Banku Handlowego w Warszawie S.A.

Business and Financial Review • Dec 3, 2021

CurrentReport no 37/2021

Subject:Adoption of the 2022-2024 Strategy of the Bank Handlowy w Warszawie S.A.Group

Legalbasis:Art.17 of the Regulation (EU) No 596/2014 of the European Parliament and ofthe Council of 16 April 2014 on market abuse (MAR).

Dueto the end of the period covered by the 2019-2021 Strategy, BankHandlowy w Warszawie S.A. ("the Bank") informs that on December 3, 2021the Supervisory Board approved the 2022-2024 Bank Handlowy w WarszawieS.A. Group Strategy ("the Strategy").

TheStrategy of the Bank assumes business development based on functioningof two business segments.

Inthe Institutional Banking segment, the Strategy assumes focus on theareas, where Bank has substantial competitive advantage, with particularemphasis on Polish companies operating internationally or planninginternational expansion, as well as global corporations investing inPoland. The strategy is based on the initiatives aimed at client revenuegrowth including among others: participation in investment bankingtransactions of clients, client acquisition in commercial bankingsegment, maintaining market leader position in global companies segment,as well as providing best solutions to Digital clients. Providingsupport in the area of Environmental, Social, Governance (ESG)transformation initiatives of clients will be also a crucial componentof the Strategy.

Takinginto account the fact, that at the moment of the Strategy adoption, nofurther decisions have been made on the implementation of the plan tosell the Consumer Banking segment, the Strategy assumes operating of thesegment in the Bank structures and is focused on taking actions aimed atreturn to profitability of the segment as soon as possible. The Bankwill be focused on tailoring Wealth Management offer to clients' needsand maintaining market leader position in credit cards as well asmaintaining highest customer service quality in all channels andsegments.

TheBank assumes reaching following financial goals:

_#183;_#160;_#160;_#160;_#160;_#160;_#160;_#160;_#160;Clientrevenue compound annual growth rate at 9%

_#183;_#160;_#160;_#160;_#160;_#160;_#160;_#160;_#160;Returnon equity (ROE) _gt;12% in 2024

_#183;_#160;_#160;_#160;_#160;_#160;_#160;_#160;_#160;Maintainingcost discipline (C/I ratio _lt; 50%)

_#183;_#160;_#160;_#160;_#160;_#160;_#160;_#160;_#160;Customerassets compound annual growth rate at 6% in three years

_#183;_#160;_#160;_#160;_#160;_#160;_#160;_#160;_#160;Continuationof dividend payment of minimum 75% of net profit, subject to regulatoryapprovals.