Integrated Report2023-2024

P. 12STRATEGY
Societe Generale group aims to be a
top-tier, rock-solid and sustainable
European bank. The new strategic plan,
presented in September 2023, hasa dual objective: strengthen our Group’s
financial profile to structurally improve
our competitiveness and reinforce
the sustainable performance of ourbusinesses, by expanding our value
proposition for clients through our areasof expertise, complementary externalalliances and ESG leadership. Our teams
are now fully focused on executing
the strategic roadmap for 2026 achieving
the goals we have set.

SUMMARY

P. 24

P. 46

P. 56

ESG

GOVERNANCEPERFORMANCE

Driven by the new strategic plan
to 2026, Societe Generale groupis pursuing the decarbonisation of its
portfolios and broadening its rangeof solutions and partnerships to
support the environmental transition.
Our ambition is to be the driving force
in the transformation of economies,
and thus contribute to build a betterand sustainable future.

The Board of Directors determines
the orientations for the Group’s
activities, including its CSR approach.
General Management, assistedby the Executive Committee,
proposes and implements the Group’s
strategic plan to strengthen thelong-term performance of the Group.
Societe Generale complies withthe highest standards of corporate
governance. It applies the AFEPMEDEF corporate governance code forlisted companies and complies withall regulations applicable to thebanking and financial sectors.

Societe Generale aims to create
long-term value for all its stakeholders.
2023 has been a year of transition.
With the new strategic and financial
plan presented in September 2023,
the Group has resolutely begun
executing a structural transformation
roadmap designed to reinforce
its financial strength and generate
sustainable performance.

INTEGRATED REPORT 2023-20241

Group profile and positions

A group looking
to the future
OUR CORPORATEPURPOSE

3 COMPLEMENTARY
BUSINESS LINESBUILDING
TOGETHER,WITH OUR CLIENTS,
A BETTER AND
SUSTAINABLE
FUTURE THROUGHRESPONSIBLE
AND INNOVATIVEFINANCIALSOLUTIONS.

■ French Retail, Private Banking
and Insurance

160

A
YEAR HISTORY OF
INNOVATION FOR THE
BENEFIT OF OUR CLIENTSAND THE DEVELOPMENT
OF THE ECONOMY

2

SG, the outstanding retail bank with a truly
local focus, Boursorama, the leader in online
banking, Private Banking and Insurance■ Global Banking and Investor Solutions
Made-to-measure value-added solutions
with global leadership in Equity Derivatives,
Structured Finance and ESG■ International Retail, Mobility
and Leasing Services

Universal banks firmly rooted in their markets(Czech Republic, Romania and a number of Africancountries), Ayvens, a global player in sustainablemobility, and specialised financing activities

25

MILLION CLIENTSAROUND THE WORLD– INDIVIDUALS, CORPORATESAND INVESTORS

4 COMMONVALUES

RECOGNISEDPERFORMANCE■ Team spirit■ Financial ratings

A trusted partner who listens, works
collaboratively and always stands besides
its clients in success as in failure■ Innovation

Entrepreneurial spirit, newtechnologies and disruptive thinking
to create future-oriented solutions■ Responsibility

Code of ethics, transparency, focused on
the long-term interests of our stakeholders■ Commitment

Involvement and achievement of our staff,
success of our clients

Fitch Ratings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F1/A (Stable)
Moody’s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . P-1/A1 (Stable)
Standard & Poor’s . . . . . . . . . . . . . . . . . . . . . . . A-1/A (Stable)
R&I. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . A (Stable)■ 2023 extra-financial ratings
MSCI ESG Research
AAA
0

20
60

A

BBB

30

40

50

69

100

60

A+
A

STAFF
IN 65 COUNTRIES

69

100

Highest126,000

AA
19.6 Low Risk

C+
A-

BB

CCC

80+

Moody’s ESG
30

0

Dow Jones Sustainability Indices
57

54

30

C
B

B

Sustainalytics

CB-

C

Ratings

0

ISS ESG

D+
C-

D
D

D-

CDP
D-

Lowest

The ratings shown are those awarded during annual reviews.
Number of companies in each agency panel:■ MSCI – 201 banks■ S&P Global CSA – 736 banks■ Sustainalytics – 366 banks■ Moody’s ESG Solutions – 4,882 companies■ ISS ESG – 285 banks

3Message f rom the Chairman of the Board of Directors

Lorenzo Bini Smaghi

4

MESSAGE FROM THE CHAIRMAN OF THE BOARD OF DIRECTORS

2023, A YEAR
OF TRANSITION

2023 was a year of managerial transition with
Slawomir Krupa being appointed Chief Executive Officerof the Group on 23 May. The transition at the top
management of the Group had been carefully prepared,
under the aegis of the Board of Directors and its
Nomination and Corporate Governance Committee.
As soon as he was appointed, Slawomir Krupa put in placea new General Management team and an experienced
and gender-balanced Executive Committee which wereimmediately operational, and prepared a new strategic
and financial plan that was presented in September 2023
with a view to making Societe Generale a top-tier,rock-solid and sustainable European bank.
Being a rock-solid and sustainable bank is firstand foremost about setting a goal for lasting strengthand performance by adapting our business model,
by optimising capital management and improving
operational efficiency, while maintaining a disciplined
and strict approach to risk. This is key to boosting ourlong-term flexibility and competitiveness.
Accelerating our ESG ambition is also a cornerstone ofSociete Generale’s sustainable development strategy.
The ESG expertises built by our Group over many years
is well recognised. Supporting our clients on theirdecarbonisation pathway is an even more critical priority
at a time when the economic risks associated with climatetransition are intensifying. The proactive commitments that
we have made and the milestones achieved are wellrecognised by the main extra-financial rating agencies thathave placed the Group among the top-ranking global banks.

2023 was also filled with strategic achievements
such as the emergence of SG, the new retail bank in France,
which involved the successful migration of IT systems, andthe creation of Ayvens, a global leader in sustainable mobility
following ALD’s acquisition of LeasePlan. We also madesignificant strategic headway in the other Group businesses,
notably by laying the groundwork to form the joint venturewith AllianceBernstein in the cash equities and equity
research business, and further developing the exceptional
momentum at BoursoBank, which took the numberof individual clients to over 6 million in January 2024.
From a financial perspective, the results were contrasted,marked by very solid performances in Global Banking
and lnvestor Solutions and International Retail Banking,the negative impacts of rising interest rates in French
Retail Banking, which only started to ease in the fourth
quarter of 2023, and by LeasePlan’s higher than expected
integration costs. But it is important to emphasise thatour disciplined management of costs, risks and capital
have helped make the Bank more robust.
As our Group prepares to celebrate its 160th anniversary,
the Board of Directors is confident of the ability ofGeneral Management and the Group’s staff to commit toserving clients, shareholders and our various stakeholders
to embark on the new chapter that is opening up forSociete Generale, with the purpose of building together
a better and sustainable future.

5

History of the Group
1871

Societe Generale
has made ideas growfor 160 years

First
international
branch opened
in London

1889

On 4 May 1864, a decree established Societe Generale
to “promote the development of trade and industry”.
From generation to generation, we have stayedtrue to this original corporate purpose of working
for the benefit of our clients and of society.
The goal of our founders, a group of industrialists
and financiers guided by the pursuit of progress,
continues to inspire us today, and we are driven
by the same entrepreneurial desire today to support
our 25 million clients present in 65 countries.
For 160 years, Societe Generale has made ourclients’ ideas grow. Built by generations of staff andcustomers, our Group has always supported
economic development. Yesterday, by supporting
the industrial revolution, today and tomorrow,by committing resolutely to facing the challengesof our times to achieve sustainable development
and responsible transition.

1864

1901

Introduction of
the General Inspection
competitive exam

1903

The strength of the legacy left by the preceding
generations allows Societe Generale group to lookto the future with conviction, determinationand confidence.
Societe Generale
founded by a groupof industrialists
and financiers
to “promote thedevelopment oftrade and industry”

6

Eiffel Tower
inaugurated
on 31 March 1889,
with innovative
co-financing of
the project arranged
by Societe Generale

Creation of theSociete Generale
athletic club(Club athlétique deSociété Générale,
CASG), with many
champions emerging
from its ranks

1909“La Solidarité”,
a philanthropic
and solidarity-based
association
established topromote professional
inclusion initiatives
for the underprivileged

1968
1995

Creation of Fimatex,
which later became
Boursorama

1928

Calif (Crédit àl’industrie française)founded together
with leading
French industrial
groups tosupport businessdevelopmentof Frenchcompanies andpromote the exports

1939

1997
Sogebail’s credit
products introduced(a first in France)

1985

First bank to offer
its customers
online services with
the introductionof Logitel

1987

Acquisition ofCredit du Nord group

2001

Acquisition of KB in
the Czech Republic.
Further expansionof International
Retail Banking

2007-2011

Societe Generale
proves its resilienceduring the financial
crisis and an ability
to transform itself

2015

Presence establishedin the United States(New York) and several
other international
branches opened

1945

Nationalisationof Societe Generale.
The Bank played
an active role infinancing post-war
reconstruction
and contributed
to the developmentof France during the“Thirty Glorious Years”

Privatisationof Societe Generale,leading to the
expansion of its
Universal Banking
model andcontribution to
globalisation of theeconomySociete Generale
becomes the sponsorof the French
Rugby Federation(Fédération française
de rugby, FFR)

2023

Ahead of the Paris
Agreement,
Societe Generale
has adopted a global
policy in favour ofthe climate. Amongthe banks thatlaunched the Positive
Impact FinanceInitiative, the group
issued the first
Positive Impact bondCreation of SG,
a new retail bankin France, throughthe merger of Societe
Generale and Créditdu Nord networks

Developmentof BoursoBank,France’s leading
online bankInclusion of
LeasePlan’s activities
into Ayvens, a global
leader in mobility

Preparation of
the launch of thejoint venture with
AllianceBernsteinto create a leader
in research andcash equities
Partnershipannounced with
Brookfield to set upa €10 billion
private debt fund7

Message f rom the Chief Executive Officer

Slawomir Krupa

8

MESSAGE FROM THE CHIEF EXECUTIVE OFFICERA NEW CHAPTER
IN THE HISTORY OF
OUR GROUP

2023 was marked by the launch of a new
strategic roadmap for Societe Generale designed
to strengthen our Group by building on our solid
foundations, with the aim of solidifying our position
among Europe’s top-tier banks and creating
long-term value for our various stakeholders.
From the moment we took up our responsibilities
on 24 May 2023, all the members of the new Groupmanagement team began preparing the medium-term
strategic roadmap we presented last September,while also continuing to implement the transformation
projects already underway. 2023 was a year of transition
for our Group. Once we had presented our new strategicplan, we got to work implementing the first stages.
2024 will now enable us to accelerate its execution,in line with our plan.
Our strategy announced at the Capital Markets
Day event is based on two key ambitions, both forthe benefit of our Group’s solidity and sustainable
performance: reinforcing our capital base andour profitability.

This means enhancing our commercial performance,with constant attention to customer satisfaction andanticipating their needs, managing our capital selectively
and proactively, and making structural cost reductions
by improving efficiency and simplifying our organisation.
This also means continuing our disciplined approach
to upholding the highest standards of risk management.
We have set interim targets for 2024, in line with themedium-term targets set for 2026.
2024 will also be a year of opportunities and an
unwavering focus on executing our plan, leading us
to achieve new milestones in our numerous strategic
initiatives. Accelerating the roll out of our new retailbanking model and winning new clients at BoursoBank
will enable us to strengthen our positions in the French
retail banking market. The creation of our joint venturewith AllianceBernstein and our partnership with Brookfield
will broaden our offering to corporate banking clientsand investors. The ongoing operational integrationof LeasePlan’s activities into Ayvens will establish us asa world leader in mobility. We will also push further ahead
with our portfolio review to focus on our core businesses
and simplify the Group’s business model.

9Maintaining our leadership in ESG remains, now
more than ever, central to our strategy. The Grouphas undertaken new commitments to the environmental
transition, accelerating in terms of sustainable financeand reinforcing our contribution to the United Nation’s
Sustainable Development Goals. We have been pioneers
once again, taking major decisions to speed up
the reduction of our exposure to the Oil and Gas sector
and launching a €1 billion transition fund to support
the development of new low-carbon technologies
and solutions.

10MESSAGE FROM THE CHIEF EXECUTIVE OFFICER

From left to right
Back row Pierre Palmieri, Claire Dumas, Laura Mather,
Laetitia Maurel, Slawomir Krupa, Grégoire Simon-Barboux,Stéphane Landon
Front row Delphine Garcin-Meunier, Philippe Aymerich,Marie-Christine Ducholet, Alexandre Fleury,
Anne-Christine Champion, Anne-Sophie Chauveau-Galas

Attentive to surrounding ourselves with robust
scientific expertise to better anticipate long-term issues,
we appointed the Chairman of our new Scientific
Advisory Council. Receiving the IFR’s prestigious
Bank for Sustainability award is further recognitionof our leadership.
Together with all the teams at Societe Generale,
we are writing a new chapter in the history of our Group.
We are committed to serving our clients and awareof our responsibilities to society and our stakeholders.

With the strength of a 160-year legacy over which we haveassisted millions of clients, we can look confidently
and determinedly to the future. We have solid assetsthat differentiate us and also enable us, to the bestof our abilities, to play a positive role accompanying
the major energy, technological and social transitions,
helping our clients’ ideas to grow, supporting their projects
and realising their potential. That is, for us, the greatest
source of pride.

11

STRATEGY
Societe Generale group aims to be a top-tier,rock-solid and sustainable European bank. The newstrategic plan, presented in September 2023,
has a dual objective: strengthen our Group’s financial
profile to structurally improve our competitivenessand reinforce the sustainable performance of ourbusinesses, by expanding our value proposition forclients through our areas of expertise, complementary
external alliances and ESG leadership. Our teams
are now fully focused on executing the strategic
roadmap for 2026 achieving the goals we have set.

12

INTEGRATED REPORT 2023-2024

STRATEGY

2026 strategic planA clear strategy
for a sustainable
futureThe Group’s ambition is supported by a clear strategy:
to be a robust bank with solid, sustainable
performance that contributes to the UN’s
Sustainable Development Goals. Reinforcing
Societe Generale’s solidity is a priority, and is
aimed in particular at on strengthening our capitalbase and structurally improving operational
efficiency and profitability. Based on a simplified,synergetic business model, our aim is also
to develop sustainable and high-performancebusinesses by strengthening the value proposition
for clients and playing a leading role in the energy,
environmental and social transition.

ONE
AMBITIONSTRATEGICOBJECTIVESBUILT AROUND
7 PRIORITIESOUR 2026
OBJECTIVES

14

BE A ROCK-SOLID AND
SUSTAINABLE TOP TIEREUROPEAN BANKBE AROCK-SOLIDBANKDEVELOP SUSTAINABLE
AND HIGH-PERFORMANCE
BUSINESSES

1 Enhance our stewardship of capital

5 Excel at what we do

2 Simplify our business portfolio

6 Lead in ESG

3 

7 

4 Maintain our best-in-classrisk management

FINANCIALTARGETSEXTRA-FINANCIAL
TARGETS■ CET1 ratio of 13% in 2026
(according to Basel IV)■ 80% reduction in the Oil and Gas
sector by 2030 (vs 2019) including
a 50% reduction by 2025

■ Average annual revenue growthof 0-2% between 2022 and 2026
■ Cost/income ratio of lessthan 60% in 2026
■ Return on tangible equity (ROTE)
of between 9% and 10% in 2026

■  Launch of a €1 billion investment fundto support the transition■ Over 35% of senior leadership roles
worldwide held by women by 2026

15

STRATEGY

2026 strategic plan

Be a rock-solid and sustainable bank
BE A
ROCK-SOLIDBANKDEVELOPSUSTAINABLE
AND HIGHPERFORMANCE
BUSINESSES

1
Enhance ourstewardship of capital
Target: CET 1 level of 13% in 2026
under Basel IV
The aim is to increase the Group’s CET1 ratio
to 13%, giving us a large capital buffer wellbeyond regulatory requirements. In addition
to disciplined management of the businessportfolio, Societe Generale aims to achieve
this target in the following main ways:■ Limited organic Risk Weighted Assets (RWA)
growth below 1% per annum on average
from 2024 to 2026;■ A proactive approach to transferring risk
and developing partnerships;■ Increasing organic capital generation
through improved operational efficiency.

The Group intends to apply a responsible
distribution policy with a payout ratio
between 40% and 50% of reported net
income from 2023 onward, with distributionsbalanced between cash dividends andshare buybacks from 2024.

5
Excel at what we do

6Lead in ESG

In a world of change, Societe Generale
will capture client value thanks to aclient-centric model. The Group will benefit
from the strong positioning of its franchises
on megatrends to pursue long-term growththrough solution-driven expert advisory
and financing. With clients at the centreof the value creation process, the Groupintends to shape a simplified, integrated
and synergetic business model, bringing
businesses closer together and increasing
cross-selling. The Group will scale up
its value proposition by combining in-house
expertise and external partnerships, providing
cutting-edge solution-driven expert advisory.
Digital capabilities will be further developed,
supporting an increasing contributionof digital sales to the Group’s revenues,
a lower cost-to-serve, and expected run-ratevalue creation from data and artificial
intelligence of circa €500m by 2026.

Societe Generale is accelerating its ESG
ambitions to reinforce its leadershipin the environmental transition andits contribution to the UN’s Sustainable
Development Goals.

(1) See page 30 for the Group’s commitments regarding other sectors and its own carbon footprint.

16

Accelerate the decarbonisationof Group businesses with new targets
Societe Generale is committed to a processof aligning its financing with trajectories
compatible with the aim of carbon
neutrality in 2050, starting with the mostCO2-emitting activities, as definedby the Net Zero Banking Alliance (NZBA).
Having largely completed its withdrawal
from the thermal coal sector, the Group issetting new targets, including a sharp
increase in efforts to reduce exposure to
upstream oil and gas, targeting an 80%
reduction by 2030 vs 2019 and anintermediate milestone of 50% by 2025
(compared to the previous commitmentof a 20% reduction)(1).

The Group is fully focused on executing its strategic
roadmap and attaining the goals set to be a rock-solidand sustainable bank. Our teams are firmly committed
to achieving the seven strategic priorities helping us
to fulfil our strategic and financial targets.

2
Streamline ourbusiness portfolio

3
Improve ouroperational efficiency

4
Maintain our best-in-classrisk management

Societe Generale will shape a consistent,
simplified and integrated businessmodel, anchored in the Group’s corefranchises. This will be achieved
by deploying strict portfolio management
criteria: consistency with the ESG
imperative, contribution to Group
profitability, significant Group synergies,
limited exposure to tail risks, and leading
franchises in attractive markets.

Target: cost-to-income ratio of below
60% with linear improvement from 2024.
The Group is aiming for gross costsavings of around €1.7 billion by 2026
(vs 2022). This will be achieved throughthe delivery of ongoing plans (such as
the merger of the French retail banking
networks and cost synergies from theintegration of LeasePlan), as well as greater
IT efficiency and a simpler organisation.
Leveraging on a platform-based strategy,
the improvement in IT efficiency will enable
the creation of circa €0.6bn of the grosssavings while also ensuring an improved
business impact.

Target: net cost of risk between 25
and 30 basis points over the 2024-2026
period, within a stable risk appetite.
The Group will maintain clear andconsistent credit risk management:
prudent origination policy, diversificationand low concentration risk, stable market
risk appetite, and comprehensive tailrisk monitoring. The Group’s risk framework
continues its holistic approach to risk
management including environmental,social and extra-financial risks.

Invest in innovation
Societe Generale announced the launchof a new €1 bn transition investment fund,including an equity component of €0.7bn.
The initiative will focus on supporting
energy transition activities, nature-based
solutions and impact-driven opportunities
which support the UN’s Sustainable
Development Goals.
Develop partnerships and launch
new initiatives to generate more impact■ With the creation of an independentscientific advisory board composed ofrecognised and multidisciplinary experts
to enrich the Group’s ESG considerations.

■ By exploring new areas of cooperation

with the International FinanceCorporation (IFC), a member of theWorld Bank Group, in sustainable financeprojects, building on our expertise,
past track-record in partnerships, andshared commitment to the United Nations’Sustainable Development Goals.
■ By accelerating the Group’s philanthropic
actions, notably through a major
increase of the Societe Generale
Foundation’s budget, to further support
culture, education and professional
inclusion. In addition, the establishmentof a new partnership to contribute tobiodiversity and ocean preservation.

7
Reinforce our cultureof performanceand responsibility
Societe Generale is committed to beinga responsible employer of reference
and strengthening our culture of performanceand responsibility. In addition to increasing
its staff engagement score, the Group will also
further extend its commitment to gender
diversity, allocating €100 million to reducing
the gender pay gap and aiming to have morethan 35% of women in senior managerial
roles worldwide by 2026. To encourage
greater staff share ownership, the Group will
also launch a staff share programme to greateralign the interests of staff and shareholders.

17

STRATEGY

Strategic priorities

Objectives ofour businesses

FRENCH RETAIL, PRIVATEBANKING AND INSURANCE

Aiming to increase its customer base to 17 million clients,
the pillar is also targeting a cost to income ratio of
below 60% by increasing revenue and lowering the costbase. Progress toward those targets will be driven byhigher efficiency in the French retail network combinedwith a greater contribution from BoursoBank.
Long-term strategic goals■ Be the #1 partner for corporates, professionals,

wealthy and private banking clients as well as
the leader in digital banking.
■ Further reinforce the value proposition forclients with a best-in-class quality of service.
■ Have the most efficient banking model.
■ Develop a full range of ESG solutions (savings,
financing and advisory).
The SG network will leverage on greater integration
with the Insurance and Private Banking businesses
to maximise commercial synergies.
BoursoBank, the leading digital bank in France,
will continue to accelerate its new client attraction rateto achieve a customer base of more than 8 million clientsin 2026 and so increase its long-term value creation.
This strategic decision will incur an aggregate negative
cumulated impact of circa €150 million on gross operating
income between 2023 and 2025. The Group is aiming
for a positive net income of over €300 million in 2026.

18

To deliver the Group’s roadmap, strategic
objectives have been defined for its main businesses.
Initiatives to achieve those objectives will be
progressively implemented over the period to 2026.
After focusing on transition and transformationin 2023, the Group will dedicate 2024 to accelerating
the execution of its strategic plan by rolling out aset of initiatives across all businesses and addressing
the various Group-wide topics.

GLOBAL BANKING
AND INVESTOR SOLUTIONS

It will further reinforce the sustainability and profitabilityof its model. Societe Generale is targeting a cost to income
ratio of below 65% in 2026 based on annual averagerevenue growth of 1-2% for Financing & Advisory(between 2022 and 2026) and an income range of between€4.9 billion to €5.5 billion for Global Markets.
Long-term strategic goals■ Keep improving operational efficiency.

■ Decrease RWA intensity by developing an asset-lightand advisory-driven model.

■ Extract further value from integrated leading franchises.
■ Remain the most innovative bank for ESG solutions.
■ Be at the leading edge of digital innovation(Digital Assets, AI).

While building on our position as a leading European
corporate and investment bank and our relationshipsof trust with our clients, our recent partnerships with
AllianceBernstein and Brookfield illustrate our capability
to develop innovative solutions to further expand
our customer offering and grow our revenues differently.

INTERNATIONAL RETAIL BANKING,MOBILITY AND LEASING SERVICES

International Retail Banking
It will focus on delivering over the long term returns
above its cost of capital. The Group is aiming to achievea cost to income ratio of below 55% by 2026.
Long-term strategic goals■ Build a more compact and efficient model.
■ Continue to offer a best-in-class customer
experience thanks to the combination of expertiseand digital capabilities.
■ Be a leader in ESG across all the Group’s geographies.
■ Ensure strict risk management and compliance.

Mobility and Leasing Services
The business will leverage the full integrationof LeasePlan by ALD to become a world leader within
the mobility ecosystem. The Group is aiming to achievea cost to income ratio of below 55% in 2026.
Long-term strategic goals■ Provide an integrated offer from car financing
to insurance.
■ Be a key driver of decarbonisation throughfinancing and leasing solutions.
■ Be a technological leader in mobility services.
■ Increase and maintain a sustainably highlevel of profitability.
ALD is aiming to increase earning assets by 6% per year
on average between 2023 and 2026, with electric vehicles
making up around 50% of its new contracts in 2026.

Strategic advances in 2023 and early 2024

Key milestones were reached in 2023 forthe main strategic initiatives, notably including:■ Completing the legal merger of theSociete Generale retail banking network withthat of the Crédit du Nord group’s banks,and completing the IT migration of Crédit du Nordclients to Societe Generale’s IT system;■ Accelerating the development of the digitalbank BoursoBank, strengthening its leadership in
the French market with almost 6 million clients;■ Creating a world leader in sustainable mobility

solutions, including completing ALD’s acquisitionof LeasePlan in May 2023 and launching the
new shared brand Ayvens.

In early 2024, Societe Generale and AllianceBernsteinannounced the official launch of Bernstein, a joint
venture that led to the creation of a world leader in
equity research and cash equity services.
Societe Generale has also signed agreements
relating to the planned disposal of Société Générale
Marocaine de Banques, including its subsidiaries,
and the professional equipment financing activities
of Societe Generale Equipment Finance (SGEF).
These plans form part of the execution ofSociete Generale’s strategic roadmap, which aims
to build a simplified and integrated business modelthat delivers greater synergies and performance,
while strengthening the Group’s capital base.

19

STRATEGY

Strategic priorities

Targets for 2024
The Group is fully committed to implementing
the strategic initiatives it presented in September 2023,
and its main financial targets are set out below.

PRIORITIES■ Enhance commercial
performance■ Achieve a linear
improvement in
operational efficiency

FINANCIAL TARGETS(1)REVENUE

COST/INCOME
RATIO

vs 2023

in 2024≥+5% <71%(approx. €500 millionof additional savings in 2024,
approx. €750-800 millionof transformation costs)
COST OF RISK

25-30 pb

■ Manage thebusiness portfolio■ Address ESG issues

in 2024■ Achieve solid capitaland liquidity ratioswith limited organic
growth in RWAs

(up less than 1% compared
to 2023)■ Maintain disciplined
risk management

CET 1

~13%
as of end-2024(1) Based on Global Markets revenue of around €5.1 billionand €750-800 million of transformation costs.
Based on macroeconomic assumptions, of which the main ones were summarisedon page 37 of the presentation in the Capital Markets Day on 18 September 2023.

20

ROTE

>6%
in 2024

STRATEGIC MILESTONESFRENCH RETAIL,
PRIVATE BANKING
AND INSURANCE

INTERNATIONALRETAIL, MOBILITY
AND LEASINGSERVICESGLOBAL BANKING
AND INVESTORSOLUTIONSGROUP■ Improve client satisfaction■ Create the joint venture■ Carry out the major■ Launch the project■A chieve a high level■ Deploy a more asset-light■ Continue optimising■ Improve IT efficiency■ Increase revenue■ Reduce costs through■ Complete announced■ Accelerate ourand operational efficiency
by implementing
the new business model(reducing the numberof branches by around
250 and FTE headcountby around 1,800(1))

of new client attraction
and increase service
take-up at BoursoBank(at least 7 million clientsby the end of 2024)

through synergies
between the Insurance,
Private Banking andRetail Banking businesses

More clients,
more revenue,
lower cost basewith AllianceBernstein
and launch the partnershipwith Brookfield in the firsthalf of 2024

model in all businesses

the rationalisation of
back-offices and processes

transformation of Ayvens
deliver initial synergies
and actively manage
scarce resources and thepricing policy

the international networks
and cross-selling with
the Group’s franchises

Reinforce thesustainability andprofitability of the businessmodel

disposals by the end of theyear (in addition to Congo andChad, where disposals havealready been completed)

Optimise
the organisationand the efficient
integration of LeasePlan

to transform the Frenchhead office(2) (around
5% reduction of head
office staff)

through infrastructure
rationalisation, theplatform strategy andthe procurement policy

ESG ambitions
and commitments

Enable a cultureof performance,
responsibility
and sustainability(1) FTE: full-time equivalent.
Out of a total net headcount reduction of 3,700 between 2023 and 2025
as announced in October 2021 as part of the merger of the retailbanking networks in France.
(2) Submitted for consultation with the staff representative bodies in France.

21

STRATEGYBusiness model

A business model creating
sustainable value
OUR
RESOURCESOURVALUES■ Over 126,000
committed
and responsible
professionals

OUR
CORPORATE PURPOSE■ A local presence in
65 countries

BUILDING
TOGETHER,WITH OUR CLIENTS,
A BETTER AND
SUSTAINABLE
FUTURE THROUGHRESPONSIBLE
AND INNOVATIVEFINANCIALSOLUTIONS.

■ TEAM SPIRIT■ INNOVATION■ RESPONSIBILITY■ COMMITMENT■ Around
25 million clients(individuals, professionals,
businesses and institutions)who put their trust in us■ A solid financial
structurewith a CET1 ratio of 13.1%■ A cultureof performance and responsibility■ Cutting-edge
expertise
and technology■ 5,300
suppliers
under contract

Societe Generale group’s business model is designed to offer responsible,
innovative financing solutions to help clients achieve their plans andaddress their transition issues, and thereby make a greater contribution
to the sustainability of economies and society in general. We aim to realise
this long-term vision, shared by all our businesses, through a strategy
built on financial strength, high-quality service and dynamic innovation,and in our desire to be a leader in terms of ESG, creating value for the
benefit of all our stakeholders.

22

… AND FOROUR OTHERSTAKEHOLDERSOUR ADDEDVALUE FOROUR CLIENTS…
OUR
BUSINESSES■ Including, developing
and engaging our staff■ Supporting our clientsby providing them with the rightservice at the right time, in theirbest interests, while securing andprotecting their assets and data

■ Helping our clientsfinance their projects■ €497 bn of outstanding client loans■ Supporting our clientsand economies withthe ecological transition■ FRENCH RETAIL,
PRIVATE BANKING
AND INSURANCE■ GLOBAL BANKING
AND INVESTORSOLUTIONS■ Offering innovativetechnological solutions
and services■ Online banking: BoursoBank,

the leading online bank in Francewith almost 6 million clients■ €52 bn in earning asset for Ayvens■ Protecting ourclients in their daily
lives and activities■ 23 million insurance policies managed■ INTERNATIONALRETAIL, MOBILITY
AND LEASINGSERVICES■ Market-leading derivatives franchise■ Managing ourclients’ savings
effectively
and responsibly■ €618 bn of deposits■ €4,931 bn of assets under custody■ €143 bn of Private Banking assets undermanagement■ Responsible finance solutions

addressing sustainability issues■ Secure transactions■ Maintaining significant investments

in cybersecurity (over €1 bn between
2023 and 2026)■ 100% of staff take part in at least

one training session per year

■ 63% of staff have taken partin ESG training■ 100% of staff are covered by

our UNI Global Union Agreement
on Fundamental Rights■ 86% of staff feel able to speak up freely■ ≥ 35% of women leaders (Top 250)
by 2026 as opposed to 31% in 2023

■ Contributing
to the sustainableeconomic developmentin the countries where
the Group operates■ Recognition by the main extra-financial

rating agencies■ Infrastructure financing to increase

our positive local impact■ Be a major player in the developmentof sustainable mobility■ Income tax expense:€3.0 bn in 2023

■ Accelerating
our commitments
to decarbonisation■ New NZBA target of reducing

absolute emissions from oil and gas
by 70% by 2030 vs 2019■ 50% reduction in our own carbon
footprint between 2019 and 2030,
34% achieved by end-2023 in linewith the target■ Launch of a €1 bn investment fundto support the transition■ Building
balanced relationships
with our suppliers■ €6.2 bn of external expenditure■ Ensuring long-term,
trusted relationships
with investors
and shareholders■ Providing precise, comprehensive

and transparent information

Find out more 2024 Universal Registration
Document • Chapter 1

23

Driven by the new strategic plan to 2026,
Societe Generale group is pursuing thedecarbonisation of its portfolios and broadening
its range of solutions and partnerships to support
the environmental transition. Our ambition
is to be the driving force in the transformationof economies, and thus contribute to build
a better and sustainable future.

ESG PRIORITIES24

INTEGRATED REPORT 2023-2024

ESG PRIORITIES

Editorial by the Deputy
Chief Executive Officer

Pierre Palmieri

Sustainability at all levels to deliver
sustainable performance.
In a world grappling with climate change and environmental
challenges, Societe Generale has taken significant strides
to consolidate its role in support of the transition to Net Zero.
Our commitment to sustainability is embedded in our
corporate strategy and purpose, in this pivotal decade
to keep the Paris Agreement’s goal of limiting the risein temperatures to 1.5 °C by the end of the century withinreach. We are driven by the challenge of the task ahead– to allocate resources effectively and explore new frontiersin the pursuit of positive change, ensuring a fair andinclusive global transition, in line with the United Nations
Sustainable Development Goals. Our ambition reflects
our desire to make a tangible contribution and is basedon positive transformation – through the environmental
transition and positive local impact on communities –while being a responsible bank.
A positive transformation
We have integrated ESG considerations in every aspectof our business. Beyond our commitment to halving
our carbon emissions from 2019 to 2030, we are helping
our clients in their own transition. For example,
relying on our expertise in sectors like road and rail,
air transportation, agriculture, shipping, and renewableenergy, we propose holistic solutions to our clients,
concentrating on their full production and business value
chains. We also support emerging champions of
the transition such as InnoEnergy and Polestar Capital.
Education plays a crucial role in our transformation,with extensive ESG training empowering our staff
to champion sustainability (more than 25% of the staff
trained in the Climate Fresk at the end of 2023).
In addition, we engage with policymakers to drive systemicchange. Our experts contribute to policy frameworks
with governments, aligning with objectives such as
the Corporate Sustainability Reporting Directive (CSRD),
which aims to harmonise sustainability reportingand enhance the availability and quality of ESG data.

26

Responsible bank
Being a responsible employer is paramount to us.
We strive to cultivate a working environment where ourteams are proud to contribute to sustainable development
and can realise their full potential through personalised
career paths and an inclusive culture. Recognising
the intrinsic value of diversity, we are committed
to reducing the gender pay gap (€100 million allocated)
and increasing female representation in key leadership
positions (target of at least 35% women by 2026).
We extend our commitment to financial support andstrategic philanthropic actions through a Foundation
which is focused, among other topics, on social inclusion.
Lead in ESG
The Group had already committed to contribute €300
billion to sustainable finance between 2022 and 2025, of
which more than 80% had been achieved by the end of2023. In 2023, we set ourselves higher ambitions, such as
accelerating the decarbonisation of our business in alignment
with the Net Zero Banking Alliance commitment. We are
reducing by 80% upstream exposure in our Oil & Gas
portfolio by 2030, and, simultaneously, establishinga €1 billion transition investment envelope on our balance
sheet. This will support innovation in green technologies,
nature-based solutions, and impact-driven investments.
We are also expanding our cooperation with key partners
in sustainable finance such as the International FinanceCorporation, the private sector arm of the World Bank,
to join efforts in this collective endeavour. With innovationand determination, Societe Generale is forging a path
toward a more sustainable future. We are fully committed
to leading, daring, innovating, and building a legacyof positive change.

STRONGLY COMMITTED TO A MORE SUSTAINABLE WORLD

INCREASE OUR
E&S CONTRIBUTIONS■ Accelerate

the decarbonisationof our business■ Proactively contributeto set new standards
and norms■ Act for the economic

and social developmentof our local communities

New NZBA targets

INVEST FOR A
SUSTAINABLE FUTURE■ Shift our businessmandates, design
innovative solutions
for our clients■ Invest in the Energy

TransitionLEAD
BY EXAMPLE■ Be a responsible■ Partner with IFC■ Establish a Scientific■ Increase philanthropic

employer

Advisory Council■ Halve our carbon■ Support nature-based andPARTNERTO CATALYSE ESG
DEVELOPMENT

emission 2019 to 2030

impact-driven solutions

A €1 billion investment fundto support the transition

to support SDGs

actions throughour Foundation■ Further engage

with all stakeholders
and coalitions

Develop new partnerships

27

ESG PRIORITIES

Analysis“WE URGENTLY NEEDTO ACCELERATETHE DECARBONISATIONOF OUR ECONOMIES.”Tim Gould,
Chief Energy Economist,
International Energy Agency

We live in a world that consumes more and moreenergy but the share of fossil fuels in the energy mix,
which remained stubbornly high for decades, hasstarted to fall. The oil price shocks of the 1970s were
instrumental in delivering a shift away from oil in global
energy, even as demand, driven by emerging economies,
has continued to grow. Electricity use has grown much
faster than oil demand over the past 50 years, and its
generation is also becoming less dependent on fossil fuels.
The share of fossil fuels in electricity generation has
fallen from close to 70% to around 60% over the last
decade and is expected to be below 50% by 2030,
thanks to the boom of renewable energy. Finally, China,
a key driving force behind rising demand for fossil fuelsin recent decades, is beginning to shift towards lessenergy-intensive growth and more focus on clean power,
especially wind and solar.
Developments to 2030 will be shaped by threeimportant trends. First, the accelerated developmentof renewables, particularly solar, where ample global
capacity to produce photovoltaic modules offers
considerable upside potential for deployment.
Second, the rapid rise in export capacity for liquefied
natural gas (LNG), led by the United States and Qatar.
We may well end up with a surplus of supply in the28

second half of the decade that will put downward
pressure on prices. Third, the strong focus onresilience, diversification and clean energy industrial
policies after the global energy crisis.
The current direction of travel is not adequate
to meet climate goals. At the International Energy
Agency (IEA), we currently expect global GHG emissions
to peak as early as 2025, but today’s policy settings
are not yet strong enough to deliver a sharp decline after
this peak, leading to global warming of 2.4°C by 2100,
compared to preindustrial levels. There is an urgent needto act more strongly for decarbonisation if we are to limit
warming to 1.5°C. To achieve this, the IEA strongly
supports the goals to triple renewable energy capacity
by 2030, double the pace of energy efficiency
improvements, to halt approvals of new coal-fired
power plants, cut methane emissions from fossil fuelsby 75%, and significantly increase investment in clean
energy, especially in emerging economies.
We have seen a 40% increase in capital flows into
various clean energy technologies and infrastructuresince 2020: so, the momentum is positive, but it isstill insufficient to get on track for the Paris Agreement
and the net-zero scenario by 2050. Clean energy
investments need to double to more than $4 trillion
per year by 2030, while continuing to reduce investment
in fossil fuels. This is the way to deliver a safer,more sustainable future.

Outlook“EUROPE IS TODAYAT AN IMPORTANT
CROSSROADS
WHERE UNLOCKINGCOMPETITIVENESS IS
KEY TO SECURING ASUSTAINABLE FUTURE
GROWTH PATH.”
Michala Marcussen,
Societe Generale’s Group Chief Economist

Inflation, both headline and core, has come down
sharply over the past year and central banks on
both sides of the Atlantic are now weighing rate cuts
against the risk of inflation resurging.
The similarities, however, stop here as the US economy
surprised with firm GDP growth in 2023, while the euroarea remained lacklustre. Consensus now sees US GDP
growth of 2.4% in 2024, around four times the 0.6%
projected for the euro area. While such differences may be
explained by a variety of cyclical factors and demographics,
the broader concern is that the euro area is facing acompetitiveness crisis with energy, capital, skills and markets
at the core. The cost of electricity for euro area firms has,following the Russian invasion of Ukraine, soared comparedto their competitors, be it in the US or China. Accelerating
the shift to a green energy system is thus not just aquestion of an urgently needed reduction of greenhousegas emissions, but also key to future competitiveness.

Unlocking investment and securing labour skills
are central to this equation. On capital, recent discussions
to accelerate the European Capital Markets Union (CMU)
are welcome, but fast track action is urgently needed andthe role of public support and risk sharing in supporting
key strategic investments must be considered. A strong
CMU, furthermore, requires the completion of the banking
union, supporting the emergence of truly pan-European
banks. In terms of public support, the Next Generation
EU initiative, adopted in response to the pandemic withthe aim not least to boost green and digital investments,
marked a positive step but is capped and time limited.
The European Green Deal Industrial Plan (GDIP) aims
to create a more supportive environment to scale up
investments by simplifying the regulatory environment,
accelerating access to finance, enhancing skills andsecuring resilient supply chains. The DGIP is close
to adaption and is also encouraging, but it is unlikely todeliver on a sufficient scale absent renewed public support.
On skills, the OECD’s latest Programme for International
Student Assessment (PISA) study showed a steep lossof skills for 15-year-olds across the major economies.
While the pandemic no doubt bears responsibility forthe steepness of the latest decline, the fact that the decline
is part of a longer-term trend should be raising several red
flags along with the fact that measures of equity in
education have also broadly deteriorated. Turning finallyto markets, the greater global fragmentation observedin recent years seems unlikely to reverse anytime soon.
There is a risk of further deterioration, not least withthe upcoming US Presidential election in November.
Fragmentation is, however, not the only concern when it
comes to export markets. China, which in recent decades
has been a key driver for European export growth,
now faces a longer period of weaker growth as it pursues
the reduction of its reliance on debt financed real estate
investment as a growth engine. In its push for new growthengines, moreover, China has clearly entered the green
technology race. With the overall global market
environment facing headwinds, the EU will have to create
tailwinds by completing its own Single Market. It is clearthat Europe is today at an important crossroads where
unlocking competitiveness is key to securing a sustainable
future growth path.
Article written in May 2024.

29

ESG PRIORITIESAs a founding signatory of the
Net-Zero Banking Alliance (NZBA),
Societe Generale strives to alignits financing portfolios with Paris
Agreement-compatible trajectories
for the most emission-intensive
sectors. The Group is working
alongside its clients, peers and allits stakeholders to accelerate
the transition.

ClimateBeyond climate
targets: define
the new frontiers
Accelerate the decarbonisationof our activities
Societe Generale is resolutely pursuing a highly ambitious
decarbonisation programme. The Group has adopted
a strategy to align its financing portfolios based on two
main priorities: manage the reduction in our absolutecarbon footprint from fossil fuels and define a plan
to lower the carbon intensity of our financing portfolios
in other sectors. 2023 was the start of a major new driveto accelerate this alignment. After achieving our initial
target to reduce our exposure to the upstream Oil and Gas
sector (20% reduction by 2025), we announced a fresh
target of an 80% reduction by 2030 vs 2019, with an interim
target of a 50% reduction by 2025. That’s one of the mostambitious targets in the entire global banking industry.
Since 1 January 2024, we have no longer provided fundingfor or advised on new Oil and Gas greenfield projects andare phasing out our exposure to upstream Oil and Gas
specialists. We have also set new targets (to lower our
carbon intensity and raise our alignment score) in the
Automotive, Steel, Cement, Commercial Real Estate,
Shipping, Aluminum and Aviation sectors.

30

KEY POINTS

Accelerate decarbonisation

Support innovation■ Oil and Gas:■ €1 billion investment fund

■

■

■

■

 arget of an 80% reductionTin exposure to the upstream
sector between 2019 and2030 with an interim targetof a 50% cut by 2025;
 arget 70% absoluteT
reduction in greenhousegas emissions acrossthe Oil and Gas value
chain by 2030 (vs 2019);
 ew targets forN
the Automotive, Steel,
Cement, Commercial Real
Estate, Shipping, Aluminumand Aviation sectors;
 arget 50% reduction inT
the Group’s carbon footprint
between 2019 and 2030.
Find out moreto support the transition.

■ Support emerging leaders.

Three standout investments
in 2023: InnoEnergy – Partech –Polestar Capital. First intake
of ESG start-ups in the
Global Markets Incubator.

Rethink the banking profession
Societe Generale is embedding ESG in its strategy for allits core businesses and has made assisting clients with
their transition a priority. Our core businesses are adapting
their models and developing their products and services
to meet our clients’ changing needs. In Global Banking
and Investor Solutions, for example, we have developed
an internal programme to tailor our services, accelerate
the upskilling of our teams and co-construct innovative
solutions with our clients addressing their transition
challenges. The programme facilitates skills-sharing
among the more than 400 professionals from the rangeof participating sectors, giving them a broader visionof the challenges facing clients. It also brings new value
chains into sharper focus and provides a deep dive into
the business models adopted by emerging leaders.
In 2023, Societe Generale won IFR’s prestigious
Bank for Sustainability award, for having successfully
accelerated and embedded the transition it into all
its activities. The Group also received the Euromoney
prize for the World’s Best Bank Transition Strategy
for the second year in a row.

Support innovation and develop
an ecosystem for a sustainable future
In a bid to accelerate its investment in developing solutions
and partnerships to generate a greater impact, the Groupannounced in September 2023 the launch of a €1 billion
investment fund to support the transition, includinga €700 million equity investment allocation. The fundwill focus on the energy transition, ‘green’ technologies,
nature-based solutions and impact finance projectsaligned with the UN’s Sustainable Development Goals.
Societe Generale has also pledged to develop an ESG
ecosystem to encourage innovation when developing its
businesses and serving its clients. The bank is building

this ecosystem with its partners and start-ups to enrich
its range of products and services, and to assist its clientswith addressing their ever-changing needs.
Working alongside namR, a company specialised ingenerating data about residential and commercial buildings,
SG has launched in France a Solar Pack offering this year
to meet the energy and environmental needs of its
business clients. To help its retail clients undertake realestate energy refits, SG has teamed up with Hello Wattand now offers end-to-end assistance covering everythingfrom energy design to project financing. The Group truly
believes that innovation is a crucial element of sustainablefinance and so it provides support to innovative businesses
via several incubators, invests in the champions of the
future and builds partnerships to create new solutions
for the clients. In 2023, Societe Generale acquired a stakein EIT InnoEnergy to support the growth of new industrial
champions and accelerate the energy transition byenabling the development of the 200 start-ups currently
in its portfolio, including Verkor, GravitHy, Holosolis andFertigHy. The Group has also invested in Polestar Capital,
Europe’s only private debt fund focused on the circular
economy. In addition, it joined the pool of investors
supporting Partech, which launched its first growth impact
fund with a target of raising €300 million.
The Global Markets Incubator welcomed its first cohortof positive impact start-ups in 2023. As its incubation
experience grows, the Group will be able to make progresson sustainability-related challenges and improve the rangeof products and solutions developed by the start-ups.

31

ENJEUX ESG

Biodiversity

Includingthe challenges
facing nature
Meeting the planet’s environmental and social
challenges means actively defending nature andthe services it provides. Societe Generale aims
to preserve ecosystems as part of its efforts toadvance the environmental transition, one of thefour strategic priorities of its CSR commitments.

32

Recognised commitments
In November 2022, Societe Generale, a signatoryof the international Act4nature alliance, made concreteand measurable new commitments for the entire Groupto protect nature. Scientists, environmental NGOs, publicbodies and CEOs of the private companies have all cometogether as part of this initiative, with the aim to build
businesses support for nature. Targets are monitored
on an annual basis and in 2023 each target was achievedor progress was made towards reaching it.
Find out more

ESG PRIORITIES

Identify all impacts to better
control themSociete Generale’s efforts to conserve nature require achange in approach at every level of its impact assessment
processes. Since 2007, the Group has applied the Equator
Principles, a framework for managing project financing
risks that incorporates the risks of biodiversity erosion.
In addition, the bank has tightened up its sectoral policies
to exclude financing projects located in the principal
internationally protected areas. Societe Generale also
strengthened the assessment of the impact its corporateclients have on nature. As part of efforts to combat
deforestation, the Group monitors very carefully clientsactive in upstream supply chains regarding soybeans andcattle from South America or are active in palm oil.

A collective approach
Societe Generale actively participates in coalitions
and work groups aimed at developing common standards
and methodologies. In 2021, we joined the Taskforce
on Nature-related Financial Disclosures (TNFD) Forum,
which published recommendations in September 2023
on assessing and disclosing nature-related impacts,
dependencies, risks and opportunities. In 2022,
Societe Generale, via its insurance and private banking
activities, signed the Finance for Biodiversity Pledge,
alongside 153 other financial institutions. In so doing,
the Group committed to harmonise reporting practices
for investments aiming to help protect nature.

A new partnershipwith The Ocean Cleanup:joining forces with thelargest cleanup in history
Billions of pieces of plastic float in our oceans, with morearriving all the time via rivers. The Ocean Cleanup,
an international non-profit project, develops and scales
technologies to rid the world’s oceans of plastic througha dual strategy: cleaning up the plastic already in theoceans, and intercepting trash flowing in rivers to stop
it reaching the oceans. As a key “Mission Partner”,
Societe Generale financially contributes to the non-profit’s
activities, supporting The Ocean Cleanup’s mission to clean
up plastic pollution in oceans and rivers worldwide.
Find out more

Build financial solutions helping
to protect nature
Societe Generale supports large corporates with assessing
the impact of their investments. The bank joined
the Corporate Program of the Science-Based Targets
Network (SBTN) to identify together with the clientsfinancial strategies that take into account nature-related
issues and so assist them with the transformationof their value chains. Lastly, Societe Generale launched
a new investment fund dedicated to the energy transition,
nature-based solutions and impact finance projectsaligned with the UN’s Sustainable Development Goals.
The €1 billion fund includes a €700 million equity
investment component.

33

ESG PRIORITIES

Local development

Make a positive
contribution toregional transitionand development
Societe Generale supports social and economictransformation at a local level by providing assistancefor SMEs and entrepreneurs, infrastructure financing,
especially for social purposes, and rapidly evolving
mobility businesses. The Group has also developed
a social and inclusion-based offering in France andin all the countries where it operates.

Support local players
The new SG retail bank offers its clients an extensive
range of sustainable products, including environmental
and social loans as well as positive impact loans.
In addition to these products, Societe Generale offers
its clients full support in their CSR approach, including
awareness-raising initiatives, advice on the various
stages of a project and the implementation of financial
solutions. The Group is also building an ecosystemof partners to enrich its offering.
In February 2023, Societe Generale Assurances and Tikehau
Capital jointly launched a private debt fund to financebusinesses committed to reducing their greenhouse gas
emissions. The SG Entrepreneurs Tech programme for has
provided more than €200 million in additional assistanceto 450 French Tech entrepreneurs in France and around theworld since June 2022. Widening further the range of
products backed by labels of quality, Societe Generale
introduced a solution providing finance to thosebusinesses unlisted on the stock exchanges committed tosupporting the transition. In November 2023, the Group
organised a Positive Impact Week, with a series of events in
22 cities across France with more than 1,000 clients
attending.

34

KEY POINTS

Guide and support
local players■ Strong regional roots

with SG appointing a CSR
Officer in each region.

■ New solutions:

Solar Pack for businesses
with namR andHelloWatt
in home energy refits.

■ Awareness-raisingby local players:
Positive Impact Week in
22 cities across France.

Finance infrastructure
by applying our recognised
project financing expertise.
Lead the drive for sustainablemobility with Ayvens.
Develop a social andinclusion-based offering.

Finance infrastructure
Financing infrastructure is crucial for regional and local
development and is among Societe Generale’s strategic
priorities for its CSR programme. The Group can draw
on a franchise and our recognised expertise in this typeof financing. Societe Generale was named Advisor of
the Year by Project Finance International.

Drive sustainable mobility
Ayvens, Societe Generale leasing subsidiary, has set
itself three priorities for developing sustainable mobility:
advising its clients on the most environmentally-friendly
solutions, facilitating the adoption of electricity-based
solutions and offering integrated mobility solutions(Mobility-as-a-Service).

Develop a social andinclusion-based offering
Societe Generale supports young people througha partnership with Bpifrance, which makes it easier for
students to borrow money if they have no income andnobody to act as guarantor for them. It also offers Boost,a non-banking services platform for young people(aged 16 to 24) in France, developed in partnership withthe start-up Wizbii. After being the first bank to launch
this type of initiative in 2019, Societe Generale was the firstbank in France to make this service available free of charge
to all its young clients. The Group is also developingbanking services that help to encourage financial inclusion
and assist the clients in a precarious financial position.
Societe Generale supports microfinance initiatives
throughout France (including the French overseas territories)
in partnership with ADIE, a non-profit championing
microentrepreneurship. In March 2023, the bank acquireda stake in the Citizen CIS fund. This acquisition represented
a major step forward, demonstrating Societe Generalecommitment to encouraging projects by social andenvironmental operators under the groundbreaking
impact contract framework.

35

ESG PRIORITIESWork with our partners

Partnerto actively
advance thetransition
We believe in the power ofcollective intelligence for designing
financing solutions best suited
to the environmental transition.

36

A sustainablefinance partnership
Societe Generale and IFC (International FinanceCorporation), a member of the World Bank Group,
have signed a Collaboration Framework Agreement
to accelerate the growth of sustainable financein developing countries. As part of this agreement,
the two institutions aim to further develop wide-ranging
financing solutions, such as co-financing projects
or risk-sharing agreements, to contribute to the active
participation of the private sector to the environmental
transition. The partnership notably aims to support
sustainable finance projects providing easier accessto energy, water and other essential infrastructure.
Over the past 10 years, the two institutions haveco-financed around 60 transactions with otherpartners, representing more than US$ 20 billion
in new investment for developing countries.
IFC has also provided approximately US$ 1.3 billion
in financing to Societe Generale to develop green
vehicle fleets, for example.

An innovation ecosystem
including start-ups activeon environmental issues
Appointment of Subra Sureshas Chairman of the new Group’s
Scientific Advisory Council
The purpose of the Scientific Advisory Council is toprovide science-based advice to the General Managementon key trends that will influence the Group’s businessand activities in the coming years, and to take a broad
and long-term view of the challenges facing the industry.
Subra Suresh is a leading scientist, engineer andresearcher, with decades of distinguished positions inacademia and is an elected member of numerous
science and engineering academies. He is currently
Vannevar Bush Professor Emeritus at MIT, Professor
at Large at Brown University, and a member of theBoard of Trustees of California Institute of Technology.
In October 2023, President Biden awarded him
the National Medal of Science, the highest national
honour accorded to an American scientist.
Find out more

Societe Generale is committed to developing an ecosystempromoting innovation to develop its businesses andassist clients with their transition. The Group has
strengthened its innovation ecosystem championing
sustainability through incubation and acceleration
programmes, such as the Global Markets Incubator. In
total, 15 new start-ups have moved into these incubators.
They are developing innovative solutions in line withthe challenges posed by biodiversity, energy transition
and ESG reporting, among others. In addition, a particularemphasis has been put on the circular economy, in thisframework Societe Generale acquired a stake in the
Polestar Capital debt fund, Europe’s only private debt
fund focused on the circular economy.
Find out more Universal Registration
Document 2024, p. 50 • section
on the Global Markets Incubator

International initiatives
to shape new standards
Societe Generale has set up or helped launch a numberof global, industry-wide initiatives. The Group has beena founding member of the Principles for Responsible
Banking organisation since 2019 and of the Net-Zero
Banking Alliance since 2021, after helping in 2020 to devise
the PACTA for Banks method, with the support of the 2DII
think tank. The bank has launched several initiatives tocreate decarbonisation standards for the Steel (Sustainable
Steel Principles – SSP), Shipping (Poseidon Principles) and
Aviation (Pegasus Guidelines) sectors and have participatedin the Hydrogen Council, which promotes the developmentof hydrogen. Societe Generale has also joined biodiversity
conservation and restoration coalitions, such as the
Finance for Biodiversity Foundation, Act4nature and theTaskforce on Nature-related Financial Disclosures.

37

ESG PRIORITIESBe a responsible employer

Acting for the
benefit of our staff
For Societe Generale, being a responsible employer
means enabling its staff to be engaged within
the Group and to be part of its performance.
To that end, the Group takes steps to enhance qualityof life at work, to safeguard equity and inclusion
and to help each and every one of its staff to realise
their full potential.

OUR RESPONSIBLE EMPLOYER STRATEGY

3 PRIORITIESHelp every
current and future
staff member
to realise theirfull potential

6 COMMITMENTS■ Provide the best

employability
prospects so
we can attract andretain ourtalented staff

KEY FIGURES■ Develop

personalised career
opportunities
tailored to future
requirements■ Ensure

Develop staff
commitment
and their ability tohave an impact■ Strengthen■ Make an individual
engagement andand collective
dialogue-based
contribution to
culture to collectively
positive-impact
enhance the Group’s
initiatives
competitivenessover the long term

38

or degree apprenticeship programme with
us recommend the Societe Generale group(2023 Happy Trainees survey)

34 hours of training on average per staff
member in 2023
Over 80% of our members of staff have completed
at least one ESG training course since 2021

Create a fulfilling,
fit-for-purpose andhigh-performanceworkingenvironment

the conditions
for an inclusive
culture respectfulof others

91.1% of students who complete an internship■ Emphasise
quality of life
at work andrespect our staff’s
personal lives

31.4% of the Group Top 250 were womenat year-end 2023 (target of 35% by 2026)

54% of Executive Committee members
were women at year-end 2023
€100 million budget assigned to closing
the gender pay gap

86% of staff report being free to express
their opinions and ideas within their team(2023 staff survey)
10,718 days spent by our staff on outreach initiatives
UGlobal Employee Share Ownership Plan
(subject to approval by the Shareholders’ Meeting)

“THIS LATEST
AGREEMENT WITH
SOCIETE GENERALEGIVES UNI A LEADING
ROLE IN ITS DUTY
OF CARE PLAN FOR
HUMAN RESOURCES.
It also raises the bar for finance industry
worker protection, entrenching for the first time
on a global scale, trade union rights in remote
working, use of AI and digitalisation.”
Christy Hoffman,
UNI Global Union General Secretary

In 2023, Societe Generale became the first Frenchbank to sign up to a worldwide framework agreement.
The four-year agreement with UNI Global Union applies
to all Societe Generale group entities. Under thisagreement, the Group is reaffirming its commitments
to uphold human rights, in line with its Code of Conduct,and its campaign to safeguard fundamental labour
rights, chief among which the freedom of association,
as enshrined in the International Labour Organisation’s
Fundamental Conventions.

COMMITMENTS AND ACTIONS TO ATTRACT, HIRE AND RETAIN TALENTPROMOTEA DIVERSITY, EQUITYAND INCLUSION POLICYENABLE
WELL-BEING AND QUALITY
OF LIFE AT WORK■ Diversity is an everyday reality at Societe Generale,■ The new deal with UNI Global Union sets newwith our more than 126,000 staff members representing
152 different nationalities in over 60 countries,
and 54% of staff employed outside France.

■ A dedicated policy sponsored by Pierre Palmieri,

Deputy Chief Executive Officer of the Group.

■ Gender Equality Index score of 91 out of a maximum

score of 100 for 2023 (up 5 points vs 2022),in accordance with the requirements of the French
law Avenir professionnel (Professional Future).

■ First International Summit on Diversity, Equity andInclusion held in March 2024. In total, 45 Employee
Resource Groups from across the Group came
together at the event to address five key DE&I topics:
gender, work generations, ethnic, social and cultural
backgrounds, disabilities and neurodiversity,
inclusion of LGBT+ community members.

minimum social rights standards for Group staff
worldwide. These include 14 weeks of maternity
leave, 1 week of paternity leave, both on full basic
pay, and death cover of up to 2 years’ fixed salary.

■ In France, the Quality of Life and Working

Conditions agreement has been in place since 1 January
2023. It covers work/life balance, working from homeand hybrid working, the right to collective andindividual expression, workload, the preventionof psychosocial risks, and living and working withcancer and chronic illness.

■ A new Well-being@work platform has been createdoffering practical guidance to help staff replicate
solutions, find the right person to contact and accessthe various services made available by the Group.

■ In 2023, 85% of staff reported a real senseof inclusiveness within the organisation.
Find out more

39

ESG PRIORITIESESG issues and our staff

Development of skills
and inclusion: promoting
staff engagement
Being attentive to the quality of life at work, equity
and inclusion, and the professional developmentof our teams is crucial to encouraging staff
engagement within the Group. We want everyone
to realise their full potential, while creating theconditions for an inclusive and respectful culture.

“ENGAGEMENT COMES FROMA BELIEF THAT IT IS POSSIBLE
TO MAKE A DIFFERENCE BY
ACTING AT YOUR OWN LEVEL,FROM WITHIN, TO INFLUENCE
THE BIGGER PICTURE.
The Climate Fresk workshop spurs
participants to think about common goals
and encourage sharing, discussions and adesire to address these new challenges.”
Marc Doisy,
Climate Fresk and 2tonnes workshop coordinator,
Societe Generale

Build a shared CSR culture,
support the need for expertiseSociete Generale group has developed a cultural
integration and training plan for all its staff. The goal
is to build a Group-wide CSR culture focused on a common
pillar of knowledge and to support its core businesses
with their needs for technical expertise. The training
plan is built around a range of more than 150 training
and awareness-raising modules in six main areas:
CSR fundamentals, ESG risks, the environment andthe ecological transition, responsible digital initiatives,
finance and sustainable investment, and acting asa responsible employer. The plan also features various
advanced modules based on the challenges arising fromdecarbonising certain sectors of the economy (Shipping,
Aviation, Automotive, Real Estate, Luxury Goods, etc.).
It is underpinned by a five-level programme supporting
staff upskilling– from beginner to expert level.
One of the programme’s targets is to make 30% of staff
attend the Climate Fresk workshop by September 2024.
Special courses have also been tailored to the needsof certain populations. Additionally, other training
events have been held, including the 2tonnes
and My CO2 workshops, so that staff can calculate theirown individual carbon footprint and find practicalways to reduce it. Training on how to coordinate
workshops is also arranged for those staff who wantto get more involved. Lastly, numerous conferences
are organised throughout the year, focusing on a rangeof different topics such as elimination of single-use
plastics, the circular economy, water-related issues anddecarbonisation of our activities, among others.

A TRAINING PLAN WITH 5 LEVELS OF EXPERTISE
1. BEGINNER

2. INTERMEDIATE

3. ADVANCED

4. CERTIFIED

5. EXPERT

Minimum required
for all staff

Accessible
to all staff

Staff looking to acquire
CSR expertise

Staff aiming to gain
certified CSR skills

Staff working
in CSR

40

“AT SOCIETE GENERALE,WE HAVE TAKEN
MULTILATERALAPPROACH TO INCREASEOUR DE&I QUOTIENTAND CREATE AN
INCLUSIVE WORKINGENVIRONMENT WHERE
EVERYONE FEELSRESPECTED AND CAN BE
TRULY THEMSELVES.
Like any critical business imperative,
advancing diversity, equity and inclusion
is our prerogative and is driven by clear
strategy, deliberate focus, collective intent
and sustained action taken by leaders,managers and staff at all levels”
Garima Tyagi,
Vice-President, Human Resources,
Societe Generale (Bangalore)

Over

80%

OF OUR STAFF HAVECOMPLETED AT LEASTONE ESG TRAINING
COURSE SINCE 2021
(by year-end 2023)

Close to 63% of Group
staff completed ESG training
in 2023, through:

316,866 training actions,■or on average over four
training actions per staff
member trained;

395,956 hours of training,or on average more than
5 hours of training per staff
member trained;■

Diversity, Equity and Inclusion:
combating discrimination in allits forms
Our commitment to Diversity, Equity and Inclusion(DE&I) reflects our determination to value the diversityof our talented staff. This commitment is at the heartof our HR strategy and aims to promote an inclusive
working environment respectful of human rights andto combat discrimination in all its forms. Our DE&I
steering committee, which is made up of members
from the Management Committees of our business lines
and support functions, is in charge to define the Group’s
Diversity, Equity and Inclusion goals and guidelines,
and to set up annual (or multi-year) priorities. Every
member of the DE&I Committee now co-sponsors oneof the Group’s five action priorities – gender; visible/
invisible disabilities and neurodiversity; ethnic, socialand cultural origins; intergenerational integration;and inclusion of LGBT+ community members.
Our ambitious targets notably include women holding
more than 35% of management positions by 2026.
Furthermore, a €100 million budget has been allocatedto reduce the pay gap between men and women.

Over 25% of staff havecompleted the Climate Fresk
workshop since 2021, including
18% in 2023 based on:

29,320 staff
have attended the Climate
Fresk workshop, including
21,000 in 2023;■a total of

650 internal workshop
coordinators trained,
including 500 in 2023.

■o
 ver

More than 30% of the Group’s
staff have been trained in eachof the following areas: CSR
fundamentals, sustainable financeand its regulations, and challenges
arising from the environmental crisis.

41

ESG PRIORITIESPatronage & sponsoring

Making adifference
to society
Alongside its commitments to rugby,
parasports and e-sports, Societe Generale
supports civil society as an active patronof educational causes, professional inclusion
programmes, classical music and contemporary
art in the many countries where it operates.

nature and is curated by Lauranne Germond, co-founderand director of the COAL association. In keeping with
its active patronage of the arts and culture for the past
30 years and more, Societe Generale establishedin November 2023 a major partnership with Villa Albertinein the United States, becoming the Lead Sponsor of
its artist residency programmes. Thus, the Group supports
artists in their professional development and quest for
excellence, helping to extend the reach of French culturearound the world. To unlock more value and achieve agreater impact from its financial support, Societe Generale
also runs a skills-based volunteering programme for its staff.
It provides myriad outreach possibilities, whereby
staff can make their skills available for good causes
as part of an effective outreach programme. In 2023,
close to 25,000 staff members in 56 countries signed up
for the latest edition of the Move for Youth sporting
charity challenge. Through their collective endeavours,
60 non-profit organisations promoting educationalcauses and initiatives assisting young people received
donations totalling €1 million.

A renewed partnership with
the French parasports federation

Luo Dan, 9 March 2006, Three Gorges Zigui Hubei, Societe Generale Art Collection

An active solidarity and cultural programmeSociete Generale pursues philanthropic initiatives
through its numerous entities around the world, via
foundation-type structures and through direct assistance.
The Societe Generale Corporate Foundation plays a majorrole in leading this patronage activity. It helps young
people build their future and supports their educationand the start of their professional careers. It also encourages
the performance and development of classical musicby supporting venues, orchestras, training programmes
and young musicians through scholarships and instrument
loans. The Societe Generale Corporate Foundation
was relaunched in 2024, with revitalised goals and a larger
budget, in line with the announcements made during
the Group’s strategic plan presentation in September 2023.
In the visual arts, more than 5,000 visitors viewed
the Group’s latest contemporary art exhibition“Water and the Diamond, which explores the complexity
and significance of the ties between human beings and42

Societe Generale has renewed its landmark partnershipwith the French parasports federation (Fédération française
handisport, FFH) until 2026. Over the past 20 years,
the Group has supported FFH in its role of advancing
inclusion and promoting sporting excellence for people withdisabilities and actively contributes to awareness-raisingand the development of parasports in France, fromamateur clubs to the professional world. Societe Generale
has provided support to six para-athletes, Arthur Bauchet
and Marie Bochet in paraskiing, Perle Bouge in pararowing,
Ugo Didier in paraswimming, Jonathan Hivernat inwheelchair rugby and Yasser Musanganya in wheelchairathletics. This support reflects the shared commitmentsof Societe Generale and the FFH to help parasports growin France and to stand alongside the next generationof para-athletes.

Together, everything is possible!

+50%

INCREASE IN THE
SOCIETE GENERALECORPORATEFOUNDATION’SANNUAL BUDGETFROM 2024

77

EDUCATIONALPROJECTS
AND INITIATIVESSUPPORTED IN 2023
HELPING YOUNGPEOPLE WITH
PROFESSIONALINCLUSION40ACTIVEPARTNERSHIPSIN CLASSICALMUSIC IN 2023

25,000

MEMBERS OF
STAFF SIGNED UP
FOR THE MOVEFOR YOUTH CHARITY
CHALLENGE

As a Worldwide Partner of the 2023 Rugby World Cup,
Societe Generale celebrated this unique event together
with all its stakeholders. For over 35 years now, we havesupported the development of all forms of rugby,
from amateur games to the highest professional levelin France and around the world. The tournament’s mottoof “Together, everything is possible!” truly resonatedwith our values and our culture of team spirit, echoing
our commitments to act as a good corporate citizen.

E-sport and rugby communities
scrum down together
During the Rugby World Cup 2023, Societe Generale
brought together the rugby and e-sports communities– which the Group has supported since 2018 as a partnerof the GamersOrigin team – for an immersive newexperience called “The Scrum”. Fortnite and rugby fanstogether enjoyed a full-scale virtual stadium, fromthe playing field to the stands via the changing rooms
guided by a giant map. As they progressed, they had
the chance to win tickets to watch Rugby World Cup
matches by taking part in mini-games.

43

ESG PRIORITIESWe are always attentive to building
a constructive dialogue with our
stakeholders, with a focus on four
key areas: reinforcing a cultureof responsibility, acting as a
responsible employer, supporting
the environmental transition, andachieving a positive local impact.

Stakeholders dialogue

Constructive andresponsible dialogue

DIALOGUE TAILORED TO THE NEEDS OF EACH STAKEHOLDERSTAKEHOLDER
GROUP

With
our clients

DIALOGUE CHANNELESTABLISHEDMETRICS■ Client satisfaction surveys■ Interviews with corporate and institutional clients■ Clients events■ Clients workshops for co-construction■ Over 126,000 active and responsible staff members■ Employee Barometer survey followed by■ Staff engagement rateserving the needs of 25 million clients(1) in 65 countries■ Net Promoter Score: lower in Retail Banking in France,

higher in Global Banking and Investor Solutions,and a mixed picture in the other segmentsof pathways and solutions■ Management of requests including claimsWith
our staff

co-construction workshops and action plans■ Employee’s communities and collectives■ Dialogue with staff representative bodies■ Whistleblowing system for staff(2023 Employee Barometer survey response rate): 64%■ 100% of staff covered by our UNI Global Union Agreement

on Fundamental Rights■ 111 concerns raised via the whistleblowing mechanism

Withour shareholders
and investors■ Meeting with investors■ Events and meetings with shareholders■ Bespoke publications and communications■ Shareholders’ Consultative Committee■ Conferences and other investor presentations: 48 events■ Presentation of climate strategy at the General Annual Meeting■ Earnings per share: €2.17(2)Withrating agencies■ Study and analysis of financial■ Financial rating

and non-financial performance reviews■ Regular discussions and follow-up
with non-financial analysts

■

■

■

With
civil society■ Regular meetings with NGOs
■ Monitoring of projects, businesses or sectors,

whether financed by Societe Generale or not,that attract controversy or are campaigned
against by civil society organisations■ Relationships with leading schools and universities
and role in advancing academic research■ Partnerships with Development Financial
Institutions (DFIs)

With
our suppliers■ Responsible sourcing policy■ Positive Sourcing Programme action plan supportingWith
regulatorsand supervisory
authorities■ Relationships with banking and financial

44

VSEs/SMEs and the social and solidarity economy

supervisory authorities and regulatory bodies■ Participation in market consultations and events(technical expertise in banking and finance)■ Membership of finance industry
professional organisations

agencies:
Fitch Ratings: F1/A
(stable)Moody’s: P-1/A1(stable)Standard & Poor’s:
A-1/A (stable)■ Non-financial rating
■
■
■
■
■
■

agencies:
S&P Global CSA: 69/100 (lower)
MSCI: AA (stable)
Sustainalytics: 19.6/100 (higher)
Moody’s ESG: 69/100 (stable)
ISS ESG: C+
CDP: B (stable)■ Discussions with and involvement in work groups■■■

with around 10 NGOs (including Reclaim Finance,
Friends of the Earth and BankTrack)
Approximately 10 bilateral meetings
Roughly 10 work sessions organised with market authorities
Around 30 responses to written requests received
from NGOs■ Total purchases: €6.2 billion■ Total purchases from social and solidarity

economy organisations: €14.8 million■ Sessions and work groups with the ANC (French AccountingStandards Authority), AMF (French Financial Markets
Authority), EFRAG (European Financial Reporting Advisory
Group), IASB (International Accounting Standards Board)(1) Excluding clients of the Group’s insurance companies.
(2) Underlying net EPS: calculated on the basis of underlying
net income, Group share.

Viewpoint of the Group
Chief Sustainability Officer

Hacina Py“WE NEED NEW
NARRATIVES TO MOVEFORWARD TO ASUSTAINABLE WORLD.”
Storytelling has always provided collective narratives
to explain the world around us, to guide us as we move
forward and to spur us into action. These narratives
change over the course of history, and now the time’s
has doubtless come to refresh our current storylines.
The paths taking us by 2050 to a net zero world– one in which we emit no more carbon than the planet
can naturally absorb – have been sketched out in various
scenarios. These paths are only possible if we makeprofound changes to how we produce and consume goods.
At present, people in France generally have a carbon
footprint averaging 10 metric tonnes of carbon dioxide
emissions per year. To achieve a trajectory in line with
the Paris Agreement, we should lower that to 2 metrictonnes by 2050. A complete change of course is what isrequired, not just incremental innovation. The economic,
environmental and social challenges facing us call fora total rethink of our production and consumption models,
and with it a major rewrite of our collective narratives.
The new storylines should help us imagine whata sustainable world might look like and make it
an appealing prospect. In a world of finite resources,
we should consider moving away from a linear production
model in which we extract resources to make goods
with often very short useful lives before just throwing themaway. Attention is now turning more to circular
economies in which production and consumption are
geared towards the efficient use of resources, products
are designed sustainably so they can be repaired, last

longer and be shared, and waste can be minimised.
Businesses adopting these sustainable practices will no
doubt be more resilient and less vulnerable to risks arisingfrom the transition and the depletion of our resources.
In addition, the requisite transition investments are suchthat they create important commercial development
opportunities for innovative entrepreneurs. New sharednarratives are essential to constructively highlight new
metrics, refocussing on what is important and avoiding
waste, and forms of sharing and cooperation that embracea usage-based model rather than ownership. It is aquestion of redesigning urban planning and mobility
systems to promote sharing by users, alternative formsof transportation and connection hubs. New types of
housing can be invented, with shared spaces (guest suites
available when you have friends or family staying, sharedgardens, shared tools and equipment, etc.). That alsomeans trialling more local agriculture and encouraging
different eating habits. Greater cooperation, sharing andties between the generations, and a closer relationshipwith nature will underpin these new low-carbon narratives,and can also benefits for health and access to goods
and services helped by the rise of the usage economy
rather than the ownership-based economy. The first stage
is raising awareness of the new paradigm and what it may
mean, while focusing on the positive aspects, rather thanjust on what is being given up. To help us gain a better
understanding of these new models and start taking
action, the French public body ADEME has drawn up
four prospective net zero scenarios by 2050. These credible
benchmark pathways illustrate economic, technical andsocial options for achieving this target. Although they
are based on the same macroeconomic, demographic
and climate data, they offer different societal choices.
We can also draw inspiration from the recent ETE 2030
(2030 Milestone for the Ecological Transition) study
conducted by the French Entreprises pour l’Environnement
association in conjunction with several major Frenchgroups. It provides a shared and innovative overview
of the relevant measures required by 2030 for a credible
trajectory aligned with French and European climate andbiodiversity commitments. We also had the pleasureof hosting inside the Bank a conference on the themeof “How to imagine 2050”, which was a great success.
Lastly, several podcasts are devoted to the topic,
including the 2050 Investors podcast by Societe Generale
Cross-Asset Research and Quantitative. It’s up to us
to make these narratives a reality – for example,
by devising banking solutions that facilitate the adoptionof sustainable practices.

45

The Board of Directors determines the course
for the Group’s activities, including its CSR approach.
General Management, assisted by the Executive
Committee, proposes and implements the Group’s
strategic plan to strengthen the long-term
performance of the Group. Societe Generale
complies with the highest standards of corporate
governance. It applies the AFEP-MEDEF corporate
governance code for listed companies and complies
with all regulations applicable to the banking andfinancial sectors.

GOVERNANCE

46

INTEGRATED REPORT 2023-2024

GOVERNANCE

Board of Directors

Setting the course for the Group’sbusiness activities
The Board of Directors represents all shareholders.
It approves the Group’s strategic direction andensures that it is aligned with Societe Generale’svalues and corporate purpose. It is also responsible
for ensuring the Group meets the highest standardsin ethics and risk management. Its members
are selected for their experience, expertise,diversity and independence, and its composition
respects gender equality targets.

Diversity and complementarity in the boardof directors’ composition
At 1 January 2024, the Board of Directors comprised
15 members: 13 Directors appointed at the General
Meeting (including the Director representing the employee
shareholders appointed at the General Meeting following
the submission of the employee shareholders) andtwo Directors representing the employees and elected
directly by the latter. The Board has also appointed
a Non-voting Director to assist it with all matters relating
to social and environmental responsibility.
The Board’s missions and work
In 2023, the Board approved the Group’s financial
statements, examined its budget and continued
to oversee its liquidity profile and capital trajectory.
Several sessions were devoted to analysing the Group’salignment with European Central Bank recommendations,particularly as part of the Supervisory Review and
Evaluation Process (SREP). The Board appointed a new
Chief Executive Officer and new Deputy Chief Executive
Officers, and set their compensation. It also examined
and approved the Group’s strategic initiatives as presentedby General Management during the Capital Markets Day,
along with the merger of Societe Generale andCrédit du Nord’s retail banking networks in France,
ALD’s acquisition of LeasePlan, Boursorama’s strategy
and the partnership deal with AllianceBernstein.
On 18 January 2023, the Board reviewed its Internal Rules
in order to comply fully with the new recommendations

48of the 20 December 2022 edition of the AFEP-MEDEF Code.
The Board of Directors approves the CSR strategy,
and the carbon trajectory in particular. The CSR andclimate strategy will be presented at the 22 May 2024
Annual General Meeting, with a focus on CSR commitments
and climate risk management. The Risk Committee
assesses CSR risks and climate stress test results every
quarter. The Audit Committee examines the reliability
and accuracy of CSR reporting, which will include
the sustainability report in accordance with the CSRD,
while the Compensation Committee works to factor
CSR performance criteria into the variable compensationof executives.
Find out more
2024 Universal Registration
Document • Chapter 3

56
YEARS

98%

50%

(14 in-person and remotemeetings on topical subjects)

AVERAGE AGE

WOMEN

AVERAGEATTENDANCERATE IN 2023

From left to right
Back row Béatrice Cossa-Dumurgier, Johan Praud, Benoît de Ruffray, Diane Côté, Slawomir Krupa, Ulrika Ekman, Lorenzo Bini Smaghi,Henri Poupart-Lafarge, Annette Messemer, Sébastien Wetter, Lubomira Rochet, Jean-Bernard Lévy (censor).
Front row Alexandra Schaapveld, William Connelly, France Houssaye, Jérôme Contamine.

SPECIALIST COMMITTEESThe Board of Directors’ work is prepared and assisted by four committees.
Each committee has at least four members.

CHAIR

AUDIT ANDINTERNAL CONTROLCOMMITTEERISKCOMMITTEECOMPENSATIONCOMMITTEENOMINATIONAND CORPORATE
GOVERNANCE
COMMITTEE

Alexandra
Schaapveld

WilliamConnelly

JérômeContamine

Henri
Poupart-Lafarge

MISSIONS ■ Monitoring the preparation■ Preparing the Board’s work

■ Preparing the Board’s work

■ Preparing the Board’s work

■ Risk appetite; risk limits;■ Compensation policy■ Selection of new Board

5 DIRECTORS

4 DIRECTORS

4 DIRECTORSDIRECTORS

100% INDEPENDENTDIRECTORS

75% INDEPENDENTDIRECTORS

100% INDEPENDENTDIRECTORS

60% WOMEN

80% WOMEN

50% WOMEN

25% WOMEN

11 MEETINGS

11 MEETINGS

8 MEETINGS

10 MEETINGS

100% AVERAGEATTENDANCE RATE

97% AVERAGEATTENDANCE RATE

94% AVERAGEATTENDANCE RATE

92% AVERAGEATTENDANCE RATE

and verification of
accounting and financial
information.
■ Monitoring the effectivenessof internal control systems,
and of risk measurement,
oversight and management
systems.

MAIN ISSUES ■ Preparation of the financial
DEALT WITH
statements; GDPR risk;
IN 2023
relationships withthe statutory auditors;
prevention of money
laundering and terrorist
financing; market integrity;
customer protection.

2023 KEY 5 DIRECTORSFIGURES 83% INDEPENDENT

on the general strategy
and appetite for all typesof risk, as well as overseeing
the implementation of
the strategy.

recovery plan; cost
recovery mechanism;
monitoring of climate- and environment - relatedrisks; dispute management;
taking account of risks
in pricing and compensation
policy; cyber-resilience;
data quality.

relating to compensation,
especially those of executive
corporate officers, as well
as staff who have an impact
on risk and risk management
within the Bank.

guidelines; compensationof corporate officers
and regulated employees;
gender balance;compensation policy;
compliance of thecompensation policy;
targets for executive
corporate officers.

concerning the appointment
of Directors, committee
members and the successionof corporate officers.

members; appointment
and organisation of General
Management; ensuringbalance in the compositionof the Board; reviewing thecomposition of committees.

49GOVERNANCEOVERSIGHT

Executive Committee

An experienced
and equal new top
management team
The Executive Committee assists General
Management in the oversight and managementof the Group’s business activities, operations
and functions. Led by Slawomir Krupa, the Executive
Committee’s mission is to implement the Group’s
2026 strategic plan for the benefit of the Group’s
25 million clients around the world, and tocontinue meeting its sustainability ambitions.

Slawomir Krupa, Chief Executive Officer

EXECUTIVE COMMITTEE

Anne-Christine Champion,

Co-Head of Global Banking and Investor Solutions“WE WILL CONTINUE TO STRENGTHENOUR MODEL AND SEIZEWORLDWIDE MEGATRENDSFOR THE BENEFIT OF OUR CLIENTS.”

Claire Dumas,
Group Chief Financial Officer

Alexandre Fleury, Co-Head of Global
Banking & Investor Solutions“FINANCIAL PERFORMANCEIS A STRATEGIC OBJECTIVE.”“STRATEGIC PARTNERSHIPSARE KEY TO CREATE VALUE FOROUR CLIENTS.”

Delphine Garcin-Meunier,Head of Mobility and International
Retail Banking & Financial Services“THE CREATION OF AYVENS MAKES
SOCIETE GENERALE A WORLDLEADER IN SUSTAINABLE MOBILITY.”

Laura Mather,Group Chief Operating Officer“IMPROVE OUR OPERATIONAL EFFICIENCYAND PROVIDE CLIENTS WORLDWIDE WITHRESPONSIBLE BANKING SOLUTIONS.”
50

Philippe Aymerich, Deputy Chief Executive Officer

Pierre Palmieri, Deputy Chief Executive Officer

Anne-Sophie Chauveau-Galas,
Group Chief Human Resources Officer

Marie-Christine Ducholet,
Head of the SG French Retail Banking Network“EMPLOYEE ENGAGEMENT AND
DIVERSITY, EQUITY & INCLUSION ARE
THE DRIVERS OF OUR ACTIONS.”“A SIMPLER, MORE EFFICIENT
AND MORE EXPERT BANKING MODELTO SERVE OUR CLIENTS.”

54%

Stéphane Landon,
Group Chief Risk Officer

OF EXECUTIVECOMMITTEE MEMBERS
ARE WOMEN“WE MAINTAIN OUR HOLISTICAPPROACH TO RISK AND
OUR EXACTING MANAGEMENT.”

With seven women amongits 13 members, the Executive
Committee complies withgender equality principles.
Almost all of its members haveat least 20 years of experiencein the banking activities, and all
have a proven track recordin their field of expertise.

Laetitia Maurel,Group Chief Communication Officer

Grégoire Simon-Barboux,
Group Chief Compliance Officer“BUILDING TRUST AMONGOUR STAKEHOLDERS AND MAKINGTHE GROUP MORE ATTRACTIVE ARE
AIMS SHARED BY ALL OUR TEAMS.”“THE TRUST THAT OUR CUSTOMERSPLACE IN US IS ALSO EARNED THROUGHOUR CULTURE OF RESPONSIBILITY.”51

Risk indicators

Controlling andmanaging risks
Our purpose is to serve our customers while
managing risks effectively, relying on a robust
organisation and a risk culture that covers all
the business areas, markets and regions in which
we operate. Our aim is to provide high-quality
customer service, win and retain our clients’ trust,and ensure the sustainable growth of the Bank.
To achieve this, Societe Generale takes arigorous approach to risk management led
by the highest standards.

17 bp

MODERATE COST
OF RISK IN 2023
(below the target announced
in early 2023 of less than 30 basis
points, and in line with the mostrecent guidance of under 20 bp
provided in Q3 2023)

52

83.9%

OF RISK-WEIGHTEDASSETS (RWA) RELATETO CREDIT AND
COUNTERPARTY RISK

Types of risks
As part of its risk management, Societe Generale
regularly updates its risk typology, and has grouped
its risks into 6 main categories.
1. Risks related to the macroeconomic, geopolitical,
market and regulatory environments.
2. Credit and counterparty risks.
3. Market and structural risks.
4. Liquidity and funding risks.
5. Non-financial and model risks.
6. Other risks, including those relating to insurance
and long-term leases.
All of these categories are affected by risk factors,
and particularly by ESG-related risks.
ESG risk management:
constantly improving our methods
Within Societe Generale, ESG (Environmental, Socialand Governance) risks are dealt with in a specific manner.

GOVERNANCE

The Group’s ESG risk management system is constantly
adjusted to factor in new issues. Environmental risks,
including physical and transition risks relating to
the climate and nature (biodiversity and ecosystems,
water and marine resources, pollution and the circular
economy) are crucial. Social risks include mattersrelating to human rights and the well-being of people
and communities. These matters are capable of affecting
all of the Group’s activities, along with its results andfinancial position, in the short, medium and long term.
They are closely interconnected and must be addressedholistically. The Group assesses the potential impactof ESG factors on its counterparties, its investments
and its own operations, prioritising issues identified
by its double materiality analysis. This analysis enables
it to identify priority impacts for the Group regarding
the environment and human rights (environmental
and social materiality) and the impact on its economic
and financial activities all along its value chain(financial materiality).
A solid risk culture
The Group has a rigorous, effective risk-management
organisation, which plays a central role in all of its
business areas, markets and regions. It aims to ensure
a high level of risk awareness and promote innovation
while meeting required standards. The main objectives
are to improve profitability over the long term,
to encourage sustainability through an effective risk
management system and to reconcile the independenceof risk management with close collaboration between
different business lines. In practice, that requires
transparent governance, a precise definitionof our risk appetite, appropriate control tools andconstant efforts to raise awareness of risk at alllevels of the company.
A structured risk management
Within the Group, there are three main levelsof risk management, ensuring rigorous governanceand operational control of risks.
■ Every year, the Board of Directors approves the
Risk Appetite Statement and the Group Risk Appetite
Framework. General Management, supported by
the Group Chief Risk Officer and Group Chief Financial
Officer, oversees the implementation of the risk
appetite, ensuring that the Group’s overall strategy
and its risk supervision are working together.
■ Control departments, particularly the Risk
Department and Compliance Department, areresponsible for drafting risk management policies,
putting in place control and monitoring structures,and establishing frameworks for managing the various
types of risk (strategic, compliance and financial).
■ At the operational level, risk reporting systems
enable regular, detailed monitoring suited to
the Group’s organisational structure. These systems
are vital for the effective communication ofrisk‑related information and compliance withregulatory requirements.

A COMPREHENSIVE INTERNAL CONTROL SYSTEMPERMANENT CONTROLPERIODIC CONTROLFirst line of defence

Second line of defence

Third line of defence(LOD1)(LOD2)(LOD3)

Business activities
and functions

Risk management activities
Risk and compliance

General Inspection
and Internal Audit

Level 2 control
Level 1 control
Find out more 2024 Universal
Registration Document • Chapter 4

53

GOVERNANCE

A culture of responsibility

A responsiblebank every day
A strong culture of responsibility isessential to maintain the trust that people
place in our Group. Whether regarding
our stakeholders or the environment,
we are committed, as bankers, to having
a positive impact respecting the highest
ethical standards.

1

CODE OF CONDUCTFOR ALL GROUP
STAFF, AVAILABLE
IN 19 LANGUAGESIN THE GROUP
STAFF SURVEY AT
THE END OF 2023,

85%

OF STAFF MEMBERS
SAID THAT PEOPLE
WITHIN THEIRENTITY ACTED IN
AN ETHICAL ANDRESPONSIBLE WAY

54

AS OF 15 APRIL 2024,

120,668

GROUP STAFF
MEMBERS HAD TAKEN
THE COMPULSORYETHICS AND CONDUCTTRAINING MODULE

The Culture & Conduct approach
The Culture & Conduct approach adopted by General
Management has since 2021 been jointly led by
the Human Resources Department and the ComplianceDepartment. The aim is to implement a Group-wide
strategy to transform the Group’s culture and manage
conduct-related risks. Each year, General Management
and the Board of Directors receive the Culture & Conduct
report, which highlights the main risks, conduct incidents
and associated disciplinary measures, as wellas the resulting action plans.
Voluntary Environmental and Social standards
For several years, the Group has had a set of procedures
for managing risks relating to ESG breaches in its businessactivities, consisting of Environmental and Social (E&G)
general principles and sectoral policies. The Group is awarethat E&S issues cover a broad range of concepts, which
may be considered and understood differently in different
cultures, and so is guided by the national regulations
and the main international conventions regarding humanrights and the environment when defining the risks
to be considered. The main international conventions,international standards and initiatives adopted byfinancial institutions and used by the Group to define
the way it manages E&S risks are listed in a dedicateddocument. The Group also plays an active role inseveral financial sector initiatives. Societe Generale
is a founding signatory of the United Nations’ Principles
for Responsible Banking. The Group has adopted
the Equator Principles, which serve as a common
framework in the financial sector for identifying, evaluating
and managing E&S risks in large infrastructure projects.
It is also a founder member of the Net-Zero Banking
Alliance (NZBA), which was created in 2021 as partof the United Nations Environment Programme FinanceInitiative (UNEP FI). The Group aims to define targets
for aligning its most emissions-intensive loan bookswith trajectories compatible with achieving global
carbon neutrality in 2050, by developing science-basedalignment methods. In addition, through its commitment
to Act4nature, the Group has defined practicaland measurable targets for biodiversity. The Act4nature
International initiative is supported by a networkof companies and scientific partners, environmental
NGOs and public-sector organisations, and aims
to encourage companies to make greater efforts topromote biodiversity.
Find out more 2024 Registration
Document • Chapter 4.13 • Chapter 5

55

GROUPPERFORMANCE
Societe Generale aims to create long-term value
for all its stakeholders. 2023 was a year of transition.
With the new strategic and financial plan presented
in September 2023, the Group has set about
executing a structural transformation roadmap
to reinforce further its financial solidity and achievesustainable performance.

56

INTEGRATED REPORT 2023-2024

GROUP PERFORMANCE

Societe Generale group2023, a yearof transition andtransformation

2023 was a satisfactory year in many respects:
the performance by Global Banking and Investor
Solutions and International Retail Banking, BoursoBank’s
dynamic growth and the transformations of the SG
retail bank in France and Ayvens, along with disciplined
management of costs, risks and capital at Group level.
After a year that also saw a pressure in the interest
rate margin in France and the integration of LeasePlan
within Ayvens amid normalising market conditions,
we have begun 2024 with confidence, focusing
on rigorously executing our roadmap and achieving
our financial targets, notably thanks to improved
operational efficiency.

OUR 2023 RESULTS

25.8

27.2(1)

17.6

25.1

18.5

18.0(1)OPERATING
EXPENSES(€ billion)
2023

13.1

CommonEquity Tier 1
Total capital ratio
COMMONEQUITY TIER 1
RATIO AND TOTALCAPITAL RATIO(as a %)

2023

13.5

–0.4 point

2022

13.7

2021

2023

36.8%

NBI CONTRIBUTION
FROM CORE
BUSINESSES(as a %)

18.2

–0.2 point

International Retail,
Mobility and Leasing
Services

19.4

2022

30.7%

Global Banking
and Investor Solutions

18.9+0.4 point

32.5%

French Retail, Private
Banking and Insurance

2021

2023

2022

2021

NET BANKINGINCOME(€ billion)

2024 TARGETS
COST OF RISKBETWEEN 25 TO 30
BASIS-POINTS

ROTE OFOVER 6%

CET1 RATIOOF AROUND 13%
BY END-2024(1) IFRS 17 adjustment.
Find out more Universal Registration Document 2024, Chapter 2
Full year 2023 results press release58

HIGHLIGHTS

A year of transition for financial results

PERFORMANCEANALYSIS“AFTER FOCUSINGOUR EFFORTS TO
START ADAPTINGTHE GROUP
AND ALREADYEXECUTING
SOME MAJOR
ACHIEVEMENTS,
WE WILL CONTINUE
WITH OUR
TRANSFORMATION
PLANS IN 2024.
Our goal will be to promotea culture of performance,accountability andsustainability throughout
our Group’s businesses.”Claire Dumas
Chief Financial Officer

In 2023, the Group recorded a net income of €2.5 billion. Very solid
performance in Global Banking and Investor Solutions and International
Retail Banking were the key drivers. At the same time, revenues
were impacted by the decline in the net interest margin in French
Retail Banking, Private Banking and Insurance and by the effectsof the integration of LeasePlan and the expected normalisationof the vehicle leasing market at Ayvens level. The Group maintained
a disciplined cost management despite inflation, and a low cost of risk
at 17 basis points. Likewise, the capital remained solid, with a CET1
ratio of 13.1% at end - 2023. Accordingly, a distribution totallingaround €1 billion is planned, equivalent to €1.25 per share. This breaks
down into a €0.90 per share cash dividend proposed at the Annual
General Meeting of 22 May 2024, plus €0.35 per share in the form ofa share buyback (around €280 million) to be launched after the
Annual General Meeting.

A year of transformation
All the core businesses made significant progress in the executionof their strategic roadmap. The creation of the SG retail banking networkand the initial deployment of its new model, as well as the stabilisationin the net interest Income at the end of the year, in the context of a yearly
decline, were among the highlights in French Retail Banking. BoursoBank
posted record organic growth reaching 6 million customers in early 2024.
Global Banking and Investor Solutions, which again reported robust
revenues of €9.6 billion, made significant progress in its roadmap
and accelerated the pace of its transformation towards a more efficientand effective business model. Lastly, in Mobility and Leasing Services,
ALD finalised the acquisition of LeasePlan in 2023, paving the way
for the creation of Ayvens, the world leader in mobility.

Strengthened ESG commitments
In 2023, the Group received the prestigious IFR Bank for Sustainability
award in recognition of its environmental and social commitments
and major achievements in ESG. The Group has continued to consolidate
and extend its leadership in this area. More specifically, it has committed
to achieve an 80% reduction in its exposure to the Oil and Gas sector
by 2030 and to set up a €1 billion investment fund for new low-carbon
technologies. The Group has also established new partnerships with
the International Finance Corporation (IFC) and The Ocean Cleanup.
In sustainable finance, the Group reached over €250 billion by end-2023, andmade further progress to align its activities with the Net Zero
Banking Alliance (NZBA) initiative.

59

GROUP PERFORMANCE

French Retail, Private Banking and Insurance

An unrivalled rangeof services in
the French market

Thanks to the complementarity between SG network
and BoursoBank, as well as the strong synergies
with Private Banking and Insurance, the Group offers
comprehensive coverage and a unique rangeof services and diverse relationship models in the
French market. It intends to build on these strengths
to meet changing client needs, while enhancing thelevel of satisfaction and its attractiveness individuals,
professionals and corporates.

OUR 2023 RESULTS

304
247

8.5

295

9.2
8

234

Loans
Deposits

NET
BANKING
INCOME(€ billion)

6.9
6.2

6.7

Find out more Universal Registration Document 2024, Chapter 2
Full year 2023 results press release

60

2023

2022

2021

OPERATING
EXPENSES(€ billion)

2023

2022

2021

2023

2022

LOANS ANDDEPOSITS(€ billion)HIGHLIGHTS

Creation of SG, France’s new retail bank
The new SG brand was created by the combination of the Societe Generale
and Crédit du Nord networks and effective as of 1 January 2023,
following the legal merger and then the successful migrations to a single
IT system. Over the year, SG laid the foundations of its new relationshipmodels to build closer relations with individuals, professional andcorporates. The key objectives are to better address clients needs,
improve satisfaction and be the bank of reference in savings, insurance,and quality of service in the French market, notably through tighter
integration with Insurance and Private Banking.

PERFORMANCEANALYSIS“CLIENTSATISFACTION IS
OUR TOP PRIORITY.
WE MOBILISE
ALL OUR
EXPERTISE AND
THE SYNERGIESBETWEENOUR BUSINESSESTO SUPPORTOUR CLIENTS IN
THEIR PROJECTSAND THEIRENVIRONMENTAL
TRANSITION.”
Philippe Aymerich
Chief Operating Officer

BoursoBank: record growth
BoursoBank, which is Boursorama Banque’s new brand, set a recordin 2023, gaining 1.2 million new clients. It consolidated its position
as France’s leading online bank, with more than 6 million clientsat 1 January 2024 and a penetration rate among the French populationof one in ten people. In a rising interest rates environment, averagesavings outstanding rose by 13.6% to €56 billion, mostly as a resultof a 17% increase in deposits and a 2% rise in life insurance. Building on
its high level of customer satisfaction and efficient operational modelwith a structurally low cost base, BoursoBank intends to maintainits current pace of growth and exceed 7 million customers by 2024
and 8 million by 2026.

Private Banking and Insurance:
continued development
Private Banking’s assets under management hit a new recordof €143 billion at end-2023, with inflows up 4%. This reflected
its high value-added advisory capability and recognised investment
expertise, notably in SRI. Revenues totalled €1,470 million in 2023,
up 3.9% vs 2022. Insurance, which was consolidated within the French
Retail, Private Banking and Insurance core business from the second
half of the year, also recorded a 4% increase in life insurance
savings outstanding to €136 billion. Protection premium increased
by 4% compared to the fourth quarter of 2022, with good momentum
in property and casualty insurance.

61

GROUP PERFORMANCE

Global Banking and Investor Solutions

A yearof consolidationand innovation

Global Banking and Investor Solutions pursued
the execution of the strategy launched in 2021,
aiming to achieve greater operational efficiency,
maintain strict capital allocation, apply the highest
standards of risk management and take a leadin innovation, especially in ESG and digital solutions.
In 2023, the business met its financial targets.
Building on successful transformation over recent
years, Global Banking and Investor Solutions aims
to consolidate its business model, while developing
innovative partnerships to expand its range of services
and deliver sustainable and profitable growth.

OUR 2023 RESULTS
60.3 59.9

Global Markets
and Investor Services

3,870

1,765
2021

2023

2022

2021

4,878

4,755

3,341
BREAKDOWN
OF NET BANKINGINCOME(€ billion)

Global Markets and Investor Services
Financing and Advisory

Find out more Universal Registration Document 2024, Chapter 2
Full year 2023 results press release

62

T4-23

6,299
4,301

2,929

RISKWEIGHTEDASSETS(€ billion)

Financingand Advisory

1,954

2,032

2023

5,650

2022

6,721

T3-23

T4-22

BREAKDOWN
OF 2023 NET
BANKING INCOME

T4 -23Financing and Advisory

T3-23

65%

59.5 60.4

Global Markets
and Investor Services

T4-22

35%

63.4

58.0

OPERATING
EXPENSES(€ million)HIGHLIGHTS

Solid results

PERFORMANCEANALYSIS“IN 2024, WE ARE
REINFORCING THE
SUSTAINABILITY
AND PROFITABILITYOF OUR MODEL.
REACHING NEW
STANDARDS
OF EXCELLENCEFOR OUR
CLIENTS THROUGHINITIATIVESSUCH AS THE
BERNSTEIN JOINTVENTURE AND
THE BROOKFIELDPARTNERSHIP.”

In a less supportive economic and financial environment than in previous
years, Global Banking and Investor Solutions posted robust revenuesof €9.6 billion in 2023. They were underpinned by a high contribution
from Global Markets and Investor Services of €6.3 billion, a slight decreaseof 6.3% compared to the record 2022 record level. The Equities business,
supported by a strong clients activity, reported €3.2 billion in revenues,
down 3% compared to 2022 level. The Fixed Income, Credit and Currency
activities posted a 6.5% decline in revenues to €2.4 billion. As a resultof base effects, Securities Services’ revenue declined by 17.5% to€701 million, with assets under custody at €4,931 billion and assets
under administration at €579 billion. After a year of strong growth in 2022,
Financing and Advisory reported revenues of €3.3 billion, anotherhigh level that showed a slight decrease of 1.4% versus previous year.
Global Banking and Advisory revenues dropped close to 7% during
the year to €3.3 billion, while Global Transaction and Payment Services
revenues rose by 19.3% to a record high in 2023.

Innovative partnerships
Societe Generale is developing innovative methods to broaden its clients
offering and grow differently its revenue base. In 2023, the Group
paved the way to the creation of Bernstein, the new brand of the Joint
Venture between Societe Generale and AllianceBernstein. From firsthalf 2024 onwards, it will be a leading player in cash equities and research,giving clients access to a seamless and comprehensive range of top-tierservices. In addition, the long-term partnership between Societe Generale
and Brookfield Asset Management and the creation of a dedicated private
debt fund will provide a larger-scale origination capability, tailoredfinancing solutions for issuers and standout high-quality investment
opportunities for investors.

Alexandre Fleuryet Anne-Christine Champion
Co-Directors of Activities of Corporate
Banking and Investor Solutions

63

GROUP PERFORMANCE

International Retail, Mobility and Leasing Services

Robustperformancein Mobility Services
amid a year oftransformation

In 2023, International Retail Banking,and Mobility and Leasing Services revenue
grew as a result of a strong commercial
performance by International Retail Banking,and sustained growth in Mobility andLeasing Services’ earning assets in a context
of major transformation due to theintegration of LeasePlan within Ayvens.

OUR 2023 RESULTS

83.1
ExcludingRussia

64.3

76.4

76.5

80.4

67.3

45.5

52

Find out more Universal Registration Document 2024, Chapter 2
Full year 2023 results press release

64

2023

2022

MOBILITY
AND LEASINGSERVICES’PRODUCTIVEASSETS(€ billion)

2023

2022

2021

OUTSTANDING
DEPOSITSInternational
Retail Banking(€ billion)

2023

2022

2021

OUTSTANDING
LOANSInternational
Retail Banking(€ billion)HIGHLIGHTS

Quality of service, innovation and expertise:
the key strengths of global leader Ayvens

PERFORMANCEANALYSIS“IN 2024 WE AIM
TO FURTHEROPTIMISE
BUSINESSESAND INTEGRATELEASEPLAN
EFFICIENTLY IN
SYNERGIES WITH
OTHER GROUPACTIVITIES.
This would be achievedby leveraging our long-term
relationships with our clients,
our entrepreneurial DNA, ourhighly recognised expertiseand our CSR leadership.”In 2023, Mobility and Leasing Services reported solid growth,with earning assets increasing by around 14% to €52 billion
at end-December 2023. Ayvens, the new brand combining ALD’s
and LeasePlan activities, is positioned as a leader in mobility and,more specifically, as a global leader in multi-brand and multi-channel
vehicle leasing. The orderly integration of LeasePlan will require€190 million of transformation costs in 2024, resulting in synergies
estimated at around €120 million in 2024, €350 million in 2025 and€440 million in 2026. Through these activities, the Group intends
to become a global leader in mobility solutions by the quality of its
services, its ability to innovate and the expertise of its staff.

International Retail Banking: consolidate
performance and innovate for clients
In 2023, International Retail Banking posted a strong commercial
performance, with outstanding loans and deposits up 4.6%
and 5.2% respectively, compared to 2022. In Europe, outstandingloans increased by 5.1%, with a 3.4% rise in Czech Republic
and 12.3% in Romania, while deposits increased by 7.5%. In Africa,
the Mediterranean Basin and French Overseas Territories, outstandingloans grew by 3.7% versus last year, while deposits rose by 0.8%. In
international markets, the Group intends improve its performance by
consolidating its positions in the core markets where it is a leader,maintaining disciplined risk management and meeting clients needs
by introducing tailor made and innovative solutions.

Delphine Garcin-Meunier
Director of Mobility, Retail Banking
and International Financial Services

65

GROUP PERFORMANCETHE ENVIRONMENTAL TRANSITION
Reducing fossil
fuel financing

Reduction in exposure to thermal coal
Reduction in exposure to upstream oil & gas
Reduction in exposure to upstream oil & gas

Implementing
the NZBA roadmap

Reduction in oil and gas absolute emissions
Reduction in CO2 emissions intensity
in the power generation projects financed
Reduction in CO2 emissions intensity
in automotive production
Reduction in CO2 emissions intensity
in cement production

Performance ESG

Reduction in CO2 emissions intensity
in the steel sector

Our evolving
ESG objectives

Reduction in CO2 emissions intensity
in commercial real estate

In 2023, Societe Generale further
reinforced its ESG ambitions.
The Group is accelerating
its decarbonisation and financing
trajectory and providing strong
support to sustainable finance.
As a responsible Bank, it encourages
inclusivity, engagement andthe realisation of every staff
member’s full potential. Lastly,
the Group aims to instil a cultureof responsibility, especially interms of business ethics and the
management of ESG risks.

Reduction in CO2 emissions intensity
in shipping (cargo and passenger vessels)
Reduction in CO2 emissions intensity
in the aluminum sector
Ayvens – CO2 emissions from the vehicle fleet
Investing in the transition

Transition investment fundSupporting clients
who are contributing
to positive change

Contributions to sustainable financing
Outstanding “green” assets(Insurance company – balance sheet)

POSITIVE IMPACT ON LOCAL COMMUNITIESDeveloping sustainablemobility

Ayvens - Mobility as a Service (MaaS)

Supporting local operators

Africa – Bank account penetration among
the local population or support for VSE-SMEs
Raising banking penetration levels anddeveloping VSEs and SMEs

RESPONSIBLE EMPLOYER
Promoting diversity,
equity and inclusion

Increase in female representation
Reduction in the gender pay gap

CULTURE OF RESPONSIBILITY
Training staff

Enhance the ESG expertiseof the Group’s employees
Widespread deploymentof Climate Fresk workshops

Being exemplary

66

Reduction in the Group’s carbon footprint

SHORT-/MEDIUM-/LONG-TERM TARGETPROGRESSSTATUS

Complete phase-out by 2030 for OECD countries
and by 2040 for the rest of the world–18% at end-2022–37% at end-June 2023 vs 2019

On track–20% by 2025 (vs 2019)–31% at end-2022

Target met–50% by 2025 and –80% by 2030 (vs 2019)–31% at end-2022

New target, set in 2023

–70% in 2030 (vs 2019)–40% at end-2022

New target, set in 2023

125 g CO2e/kWh by 2030
(vs 221 g CO2e/kWh in 2019), i.e. –43%

151 g CO2e/kWh at end-2022(–32% vs 2019)

On track

90 gCO2e/v-km by 2030
(vs 184 gCO2e/v km in 2021), i.e. –51%

175 gCO2e/v-km at end-2022(–5% vs 2021)

New target, set in 2023

535 kgCO2e/t cement by 2030
(vs 671 kgCO2e/t cement in 2022), i.e. –20%

671 kgCO2e/t cement at end-2022

New target, set in 2023

Alignment score of 0 by 2030

0.55 at end-2022

New target, set in 2023

18 kgCO2e/m by 2030
(vs 49 kgCO2e/m in 2022), i.e. –63%

49 kgCO2e/m at end-2022

New target, set in 2023

Alignment score of 15% by 2030 compared with
the IMO Striving For scenario, i.e. –43% in emissions
intensity reduction (Annual Efficiency Ratio)+24.2% at end-2022

New target, set in 2023

6 tCO2e/t by 2030 (vs 8 tCO2e/t in 2022), i.e. –25%

8 tCO2e/t at end-2022

New target, set in 2023

90 CO2e/v km by 2026

111 CO2e/v km at end-2023

New target, set in 2023

€1 billion allocated

N/A

New budget allocation for 2023

€300 billion in sustainable financing over 2022-2025> €250 billion

On track

Doubling outstanding “green” assets
between 2020 and 2025

x 2.3

Target met

200,000 active users of the MaaS platform by 2026

N/A

New target, set in 2023

Double the contribution to microfinance organisations
between in 2025 vs 2021, to reach €200 million by end-2025€135 million at end-2023

On track≥ 35% senior leadership roles (Top 250) by 2026

31% in 2023

New target, set in 2023

€100 million assigned by the Group for 2024-2025

N/A

Announced in 2023

ESG training for Group staff

63% in 2023

On track

30% of staff participation in a Climate Fresk workshop

25% at end-2023

On track–50% in 2030 vs 2019–34% in 2023

On track

67

About this report
We would like to thank all the partners and staff
involved in creating this document.
This seventh edition of Societe Generale’s Integrated
Report was inspired by the guidelines of the reference
framework published by the IFRS Foundation andaims to present the Group’s ambitions.
Sponsored by the Deputy Chief Executive Officer and ledby the Communication Department, this report describes
the Group’s activities and financial and non-financial
results for the 2023 financial year with a view to enhancing
dialogue with all our stakeholders, in a proactive processof transparency and progress. The content selected
was refined through conversations with the Strategy,
Sustainable Development, Human Resources, Risks
and Finance Departments, the Societe Generale Corporate
Foundation, the Secretary of the Board of Directors,
the Group’s Corporate Secretary and with the teamsof the various core businesses.
Unless indicated otherwise, the information presented
is as of 31 December 2023.

SOCIETE GENERALE
Tours Societe Generale
75886 Cedex 18
Registered office:29, bd Haussmann – 75009 Paris
Phone: +33 (0)1 42 14 20 00
A French corporation founded in 1864
Share capital at 17 November 2023:€1,003,724,927.50
552 120 222 RCS Paris
Abbreviations
Millions of euros: € million
Billions of euros: € billion

E-accessible version by
The digital version of this document
is conform to Web content accessibility
standards, WCAG 2.1, and is certified
ISO 14289-1. Its design enables people
with motor disabilities to browse throughthis PDF using keyboard commands.
Accessible for people with visual
impairments, it has been tagged in full,so that it can be transcribed vocallyby screen readers using any computer
support. It has also been tested in full andvalidated by a visually-impaired expert.

Conception & editorial content:
Societe Generale
Design & realisation:
Photo credits©All rights reserved; © Getty lmages:
Ada Summer, Caia Image, Casarsa, Cavan
Images, Coberschneider, Compassionate EyeFoundation/David Oxberry, Oliver Rossi,
Sean De Burca, SolStock Tara Moore,
Westend61; theboone; ©Societe Generale:
AHSG, Christophe Audebert, Michel Cecconi,
Régis Corbet, Jean Marie Cras, Luo Dan,
Audoin Desforges/La Company, Bernard Gaudin,
Gil Lefauconnier, Vincent Leroux/TempsMachine,
Marc Philbert, Joel Saget/AFP, KhaichuinSim, SimonSkafar, 2023 World Rugby;
French National Archives, International Energy
Agency, Musée d’Orsay, The Ocean Cleanup,
UNI Global Union.

Our main publications

Great ideas should see the light

In transition – Climate
and Alignment Report
Report providing qualitative information
relating to the climate strategy, governanceand risk management, in line withthe recommendations of the Task Forceon Climate-Related Risk Disclosures.

Every great ambition contributing to a moresustainable future needs an efficient sustainablefinance solution. The best illustrations of ourcommitment are the innovative projects developedby our clients. This document provides examples
from around the world with an emphasison those supporting the energy transition.

societegenerale.com
Corporate website featuring the Group’s
financial and non-financial news.

Universal
Registration
Document 2024
A regulated publication
providing full information
about Societe Generale’s
business activity,
governance, financial
and non-financial
results, and outlook.

2050 Investors
podcastInvestigation into
economic and market
megatrends, ahead of
the 2050 global
sustainability targets.

Risk
ReportReport on the nature,risk appetite and risk
management framework
in force. Since 2022,
the report has alsopresented details
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fondation.societegenerale.com
Supporting the first steps of young people andall those whom we can help to flourish in theirpersonal and professional lives within a collective:
this is the mission of the Societe Generale
Foundation which carries all the actions of Societe
Generale’s sponsorship.

Watch the film
“We are Societe Generale”

WE ARE

SOCIETE GENERALE.

Reference: 170 324 | Societe Generale recycles paper and designed this document to have minimum environmental impact.

We are Societe Generale We are a century and half of history, values andambitions. We are more than a hundred thousand, from all cultures, all ages,
and nations. We are France, we are Europe, we are the world. From the industrial
revolution to world trade evolution. To the growth of cities, culture, healthand humankind In our communities, our countries. Moved by our passion
for our work as bankers. Help great ideas see the light of day and projects takeform. Support businesses, young generations, support families Finance those
who want to build and transform. Be the essential cog, catalyse the mostambitious visions. Be the ones who imagine solutions, who make things possible,
take the decisions. Be the ones who believe that small projects are first steps toreach the new frontier. Listening deeply, understanding goals. We are proud of
our mission, we are proud of our story. We are strong, and we are together.
For our clients, for their service, we combine our expertise. We are an investmentbank, a retail bank, a private bank, all of these. We advise, we finance, we provide
mobility, we insure. We walk by the side of our 25 million clients on all the pathsof life. From generation to generation, sometimes through decades, to be sure.
We went all the way to the top; we experienced the thrill of success. We went
through multiple crises, we disappointed, we had issues to address. Today weare back, and we are ready. For the sake of tomorrow, we reinvent ourselves,
we stand steady. We build strong foundations, in a world which is challenged.
We want to be founders again, for the sake of a better future. We pushsustainable projects with a sense of duty to our planet. We commit to financial
inclusion, social equity, and responsible technology. We want to support
virtuous business models for the improvement of all. We encourage our clientsand partners to be more ambitious, not to think small. Acutely aware of
our responsibility, in all our spheres. We walk through centuries, but keep
our spirit as pioneers. Be audacious, courageous, creative… make impactful
contributions. For the sake of long-term value creation, come up withnew solutions. Understand the world of tomorrow, the next generations.
Understand the defining challenges of the coming decades and of radical
evolutions. Do our part. Lead, dare, innovate and build. Our head held high,our conscience, look with confidence into the future, with our vision fulfilled.