5 Business segments
Contents Management report Corporate governance Consolidated financial statements Financial statements Pillar 3
practices involved and have, in this context, requested
documentation and other information to be submitted to them.
Both Rabobank and RNA are providing their full cooperation to
this investigation.
The business segments Rabobank uses in its reporting are
defined from a management viewpoint.This means that the
segments are reviewed as part of the strategic management
of Rabobank and are used for the purpose of making business
decisions with different risks and returns.
Rabobank distinguishes five major business segments: domestic
retail banking; wholesale banking and international retail
banking; leasing; real estate; and other segments.
Domestic retail banking mainly encompasses the activities
of the local Rabobanks, Obvion and Roparco. Wholesale
banking and international retail banking supports Rabobank
Group in becoming the market leader in the Netherlands and
focuses on the food and agricultural sectors at international
level.This segment develops corporate banking activities on
a regional basis and in addition controls globally operating
divisions such asTreasury Rabobank Group, Markets, Acquisition
Finance, Global Corporate Clients, Export Finance Project
Finance, Trade Commodity Finance and Financial Institutions
Group. The segment also actively involves International Direct
Retail Banking and Rabo Private Equity. International retail
banking operations fall under the Rabobank label, with the
exception of ACC Loan Management, in the leasing segment
- DLL - is responsible for leasing activities and offers a wide
range of leasing, trading and consumer finance products in the
Dutch home market. Manufacturers, vendors and distributors
are globally supported in their sales with products relevant to
asset financing. DLL operates in European markets with the
car leasing company Athlon. Real estate activities are reported
under the real estate segment. The core activities are the
development of housing, financing and asset management.
In the Dutch market, Rabo Real Estate Group operates through
its BPD and Bouwfonds Investment Management brands.
Furthermore, the results of FGFH Bank are recognised under
the real estate segment.The segment Other within Rabobank
includes various sub-segments of which no single segment can
be listed separately.This segment mainly includes the financial
results of associates (in particular Achmea B.V.) and head office
operations.There are no customers who represent more than
a 10% share in the total revenues of Rabobank.
Transactions between the various business segments are
conducted under regular commercial terms and under
normal market conditions.The dividend to the amount of
264 (2014:218) that was disbursed to the local Rabobanks
is, as opposed to previous years, no longer included under
other income of the domestic retail banking segment.
Other than from operating activities, there is no other
material comprehensive income between the business
segments. Allowing for the way in which the segments are
reported internally from the 2015 accounts onwards, the
consequences of hedge accounting are no longer included in
the consolidation effects/hedge accounting, but instead under
Other segments.
The financial reporting principles used for the segments are
identical to those described in the Accounting policies' Section.
211 Notes to the consolidated financial statements
