Slide 1 Important information This presentation may contain forward - - PDF document

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Slide 2

Important information

This presentation may contain forward looking statements, including such statements within the meaning of Section 27A of the US Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements concern or may affect future matters, such as the Group's economic results, business plans and strategies, and are based upon the current expectations of the directors. They are subject to a number of risks and uncertainties that might cause actual results and events to differ materially from the expectations expressed in or implied by such forward looking statements. Factors that could cause or contribute to differences in current expectations include, but are not limited to, regulatory developments, competitive conditions, technological developments and general economic conditions. These factors, risks and uncertainties are discussed in the Group's SEC filings. The Group assumes no responsibility to update any of the forward looking statements contained in this presentation. The information, statements and opinions contained in this presentation do not constitute a public offer under any applicable legislation or an

• ffer to sell or solicitation of an offer to buy any securities or financial instruments or any advice or recommendation with respect to such

securities or other financial instruments. The information contained in this presentation is subject to, and must be read in conjunction with, all other publicly available information, including, where relevant any fuller disclosure document published by the Group. Any person at any time acquiring the securities must do so

• nly on the basis of such person’s own judgement as to the merits of the suitability of the securities for its purposes and only on such

information as is contained in public information having taken all such professional or other advice as it considers necessary or appropriate in the circumstances and not in reliance on the information contained herein. The information is not tailored for any particular investor and does not constitute individual investment advice. Information in this presentation relating to the price at which investments have been bought or sold in the pastor the yield on investments cannot be relied upon as a guide to future performance.

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Slide 4

The 3-5 Year Journey to Standalone Strength

Rebuild attractive shareholder value for all and enable UK Government to sell down its shareholding profitably Be leaders in our markets – effective and disciplined in our management Re-commit the entire organisation to delivering for our customers Restructure as premier financial institution, anchored in the UK while serving individual and institutional customers here and globally Our primary task is to rebuild standalone strength and value

Slide 5

Building Blocks Necessary for Recovery

What now – Execution!

• Recapitalisation & Government funding support
• Management and Board changes
• Analysis and Presentation of ‘the problems’

Today New Strategy – roadmap to unite people and resources Asset Protection Scheme – improve protection against extreme loss during strategy execution Severity of downturn “manageable” Today Tbd

Slide 6

Today

The strategy we announce today will:

Shift ~20% of funded assets to Non-Core Division for

disposal/run down

Cut more than £2.5bn out of the cost base Benefit from the Government Asset Protection Scheme Drive major changes to management, processes and culture Radically restructure GBM, taking out 45% of capital employed Deliver substantive change in all businesses Centre on UK with tighter, more focused global operations Target retail and commercial exit outside UK, Ireland and US

Country exits subject to consultation with works councils, regulators and social partners

Slide 7

Major decisions on Strategy made Deleveraging and reducing wholesale funding begun New RWA and asset growth constrained Comprehensive cost reduction underway Restructured compensation Fuller suite of management tools deployed Introduced new disciplines on risk concentrations and processes Restructured and simplified management

• Action to Date

Slide 8

2008 Results

Our results for 2008 were bad:

• Net attributable losses before goodwill of £7.9bn
• £16.2bn write-down of goodwill paid on prior acquisitions

This masks the inherent strengths of RBS’ businesses and

strong or resilient performances by most of the Bank

The global economic downturn will test us again in 2009 All our efforts are now focussed on the path to recovery

Slide 9

The Past – issues to address

Leverage ABN AMRO acquisition Strategy Profit focus Management & processes Risk controls

Slide 10

Top Down Tests

Regain standalone AA

ratings category – lower leverage, less reliance on unsecured wholesale funding, stronger businesses

15%+ return on tangible

equity (ROE) – necessary to cover cost of capital

More stable business mix –

cease proprietary activity, focus on customer flows, risk management & less leverage Tests for each Business

Top tier competitive position in

enduring customer franchise

15%+ ROE in normal markets Proportionate use of balance

sheet, risk & funding

Capable of organic growth –

but “market limited”

Connected to the Group –

customers, products, people

Strategic Plan

Slide 11

Core

UK Retail UK Corporate &

Commercial

Wealth Ulster Citizens Insurance GBM GTS

Strategic Plan

Non-Core

Non-Core division to be separately managed

and wound down within the existing legal structures of the Group

All other businesses have been through root

and branch strategic review: no sacred cows

Many will be significantly restructured All subject to cost programme All have tight RWA targets

A ‘self help’ programme given weakness of disposal markets

Non-Core and Core split

Slide 12

Non-Core

Non-strategic assets Stressed assets Includes portfolios, assets and

businesses

Vast majority from GBM Retail and commercial businesses

continental Europe and Asia

Other Retail & Commercial Non-

Core

Separately managed, reporting line to CEO Matrix support from donor Divisions Run-off over 3-5 years as fast as is consistent with value and risk

2008 financials

~£240bn assets (+~£145bn

derivative positions)

~£155bn RWA ~£3.9bn revenues ~£1.1bn direct expenses ~£3.2bn impairment losses ~£9.2bn credit market and other

trading asset write-downs

Slide 13

Non-Core

145 145 240 205

GBM UK R&C Asia R&C EME R&C Total Citizens

60 60 95 40 30 70 145 240

Asia US UK EME Total Non-Core Assets by Division, 2008 £bn Non-Core Assets by Region, 2008 £bn

350 385 385 5 14 15 1 5 25 Third Party Assets excluding derivatives MTM Derivatives MTM GBM geographic split based on client view

Slide 14

Global Banking & Markets

Re-size and re-focus GBM

Planned actions

£350bn in assets to non-core:

– Exit balance sheet heavy, niche segments – Focus on major financial centres, scale back presence elsewhere – Exit illiquid products/proprietary trading

New risk management disciplines and

substantial operating cost reductions Retention Rationale

Restructured and de-risked business will deliver steady and significant profits Can maintain top tier customer businesses Natural complement to corporate businesses No viable market exit opportunity

Goals

20%+ ROE £150bn RWA (45% lower than today) Business limited to liquid customer

franchises with top tier competitive position

Major re-balancing of funding

requirement

Slide 15

• Essential to our clients
• Resilient origination and

distribution markets

• Re-sized market
• pportunity
• Reduced RBS capacity
• Distressed asset prices

and “closed” markets

• Non strategic to RBS,

including some highly valuable businesses

Global Banking & Markets

Split between Core and Non-Core

Core businesses Restructured core businesses Non-Core assets and businesses

• FX and options
• Rates
• Money markets
• Commodities
• Cash equities
• DCM
• ECM
• Restructuring and

advisory

• ABS Trading
• Flow Credit Trading
• Equity derivatives
• Equity financing
• Prime ABS origination
• Corporate and FI lending
• Structured credit trading
• Illiquid proprietary trading
• Structured derivatives
• Asset management
• Non-conforming ABS
• rigination
• Real estate lending
• Leveraged finance lending
• Project finance lending
• Asset finance

Core Non-Core ~£153bn RWA ~£126bn RWA

Slide 16

GBM & GTS International Network

Streamlined footprint, while maintaining global proposition

Explore new ownership

• Argentina, Bahrain, Chile, Colombia, Egypt, Kazakhstan, New Zealand, Pakistan,

Philippines, Portugal, Romania, Slovakia, Uzbekistan, Venezuela, Vietnam

Refocused countries

• Austria, Belgium, Brazil, Canada, Czech Republic, Denmark, Finland, Greece,

Indonesia, Korea, Luxembourg, Malaysia, Mexico, Norway, Poland, Qatar, South Africa, Switzerland, Taiwan, Thailand, Turkey

Primary countries

• Australia, China, France, Germany, Hong Kong, India, Ireland, Italy, Japan,

Netherlands, Russia, Singapore, Spain, Sweden, UAE, UK, US Subject to consultation with works councils, regulators and social partners

Slide 17

Citizens

Focus on retail and commercial customer relationships in core footprint

Planned actions

Exit most activities outside core

“footprint”

Cost restructuring in order to re-invest

in the core franchise (incl technology and marketing spend)

Improved cross-sell to in-footprint

customers

Resize risk portfolios Revitalise retail (sales, technology,

deposits) Retention Rationale

Strong franchise and attractive portfolio in core markets Meets the Group strategic tests over cycle Improves Group funding ratios Improves Group geographic balance and opportunities Sale would be destructive of value and capital

Goals

Top 5 in the markets we serve Disciplined use of balance sheet:

– 1:1 ratio loans/deposits – Retain below average risk profile

15%+ ROE Greater organic growth Increase connectivity with rest of

Group

Slide 18

• Reduce costs: Online,

lean, automation

• Segment service by

value

• Invest in systems and

sales

• Manage portfolio

stress

• Reduce cost base,

tailor cost to serve to value

• Invest in systems and

service

• Consolidate UK and

international

• Grow RM base,

enhance productivity

• Investment in platform

UK and Wealth

UK Retail UK Corporate & Commercial Wealth

• ROE 15%+
• Funding growing faster

than assets

• Customer service

leadership

• Lending commitments
• ROE 15%+
• Work off risk

concentrations

• Stronger credit,

portfolio management processes

• Deposit growth
• Lending commitments
• Maintain high ROE
• Continued AuM growth
• Sustain UK market

leadership Key Actions Goals

Slide 19

• Re-balance assets/

liabilities

• Pro-actively manage

risk

• Increase and diversify

deposit base

• Move to single brand
• Significant cost

restructuring

• Re-invigorate top line

growth by investing efficiencies

• Strengthen multi-

channel distribution

• Maximize value of

global capabilities

• Rightsize the global

network (incl. country exits)

• Maintain service levels
• Slimmed down
• perating model

Other businesses

Ulster Bank Insurance GTS

• 15%+ ROE
• Improved loan:deposit

ratio

• Risk concentration

reduced

• Franchises maintained
• 20%+ ROE
• Extend lead
• Lowest cost operations
• Strong UK commercial

lines

• Maintain high ROE
• Europe as core base
• Leading SEPA bank
• Explore in-organic
• ptions

Key actions Goals

Slide 20

Management disciplines and culture

Financial discipline

Improved controls and

costs/capital fully allocated to Divisions

Focus on funding balance Disciplined RWA usage in the

core (value not volume)

Focus on returns (and setting of

return targets) not just profits

Total balance sheet size

controlled and liquidity surprises avoided Risk management disciplines

Reduced single name, sector &

country concentration limits

Earnings volatility/ impairments

managed down

Strengthened risk function role Drive business performance

through focus on returns and strategy

New reporting systems increase

transparency

Underpinned by new management processes and incentives

Slide 21

Expenses

Maximising efficiency crucial to restoring shareholder value

Deliver greater than £2.5bn (16%) efficiency cost

savings by 2011 versus 2008, at constant exchange rates

This includes the remaining £0.5bn already

promised from ABN AMRO integration not reflected in 2008

The greatest savings arise in GBM and

Manufacturing

Restructuring charges likely over next 3 years:

1.5 - 1.75 year payback targeted

The programme does not include effect of inflation,

incentive pay movements, or cost reductions arising from business exits or the impact of new projects (if any)

Slide 22

The Asset Protection Scheme

Secure asset insurance that protects and enhances capital strength and outlook, thereby

Enhancing financial strength and stability for customers and

depositors

Reducing risk to shareholders Allowing greater support for UK customers via increased lending Facilitating Non-Core run-off plan, leaving Core Bank more free to

restructure and progress

RBS objectives

Slide 23

The Asset Protection Scheme

RBS has the opportunity to “insure” the following portfolios:

– £225bn third party assets and £44bn undrawn commitments – £33bn derivative counterparty risk exposures – Total pool of £302bn, RWAs ~£160bn

Insured assets would be:

– 53% placed in non-core division – 47% part of ongoing businesses. Rationale for latter to “make room” for new UK lending commitments

More detail and recommendation to shareholders to follow in the coming

weeks Overview

Slide 24

The Asset Protection Scheme

£6.5bn fee would be “paid” up front via issue to HMT of B shares, a Core Tier 1

capital instrument defined as ordinary shares with preferential rights in respect of dividends

Additional £13bn of capital would be issued to HMT as part of APS agreement with

a further £6bn available thereafter at RBS’ option

Estimated at £144bn at 31 Dec 2008

(Reflecting 90/10 risk sharing on second loss)

RWA relief Percentage of first loss borne by RBS on pool Split of second loss Fee paid

6% 90% to HMT / 10% to RBS 2% of gross pool to be amortised over 7 years

Core elements of the scheme Description

Slide 25

Pro forma financial impact 31 Dec 2008

Pre Post

RWAs £578bn £434bn Core Tier 1 capital £41bn £54bn Core Tier 1 ratio 7.0% 12.4%

• Post APS Core Tier 1 impacted by issuance of £19.5bn B shares, offset

by the £6bn deduction of first loss exposure (50% of first loss, capped at 8% of RWAs)

• Over time book value attributable to Ordinary Shareholders eroded by

fee amortisation, the cost of the B shares and potential losses on insured assets

• RBS would also be required to give up the tax shelter from any part of

future UK losses prior to returning to profitability

Slide 26

UK lending commitments

Entry into the APS would also involve RBS committing to:

£25bn increase in net lending commitments in 2009 (vs current plan) Further £25bn increase provisionally targeted in 2010 Commitment for each year divided

– £9bn mortgages – £16bn SME and corporate

Lending subject to commercial pricing, credit decisions and risk limits

Slide 27

The quantum and urgency of change required at RBS to recover its standalone strength is a major additional challenge Market pessimism, illiquidity, strained funding markets and industry de-leveraging make “short cuts” unviable Need to retain and motivate our people and rebuild external confidence Executing “business as usual” is a challenge for all banks in the current economic environment

Challenges at Hand

Market environment very uncertain – credit costs are rising, risk of further write-downs

Slide 28

Building Blocks Necessary for Recovery

What now – Execution!

• Recapitalisation & Government funding support
• Management and Board changes
• Analysis and Presentation of ‘the problems’

Today New Strategy – roadmap to unite people and resources Asset Protection Scheme – improve protection against extreme loss during strategy execution Severity of downturn “manageable” Today Tbd

Slide 29

Financial Review

Slide 31

26.7

2008 group results

£bn

1 Net of Bancassurance claims 2 Includes £0.5bn charged to impairments relating to re-classified assets 3 Includes FV of debt of £1.2bn, £0.4bn disposal gains, £0.3bn share of shared assets, £1.1bn integration costs, £0.3bn restructuring costs & £0.4bn amortisation of intangibles 4 Before exceptional goodwill impairments 5 Including tax credit of £0.7bn

(7.8) 1.3 (1.0) (16.2) (15.9) (3.7) (7.0) (7.9) Total income1 (0.5) Insurance claims Credit market write-downs2 Attributable loss before goodwill impairments4 Tax Exceptional goodwill impairments5 Costs Other3 MI & Pre- ference shares Impairments

Slide 32

Income road map

FX (5.8) Growth ex GBM (1.3) 20071 (0.3) GBM trading write-downs (0.4) Funding, Liquidity &

• ther

32.5 0.3 GBM lower income 1.2 IFRS volatility 2008 underlying income1 33.0 26.7

(2%)

Income pre GBM trading write-downs

(19%)

£bn

1 Net of Bancassurance claims

% change on last year

Slide 33

Cost road map

£bn

% change on last year

FSCS Levy Incremental investment Operating lease provisions Wage awards (1.9) FX Variable pay 2007 2008 (66%) (4%) 15.9 0.2 0.1 0.6 0.1 0.2 16.6

Slide 34

Impairments road map

£bn

1 Impairments relating to re-classified assets shown separately in credit market write-downs

% change on last year

7.4 0.5 6.9 3.0 0.1 0.4 0.7 0.6 2.1

2008 inc re- classified asset impairments 2007 UK R&C US R&C EME R&C Asia R&C GBM Re-classified asset impair- ments1 2008 total +230%

Slide 35

Divisional operating profit1

£bn

1 Post manufacturing costs 2 Excludes £7bn of credit market write-downs & one off items, £0.5bn of impairments relating to re-classified assets, and includes £5.8bn of other trading asset

write-downs

3 Includes central function headcount

0.1 1.3 0.8 0.1 0.5 0.4 1.1 1.8 UK Retail UK Commercial UK Wealth (0.1) GTS (3.6) GBM2 (1.3) Asia R&C Central: funding costs Underlying Group

• perating

profit EME R&C Insurance Central:

• ther

costs3 (0.9) US R&C

Slide 36

Divisional income

£bn

1 Net of Bancassurance claims 2 Excludes £7bn of credit market write-downs & one off items, includes £5.8bn of other trading asset write-downs

26.7 2.5 4.4 5.6 0.8 1.5 3.0 0.9 3.2 6.7 Asia R&C Insurance GBM2 GTS Centre &

• ther

2008 underlying income1,2 UK Retail1 UK Commercial UK Wealth US R&C EME R&C (1.9)

Slide 37

Net interest margin trends

FY08 09 Outlook FY07 Comments

UK R&C 3.39 3.21 US R&C 2.74 2.73 EME R&C 2.23 2.02 GBM 0.75 1.19 Group 2.00 2.10

Higher funding costs/lower deposit margins Outweigh improved front book pricing

% %

Strong Money Markets from declining rates

2009 outlook impacted by:

Low interest rates 10-15bps Incremental liquidity costs 5-10bps Lower deposit margins 5-10bps

Slide 38

GBM – underlying income

2008 Revenue = £10.2bn 2008 £bn 2007 £bn % Underlying revenue 10.2 10.9 (6) Trading write-downs (5.8)

• Published underlying revenue

4.4 10.9 (60) Credit market write-downs (7.0) (1.8)

• Published headline revenue

(2.5) 9.1

• Rates, Currencies and Commodities strong

Debt and Equity subdued Write-downs as previously indicated

Commodities: £0.8bn Credit Markets: £1.4bn (-50%) Currencies: £1.7bn (+55%) Rates: £3.5bn (+40%) Equities: £0.4bn (-64%) A&PM: £2.4bn (-28%)

Other items: 2008 £bn 2007 £bn

• RBS Sempra Commodities

0.8

• other operating income

0.6 1.9

Note:Published write-downs = £7.0bn. This includes total losses of (£9.0bn) plus gains on fair value own debt and CDS hedging of £2.0bn A&PM = Asset & Portfolio Management

Risk Management

Slide 40

GBM – Trading asset write-downs

Write-down1 £bn Comments MTM write-downs on run-off businesses CVA increase of £1.3bn offset by hedging benefits Principal losses on Merchant Banking and Private Equity portfolios Principal Finance Structured credit Counterparty Total Trading write-downs CDPCs Lehman Brothers (£0.7bn) Icelandic Banks (£0.6bn) Madoff (£0.6bn)

0.5 0.6 2.3 2.4 5.8

£0.8bn total Q3 08 £4.1bn total Q4 08

1 Pre-tax write-downs for full year 2008

Slide 41

GBM – Credit Market write-downs

1 Pre-tax write-downs for full year 2008 excluding £0.5bn relating to re-classified assets 2 Exposures as at 31 December 2008 net of hedges and write-downs 3 Held-for-trading

Write-down1 £bn CLOs ABS CDOs US Residential Mortgages Total 0.1 1.5 3.0 0.2 1.6 3.1 7.3 1.1 US Commercial Mortgages Monolines Exposures Leveraged Loans - HFT CDS Hedging 1.3 21 Net Exposure2 Avg Price % n/a 0.5 81 0.1 n/a 4.8 n/a 0.4 87 Comments Legacy positions Legacy portfolio - small remaining exposure in HFT3 Legacy portfolio – small remaining exposure in HFT3 Legacy positions – now exited CVA of £6bn, over 50% reserved Legacy positions – exposures much reduced

Slide 42

Impairments by division

Impairments £bn 2008 inc re- classified assets Re-classified assets UK Retail & Wealth UK Corporate & Commercial US Retail & Commercial EME Asia GBM 2008 Total 7.4 0.5 1.3 0.7 1.0 0.5 0.2 3.2 6.9 Comments Personal unsecured flat, weaker H2 Primarily small business deterioration Mainly house builder and development property Losses concentrated in smaller end of corporate sector Retail deterioration, SBO build and Commercial Real Estate Primarily residential investment and development Deterioration in consumer credit portfolios £2.7bn in Q4, including LyondellBasell (£0.9bn) and other smaller cases Total £4.8bn higher than 2007 IAS 39 re-classified assets

Slide 43

Credit quality

1 Gross loans & advances to customers excluding reverse repurchase agreements and stock borrowing 2 Impairment charge calculation excludes impairments from available-for-sale securities 3 Provision coverage is in respect of both customers and banks

FY 2007 Change (reported) 59 50 Provision coverage %3 563 25% 8% 701 Gross Loans & Advances (L&A)1 £bn 8.4 126% 113% 18.9 NPL + PPL £bn 1.49% 2.69% NPL + PPL % of L&A 0.37 0.91 Impairment charge % L&A2 Change (constant FX) FY 2008

NPLs increased £10bn: 50% GBM, 50% Regional Markets Provision balance − 60% RM − 40% GBM Lower coverage ratio reflects changing mix from unsecured personal to secured exposures and write-

• ffs of £3bn

Slide 44

Portfolio quality – overview

Exposure1 risk rating 10 20 30 AQ1 AQ2 AQ3 AQ4 AQ5 AQ6 AQ7 AQ8 AQ9 AQ10

Heightened monitoring

% of portfolio by grade Normal monitoring

Financial institutions Corporates and

personal Heightened monitoring

Financial institutions Corporates and

personal NPLs Total Portfolio performance £bn 703 110 593 133 64 69 19 855 Exposure by division % of portfolio by division GBM UKCB UK Retail Citizens Ulster Other 10 20 30 40 50 60

1 Exposures are defined as credit risk assets consisting of loans and advances (including overdraft facilities), installment credit, finance

lease receivables, debt securities and other traded instruments across all customer types. Asset Quality (AQ) bands allow the internal reporting and oversight of risk assets by differentiating on the basis of the key drivers of default for a customer type. Bands also map to asset quality and wholesale exposure scales, enabling detailed internal and external reporting of risk depending on audience and business need

Normal monitoring Non-Performing Book

Slide 45

Exposure by sector Exposure by country

Portfolio quality – by country and sector

1 Exposures are defined as credit risk assets consisting of loans and advances (including overdraft facilities), installment credit, finance lease

receivables, debt securities and other traded instruments across all customer types.

% of portfolio by country 10 20 30 40 United Kingdom Western Europe (Excluding UK) North America Asia & Pacific Latin America CEE & Central Asia Middle East & Africa % of portfolio by sector 5 10 15 20 25 30 Personal Banks, other FIs Agriculture and Fisheries Wholesale and retail trade Building Property Power, Water & Waste Natural Resources and Nuclear Manufacturing Public Sectors & Quasi-Government TMT Business Services Tourism and Leisure Transport and Storage

Heightened monitoring Normal monitoring Non-Performing Book

Slide 46

Commercial Property exposure1

RBS EME 18% RBS UK 43% US R&C 7% GBM 32%

Global portfolio: £97bn Core portfolio cumulative LTV distribution: By Division:

90% 71% 45% 27% 17% 8% 4% 1% >50% >60% >70% >75% >80% >85% >90% >100%

UK portfolio2, 3: £56bn 58% UK lending, 12% RoI, 8% US, Western Europe 17% o/w Spain 3%, Germany 6% 73% investment, 24% development Less than 2% speculative lending Average LTV 84%3 Occupier markets are weakening Lower interest rates mitigates the impact on tenant cash flow

1 Includes commercial property and residential property developers 2 Includes RBS UK (£41bn), GBM (£9bn) & UB NI (£6bn). LTV calculation based on a sub portfolio of £43bn where LTVs are applicable 3 Basis of valuation - Cumulative LTVs, most recent valuation; Average LTVs - based on stress testing and applying property index movements to update valuations

Slide 47

Single Name Concentration1 exposure

1 Single Name Concentration defined as names > £0.5bn total committed exposure 2 TCE (Total committed exposure) includes both credit and counterparty risk. Total TCE group-wide as of year end 2008 = £1trn

253 Total (127 FIs) 132 Of which top 20 160 Total (170 corporates) 44 Of which top 20 Financial Institutions Corporate

Total committed exposure (TCE)2, £bn TCE2/entity, £bn Investment grade %

100% 93% 83% 75%

Heightened monitoring cases

2 5 2 18 6.6 2.0 2.1 0.9

% of total TCE2

13% 25% 4% 16%

Slide 48

Impairments outlook

2008: No. of corporate cases transferred to Recoveries Units Globally

Case flow reflects economic

downturn

Cyclical industries impacted

first e.g. Property, construction

Signs of broader weakness

now showing

* Other includes TMT, Tourism & Leisure, Business Services, Banks & FIs and others

50 100 150 200 250 300 350 400 450 1 2 3 4 5 6 7 8 9 10 11 12 13 14

Jan Dec Nov Oct Sep Jun Mar £bn

• No. of cases

Value transferred into recoveries unit Other* Transport & Storage Manufacturing Construction Wholesale & Retail Trade Property

Slide 49

Risk mitigation actions

Problem recognition and management Scale up of recoveries units globally Early transfer to specialist monitoring and management units Trading counterparties Reduced trading positions Reduced credit markets inventory Tightened collateral management Single name concentrations Targeted reduction of biggest exposures Country risk concentration Reduced limits to 25 emerging markets countries by 31% APS Significant risk mitigation across credit and trading portfolios

Slide 50

GBM – Derivative Trading Assets

£bn

Asset (Gross MTM) 2008 £bn 2007 £bn % Chg Interest rate 648 201 223% Currency 162 46 250% Credit derivatives 161 26 526% Equity 9 6 38% GBM Total1 980 279 251% Uncollateralised Derivative Portfolio 2008 £bn % Government 8 8 Investment Grade 48 50 Monolines & CDPCs 17 18 Non-Investment Grade 23 24 Total 96 100 Netting Benefit Collateral Offset Uncollater- alised MTM Gross MTM1

980 796 88 96 184

Net MTM

1 Excludes £11bn of non-GBM derivatives. The net MTM is the MTM post legal netting applied in RBS GBM credit management systems

Collateralised exposure:

• 95% G7 cash or government bonds, 5% other securities

with haircut Uncollateralised exposure:

• Includes mid-corporate exposure in non-investment grade
• £9.9bn reserve against uncollateralised exposure

Growth in position driven by:

• 80% market parameters; i.e. interest rates/credit spreads
• 12% FX related
• 8% volume related

Derivatives: majority is flow product in liquid markets

Funding & Capital

Slide 52

Composition of the balance sheet

• Total balance sheet £2.2trn
• £1.2trn funded balance sheet
• Funded BS reduced 17% on

a constant currency basis

• Leverage ratio on adjusted

basis 4.7%1 excluding derivatives

Trading assets MTM trading derivatives Customer loans MTM trading derivatives Term funds & capital Customer deposits Deposits by banks Short-term liabilities Repos Reverse Repos Loans to banks

Assets £1.2trn

Net other Funded Balance Sheet Total value ex MTM trading derivatives

• £1.0trn
• £1.0trn

Net other

Liabilities £1.2trn

1 Tier 1 ratio divided by assets excluding MTM trading derivatives

Slide 53

GBM funded balance sheet

Reported vs Constant FX £bn FY07 H108 FY08

874 874 767 750 692 594

R C R C R C R – Reported currency C – Constant currency Loans & Advances Reverse Repos Securities Other

Funded assets reduced 21% on a reported basis Funded assets reduced 31% on a constant currency basis Securities & Repos reduced by 41% and 73% on a constant currency basis L&A up 14% underlying, predominantly reflecting increased drawdowns

Slide 54

RWA progression

£bn

1 Includes Basel II model benefits, underlying performance and methodology changes

578 3 66 5 8 22 486 Retail Full year 2007 (12) Full year 2008 Other items1 FX Sempra & small disposals GBM Other corporate Pro-cyclicality

Slide 55

Capital progression – Core Tier One Ratio

%

1 Other includes underlying RWA reduction and pension adjustment

(1.7) (0.1) (0.2) FY07 (0.4) Dividends (0.6) £12bn Rights Issue RWA pro- cyclicality Per FSA guideline RWA FX impact Attributable loss FX capital hedge Tier 1 deductions £5bn Preference share conversion Pro forma 2008 Other1 £15bn Capital Raising 6.8 7.0 0.9 2.7 0.5 2.2 (0.5) 4.0

Slide 56

Illustrative “target” shape of balance sheet

Non core bank Reduce risk focused on core business Balanced funding position Stable returns 470 900 550 550 Core Tier 1 Ratio RWA* What would it take to get there? 3-5 years 6.5% Nominal assets Customer loans/deposits Customer deposits 100% Customer loans Customer loans- deposits Return on equity 15%+ ~£110bn reduction in RWA ~£250bn reduction in nominal assets 3.6% CAGR in customer deposits (£90bn total increase) 4.4% annual reduction in customer assets (£140bn total decrease) Weathering 2009-11 Smoothing volatility with APS Core businesses generating strong earnings by 2012-13 £bn

Slide 57

Appendix

Supplementary Slides

Slide 59

Appendix - table of contents

Pg Pg

Strategic Review

60

GBM

– UK Retail 61 – Impairment losses 82 – UK Commercial 62 – Non-derivative trading assets 83 – Wealth 63 – Reverse repos 84 – Ulster Bank 64

UK R&C

– Insurance 65 – Impairment losses – UK Retail 85 – Global Transaction Services (GTS) 66 – Mortgages 86

Geographic Income – GBM & GTS

67 – Impairment losses – UK Corporate & Commercial 87

Profit Road Maps: US R&C

– Global Banking & Markets 68 – Consumer Portfolio 88 – Global Transaction Services 69 – Impairment losses – US Retail 89 – UK Retail & Commercial (inc Wealth) 70 – Consumer lending metrics 90 – US Retail & Commercial 71 – Commercial Property 91 – EME Retail & Commercial 72 – Impairment losses – US Commercial 92 – Asia Retail & Commercial 73

Ulster Bank

– Insurance 74 – UB Portfolio 93 – Manufacturing 75 – Impairment losses – UB Retail 94

Exposures

– Commercial Property 95 – Credit by Corporate Sectors 76 – Impairment losses – UB Commercial 96 – UK Commercial Property 77

Asian Consumer Finance

97

Slide 60

Strategic review - evaluation of businesses against 5 criteria

Customer franchise Is our business based on an enduring customer franchise? Do we have clear competitive advantage and strong market shares? Have we taken account of how the market and competitive environment will change? 1 Returns 2 If we fully allocate costs and properly measure equity, can our businesses meet a hurdle rate of 15% after-tax return on tangible equity in ‘normal’ times, looking forward? For riskier businesses the hurdle rate should be higher Growth 3 Are the businesses capable of at least 5–10% organic growth in normal times? Risk and funding 4 Are the businesses ‘proportionate’ users of risk and balance sheet relative to franchise and profitability? Importantly, we need to consider funding sources too Connectivity 5 Do the businesses fit with each other – are there shared skills efficiencies, client transactions, etc.?

Slide 61

UK Retail

Re-position in a changing market

Planned actions

Reduce costs: shift online; lean

processes and automation

Segment service propositions by

value

Invest in sales: improve cross-selling

and front-line productivity Position

Leading UK retail franchise with 15m+ customers Significant revenue pressures from economic environment and regulation

Goals

15%+ ROE regained Maintain customer service reputation Funding growing faster than assets Leading sales and cross-sales

productivity

Support customers and fulfil lending

commitments

Slide 62

UK Corporate and Commercial

Optimise the value of market leadership

Planned actions

Manage portfolio stress Reduce cost base and tailor cost to

serve to value

Improve funding contribution Invest in credit and MI systems, new

channels and branch service Position

Market leaders with 30%+ market share Significant exposure to property Client stress a major short term challenge Considerable opportunities to grow cross-sell, build deposits and lower costs

Goals

ROE 15%+ Improved balance sheet diversity Stronger credit processes and

portfolio management

Improved risk/return per customer Faster than market deposit growth Maintain market leadership Support customers and fulfil our

lending commitments support customers

Slide 63

Wealth

Further growth opportunities

Planned actions

Consolidate UK and International

Wealth businesses

Grow RM base, enhance productivity Continue investment in platform

Position

UK market leader, well positioned in its international markets Market leading performer on revenue margin and asset growth Large profitable Group contribution with headroom to grow

Goals

Maintain high ROE Continued AuM growth from greater

share of wallet and market penetration

Sustain UK market leadership

Slide 64

Ulster Bank

Manage tightly through economic weakness

Planned actions

Support our customers whilst re-

balancing assets/liabilities

Increase and diversify deposit base

and reduce reliance on wholesale

Pro-actively manage risk exposures Move to a single brand strategy Achieve significant cost reduction

Retention Rationale

Leader in Northern Ireland and #3 position in Republic of Ireland Franchise is strong, fully invested and shares UK infrastructure Meets the Group tests over cycle

Goals

ROE 15%+ Improved loan to deposit ratio Leading franchises maintained Risk concentration significantly

reduced

Slide 65

Insurance

UK market leader

Planned actions

Reinvigorate top line UK growth by

investing cost and claims efficiencies into pricing, capability and other growth initiatives

Strengthen multi-channel distribution:

– Bank channels – Online Retention Rationale

UK’s #1 personal lines insurer; operates the two leading direct brands Well capitalised and self-funding Provides source of stable and differentiated earnings (e.g., insurance cycle not

strongly correlated with banking)

Tied to renewed focus on UK Recent sale process demonstrated sale option currently value destructive

Goals

Extend lead as UK’s largest and most

profitable personal lines insurer

Target lowest cost operations Build strong UK commercial lines

business

Sustain 20%+ ROE

Slide 66

Global Transaction Services

Strong product capabilities supporting Group customers

Planned actions

Maximize value of global capabilities

acquired from ABN AMRO

Rightsize the global network (including

country exits) ensuring minimal impact

• n key global clients

Maintain service levels during change Implement a slimmed down GTS/

Manufacturing front to back operating model Retention Rationale

High ROE, low risk Major contributor of funds to Group Integral to wholesale/ commercial businesses in core markets

Goals

Establish Europe as our core base Become a leading SEPA bank Continue to deliver high ROE and

funding to the Group

Explore in-organic options on

segments of business

Slide 67

GTS: FY08 Income £2.5bn

Geographic income – GBM and GTS

GBM: FY08 Underlying income £10.2bn

Europe 18% Americas 14% Asia-Pacific 6% RoW 1% UK 61% Europe 17% Americas 22% Asia-Pacific 14% RoW 2% UK 45%

Slide 68

Profit road map - GBM

• Exceptional performance in Rates, FX and Currencies
• Cost reductions driven by lower variable compensation
• 91% of Impairments occurred in H2

4.6 2007

• perating

profit (1.3) (0.7) Cost reduction (0.9) RLMCC1 Credit markets 2008

• perating

loss3 Impairments 2.4 1.3 (3.2) Equities A&PM (5.8)

1 Rates, Local Markets, Currencies & Commodities 2 Includes £0.5bn of impairments relating to re-classified assets 3 Operating loss after credit market write-downs (£7.0bn) impairments on re-classified assets (£0.5bn) and other trading asset write-downs (£5.8bn)

£bn

(7.4) (11.0) Trading asset write- downs Credit market write- downs2

Slide 69

129 2007

• perating

profit 42 Cash Management Impairments (81) 1,339 2008

• perating

profit 96 Trade Finance GMSCC1 1,198 (45) Costs

Profit road map - GTS

Income growth driven by Cash Management up 9% and Trade Finance up 57% Cost increase driven by divisional development, investment in Global Merchant Services and Manufacturing allocation

1 Global Merchant Services & Commercial Cards

£m

Slide 70

0.5 4.0 (0.2) 2008

• perating

profit Reduction in loan fee income (0.1) Other Non interest income (0.6) (0.1) Impairments 2007

• perating

profit (0.1) Lombard Residual Value (0.1) Increased funding costs BS volume growth Manufacturing costs 3.3

Profit road map - UK Retail & Commercial

£bn

Strong balance sheet growth improving net interest income Reduced appetite for unsecured loan products & bancassurance impacting non interest income Impairment growth primarily in small business & commercial

Slide 71

2.3 2007 operating profit (0.1) Asset margin income (1.0) Non-SBO impairments (0.3) 1.0 2008 operating profit SBO impairments 0.1 Deposit margin income

Profit road map - US Retail & Commercial

Widening asset margins Hitting deposit floors due to low rate environment Prime loan portfolios impacted by US economic weakness

$bn

Slide 72

Profit road map - EME Retail & Commercial

1 Includes ECF discontinued business

Deterioration in credit metrics, particularly property and construction sectors Sale of ECF and Spanish business Increased funding costs & impairment growth

£m

463 2007

• perating

profit (39) Income growth (306) 70 2008

• perating

profit 140 Other EME profit reduction1 (167) (91) Funding costs Costs Impairments 70 FX Ulster Bank

Slide 73

Profit road map - Asia Retail & Commercial

(16) (52) 47 2008

• perating loss

Manufacturing costs (111) (113) (20) 2007

• perating loss

Private Banking income Increased provisioning Cards & Consumer Finance income Cost

£m

Good growth in Private Banking and Cards & Consumer Finance Increased business investment driving cost growth Increased provisioning related primarily to Indian franchise

39

Slide 74

Profit road map - Insurance

78 2007

• perating

profit (88) Own brand underlying profit 274 2007 floods (212) Partnership & broker underlying profit 780 Realised & unrealised investment losses 2008

• perating

profit Prior year reserve releases 681 47

Record operating profit of £780m Good growth in own brand motor & home insurance Continued strong claims management Continued strategy to focus on profitability within partnership and broker

£m

Slide 75

Cost road map - Manufacturing

• 2% growth at constant FX
• Investment in the Group’s Corporate Banking network & Manufacturing infrastructure
• Productivity gains absorbing volume & inflation growth

0.2 0.1 4.5 2007 costs 0.1 FX 0.1 Increased volume Productivity gains (0.2) 4.8 Business investment 2008 costs Inflation

£bn

Slide 76

Credit by corporate sector - Shipping

By sub-sector

Dry bulk 29% Container 10% Other 9% Gas/ Offshore 14% Tankers 38%

• £16bn total portfolio, almost entirely within GBM
• Primarily lending to SPVs with full security over the

asset & related cashflow

• Long relationships with established independent
• wners
• £5bn customer deposits across the portfolio
• Average LTV 56%
• 86% of lending against vessels built since 2000

LTV calculation basis – Calculated quarterly by reference to local ship brokers. Latest valuation 31st December 2008.

Slide 77

Credit by corporate sector - Oil & Gas

By sub-sector By geography

• £24bn portfolio, 90% GBM, 5% UKCB, 5% other
• Exploration & production exposures are principally secured borrowing base facilities, referenced to conservative

forward looking oil price assumptions, adjusted on a regular basis

CEE & Central Asia 13% Latin America 9% Middle East & Africa 7% North America 34% United Kingdom 12% Western Europe (Excluding UK) 20% Asia & Pacific 5% Midstream 21% Refining & Marketing 19% Oilfield Services 20% RoW 1% Vertically Integrated / Exploration & Production 39%

Slide 78

Credit by corporate sector – Automotives1

By sub-sector By geography

• £14bn portfolio - 62% GBM, 23% UKCB, 9% US, 6% other
• Maintaining a cautious approach to the sector
• Relationships with largest players
• Expect pressure on the portfolio due to the scale of market downturn

1 Automotive exposure excludes conduits

Captive Finance Companies 8% Component Suppliers 17% Retailers / Services 35% Rental 17% OEM 23% Asia & Pacific 6% CEE & Central Asia 7% Latin America 1% North America 27% Western Europe (Excluding UK) 30% United Kingdom 29%

Slide 79

Credit by corporate sector - Project Finance

By geography Western Europe, portfolio

• £16bn portfolio, of which Western Europe 60%
• Total deals – 615
• Average deal size based on limits - £51m
• £10bn portfolio

Spain 11% Italy 4% France 3% Other 13% UK 69% CEEMEA 16% Asia Pacific 9% Americas 15% Western Europe 60%

Slide 80

Credit by corporate sector - Retailers

By geography By type

• £18.2bn total exposure
• GBM 50%, UKCB 27%, Ulster 12%, US R&C 10%
• Cautious stance taken in 2008/09
• Small number of cases in Restructuring unit currently

Department stores 13% White goods/DIY 14% Other 50% Food retailers 23% Western Europe 33% North America 17% Asia Pacific 4% Other 6% UK 40%

Slide 81

Commercial Property by type – RBS UK & GBM

RBS UK1 by property type – portfolio: £42bn GBM2 by property type – portfolio: £25bn

1 RBS UK Sector split based on RBS UK core portfolio 2 Excludes £6bn relating to ABN AMRO and debt securities

Retail 26% Leisure and Tourism 15% Mixed 7% Residential 5% Medical/Car e 4% Industrial 4% Other 6% Office 33% Office 20% Mixed 30% Retail 19% Industrial 12% Corporate (General) Funding 5% Residential 14%

Slide 82

Impairment Losses by division – GBM

122 410 1055 67 722 1389 FY07 FY 08 Manufacturing & Infrastructure Property & Construction Transport & Technology Banks & Financial Institutions Other

£122m £3,643m1 Trends Analysis 2008 2007 NPL as % of L&A 1.9% 0.3%

1 Includes £466m on re-designated assets

Slide 83

GBM – Non-Derivative Trading Assets

Debt securities & reverse repos T Bills Other L&A Equities Non- derivative trading assets 31 322 204 16 60 11

Asset 2008 £bn 2007 £bn Y-o-Y %

Debt securities & reverse repos 204 476 (57%) T Bills 16 16

• Loans & advances

60 42 42% Equities 11 29 (62%) Other 31 23 35%

GBM Total 322 586 (45%)

£bn

Slide 84

GBM – Reverse Repos

Customers Total Reverse Repos

96 57 39

Maturity profile % of total MTM < 3 months 83% < 6 months 12% < 1 year 4% > 1 year 1% Total 100% Banks

Collateral quality distribution and tenor distribution are calculated based on gross reverse repos

Exposure by counterparty 2008 £bn 2007 £bn Y-o-Y % Reverse Repos – Banks 57 166 (66%) Reverse Repos – Customers 39 143 (73%) Total 96 309 (69%) Collateral quality distribution Government 89% Corporates 7% Other 4% Total 100%

£bn

Slide 85

Impairment Losses by division – UK Retail Banking

58 61 80 158 359 420 666 610 21 33 FY07 FY 08 Mortgages Personal Cards Business Banking Other

£1,184 £1,281 Trends Analysis 2008 2007 NPL as % of L&A 4.1% 3.9% IL as a % of closing book loans Mortgages <0.1% <0.1% Credit Cards 6.6% 4.6% Personal 3.8% 3.9% Business Banking 0.8% 0.4%

Business = companies with turnover below £1m

£m

Slide 86

UK Retail mortgages

Cumulative LTV distribution as % of book value1, 2:

• 93% Mainstream, 7% Buy-to-let
• Mainstream LTV 54%
• Buy-to-let LTV 63%
• Average LTV 55%
• Mortgage impairment charge in 2008 - £32m

73% 41% 33% 19% 12% 7% >50% >75% >80% >90% >95% >100%

UK portfolio1: £75bn

0.0% 0.2% 0.4% 0.6% 0.8% 1.0% 1.2% 1.4% 1.6% 1.8% Q1 2006 Q2 2006 Q3 2006 Q4 2006 Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Q3 2008 Q4 2008 CML 3+ % RBS & NW 3+ %

Mortgages – Arrears vs CML3

1 Excludes Northern Ireland & business off-set mortgages 2 LTV basis – current valuation 3 Council of Mortgage Lenders

Slide 87

Impairment Losses by division – UK Corporate & Commercial Banking

43 50 22 112 80 303 35 206 FY07 FY 08 Commercial Corporate Lombard Other

£180m £671m Trends Analysis 2008 2007 NPL as % of L&A 2.7% 1.2% IL as % of closing book loans Commercial 0.6% 0.1% Corporate 0.4% 0.1% Lombard 1.8% 0.4% Other 0.5% 0.6%

Commercial = companies with turnover between £1-25m Corporate = companies with turnover above £25m

145 150 37 64 53 92 23 20 87

Other consumer Latent Construction Real Estate Instalment Debtors Manufacturing Wholesale and Retail Trade Private Sector Finance Leases

Sector Split of IL £m

£m

Slide 88

US Retail & Commercial

Total Portfolio - $113bn

Corporate & Industrial 27% Commercial Real Estate 10% Auto & Other Consumer 19% SBO 6% Residential Mtg / Home Equity 38%

Cumulative LTV distribution as % of book value:

• Average LTV 63%
• Average FICO 700+

Home Equity & Residential Mortgage Portfolio (ex SBO)

LTV basis – most recent valuation

56% 36% 27% 14% 9% 6% >60% >75% >80% >90% >95% >100%

Slide 89

Impairment Losses by division – US Retail

57 280 85 175 112 196 87 128 329 592 52 82 21 29 FY07 FY 08 Small business Home equity - SBO Home equity - other Residential mortgages Cards Auto Other consumer

$685m $1,540m Trends Analysis 2008 2007 NPL as % of L&A 0.9% 0.5% IL as a % of closing book loans Small business 5.9% 3.8% Home equity 0.5% 0.1% SBO 8.4% 3.8% Residential mortgages 0.6% 0.1% Cards 8.2% 4.8% Auto 1.6% 0.7% Other consumer 3.2% 0.7%

Other consumer also includes Unallocated & General reserves and IFRS adjustments

$m

Slide 90

US Retail – consumer lending metrics

SBO book is closed, amortising book FICOs & LTVs are current not at point of origination

Residential Mortgage Core Home Equity SBO Home Equity Indirect Auto Outstanding Balance $14bn $28bn $7bn $11bn Percentage of Loans 14% 25% 6% 10% Weighted Average FICO 732 747 712 747 Weighted Average CLTV 66% 62% 100%

• Fixed Rate Loans

63% 58%

• Adjustable Rate Loans

37% 42%

• First Lien

99% 49% 3%

• Second Lien

1% 51% 97%

• Portfolio

2008 5% 14% 0% 34% Vintage 2007 11% 17% 19% 29% 2006 11% 16% 38% 18% 2005 32% 12% 38% 15% Pre 2004 41% 41% 5% 4% Cumulative >700 79% 82% 58% 85% FICO >660 89% 91% 72% 98% Distribution >520 99% 98% 89% 100%

Slide 91

US Retail & Commercial - commercial property

By Geography By Property Type Total portfolio: $9bn

• Average LTV 62%
• Average loan size <$3m

LTV basis – current valuation

Retail 26% Office 18% Industrial 7% Lodging & Hospitality 6% Land 4% Mixed Use 3% Other 9% Residential 27% Midwest 31% New England 41% California 0.4% Other 6% Florida 0.7% Mid Atlantic 21%

Slide 92

Impairment Losses by division – US Commercial

212 177

• 20

15 FY07 FY 08 CRE Commercial & Industrial

$(5)m $389m Trends Analysis 2008 2007 NPL as % of L&A 1.3% 0.6% IL as a % of closing book loans Commercial Real Estate 1.6% 0.2% Commercial & Industrial 0.7%

• 0.1%

FY07 benefitted from a number of write backs and methodology changes

$m

Slide 93

Ulster Bank

Cumulative LTV distribution as % of book value1:

• Average LTV 47%
• Buy to Let LTV 55%

UB mortgage portfolio: £25bn

Property 32% Mortgages 40% Corporate Other 24% Personal Other 4%

• 40% of book is mortgage funding, secured by properties
• Very low exposure to unsecured consumer lending
• 32% of book across commercial development &

investment, residential development & investment and contractors/building suppliers Total portfolio £60bn

53% 32% 28% 18% 13% 9% >50% >75% >80% >90% >95% >100%

1 Calculated based on volume. LTV basis – current valuation

Slide 94

Impairment Losses by division – Ulster Bank Retail

7 13 11 32 16 23 FY07 FY 08 UB - Mortgages UB - Personal banking UB - Cards

£34m £68m Trends Analysis 2008 2007 NPL as % of L&A 2.1% 1.2% IL as a % of closing book loans UB Mortgages 0.1% 0.1% UB Personal Banking 3.5% 1.5% UB Cards 3.9% 2.9%

£m

Slide 95

Ulster Bank - Commercial Property

Portfolio: £17bn Cumulative LTV distribution as % of book value: By type:

88% 77% 55% 35% 21% 12% 9% 3% >50% >60% >70% >75% >80% >85% >90% >100%

• 65% Republic of Ireland, 35% UK
• 1.8% speculative lending, capped at 3%
• Average LTV 70%, average ICR 136%

Commercial Development 18% Residential Investment 4% Commercial Investment 47% Residential Development 31% Excludes house builders of £1.7bn and contractors/building suppliers of £0.8bn LTVs, basis for calculation is most recent valuation

Slide 96

10 51 34 265 10 FY07 FY 08 Commercial Investment & Development Residential Investment & Development Other

Impairment Losses by division – Ulster Bank Corporate

£44m £326m Trends Analysis 2008 2007 NPL as % of L&A 8.0% 1.5% IL as a % of closing book loans Commercial Investment & Development 0.1% 0.0% Residential Investment & Development 3.2% 0.5% Other 0.3% 0.1%

£m

Slide 97

Asian Consumer Finance

Only Portfolios with Balances over € 40m (£38m) shown TTBB was bought by ABN AMRO prior to the acquisition and is currently in run-off.

Country Product Program Balance (£m) 90+ past due Taiwan Credit Cards 447 2% Mortgages 93 0% TTBB Legacy Mortgages 88 6% TTBB Legacy Personal Loans 114 5% India Credit Cards 217 7% Personal Loans 343 4% Mortgages 194 2% SME 228 1% Indonesia Credit Cards 49 3% Unsecured Personal Loans 71 3% Pakistan Personal Loans 40 7% Credit Cards 39 9% Singapore Credit Cards 92 1% Unsecured Personal Loans 93 1% Private Banking SME 52 0% Investments 45 1% Investment Secured Loans 42 0% Mortgages 62 8% Hong Kong Unsecured Personal Loans & Revolving Loans 73 0%