Superior & Exclusive Financial Services The Third Millennium - - PowerPoint PPT Presentation

The Third Millennium Bank

Bank Pasargad Building, No. 430 Mirdamad Blvd., Tehran 1969774511, Iran, Tel: (+9821) 82891575; Fax: (+9821) 88649521 - website: www.en.bpi.ir - SWIFT: BKBPIRTH

Superior & Exclusive Financial Services

Milestones

• Sep. 13th, 2005

Banking operation's license No. H/2849 granted by the Central Bank of Iran

• n 13 September

2005

• Dec. 16th, 2006

License for full international banking

• perations granted by

the Central Bank of Iran on 16 December 2006

• Aug. 16th, 2011

Shares were listed on the Tehran Stock Exchange (TSE)

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BANK PASARGAD The Millennium Bank

Bank Pasargad is a privately owned full-service commercial bank offering retail, corporate and private banking services through a network of 331 domestic branches and a vast network of electronic and digital banking channels

• Sep. 4th, 2005

Registered under No. 254300 at the Tehran Companies’ Registrar Office on 4 September 2005

Our Vision & Mission

BANK PASARGAD The Millennium Bank

Vision

To become the best financial services company in the Middle East and be ranked among the world’s top 500 corporations

Mission Statement

To realize high returns and further prosperity for our stakeholders by assuring a continuous and sustainable growth for the bank alongside having a significant impact on the growth of the national economy To enable businesses to thrive and local economies to prosper & to assist our clients in their domestic and international growth To fulfill our corporate social responsibilities and remain faithful to our core values of honesty, integrity and creativity To remain a fully “customer focused” financial institution by relying on our rich national culture, professional expertise and vision forward 2

Corporate Social Responsibility (CSR)

BANK PASARGAD The Millennium Bank

13 Public libraries for over 450,000 inhabitants

Total support in year 2017/18:

IRR 190,124 million

Supported implementation of National Projects valued above

IRR 200,000,000 million

Established

Khatam University

Main sponsor of the Iranian national free-style and Greco-Roman Wrestling teams Support of Arts, Social, Educational, Cultural and Public Events Development of Health and Sanitation throughout the Iranian territory

3

Reducing paper consumption in all daily operations:

• Avoided cutting of 14,485 trees per year
• Avoided usage of 341 million liters of water per

year

• Avoided usage of 3,400,000 kw of electricity per

year

Monthly contribution to CSR program by all employees directly from their salaries Promoting Green Banking in all levels of Bank Supporting the republish of precious books Contribution to the development of education in the deprived areas

9.89 16.88 28.39 44.84

Ownership (%)

4 Companies 14 Companies & Individuals 68,651 Individuals & Legal Entities Pars Aryan Investment Co. (PLC) Between 3 – 5 % Between 1 – 3 % Below 1 %

Milad Gostar Noavaran Co. (JSC) – 3.69% Sam Group Co. (JSC) – 3.75% Pasargad Tamin Atieh Co. – 2.74%

• Mr. Nik lal fard– 2.54%

Binesh Pajoh Iranian Co. (JSC) – 2.59%

• Mrs. Mansoobi– 2.59%

Hamghadam Trading Co. (JSC) – 2.25% Sahab Omid Iranian Co. (JSC) – 2.3% Saba Capital Management Co. (JSC) – 2.81% Omid Employee Fund – 1.88% Nik Andishan Soroush Fajr Co. (JSC) – 4.81% Nazm Avaran Pouya Iranian Co. (JSC) – 1.01% Danesh Gostaran Atisaz Pouya Co. (JSC)– 2.70%

(As of 23 Dec. 2019)

No Avaran Danesh Pajoh Khavarmiane Co. (JSC) – 4.63%

Kharazmi Investment Co. (PLC) – 1.26%

Ayande sazan Danesh Gostar Tosan Co. (JSC) – 1.02% Tadbirgaran Pishro Paidar Zarrin Co. (JSC) – 1.07%

Arman Gostar Zafarmand Co. (JSC) – 1.63%

Shareholding Structure

BANK PASARGAD The Millennium Bank

1 Company  23.08% of the bank’s shares are owned by real entities and 76.92% of shares are owned by legal entities.  3 Pension Funds of other Iranian banks are major shareholders of Bank Pasargad. 4

General Assembly Legal Inspector Board of Directors Chief Executive Officer Executive Board Vice- President

Credit Committee Assets & Liabilities Management Committee

Human Resource Development Supreme Committee

Disciplinary Committee Recruitment Committee Marketing & Advertisement Committee

Managing Bureau Dept.

Public Relations Management Dept.

Anti-Money Laundering & Counter Terrorism Financing Dept.

Foreign Assets & Investment Management Dept. Inspection Management Dept.

Advisors

Corporate Structure

Legal Affairs Management Dept.

Deputy CEO Logistics Affairs Deputy CEO Branch Affairs & Customer Services Deputy CEO Financial Affairs Deputy CEO International Affairs & FX Operations Deputy CEO Credits & Investment Banking Deputy CEO Economic & Banking Studies

Logistics Mang. Dept. Branch Affairs Mang. Dept.

Financial Affairs Mang. Dept. FOREX Operat. Mang. Dept.

International Affairs Mang.Dept.

Credits Mang. Dept.

Risk Mang. Dept.

Human Capital Development Management Dept.

BANK PASARGAD The Millennium Bank

Employee Affairs Dept. Dept. Employee Welfare Dept. Education Dept.

Legal Services Dept. Deeds Enforcement Dept.

Compliance Dept. Risk Management Supreme Committee Nomination Committee Strategic Management Steering Committee Internal Audit Committee Credit Risk Management Sub-Committee Market Risk Management Sub-Committee Liquidity Risk Management Sub-Committee Operational Risk Management Sub-Committee Internal Audit Dept.

Credit Policies & Guidelines Dept. Follow- up & Collection Dept. Credit Valuation Dept.

Corporate Clients Dept. Procurement Dept. Security Dept. Real Estate Dept. L/C Dept. PO, Guarantee and Exports Dept.

Management Accounting & Statistics Dept. Treasury Dept. Modern Technologies Affairs Mang. Dept. Software Engineering Dept.

9 Regions.

General Assembly & Subsidiaries Planning Management Deputy CEO IT & Communication Affairs Deputy CEO Human Capital Development Affairs & Planning & Program

Planning and Program Management Dept.

Organizations and Methods Dept.

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Fx Commitments Statistics & Accounting Dept.

Strategic Planning & Research Dept. Compliance Sub-Committee

Marketing & Operational Planning Dept. Private Banking Dept. Corporate Banking. Dept

Analysis and Evaluation of Macro Projects & Facilities Dept.

General Accounting & Transactions Dept.

Litigation Dept.

Compliance Committee

FX Treasury Dept. Correspondent Relations & International Contracts Dept. Share Affairs Dept. Information Technology Infrastructure

• Mang. Dept.

Information Technology Services Dept. Infrastructure Engineering Dept.

Communication Technologies Dept. IT & Infrastructure Conduct Dept. Information Security Dept.

Financial Highlights (20th march 2019)

BANK PASARGAD The Millennium Bank

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Total Income: IRR million 147,152,740 Profit before tax: IRR million 19,650,500 Total Deposits: IRR million 874,126,101 Total Assets: IRR million 1,183,709,772 Net Profit: IRR million 19,174,092 Total Equity: IRR million 81,001,210 31.01% 26.72% 35.19% 38.90% 722% Credit Facilities Granted: IRR million 854,780,292 34.94%

CAR: 7.19% ROA: 1.88% ROE: 26.85% EPS: IRR 380

Subsidiaries

Providing a full array of banking, insurance, brokerage, exchange house and IT services

Company Name Industry Bank’s Share

%

Million IRR Pasargad Arzesh Afarinan Co. Financial and credit services 98 7,447,639 Pasargad Exchange Co. Currency exchange 90 198,288 Pasargad Leasing Co. Building leasing 67 562,800 Pasargad ICT Co. (FANAP) IT and communications 49 1,216,180 Pasargad Insurance Co. Insurance services 20 432,986

BANK PASARGAD The Millennium Bank

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5 subsidiary companies consolidated in Bank Pasargad’s financial statements (20 March 2019):

Pasargad Bank Holding Co. (BHC) Pars Aryan Investm ent Co.

Bank Pasargad

Pasargad Financial Group consists of the bank, 4 specialized holding companies and 68 subsidiaries:

Pasargad Financial Group

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BANK PASARGAD The Millennium Bank

Arzesh Afarinan Investm ent Co.

Financial & Insurance Sector Companies

 Insurance  RE-Insurance  Leasing Co.  Brokerage House  Exchange House

Pasargad Real Estate Development & Construction Sector Companies

 Industrial Parks  Office Buildings  Residential Buildings  Leasing of Residential Properties

ICT Holding Co. (FANAP )

 Iran’s largest Private ICT Co.

 2,500 Employees  Networking  Telecommunications  Smart City  Core Banking  Core Insurance  Smart Building  EFT Payment Switch  Credit/Debit Cards  Payment Solutions  ERP  Fixed Communication Provider (FCP)  IPTV  MVNO

Pasargad Energy Development Holding Co. (PEDC)

 Oil & Gas  Upstream/Downstream  Power- 6 Power Plants  2 Refineries  5 Pipeline Projects  2 Jack-up Rigs  Offshore/Onshore Drilling  Offshore Platforms

Hospital & Hotel Holding Co. (NSP)

 7 Hospitals of 1.000 beds each  Hotels for 7.000 beds  7 Universities  7 Residential Development Projects

Mining & Industrial Holding Co. (MIDHCO)

 15 Subsidiary Companies  3 Steel Companies (Sirjan, Zarand & Butia)  Sirjan & Zarand Iron Ore Plants  Copper Cathode Plant  Copper Pipe Plant  Metal Coke Plants  Ferro Silicon Alloy Plants  Coal Concentrate Plants  Sponge Iron Plants  Trading of Minerals Co.  Eng.& Construction Companies

Tam in Atieh Pasargad Em ployee Fund

FANAP

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FANAP is Pasargad Financial Group’s ICT holding company

BANK PASARGAD The Millennium Bank

FANAP is a world class ICT holding company delivering creative and tailored solutions to customers worldwide through smart technologies and services based on their needs and values. FANAP has been providing smart solutions for diverse industries by combining its rich technical resources with strong R&D. This is complemented by a professional business development unit bringing the solutions of tomorrow to its customers today. FANAP benefits from a human resource of more than 1800 skilled knowledge worker and possesses a vast range of solutions that could cater to the needs of different businesses both private and governmental making them smarter and more efficient organizations. FANAP provides optimal ICT services and solutions; ranging from financial enterprise solutions, Transaction processing engines, E-Payment networks, ICT Infrastructure, IPTV, MVNO, FCP, IT

• utsourcing services to Mobile Communication and value added services.

Today, FANAP is supporting and providing services to:  12 Banks in Iran  All 3 Iranian mobile operators  3 major municipalities in the 3 major Iranian cities of: Tehran , Isfahan and Mashhad

Pasargad Energy Development Company (PEDC)

10

PEDC is Pasagad Financial Group’s Energy Holding Company

BANK PASARGAD The Millennium Bank

Formed in April 2008 with the objective of participating in the national and international energy markets in general and the development

• f Iran's energy sector in particular, today PEDC has more than IRR 25,000 billion (app. USD 833 million) of well diversified assets

under management. It’s core business consists of: Hydrocarbon sector, Power Generation and Renewable Energy. Oil & Gas – PEDC’s activities in Oil & Gas Sector is divided to: (i) Upstream (Exploration & Exploitation, Drilling Services) (ii) Downstream (Refineries and Petrochemical Complexes, Storage & Pipelines)

Upstream Drilling Services: PEDC has established subsidiaries to render Drilling Technical Service mainly but not limited to Well

Logging, Well Testing and Directional Drilling. Petro Danial Kish Company (PDK) was established in 2010 as a Drilling Technical Service Company for oil industries. PDK has purchased all well logging machineries and equipment from reputable European and Canadian manufacturers and is able to provide bore hole petro physical and completion services such as Open Hole Logging, Perforation, Setting Packers and Plug with its Digital Advanced System. Petro Kariz Company has also been incorporated for Directional Drilling services and has rendered its services form early 2015.

Upstream Drilling Jack-up Services: In late 2010 PEDC finalized a contract for purchasing two drilling Jack-up rigs specially designed

for operating in the Persian Gulf. The first Jack-up rig was delivered and became operational in Phase 21 of South Pars gas field. The second jack-up rig will be delivered in 2016 and shall be operational in different oil and gas development projects.

Upstream Software Development: In order to carry out research and development work towards production of very complex software

related to energy in general and petroleum engineering in particular, an engineering company (TAFAHOM) was formed in late 2012.

Upstream- Oil & Gas field Development: National Iranian Oil Company(NIOC) Has devised new form of contracts, IPC(Iranian

Petroleum Contracts), for its oil field development, in which the contract would be awarded to foreign companies with Iranian joint venture or individually to Iranian competent companies. An exploration, Development and Production (E & P) company is being established by PEDC to undertake related upstream activities in the framework of IPC contracts.

Pasargad Energy Development Company (PEDC)

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PEDC is Pasagad Financial Group’s Energy holding Company

BANK PASARGAD The Millennium Bank

Downstream – Refineries: The current production of local refineries can supply almost 70 percent of the national demand and the

rest of Iran’s consumption needs are to be imported. Refineries in Iran enjoy the privilege of convenient feed availability at compatible prices. These opportunities coupled with the strategic location of Iran in the Middle East, furnish the right environment for establishing new refineries. PEDC is presently developing 2 refineries: Qeshm Heavy Oil Refinary (35,000 Barrels/Day) and SIRAF Condensate Refinary(60,000 Barrels/Day).

Down stream – Petrochemicals & Related Industries:

Based on the availability of feedstock at a premium rate, many operational petrochemical plants, technical expertise and a vast local market coupled with extensive experience, Iran petrochemical industry with its solid foundations promises a bright future for

• investment. Benefitting from this occasion, PEDC has studied upstream and downstream petrochemical projects with a suitable

rate of return and invested in: Sina Petrochemical Co., Romak Petrochemical Co., Fajr Kerman Petrochemical Co. & Hidaj Petrochemical Co.

Down stream – Trunk Pipeline:

In June 2015, PEDC signed a BOT contract with National Iranian Gas Company to export 40 million(Nm3/Day) of natural gas to

• Iraq. The pipeline is 580 KM long and with a diameter between 48 & 56 inches. 5 Gas Compressor Stations will be installed along

the pipeline to maintain the transportation pressure to destination. This project is to be constructed within 2 years . Power Generation - The nominal capacity of all power plants of the country is expected to grow almost 3 times by the end of 2025 which together with the growing regional market translate to a great opportunity for investment in this industry. Present Power Plants include:

• Khoy 350 MW Power Plant
• Uromyieh 950 MW Power plant
• Mashhad Shariati 500 MW Power Plant
• Qeshm 500 MW Power Plant
• Sirjan Power Plant (25 MW CHP)
• Expansion of Uromyieh Power Plant (+480 MW)

MIDHCO

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Middle East Mines Industries Development Holding Company

BANK PASARGAD The Millennium Bank

MIDHCO was established in year 2007 by Bank Pasargad Financial Group with a registered capital of 1,000 million Iranian Rial. In year 2011, MIDHCO was listed on Tehran’s OTC Market and is now operating as a Public Joint Stock Company (JSC) with 11,609 shareholders and a capital of 22,000 billion Iranian Rial (USD 730 million). MIDHCO’s products are: Iron Ore Concentrate, Iron Ore Pellets, Sponge Iron, Coal Concentrate, Metallurgical Coke, Ferrosilicon, Steel Billet & Bloom, Copper Cathode ,Copper Tubes, Lime, Dolomite and Electricity.

In Production No Name 1

Zarand Iranian Steel Co. “ZISCO”

2

Sirjan Iranian Steel Co. “SISCO”

3

Butia Iranian Steel Co. “BISCO”

4

Iranian Babak Copper Co. “IBCCO”

5

Pabdana Faravaran Coal Co.

6

Gharb-e-Pars Ferrosilicon Co. “FESICO”

7

Middle East Mines Renovation & Development Co. “MEMRADCO”

MIDHCO presently has 7 subsidiary companies focusing on production and 8 subsidiary companies specialized in service:

In Service No Name 1

Middle East Meyare Sanat Engineering Company

2

Iranian Industrial Development & Renovation Construction

• Co. “MANA”

3

Samengan Tarabar Co.

4

Middle East Karavaran Sanat Co. “MIEPCO”

5

Middle East Aftab-e-Derakhshan Commercial Co. “MESCO”

6

Middle East Aftab Derakhshan Brokerage Co.

7

GMI Project Ltd

8

World Mining Industry Co. “WMI”

MIDHCO

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Middle East Mines Industries Development Holding Company

BANK PASARGAD The Millennium Bank

MIDHCO shall achieve the following production levels in near future: MIDHCO has invested in excess of USD 5 billion in different projects:

• Sirjan Pellet
• Butia Pellet
• Bardsir Steel Making
• Cathode Copper
• 2nd Hamedan Ferrosilicon
• Tabas Coal Washing
• Lime and Dolomite
• Zarand Blast Furnace and Steel Making
• Butia DRI and Steel Making
• Butia Power Plant
• Khomrood Coal Mine

No Product Amount (Tonne) 1

Iron Ore Concentrate (68%) 8,000,000

2

Coal Concentrate 978,000

3

Metallurgical Coke 800,000

4

Cathode Copper 50,000

5

Ferrosilicon 24,000

6

Sponge Iron 3,000,000

7

Iron Ore Pellet 7,500,000

8

Copper tube 12,000

9

Dolomite 132,000

10

Burned Lime 264,000

11

Steel Billet and Bloom 4,200,000

Nassim Salamat Pasargad Holding Company

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Bringing the best in Healthcare to your door steps

BANK PASARGAD The Millennium Bank

Today, Iran is faced with rapid rise in healthcare spending and lacks more than 110.000 hospital beds. NSP intends to develop 7 hospital projects in 6 cities under a Public Private Partnership (PPP) scheme with Iran's Ministry of Health (MOH) in order to bridge this gap. The 6 cities where the projects are to be developed are:  Tehran (2000 Beds)  Qazvin (750 Beds)  Karaj (1200 Beds)  Qom (1000 Beds)  Mashhad (1100 Beds)  Ahvaz (1000 Beds) Additionally, Iran is presently missing more than 50.000 beds of hotel beds. Specially, there is a niche market for luxury hotels with world class standings. In 2014, Iran was ranked 10th globally in terms of tourism growth. Internationally regarded as one the most ancient civilizations, Iran has 19 sites designated by UNESCO as “World Heritage Sites”. With the lifting of international sanctions, we expect heavy inflow

• f tourism to all Iranian cities and historical sites.

NSP intends to build several world class hotels of high standing in Iran totaling 7.000 beds to address this need and benefit from future flourishing of tourism and health-tourism industry in Iran.

Market Share

BANK PASARGAD The Millennium Bank

Today, there are 31 banks in Iran divided in 6 categories: (1) 3 State Owned Commercial Banks (2) 5 State Owned Specialized Banks (3) 4 National Banks that were privatized (4) 16 Private Banks (5) 2 Gharzalhasaneh Banks (6) Iran-Venezuela Joint Bank

Market share among all 30 Iranian banks (as of 19 Feb. 2019):

 Deposits: 4.17 %  Letters of Credit: 11.57%* Third among all Iranian banks  Investments: 4.42%* Ninth among all Iranian banks * Based on 19/03/2016 data  Guarantees: 5.11%* Sixth among all Iranian banks  Facilities Granted: 5.41 %

Market share among 15 private banks (as of 20 March 2019 ):

 Deposits: 13.84% Third among 15 private banks  Facilities Granted: 19.06% Third among 15 private banks  Letters of Credit: 37.39% First among 15 private banks  Guarantees: 20.76% Second among 15 private banks 15

BANK PASARGAD The Millennium Bank

By means of a network of 327 domestic branches in 31 states and 66 cities throughout Iran as well as our numerous electronic banking channels, Bank Pasargad provides a full array of financial services to approximately 6 million

• clients. Our digital banking solution ensures continuous delivery of retail and corporate banking services to the

bank’s customers in a manner that is personalized, cost-effective, efficient, and most importantly, channel agnostic.

Retail Banking

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Mobile Banking Services Online Banking Services SMS Banking Services Digital Wallets QR Payments Services Telephone Banking services NFC Payments (Card & Mobile) Smart Watch Banking Services Social Banking Merchant Management Services Branchless Banking

Wide variety of deposit, current and investment accounts in both local & foreign currencies : Retail services provided to clients: SMEs Financial Facilities Consumer Loans Gharzalhasaneh Loans Custodian Services (Managed Funds) Escrow Account Services

BANK PASARGAD The Millennium Bank

We intend to develop long-term and unique relationships with each of our private banking clients. Bank Pasargad Private Banking Department services more than 24,000 high net worth individuals under 3 categories of “Platinum”, “Gold” and “Silver” and manages more than IRR 273,455 Billion in assets.

Private Banking

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18,483

5,285 493

We offer individualized services in:

Financial Advisory Insurance Investment & Brokerage Legal Advisory Leasing Credit Card (in local & foreign currencies) Real Estate Foreign & Domestic Investments

• No. of Clients:

Deposits: (IRR billion)

108,888

109,443

55,124

Bank Pasargad Investment Funds: Andishe Farda Andishe Zarrin

Assets value

IRR 232.8 billion IRR 39 billion

Above IRR 3 billion Above IRR 10 billion Above IRR 50 billion

BANK PASARGAD The Millennium Bank

Bank Pasargad Corporate Banking Department presently caters 53,426 corporate clients and has successfully structured and financed 41 projects totaling in excess of USD 11.8 billion during the past year

Corporate Banking

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Several financing facilities & ECA Coverage available to Bank Pasargad Corporate Clients:

MOU signed with SACE Contract signed with EXIAR USD 10 billion financing line with China’s CITIC Trust Euro 8 billion financing line with Korea’s Exim Bank Euro 1 billion financing line with Austria’s Ober Bank Euro 500 million financing line with Denmark’s Danske Bank

Bank Pasargad has arranged and financed projects totaling more than USD 3 billion from the Iranian National Development Fund

Deposits: IRR 188,172 Billion Facilities: IRR 627,281 Billion L/Cs: IRR 63,973,146 million USD 830,820,086 L/Gs: IRR 68,197,893 million USD 45,516,571 Payment Orders: Inward: USD 1,582,822,735 Outward: USD 1,688,529,030

BANK PASARGAD The Millennium Bank

International Department

Bank Pasargad International Department provides high quality trade finance and foreign exchange services through an established network of correspondent banks worldwide  Issuing of import documentary credits  Handling documentary bills of exchange (collections)  Forfaiting and discounting services  Advice and negotiation of export documentary credits  Issuance of letters of guarantee in foreign currency  Pre / Post shipment financing  Opening and maintaining of individual and corporate accounts in foreign currency  Handling inward and outward payment orders in foreign currencies

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Establishment of a performing and inclusive international network of representative offices, branches and subsidiary banks

International Development

Bank Pasargad’s future international development shall be based on 3 pillars:

Opening the bank’s shareholding structure to strategic investors as well as global and regional banks Being listed on a major foreign stock exchange

BANK PASARGAD The Millennium Bank

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On June 28, 2018 Bank Pasargad

• btained

an “In Principle” License from the Reserve Bank of India (RBI) to establish its maiden branch in the city of Mumbai, India.

Bank Pasargad India

BANK PASARGAD The Millennium Bank

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Bank Pasargad Mumbai branch is the first international branch of the bank Bank Pasargad Mumbai branch is located in the prestigious Capital Building in Bandra Kurla Complex (BKC) East The Final License was awarded to Bank Pasargad by RBI on April 11, 2019 Expected inauguration date of Bank Pasargad Mumbai branch is set for April 2020 In addition to the Mumbai branch, Bank Pasargad intends to open 2 other branches in India within the next 5 years

Why Bank Pasargad?

BANK PASARGAD The Millennium Bank

National & International Recognition

Security & Transparency

Maximizing Long Term Shareholder Value driven by Strong Financial Performance Information Technology & Innovation

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National & International Recognition

BANK PASARGAD The Millennium Bank

Operating Model Centered on Clients: “Our customers are the essence of the bank” The major private bank with size to compete with state owned banks Distinct Corporate Culture: Code of Ethics & Code of Conduct Dedicated, talented and experienced team 328 branches in 66 cities and in all 31 Iranian states

5,730,434

Few facts:

Retail:5,677,008 Corporate:53,426

Excellence in Customer Service: Winner of national & international awards 306,130 3,688,360 1,281,950 5,412 2,014

23

35th largest company on TSE based on Market Capitalization and second among banks (as at 23 Dec. 2019)

Awards & Achievements

Named as Best Bank in Iran, “Bank of Excellence”, by Euromoney magazine for years 2015 , 2016 & 2017 Winner of The Banker’s Award as Bank of the Year for years 2010 , 2012 ,2013, 2014 , 2015 & 2016 in Iran Winner of The Banker’s Award as Islamic Bank of the Year for years 2013, 2014, 2015 , 2016 & 2017 in Iran As stated by The Banker magazine for year 2016: Winner of the Iranian European Foundation for Quality (EFQM) Excellence Award for years 2012, 2013, 2014, 2015 & 2016 being recognized as Iran’s Top Service Sector Company. Winner of Iran’s Most Admired Knowledge Enterprise (MAKE) Award for years 2012, 2013, 2014, 2015 & 2016 being recognized as Iran’s Top Knowledge Company. Received Gold Medal in World Invention Awards in UK in 2014 for “Smart Queue Management System” Middle East’s 3rd bank by Return on Capital (ROC) 1st bank among all Iranian banks based on Profit before Tax Middle East’s 2nd bank based on Return on Asset (ROA)

BANK PASARGAD The Millennium Bank

Member of the Asian Bankers Association's Board of Directors Chosen by SACE (Italian Export Credit Agency) as Issuing Bank – MOU signed subject to Implementation Day Recognized as the world’s 166th Banking Brand in 2018 and the only Iranian bank among Top 10 banking brands in the Middle East by The Banker with brand value estimated at USD 1,170 million Recognized by the Banker magazine as the world’s 406th Top Bank (362nd in year 2016)

24 Recognized by MAKE International Organization in 2017 as the “20th Top Knowledge Company in Asia”. Recipient of the National Financial Management Award for Excellence in Years 2015, 2016, 2017 & 2018.

Security & Transparency

BANK PASARGAD The Millennium Bank

 Capital is the most significant measure to a bank’s security. Bank Pasargad has the highest Paid-in capital among all Iranian private banks  Responsibility, Ethics, Transparency & Equity are the 4 essential pillars of Bank Pasargad’s Corporate Governance  Bank Pasargad has adopted a zero tolerance policy with regards to Bribery, Corruption, Money Laundering (AML) and Financing of Terrorism (CFT)  Adherence of all Central Bank of Iran regulations, requirements and directives  Awarded as the 3rd best Iranian bank in terms of AML  Bank Pasargad also observes all mandatory international regulations  Educated, well trained and resourceful Compliance Department  We operate under observance of an Independent Auditor & Legal Inspector  As a listed company, Bank Pasargad complies to all transparency and disclosure requirements of TSE

28/29 18/02 15/87 15/91 23/92 23/12 21/47 18/85 17/24 15/85 5/17 3/82 7/19

5 10 15 20 25 30

20th March 2007 19th March 2008 20th March 2009 20th March 2010 20th March 2011 20th March 2012 20th March 2013 20th March 2014 20th March 2015 19th March 2016 19th March 2017 20th March 2018 20th March 2019

Capital Adequacy Ratio ( % ) Paid-in Capital ( IRR billion)

3,500 5,250 7,000 7,700 23,100 27,258 30,000 42,000

50,400 50,400 50,400 50,400

10,000 20,000 30,000 40,000 50,000 60,000

2005 2007 2008 2009 2010 2012 2013 2015 2016 2017 2018 2019

Your life savings and investments are secure with us

25

Assets and Liabilities Structure (as of 20 March 2019)

14/68% 2/73% 72/11% 1/39% 0/86% 0/52% 6/53% Cash Due from banks and other credit institution Credit Facilities Granted Investments Intangible Assets Accounts Receivable Fixed Assets Other Assets 3/17% 71/42% 2/78% 1/52% 17/37% 3/20% 0/54% Call Deposits Term Deposits Other Deposits Saving Deposits Other Liabilities and Accruals Due to banks and credit institutions Interest Payable (Depositors) BANK PASARGAD The Millennium Bank

Security & Transparency

26

BANK PASARGAD The Millennium Bank

Relatively Low Non-Performing Loan (NPL) Ratio %

Security & Transparency

143,750,803 183,076,898 228,468,259 287,851,202 363,117,542 503,402,252 651,596,228 878,308,504 200,000,000 400,000,000 600,000,000 800,000,000 1,000,000,000 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

Total Gross Credit Facilities Granted (IRR millions)

5/79% 5/91% 5/53% 5/29% 4/56% 4/25% 4/38% 0/0% 1/0% 2/0% 3/0% 4/0% 5/0% 6/0% 7/0% 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

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BANK PASARGAD The Millennium Bank

Security & Transparency

Credit Facilities by Economic Sector (Book Value - as of 20 March 2019)

40/61% 5/82% 22/10% 18/15% 0/09% 13/23% Manufacturing Housing & Construction Commerce Services Agriculture Others

Distribution of Credit Facilities based on Industry Type (as of 20 March 2019)

31/84% 28/20% 4/54% 6/36% 14/53% 5/45% 1/82% 4/99% 2/27%

Automobile & Spare parts Metal & Mine Petrochemical, Chemical & Oil Refinery Food & Pharmaceutical Energy Contracting Telecommunication, Computer and related industries Financial Intermediaries Others 28

56,965,020 95,025,056 122,632,927 179,227,880 221,808,446 297,081,643 377,270,230

447,388,074 561,481,151 649,899,350 852,177,685

1,183,709,772 200,000,000 400,000,000 600,000,000 800,000,000 1,000,000,000 1,200,000,000 1,400,000,000 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

BANK PASARGAD The Millennium Bank

Strong Financial Performance

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4,337,896 7,096,491 10,129,926 12,353,712

31,387,403 38,416,498 45,096,339 52,485,378 63,787,293 74,396,132 59,494,290 61,827,118 81,001,210

10,000,000 20,000,000 30,000,000 40,000,000 50,000,000 60,000,000 70,000,000 80,000,000 90,000,000 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

Total Owners’ Equity (Million IRR) Total Assets (Million IRR)

237,957,554 304,815,336 350,288,790 423,049,252 497,622,670 646,589,465 874,126,101 50,000,000 100,000,000 150,000,000 200,000,000 250,000,000 300,000,000 350,000,000 400,000,000 450,000,000 500,000,000 550,000,000 600,000,000 650,000,000 700,000,000 750,000,000 800,000,000 850,000,000 900,000,000 950,000,000

2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

Description

20th March 2012 20th March 2013 20th March 2014 20th March 2015 19th March 2016 19th March 2017 20th March 2018 20th March 2019

Total Deposits (Million IRR) 171,112,476 237,957,554 304,815,336 350,288,790 423,049,252 497,622,670 646,589,465 874,126,101

Deposit Structure Total Deposits Growth (Million IRR)

BANK PASARGAD The Millennium Bank

Type

20th March 2012 20th March 2013 20th March 2014 20th March 2015 19th March 2016 19th March 2017 20th March 2018 20th March 2019

Call Deposits

8,985,693 17,418,558 16,759,491 13,225,850 10,293,575 12,337,721 17,745,644 ۳۴۸۸۴۷۴۲

Saving Deposits

2,847,463 3,713,887 6,217,296 4,963,707 3,438,195 4,667,754 8,724,387 ۱۶۷۵۲۳۴۴

Term Deposits

144,461,548 194,370,303 261,753,522 317,723,341 394,662,281 464,756,494 602,226,494 ۷۸۵۹۰۰۵۵۸

Other Deposits

14,817,772 18,808,044 14,212,326 7,346,020 6,192,506 5,575,509 10,475,352 ۳۰۶۳۳۲۷۷

Interest to be paid

• n

Deposits

2,753,329 3,646,762 5,872,701 7,029,873 8,462,695 10,285,192 7,417,588 ۵۹۵۵۱۸۰

Strong Financial Performance

Total Deposits (as of 20 March 2019)

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Total Revenue (Million IRR)

2,140,040 6,746,680 12,963,796 19,977,730 24,807,338 32,370,948 44,443,056 58,115,003 74,363,286 93,009,666 88,650,410 116,125,277 147152740

• 50,000,000

100,000,000 150,000,000 200,000,000

Mar-07 Mar-08 Mar-09 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19

857,368 1,679,670 2,446,123 3,548,255 6,309,426 10,159,820 14,189,140 16,870,289 13,952,482 12,136,193

• 6,498,210

2,340,624 19,650,500

Mar-07 Mar-08 Mar-09 Mar-10 Mar-11 Mar-12 Mar-13 Mar-14 Mar-15 Mar-16 Mar-17 Mar-18 Mar-19 Profit Before Tax (Million IRR)

BANK PASARGAD The Millennium Bank

Strong Financial Performance

Return on Equity ( % )

18/41 22/91 23/15 26/65 27/66 28/18 31/72 32/11 21/75 16/84 3/86 26/85

5 10 15 20 25 30 35

20th March 2007 19th March 2008 20th March 2009 20th March 2010 20th March 2011 20th March 2012 20th March 2013 20th March 2014 20th March 2015 19th March 2016 19th March 2017 20th March 2018 20th March 2019

Return on Assets (%)

3/62 2/85 2/47 2/75 4/02 4/91 5/11 4/65 3/07 2/31 0/31 1/88

1 2 3 4 5 6

20th March 2007 19th March 2008 20th March 2009 20th March 2010 20th March 2011 20th March 2012 20th March 2013 20th March 2014 20th March 2015 19th March 2016 19th March 2017 20th March 2018 20th March 2019

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BANK PASARGAD The Millennium Bank

Strong Financial Performance

Diversification of the bank’s Revenue Stream and sources of Income (as of March 20, 2019): EPS (IRR) Operating Revenue (IRR million)

20,546,889 22,497,142 12,999,159 28,403,934 50,134,019

10,000,000 20,000,000 30,000,000 40,000,000 50,000,000 60,000,000

2014-15 2015-16 2016-17 2017-18 2018-19 262/85 360/85 441/6 522/3 301/02 230/83

• 128/93

46/44 380

• 200

200 400 600

2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19

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Year 1396(20.03.2018 – 20.03.2019) Annual Expenses:

74/62% 0/00% 9/51% 14/93% 0/00% 0/00% 0/38% 0/56%

Interest Paid to Depositors Dividends Paid General & Administrative Expenses Doubtful Debts Expense Retained Earnings Finance Cost Income Tax Expense Depreciation Expense Income from credit facilities and inter bank deposits 82% Commission income 5% Net investment income 1%

Net foreign exchange transactions income 11%

Other income 1%

3/99% 75/28% 20/73%

At Branches Electronic Banking Channels Virtual Banking

Electronic Banking Services

At Bank Pasargad, only 3.99% of all transactions (approximately 28 million per week) are done at branches 96.01% of all our clients’ transactions are done electronically through either mobile applications, ATM and POS devices or other electronic and virtual banking channels. Total Banking Transactions

(as of 20 Mar. 2019) BANK PASARGAD The Millennium Bank

IT & Innovation

33

Bank Pasargad is a very technology oriented bank with its in house technology operations that provide the bank with the latest and the greatest tools for banking and payments. Our IT operations are also responsible for setting up the required network for effective communications between the branches, data centers and all the customer touch points. The banks owns an independent ICT holding, Fanap, which has successfully ventured and delivered state of the art solutions for several industries.

BANK PASARGAD The Millennium Bank

IT & Innovation

34 Payment  Comprehensive ATM and SST management  POS/mPOS application  ATM solutions Enterprise Resource Planning (ERP)  ERP from large to SMEs  Business Intelligence (BI)  Management Information System (MIS) Infrastructure  Energy & Power  Network  Building Management System (BMS)  Physical Security Telecom  Mobile Virtual Network Operator  Fiber channel provider (FCP)  Internet Protocol TV (IPTV)  Value Added Services (VAS) Health  Smart hospital and clinics solution  Smart wellness solution  Smart pharmacy solution  Health tourism solution Banking  Core Banking  Core Insurance

Board of Directors

Tel: (+9821) 82891002 Fax: (+9821) 88649234 Email: k.mirvalad@bpi.ir

Chairman of the Board of Directors Seyed Kazem Mirvalad

Tel: (+9821) 82890 Fax: (+9821) 88649233 Email: m.ghasemi@bpi.ir

Vice Chairman of the Board of Directors Majid Ghassemi

Tel: (+9821) 82891011 Fax: (+9821) 88649234 Email: m.beheshti@bpi.ir

Board Member Mostafa Beheshti Rouy

Tel: (+9821) 82891017 Fax: (+9821) 88649234 Email:k.ekhtiar@bpi.ir

Board Member Kamran Ekhtiar

Tel: (+9821) 82891019 Fax: (+9821) 88649234 Email: z.khazaei@bpi.ir

Board Member Zabihollah Khazaei

Tel: (+9821) 88170034-9 Fax: (+9821) 88508144 Email: tafreshi@bpi.ir

Alternate Board Member Ali Akbar Amin Tafreshi

Executive Board of Directors

Tel: (+9821) 82890 Fax: (+9821) 88649234 Email: m.ghasemi@bpi.ir

Chief Executive Officer Majid Ghassemi

Tel: (+9821) 82891019 Fax: (+9821) 88649234 Email: z.khazaei@bpi.ir

Executive Board Member in charge of Finance Zabihollah Khazaei

Tel: (+9821) 82891017 Fax: (+9821) 88649234 Email: k.ekhtiar@bpi.ir

Executive Board Member in charge of Financial Facilities & Credit Kamran Ekhtiar

Tel: (+9821) 82891575 Fax: (+9821) 88649521 Email: m.davoud@bpi.ir Executive Board Member in charge of International Affairs & Foreign Exchange

Mohammad Amir Davoud

Tel: (+9821) 82891036 Fax: (+9821) 82891029 Email: z.mirhosseini@bpi.ir

Executive Board Member in charge of IT Zahra Mir Hosseini

Tel: (+9821) 82895051 Fax: (+9821) 88655107 Email: a.amiri@bpi.ir

Executive Board Member in charge of Human Capital & Planning Arsalan Amiri Tel: (+9821) 82895201 Fax: (+9821) 82895210 Email: a.tiznobake@bpi.ir Executive Board Member in charge of Domestic Branches Network & Customer Service Abdolreza Tiznobake Tel: (+9821) 82891015 Fax: (+9821) 82897017 Executive Board Member in Procurement & Back Office Esmaeil Dousti

Tel: (+9821) 82895151 Fax: (+9821) 88675149 Email: m.hajian@bpi.ir Executive Board Member in charge of Risk & Strategic Planning

Mohammad Reza Hajian

Board of Directors & Executive Board Contact Details

BANK PASARGAD The Millennium Bank

35