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First Abu Dhabi Bank vs Global Banks

07 June 2017

2

Disclaimer

The information contained herein has been prepared by First Abu Dhabi Bank P.J.S.C (“FAB”). FAB relies on information

obtained from sources believed to be reliable but does not guarantee its accuracy or completeness.

This presentation has been prepared for information purposes only and is not and does not form part of any offer for sale

or solicitation of any offer to subscribe for or purchase or sell any securities nor shall it or any part of it form the basis of or

be relied on in connection with any contract or commitment whatsoever.

Some of the information in this presentation may contain projections or other forward-looking statements regarding future

events or the future financial performance of FAB. These forward-looking statements include all matters that are not

historical facts. The inclusion of such forward-looking information shall not be regarded as a representation by FAB or any

other person that the objectives or plans of FAB will be achieved. FAB undertakes no obligation to publicly update or

publicly revise any forward-looking statement, whether as a result of new information, future events or otherwise.

3

Foreword

Welcome to our “First Abu Dhabi Bank vs Global banks” report. In this report we compare FAB with US, UK and European

banks. The approach we have followed for the comparison is as follows:

We compare the peer banks across various parameters such as credit ratings, CDS spreads, RoE, Capital Adequacy, etc.

We have used “composite ratings” for this analysis – i.e. the average of the ratings assigned by three leading rating

agencies Moody’s, S&P and Fitch – in order to provide a holistic view of the credit strength of each bank.

We have deliberately made the report text-light and chart-based in an attempt to make it easier to digest. Hopefully you

will find it both interesting and useful.

Please note that the 2016 financial ratios shown for FAB (First Abu Dhabi Bank) are the pro-forma numbers of the

new merged entity as the merger between First Gulf Bank and National Bank of Abu Dhabi is now complete and

the merged entity - First Abu Dhabi Bank - is effective as from 1st April 2017

If you have any feedback on the report, or indeed would like to discuss any of the point highlighted, please do contact me.

Regards,

Chavan Bhogaita

Managing Director & Head of Market Insights & Strategy

Global Markets, FAB

[email protected]

+971 2 6110 127

Please click here to view our recent publications on MENA and Global Markets

mailto:[email protected]

https://www.nbad.com/en-ns/insight-and-features/mena-and-global-markets.html

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Rating comparison – FAB vs Global banks

Moody's S&P FitchComposite

Rating

Composite

Score

5-yr CDS

level**Rating Outlook Score* Rating Outlook Score* Rating Outlook Score*

First Abu Dhabi Bank (FAB) * Aa3 Stable 4 AA- Stable 4 AA- Stable 4 AA- 4 82

U.K. Banks

HSBC A1 Negative 5 A Negative 6 AA- Stable 4 A+ 5 53

Standard Chartered A2 Stable 6 BBB+ Stable 8 A+ Stable 5 A 6 77

Barclays Baa2 Negative 9 BBB Negative 9 A Stable 6 BBB+ 8 67

RBS Ba1 Positive 11 BBB- Stable 10 BBB+ Stable 8 BBB- 10 77

European Banks

BNP Paribas A1 Stable 5 A Stable 6 A+ Stable 5 A+ 5 51

Deutsche Bank A3 Stable 7 A- Negative 7 A- Negative 7 A- 7 102

Societe Generale A2 Stable 6 A Stable 6 A Stable 6 A 6 52

Credit Suisse Baa2 Stable 9 BBB+ Stable 8 A- Stable 7 BBB+ 8 77

UBS AG Aa3 Stable 4 A+ Stable 5 A+ Stable 5 A+ 5 44

Credit Agricole A1 Stable 5 A Stable 6 A+ Stable 5 A+ 5 51

ING Groep NV Baa1 Stable 8 A- Stable 7 A+ Stable 5 A- 7 45

Commerzbank AG A2 Stable 6 A- Negative 7 BBB+ Stable 8 A- 7 80

UniCredit SpA Baa1 Stable 8 BBB- Stable 10 BBB Stable 9 BBB 9 146

U.S. Banks

JP Morgan Chase A3 Stable 7 A- Stable 7 A+ Stable 5 A 6 53

Goldman Sachs A3 Stable 7 BBB+ Stable 8 A Stable 6 A- 7 75

Morgan Stanley A3 Stable 7 BBB+ Stable 8 A Stable 6 A- 7 70

Citigroup Inc Baa1 Stable 8 BBB+ Stable 8 A Stable 6 A- 7 60

Bank of America Baa1 Positive 8 BBB+ Stable 8 A Stable 6 A- 7 56

Notes: * The credit ratings of FAB are for of the new merged entity, as assigned by the rating agencies, following the completion of the merger between First Gulf Bank and National

Bank of Abu Dhabi and the merged entity - First Abu Dhabi Bank - is effective as from 1st April 2017; Scoring is derived based on the rating assigned by the rating agencies. AAA or

equivalent being the best with rank “1”, followed by AA+ or equivalent as “2”, AA or equivalent as “3” and so on; ** CDS for 06-Jun-17 & in basis points; Source: Bloomberg

5

FAB

HSBC

StanChart

Barclays

RBS

Lloyds

BNP Paribas

Deutsche Bank

SocGen

Credit Suisse

UBS

Credit Agricole

ING Groep

Commerzbank

UniCredit

JP Morgan Chase

Goldman Sachs

Morgan Stanley

Citigroup

BofA

35

45

55

65

75

85

95

105

115

125

CD

S (

bp

s)

AA- A+ A A- BBB+AA BBB BBB-

150

FAB vs Global banks (cont’d)

Banks’ composite credit rating vs 5-year CDS spread

Notes: * The credit ratings of FAB are for of the new merged entity, as assigned by the rating agencies, following the completion of the merger between First Gulf Bank and National

Bank of Abu Dhabi and the merged entity - First Abu Dhabi Bank - is effective as from 1st April 2017; X-axis represents the composite rating. The ratings have been arranged from

higher to lower starting from ‘AA’, followed by ‘AA-’ and so on; CDS levels are for 06-Jun-17; Source: Bloomberg

FAB is the only bank within the selected

peer group here to be rated in the double-A

category by all three major agencies.

6

Common equity tier 1 ratio – CET1

FAB

LloydsStanChart

HSBC

Barclays

RBS

UBS

Credit SuisseDeutsche

ING

BNP

Commerz

SocGen

CreditAgri

UniCredit

MS

GS

Citigroup

BofA

JPMC

7%

8%

9%

10%

11%

12%

13%

14%

15%

16%

17%

18%

AA AA- A+ A A- BBB+ BBB BBB-

Common equity tier 1 ratio vs Composite rating

Notes: * Please note that the 2016 financial ratios shown for FAB (First Abu Dhabi Bank) are the pro-forma numbers of the new merged entity as the merger between First Gulf Bank

and National Bank of Abu Dhabi is now complete and the merged entity - First Abu Dhabi Bank - is effective as from 1st April 2017; The ratios prior to 2016 – i.e. from 2012 to 2015 –

are the standalone ratios of NBAD before the merger; FAB’s ratios are as per Central Bank of UAE’s Basel II guidelines; Source: Bloomberg, Annual reports

FY 2016 Common equity tier 1 ratio

First Abu Dhabi bank (FAB) * 14.2%

U.K. Banks

Lloyds 13.6%

HSBC 13.6%

Standard Chartered 13.6%

RBS 13.4%

Barclays 12.4%

European Banks

UBS AG 16.8%

ING Groep NV 14.2%

Commerzbank AG 13.9%

Credit Suisse 13.6%

Deutsche Bank 13.4%

Credit Agricole 12.1%

BNP Paribas 11.6%

Societe Generale 11.5%

UniCredit SpA 8.2%

U.S. Banks

Morgan Stanley 16.9%

Citigroup Inc 14.9%

Goldman Sachs 13.1%

JP Morgan Chase 12.5%

Bank of America 12.1%

Strongest combination of

CET1 ratio & credit rating

7

Common equity tier 1 ratio – CET1 (cont’d)




FY 2016 Common equity tier 1 ratio


U.K. Banks

Lloyds 13.6%

HSBC 13.6%


RBS 13.4%

Barclays 12.4%

European Banks

UBS AG 16.8%

ING Groep NV 14.2%


Credit Suisse 13.6%

Deutsche Bank 13.4%


BNP Paribas 11.6%


UniCredit SpA 8.2%

U.S. Banks


Citigroup Inc 14.9%

Goldman Sachs 13.1%



Common equity tier 1 ratio vs Comp. rating Common equity tier 1 ratio trend

FAB

StanChart

Barclays

LloydsHSBCRBS

12.0%

12.5%

13.0%

13.5%

14.0%

14.5%

AA AA- A+ A A- BBB+ BBB

FAB vs U.K. Banks

BBB-

FAB vs U.K. Banks

8%

10%

12%

14%

16%

2012 2013 2014 2015 2016

FAB

HSBC

StanChart

Barclays

Lloyds

RBS

FAB

UBS

Credit SuisseDeutsche

ING

BNP

Commerz

SocGenCreditAgri

UniCredit

7%

9%

11%

13%

15%

17%

AA AA- A+ A A- BBB+

FAB vs European Banks

BBB BBB-


7%

9%

11%

13%

15%

17%

19%

21%

2012 2013 2014 2015 2016

FAB

CS

UBS

DB

BNP

SocGen

Credit Agri

ING

Commerz

UniCredit

FAB

MS

GS

Citigroup

BofAJPMC

11%

12%

13%

14%

15%

16%

17%

AA AA- A+ A

FAB vs U.S. Banks

A- BBB+

FAB vs U.S. Banks

10%

11%

12%

13%

14%

15%

16%

17%

2012 2013 2014 2015 2016

FAB

MS

Citigroup

GS

BofA

JP Morgan

8

Tier 1 capital adequacy ratio

FAB

Lloyds

StanChart

HSBC

Barclays

RBS

UBS

Credit Suisse

Deutsche

ING

BNP

Commerz

SocGen

CreditAgri

UniCredit

MS

GS

Citigroup

BofA

JPMC

8%

9%

10%

11%

12%

13%

14%

15%

16%

17%

18%

19%

20%


Tier 1 capital adequacy ratio vs Composite ratingFY 2016 Tier 1 capital adequacy ratio


U.K. Banks

RBS 17.7%

Lloyds 17.0%

HSBC 16.1%


Barclays 15.6%

European Banks

UBS AG 19.7%

Credit Suisse 18.0%

ING Groep NV 16.3%

Deutsche Bank 15.6%




BNP Paribas 12.9%

UniCredit SpA 9.0%

U.S. Banks


Citigroup Inc 15.8%

Goldman Sachs 15.0%



Strongest combination of

Tier 1 CAR & credit rating




9

Tier 1 capital adequacy ratio vs Comp. rating Tier 1 capital adequacy ratio trend

FAB

StanChart Barclays

Lloyds

HSBC

RBS

15%

16%

17%

18%


FAB vs U.K. Banks

BBB-

FAB vs U.K. Banks

10%

12%

14%

16%

18%

20%

2012 2013 2014 2015 2016

FAB

HSBC

StanChart

Barclays

Lloyds

RBS

FAB

UBS

Credit Suisse

DeutscheING

BNPCommerzSocGen

CreditAgri

UniCredit8%

10%

12%

14%

16%

18%

20%

AA AA- A+ A A- BBB+


BBB BBB-


8%

10%

12%

14%

16%

18%

20%

22%

2012 2013 2014 2015 2016

FAB

CS

UBS

DB

BNP

SocGen

Credit Agri

ING

Commerz

UniCredit

FAB

MS

GS

Citigroup

BofAJPMC

13%

14%

15%

16%

17%

18%

19%

AA AA- A+ A

FAB vs U.S. Banks

A- BBB+

FAB vs U.S. Banks

11%

13%

15%

17%

19%

2012 2013 2014 2015 2016

FAB

MS

Citigroup

GS

BofA

JP Morgan

Tier 1 capital adequacy ratio (cont’d)




FY 2016 Tier 1 capital adequacy ratio


U.K. Banks

RBS 17.7%

Lloyds 17.0%

HSBC 16.1%


Barclays 15.6%

European Banks

UBS AG 19.7%

Credit Suisse 18.0%

ING Groep NV 16.3%

Deutsche Bank 15.6%




BNP Paribas 12.9%

UniCredit SpA 9.0%

U.S. Banks


Citigroup Inc 15.8%

Goldman Sachs 15.0%



10

Total capital adequacy ratio

FY 2016 Total capital adequacy ratio


U.K. Banks

RBS 22.9%

Lloyds 21.4%


HSBC 20.1%

Barclays 19.6%

European Banks

UBS AG 24.7%

Credit Suisse 20.5%


ING Groep NV 19.3%


Deutsche Bank 17.4%


BNP Paribas 14.5%

UniCredit SpA 11.7%

U.S. Banks


Citigroup Inc 19.1%

Goldman Sachs 17.8%






FAB

StanChart Lloyds

Barclays

HSBC

RBS

UBS

Credit Suisse

Commerz

Deutsche

ING

BNP

UniCredit

CreditAgri

SocGen GS

MS

Citigroup

BofAJPMC

11%

12%

13%

14%

15%

16%

17%

18%

19%

20%

21%

22%

23%

24%

25%


Total capital adequacy ratio vs Composite rating

Strongest

combination

of CAR &

credit rating

11

Total capital adequacy ratio (cont’d)




Total capital adequacy ratio vs Comp. rating Total capital adequacy ratio trend

FAB

StanChart

Barclays

Lloyds

HSBC

RBS

16%

17%

18%

19%

20%

21%

22%

23%


FAB vs U.K. Banks

BBB-

FAB vs U.K. Banks

13%

15%

17%

19%

21%

23%

25%

2012 2013 2014 2015 2016

FAB

HSBC

StanChart

Barclays

Lloyds

RBS

FAB

UBS

Credit Suisse

Commerz

Deutsche

ING

BNP

UniCredit

CreditAgri

SocGen

11%

13%

15%

17%

19%

21%

23%

25%

AA AA- A+ A A- BBB+


BBB BBB-


11%

13%

15%

17%

19%

21%

23%

25%

27%

2012 2013 2014 2015 2016

FAB

CS

UBS

DB

BNP

SocGen

Credit Agri

ING

Commerz

UniCredit

FAB GS

MS

Citigroup

BofAJPMC16%

17%

18%

19%

20%

21%

22%

AA AA- A+ A

FAB vs U.S. Banks

A- BBB+

FAB vs U.S. Banks

12%

14%

16%

18%

20%

22%

2012 2013 2014 2015 2016

FAB

MS

Citigroup

GS

BofA

JP Morgan

FY 2016 Total capital adequacy ratio


U.K. Banks

RBS 22.9%

Lloyds 21.4%


HSBC 20.1%

Barclays 19.6%

European Banks

UBS AG 24.7%

Credit Suisse 20.5%


ING Groep NV 19.3%


Deutsche Bank 17.4%


BNP Paribas 14.5%

UniCredit SpA 11.7%

U.S. Banks


Citigroup Inc 19.1%

Goldman Sachs 17.8%



12

FAB

StanChart

HSBC

Barclays

Lloyds

RBS

BNP

ING

Credit Suisse

SocGen

UniCredit

Deutsche

Commerz

UBSCreditAgri

JPMCGS

CitigroupBofAMS

-28%

-26%

-24%

-22%

-20%

-18%

-16%

-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

12%

14%

16%


Return on equity vs Composite rating

Return on equity



are the standalone ratios of NBAD before the merger; FAB’s ratios are as per Central Bank of UAE’s Basel II guidelines; Return on equity is calculated as: [Net income available to

shareholders for latest financial year / (Total equity for latest financial year + Total equity for previous financial year) / 2]*100; Source: Bloomberg, Annual reports

FY 2016 Return on equity


U.K. Banks

Lloyds 4.7%

Barclays 2.9%

HSBC 0.7%

Standard Chartered -1.0%

RBS -13.6%

European Banks

ING Groep NV 9.5%

BNP Paribas 8.3%


UBS AG 5.9%


Commerzbank AG 1.0%

Deutsche Bank -2.7%

Credit Suisse -6.3%

UniCredit SpA -26.4%

U.S. Banks


Goldman Sachs 9.4%

Morgan Stanley 8.1%


Citigroup Inc 6.6%

A combination of highest RoE & highest credit rating

13

Return on equity vs Comp. rating Return on equity trend

FAB

Lloyds

StanChart

HSBC Barclays

RBS-16%

-8%

0%

8%

16%


FAB vs U.K. Banks

BBB-

FAB vs U.K. Banks

-15%

-10%

-5%

0%

5%

10%

15%

20%

2012 2013 2014 2015 2016

FAB

HSBC

StanChart

Barclays

Lloyds

RBS

FAB

BNP ING

Credit Suisse

SocGen

UniCredit

Deutsche

CommerzUBSCreditAgri

-30%

-24%

-18%

-12%

-6%

0%

6%

12%

18%

AA AA- A+ A A- BBB+


BBB BBB-


-30%

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

20%

2012 2013 2014 2015 2016

FAB

CS

UBS

DB

BNP

SocGen

Credit Agri

ING

Commerz

UniCredit

FAB

MS

GS

Citigroup BofA

JPMC

6%

8%

10%

12%

14%

16%

AA AA- A+ A

FAB vs U.S. Banks

A- BBB+

FAB vs U.S. Banks

-3%

0%

3%

6%

9%

12%

15%

18%

2012 2013 2014 2015 2016

FAB

MS

Citigroup

GS

BofA

JP Morgan

Return on equity (cont’d)



are the standalone ratios of NBAD before the merger; FAB’s ratios are as per Central Bank of UAE’s Basel II guidelines; Return on equity is calculated as: [Net income available to

shareholders for latest financial year / (Total equity for latest financial year + Total equity for previous financial year) / 2]*100; Source: Bloomberg, Annual reports

FY 2016 Return on equity


U.K. Banks

Lloyds 4.7%

Barclays 2.9%

HSBC 0.7%

Standard Chartered -1.0%

RBS -13.6%

European Banks

ING Groep NV 9.5%

BNP Paribas 8.3%


UBS AG 5.9%


Commerzbank AG 1.0%

Deutsche Bank -2.7%

Credit Suisse -6.3%

UniCredit SpA -26.4%

U.S. Banks


Goldman Sachs 9.4%

Morgan Stanley 8.1%


Citigroup Inc 6.6%

14

FAB

StanChart

HSBCBarclays

Lloyds

RBS

BNPING

Credit Suisse

UniCredit

SocGen

Deutsche

Commerz

UBS

CreditAgri

JPMCGS

CitigroupBofAMS

-1.6%

-1.4%

-1.2%

-1.0%

-0.8%

-0.6%

-0.4%

-0.2%

0.0%

0.2%

0.4%

0.6%

0.8%

1.0%

1.2%

1.4%

1.6%

1.8%


Return on assets vs Composite rating

Return on assets



are the standalone ratios of NBAD before the merger; FAB’s ratios are as per Central Bank of UAE’s Basel II guidelines; Return on assets is calculated as: [Net income available to

shareholders for latest financial year / (Total assets for latest financial year + Total assets for previous financial year) / 2]*100; Source: Bloomberg, Annual reports

FY 2016 Return on assets


U.K. Banks

Lloyds 0.3%

Barclays 0.2%

HSBC 0.1%


RBS -0.7%

European Banks

ING Groep NV 0.5%

BNP Paribas 0.4%

UBS AG 0.3%



Commerzbank AG 0.1%

Deutsche Bank -0.1%

Credit Suisse -0.3%

UniCredit SpA -1.4%

U.S. Banks


Goldman Sachs 0.9%

Citigroup Inc 0.8%


Morgan Stanley 0.7%

A combination of highest RoA & highest credit rating

15

Return on assets vs Comp. rating Return on assets trend

FAB

Lloyds

StanChart

HSBC Barclays

RBS

-1.2%

-0.6%

0.0%

0.6%

1.2%

1.8%


FAB vs U.K. Banks

BBB-

FAB vs U.K. Banks

-1.2%

-0.6%

0.0%

0.6%

1.2%

1.8%

2012 2013 2014 2015 2016

FAB

HSBC

StanChart

Barclays

Lloyds

RBS

FAB

Credit Suisse

INGUBS

BNP SocGen

CreditAgri Deutsche

Commerz

UniCredit-1.6%

-1.2%

-0.8%

-0.4%

0.0%

0.4%

0.8%

1.2%

1.6%

2.0%

AA AA- A+ A A- BBB+


BBB BBB-


-1.8%

-1.4%

-1.0%

-0.6%

-0.2%

0.2%

0.6%

1.0%

1.4%

1.8%

2012 2013 2014 2015 2016

FAB

CS

UBS

DB

BNP

SocGen

Credit Agri

ING

Commerz

UniCredit

FAB

GSJPMC

CitigroupBofAMS0.7%

0.9%

1.1%

1.3%

1.5%

1.7%

1.9%

AA AA- A+ A

FAB vs U.S. Banks

A- BBB+

FAB vs U.S. Banks

0.0%

0.3%

0.6%

0.9%

1.2%

1.5%

1.8%

2012 2013 2014 2015 2016

FAB

MS

Citigroup

GS

BofA

JP Morgan

Return on assets



are the standalone ratios of NBAD before the merger; FAB’s ratios are as per Central Bank of UAE’s Basel II guidelines; Return on assets is calculated as: [Net income available to

shareholders for latest financial year / (Total assets for latest financial year + Total assets for previous financial year) / 2]*100; Source: Bloomberg, Annual reports

FY 2016 Return on assets


U.K. Banks

Lloyds 0.3%

Barclays 0.2%

HSBC 0.1%


RBS -0.7%

European Banks

ING Groep NV 0.5%

BNP Paribas 0.4%

UBS AG 0.3%



Commerzbank AG 0.1%

Deutsche Bank -0.1%

Credit Suisse -0.3%

UniCredit SpA -1.4%

U.S. Banks


Goldman Sachs 0.9%

Citigroup Inc 0.8%


Morgan Stanley 0.7%

16

FAB has a strong international footprint

Country International footprint outside local operation

First Abu Dhabi Bank * UAE 19 countries

Union National Bank UAE 4 countries (Qatar, Kuwait, Egypt & China)

Abu Dhabi Commercial Bank UAE 4 countries (India, Jersey, UK & Singapore)

Emirates NBD UAE9 countries (Saudi Arabia, Qatar, UK, Singapore, China,

Jersey, India, Iran & Egypt)

Mashreqbank UAE11 countries (Bahrain, Egypt, Kuwait, Qatar, Hong Kong,

India, UK, US, Bangladesh, Nepal & Pakistan)

Banque Saudi FransiSaudi

ArabiaLocal presence only

Samba Financial GroupSaudi

Arabia4 countries (UK, UAE, Qatar, & Pakistan)

National Commercial BankSaudi

Arabia

5 countries (Bahrain, Beirut, Singapore, South Korea &

China)

Qatar National Bank Qatar

25 countries (Kuwait, Oman, UAE, Iran, Iraq, Jordan,

Lebanon, Syria, Yemen, Egypt, Libya, Mauritania, South

Sudan, Sudan, Togo, Tunisia, China, Indonesia, India,

Singapore, Vietnam, France, Switzerland, UK & Turkey)

Commercial Bank of Qatar Qatar Local presence only

Doha Bank Qatar

15 countries (Kuwait, UAE, India, Japan, China,

Singapore, South Korea, Australia, Turkey, UK, Germany,

Hong Kong, Canada, South Africa & Bangladesh)

National Bank of Kuwait Kuwait

14 countries (Bahrain, Egypt, Iraq, Jordan, Lebanon,

Saudi Arabia, UAE, France, Switzerland, Turkey, UK,

USA, China & Singapore)

Commercial Bank of Kuwait Kuwait Local presence only

Arab banking Corporation Bahrain

17 countries (Manama, Algeria, Brazil, Egypt, France,

Germany, Iran, Italy, Jordan, Libya, Russia, Singapore,

Sweden, Tunisia, Turkey, UK & US)

National Bank of Bahrain Bahrain 2 countries (UAE & Saudi Arabia)

Bank Muscat SOAG Oman 4 countries (Saudi Arabia, Kuwait, UAE & Singapore)

National Bank of Oman Oman 2 countries (UAE & Egypt)

FAB has one of the largest international

networks amongst the Middle East banks

and is also governed by some of the key

regulators around the world – including

PRA/FCA (U.K.), OCC (U.S.), HKMA (Hong

Kong), APCR (France), FINMA (Switzerland),

and Bank Negara (Malaysia) – in addition to

the U.A.E. Central Bank.

19

Countries

(ex UAE)

39

Branches

outside UAE

5

Rep

offices

UAE

Washington, D.C.

Sao Paulo

London

Paris Geneva

Libya Egypt

Sudan

Lebanon

Jordan

Oman

KuwaitBahrain

India

Malaysia

Singapore

Hong Kong

China

South KoreaQatar

Note: * FAB’s international footprint shows the combined international presence of National Bank of Abu Dhabi

& First Gulf Bank; International branches include representative offices; Source: Bank websites; Zawya

17

FAB – The safest name you can bank upon

Safest Banks in the Middle East & Africa: 2016

1. National Bank of Abu Dhabi (UAE)*

2. Qatar National Bank (Qatar)

3. National Bank of Kuwait (Kuwait)

4. Abu Dhabi Commercial Bank (UAE)

5. Union National Bank (UAE)

6. Al Hilal Bank (UAE)

7. First Gulf Bank (UAE)*

8. Kuwait Finance House (Kuwait)

9. Abu Dhabi Islamic Banks (UAE)

10. Al Ahli Bank of Kuwait (Kuwait)

Global Finance magazine, based on its exclusive survey published in the November 2016 issue, named National Bank of

Abu Dhabi (NBAD) as the “Safest Bank in the Middle East & Africa”. In the same issue, the magazine ranked First

Gulf Bank (FGB) as the 7th Safest Bank in the Middle East & Africa. The banks were selected through an evaluation of

long-term credit ratings – from Moody’s, Standard & Poor’s and Fitch – and total assets of the 500 largest banks

worldwide.

As the merger between FGB and NBAD is now complete and the merged entity - First Abu Dhabi Bank - is effective as

from 1st April 2017, FAB has now a larger and stronger balance sheet. Furthermore Moody’s, S&P and Fitch have

affirmed FAB’s credit ratings at Aa3/AA-/AA- following the completion of merger.

NBAD was ranked 4th in the “Safest Bank in the Emerging Markets” category, a survey conducted by Global Finance

during the same period.

NBAD also secured 32nd position in the “World’s 50 Safest Banks” survey conducted by Global Finance during the

same period. FAB is proud to have been ranked in the World’s 50 Safest Banks since 2009.

Safest Banks in the EM: 2016

1. Korea Development Bank (South Korea)

2. Export-Import Bank of Korea (South Korea)

3. Industrial Bank of Korea (South Korea)

4. National Bank of Abu Dhabi (UAE)*

5. China Development Bank (China)

6. Agricultural Development Bank of China (China)

7. Export-Import Bank of China (China)

8. Qatar National Bank (Qatar)

9. National Bank of Kuwait (Kuwait)

10. Banco del Estado de Chile (Chile)

Note: * The ranking of National Bank of Abu Dhabi and First Gulf Bank are standalone ranking assigned by Global Finance magazine before the merger of two banks.

18

Appendix

As mentioned at the start of this report, we have used “composite ratings” for this analysis – i.e. the average

of the ratings assigned by three leading rating agencies Moody’s, S&P and Fitch – in order to provide a more

representative view of the credit strength of each bank.

The composite rating is calculated as follows:

A score is assigned to the rating from each rating agency: AAA or equivalent being the best with a score

of “1”, followed by AA+ or equivalent as “2”, AA or equivalent as “3”, AA- or equivalent as “4” and so on;

For example FAB is rated Aa3/AA-/AA- by Moody’s/S&P/Fitch. So the scores are 4/4/4;

Hence the average of the scores is “4” which indicates a composite rating of “AA-” for FAB;

In case the average score is not an absolute number – e.g. 4.33 (average of 4, 5, & 4 ) – the final score

is derived by rounding off the average score to the nearest whole number. In this case “4”.

Thank You

Contact:

Chavan Bhogaita / Rakesh Sahu

Market Insights & Strategy

Global Markets

First Abu Dhabi Bank

Tel: +971 2 6110 127

[email protected]

Market Insights & Strategy, FAB Global Markets

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