of 31.03.2020. Source: Central Banks, local regulators, companies filings, Itaú Corpbanca.
Itaú Itaú Cor Corpb pbanc anca a is is cu currentl ently y th the e 5th
th lar
larges est t pri private vate ba bank nk in in Chi Chile le and and we we contr contribute ibute to to pos posit ition ion Itaú Itaú Lat LatAm Am as as th the e 10th
th and
and 7th
th
lar larges est t ba bank nk i in n ter terms ms of
- f as
asse sets ts wi with thin in Sout South h Ame America ica (ex (ex-Braz Brazil il)
Banks anks by by As Asset ets in L n Lat atin Ameri n America ca1 Banks anks by by As Asset ets in S n South th Ameri America ca (ex (ex-Braz razil)4
373 432 321 112 365 74 340 170 67 45 55 55 58 54 81 86 61 57 52 45
Loan po an portf rtfolio as as of f Mar.
- Mar. 31
31, 202 2020
21 21
(US$ Bn)
Responsible Responsible banking banking
Corporate profile
Sustai Sustainabi nability ty ti time meline ne
2016
Itaú Corpbanca Merger
2018 2019 2020
First Sustainability Report Ju June ne First Sustainability Committee (officers level) Au Augus gust Foundations and Sustainability Meeting Itaú Latam in Paraguay No Nove vemb mber er Launch of Itaú’s #BiciEscuelita initiative Janu January ary
2017
First Annual Integrated Report Marc March Diversity and Inclusion’s Internal Policy Apri April Itaú is for the fist time an index component of the DJSI MILA Septe eptemb mber er Launch of volunteer program called Lee para un Niño Apri April Launch of Business Advising Program for SMEs clients May May Foundations and Sustainability Meeting Itaú Latam in Chile Au Augus gust Itaú Asset Management won the “ALAS20 Institution” recognition De Dece cemb mber er
22 22
Responsible Responsible banking banking
Corporate profile
Tr Transl anslati ating ng str strategy ategy int nto acti action
1st Financial sector
initiative
The onl
- nly
y fina financi ncial al in inst stitut itution n in in Chil Chile e an and d Colom Colombi bia a to be part of the Institutional Investor’s list of 39 Latin American Midcap 'Most Honored Companies' We increased our DJSI scores in 2019 edition, ranking for the first time for the MIL MILA Pa Paci cific fic All llia iance nce Inde Index x and for the fourth consecutive year remaining part
- f the Chil
Chile e Inde Index
Sus Sustaina nabi bility Per Performanc formance
Itaú Asset Management awarded as the 'AL 'ALAS20 20 Institu Institution ion' ' for being recognized as a leader in: Responsible Investments, Corporate Governance and Sustainability Research
Resp Responsi
- nsibl
ble e In Inve vestment ent
Commitments Achievements Main partners In 2019 we launched our
- ur firs
first in integrat egrated ed an and d ver verifie ified d Ann nnual ual Report eport. . The quality of the information delivered to the market was recognized by the ReportaRanking who scored as 23 points higher than the 2018 survey
Tran Transparency parency in n Commu Communicati nication
- n
Voluntary commitment between the financial sector, the government and regulators, who have defined general principles regarding the management of risks and opportunities associated with cl clim imate ate cha change nge in in dec decisi ision
- n-makin
aking
Cl Climate mate Cha Change nge
17 points
above sector average
ALAS20 Institution
23 points
above 2018 score
Top 3 Best Latin
America Executive Team Goals
Itaú Asset Management
We belie We believe ve that that people people have have the the pow power er to t to transf ransform
- rm the
the wo world, rld, and and that that a a bank can bank can promote promote this tra this trans nsfo forma rmation tion
23 23
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
24 24
67
Additiona Additional l information
Sha Shareholde reholders rs & & stoc tock k mar marke ket
Corporate governance
US$ 1.
1.3 3 Bn
Bn Mar Market Cap et Cap. . (May.
- ay. 13,
, 2020)
Source: Sell-side reports.
1 – For Itaú Corpbanca and BCI consider shareholders equity net of goodwill and intangibles from business combination.
Buy: 2 Hold: d: 7 7 Sell ell: 1 1
Sel ell-side side rating: ating:
% Tota tal share c hare capi apita tal as as o
- f
f Apri April 30, 30, 202 2020
Avera rage daily tra traded vol
- lum
umes 12 12- mon
- nth ended Mar
March ch 31 31, 20 2020 20
(U (U$ $ mil millio lion)
Pri Price ce-to to-Book1
25 25
Ex Expe perienc rienced ed senior senior mana manage gement ment to to impl impleme ement nt st stra rategy tegy
Corporate governance
Board d Ch Chile
Wholesale
Gabriel Moura
Treasury Marketing & Products IT People Mgmt & Performance Retail CRO Legal
Álvaro Pimentel
Treasury Daniel Brasil CRO Juan Ignacio Castro
- Credit Risk:
Frederico Quaggio IT Bernardo Alba Legal & General Secretary Dolly Murcia Human Resources María Lucía Ospina Wholesale Jorge Villa Communications & Institutional Relations Carolina Velasco Operations Liliana Suárez Retail Hernando Osorio
Chairman
Gabriel Moura
Matrix reporting to CEO Colombia and functional reporting to ITCB Functional reporting to CEO Colombia and matrix reporting to ITCB for coordination of specific themes
Board d Co Colombi mbia Boa
- ard
d Col Colombi
- mbia
Mónica Aparicio Smith Roberto Brigard Holguín Cristián Toro Cañas Juan Echeverría González Chairman
Gabriel Amado de Moura
Colombia Pedro Silva Mauricio Baeza Luciana Hildebrandi Álvaro Pimentel Christian Tauber Julián Acuña Marcela Jiménez Cristián Toro Luis Rodrigues
Ita Itaú Co Corpba pbanc nca Co Colombi mbia CEO CEO Ita Itaú Co Corpba pbanc nca CEO CEO Boa
- ard
d Ch Chile 1
1 2
Chairman
Jorge Andrés Saieh Guzmán
Ricardo Villela Marino Caio Ibrahim David Milton Maluhy Filho Rogério Braga Pedro Samhan Escandar Fernando Concha Ureta Jorge Selume Zaror Fernando Aguad Dagach Gustavo Arriagada Morales Bernard Pasquier
1 Itaú Unibanco and CorpGroup appoint the majority of the members of the board of directors; 2 Pursuant to the Shareholders Agreement, the Directors appointed by Itaú Unibanco and CorpGroup shall vote together as a single block according to Itaú Unibanco’s recommendation.
Aud udit it Committe ittee CAE Emerson Bastián Franchise, Products & Digital Jorge Miranda CFO n.d. CFO Juan Pablo Michelsen Operations Jorge Novis
26 26
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
27 27
67
Additiona Additional l information
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
28 28
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
29 29
Clie Client nt Ce Cent ntric ricity ity
Strategic fronts
In Indi dividua viduals
By monthly income
(CLP mn)
Co Comp mpani anies es
By annual sales
(USD mn) Over $8.0 From $2.5 to $8.0 From $0.6 to $2.5 Up to $0.6
Pr Priva vate te B Bank nk Pe Persona sonal Bank nk Ita Itaú Branc nche hes Co Cond ndell
Over $100 From $8 to $100 From $1 to $8 From $0.1 to $1
Co Corpora porate te Large ge Mi Midd ddle Ve Very y Sma mall and nd Sma mall Wholesa
- lesale Ba
Banki king Retail Ba Banki king
Cur Curre rent nt scale scale all allows ws fo for r bet bette ter r segm segmen entat tation
30 30
Clie Client nt Ce Cent ntric ricity ity
Strategic fronts
Indi Indivi viduals duals segm segmen entat tation n ove verv rview ew
Segmentation model with well defined identity and value proposition, aimed at optimizing service level, satisfaction and profitability per client 23 23 Itaú taú Personal ersonal Bank ank + + 34 34 Corn Corners ers PB PB 2 2 Di Digital gital Branc ranches es 113 113 Itaú taú Suc Sucursal ursales es 54 54 Con Condell dell (Consumer Finance)
Itaú Itaú Pe Persona sonal l Ba Bank nk Itaú Itaú Sucur ucursal sales es Branc Branch h pr profile
- file in
in Chil Chile
Digital Approach Multi-Channel First Call Resolution Extended Hours Account Load
Digital Branch
Digi Digital al Branc Branch 31 31
Clie Client nt Ce Cent ntric ricity ity
Strategic fronts
Cl Clien ent t experi experien ence ce, , di digi gital tal ban bankin king g and and val value ue offer ffer
Continuous improvement of the look and feel of our digital channels Review and improvement of benefits and
- ffers linked to stronger transactionality
and relationship Advancing with roll-out of new digital services and offerings. Executing a well defined pipeline of digital solutions 32 32
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
33 33
Digita Digital l Tran Transfor sformat mation ion
Strategic fronts
Opportunity to increase our pace given Chile’s relative lower digital evolution in the region Chile has historically been a regional banking industry leader ….
Mature banking products, many not available in other emerging countries (i.e. mortgage loans 40 years tenor) Higher banking penetration (Loans/GDP: 93% vs. 25- 50% peers ) Historical RoE above the region (RoE: 19-20%)
…. however, Chile is not leading the digital transformation process in the region
1 2 3
Note: Level of digital evolution considers: (i) Digital E2E Journeys; (ii) Marketing and digital communication; (iii) Data management and advanced analytics; (iv) IT infrastructure and architecture; and (v) capabilities and digital culture.
An opportunity for Itaú Corpbanca, leveraging leveraging from Itaú Unibanco’s digital experience in the region
34 34
Digita Digital l Tran Transfor sformat mation ion
Strategic fronts
Initia Initial l roll roll out
- ut of
- f dig
digital ital initia initiatives tives
18 18 agi agile le squa uads integ integrat ated ed by m mul ultid idis isciplinar inary teams eams wi with 253 emplo 253 employees ees on aver average age fully fully ded dedic icated ated that are at are lo lookin king g at at opp pportunit unities ies for for ch chan ange ge an and are d are re re-thinking inking the en e entir ire e ban ank k proces esses wi with a a dis iscip ipli lined ed an and f focus used ed ap approac ach
Building a Digital Bank from inside…. Out ....
320 320+ releas eleases es an and new ew funct functio ionali alitie ies,us user er inter interface face an and offers
- ffers throug
ugh our ur dig igit ital al chan annels els Adv Advan anced ced wo work k method ethodolo logies gies an and tools ls Bac ack-en end to f front-en end dig igit itali alizat ation of f open ening ing of f dig igit ital al ac account unts proces ess
35 35
Digita Digital l Tran Transfor sformat mation ion
Strategic fronts
Le Leve veragi raging ng syner synergi gies es wit with h Brazil Brazil
An Anal alytic ytics 360 360
- Implementing Google Analytics 360 (Web
/ App) along with LatAm units
- Training teams and encouraging market
innovations to increase business results and improve customer experience
New New App App
- Joint digital experience definition
- Sharing know-how implementation and
use of open source tools
- Using LatAm units development
environment
Dig Digital italizatio ization
- Building our strategy leveraging from
LatAm units' experience, taking advantage of best practices from other countries
- Remote and in site support throughout
the process
36 36
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
37 37
Peo People ple Mana Manage gement ment1
Strategic fronts
By hierarchical level Inclusion and diversity By gender By age bracket By region
th thousan
- usand
Employee Employees2
6
in Chile and New York
Ap Approximately roximately
0,9 k people 3,9 k people 0,8 k people
> 50 years 30-50 years up to 30 years
Arica y Parinacota
69. 69.8% 14. 14.7% 7%
0. 0.2%
47% 47% 53 53%
Me Men Wom Women
1 – December, 2019; 2 – March, 2020.
5% 5% 1% 1%
Peop People le with with disab isabil ilit ities ies For
- reig
igners ners
0.4% 1.4% 1.9% 0.8% 1.6% 5.0% 1.3% 1.9% 4.2% 1.3% 1.4% 0.6% 76.7% 0.6% 0.1%
Tarapaca Antofagasta Atacama Coquimbo Valparaíso O’higgins Maule Bío-Bío Araucanía Los ríos Los lagos Aysén Magallanes y Antartica Metropolitana Ñuble
0.8%
47 % 47 % 50 % 75 % 83% 53 % 53 % 50 % 25 %
17%
Corp
- rpora
- rate managers
4. 4.5% 5% Managers
s and deputy uty managers
52 52.9% Prof
rofessi sion
- nals
19 19.5% 5% Te
Tech chnici cians
22.9% Administ
stra rative st staff ff
15.4 15.4% 38 38
Peo People ple Mana Manage gement ment
Strategic fronts
We We ar are e people people provi providi ding ng ser servi vice ce to pe to peopl ple, e, wit with h passion passion and and excel excellen ence ce
Org Organ anizatio izationa nal l Cli Climate mate
(hable francamente)
9 9 p.p
p.p.
- f 2019 employees satisfaction
Dress Code Flexibility for Employees
Go As I Am Go As I Am
Li Lider dera
more than 14
14,00 ,000 0 trai aini ning ng hour hours s in our
program for leaders
Escu Escuel ela It Itaú aú
+40 400,0 0,000 00 trai aini ning ng hour hours s for employees
(regulatory and languages workshops, Crece program, Diploma at Universidad Católica for 60 managers, among others)
Recognized as the 9th
th bes
best t co compan mpany y in in Chi Chile le in in Attra Attracti ction
- n a
and nd Reten Retention tion of
- f Tal
Talen ent
by Merco
39 39
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
40 40
Growth Growth
Strategic fronts
Busin Business ess mi mix an an oppo pport rtun unity ty fo for r re retai tail gr growth wth
1 Yearly average gross loans; 2 Loan interests by segments; Source: CMF; Itaú Corpbanca; Team Analysis.
Loan
- ans
s br brea eakdown down by by segm segmen ent¹
LTM Mar 2020, Ch$ Bn
12. 2.9 7.3 13. 3.3 7.1 Tot Total 7.1 7.0 5. 5.8 6.1 6.1
Ita taú Corpbanca nca Ave Average To Top 3 3
Interest Rates
29 29,39 392
Consu nsume mer Comm mmerci cial
17,39 393 24, 24,624 24
Mo Mortg tgage
32, 32,435 435
∆ -19 bp
- 42 bp by mix
Peer-A Peer-B Peer-D
Current rate w/ top 3 mix Current Top 3 Top 3 rates w/ current mix
Mix difference explains most of the Yield gap with the Top 3
100% =2
54.7% 49.4% 50.0% 65.8% 30.0% 33.8% 36.0% 23.5% 15.3% 16.8% 13.9% 10.8%
Yield ITCB with mix Peers 7.5%
7.3 7.5 7.1 6.9
41 41
Growth Growth
Strategic fronts
Loa Loan n Port Portfo folio
Port Portfolio folio Mix Mix (%) Retail: 30.5% Retail: 33.2% Market Share (Mar.20)
7.2%
Commercial Mortgage Consumer
8.1% 11.8%
Total Loans
10.1%
16 bp
16 bp 36 bp 6 bp
Share
12-month
Commercial 69.5% Mortgage 21.8% Consumer
8.7%
Commercial 66.8% Mortgage 23.3% Consumer 9.9%
Mar.17 Mar.20
265 265 bp bp
Con
- nsum
sumer r grow rowth
2.0x 2.0x Mark arket et
1Q20 vs. 1Q19
42 42
Growth Growth
Strategic fronts
Cr Credi edit t po port rtfo folio gr growth wth rat rate e
(1) Ex Student loans portfolio
Comm
- mmer
ercia cial1 Mor Mortgage gage Consume Consumer Tot Total al Loans
- ans
Convergence in 2019
12.2%
12.8%
13.4%
16.2% Convergence in 2019
14.6%
12.3%
4.9% 2.5%
2.0x market 1.2x market
43 43
Growth Growth
Strategic fronts
Fun undi ding ng mix an an oppo pport rtun unity ty to to incr ncrease ease profi profitabi tability ty
Total Total fundin funding g brea eakdown down
Interest Rates
36 36,30 307 23, 23,440 440
Debt ebt Issue ssued
44, 44,195
Ot Other ers1
100%
31 31,641 41 2. 2.7 2. 2.4 3. 3.0 2. 2.9 Tot Total 0.3 0.3 0.3 0.3 5. 5.4 6.6 6.6
Ita taú Corpbanca nca
1.3 1.3 0.6 0.6
Ave Average To Top 3 ∆ 44 bp 29 bp by mix
Peer-A Peer-B Peer-D
Top 3 rates w/ current mix Current rate w/ top 3 mix
Non-interest bearing liabilities are the main reason for the gap when compared to the 3 players
Time D ime Deposits eposits
1 Others: Repurchases contracts, financial derivatives, bank obligations, letters of credit, other financial obligations, taxes, differed taxes, provisions, other liabilities. Source: CMF; Itaú Corpbanca; Team Analysis.
LTM Mar 2020, Ch$ Bn
18.1% 26.6% 31.4% 26.7% 23.3% 21.3% 20.0% 22.8% 30.1% 30.4% 33.9% 39.0% 28.5% 21.7% 14.7% 11.6%
Yield ITCB with mix Peers 2.6%
Top 3 Current 2.7 2.9 2.6 2.4
44 44
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
45 45
Ef Efficienc ficiency y
Strategic fronts
Focus cus on n syner synergi gies es: : co compare mpared d ev evoluti ution n of f total total expen expenses ses
Average: 11.9% ; 10.5%
Adjusted djustedNon
- n-Inter
Interest est Expe xpense nses s an annual nualized zed gr growth
- wth (%)
1 – Includes commissions expenses, personnel expenses, administrative expenses, depreciation and amortization, impairment charges and other operational expenses. All data is Proforma 2 – Consisting of provisions for assets received in lieau of payment and provisions for Country risk. 3 – Does not include amortization of intangibles generated through business combination, already considered as a non-recurring expense.
Average: 1.4% ; 6.1%
In million of Chilean Pesos
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 3M'19 3M‘20 Total Non-Interest Expenses - Itaú Corpbanca1 220 255 275 402 545 732 736 801 766 791 811 197 194 (-) Itaú Corpbanca Colombia
- (74)
(191) (290) (253) (253) (274) (273) (286) (68) (66) Total Non-Interest Expenses - Itaú Corpbanca Chile 220 255 275 328 354 441 483 548 492 518 525 129 127 (-) Credit risk related provisions 2 (3) (4) (4) (6) (4) (4) (2) (11) (9) (16) (6) (2) (3) (-) Non-recurring expenses
- (32)
(54) (101) (31) (39) (27) (6) (5) (-) Depreciation and amortization 3 (10) (12) (14) (16) (20) (22) (24) (26) (29) (32) (65) (15) (16) Adjusted Non-Interest Expenses - Itaú Corpbanca Chile 207 239 257 306 331 384 404 410 422 432 428 106 103 Annual growth rate 15.6% 7.4% 19.1% 8.1% 16.1% 5.3% 1.4% 3.0% 2.2%
- 0.9%
- 2.8%
Adjusted Non-Interest Expenses - Chilean Financial System 2,254 2,680 2,761 2,983 3,233 3,760 4,073 4,255 4,484 4,848 5,158 1,217 1,275 Annual growth rate 18.9% 3.0% 8.1% 8.4% 16.3% 8.3% 4.5% 5.4% 8.1% 6.4% 4.7%
15.6% 7.4% 19.1% 8.1% 16.1% 5.3% 1.4% 3.0% 2.2%
- 0.9%
- 2.8%
18.9% 3.0% 8.1% 8.4% 16.3% 8.3% 4.5% 5.4% 8.1% 6.4% 4.7%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 3M20 x 3M20
Itaú CorpBanca Chile Sistema Financiero Chile
Itaú Corpbanca Chile Chilean Financial System
46 46
Ef Efficienc ficiency y
Strategic fronts
Esti Estimate mated d syner synergi gies es captur captured ed to to date date
≠
10 10 27 27
Ch$ Ch$92 2 bi billion o n or r US$1 US$136 36 mi million1 in s n synergi nergies es ca captu ptured red since t nce the he merger merger Adjusted Total Expenses evolution – actual 1 (Ch$ Bn) Adjusted Total Expenses evolution – System growth rates1 (Ch$ Bln)
≠
8
≠
1 – For comparison purposes with previous quarters, we have maintained the FX rate as June 30, 2019 to convert synergies from CLP to USD given the CLP devaluation (26% between 2Q’19 and 1Q’20)
+1.4% +4.6% +3.5% +5.6% +2.2% +8.1%
≠
12 12
- 0.9%
- 2.8%
207 239 257 306 331 384 404 410 422 432 428 428 106 103 6 12 9 ( 4 ) ( 3 )
2009 2010 2011 2012 2013 2014 2015 increase 2016 increase 2017 increase 2018 decrease 2019 3M19 decrease 3M20
207 239 257 306 331 384 404 422 445 481 481 512 106 111 18 23 36 31 5
2009 2010 2011 2012 2013 2014 2015 increase 2016 increase 2017 increase 2018 increase 2019 3M19 increase 3M20
+4.7%
35 35
≠
+6.4%
47 47
Key Stra Key Strategic tegic Dr Drivers ivers to to Contin Continue ue Deepe Deepenin ning g Itaú’s Mana Manage gement Mo ment Mode del
Strategic fronts
- Segmentation model with well defined identity and value
proposition
- Development of products and a “service culture” focused
- n client satisfaction and long-term relationships
Clie Client nt Centr Centric icity ity
- Culture of innovation and transformation
- Efficiency and improvement of user experience and
customer satisfaction
- Seamless integration from back-office to front-office
- Strengthening our culture throughout the organization
- To enhance our incentive models and our assessment tools
- To consider the new dynamics of cooperative working
2 1 3 4
- Expand our presence and client base in all business
segments
- Special focus on growing our Retail Bank
- Further increase transactionality and relationship within our
client base
Pe People
- ple Mana
Managem gemen ent Digi Digital al Transfor Transformation ation Growt
- wth
5
Eff ffic icie iency ncy
6
- Continued and sustainable rebound in results
- Resume expansion in business volumes
- Advance with the implementation of retail and wholesale
strategies
Colom Colombi bia
- Continuously increase the efficiency of our operations
- Drill down of the full cost allocation model to product level
- Continued focus and discipline in identifying cost saving
- pportunities throughout the institution
48 48
Colo Colombia mbia
Strategic fronts
We are key part of Itaú Unibanco’s int nter ernat national nalizati zation n str strategy ategy
Reg Region ional l foo
- otprint
tprint & main in & main indic icato tors rs 1 2
10.1 10.1%
% 3
4.1 .1%
% 4 Mar Market S et Sha hare e US$ US$ 22.2
22.2 bn
bn US$ US$ 5.5
5.5 bn
bn Loan
- ans
s 1 US$ US$ 27
27.7 .7 bn
bn
5,59 5,599 5 3,3 3,309 6
Headc Headcount
- unt 1
8,9 ,908 193 193 128 128
Branc Branche hes 1
32 321
US$ 37.1
37.1 bn
bn US$ 7.9
.9 bn
bn Assets ssets 1 US$ 45.0
45.0 bn
bn US$ 46
46 mn
mn US$ 7 mn n Re Recur curring ing Net et Income Income 1Q20 1Q20 US$ 54
54 mn
n
8.4% .4% 3.0% .0%
Re Recur curring ing RoT RoTAE 1Q20 1Q20 7
6.8 .8% %
1 Information as of March 31, 2020; 2 Figures were converted at an exchange rate of 853.82 CLP/USD; 3 Information as of March 31, 2020; 4 Information as of February 29, 2020; 5 Includes headcount of our New York branch and since 1Q’18 also from our RepOffice in Lima and also in Madrid until 2Q’19; 6 Includes headcount of Itaú (Panamá); 7 Tangible Equity: Shareholders equity net of goodwill, intangibles from business combination and related deferred tax liabilities. Sources: Itaú Corpbanca, CMF and SFC.
49 49
Colo Colombia mbia
Strategic fronts
Advance dvance wit with h th the e impl mplem emen entat tation o n of r f ret etail ail and and whole wholesale sale s str trategi ategies es Segmentation model with well defined identity and value proposition
Private Bank Personal Bank Itaú Branches Corporate Large Middle Very Small and Small Wholesa
- lesale Ba
Banki king Retail Ba Banki king
Wealth over > $1,000 Over $8.0 Up to $8.0 Over $120,000 From $30,000 to $120,000 Up to $5,000 From $5,000 to $30,000
In Indi dividua viduals
By monthly income
(COP mn)
Co Comp mpani anies es
By annual sales
(COP mn)
50 50
Colo Colombia mbia
Strategic fronts
High Highlight ghts
About bout 1Q 1Q 2020 2020
In COP
Rec ecur urrin ing g Net et Inc Incom
- me
e Evolution volution
In billion COP RoTE Loans
Loan
- an Port
Portfolio folio an and d RoTE
- TE Evolution
volution
In billion COP
branches closed in Colombia YoY
3.31 .31 thousa thousand nd
em employ ployees ees
in 1Q20
128 128
branches ranches
in Colombia in 1Q20
33 33 (
( 20.5 20.5%)
3. 3.49
3.3 .31
3. 3.56 56
Mar-19 Mar-20 Mar-18
- 30
30.7 .7 bn
- 4.
4.9% 9% 20 20.2 .2 tn
tn
27.9 27.9 tn
tn
1Q20 Q20 4Q19 4Q19
24.3 24.3 bn 3.8 .8% 20.7 20.7 tn 30.8 0.8 tn
Net Income RoTE Loan Portfolio Total Assets
(451. (451.5) 5)
n.a. .a.
+8.7 +8.7 p.
p.p. p.
+2. 2.5% +10 +10.4 .4%
- 31.9
- 17.0
62.0 24.3
1Q17 1Q18 1Q19 1Q20
51 51
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
52 52
67
Additiona Additional l information
Capita Capital l
Capital and risk management
Esti Estimate mated d BI BIS III III capit capital al rat ratio
CET 1
New LGB (Dec. 2025)
SIFI (est.) CCB AT1 Total Capital Tier II CET 1 Tier I
8.3%
- 1.8%
- 0.2%
6.4%
Regulatory Capital Ratio (Dec. 19) Other Intangible Assets / Net Deferred Taxes Net effect
- f changes in RWA
Estimated Fully Loaded BIS III Capital
3.9% 12.2% 4.5% 11.5% 1.5% 1.0% 2.5% 8.0% 9.5% 2.0% 3.2% 9.6%
- 0.7%
Max use of Tier II
Regulatory Capital Ratio (Mar. 2020)
Tier II Tier I
53 53
About About 1Q20 1Q20
Capital and risk management
Li Liqui quidi dity ty ri risk sk
1 – LCR: Liquidity Coverage Ratio calculated according to BIS III rules. Regulatory LCR ratios are still under construction in Chile. 2 – NSFR: Net Stable Funding Ratio, the methodology used to estimate NSFR consist of liquidity ratio proposed by the “Basel III Committee on Banking Supervision” (“BIS III”) that was adopted by the CMF and the Brazilian Central Bank (BACEN) and only the BACEN set a limit for NSFR. Source: Quarterly liquidity status report as of April 28, 2020.
LCR LCR1 NSFR NSFR2 Total D Total Deposits eposits
10.4 10.6 11.6 12.5 14.1 mar.19 jun.19 sep.19 dec.19 mar.20
125.4%
80.0% 90.0% 100.0% 110.0% 120.0% 130.0% 140.0% Mar.19 Jun.19 Sep.19 Dec.19 Mar.20 Apr.20 LCR Chile + NY Internal LCR limit
100 %
95.4%
82.0% 84.0% 86.0% 88.0% 90.0% 92.0% 94.0% 96.0% 98.0% Mar.19 Jun.19 Sep.19 Dec.19 Mar.20 Apr.20 NSFR Chile + NY Internal NSFR limit
90 %
13.2% +36.2%
85 %
54 54
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
55 55
67
Additiona Additional l information
Fin Finan ancia cials ls
Highlights of the results
Finan nanci cial al Informat Information
The financial information included in this Management Discussion & Analysis presentation is based on our managerial model which is based on our managerial model that we adjust for non-recurring events and we apply managerial criteria to disclose our income statements. Starting in the first quarter of 2019, we have been disclosing our income statement in the same manner as we do internally, incorporating additional P&L reclassifications, fully converging to the format presented by Itaú Unibanco. This managerial financial model reflects how we measure, analyze and discuss financial results by segregating: (i) commercial performance; (ii) financial risk management; (iii) credit risk management; and (iv) costs efficiency. We believe this form of communicating our results will give you a clearer and better view of how we fare under these different perspectives. Please refer to pages 9 to 12 of our Management Discussion & Analysis Report (“MD&A Report”) for further details, available at ir.itau.cl.
56 56
1Q20 1Q20 | | About About our
- ur year
year
Highlights of the results
hi high gher er volume volume of
- f cr
credi edit i t in Chi Chile le (+12. (+12.2%) %) an and d better better weigh weighted ted avera average ge spr spread ead
- ffset the increase of the growth
in the average portfolio, margin with clients in Chile
Cos
- st
t of
- f cr
credi edit i t inc ncre rease ased d in in Chi Chile le
52.1%
Non Non-in intere terest st expens expenses es in in Chi Chile le dec decrea ease sed
1.9%
mainly driven by corporate credit events and regulatory and internal credit risk models implementation
58 58.6% .6% Effic Efficie ienc ncy y ra ratio tio impr improved
- ved by
by 70 0 b.p b.p.
Recurring
Net Net
4.3%
Ch$33.8 billion Ch$29.5 billion
Consolid
- nsolidated
ted Chile hile
1.1% 1.1% 1.0 1.0% 10 10 b. b.p. p.
Consolid
- nsolidated
ted Chile hile
1.1 p. 1.1 p.p. p. 6.8 % 8.4 %
Income Income
Recurring
Return Return on
- n
Tangible Tangible
(yoy) (yoy) (yoy)
Equity Equity (RoTE) (RoTE)
57 57
About About 1Q20 1Q20
Highlights of the results
Finan nanci cial al margi margin n wit with h cl clien ents ts
Ch$ billlion
Change in financial margin with clients Annualized average rate Financial margin with clients
- 8.9%
+4.3%
140.8 146.5 144.0 161.3 146.9
1Q'19 2Q'19 3Q'19 4Q'19 1Q'20
3.0% 2.9% 2.8% 3.3% 3.0% 3.0% 2.8% 3.0% 2.6%
2.5% 2.5% 2.5% 2.7% 2.9% 2.9% 2.4% 1.8% 1.6% 1Q'18 2Q'18 3Q'18 4Q'18 1Q'19 2Q'19 3Q'19 4Q'19 1Q'20
Financial margin with clients Average TPM
161.3 146.9 (2.1) 1.9 (1.0) (1.8) (10.5) (1.0)
4Q'19 Loan Portfolio Mix Average Loan Portfolio, Loan Spreads and Liabilities Margin Lower number of calendar days Comercial spreads on derivatives and FX transactions with clients Sale of student loans portfolio Working Capital and
- ther
1Q'20
58 58
About About 1Q20 1Q20
Highlights of the results
Finan nanci cial al margi margin n wit with h th the e market market
In Ch$ billion
Quarterly evolution breakdown UF1 net exposure (Ch$ trillion) UF – Unidad de Fomento1 ( value)
1 – UF (Unidad de Fomento) is an official unit of account in Chile that is constantly adjusted for inflation and widely used in Chile for pricing several loans and contracts.
1.9 2.0 2.2 1.9 2.7
mar-19 jun-19 sep-19 dec-19 mar-20 0.0% 1.2% 0.5% 0.9% 1.0% 1Q'19 2Q'19 3Q'19 4Q'19 1Q'20
21.1 49.1 3.3 20.8 7.3
- 53.5
7.7
3Q'19 Trading Institutional Banking 4Q'19 Trading Institutional Banking 1Q'20
59 59
About About 1Q20 1Q20
Highlights of the results
Cost Cost of f cre credi dit t and and cre credi dit t quali quality ty
Cost
- st of
- f Credit
edit Cov Coverage erage ratio atio (90 90-day dayNPL PL - %) %) Non
- n Pe
Perfomi foming ngLoan
- ans
s (90 90+ days days -%) an and d NPL PL Cr Crea eation ion (Ch Ch$ bil billi lion)
- n)
In Ch$ billion
Co Comm mmerc ercial al (exS
exStud tudent ent Lo Loans) ans)
Mo Mortgage rtgage Co Cons nsumer mer
Cost of Credit Risk Cost of Credit Risk / Average Loans 36.6 41.9 40.9 110.1 55.6 1Q'19 2Q'19 3Q'19 4Q'19 1Q'20 0.9% 1.0% 0.9% 2.4% 1.2% 36.6 55.6 3M19 3M20 0.9% 1.2% 126% 129% 132% 113% 115% 2.4% 2.4% 2.4% 2.8% 2.9%
70% 80% 90% 100% 110% 120% 130%mar-19 jun-19 sep-19 dec-19 mar-20 NPL90 Coverage Provisions / Loans
1.4% 1.5% 1.4% 1.4% 2.3% 2.3%
dec-18 mar-19 jun-19 sep-19 dec-19 mar-20
24 6 30 121 32
1.7% 1.8% 1.7% 1.6% 1.7% 1.6%
dec-18 mar-19 jun-19 sep-19 dec-19 mar-20
1.7% 2.0% 1.7% 2.0% 2.2% 2.5%
dec-18 mar-19 jun-19 sep-19 dec-19 mar-20
23 29 21 31 35 37 3 3
- 1
1 9 4
60 60
About About 1Q20 1Q20
Highlights of the results
Non-int nter erest est e expen penses ses
branches closed in Chile YoY
Eff Efficienc iciency y ratio atio quarterly - %
In Ch$ billion
193 193
branches ranches
in Chile in 1Q20
5.6 5.60 t 0 thousand housand
em employ ployees ees
in 1Q20
9 (
( 4 4.5 .5%)
Total
(52. (52.2) 2) (54.8 (54.8) (107 (107.0) .0) (9. (9.9) 1Q20 Q20 4Q19 4Q19 (47.8) (47.8) (51. (51.3) (99.1 (99.1) (1 (10.0)
Personnel Administrative Total Personnel and Administrative Depreciation, Amortization and Impairment
(11 (116.9) (1 (109.1 9.1)
- 8.
8.5%
- 6.4%
.4%
- 7.4%
7.4% 1.3% 3%
- 6.7%
7%
59.3 53.1 55.0 46.7
58.6
1Q'19 2Q'19 3Q'19 4Q'19 1Q'20
5. 5.56 56
5.60 5.60
5. 5.81
Mar-19 Mar-20 Mar-18
61 61
About About 1Q20 1Q20
Highlights of the results
De Debt bt spre spread ad ev evoluti ution
Itaú Corpbanca has presented a noticeable convergence to peers
Spreads Itaú vs.Peers1: 30-day (annualized)
1 – Average of top 3 peers in Chile. As of May 12, 2020; 2 – As of April 16, 2020.
Bonds in CLP & UF (expressed in USD MM) Spread vs.Peers1
Bonds issued in Chile LTM2 Spreads Itaú vs.Peers1: 5-year (annualized)
0.0 0.5 1.0 1.5 2.0 2.5
1-Dec-15 1-Feb-16 1-Apr-16 1-Jun-16 1-Aug-16 1-Oct-16 1-Dec-16 1-Feb-17 1-Apr-17 1-Jun-17 1-Aug-17 1-Oct-17 1-Dec-17 1-Feb-18 1-Apr-18 1-Jun-18 1-Aug-18 1-Oct-18 1-Dec-18 1-Feb-19 1-Apr-19 1-Jun-19 1-Aug-19 1-Oct-19 1-Dec-19 1-Feb-20 1-Apr-20
Peer A Peer B Peer C Corpbanca Itaú
- 1.00
- 0.75
- 0.50
- 0.25
0.00 0.25 0.50 0.75 1.00 1.25 1.50 1-Dec-15 1-Feb-16 1-Apr-16 1-Jun-16 1-Aug-16 1-Oct-16 1-Dec-16 1-Feb-17 1-Apr-17 1-Jun-17 1-Aug-17 1-Oct-17 1-Dec-17 1-Feb-18 1-Apr-18 1-Jun-18 1-Aug-18 1-Oct-18 1-Dec-18 1-Feb-19 1-Apr-19 1-Jun-19 1-Aug-19 1-Oct-19 1-Dec-19 1-Feb-20 1-Apr-20
Peer A Peer B Peer C Itaú Corpbanca 169 83 68 68 101 68 68 68 68 84 68 47 1 17 2 17 34 17 101 101 03-14-2018 04-13-2018 06-05-2018 02-11-2019 02-15-2019 02-25-2019 02-26-2019 03-07-2019 03-14-2019 05-07-2019 07-03-2019 07-04-2019 07-05-2019 07-10-2019 07-15-2019 01-14-2020 01-15-2020 01-16-2020 04-08-2020 04-08-2020 9 bp 2 bp 6 bp 6 bp 6 bp 6 bp 4 bp 6 bp 5 bp 4 bp 5 bp 9 bp 6 bp 4 bp 3 bp 7 bp 6 bp 5 bp 25 bp 10 bp
62 62
Projections Projections
Highlights of the results
GDP (%) CPI (%) Monetary Policy (%) FX
Base Fast V U
63 63
- 3.0
7.0
- 4.5
4.7
- 6.0
3.0
2017 2018 2019 2020 2021 2022 2023
2.0 2.5 2.6 2.9 3.0 3.7
2017 2018 2019 2020 2021 2022 2023
1.50 1.00 0.50 0.50
2017 2018 2019 2020 2021 2022 2023
760 720 800 770 880 850
2017 2018 2019 2020 2021 2022 2023
Itaú´s projections updated on June 9, 2020.
Projections Projections
Highlights of the results
GDP (%) CPI (%) Monetary Policy (%) FX
Base Fast V U
64 64
- 3.7
4.7
- 4.7
4.2
- 6.2
3.3
2017 2018 2019 2020 2021 2022 2023
2.0 2.4 2.5 3.0 2.8 3.7
2017 2018 2019 2020 2021 2022 2023
2.50 2.50 2.00 2.00 1.50 1.50
2017 2018 2019 2020 2021 2022 2023
3,550 3,500 3,800 3,700 4,350 4,150
2017 2018 2019 2020 2021 2022 2023
Itaú´s projections updated on June 9, 2020.
20 2020 20 | | Guidanc Guidance e under review under review
Highlights of the results
Expected
Loan Growth Loan Mix 1 Cost of credit Risk 2 Adjusted Non-Interest Expenses 3 Results from Colombia 4
6. 6.0% 4. 4.0%
Cont Continu inued incr d increasi asing re ng retail ail in in loan loan mix mix
1.2 1.2% 1.0 1.0%
Conti Continue nued d recover covery in in pr prof
- fit
itabi abili lity
1 – Retail loans refers to mortgage and consumer loan; 2 – Net provision for credit & counterparty risks; 3 – Net of labor agreement costs; 4 – Managerial Net Income Attributable to Shareholders.
4. 4.5% 5% 3.5% 3.5%
65 65
Agenda Agenda
Ec Economic
- nomic
context Corporat Corporate e profile COVI COVID-19 19 Corporat Corporate governance Str Strat ateg egic ic fronts
04 06 16 25 28 53
Capital and risk risk managem management ent
56
Highlights Highlights
- f the results
66 66
67
Additiona Additional l information
Itaú Itaú Corpbanc Corpbanca
Highlights of the results
Build the bank
- f the future
Execute our transition plan Prepare the bank for the crisis COVID -19
67 67
About About 1Q20 1Q20
Additional information
Rati Rating ng upgrade upgrades s in n 20 2016 16 co cont ntri ribute bute to to fur furth ther er re reducti duction n in n co cost st of f fun funds ds
Cu Current rrent Inte nternat rnational nal Rating Ratings Moody's S&P
Financial Capacity Rating Scale Rating Scale LT ST LT ST Extremely strong Aaa P-1 AAA A-1+ Very strong Aa1 AA+ Aa2 AA Aa3 AA- Strong A1 A+ A-1 A2 A A3 P-2 A- A-2 Adequate Baa1 BBB+ Baa2 P-3 BBB A-3 Baa3 BBB-
+3n +1n
Timel meline S ne S&P
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
A+ A- A+ A+ A A
A+ A+ A
A+ A+ A
A
A- A-
BBB+ BBB+ BBB+ BBB+ BBB BBB BBB BBB BBB+ BBB+
2020
68 68
Av Average erage ta tangible ngible e equity quity breakdow breakdown
Additional information
All other Assets: Ch$ 34,746 Ch$ 28,124 Ch $6,622 All other Liabilities: Ch$ 32,683 Ch$ 26,716 Ch$ 5,967 Asociado a Intangibles PPA: Ch$ 40 Minority Interest ex GW and PPA Intangibles: Ch$ 83 Asse ssets: s: 36 36,170 Liabilities: 32 32,751 51 Mi Minority
- rity In
Interest st: 94 94
1Q’20 Average balance (Ch Ch$ $ Tn Tn)
Managerial Tangible Equity: Ch$ 1,981 Ch$ 1,407 Ch$ 573 Shareholders’ Equity: 3,325
Managerial Tang. Equity: Recurring Results: Recur Recurrin ing RoT RoTE: E: Ch$ 1,981 Ch$ 1,407 Ch$ 573 Ch$ 33.8 Ch$ 29.5 Ch$ 4.3
÷ ÷ ÷
6.8% .8% 8.4% .4% 3.0 .0%
= = =
Goodwill: Ch$ 1,192 Ch$ 935 Ch$ 257 Intangibles from PPA: Ch$ 232 Ch$ 107 Ch$ 126 Deferred taxes asociatedwith intangibles from PPA: Ch$ 68 Ch$ 28 Ch$ 40 Asociatedw/ PPA Intangibles: Ch$ 11 GW and PPA Intangibles: Ch$ 1,344 Ch$ 1,013 Ch$ 331
69 69
Tran Transac sactions tions in Colo in Colombia mbia
Additional information
Itaú Itaú Corpbanca Corpbanca acquir acquired ed sh shares ares of It f Itaú aú Corpbanca Corpbanca Colombi Colombia fr a from m Hel Helm m LLC LLC
Stru truct cture re in Co n Colomb mbia
Itaú Cor taú Corpb pbanca anca
Ita Itaú Corp
- rpbanca
ca Colom
- lombia
- On June
On June 16 16, 201 2017 I 7 Ita taú Co Corpbanca Co rpbanca Colomb mbia a ac acqu quired red Itaú Itaú BBA A Co Colomb mbia a as asset ets and l and liabi abilities ties1
1
- Po
Postpo tponement nement of f the the date date for for Itaú Itaú Co Corpbanca rpbanca to purc to purchas hase e the the 12 12.36 36% sta take ke o
- f
f Co CorpG rpGro roup p in I n Ita taú Co Corpbanca rpbanca Co Colomb mbia: a:
‐ The postponement date to purchase is until January 28, 2022 ‐ The purchase price has not changed (US$ 3.5367 per share2) ‐ Itaú Corpbanca will carry out commercially reasonable efforts to register an listing Itaú Corpbanca Colombia in the Colombian Stock Exchange (CSE) ‐ The rational is to create a liquidity mechanism for minorities to sell the stake in the company
- Itaú
Itaú Co Corpbanca rpbanca ac acqu quired red shares hares of f Itaú Itaú Co Corpbanca rpbanca Co Colomb mbia a from from H Helm elm LLC and C and Kres resge ge Stock tock Holdi ding ng Co Comp mpany any
‐ On December 3, 2019, following receipt of regulatory approvals from the banking supervisors in Chile, Colombia and Brazil, Itaú Corpbanca completed its previously announced acquisition of shares of Itaú Corpbanca Colombia from Helm LLC and Kresge Stock Holding Company ‐ Itaú Corpbanca acquired shares representing approximately 20.82% of Itaú Corpbanca Colombia’s outstanding equity for aggregate consideration of approximately US$334 million which implies a valuation multiple of 1.37 times book value as of October 31, 2019. This valuation is consistent with the valuation of Itaú Corpbanca Colombia in Itaú Corpbanca’s financial statements ‐ The acquisition resulted in an estimated impact of 0.94% on Itaú Corpbanca’s CET1 ratio, on a fully loaded basis under the Basel III standards (using exchange rates as
- f November 30, 2019). In this context, Itaú Corpbanca estimated that its CET1 ratio
would be 7.0%, considering the preliminary analysis of the capital effects of the regulations under public consultation recently announced by the CMF Cor CorpGr pGrou
- up
Ot Other er Min inor
- rit
ities ies Itaú aú BBA Colomb
- lombia
ia
(asset a t and nd lia liabilit ilitie ies))
87.10% 12.36% 0.54%
Acquisition in 2017
1 Itaú Corpbanca Colombia S.A. paid Ch$33,205 million to Itaú BBA Colombia S.A Corporación Financiera; 2 This amount accrues interest from (and including) August 4, 2015 until (but excluding) the payment date at an annual interest rate equal to Libor plus 2.7%.
70 70
Glo Global bal mac macroeconomic roeconomic out
- utlook
look
Additional information
Itaú´s projections updated on June 9, 2020.
71 71
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020F 2021F GDP Growth (%) - World Economy World 4.2 3.5 3.5 3.6 3.5 3.3 3.7 3.7 1.8
- 3.8
5.8 USA 1.6 2.2 1.8 2.5 2.9 1.6 2.4 2.9 2.3
- 5.0
4.0 Euro Zone 1.7
- 0.8
- 0.2
1.4 2.0 1.9 2.7 1.9 1.2
- 8.0
5.0 China 9.5 7.9 7.9 7.4 7.0 6.8 6.9 6.6 6.1 2.0 7.5 Japan
- 0.1
1.5 2.0 0.0 1.3 0.5 2.2 0.3 0.8
- 4.0
2.2 GDP Growth (%) - Latam Brazil 4.0 1.9 3.0 0.5
- 3.5
- 3.3
1.3 1.3 1.1
- 4.5
3.5 Chile 6.1 5.3 4.0 1.8 2.3 1.7 1.2 3.9 1.1
- 4.5
4.7 Colombia 7.4 3.9 4.6 4.7 3.0 2.1 1.4 2.5 3.3
- 4.7
4.2 Mexico 4.0 3.6 1.4 2.8 3.3 2.9 2.1 2.2
- 0.3
- 8.5
4.3 Peru 6.5 6.0 5.8 2.4 3.3 4.0 2.5 4.0 2.2
- 6.6
4.6 Inflation (eop, %) Brazil (IPCA) 6.5 5.8 5.9 6.4 10.7 6.3 2.9 3.7 4.3 1.8 2.8 Chile 4.4 1.5 3.0 4.6 4.4 2.7 2.3 2.6 3.0 2.6 2.9 Colombia 3.7 2.4 1.9 3.7 6.8 5.8 4.1 3.2 3.8 2.5 3.0 Mexico 3.8 3.6 4.0 4.1 2.1 3.4 6.8 4.8 2.8 2.9 3.3 Peru 4.7 2.6 2.9 3.2 4.4 3.2 1.4 2.2 1.9 1.2 2.1 Monetary Policy Rate (eop, %) Brazil 11.00 7.25 10.00 11.75 14.25 13.75 7.00 6.50 4.50 2.25 3.00 Chile 5.25 5.00 4.50 3.00 3.50 3.50 2.50 2.75 1.75 0.50 1.00 Colombia 4.75 4.25 3.25 4.50 5.75 7.50 4.75 4.25 4.25 2.00 2.00 Mexico 4.50 4.50 3.50 3.00 3.25 5.75 7.25 8.25 7.25 4.00 4.00 Peru 4.25 4.25 4.00 3.50 3.75 4.25 3.25 2.75 2.25 0.25 0.75 Unemployment Rate (avg, %) Brazil
- 7.4
7.1 6.8 8.5 11.5 12.7 12.3 11.9 14.6 13.7 Chile 7.1 6.4 5.9 6.4 6.2 6.5 7.0 7.4 7.2 9.0 8.3 Colombia 10.8 10.4 9.6 9.1 8.9 9.2 9.4 9.7 10.5 16.0 14.0 Mexico 5.2 4.9 4.9 4.8 4.4 3.9 3.4 3.3 3.5 5.5 4.3 Peru 7.7 7.0 5.9 6.0 6.4 6.7 6.9 6.6 6.6 8.5 7.5
Chile Chile
Additional information
Macro Macroeconomi economic c Outl utlook k
GDP Growth | % (YoY) Per Capita GDP | US$ Thousand Unemployment rate | % Inflation and Policy Rate | %
5.1 3.3 2.7 3.8 7.0 6.2 5.7 5.2 3.5
- 1.6
5.8 6.1 5.3 4.0 1.8 2.3 1.7 1.2 3.9 1.1
- 4.5
4.7
- 5
- 4
- 3
- 2
- 1
1 2 3 4 5 6 7 8 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
5.1 4.6 4.5 4.8 6.2 7.6 9.510.510.710.6 12.9 14.2 15.315.6 14.5 13.314.0 15.115.9 14.5 12.4 13.7
2 4 6 8 10 12 14 16 18 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
9.7 9.9 9.8 9.5 10.0 9.3 8.0 7.0 7.8 10.8 8.3 7.2 6.5 6.0 6.3 6.3 6.7 7.0 7.4 7.2 9.0 8.3
4 5 6 7 8 9 10 11 12 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
4.5 2.6 2.8 1.1 2.4 3.7 2.6 7.8 7.1
- 1.4
3.0 4.4 1.5 3.0 4.6 4.4 2.7 2.3 2.6 3.0 2.6 2.9
- 2
2 4 6 8 10 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20 Inflation Policy Rate
Itaú´s projections updated on June 9, 2020.
72 72
Chile Chile
Additional information
Macro Macroeconomi economic c Outl utlook k
International Reserves | % of GDP Current Account Balance | % of GDP Central Government Fiscal Balance | % of GDP External Debt | % of GDP
19.4 20.2 21.9 20.8 16.1 13.8 12.6 9.8 13.2 14.2 12.6 17.1 15.6 14.9 15.7 16.215.9 13.9 13.4 14.6 14.5 13.0
5 10 15 20 25 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
- 1.2-1.5
- 0.8-1.1
2.6 1.5 4.6 4.1
- 3.2
1.7 1.3
- 1.7
- 3.9-4.1
- 1.7
- 2.4 -2.0 -2.3
- 3.6 -3.9
0.0
- 1.4
- 5
- 4
- 3
- 2
- 1
1 2 3 4 5 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
- 0.6-0.5
- 1.2
- 0.4
2.1 4.4 7.3 7.8 3.9
- 4.4
- 0.5
1.3 0.6
- 0.6
- 1.6-2.1-2.7-2.8
- 1.6
- 2.8
- 8.1
- 4.0
- 8
- 6
- 4
- 2
2 4 6 8 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
6.8 5.3 3.7 3.0 2.3 1.9 2.3 2.5 3.0 3.0 3.4 3.9 4.3 5.2 7.8 8.4 10.8 49.8 39.0 33.2 29.5 29.7 34.5 38.8 36.4 38.2 42.946.1 55.2 62.9 59.656.7 54.5 60.3
10 20 30 40 50 60 70 Dec-03 Dec-09 Dec-15 Dec-21 Private Public
Itaú´s projections updated on June 9, 2020.
73 73
Colo Colombia mbia
Additional information
Macro Macroeconomi economic c Outl utlook k
GDP Growth | % (YoY) Per Capita GDP | US$ Thousand Unemployment rate | % Inflation and Policy Rate | %
2.9 1.7 2.5 3.9 5.3 4.7 6.8 6.8 3.3 1.2 4.3 7.4 3.9 4.6 4.7 3.0 2.1 1.4 2.5 3.3
- 4.7
4.2
- 5
- 4
- 3
- 2
- 1
1 2 3 4 5 6 7 8 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
2.5 2.4 2.4 2.3 2.8 3.4 3.7 4.7 5.3 5.2 6.3 7.3 8.0 8.1 8.0 6.1 5.8 6.3 6.7 6.4 5.4 5.9
1 2 3 4 5 6 7 8 9 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
13.3 15.0 15.6 14.1 13.7 11.8 12.0 11.2 11.3 12.0 11.8 10.8 10.4 9.6 9.1 8.9 9.2 9.4 9.7 10.5 16.0 14.0
5 7 9 11 13 15 17 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
8.7 7.6 7.0 6.5 5.5 4.9 4.5 5.7 7.7 2.0 3.2 3.7 2.4 1.9 3.7 6.8 5.8 4.1 3.2 3.8 2.53.0
5 10 15 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20 Inflation Policy Rate
Itaú´s projections updated on June 9, 2020.
74 74
Colo Colombia mbia
Additional information
Macro Macroeconomi economic c Outl utlook k
International Reserves | % of GDP Current Account Balance | % of GDP Central Government Fiscal Balance | % of GDP External Debt | % of GDP
- 5.0-5.5 -5.7
- 4.7
- 4.9
- 4.3
- 3.7
- 3.0
- 2.3
- 4.1-3.9
- 2.8
- 2.3-2.3 -2.4
- 3.0
- 4.0 -3.6
- 3.1
- 2.5
- 6.1
- 4.5
- 8
- 6
- 4
- 2
Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
10.411.111.511.6 10.2 9.5 10.110.210.8 9.9 9.6 10.1 11.412.4 15.916.615.314.5 16.4 19.8 18.3
2 4 6 8 10 12 14 16 18 20 22 Dec-01 Dec-06 Dec-11 Dec-16 Dec-21
0.9
- 1.1-1.3
- 1.0 -0.7
- 1.3
- 1.8
- 2.9-2.9
- 2.0
- 3.0-2.9-3.1-3.3
- 5.2
- 6.3
- 4.3
- 3.3
- 3.8-4.3-3.3 -3.7
- 8
- 6
- 4
- 2
2 Dec-00 Dec-05 Dec-10 Dec-15 Dec-20
Itaú´s projections updated on June 9, 2020.
75 75
26.0 22.0 16.6 16.3 14.0 12.1 15.8 13.8 12.7 12.4 13.7 15.7 22.5 25.1 23.1 22.0 23.2
14.2 11.6 9.9 8.5 7.6 7.0 7.1 8.8 9.9 8.8 10.4 11.0 15.5 17.4 16.9 17.7 20.0
5 10 15 20 25 30 35 40 45 50 Dec-03 Dec-09 Dec-15 Dec-21 Private Public