Issue 49 THE WORLD OF ALPHA BANK

Transcription

1 Issue 49 THE WORLD OF ALPHA BANK

2 CONTENTS IN FOCUS p Issue 49 Τ Ordinary General Meeting of the Shareholders of Alpha Bank of June 29, 2018 Informative event for Customers of the Private Banking Division in Athens Informative event for Customers of the Individuals and Personal Banking Division in Thessaloniki The Bank participated in the day conference titled: Contemporary banking tools for the financing of SMEs The Customer Experience and Loyalty Division participated in the 4th Customer Experience Conference The Bank participated in the 2nd Hellenic Innovation Forum Human Resources Division: New Application for Employees to apply for and receive official documents online Training Division: Key training programmes in June 2018 p. 10 p. 26 p. 27 p. 28 p. 30 p. 32 p. 33 p. 34 Editor: CORPORATE COMMUNICATIONS DIVISION 40, Stadiou Str ATHENS, GREECE Τ communication@alpha.gr communication1@alpha.gr Design - Production: GOD A.E. CULTURE Nomos-Nomizo-Nomisma : Review of the academic year Collaboration between the Alpha Bank Numismatic Collection and the National and Kapodistrian University of Athens Summer school on Ancient Greek and Roman Numismatics Alpha Bank Cultural Centre Nafplio: Digital Tools for Heritage Management seminar Educational Programme of the Hellenic Art Galleries Association and The J. F. Costopoulos Foundation The Bank sponsored the New Worlds. Bill Murray, Jan Vogler and Friends performance The publication The Alpha Bank Collection: Paintings - Prints - Sculptures will be sold by Alpha Bank at a discount of 40% throughout September 2018 Activities of the Alpha Bank Library during the first semester 2018 The Alpha Bank Library: Angelos Terzakis p. 37 p. 38 p. 39 p. 40 p. 41 p. 43 p. 44 p. 45 p. 46 < Contents >

3 CONTENTS PRODUCTS AND SERVICES Alpha Home Renovation Settle your Public Sector dues smartly using Alpha Bank cards Alpha Save Smart Alpha Safe Auto Plan your holidays with the Affinity card and win gifts! Visa promotional activity with the Hellenic Duty Free Shops Bonus Exclusive Dining Alpha Bank Gold Business Banking: Upgrading online communication with Gold Business Customers p. 48 p. 49 p. 50 p. 51 p. 52 p. 52 p. 53 p Issue 49 CORPORATE SOCIAL RESPONSIBILITY Alpha Bank sponsors the Nafplio City Bike Sharing System The Bank supported the P.O.A.Y.S. Pan-Hellenic Conference 2018 The ICARO-IKAROS. The Pottery Factory of Rhodes exhibition moves to the Palace of the Grand Master in Rhodos Alpha Bank supported the International Conference The Greek Economy after the Closing of the 3rd Adjustment Programme p. 55 p. 56 p. 57 p. 58 Editor: CORPORATE COMMUNICATIONS DIVISION 40, Stadiou Str ATHENS, GREECE Τ Design - Production: GOD A.E. CULTURE SPECIAL ART NETWORK George Lappas HISTORY OF COINS Prefecture of Lasithi Hierapytna PORTRAITS FROM THE BANK S HISTORY Spyridon P. Loverdos GROUP COMPANIES Alpha Astika Akinita Alpha Bank Cyprus Ltd p. 59 p. 62 p. 63 p. 65 p. 65 < Contents >

4 IN FOCUS Honorary distinction for the Honorary Chairman of Alpha Bank Yannis S. Costopoulos by the Hellenic Bank Association O n Tuesday, June 12, 2018, during a commemorative event held by the Hellenic Bank Association to celebrate the 90-year anniversary of its foundation, in 1928, the Chairman of HBA Mr. Nikolaos Karamouzis presented the Honorary Chairman of Alpha Bank Yannis S. Costopoulos with an award, in recognition of his long and valuable contribution to the progress and modernisation of the Greek banking system. Mr. Karamouzis mentioned the honoree s multifaceted personality as well as his leading presence in the banking sector, while members of his family and the Bank s Management were present at the award ceremony. The Managing Director CEO of Alpha Bank Demetrios P. Mantzounis received the award and talked about the activity of Yannis Costopoulos, as well as the many initiatives that Alpha Bank has taken throughout the years, leading the way in a series of developments and important innovations in banking. During the screening of a short video tribute, guests had the opportunity to watch the joint course of the Greek state, the Greek economy and the Greek banking system, as well as the changes that have taken place over the years in banking, the decade of growth but also the more recent decade of disinvestment. Two different volumes that were handed out to guests include extensive historical references to the history of HBA and that of the banks. < 3 / 67 >

5 IN FOCUS Mr. Karamouzis said the following at the award ceremony: This initiative is a small token of recognition to his long and valuable contribution to Greek economy and society, to growth and to the modernisation of the Greek banking system. Mr. Yannis Costopoulos, the captain as friends and competitors used to respectfully address him in the past, who has long been highly regarded by everyone, is a distinguished leading personality of the banking sector as well as Greek society and economy over the past decades. Always a leader, he shaped with his views and his activity the developments and prospects in banking and the economy. Daring and honest, he set the bar high for all of us. With his vision, ethics, determination and integrity, structured views, influence on society and the economy, he is a multifaceted and perceptive personality with international recognition, who honours our country with his always clear words, his insightful and calm thinking and his important social presence and activity. For those who have met him in person, Mr. Yannis Costopoulos has taught us all how one can combine technocratic knowledge with substantial corporate and social responsibility. Effective management with humanitarianism, mildness and creative values. Austerity with honesty, respect and dignity. With his deep love and devotion to his country, he is a nobleman and a patriot, with a keen interest and involvement in the arts, culture as well as sports. Since 1973, when he became Managing Director of the Bank at the age of 35, his contribution to the Bank s development and consolidation into one of the most contemporary and healthy banking Institutions in this country, which enjoys the trust of its customers, its personnel and the markets, was decisive. He has left his mark on many of the innovative changes that have taken place in the Greek banking system and many of his predictions have been confirmed to a large extent. Mr. Yannis Costopoulos has remained true to his principles and the values that he has served with consistency. He is deeply human and a loyal friend to all those who have trusted and honoured him. < 4 / 67 >

6 IN FOCUS The Managing Director CEO of Alpha Bank Demetrios P. Mantzounis spoke next. He first addressed Mr. Karamouzis, saying that with his concise speech he said all there was to say and covered much of what he had in mind to say himself. He continued with the following: In 1973, when Mr. Costopoulos became Managing Director, he might have been the third Costopoulos family member to take over, but his university studies defined him as a naval architect. And then, many wondered what a naval architect working in the Bank could do. When Mr. Costopoulos took over he wanted to change everything and first and foremost, the impression people had about the Bank, which back then was a small Bank. In order to change people s perceptions, he was the first, at least in the banking sector, to become involved with corporate identity. He changed the Bank s name, changed its logo by selecting the oldest ancient Greek coin, namely the Aegina turtle, he changed the colour and style of the Branches and stressed the Bank s Greekness in the following way: each Branch had to feature an artwork of either a Greek artist or with a Greek theme. < 5 / 67 >

7 IN FOCUS He also started, symbolically, to collect coins and today, after approximately 40 years, the Bank has one of the largest Collections of Greek Coins in the world. He gave these activities, which gradually changed people s perception of the Bank, a common name, Mazi (together), a simple, two-syllable word that no one had used until then, to show that the Bank and the world, Customers or anyone else related to it, are together, they are one. This is a short narrative of what happened during the first years of Yannis Costopoulos management. But it was not just that. The Bank gradually started to expand all over Greece and became known for its contemporary techniques and its innovation, such as ATMs, POS terminals and cards, which to a large extent were issued by us. Yet apart from our commercial activity, Mr. Costopoulos contribution as a member of the Charissopoulos Committee, which preceded the Karatzas Committee, regarding the modernisation and the deregulation of the banking system, was significant. During all these years of expansion various activities took place, such as the acquisition of the Ionian Bank and later, the acquisition of Emporiki Bank, the Retail Banking operations of Citi in Greece, Cooperative Banks and much more. But I would like to stress one more thing. After 1974 especially, union leaders wanted the salaries of all banks to be equated to the salaries of the Bank of Greece. Equation became a motto. The National Bank adopted the measure, so all the others wanted to follow in its steps. We also followed and a collective agreement was signed in 1975, but Mr. Costopoulos did not want us equated with the rest. He wanted us to pay more and have a different salary. And that was passed on to the people as a motive, to work more. And it was very important. < 6 / 67 >

8 IN FOCUS Another thing I would like to mention is the story of the great strike. The strike lasted two months and Alpha Bank was the only Bank that shut down. This occurred at a time of a caretaker government, which means that decisions were not easily made. It was then that the Minister responsible for banks, Georgios Gennimatas, called and asked Yannis Costopoulos why this situation lasted that long. The answer was: Listen Mr. Minister, if it was a financial matter, we would have agreed, but this is not financial, it is a matter of principle, it is a matter of director s rights. And that is why there is no compromise. G. Gennimatas then told him: Thank you, I understand. And the strike went on for another 2-3 weeks and then it stopped. This is something that is not widely known, but it is a landmark in the course of the union movement. From that moment on, the movement stopped seeking participation in the management and focused on defending union matters. At the beginning of the crisis, when the law about liquidity was passed, known as the Alogoskoufis law, there was a great difficulty on the part of banks and bankers to be incorporated in the programme, as no one wanted to be the first one to do so. Then, Mr. Costopoulos, at an interview he gave to one of the Sunday newspapers, said: Times are difficult, we don t know what will happen, we have to fortify the banks. Alpha Bank will be part of the programme. And then, all the others followed suit. A few months later, something else came up, namely how we would present in the Balance Sheets the fourth quarter results, which were negative for all banks. And then, Mr. Costopoulos, once again at an interview, said: If the Bank presents losses, we will show them, as this will give the opportunity for us to get larger predictions. And if conditions remain adverse, banks have to get predictions and not be afraid of doing so. These two actions of his had a great impact at the time. < 7 / 67 >

9 IN FOCUS Regarding his contribution to culture, society, sports and the environment, I would like to say a few words about his sensitivity concerning cultural events. At this point, it should be mentioned that Yannis Costopoulos has been honoured by the Greek state, but not as a banker; he has been named Grand Commander of the Order of the Phoenix, an Order conferred by the President of the Hellenic Republic on Greek citizens distinguished in the fields of public administration, science, Arts and Letters, commerce, industry and shipping. The J.F. Costopoulos Foundation, which supports Museums, and not just the Benaki Museum, the Eleutherna Museum and the excavation site of Ancient Messene, but also small Museums, 40 small Museums, educational programmes and anything related to Arts and research, seeks to strengthen and promote Greek culture, the Arts and Letters, both in Greece and abroad. Yannis Costopoulos is also very sensitive about children. The Costopoulos family home in Kalamata houses the To perivoli tis giagias (Grandma s garden) nursery, providing its services to local children for 24 years. Another thing that has not attracted publicity, but is a great promotion for Greece, is the funding of two galleries at the Metropolitan Museum of Art in New York, two large galleries which, when the Museum was renovated years ago, were named Spyros and Euridice Costopoulos and Stavros and Danae Costopoulos respectively. They house ancient Greek artifacts. The Bank was also a sponsor of two large exhibitions on Byzantine Art, which were held at the Metropolitan Museum of Art in New York, in 1997 and in 2004 and were visited by thousands of people from all over the world. That was Yannis Costopoulos activity which is not only an inspiration, but it is also an area where he contributes with private means and does not want this to be known to the public. < 8 / 67 >

10 IN FOCUS Another thing that had greatly impressed me, was how quickly he understood the importance of hosting the Olympic Games in Athens in The Bank was named Grand National Sponsor of the Games and greatly supported this important event. The Games remain in my memory like a dream. Today, when talking about the Olympic Games unfortunately many negative comments come up and I am sorry that, as he [Costopoulos] said in one of his interviews, we did not make use of the promotion we received, the sound organisation and all that was created in terms of structure and buildings, which we could have used for other purposes. We hope that at some point there will be a Ministry that will put to use all these Olympic works. Closing my speech, you will give me the permission, although I don t like to read, to say something that I wrote: Yannis Costopoulos has never ceased to believe in the great importance of banks in terms of the economy and the evolution of society and that is why he proceeded with strict principles, giving the Bank, of which he was a leader, the prestige that is only acquired with rigorous devotion to duty and the professional ethics that he has taught us, which we are proud of and which we thank him for. < 9 / 67 >

11 Τ THE BANK Ordinary General Meeting of the Shareholders of Alpha Bank of June 29, 2018 A t the Ordinary General Meeting of the Shareholders of Alpha Bank, which took place on Friday, June 29, 2018, spoke the Chairman of the Board of Directors Vasileios T. Rapanos and the Managing Director - CEO Demetrios P. Mantzounis. The Chairman of the Board of Directors Vasileios T. Rapanos stated the following: Dear Shareholders, Ladies and Gentlemen, This year s General Meeting of the Alpha Bank Shareholders takes place at a time of positive prospects for the Greek Economy and the country s banking system, but also at a time of uncertainty in the international economic scene and the European economies. The second half of 2018 is critical, as after the completion of the country s third Economic Adjustment and Financial Assistance Programme, the economic developments and the efforts to address the major challenges of structural changes will determine the Greek Economy s production and growth potential in the medium term. The Greek Economy recovered in 2017, achieving for the second consecutive year a positive growth rate, yet one that was lower than the corresponding rate of both the global and the European economy. This recovery trend is expected to continue in 2018, driven by the increase in investments, the revenue generated by tourism and the export performance of certain important manufacturing industries. < 10 / 67 >

12 Τ THE BANK It is now clear that the country has come a long and difficult way in addressing and eliminating the main macroeconomic imbalances that led it to the crisis. Over the next few months, Greece is expected to make its return to the international financial markets. It is therefore important to consider, the state of our economy after the three Fiscal Adjustment Programmes and to assess the opportunities presented to us, in order to plan the future, without the risk of repeating past mistakes. Through the Fiscal Adjustment Programmes, the country has successfully addressed three fundamental vulnerabilities of the pre-crisis period: its deficient fiscal management, the huge current account deficit and the weak international competitiveness. The fiscal adjustment that has been achieved is quite significant. The magnitude of the adjustment becomes more evident if we use as indicator the primary budget balance, adjusted for the economic cycle. This indicator turned from a deficit of 10.3% of the potential Gross Domestic Product (GDP) in 2009 to a surplus of 7.7% in This development is a strong message to the investor community and the markets in general that Greece has entered a period of sustainable prudent financial management and serves as proof of the Greek governments commitment to the goal of fully restoring the confidence of the international markets. It is true, however, that the very nature of fiscal adjustment has brought about additional barriers to entrepreneurial activity. Fiscal adjustment was mostly based on the increase in tax rates and social security contributions and less on a more efficient use and management of state-owned assets and the rationalisation of public expenditure. As a result of this policy, public investment declined, while the indiscriminate reduction in expenditure led to a deterioration in the quality of public goods and services in many cases. It is worth mentioning that the high tax rates imposed on a limited tax base reinforce the incentives for tax evasion and undermine growth dynamics as well as tax justice. In the coming months, the country will exit the Fiscal Adjustment Programme and will, once again, turn to the international markets. In a volatile environment, it is vital to plan a more growth-friendly mix of taxes and expenditure, along with the stepping up of the efforts to curb tax evasion and improve the efficiency of public sector spending. At the same time, realistic adjustments must be planned, in agreement with the country s partners, regarding the future targets for high primary surpluses combined with the decisions on public debt relief. < 11 / 67 >

13 Τ The numerical adjustment of the current account balance is equally significant to that achieved in the fiscal sector, particularly with regards to services, thanks to the continued strengthening of the market shares of Greek tourism. There are, however, risks in the tourism sector; most importantly, the real risk of a competitive disadvantage in the case of the balance of trade is concerned, exports continue to fall significantly short of imports. Changing the country s production model towards a more extrovert pattern is a process that ultimately requires a long period of time. Finally, the significant improvement in Greek Economy s competitiveness, achieved at a high social cost through a policy of internal devaluation, is an important incentive for the development of investment initiatives and the attraction of direct investments, both Greek and foreign, which are necessary in order to tackle unemployment, the biggest challenge for the economic policy in the coming years. However, the impressive improvement in competitiveness in terms of labour cost is not consistent with its limited improvement in terms of prices, again due to tax burdens and delays in the deregulation of certain goods and services markets. Dear Shareholders, Ladies and Gentlemen, The clarification of the public debt relief measures, the establishment of a strong cash buffer for a sufficient period of time into the future and the commitment to continue with the structural reforms will mark the country s smooth return to the Programmes, such as Portugal and Cyprus. We must admit, however, that despite dealing with many vulnerabilities accumulated over the past decades, net fixed capital formation remains particularly low, both compared to the other European countries and, most importantly, to what is required for creating not only new but also high quality jobs. In particular, the contraction of investment expenditure during the economic recession, from 21.8% of GDP on average in the period to 12.4% in the period, significantly depleted the stock of the country s productive capital, as the percentage rate of depreciation exceeded the formation rate of fixed capital for a long period of time. The drop in productive capital, combined with the weakening of productivity and employment rates, leads to a decline in the country s production capacity. < 12 / 67 >

14 Τ The critical question, therefore, is how the country will be able to create the conditions for a significant increase in investment. Given the Greek households negative average propensity to save over the past six years, as a result of the decrease in disposable income and the high tax burdens, attracting foreign direct investment is particularly important, as it has a strong growth footprint, with the introduction of technological innovations that enhance the productivity of labour. constitute a mechanism for attracting new investment funds and revitalising many small and medium-sized Greek enterprises that will operate in support of the large business units. Dear Shareholders, Ladies and Gentlemen, also marking progress in the restructuring of the business and production sectors, by reorganising numerous enterprises and establishing conditions of healthy and fair competition. strongest capital position among Greek banks, owed to its prudent management over the previous years. Dear Shareholders, Ladies and Gentlemen, significant changes to its corporate governance, in compliance with the new supervisory requirements as well as with the European best practices. < 13 / 67 >

15 Τ This development deserves special mention. The executive management and the audit and supervisory units of a financial institution should be competent and effective, in order to successfully respond to the significant responsibilities that they assume. Their composition should ensure both the financial institution s effective administration and balanced decision-making. Clearly, an effective board of directors has a positive impact on the safe operation and soundness of the banking institution and, at the same time, enhances public confidence in the persons managing the financial system at country and Eurozone level. The European Central Bank has issued relevant guidelines to harmonise assessment criteria for all administrative structures and supervisory bodies. governing the Bank s efficient operation, reinforce the principles of integrity and transparency and ensure optimal risk management. < 14 / 67 >

16 Τ THE BANK Then, the Managing Director - CEO Demetrios P. Mantzounis took the floor and stated the following: Dear Shareholders, Ladies and Gentlemen, Today, our country is facing a historic challenge: to return, soon, to the international financial markets as well as to a path of convergence with its European partners. The completion of the third adjustment programme of the Greek Economy in August 2018 is expected to mark the end of a long period of uncertainty. It should also trigger the start of swift and sustainable growth, as the country is expected to improve significantly its position as an investment destination. Channelling resources to productive and extrovert business investments could provide the momentum needed for the transformation of Greek Economy s production model, by shifting its reliance to internationally tradable goods and services. Attracting direct foreign investment presupposes the establishment of an environment friendly to entrepreneurship, the full implementation of the privatisation programme as well as overcoming the obstacles that hinder the progress of reforms aimed at reducing red tape and at supporting the smooth operation of the markets. Finally, the change in the fiscal adjustment mix can act as an additional catalyst for growth, through a decisive tax reform that will encompass lower tax rates, the simplification of the tax system, the expansion of the tax base and limiting tax evasion. The banking system will assist, once again, the effort to bolster entrepreneurship and ensure the country s permanent exit from the crisis, by selecting and financing the most profitable investment plans. This will be possible because the core profitability of the banks is restored, while at the same time their capital adequacy is maintained at very satisfactory levels and the stock of Non-Performing Exposures is progressively declining, in line with the targets set. < 15 / 67 >

17 Τ THE BANK In 2017, Alpha Bank continued to support actively business ideas with positive prospects, which strengthen the country s infrastructure and export potential. Disbursements of loans to the private sector stood at Euro 2.1 billion. According to our Business Plan, in the three-year period new loans to businesses in Greece will exceed Euro 6.5 billion, considerably higher than previously estimated and will strongly focus on the sectors of tourism, energy and key infrastructures. In May 2018, the Greek banking system completed successfully one more Stress Test, thus confirming that its capital base is adequate to withstand an unforeseen adverse development over the next three years. Special reference should be made to Alpha Bank s outstanding performance in the recent stress test. This performance: firstly, demonstrates, once again, the Bank s sector-leading capital position secondly, allows the Bank to achieve its strategic objectives, through the implementation of its NPE business plan and thirdly, it highlights Alpha Bank s ability to support the momentum of the Greek economic recovery by further enhancing business growth. The Stress Test was conducted according to a static balance sheet approach under a baseline and an adverse macro scenario with a three-year forecasting horizon ( ). The starting point was the Balance Sheet of 31 December, 2017, re-stated to account for the International Financial Reporting Standard (IFRS) 9 impact. Under the baseline scenario, the 2020 CET1 ratio reached 20.4%, as a result of an aggregate impact of +212 basis points following the IFRS 9 implementation, mainly driven by a strong pre-provision income generation, according to the assumptions of the baseline scenario. Under the adverse scenario, the minimum 2020 CET1 ratio stood at 9.7%, down by 856 basis points, largely driven by the negative impact of Credit Risk resulting from the stressed macro environment and methodological constraints. < 16 / 67 >

18 Τ THE BANK Dear Shareholders, Ladies and Gentlemen, In 2017, Alpha Bank, implementing its business plan, improved its performance and returned to profitability by strengthening its Balance Sheet. The yearly financial results indicated further improvement in all areas. The capital ratios were reinforced, the Eurosystem funding reliance was reduced and the costs were contained. Specifically, in the last quarter of 2017, reliance on Central Bank funding further decreased by Euro 1.4 billion quarteron-quarter to Euro 10.2 billion, supported mainly by securities disposals of Euro 0.9 billion mostly European Financial Stability Facility (EFSF) bonds as well as by deposit inflows of Euro 0.9 billion. As a consequence, the Bank s reliance on the Emergency Liquidity Assistance (ELA) stood at Euro 7 billion at the end of December 2017, reduced by Euro 6.2 billion year-on-year and further declined to Euro 4.8 billion at the end of March As part of the total budget concerning its funding sources, Alpha Bank participated in the Targeted Longer-Term Refinancing Operations (TLTROs) of the European Central Bank, addressed to Eurozone Banks. The total financing received by the Bank is Euro 3.1 billion at a negative interest rate (-0.40%) for up to 4 years, which allows the Bank to fully benefit from the aforementioned liquidity, based on the collaterals provided to the ECB. The Bank continued its effort to enhance profitability in Net Interest Income increased to Euro 1,942.6 million. At the same time, Net Fees and Commission Income in 2017 stood at Euro million from Euro million in 2016, mainly on the back of loan-generated fees mostly related to the Bank s participation in project financing as well as a higher contribution of private banking and asset portfolio management operations. In addition, the high performance of Greek tourism contributed to a further rise in net fee and commission income from credit cards, to Euro 65.3 million in Income from financial operations amounted to Euro million, compared to Euro 84.9 million in 2016, positively affected by trading gains mainly attributed to the disposal of securities as well as to the Bank s participation in the exchange programme of Greek Government Bonds by the Hellenic Republic. < 17 / 67 >

19 Τ THE BANK In 2017, cost reduction continued for yet another year. Recurring Operating Expenses remained effectively flat and amounted to Euro 1,104 million, affected by the increase of NPL remedial management expenses, which offset the benefit from the lower staff costs with the corresponding Cost to Income Ratio further easing to 47.6% in 2017 from 48.2% in At the end of December 2017, Personnel Expenses amounted to Euro million, down by 5.4% year-on-year, mainly due to a Group headcount reduction to 11,727 Employees. The Group Network was reduced to a total of 670 Branches from 721 at the end of It is worth noting that the Bank has already achieved the goals of the Restructuring Plan in terms of both the number of Employees and the number of Branches. General Expenses amounted to Euro million, up by 4.1% year-on-year, negatively affected by increased NPL remedial management costs. Excluding NPL remedial management costs, which stood at Euro 88.2 million, General Expenses for 2017 amount to Euro million. In the last quarter of 2017, our Group deposit base recorded inflows of Euro 1 billion and, as this trend continued in the first quarter of 2018, Group deposits reached Euro 35.9 billion at the end of March. In Greece, deposit balances rose to Euro 29.3 billion, mainly attributed to households. Deposits in Southeastern Europe increased significantly in the last quarter of 2017 and reached Euro 4.7 billion at the end of December 2017, mainly as a result of inflows from time deposits in Alpha Bank Romania S.A. The gross loans of the Group were reduced to Euro 56.6 billion, as a result of the implementation of the Non-Performing Exposures Reduction Plan and the sale of Non-Performing Loan portfolios in Greece and Romania. Hence, the Loan to Deposit Ratio for the Group further declined to 124% at the end of December 2017 from 129% in the third quarter of 2017 and, for Greece, to 128% from 132% respectively. It is worth noting that according to the Bank s Restructuring Plan, the target for 2018 in Greece was 119%, which has already been achieved in the first quarter of this year. < 18 / 67 >

20 Τ THE BANK Dear Shareholders, Ladies and Gentlemen, The effective management of Non-Performing Exposures is the most critical issue that the Bank is called to address. The simplification of the institutional framework for the licensing of credit servicing firms and the conclusion of the first sales of loan portfolios represent important steps towards normalisation. The Bank is stepping up its efforts, by expanding the range of solutions proposed to borrowers and offering a range of options, such as interest rate reduction, loan term extension, split balance, partial debt write-off and the operational restructuring of corporate borrowers. In order to clean up further its Balance Sheet, the Bank took and successfully carried out several noteworthy initiatives. In Romania, the sale of a portfolio of Non-Performing Loans totalling over Euro 400 million was completed, while in Greece the Bank signed a final agreement for the sale of a portfolio of non-performing unsecured Retail Banking loans totalling Euro 3.7 billion, with both transactions having a positive impact on its capital ratios. Hence, NPE contraction accelerated in the last quarter of 2017, as our NPE stock in Greece declined by Euro 1.8 billion to Euro 25 billion. This performance reflects the successful restructurings in the last quarter of 2017, combined with initiatives such as liquidations and the disposal of selected non-performing portfolios as well as write-offs. The reduction of NPLs in Greece amounted to Euro 3 billion in 2017 and, as a result, at the end of December 2017, the Group NPL ratio stood at 34.9% and the NPL coverage ratio stood at 67%. The total coverage ratio including collateral stood at 122%. At the end of December 2017, our accumulated provisions for the Group amounted to Euro 13.3 billion, while the Ratio of Loan Loss Reserves over gross loans stood at 23.5%. In Southeastern Europe (SEE), our Core Operating Income for 2017 stood at Euro million, down by 8.5% year-on-year, adversely affected by the lower Net Interest Income mainly as a result of deleveraging. Total Branches in SEE stood at 186. The Loan to Deposit Ratio in SEE operations has significantly improved, amounting to 118% in December 2017, compared to 145% a year ago. < 19 / 67 >

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22 Τ Fully aware of the consequences of climate change, it has invested in energy saving initiatives, in the development of renewable energy sources and the modernisation of production procedures implemented by businesses. Meanwhile, it regularly monitors energy consumption at its premises and the corresponding greenhouse gas emissions and seeks to reduce its ecological footprint. In order to achieve this, it promotes the rational use of lighting, heating and cooling installations in its Buildings, the use of environment-friendly equipment as well as distance training. It also implements initiatives for the efficient use of raw materials and applies the reduce, reuse, recycle principle in waste management. computers as well as Universities in granting scholarships. The participation of the Bank s Personnel in volunteering activities was important for yet another year. In particular, approximately 1,000 Employees participated in voluntary blood donations, social solidarity and environmental awareness The Together, for better health programme, which is carried out on an annual basis and has been designed to deliver The Together, for better health programme continues throughout 2018, in order to deliver pharmaceutical supplies and The Helping Hand programme, which supports vulnerable groups (poor, large families and the elderly), continued in 2017 in collaboration with 10 Holy Dioceses, while it is worth mentioning that since the launch of the Programme in 2012, a total of 24,000 carts with food supplies have been delivered. Programme, 550 children living in 9 Children s Homes visited museums and attended theatre performances. < 21 / 67 >

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24 Τ Dear Shareholders, Ladies and Gentlemen, < 23 / 67 >

25 Τ The General Meeting: Mr. Johannes Herman Frederik G. Umbgrove, as representative and upon instruction (as per letter No 50/ ) of the Hellenic Financial Stability Fund.

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27 Τ THE BANK Informative event for Customers of the Private Banking Division in Athens Emmanouil Arzinos. O n Wednesday, June 13, 2018, an informative event for Customers of the Private Banking Division took place at the Hilton Athens hotel, organised by Morgan Stanley. The Manager of the Private Banking Division Emmanouil Arzinos gave a short speech at the beginning and the end of the event, while Mr. Federico Vettore, Executive Director, Morgan Stanley and Mr. Christian Goldsmith, Executive Director, Morgan Stanley, gave presentations titled: Innovative Investment Approaches. < 26 / 67 >

28 Τ Panagiotis Remoundos. Left to right: Ioannis Emiris, Evangelia Chatzidaki, Panagiotis Remoundos and Kimon Volikas. O Informative event for Customers of the Individuals and Personal Banking Division in Thessaloniki n Monday, June 11, 2018, an informative event for Customers of the Individuals and Personal Banking Division took place in Thessaloniki. The Executive General Manager Private and Investment Banking Ioannis M. Emiris gave a short speech, which was followed by a presentation by the Manager of the Investment Portfolios Management Division Kimon Volikas, titled: International Markets 2018: Striking a balance in the new reality. The event ended with a speech by the Manager of the Individuals and Personal Banking Division Evangelia Chatzidaki. < 27 / 67 >

29 Τ The Bank participated in the day conference titled: Contemporary banking tools for the financing of SMEs lpha Bank participated in the conference titled Contemporary Banking Tools for the financing of SMEs, which the Thessaloniki Chamber of Commerce and Industry successfully held in Thessaloniki. The aim of the Day Conference was to inform business people about the features and possibilities available through the Banks contemporary financing tools, which help enhance the competitiveness and the extrovert approach of SMEs as well as promote their development in new markets. < 28 / 67 >

30 Τ Georgios Tsagkarakis. The Senior Officer of the Small Business Banking Division Georgios Tsagkarakis made a speech at the Day Conference, where he analysed the challenges of the modern business environment and the prospects of sustainable development for businesses, through a new standard that will be based on an extrovert approach, differentiation, innovation and speed. Hence, the complete series of contemporary financing tools and services of added value that the Bank provides was presented, which ensures liquidity for SMEs with preferential terms, so that they can implement their business plans and effectively manage their increasing daily needs. Capital adequacy, its credibility and the long experience of its specialised Executives in managing Development financing solutions in order to further enhance their competitiveness. < 29 / 67 >

31 Τ The Customer Experience and Loyalty Division participated in the 4th Customer Experience Conference O n Thursday, June 14, 2018, the Athens Customer Experience Festival - Design & Deliver Amazing Customer Experiences took place, for the 4th consecutive year. The aim of the Conference was to collect and put to use valuable knowledge from companies specialising in Customer Experience on a global level, through: the presentation of international, best practices and successful examples of entrepreneurship focusing on innovation in Customer Experience Management and the in-depth understanding of the constant changes that occur and reshape the profile of consumers/customers an all-encompassing approach to Customer Experience and Customer Journey Mapping: the design of a loyalty strategy for customers, the evaluation of experience and its emotional impact on the organisation in all main points of communication with the client as well as the improvements in procedures related to support mechanisms focusing on people the promotion of the connection between employee experience and the final experience offered to customers and the promotion of the importance of bringing together actual and digital channels of experience. < 30 / 67 >

32 Τ < 31 / 67 >

33 Τ The Bank participated in the 2nd Hellenic Innovation Forum lpha Bank participated in the 2nd Hellenic Innovation Forum, which was held at the Divani Caravel hotel on June 19 and June 20, The Conference was organised by Ethos Events, in collaboration with the economic and business portal banks.com.gr The Bank was present at the Conference with its own stand, where Executives provided Conference participants with < 32 / 67 >

34 Τ S Human Resources Division Alpha Bank Intranet. < 33 / 67 >

35 Τ T Training Division NPEs: New Strategy New Products New Tools

36 Τ Internal Certifications On June 2, 2018, the first semester exams for Internal Certifications Workout Operations took place and on

37 Τ Results per Certificate can be seen in the following Index: Certificate Candidates Pass Fail Success Rate % Transactions % Transactions % CTO Transactions Control % % % CRO Deposits and % Gold Deposits and % Bancassurance for % Business Financing Operations % Workout % % % Bancassurance for Businesses % International Trade Values for Collection % International Trade % Certificates Total % < 36 / 67 >

38 THE BANK CULTURE Nomos-Nomizo-Nomisma Review of the academic year T he Alpha Bank Numismatic Collection s educational programme Nomos-Nomizo-Nomisma continued, for the second consecutive academic year, its journey to different schools around Greece, inside a specially designed suitcase. Overall, 131 schools from all over Greece, namely Kindergartens, Primary Schools, Gymnasiums, Music and Special Schools, took part in the Educational Programme during the academic year Due to increased demand, the number of the Programme s suitcases rose to 30. In addition, educational seminars for Teachers were held in Kastoria and in Rhodos, in collaboration with the Directorates of Primary and Secondary Education of these regions. For the first time, the Programme s suitcase also traveled abroad, to Lausanne in Switzerland, at the school of the Association Greek for All / Grec pour Tous. The journey is scheduled to continue in the next academic year, , as applications for participation have already been submitted. Academic year regions 88 cities 131 schools 5,524 students < 37 / 67 >

39 THE BANK CULTURE T Collaboration between the Alpha Bank Numismatic Collection and the National and Kapodistrian University of Athens he History and Archaeology Department of the National and Kapodistrian University of Athens Philosophy School collaborated, for the first time, with the Bank s Numismatic Collection, during the spring semester of the academic year From March 7 through June 13, 2018, Professor Eleni Psoma taught Ancient Greek Numismatics at the Bank s Educational Programmes Hall, every Wednesday. Students had the opportunity to study ancient coins which were related to the course s syllabus, to delve into matters related to numismatics and attend lectures by distinguished numismatics experts. < 38 / 67 >

40 THE BANK CULTURE Summer school on Ancient Greek and Roman Numismatics O n Wednesday, July 4, 2018, students from the summer school on Ancient Greek and Roman Numismatics, held for the second time by the Institute of Historical Research of the National Hellenic Research Foundation, visited the Bank s Numismatic Collection and attended a numismatics seminar at the Educational Programmes Hall. Overall, 15 students from 8 different countries were informed about the Collection s history and various activities, while they also discussed selected topics related to numismatics, ranging from the time the coins first appeared through the Roman era. Students showed particular interest in the method that ancient coins were produced and struck themselves an Athenian tetradrachm and a tetradrachm of Alexander the Great, roughly following the ancient technique. Finally, they visited the Alpha Bank Numismatic Collection s permanent Exhibition and received detailed informative material. < 39 / 67 >

41 THE BANK CULTURE Alpha Bank Cultural Centre Nafplio Digital Tools for Heritage Management seminar T he Alpha Bank Cultural Centre in Nafplio hosted, for the second time, the Digital Tools for Heritage Management summer seminar, from May 26 through June 16, The Programme, organised by The Heritage Movement Organization and held in collaboration with the Municipality of Nafplio, is designed to promote Nafplio s cultural heritage by digitising its historical centre. During the course, participants collected and processed material in order to create three-dimensional depictions of the city s historical buildings. Specifically, they used special technological equipment (laser scanners, GIS, GPS) to record architectural remains and then the digitised result was incorporated in the studies for the restoration and promotion of ladmark historical buildings. This year, the seminar was held in the hall situated on the first floor of the Bank s Cultural Centre. < 40 / 67 >

42 THE BANK CULTURE Educational Programme of the Hellenic Art Galleries Association and The J. F. Costopoulos Foundation T he Hellenic Art Galleries Association and The J. F. Costopoulos Foundation reailised an educational programme for students of the Athens School of Fine Arts. The programme, run within the framework of Art Athina, aims to inform, inspire, and prepare young artists and theorists as an introduction to the art world. The artistic director of Art Athina, Stamatia Dimitrakopoulou, was the scientific supervisor of the programme that brings together students with artists and art professionals through visits to artists studios and the galleries that represent them. The visual artists Christina Nakou and Daphne Kouri were responsible for the coordination of the programme. The students of the Athens School of Fine Arts that participated in this year s educational programme were welcomed by: gallery The Breeder, artist Navine G. Khan Dossos / Gallery 7, artist Matina Stavropoulou / Kalfayan Galleries, artist Rania Bellou / Gallery Ekfrasi-Yianna Grammatopoulou, artist Kornelios Grammenos / Ileana Tounta Contemporary Art Center, artist Panos Famelis. This new venture was presented and discussed in the context of the talks of Art Athina 2018, realised in the Athens Conservatoire. < 41 / 67 >

43 THE BANK CULTURE At Panos Famelis studio. At Rania Bellou s studio. At Ekfrasi-Yianna Grammatopoulou gallery. At the talk of Art Athina < 42 / 67 >

44 THE BANK CULTURE The Bank sponsored the New Worlds. Bill Murray, Jan Vogler and Friends performance O n Tuesday, June 19, 2018, the Bank held a Customer event, as part of its sponsorship of the New Worlds. Bill Murray, Jan Vogler and Friends performance, which took place at the Herod Atticus Theatre. During the performance, comedian Bill Murray took on a different role than the one audiences are used to from his successful Hollywood career. He narrated and interpreted compositions by Foster, Gershwin and Bernstein as well as excerpts from classic American poets and writers such as Whitman, Hemingway and Twain, to the sounds of Jan Vogler s Stradivarius cello. Bill Murray s interpretation of the songs and texts, together with the chamber music under the baton of cellist Jan Vogler, created a unique combination of music and literature. < 43 / 67 >

45 THE BANK CULTURE The publication The Alpha Bank Collection: Paintings - Prints - Sculptures will be sold by Alpha Bank at a discount of 40% throughout September 2018 A at a discount of 40% throughout September lpha Bank offers the folio The Alpha Bank Collection: Paintings - Prints - Sculptures (Greek and English edition) Edited by Irene Orati Athens 2005 Alpha Bank Dimensions 31 x 25 cm 346 pages Greek, English ISBN Price: Euro (hardcover) Euro (paperback Greek edition only) This Publication marks the hundred and twenty-fifth anniversary of the establishment of the Bank and presents the most important works in the Art Collection of Alpha Bank, dating from 1880 to the beginning of the 21st century, for the first time. The book includes a chronicle about the history of the Bank, a text on the creation and the contents of the Collection, separate texts on painting and printmaking in the 19th and the 20th century as well as a section presenting the works of art divided into five parts, four of them dedicated to the works of art on the basis of the period they were created and one part dedicated to printmaking. The Publication is completed with the biographical notes of the artists. The Publication may be obtained either by visiting the ALPHA BANK CULTURE store (40, Stadiou Street, ATHENS) and the e-shop or by placing an order via telephone or (tel.: , infopolitismos@alpha.gr). For any further clarification or information please contact the Alpha Bank Library at and < 44 / 67 >

46 THE BANK CULTURE Activities of the Alpha Bank Library during the first semester 2018 T he Alpha Bank Library continued to enrich its Collection between January and June 2018, through donations and purchases of books. Specifically, 550 new entries were added, which include different kinds of publications (please click here, to view the recently obtained titles). Over the same period of time, 35 new members registered with the Library, which now counts 1,042 active members, while more than 750 book loans and 25 specialised studies loans were recorded. In addition, 20 researchers visited the Library to collect information and to study in the Reading Room. As part of the Bank s social contribution activities and in line with its policy of promoting Greek culture, the Library donated 974 copies of the Bank s Publications and 403 copies of third party publications to public and academic libraries, cultural foundations and organisations, schools as well as Bank Units in order to cover their business needs. < 45 / 67 >

47 THE BANK CULTURE The Alpha Bank Library Angelos Terzakis A ngelos Terzakis, an important prose writer, playwright and essayist of the literary 1930s Generation, was born in Nafplio on February 16, 1907 and was the son of Dimitrios Terzakis. In 1915, his family moved to Athens, where Angelos finished Gymnasium and then studied law at the University of Athens. He obtained his PhD at a young age and worked both as a lawyer and a writer until 1931, when he decided to abandon law and deal exclusively with literature. In 1936 he married Louisa Vogassari and they had one son, Dimitrios. In 1937 he was appointed General Secretary of the National Theatre, then director general of Repertoire ( ) as well as stage artistic director. In addition, he was a Professor at the History and Repertoire Department of the National Theatre s Drama School, of which he was also director general. In 1940 he joined the army and fought at the Albanian Front. After World War II, he collaborated with newspapers Kathimerini and To Vima, where he wrote articles for many years as a literary contributor and a theatre critic. Between 1963 and 1967 he was editor in chief at the Epoches < 46 / 67 >

48 THE BANK CULTURE literary magazine. He was twice awarded the State Prize for Best Stage Play, once in 1938 for his social drama Eilotes (Helots) and again in 1939 for the tragedy O stavros kai to spathi (The cross and the sword), while in 1958 he received the State Prize for Best Novel for Mystiki zoi (The secret Life) and in 1964 the L. Goulandris Prize of the Group of 12, for his collection of essays Prosanatolismos ston aiona (Orientation in the century). In 1969 he was awarded the Prize for Literary Excellence by the Academy of Athens, where he was elected a member in He passed away in Athens, on August 3, 1979, aged 72. As a student, Angelos Terzakis studied in detail both Greek and foreign literature. He first appeared on the literary scene in 1925, with his collection of short stories O xehasmenos (The forgotten), which was followed by another collection of short stories, Fthinoporini simfonia (Autumn symphony), in The influence other writers had on Terzakis is particularly evident in both works. He made his theatre debut in 1936, with the play Emperor Michael. During the 1930s he mostly wrote novels, as did most writers of his generation. In 1932 he published his novel Desmotes (Prisoners) while in 1937 he gained widespread recognition with the novel I menexedenia politeia (The purple city), which records the defining developments that took place in Athens over the interwar period and which affected the city s society. Most of Terzakis novels move along the same lines; they are urban novels, all of them reflecting depression, a suffocating atmosphere and pessimism, depicting Greek society of the Interwar period, where the leading characters are trapped in economic distress and social prejudice. His 1946 young adult novel Taxidi me ton Espero (Journey with Esperus) and the 1945 historical novel Princess Isabeau, considered his most complete prose work and one of the best novels of contemporary Greek literature, are exceptions. He published many more novels, short stories, plays and essays, some of which have been translated in different languages (English, German, Russian, Swedish etc.). Terzakis was probably the most restless writer of the 1930s literary generation, in terms of philosophical quests and he particularly developed essay writing. He focused on contemporary man and his problems, subjects that he treated in all aspects of his work. The Collection of the Bank s Library includes a large number of works by Angelos Terzakis, such as novels, short stories, plays, essays and more. Please click here, in order to view the titles. < 47 / 67 >

49 PRODUCTS AND SERVICES Alpha Home Renovation lpha Bank, responding to the constantly increasing need to finance home renovation works, has launched the Alpha Home Renovation new housing loan. With this new Loan, homeowners can quickly obtain funding to improve their home both functionally and aesthetically, whatever kind of home they might have. The Alpha Home Renovation housing loan is quickly disbursed, ensuring that works can be completed within a short period of time. Specifically: For small-scale renovations, with a budget of up to Euro 15,000, mortgaging the property is not required, hence the time and expenses related to the loan s disbursement are significantly reduced. The loan is disbursed in two equal instalments and the repayment term ranges from 3 to 8 years. For larger-scale renovations, up to Euro 40,000, a mortgage on the property is required and the repayment term is up to 20 years. In addition, Alpha Home Renovation is part of the Bonus Reward Programme, so Customers receive 2 Bonus points for every Euro 1 of their loan, which can then be redeemed at the Programme s partner businesses and to renew their home equipment. The new Programme s advertising campaign, featuring the main message: Renovation in one move!, presents the advantages that homeowners who wish to renovate their home can enjoy with the Programme. < 48 / 67 >

50 PRODUCTS AND SERVICES Settle your Public Sector dues smartly using Alpha Bank cards lpha Bank, once again this year, gives its cardholder Customers the opportunity to settle their dues to the Public Sector with up to 12 interest-free instalments, at: Alpha Web Banking Alphaphone Banking Alpha Mobile Banking my Alpha wallet and at Alpha Bank Branches. An advertising campaign promoting the aforementioned was launched online, featuring the main message: Settle your Public Sector dues smartly with up to 12 interest-free instalments, which urges Customers to make use of the possibilities available in Alpha Bank cards, in order to settle their Public Sector dues. < 49 / 67 >

51 PRODUCTS AND SERVICES Alpha Save Smart Τ he Bank, as of March 2018, has made Alpha Save Smart available to its Customers. Alpha Save Smart is a new savings product which rewards, in an innovative way, improved deposit balances. An advertising campaign was launched online in early July, to promote the new product, featuring the main message: Save smart and you may even double your money. The campaign calls on Customers to evaluate the product s benefits, so that they can materialise their plans, whether they are big or small. To make things even easier for Customers, they can open and manage an Alpha Save Smart account through the Alpha Web Banking services. Hence, the Bank remains a leader, providing contemporary solutions that reward its Customers savings behaviour, while at the same time it respects their need for flexibility and saving valuable time. < 50 / 67 >

52 PRODUCTS AND SERVICES Τ Alpha Safe Auto he online car insurance market is a powerful promotion channel for insurance programmes, as consumers are able to explore the choices available and select the product they wish at any given time. Alpha Bank, responding to consumers needs, redesigned the website in collaboration with AXA Insurance, so that it can become the exclusive sales channel for the two new car insurance programmes, Alpha Safe Auto Regular and Alpha Safe Auto Value. An advertising campaign was launched in July in order to promote all of the above, featuring the main message: Car insurance starts and ends with Alpha. The campaign was based on three main features, which are particularly important in car insurance, specifically the simple and quick procedures of the renewed website, the particularly competitive rates and, finally, the credibility and confidence of AXA Insurance. < 51 / 67 >

53 PRODUCTS AND SERVICES Τ Plan your holidays with the Affinity card and win gifts! his summer, Customers with an Affinity World Mastercard the card issued in collaboration with the Inditex Group are automatically part of a draw where they can win 100 Zara giftcards worth Euro 100, when using their card to plan their summer holidays. The cards that are used for ferry and flight tickets, accommodation reservations, car rentals and at travel agencies from July 1, 2018 through August 31, 2018 participate in the draw, which will take place on September 12, Customers were informed about the promotional activity with material placed inside the Inditex Group stores (Zara, Zara Home, Massimo Dutti, Bershka, Pull & Bear, Stradivarius and Oysho), through their monthly card bills, SMS messages and the cards Portal.... Visa promotional activity with the Hellenic Duty Free Shops lpha Bank supports, once again this year, the promotional activity launched by Visa in collaboration with the Hellenic Duty Free Shops. Specifically, Alpha Bank Visa cardholders who carry out purchases with their card at the Athens International Airport s Hellenic Duty Free Shops from July 1, 2018 through August 31, 2018, win a 15% discount. Customers were informed about the promotional activity through the cards Portal. < 52 / 67 >

54 PRODUCTS AND SERVICES Bonus Exclusive Dining onus Exclusive, in order to provide new services and benefits to the Bank s Alpha Bank Gold and Alpha Private Bank Customers, is constantly renewed and enriched. Hence, it secured exclusively for these Customers partnerships with top restaurants in Athens and Thessaloniki, which have designed select menus with a 20% discount. In addition, Customers win Bonus points with each reservation they make and they also win the double amount of Bonus points when using their Bonus cards to pay the bill. At the Bonus Exclusive site, Customers can choose from the following Bonus Exclusive restaurants, browse through the specially designed menus and try special culinary creations. Reservations can easily be completed on the online reservations platform e-table. Bonus Exclusive restaurants SPONDI HYTRA VEZENE 7 THALASSES PREMIERE COOKOOVAYA ALFREDOS GRAND DINING VASSILENAS CTC PSOMI & ALATI NOLITA ATHENS PARLA Customers were informed about Bonus Exclusive Dining through newsletters and SMS messages. < 53 / 67 >

55 PRODUCTS AND SERVICES Τ Alpha Bank Gold Business Banking Upgrading online communication with Gold Business Customers he Alpha Bank Gold Business Banking Service, through the new, advanced high tech Lenovo Miix520 tablets, leads the way and provides, for the first time in Greek banking, through the Bank s Branch Network, personalised online communication with Gold Business Customers. Specifically, through the innovative tablet Banking Service, it is possible for Gold Business Customers to make high quality video calls (skype business) with the Bank s Specialised Partners. This offers the following possibilities: - Booking online meetings from the venue and at the time best suited to the Business Customer - Personalised service and banking advisory services from the Specialised Partner for the implementation of business plans - The interactive presentation of the Bank s products and services - Direct communication between the business and the Specialised Partner with instant messages. Alpha Bank constantly adopts new technologies and actively upgrades its services to Small Businesses, fully respecting their needs and their time. The Alpha Bank Gold Business Banking Service is part of the Bank s strategy to strengthen and support Small Businesses, with innovative technology tools that fully respond to the modern digital era. < 54 / 67 >

56 CORPORATE SOCIAL RESPONSIBILITY Alpha Bank sponsors the Nafplio City Bike Sharing System Τ he Bank sponsors the Bike Sharing System that the City of Nafplio has launched. Specifically, from May 28, 2018 and for an entire year, residents and visitors of Nafplio will be biking together with Alpha Bank. The System is available to any of the city s residents or visitors, as long as they are more than 18 years old. Research has shown that decongesting a city s commercial centre, combined with the easy access that bicycles provide, benefits commerce, hence the city s well-being. The use of bicycles can have important environmental benefits. It should be noted that a bike sharing system consisting of 50 bicycles can reduce CO 2 emissions by approximately 4 tonnes a year. In addition, there is an annual fuel consumption reduction of approximately 3.5 tonnes. < 55 / 67 >

57 CORPORATE SOCIAL RESPONSIBILITY The Bank supported the P.O.A.Y.S. Pan-Hellenic Conference 2018 Τ he Bank sponsored the Pan-Hellenic Conference of the Pan-Hellenic Federation of Motorists for Intercity Transportation (P.O.A.Y.S.), which took place at Irakleio, Crete, on June 23, The Conference was organised by the KTEL S.A. Intercity Bus Company of Irakleio-Lasithi, the largest transport organisation in Crete and one of the largest in Greece. It should be noted that the KTEL S.A. Intercity Bus Company of Irakleio-Lasithi, which is equipped with 180 modern buses, runs hundreds of bus routes on a daily basis, providing services to all of Crete and connecting the island to mainland Greece, specifically Lamia, Larissa, Katerini, Thessaloniki, Korinthos, Patra, Arta, Messolongi and Ioannina as well as Bulgaria and Albania. Overall, it provides transport services to 4,200,000 passengers per year. On the occasion of the Conference, the new pan-cretan ultra-modern intercity bus station was inaugurated in Irakleio, Crete, in a 9,000 square metre complex, the previous day. The new station will provide faster services to the island s residents and visitors. < 56 / 67 >

58 CORPORATE SOCIAL RESPONSIBILITY The ICARO-IKAROS. The Pottery Factory of Rhodes exhibition moves to the Palace of the Grand Master in Rhodos n September 2017, the exhibition ICARO-IKAROS. The Pottery Factory of Rhodes went on display at the Benaki Museum. This first effort to showcase contemporary 20th century ceramics revived the history of the I.C.A.R.O. factory, which is inextricably linked to the island s ceramics tradition and history. The Exhibition attracted many visitors, while it garnered great interest and was extensively promoted by media and online. The history of the I.C.A.R.O. factory (Industria Ceramiche Artistiche Rodio Orientali) goes back to 1928, with the establishment, in Rhodos, of a factory reproducing and selling Iznik ceramics from Turkey (16th-17th century), which were in great abundance in the region of Lindos. < 57 / 67 >

59 CORPORATE SOCIAL RESPONSIBILITY Following the success of the Exhibition, residents and institutions in Rhodos expressed great interest in hosting the Exhibition on the island. The venue selected to host the Exhibition was the Palace of the Grand Master one of the island s landmark monuments in particular, the impressive hall situated in the northwestern wing of the Palace floor, which opens its doors for the first time after hosting the Summit of the European Economic Community Member States in The Exhibition opened on June 27 and will run through December 31, 2018, under the auspices of the Ministry of Culture and Sports (Ephorate of Antiquities of Dodecanese), the Prefecture of Southern Aegean, the Contemporary Greek Art Museum of the Municipality of Rhodos and the Benaki Museum. The Bank sponsors the Exhibition.... Alpha Bank supported the International Conference The Greek Economy after the Closing of the 3rd Adjustment Programme Τ he Bank sponsored the International Conference titled The Greek Economy after the Closing of the 3rd Adjustment Programme, which took place at the Stavros Niarchos Foundation Cultural Center and was organised by the Economic Chamber of Greece. The Assistant Managers of the Financial Products Division Adamantia Peleki and Georgios Markouizos as well as the Senior Officer of the same Division Christos Panagis attended the Conference on behalf of the Bank. < 58 / 67 >

60 CULTURE SPECIAL ART NETWORK George Lappas Seven Wall Sculptures Iron Panormou Branch (166) T he accomplished and multifaceted artist George Lappas is undoubtedly defined by his constant, honest and daring experimentation with matter and form. In this constant quest to define the position of sculpture, Lappas did not hesitate to draw his sources from the history of art. Seeking to redefine and renew his art, the artist was inspired by the depictions on ancient Greek coins, which he viewed from a sculptor s perspective. This viewpoint instantly led to interesting differences, both in terms of size from the coin s small round surface to the considerable size of a wall sculpture as well as material, from valuable silver to rough iron. < 59 / 67 >

61 CULTURE SPECIAL ART NETWORK Goat, iron 28.5 x 28.5 x 10 cm. Ox, iron 42 x 41 x 6.5 cm. Taras, iron 40 x 40 x 6.5 cm. Owl, iron 58 x 54 x 11 cm. Hare, iron 43.5 x 43.5 x 16 cm. Poseidon, iron 52 x 46 x 20 cm. Victory, iron 35 x 35 x 14 cm. Regarding the use of iron, it should be noted that the artist used it with great resourcefulness and ease from early on, in order to shape, every time, the desired result (Mappemonde, 1987, Dice, 1988). In the seven works featured in the Panormou Branch, Lappas treated the metal surface as a writing surface, where he directly drew with a torch. The round surface of the coin sculpture comes together, like a piece of paper, through a sudden and harmonious coupling of vacuum and matter, which in turn creates a skilful, charming game of light and shadow and a certain roughness in artistic expression. The work titled Goat is a free take on a coin from either Paros or Syros, while the Ox is inspired by a coin from Thurii in Lucania, Southern Italy and Taras, the son of Poseidon and founder of the city Taras, by a coin from Campania. The Owl is a sculptural take on the famous emblem featured on the Athenian tetradrachm, the Hare is inspired by a coin in Zancle, Sicily and finally Poseidon by a coin from Poseidonia in Lucania and Victory from Kaunos in Caria. < 60 / 67 >

62 CULTURE SPECIAL ART NETWORK GEORGE LAPPAS (Cairo Athens 2016) CURRICULUM VITAE H e studied clinical psychology at Reed College in Oregon ( ). In 1974, he won the Watson scholarship and traveled to India, in order to study local sculpture and architecture. He attended the Architectural Association in London the following year and went on to study sculpture at the Athens School of Fine Arts ( ). In 1984, after receiving a scholarship from the French Institute, he took sculpture classes at the École des Beaux-Arts in Paris. In 1988 he participated in the Aperto exhibition of the Venice Biennale, while in 1990 he represented Greece at the same event. From 1992 and until his sudden death in 2016, he was professor of sculpture at the School of Fine Arts. < 61 / 67 >

63 CULTURE SPECIAL HISTORY OF COINS Frame at the Ierapetra Branch (662) Prefecture of Lasithi Hierapytna ierapytna (the modern Ierapetra / Hierapetra) is situated in southwestern Crete. The city was originally named Kyrba, after its first legendary founder (oikistes), who was one of the Korybantes. It was later named Pytna and finally Hierapytna. Hierapytna apparently conquered neighbouring city Elyros following a conflict and later also took over Priansos. During the 2nd century BC, Hierapytna was one of the most important cities in Crete and, in 183 BC, it was reportedly on good terms with King Eumenes of Pergamon. In 68 BC, Hierapytna was captured by the Romans, but continued to prosper, as attested by its coins remained in circulation. Its history is particularly interesting even in recent years: in the old town, one can see the house where Napoleon Bonaparte stayed in July Hierapytna issued silver coins from the early 4th until the 1st century BC; their iconographic types are inspired by religion and the city s natural environment. On one particular coin, the obverse features a woman s head wearing a turreted crown while a palm tree and an eagle into a wreath are depicted on the reverse. < 62 / 67 >

64 CULTURE SPECIAL PORTRAITS FROM THE BANK S HISTORY Spyridon P. Loverdos ( ) Work by Konstantinos Parthenis ( ) Oil on canvas 70 x 61 cm. Alpha Bank Art Collection Founder of the General Bank and Chairman of the Board of Directors of the Popular Bank from Member of the Board of Directors of the Bank of Kalamata, from 1921 until He was born in Piraeus in 1874 and completed his schooling in Argostoli. He enrolled at the Athens University Law School, while at the same time he contributed articles to acclaimed newspapers of that time Neon Asty (New City) and Oikonomiki Ellas (Financial Greece). He started working as a lawyer in Athens in February 1902, without abandoning journalism, while he also wrote and published economic studies and translated stage plays. He abandoned law in May 1905 and was appointed Manager of the National Bank s Ithaki Branch. He was appointed Manager of the Patra Branch the following year and in 1908 he became Inspector, which obliged him to move to Athens. In 1915, Spyridon Loverdos was named Manager. At that time, he served as a Member of the Hellenic Electricity Corporation, which was responsible for providing electricity to Athens and certain big cities in Southern Greece. < 63 / 67 >

65 CULTURE SPECIAL PORTRAITS FROM THE BANK S HISTORY In 1918 he was forced to leave the National Bank, for political reasons. Upon his departure, he took the initiative, along with his brother Dionissios, to establish the General Bank of Greece, intended to operate as an investment bank in Greece and where Spyridon Loverdos became General Manager. In addition, through the Bank s participation in the share capital of a series of companies, he was a member of the Board of the Société d Industrie Agricole, Grande Bretagne, the Hellenic Hotels Co., the Mechanics and Carpentry Co. S.A. and finally the Hellenic Syndicate, which was established in order to use rainfall for the production of electricity. Furthermore, from June 1921 and until early 1924, he participated as a Member of the Board at the Bank of Kalamata, replacing Agamemnon Danos after the latter passed away. Work by Konstantinos Parthenis ( ) Oil on canvas 129 x 95 cm. Alpha Bank Art Collection In 1927, the General Bank was absorbed by the Popular Bank and Spyridon Loverdos was elected Chairman of its Board of Directors. In 1932, upon the foundation of the Supreme Economic Council, he was appointed Vice Chairman. On January 9, 1933, he became Finance Minister at the Government of Panagis Tsaldaris, a position he remained in even after the failed coup initiated by Nikolaos Plastiras, which led to a new Government, formed by the People s Party. He was Finance Minister until November 29, All these years, Spyridon Loverdos constantly published articles and studies, making interventions in public discourse on critical matters of national concern. Like his brother, he was an art collector, while he also created an extensive library with numerous as well as rare books and manuscripts. He passed away in Athens, on January 21, < 64 / 67 >

66 GROUP COMPANIES Alpha Astika Akinita Ordinary General Meeting Snapshot from the Ordinary General Meeting of the Group Company Alpha Astika Akinita. he Ordinary General Meeting of the Group Company Alpha Astika Akinita took place on Wednesday, June 27, 2018, at the hall Τ situated on the third floor of the Bank s Main Building.... O Alpha Bank Cyprus Ltd Alpha Bank Cyprus Ltd supported the 19th Fete of Joy and Contribution nce again this year, the Bank supported the Fete of Joy and Contribution, which is organised by the one dream one wish Cyprus Association for children with cancer, in collaboration with the Strovolos Municipality. The event took place on Saturday, June 2, 2018, at the Aghios Dimitrios Park in Nicosia. The Association gives life motives to children and young people suffering from different types of cancer, by fulfilling their wishes and supporting their families, through a programme of emotional support. Proceeds from the Fete went to the Association, so that it can continue its work. < 65 / 67 >

67 GROUP COMPANIES Alpha Bank Cyprus Ltd Alpha Bank Cyprus Ltd supports sports T he Bank, as part of its Corporate Social Responsibility Programme, participated in the 4th Running Under the Moon Marathon, which took place on Saturday, June 23, 2018, at the University Campus of Aglantzia and the Athalassa national park, in Nicosia. Specifically, the Bank participated in the 5 km. Corporate Run with a team of 18 runners, which finished in the 10th place out of a total of 16 companies and 353 runners overall. Part of the proceeds collected went to the Magic Always Happens Non-Profit Organisation, which supports children with autism.... Alpha Personal Loan A n advertising campaign was launched in June, to promote the Alpha Personal Loan, stressing its low monthly instalments. The televised spot, starring actor Vassilis Charalampopoulos and featuring the main message: There is an instalment everyone can pay!, presents the solutions that Alpha Personal Loan provides. The campaign has been launched on television, on the radio and online and further features outdoor advertisements. In order to watch the TV spot, press here. < 66 / 67 >

68 GROUP COMPANIES Alpha Bank Cyprus Ltd Alpha Online Term Deposit A campaign promoting the new Alpha Online Term Deposit was launched in June. Available at Alpha Express Banking, the term deposit provides greater returns, preferential interest rates, a low initial capital and direct access for monitoring and management purposes 24 hours a day, as well as flexibility, speed and SMS notifications. < 67 / 67 >

69 Mazi We wish you a happy Summer!