OpenLegislation

Chapter II RESTRUCTURING COMMITMENTS

United Kingdom

Original text. Later amendments are not shown.

(1) Number of branches in Greece

  • The number of branches in Greece shall amount to […] at the maximum on 31 December 2017.

    • (2) Number of employees in Greece

  • The number of Full Time Equivalents (the ‘FTEs’) in Greece (Greek banking and non-banking activities) shall amount to […] at the maximum on 31 December 2017.

    • (3) Total costs in Greece

  • The total costs in Greece (Greek banking and non-banking activities) shall amount to EUR 800 million at the maximum on 31 December 2017.

    • (4) Costs of deposits in Greece

  • In order to restore its pre-provisioning profitability on the Greek market, the Bank shall decrease the cost of funding through the decrease of cost of deposits collected in Greece (including savings, sight and term deposits, and other similar products offered to customers and which costs are borne by the Bank) […].

    • (5) Ratio net loans to deposits in Greece

  • For the Greek banking activities, the ratio net loans to deposits shall amount at the maximum to 115 % on 31 December 2017. […]

    • (6) Support to foreign subsidiaries

  • For each foreign subsidiary, cumulatively from the Effective Date until 30 June 2018, the Bank shall not provide additional equity or subordinated capital for an amount larger than the higher of (i) […] % of the RWA of that subsidiary on 31 December 2012 or (ii) EUR […] million. If the Bank intends to inject equity or subordinated debt to the foreign subsidiary for an amount higher than the defined threshold, it must request the Greek Authorities to seek a Commission decision to amend the restructuring plan.

    […]

    1. (a)

      […]

    2. (b)

      […].

    3. (c)

      […]

    4. (d)

      […]

    5. (e)

      […]

    […]

    • (7) Deleverage of non-Greek assets by 30 June 2018

  • The total size of the portfolio of foreign assets shall be reduced to a maximum amount of EUR 8,77 billion by 30 June 2018.

    1. (7.1)

      If the Bank receives an additional aid larger than EUR 1 billion and lower than the notified aid amount, then the total size of the portfolio of foreign assets shall be reduced to a maximum amount of EUR 3,5 billion by 30 June 2018. If the sale of foreign businesses is used to reach that target, the closing of each sale shall not be later than 31 December 2018.

    2. (7.2)

      […]

    3. (7.3)

      […]

    • (8) Sale of insurance activities

  • The sale of the insurance activities (life and non-life) shall be completed (i.e. closed) by […]. […]

    The Bank and its advisers shall invite potential buyers to submit a bid for a minimum 80 % shareholding and the Bank shall indicate its willingness to enter into a bank assurance partnership agreement, offering its distribution network, and to retain up to 20 % minority stake.

    • (9) Sale of Real Estate subsidiary

  • The Bank shall reduce its participation to 20 % in Eurobank Properties REIC by 31 December 2016. […]

    • (10) Sale of equity investments, subordinated bonds and hybrid bonds

  • The book value of the Bank’s (excluding the regulated insurance subsidiaries) portfolio of securities defined as follows, shall be lower than EUR 35 million by 31 December 2015. […]

    • (11) For any sale, the Hellenic Republic commits that
    1. (a)

      The Purchaser shall be independent of and unconnected to the Bank;

    2. (b)

      For the purpose of acquiring the Divestment Business, the Purchaser shall not be financed directly or indirectly by the Bank;

    3. (c)

      The Bank shall, for a period of 5 years after the closing of the sale, not acquire direct or indirect influence over the whole or part of the Divestment Business without a pre-approval from the Commission.

    • (12) Investment policy

  • Until 31 December 2017, the Bank shall not purchase non-investment grade securities.

    […]

    • (13) Salary cap

  • Until […], the Bank will not pay to any employee or manager a total annual remuneration (wage, pension contribution, bonus) higher than […]. In case of a capital injection from HFSF, the remuneration cap will be re-evaluated according to the European Banking Communication of 1 August 2013.