Business Model and Value Creation Model

Retail Customers:

• Mass Customers;
• Premium Banking Customers, i.e. customers who deposit assets worth at least PLN 100 thousand with or via the Bank or who have inflows of at least PLN 7.5 thousand per month; since 2020, a change in segmentation criteria for inflows, increase to PLN 10 thousand, the level of assets remains unchanged;
• Private Banking Customers (Wealth Management), i.e. customers who deposit assets worth at least PLN 1 million via the Bank. The “Family Fortunes” sub-segment was separated under Private Banking in June 2019 – customers who deposit assets worth at least PLN 10 million via the Bank.

Business Customers (Microenterprises):

• non-Agro, who are not full financial reporters as per the principles set out in the Accounting Act,
  meeting the criterion of net revenue for the previous financial year below EUR 2 million;
• non-Agro, who are full financial reporters with net revenue from sales for the previous financial year lower than PLN 4 million and credit exposure not exceeding PLN 1.2 million;
• Agro, who are not full financial reporters, meeting the criterion of net income for the previous financial year below EUR 2 million, who engage in activities classified under selected PKD (Polish Classification of Activities) codes 2007;
• Professionals: entrepreneurs who are not full financial reporters as per the principles set out in the Accounting Act, and who pursue professions defined in a separate document;
• Individual farmers with the Bank’s credit exposure to the customer of less than PLN 3 million;
• Individual farmers with the Bank’s credit exposure to the customer remaining within the range of PLN 3 million to PLN 4 million, if the collateral for agricultural land covers at least 50% of the credit exposure;
• Non-profit organisations (e.g. foundations, associations, trade unions, etc.);
• Co-operatives, housing associations, property managers.

• Group 1: Polish corporations with annual sales revenues between PLN 40 and 600 million (or between PLN 60 and 600 million in the case of business entities conducting agricultural manufacturing activity) or with credit exposure higher than or equal to PLN 12 million (or PLN 25 million for business entities conducting agricultural activity);
• Group 2: international customers (members of international capital groups);
• Group 3: large Polish corporations (with annual turnover above PLN 600 million, quoted on the stock exchange and with potential for investment banking services);
• Group 4: public sector entities and financial institutions.

Sub-segments of customers from the Agro and non-Agro areas operate within the above groups.

• Agro customers, who are full financial reporters with net sales revenues for the previous financial year from PLN 4 to 40 million and the Bank’s credit exposure to the customer not higher than PLN 12 million. This segment also includes groups of agricultural producers and organisational units of the State Forests, regardless of the turnover volume and credit exposure;
• Non-Agro customers – a sub-segment which includes entities who are full financial reporters with net sales revenues for the previous financial year from PLN 4 to 40 million and the Bank’s credit exposure to the customer not higher than PLN 12 million, as well as public finance entities with a budget of up to PLN 100 million;
• Farmers (i.e. business entities conducting agricultural manufacturing activities), who are full financial reporters with net income for the previous financial year falling within the range from PLN 0 to 60 million and credit exposure not exceeding PLN 25 million, as well as individual farmers if their credit exposure is within the range from PLN 4 to 25 million and between PLN 3 and 4 million if the collateral for agricultural land covers less than 50% of the credit exposure.