Alpha Bank's H1 2020 Results: Strong Pre-Provision Income, up by 9%, absorbing higher impairments on Covid-19

Profit After Tax of Euro 86.6 million; Total CAD at 18.3%

Significant progress made towards completing the largest-ever Greek securitisation of Euro 10.8(1) billion, targeting to reduce the Bank’s NPLs in Greece by more than 60%, to 13% over total loans

Alpha Bank’s CEO, Vassilios Psaltis stated:

“During this unprecedented health crisis, we have mobilised our entire business to support our
Customers. In Greece we have provided Euro 4.7 billion of repayment moratoria and disbursed loans in
excess of Euro 3.5 billion year to date to our performing customers, utilising state sponsored and
guaranteed loan programs. With capital adequacy of 18.3% and a sound liquidity position, our ability to
provide credit is testament to our solid financial position which we have put to work to support the
economy in these challenging times.

Our commitment to our Strategic Plan, announced in November 2019, was evidenced by the successful
re-launch in June of Project Galaxy, the largest ever Greek NPE securitisation, amounting to Euro 10.8
billion. Our comprehensive preparation, which continued during the lockdown period, allows us to have
already reached significant milestones such as receiving the Hellenic Asset Protection Scheme compliant
pre-rating for the largest part of the portfolio, applying for the HAPS guarantee and thus locking-in the
relevant cost, as well as attracting high quality investors in the final round of the process. We feel
confident that upon the successful conclusion of the transaction, we will reduce our Greek NPL ratio to
13% with a manageable impact of 250 to 280 basis points to our capital adequacy ratio.

Operationally, our Bank has taken a conservative view, taking an additional Euro 234 million of Covid-19
related impairments in the first half of the year. This is comfortably offset by our strong pre-provision
income of Euro 645.5 million, as we have made good progress in re-instating our revenue profile and
continued to extract operational efficiencies.

The transformation of our Bank is making strong progress under the leadership of our revamped senior
team. One key area of focus has been the ongoing work on our digital transformation, which has been
positively received by our Customers, making more than 90% of their financial transactions via digital
means, as well as enabling our Employees to service Customers in a more flexible manner. I want to
thank all our Employees for their hard work and commitment throughout this very difficult period. Our
resilient performance and financial position give us scope to manage this situation together and overcome
the challenges that lie ahead."

(1) The amount of Euro 10.8 billion refers to the aggregate Gross Book Value as of the cut-off date of each respective SPV.

Main Highlights

Alpha Bank on-track to complete Project Galaxy, the largest securitisation in Greece

- Key milestones of Galaxy timetable already reached; application under HAPS for a Guarantee by the
Greek State on the Senior notes of an amount up to Euro 3 billion for securitisations of Euro 7.6 billion
gross book value has been submitted. Application for the remaining GBV of Euro 3.2 billion securitisation,
to follow shortly.

- Full control of Cepal, the first independent servicing company in Greece, acquired in July 2020.

- Increased visibility of Galaxy’s capital impact, expected to range between 250-280bps on Total CAD ratio.

- Post Galaxy, Alpha Bank’s NPL ratio in Greece down to 13%1 over total loans, while the NPE ratio is
reduced to 24%(1). On a Group level, NPL ratio to be reduced to 17% and NPE ratio to 27%.

Alpha Bank remains focused on supporting its Customers during Covid-19 Crisis

- New disbursements in Greece of Euro 3.5 billion year-to-date providing significant support to the
economy.

- Payment moratoria extended to our performing corporate and retail Customers in Greece amounted to
Euro 4.7 billion in H1 2020.

- Bank participation in the “State Guaranteed” Sponsored Program for Businesses, with loan approvals of
Euro 0.8 billion and disbursements year-to-date of Euro 0.2 billion and new lending to SMEs of Euro 0.2
billion (out of approved total Euro 0.4 billion) through the “Entrepreneurship Fund II” Business Program.
In H2 2020, with the already approved credits and further usage of State Support programs, loan
disbursements from the state support facilities are expected to reach Euro 2 billion.

- Private sector deposits up by Euro 1.4 billion in H1 2020 and Euro 2.5 billion y-o-y.

- Acceleration of digital transformation due to Covid-19, as we registered circa 185K new e-banking
subscribers in H1 2020 while the share of new e-banking subscribers through mobile on-boarding
(without visiting a Branch) more than doubled y-o-y to 52.4%.
H1 2020 Financial Performance Exhibits Solid Operating Trends

- Despite the adverse conditions due to the Covid-19 outbreak, Core Pre-Provision Income in H1 2020
increased by 7.9% y-o-y, driven by improved core revenue performance and operational efficiencies; in
Q2 2020, Core PPI amounted to Euro 217.3 million vs. Euro 229.6 million in the previous quarter.

- Pre-Provision Income generation of Euro 645.5 million in H1 2020, up by 8.7% y-o-y, or 3.3% over Net
Loans on an annualised basis, allows for the absorption of increased impairment losses in the 1st half of
2020.

- Impairment losses on loans in H1 2020 at Euro 568.1 million vs. Euro 488.5 million last year, or 2.9%
over net loans, materially affected by additional impairments of circa 234 million recognised by the Bank
to account for the anticipated Covid-19 impact.

- Despite Covid-19 headwinds, Profit After Tax stands at Euro 86.6 million in H1 2020 vs. Euro 86.8 million
over the same period in 2019.
Capital, Risk and Liquidity Position

- Robust capital position, with Total CAD ratio at 18.3%, up by 0.7% q-o-q, with capital buffer standing at
Euro 3.1 billion vs. minimum OCR threshold. At the end of June 2020, the Group’s Tangible Equity Book
Value amounted to Euro 7.8 billion, the highest among Greek Banks.

- Liquidity profile improved further in H1 2020 with Group deposits up by Euro 0.5 billion; Our Loan to
Deposit Ratio at the end of June 2020 declined to 96% from 102% the previous year, while the Group’s
Liquidity Coverage Ratio (LCR) stood at 112.5%.

- TLTRO III participation of Euro 11.9 billion leads to a substantial improvement of funding cost.

- Despite the temporary halt in liquidations and repayments due to Covid-19, our NPE stock in Greece
contracted by Euro 0.1 billion in Q2 2020; Group NPEs contracted by Euro 3.5 billion y-o-y.

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