3rd Quarter Results

Byblos Bank S.A.L.

Press Release - Q3 2013 Unaudited Results

28 October, 2013

Byblos Bank continued its solid financial performance in the first nine months of 2013, recording one of the highest capital adequacy ratios and liquidity levels in the Lebanese banking sector while preserving sound asset quality.

Byblos Bank's strong performance reflects the sturdy confidence it continues to enjoy among depositors and shareholders, despite the current combination of local economic stagnation and regional political uncertainty.

In fact, Byblos Bank is the only bank in Lebanon whose shareholders include not only the International Finance Corporation (IFC), the private sector arm of the World Bank Group, but also both the Agence Française de Développement (AFD), the development agency of the French government, and its subsidiary, the Société de Promotion et Participation pour la Coopération Economique (PROPARCO). These strategic partnerships with international financial institutions confirm Byblos Bank's bedrock positioning in the Lebanese market. They also demonstrate its commitment to marrying business with corporate governance, and to helping realize both economic and human development.

The Bank once again demonstrated its cautious strategy by allocating sufficient specific and collective provisions against credit losses for an amount of USD 54.5 million during the first nine months of 2013, of which USD 15.7 million were collective provisions against a loan portfolio of USD 4.3 billion, continuing a visionary outlook focused on long-term profitability and sustainability.

Byblos Bank's healthy financials were also reinforced by an improvement in Net Non-Performing Loans to 0.8% of net loans as at 30 September 2013, all of which were fully covered when collective provisions are taken into account. In fact, the Bank's coverage ratio on non-performing loans, including collective provisions, reached 121.4% as at end-September 2013.

Byblos Bank's financial strength was also illustrated by a Basel III capital adequacy ratio of 14.6% at end-September 2013, versus a 12% minimum regulatory requirement with full compliance by December 2015. Moreover, the Bank recorded a Tier 1 capital-to-assets ratio of 8.18% for 2012, thus confirming its position as the most solid bank of all Lebanese banks for the fourth consecutive year according to the Top 1000 World Banks survey published by The Banker magazine, a sister publication of The Financial Times. The Bank's primary liquidity placed with banks and central banks (including Banque du Liban certificates of deposit) amounted to USD 9.2 billion, representing 64.1% of customer deposits at the end of the first nine months of 2013. Most importantly, immediate foreign currency liquidity placed with banks rated "BBB" and above represented 25.8% of foreign currency deposits compared to 15.3% for the Lebanese banking sector and a minimum regulatory requirement of 10%.

Byblos Bank's unaudited consolidated net income for the first nine months of 2013 amounted to USD 113.6 million after the aforementioned allocation of USD 54.5 million in provisions for credit losses. Total assets stood at USD 18.0 billion as at 30 September 2013, registering growth of 6% during the first nine months of the year. Customer deposits also grew, rising by 7.6% (+USD 1.0 billion) to reach USD 14.4 billion as at 30 September 2013, while net customer loans increased during the first nine months of 2013 by 3.4% (+USD 0.1 billion) to reach USD 4.3 billion.

To view the text of the results, paste the following link(s) into the address bar of your web browser:

http://www.byblosbank.com.lb/Library/Files/Financial%20Reports/Quarterly%20Consolidated%20Financial%20Statements/Quarterly%20Consolidated%20Financial%20Statements/Unaudited%20consolidated%20financial%20statements%20as%20at%2030092013%20_English.pdf

For further information, please contact:

Ziad El Zoghby

Head of Finance and Administration Division

Phone: +961 1335 280