ABN AMRO revises its business segmentation

Press release -

ABN AMRO Head Office

ABN AMRO has made a number of changes to its client segmentation in order cater to changing client needs. As a result, ABN AMRO has amended its business segmentation which will also improve transparency of the business segments. As of the third quarter of 2014, ABN AMRO will present four reporting segments, namely Retail Banking, Private Banking, Corporate Banking (including sub-segment information) and Group Functions. The new segmentation has no effect on the historical overall group results or financial position of the bank.

The main changes are listed below.

  • Commercial & Merchant Banking has been renamed Corporate Banking, with all clients benefiting from a sector-based approach. Corporate Banking comprises three sub-segments: Commercial Clients,
    International Clients and Capital Markets Solutions:

    • Commercial Clients serves business clients with revenues from EUR 1 million up to EUR 250 million, and clients active in Commercial Real Estate (excluding publicly listed companies, which will be served from the International Clients sub-segment). ABN AMRO’s Lease and Commercial Finance activities are also part of this sub-segment.

    • International Clients serves business clients with revenues exceeding EUR 250 million, as well as Energy, Commodities & Transportation (ECT) clients, Diamond & Jewelry Clients, Financial
      Institutions and Listed Commercial Real Estate clients.

    • Capital Market Solutions serves clients by providing products and services related to financial markets. This sub-segment also includes ABN AMRO Clearing.

  • Diamond & Jewelry Clients, previously part of Private Banking, is now a part of International Clients, as this client group requires similar products and services.

  • YourBusiness Banking clients (SMEs with revenues up to EUR 1 million) are now served by Retail Banking instead of Commercial Clients, leveraging on Retail Banking’s self-directed service capabilities on mobile and internet.

  • To improve the collateral management and strengthen the bank-wide liquidity function, the Securities Financing activities have been moved to ALM/Treasury (part of Group Functions).

A fact sheet with pro-forma historical information, adjusted for the new segmentation of the businesses, is available: http://www.abnamro.com/financials
The third-quarter 2014 results, which will reflect the new business segmentation, will be announced on 14 November 2014.

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