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SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 under the

Securities Exchange Act of 1934

For the month of November 2016

Commission File Number: 001-14014

CREDICORP LTD.

(Translation of registrant’s name into English)

Clarendon House

Church Street

Hamilton HM 11 Bermuda

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F x Form 40-F¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ____

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____

The information in this Form 6-K (including any exhibit hereto) shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Date: November 4^th, 2016

	CREDICORP LTD. (Registrant)


	By:	/s/ Miriam Bottger
		Miriam Bottger
		Authorized Representative

Exhibit 99.1



		Lima, Peru, November 03, 2016 – Credicorp (NYSE:BAP) announced its unaudited results for the third quarter of 2016. These results are consolidated and reported in Soles according to IFRS.

		Third Quarter Results 2016

		In 3Q16, Credicorp posted a record high in quarterly net income of S/949.8 million. This figure represented an ROAE of 20.7% and an ROAA of 2.4%. Recurring net income was S/951.9 million, after deducting a translation loss of S/2.1 million. The group’s excellent performance this quarter is even more noteworthy in a context of a slowdown in loan growth and reflects the fruits of our clear and effective focus on prioritizing risk quality in all banking segments. In accumulated terms, recurring net income posted growth of 16.1% with regards to the level of the same period in 2015, which translates into a recurring ROAE and ROAA of 19.8% and 2.2%, respectively.

		The 3Q16 results show that:

		· Loans, in quarter-end balances, rose +2.9% QoQ and posted +7.4% expansion YoY. Currency adjusted growth rates were +1.5% QoQ and +5.1% YoY. Although the QoQ evolution shows a slightly better dynamic, YoY growth continues to slowdown. In this context year-to-date, loans have only grown +4.4%. The business segments that were the most dynamic were: Middle Market Banking, BCP Bolivia, Mortgage, SME-Business, SME-Pyme and Mibanco.

		· Despite low loan growth, interest income on loans increased +2.6% QoQ and +9.4% YoY, which offset the effect of higher interest expenses and lower gains in forwards. Consequently, net interest income (NII) increased +2.9% QoQ and +5.0% YoY. In accumulated terms, NII increased +5.8% with regard to level reported in the same period in 2015.

		· The net interest margin (NIM) was 5.37%, which represented a recovery of +18 bps QoQ. This meant that the YoY decline was only -12 bps, which is lower than the 51 basis-point reduction reported last quarter. The main factors that explain the slight recovery in NIM were (i) higher growth in segments with higher margins such as SME-Pyme and Mibanco, which is in line with the seasonality of these businesses; and (ii) a better pricing strategy. The slight increase registered in NIM is positive given that some of the factors that have pressured this indicator downward are still in play, such as the increase in funding cost, mainly in Soles, and the slowdown in loan growth.

		· The cost of risk fell -46 bps to situate at 1.65%, which is the lowest level reported in the last three years. The aforementioned was due to a decrease in gross provisions for loan losses (-11.6% QoQ), which in turn reflects an improvement in the portfolio’s risk quality, and, to a lesser extent, an increase in the level of recoveries and reversals (+27.4% QoQ). The YoY evolution also shows a drop of -37 bps, which is due to growth in the level of recoveries and reversals, which offset the slight increase in gross provisions (+3.9% YoY).

		· The recovery posted by the margin and a lower cost of risk translated into an increase of +43 bps and +11 bps QoQ and YoY, respectively, in the NIM after provisions.

		· Non-financial income contracted QoQ due to the effect of a non-recurring gain on the sale of of 50% of the investment in BCI that was made in 2Q. Recurring non-financial income grew +8.0% QoQ due to an increase in earnings generation in all categories. The YoY evolution shows an increase of +13.4%, which was mainly attributable to the gain on sales of securities and fee income, which offset the contraction in the gain on foreign exchange transactions.

		· The insurance underwriting result fell -1.0% QoQ due to an increase in the acquisition cost in the life insurance line, which offset the increase in net earned premiums. YoY, the underwriting result grew +6.6% due to an increase in net earned premiums, mainly in property and casualty insurance, which outpaced the slight increase in claims and in the acquisition cost. In this context, the combined ratio fell to 88.0% while the loss ratio was stable at 56.9%.

		· The efficiency ratio was situated at 43.8%, which represented a drop of -10 bps QoQ. Although our control over and governance of operating expenses continues to be highly efficacious, income generation has been lower-than-expected, thus the cost-to-income ratio increased +80 bps YoY.

Table of Contents

Credicorp (NYSE: BAP): Third Quarter Results 2016	3
Executive Summary	3
Credicorp and subsidiaries	4
1. Interest-earning assets (IEA)	6
1.1 Evolution of IEA	6
1.2 Credicorp Loans	7
1.2.1 Loan evolution by business segment	7
1.2.2 Evolution of dollarization by segment	10
1.2.3 BCRP de-dollarization plan at BCP Stand-alone	10
1.2.4 Market share in loans	11
2. Funding Sources	12
2.1 Funding Structure	12
2.2 Deposits	13
2.2.1 Deposit dollarization	13
2.2.2 Market share in Deposits	14
2.3 Other funding sources	15
2.4 Loan / Deposit (L/D)	15
2.5 Funding Cost	16
2.6 Mutual Funds	17
3. Portfolio quality and Provisions for loan losses	18
3.1 Provisions for loan losses	18
3.2 Portfolio Quality	19
3.2.1 Delinquency ratios by business segment	21
4. Net Interest Income (NII)	26
4.1 Interest Income	26
4.2 Interest Expenses	26
4.3 Net Interest Margin (NIM)	27
5. Non-Financial Income	28
5.1. Fee Income	30
6. Insurance Underwriting Result	32
6.1 Net earned premiums	32
6.2 Net claims	33
6.3 Acquisition cost	33
7. Operating Expenses and Efficiency	34
8. Regulatory Capital	36
8.1 Regulatory Capital – BAP	36
8.2 Regulatory Capital – BCP Stand-alone based on Peru GAAP	37
9. Distribution channels	39
10. Economic outlook	41
11. Appendix	46
11.1 Credicorp	46
11.2 BCP Consolidated	48
11.3 Mibanco	51
11.4 BCP Bolivia	52
11.5 Credicorp Capital	53
11.6 Atlantic Security Bank	54
11.7 Grupo Pacifico	56
11.8 Prima AFP	58
11.9 Table of calculations	59

Credicorp (NYSE: BAP): Third Quarter Results 2016

Executive Summary

Credicorp Ltd.	Quarter									Change						YTD						% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15			Sep 16			Sep 16 / Sep 15
Net interest income		1,866,893			1,904,219			1,959,424			2.9	%		5.0	%		5,489,455			5,810,333			5.8	%
Provision for loan losses, net of recoveries		(444,425	)		(483,911	)		(389,086	)		-19.6	%		-12.5	%		(1,378,324	)		(1,326,234	)		-3.8	%
Net interest income after provisions		1,422,468			1,420,308			1,570,338			10.6	%		10.4	%		4,111,131			4,484,099			9.1	%
Non-financial income		916,081			1,084,748			1,038,655			-4.2	%		13.4	%		2,863,239			3,030,781			5.9	%
Insurance services underwriting result		125,245			134,766			133,465			-1.0	%		6.6	%		341,843			397,369			16.2	%
Operating expenses		(1,337,802	)		(1,410,439	)		(1,426,612	)		1.1	%		6.6	%		(3,999,850	)		(4,185,510	)		4.6	%
Operating income		1,125,992			1,229,383			1,315,846			7.0	%		16.9	%		3,316,363			3,726,739			12.4	%
Translation results		2,940			(20,009	)		(2,583	)		-87.1	%		-187.9	%		13,830			(59,719	)		-531.8	%
Income taxes		(300,989	)		(311,932	)		(338,018	)		8.4	%		12.3	%		(899,809	)		(974,754	)		8.3	%
Net income		827,943			897,442			975,245			8.7	%		17.8	%		2,430,384			2,692,266			10.8	%
Non-controlling interest		20,798			23,250			25,451			9.5	%		22.4	%		69,210			72,651			5.0	%
Net income attributed to Credicorp		807,145			874,192			949,794			8.6	%		17.7	%		2,361,174			2,619,615			10.9	%
Non-recurring income (expense)⁽¹⁾		61,117			105,170			(2,113	)		-102.0	%		-103.5	%		176,011			77,543			-55.9	%
Recurring net income		746,028			769,022			951,907			23.8	%		27.6	%		2,185,163			2,542,072			16.3	%
Net income/share (S/)		10.12			10.96			11.91			8.6	%		17.7	%		29.60			32.84			10.9	%
Total loans		87,842,690			91,655,366			94,319,220			2.9	%		7.4	%		87,842,690			94,319,220			7.4	%
Deposits and obligations		86,426,707			89,936,981			88,709,612			-1.4	%		2.6	%		86,426,707			88,709,612			2.6	%
Net equity		15,153,252			17,656,273			19,116,945			8.3	%		26.2	%		15,153,252			19,116,945			26.2	%
Profitability
Net interest margin		5.49	%		5.19	%		5.37	%		18 bps			-12 bps			8.35	%		7.99	%		-36 bps
Net interest margin after provisions		4.19	%		3.87	%		4.30	%		43 bps			11 bps			6.25	%		6.17	%		-8 bps
Funding cost		2.0	%		2.02	%		2.15	%		13 bps			18 bps			1.93	%		2.08	%		15 bps
ROAE		21.6	%		20.4	%		20.7	%		30 bps			-90 bps			21.9	%		19.8	%		-210 bps
Recurring ROAE ⁽²⁾		20.1	%		18.0	%		20.8	%		280 bps			70 bps			20.2	%		19.5	%		-70 bps
ROAA		2.2	%		2.2	%		2.4	%		20 bps			20 bps			2.2	%		2.2	%		0 bps
Recurring ROAA ⁽³⁾		2.02	%		1.9	%		2.4	%		50 bps			40 bps			2.0	%		2.2	%		20 bps
Loan portfolio quality
Delinquency ratio over 90 days		1.88	%		2.05	%		2.12	%		7 bps			24 bps			1.88	%		2.12	%		24 bps
Internal overdue ratio ⁽⁴⁾		2.57	%		2.85	%		2.79	%		-6 bps			22 bps			2.57	%		2.79	%		22 bps
NPL ratio ⁽⁵⁾		3.4	%		3.67	%		3.64	%		-3 bps			24 bps			3.40	%		3.64	%		24 bps
Cost of risk ⁽⁶⁾		2.0	%		2.11	%		1.65	%		-46 bps			-37 bps			2.09	%		1.87	%		-22 bps
Coverage of internal overdue loans		162.8	%		152.9	%		155.4	%		250 bps			-740 bps			162.8	%		155.4	%		-740 bps
Coverage of NPLs		123.2	%		118.8	%		118.9	%		10 bps			-430 bps			123.2	%		118.9	%		-430 bps
Operating efficiency
Efficiency ratio ⁽⁷⁾		43.0	%		43.9	%		43.8	%		-10 bps			80 bps			42.9	%		43.2	%		30 bps
Operating expenses / Total average assets		3.7	%		3.6	%		3.7	%		10 bps			0 bps			3.7	%		3.6	%		-10 bps
Insurance ratios
Combined ratio of P&C ⁽⁸⁾⁽⁹⁾		92.2	%		88.8	%		88.0	%		-80 bps			-420 bps			91.9	%		89.1	%		-280 bps
Loss ratio ⁽⁹⁾		60.4	%		57.6	%		56.9	%		-70 bps			-350 bps			58.7	%		57.0	%		-170 bps
Underwriting result / net earned premiums ⁽⁹⁾		12.9	%		17.0	%		16.2	%		-80 bps			330 bps			14.3	%		16.2	%		190 bps
Capital adequacy ⁽¹⁰⁾
Tier 1 Capital (S/. Million) ⁽¹¹⁾		8,968			10,794			10,874			0.7	%		21.3	%		8,968			10,874			21.3	%
Common equity tier 1 ratio ⁽¹²⁾		9.00	%		10.20	%		10.64	%		40 bps			160 bps			9.0	%		10.6	%		160 bps
BIS ratio ⁽¹³⁾		13.89	%		15.76	%		15.56	%		-20 bps			170 bps			13.9	%		15.6	%		170 bps
Employees		33,423			33,481			33,115			-1.1	%		-0.9	%		33,423			33,115			-0.9	%

(1) Includes non-recurring income / (expense) and translation results (net of taxes).

(2) Recurring ROAE: recurring net income is used for calculations. In the equity side, adjustments are made to exclude non-recurring income (expense).

(3) Recurring ROAA: recurring net income is used for calculations.

(4) Internal overdue loans: includes overdue loans and loans under legal collection, according to our internal policy for overdue loans. Internal Overdue Ratio: Internal Overdue Loans / Total Loans

(5) Non-performing loans (NPL): Internal overdue loans + Refinanced loans. NPL ratio: NPLs / Total loans.

(6) Cost of risk: Annualized provision for loan losses / Total loans.

(7) Calculation has been adjusted, for more detail see Appendix 11.9. Efficiency ratio = [Total Expenses + Acquisition Cost - Other expenses] / [Net Interest Income + Fee Income + Net Fain on Foreign Exchange Transactions + Net Gain From Subsidiaries + Net Premiums Earned]

(8) Combined ratio= (Net claims + General expenses + Fees + Underwriting expenses) / Net earned premiums. Does not include Life insurance business.

(9) Considers Grupo Pacifico's figures before eliminations for consolidation to Credicorp.

(10) All Capital ratios are for BCP Stand-slone and based on Peru GAAP

(11) Tier 1 = Capital + Legal and other capital reserves + Accumulated earnings with capitalization agreement + Unrealized profit and net income in subsidiaries - Goodwill - (0.5 x Investment in subsidiaries) + Perpetual subordinated debt (maximum amount that can be included is 17.65% of Capital + Reserves + Accumulated earnings with capitalization agreement + Unrealized profit and net income in subsidiaries - Goodwill).

(12) Common Equity Tier I = Capital + Reserves – 100% of applicable deductions (investment in subsidiaries, goodwill, intangibles and net deferred taxes that rely on future profitability) + retained earnings + unrealized gains.

(13) Regulatory Capital / Risk-weighted assets (legal minimum = 10% since July 2011)

Credicorp and subsidiaries

Earnings contribution	Quarter								% change						YTD					% change
S/ 000	3Q15			2Q16		3Q16			QoQ			YoY			Sep 15			Sep 16		Sep 16 / Sep 15
Banco de Crédito BCP ⁽¹⁾		633,633			573,683		740,240			29.0	%		16.8	%		1,774,665			1,967,746		10.9	%
Mibanco ⁽²⁾		70,938			66,234		83,539			26.1	%		17.8	%		158,514			221,206		39.5	%
BCB		16,333			20,740		20,599			-0.7	%		26.1	%		42,421			62,169		46.6	%
Grupo Pacífico ⁽³⁾		48,498			83,305		87,196			4.7	%		79.8	%		282,599			237,925		-15.8	%
Prima AFP		40,074			39,846		41,840			5.0	%		4.4	%		123,699			121,455		-1.8	%
Credicorp Capital		10,759			26,367		19,179			-27.3	%		78.3	%		44,853			62,354		39.0	%
Atlantic Security Bank		67,792			47,999		57,220			19.2	%		-15.6	%		117,971			100,764		-14.6	%
Others ⁽⁴⁾		(9,943	)		82,253		(16,479	)		-120.0	%		N/A			(25,033	)		67,204		368.5	%
Net income Credicorp		807,146			874,192		949,794			8.6	%		17.7	%		2,361,175			2,619,615		10.9	%
Recurring net income Credicorp ⁽⁵⁾		746,173			769,013		951,907			23.8	%		27.6	%		2,192,209			2,544,185		16.1	%

Contributions to Credicorp reflect the eliminations for consolidation purposes (e.g. eliminations for transactions among Credicorp’s subsidiaries or between Credicorp and its subsidiaries)

(1) Includes Mibanco.

(2) The figure is lower than the net income of Mibanco because Credicorp owns 95.4% of Mibanco (directly and indirectly).

(3) The figure is lower than the net income before minority interest of Grupo Pacifico because Credicorp owns 98.5% of Grupo Pacifico (directly and indirectly).

(4) Includes Grupo Crédito excluding Prima (Servicorp and Emisiones BCP Latam), others of Atlantic Security Holding Corporation and others of Credicorp Ltd.

(5) Excludes non-recurring income / (expense) and translation results (net of taxes).

ROAEs *

ROAE	Quarter									YTD
	3Q15			2Q16			3Q16			Sep 15			Sep 16
Banco de Crédito BCP⁽¹⁾		23.3	%		19.4	%		23.7	%		22.4	%		21.3	%
Mibanco ⁽²⁾		22.7	%		19.8	%		23.5	%		17.4	%		21.0	%
BCB		12.5	%		14.5	%		13.8	%		11.0	%		13.8	%
Grupo Pacífico ⁽³⁾		11.7	%		16.0	%		15.0	%		22.8	%		15.1	%
Prima		30.8	%		32.6	%		30.7	%		29.2	%		27.9	%
Credicorp Capital		7.1	%		17.1	%		10.8	%		9.6	%		12.5	%
Atlantic Security Bank		42.8	%		25.8	%		27.9	%		24.6	%		17.0	%
Credicorp		21.6	%		20.4	%		20.7	%		21.9	%		19.8	%
Recurring ROAE Credicorp ⁽⁴⁾		20.2	%		18.0	%		20.8	%		20.2	%		19.5	%

* These figures differ from those previously reported; these ratios have been calculated using the total contribution of each subsidiary to Credicorp.

(1) Figures do not include the gain on sale of BCI shares reported in 1Q15. The Recurring ROAE is 23.3% in 3Q15, 19.7% in 2Q16 and 23.7% in 3Q16.

(2) ROAE including goodwill of BCP from the acquisition of Edyficar (Approximately US$ 50.7 million) was 20.4% in 3Q15, 17.9% in 2Q16 and 21.4% in 3Q16.

(3) Figures include unrealized gains or losses that are considered in Pacifico’s Net Equity from the investment portfolio of Pacifico Vida. ROAE excluding such unrealized gains was 19.1% in 2Q16 and 3Q16.

(4) Recurring ROAE = (Net income attributable to Credicorp - Non-recurring income/expenses after taxes)*4 / Average (Net equity - Non-recurring income/expenses after taxes).

Non recurring income and / or expense - Credicorp

				Quarter						YTD
				3Q15		2Q16		3Q16		Sep 15		Sep 16
Net income Credicorp					807,145		874,192		949,794		2,361,175	2,619,615
	Non-recurring
	Subsidiaries	Explanation	Affected line in the P&L		-						-	-
	Atlantic Security	- Sale of a fund position	Non-financial income		58,963		-		-		58,963	-
			Non-financial income
	Others	- BCI	- Net gain on sales of securities		-		120,199		-		-	120,199
Translation result					2,009		-15,020		-2,113		3,004	-44,769
Total non-recurring income / expense*					60,972		105,179		-2,113		168,966	75,430
Recurring net income Credicorp					746,173		769,013		951,907		2,192,209	2,544,185

* Figures net of taxes

BCP Consolidated reported a contribution to Credicorp of S/ 740 million. This represented an increase of 29% QoQ and 16.8 % YoY. This quarter’s evolution was primarily due to a QoQ significant decrease in net provisions for loan losses and in operating expenses, as well as MiBanco’s higher contribution to BCP earnings, which offset the slight decrease in NII and in non-financial income. In this context, BCP Consolidated’s ROAE for 3Q16 was 23.7%. This figure was higher than 19.4% and 22.5% posted in 2Q16 and 1Q16, respectively.

Mibanco reported a net contribution to Credicorp of S/.83.5 million and an ROAE of 23.5% at the end of 3Q16. These results indicate a QoQ increase in this entity’s contribution that was primarily attributable to higher net interest income. The evolution of NII (+4.6% QoQ) was mainly the result of loan expansion in the micro and small business segments and to the fact that these loans performed better. The internal overdue ratio and the NPL ratio improved QoQ by 20bps and 10bps respectively, which led to a drop in provisions. The operating expenses were lower this quarter (-1.6% QoQ) due to a decrease in employee salaries and benefits expense after the headcount fell. The efficiency ratio at Mibanco improved to situate at 56% at the end of 3Q16 (-320 bps QoQ).

BCP Bolivia reported a contribution of S/20.6 million in 3Q16, which represented a decrease of -0.7% QoQ. This translated into an ROAE of 13.8% in 3Q16 (vs 14.5% in 2Q16). The contribution was lower this quarter due to: (i) an 11.4% increase in operating expenses, which was associated primarily with higher employees salaries and benefits expenses and to set aside provisions for future losses due to operating risk; (ii) a decrease in non-financial income due to a lower gain on foreign exchange transactions; and (iii) an increase in the income tax provision; the aforementioned was offset by: (iii) a +5.4% increase in net interest income due to loan growth; and (iv) a -60.9% drop in provisions for total loans due to an improvement in the portfolio’s risk quality.

In 3Q16, Grupo Pacifico reported a contribution of S/87.2 million, which represented an increase of 4.7% QoQ. This growth was due primarily to higher net financial income; an increase in net translation gain; and higher income from the agreement with Banmedica. Nevertheless, this effect was mainly offset by higher general expenses; higher expenses for income taxes; and a lower underwriting result. The drop in the underwriting result was due to higher expenses for fees; an increase in net claims; and growth in underwriting expenses, which was partially offset by higher net earned premiums.

In 3Q16, Prima AFP’s contribution to Credicorp was S/. 41.8 million, which represented an increase of +5.0% QoQ and +4.4% YoY that translated into an ROAE of 30.7% for the quarter. Operating income posted growth +3.7% QoQ due to lower expenses. The operating efficiency ratio for 3Q16 was 42.2%, which fell below the figure posted in 2Q16 (44.1%). This improvement was due to lower general and marketing expenses this quarter. Prima AFP’s funds under management totaled S/ 43,592 million, which represented a 31.8% share of total funds in the system.

Credicorp Capital reported a contribution to Credicorp of S/. 19.2 million in the third quarter of the year (+78.3% YoY). Non-financial income totaled S/. 143 million (+12.7% QoQ), with noteworthy growth in the net gain on foreign exchange transactions (+103% QoQ) and in the net gain on sales of securities (+72% QoQ). The good evolution of income was due primarily to the boost provided by the Capital Markets business, which posted excellent results for fixed income and currency trading transactions and for sales of equity and fixed income instruments. Corporate Finance obtained important mandates for financing and capital market transactions as well as for private investment funds, structured products and mutual funds in the Asset Management business.

ASB reported a contribution to Credicorp of S/. 57.2 million in 3Q16. This result tops that reported in 2Q16, S/48MM. ROAE was situated at 27.9%, which topped 2Q16’s figure (25.8%). The efficiency ratio was situated at 15.6%, better than the 17.6% posted on 2Q16.

Interest-earning assets (IEA)

The QoQ and YoY evolution reveal that IEAs mix has reconfigured to favor more profitable assets, in particular loans, which are the most profitable IEA. Investments available for sale and trading securities also expanded QoQ. Loan expansion was due primarily to growth in Middle-Market Banking, BCP Bolivia, and within Retail Banking, to an increase in the SME-Business and Mortgage segments.

Interest earning assets	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
BCRP and other banks		27,845,765		27,776,938		23,394,407		-15.8	%		-16.0	%
Interbank funds		109,592		54,950		207,518		277.6	%		89.4	%
Trading securities		2,608,267		3,383,545		4,609,582		36.2	%		76.7	%
Investments available for sale		19,152,134		18,188,377		19,949,532		9.7	%		4.2	%
Investment held to maturity		3,161,475		4,288,379		4,243,603		-1.0	%		34.2	%
Total loans		87,842,690		91,655,366		94,319,220		2.9	%		7.4	%
Total interest earning assets		140,719,923		145,347,555		146,723,862		0.9	%		4.3	%

1.1

Evolution of IEA

Total loans, which are the most profitable asset, increased their share of IEA (64.3% in 3Q16 vs. 63.1% in 2Q16). This improved the return on these assets, as we will explain later in the report.

Although loans reported a nominal QoQ increase of +2.9%, currency adjusted growth rate was situated at only +1.5% in a context in which the US Dollar appreciated +3.37% QoQ, and the level of dollarization reached 39.8%. The YoY analysis continues to reflect the slowdown in loan growth, which was situated at +7.4%. This figure fell below the +16.8% reported in 1Q, and the +9.8% in 2Q.

In a context of low loan growth it is important to note that:

(i)

Middle-Market banking was more dynamic this quarter, posting loan growth of +3.8% after having contracted two consecutive quarters (-2.2% in 1Q and -3.3% in 2Q).

(ii)

Expansion of +1.8% QoQ in the Mortgage segment, which registered virtually no growth the previous quarter.

The aforementioned helped offset the contraction in loans in Corporate Banking, the segment that has led loan expansion at Credicorp for the past 3 years.

Investments increased their share of total IEAs, going from 17.8% in 2Q16 to 19.6% in 3Q16. This was due primarily to the situation at BCP, which posted growth in (i) investments available for sale (+9.7% QoQ), which was due mainly to an increase in the balance for BCRP Certificates of Deposit (CD) and in foreign government bonds; and (ii) trading securities (+36.2% QoQ), which was primarily associated with an increase in the volume of BCRP CDs. The aforementioned offset the decrease in investments held to maturity after Peruvian governments bonds at BCP matured.

BCRP and other banks registered a decrease in its share of total IEAs, which fell from 19.1% in 2Q16 to 15.9% in 3Q16 after this account posted a drop (primarily registered at BCP). The aforementioned was due mainly to the fact that reserve requirements, which are set by BCRP, decreased in light of (i) the drop in total obligations subject to reserve requirements (TOSE), and (ii) a decrease in the average reserve rate, which went from 30.3584% in June 2016 to 26.0068% in September 2016.

In the YoY analysis, +4.3% growth in IEAs was due mainly to:

(i)

Growth of +7.4% in loans, which was led by Corporate Banking and BCP Bolivia and by Mortgage and SME-Business loans in Retail Banking. In 3Q16, currency adjusted growth rate was situated at +5.1%, which was in line with the +5.5% appreciation in the Sol;

(ii)

A high level of trading securities that was associated with (i) BCP, in line with higher balances of BCRP CDs and foreign government bonds with investment grades; and (ii) Credicorp Capital, given higher investments in debt instruments.

(iii)

A higher level of investments held to maturity at BCP, which was mainly attributable to higher balances of restricted bonds.

The aforementioned offset the -16.0% drop in BCRP and in other banks due to a decrease in reserve requirements, as explained above.

1.2

Credicorp Loans

1.2.1

Loan evolution by business segment

Loan evolution measured in average daily balances by segment

	TOTAL LOANS
	Expressed in million soles						% change						% Part. in total loans
	3Q15		2Q16		3Q16		QoQ			YoY			3Q15			3Q16
BCP Stand-alone		72,393		76,854		77,295		0.6	%		6.8	%		83.4	%		82.5	%
Wholesale Banking		39,015		41,494		41,178		-0.8	%		5.5	%		44.9	%		44.0	%
Corporate ⁽¹⁾		25,477		28,217		27,392		-2.9	%		7.5	%		29.3	%		29.2	%
Middle - Market		13,538		13,277		13,786		3.8	%		1.8	%		15.6	%		14.7	%
Retail Banking		32,811		34,700		35,413		2.1	%		7.9	%		37.8	%		37.8	%
SME - Business		3,718		4,230		4,460		5.4	%		20.0	%		4.3	%		4.8	%
SME - Pyme		7,102		7,422		7,598		2.4	%		7.0	%		8.2	%		8.1	%
Mortgage		11,819		12,383		12,609		1.8	%		6.7	%		13.6	%		13.5	%
Consumer		6,247		6,396		6,446		0.8	%		3.2	%		7.2	%		6.9	%
Credit Card		3,925		4,269		4,299		0.7	%		9.5	%		4.5	%		4.6	%
Others ⁽²⁾		567		661		704		6.5	%		24.1	%		0.7	%		0.8	%
Mibanco ⁽³⁾		7,463		8,002		8,158		1.9	%		9.3	%		8.6	%		8.7	%
Bolivia		4,078		4,864		5,159		6.1	%		26.5	%		4.7	%		5.5	%
ASB		2,873		3,007		3,081		2.5	%		7.2	%		3.3	%		3.3	%
BAP's total loans ⁽¹⁾		86,808		92,727		93,693		1.0	%		7.9	%		100.0	%		100.0	%

For consolidation purposes, loans generated in FC are converted to LC.

(1)

Figures differ from previously reported, as a result of eliminations for consolidation.

(2)

Includes Work out unit, and other banking.

(3)

Includes Edyficar and Mibanco.

	Highest growth in volumes

	Largest contraction in volumes

Loan evolution by currency - average daily balances

	DOMESTIC CURRENCY LOANS ⁽¹⁾												FOREIGN CURRENCY LOANS ⁽¹⁾												% part. by
	(Expressed in million Soles)												(Expressed in million USD)												currency 3Q16
	3Q15		2Q16		3Q16		QoQ			YoY			3Q15		2Q16		3Q16		QoQ			YoY			LC			FC
BCP Stand-alone		43,281		49,461		48,768		-1.4	%		12.7	%		9,053		8,272		8,433		1.9	%		-6.8	%		63.1	%		36.9	%
Wholesale Banking		18,138		21,819		20,606		-5.6	%		13.6	%		6,492		5,941		6,082		2.4	%		-6.3	%		50.0	%		50.0	%
Corporate ⁽¹⁾		11,884		14,735		13,669		-7.2	%		15.0	%		4,227		4,071		4,057		-0.3	%		-4.0	%		49.9	%		50.1	%
Middle-Market		6,254		7,084		6,937		-2.1	%		10.9	%		2,265		1,870		2,025		8.3	%		-10.6	%		50.3	%		49.7	%
Retail Banking		24,986		27,419		27,879		1.7	%		11.6	%		2,434		2,199		2,227		1.3	%		-8.5	%		78.7	%		21.3	%
SME - Business		1,559		2,027		2,121		4.7	%		36.0	%		671		665		692		3.9	%		3.0	%		47.6	%		52.4	%
SME - Pyme		6,541		6,991		7,184		2.8	%		9.8	%		174		130		122		-6.2	%		-29.9	%		94.6	%		5.4	%
Mortgage		8,245		9,101		9,266		1.8	%		12.4	%		1,112		991		989		-0.3	%		-11.1	%		73.5	%		26.5	%
Consumer		5,132		5,479		5,493		0.2	%		7.0	%		347		277		282		1.8	%		-18.7	%		85.2	%		14.8	%
Credit Card		3,508		3,821		3,815		-0.2	%		8.8	%		130		135		143		5.9	%		10.3	%		88.7	%		11.3	%
Others ⁽¹⁾		158		223		284		27.3	%		79.9	%		127		132		124		-6.1	%		-2.4	%		40.3	%		59.7	%
Mibanco ⁽²⁾		6,861		7,473		7,638		2.2	%		11.3	%		187		160		154		-4.0	%		-17.9	%		93.6	%		6.4	%
Bolivia		-		-		-		-			-			1,268		1,469		1,525		3.9	%		20.3	%		-			100.0	%
ASB		-		-		-		-			-			894		908		911		0.3	%		1.9	%		-			100.0	%
Total loans ⁽¹⁾		50,142		56,934		56,406		-0.9	%		12.5	%		11,402		10,809		11,023		2.0	%		-3.3	%		60.2	%		39.8	%

(1)

Figures differ from previously reported, as a result of eliminations for consolidation.

(2)

Includes Work out unit, and other banking.

(3)

Includes Edyficar and Mibanco.

	Highest growth in volumes

	Largest contraction in volumes

Loans measured in average daily balances can reflect a trend or variation to a greater degree than quarter-end balances given that the latter often include payments in full or loans placed at the end of the quarter, which affect average daily loan balances to a lesser extent.

QoQ growth in loans measured in average daily balances was due mainly to loan expansion in Middle-Market Banking, BCP Bolivia, Mibanco, and in SME-Business and Mortgage, which offset the decrease posted by Corporate Banking.

Wholesale Banking at BCP Standalone posted a contraction QoQ due to a decrease in average daily balances in Corporate Banking, which was partially offset by growth in Middle-Market Banking:

(i)

The QoQ contraction in loans in Corporate Banking was reported mainly by the LC portfolio and was attributable to a decrease in financing for working capital and long term loans due to aggressive competition in pricing for this segment.

(ii)

QoQ growth in loans for Middle-Market Banking, which was wholly associated with the FC portfolio and in line with an increase in working capital and foreign trade loans. The aforementioned was accentuated by the depreciation of +3.4% QoQ of the Sol against the US Dollar. Growth in the FC portfolio offset the drop originated by the LC portfolio.

In terms of the Retail Banking portfolio at BCP Stand-alone, it is important to consider the seasonality in some business segments that leads to more dynamic activity in loan placement in the second half of every year. The +2.1% expansion in Retail Banking loans was mainly due to growth in LC loans, primarily in the SME-Pyme and Mortgage segments and to a much lesser degree in the SME-Business and Consumer segments.

Variations by business segment within Retail Banking were due to:

(i)

The SME-Pyme segment, which posted an increase of +2.4% QoQ. The aforementioned was due to an increase in loans issued in LC, which was in line with seasonality due to campaigns in the second half of the year. The aforementioned offset the contraction in FC loans.

In the YoY analysis, loans grew +7.0%, which was in line with the country’s economic growth.

(ii)

Loans in the Mortgage Segment increased due to expansion in the LC portfolio, which was mainly associated with growth in the BCP Traditional Mortgage product. The FC portfolio contracted -0.3% QoQ due to quarterly amortizations and to the portfolio’s de-dollarization strategy.

It is important to note that the FC stock reported a loan to value (LTV) of 53%, which is below the LTV registered for the total portfolio, which was situated at 58%. Additionally, disbursements for mortgage loans continue to be made primarily in LC (reflecting 100% of total loans posted for most months).

(iii)

The SME-Business segment reported growth of +5.4% QoQ in loans due to an increase in loans in both LC and FC.

(iv)

The Consumer segment reported slight growth QoQ due to an increase in LC and FC loans, which was in line with growth in mortgage back consumer loans and car loans.

(v)

The Credit Card segment posted slight growth of +0.7% QoQ. Slower growth in Credit Cards reflects the adjustment implemented in the risk policy after the higher-than-expected delinquency registered since 4Q15.

BCP Bolivia reported an increase in loan dynamism, posting loan growth, measured in average daily balances, of +6.1% QoQ vs +2.0% in 2Q16. This evolution was due to an increase in loans in the Wholesale Banking segment, which was attributable to expansion in Corporate Banking and Middle-Market Banking. Consequently, Wholesale Banking loans went from representing 41.3% of the total portfolio at the end of 2Q16 to accounting for 42.2% at the end of 3Q16. The Retail Banking segment increased QoQ due to an expansion in mortgage loans after the government set lower interest rates for financing for the regulated portfolio (productive sector and low-income housing), which are required to represent 60% of total loans by the end of 2018.

Mibanco’s average daily loan balances increased +1.9% QoQ. This reflects on-going recovery at Mibanco after the acquisition and portfolio clean-up processes. It is important to note that 2H tends to be the most dynamic, particularly with regard to clients in the micro and small business segments. Nevertheless, Mibanco’s focus is still on prioritizing portfolio quality rather than speeding-up loan growth due to the current macroeconomic context. As such, the speed of origination is still below this segment’s potential.

ASB reported growth of +2.5% QoQ in average daily balances and +6.1% in quarter-end balances. It is important to note that ASB maintains a good risk profile, which is reflected in the quality of its portfolio and the fact that its loans are 100% guaranteed.

Finally, the YoY analysis reveals growth of +7.9% in loans that was led first by Retail Banking and followed by Wholesale Banking, BCP Bolivia and Mibanco.

1.2.2

Evolution of dollarization by segment

YoY evolution of dollarization by Credicorp segment ^{(1) (2)}

(1) Average daily balances.

(2) The participation of Credicorp’s portfolio is calculated including BCP Bolivia and ASB, but the chart shows only BCP Stand-alone and Mibanco’s loan books.

An analysis of the YoY evolution of dollarization shows that Credicorp’s FC portfolio represents 39.8% of total portfolio vs. 42.2% in 3Q15. BCP Standalone continues to dedollarize but at a lower rate than that seen throughout 2015. In this context, BCP Standalone reported a loan dollarization level of 36.9% in 3Q16 vs. 40.2% in 3Q15.

1.2.3

BCRP de-dollarization plan at BCP Stand-alone

At the end of 2014, BCRP established a Loan De-dollarization Program. Among other measures taken, goals were set for progressive de-dollarization by the end of June 2015, December 2015 and December 2016 for the total portfolio in FC with certain exceptions and for the joint mortgage-car loan portfolio. The balance required at the end of December 2016 was adjusted in the following way:

(i)

In terms of the total FC portfolio, the dollarized balance at the end of December 2016 must represent no more than 80% of the total loan balance at the end of September 2013 (excluding certain loans); and

(ii)

With regard to the FC mortgage-car portfolio, the dollarization level at the end of 2016 must not represent more than 70% of the same balance at the end of February 2013.

The bases for both goals refer to quarter-end balances in local accounting but the level of compliance is measured by using average daily balances from the month that the report was produced.

¹ This total portfolio excludes loans for foreign trade and loans issued for a tenure greater than 3 years and which exceed US$ 10 million that were issued as of January 1, 2015.

The following figures show the percentage of compliance at the end of September 2016:

Reduction target for total loans in FC

- at the end of September 2016 -

Reduction target for “Mortgage & Car” loans in FC

- at the end of September 2016 -

As is evident in the figures, BCP Stand-alone has achieved a comfortable compliance level for both of the loan portfolios that are subject to the de-dollarization program.

1.2.4

Market share in loans

Market share in Peru ⁽¹⁾

(1) At the end of August 2016.

(2) Mortgage segment includes Mibanco's market share of 1% as of September 2015, June and August 2016.

(3) Consumer segment includes Mibanco's market share of 2.1% as of September 2015, and 2.2% as of June and August 2016.

At the end of August 2016, BCP Stand-alone continued as the leader with a market share of 29.8%, which was significantly higher than the level posted by its closest competitor.

Corporate Banking also continued as the leader despite posting a reduction QoQ, going from 44.5% in June 2016 to 43.0% in August 2016. This was in line with a contraction in its portfolio measured in average daily balances. Middle-Market Banking increased its market share QoQ, going from 33.6% in March 2016 to 34.5% in August 2016. This growth was due mainly to loan growth of +3.8% QoQ measured in average daily balances.

In terms of Retail Banking, BCP reported a relatively stable market share and continued to lead the market in the vast majority of its segments with the exception of SME-Business, where it ranked second.

Mibanco’s share (including Edyficar) held steady at 3.1% for both June 2016 and August 2016. An analysis of the SME-Pyme segment in Peru reveals that Mibanco increased its share to 22.5% at the end of August 2016 compared to 21.1% in September 2015 and 22.3% in June 2016.

Finally, BCP Bolivia posted stable figures for market share QoQ and YoY (9.1% at the end of August 2016) and continued to be ranked fourth in the Bolivian Financial System.

Funding Sources

Total funding at Credicorp increased slightly QoQ. This was mainly due to growth in core deposits (Savings and non-interest bearing demand deposits) and, to a lesser extent, to Due to Banks and Correspondents. The aforementioned offset the drop in interest bearing demand deposits and BCRP instruments. Credicorp’s funding cost increased +13 bps QoQ, which was primarily attributable to an increase in volumes in local currency, whose rates are higher in comparison with rates in foreign currency.

Funding	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Non-interest bearing demand deposits		23,240,530		23,194,081		23,684,449		2.1	%		1.9	%
Interest bearing Demand deposits		5,885,143		8,443,396		5,530,717		-34.5	%		-6.0	%
Saving deposits		22,794,914		25,205,462		26,015,226		3.2	%		14.1	%
Time deposits		27,688,032		25,764,437		26,515,785		2.9	%		-4.2	%
CTS deposits(1)		6,535,695		6,997,706		6,611,956		-5.5	%		1.2	%
Interest payable		282,393		331,899		351,479		5.9	%		24.5	%
Total deposits		86,426,707		89,936,981		88,709,612		-1.4	%		2.6	%

Due to banks and correspondents		9,737,111		8,931,350		9,790,822		9.6	%		0.6	%
BCRP instruments		11,863,340		11,305,771		10,798,751		-4.5	%		-9.0	%
Bonds and subordinated debt		16,016,573		15,255,588		15,571,172		2.1	%		-2.8	%
Other liabilities(2)		13,010,791		12,519,684		14,181,411		13.3	%		9.0	%

Total funding		137,054,522		137,949,374		139,051,768		0.8	%		1.5	%

(1) Severance indemnity deposits.

(2) Includes acceptances outstanding, reserves for property and casualty claims, reserve for unearned premiums, reinsurance payable and other liabilities.

2.1

Funding Structure

Evolution of the funding structure and cost – BAP

(1) Includes acceptances outstanding, reserve for property and casualty claims, reserve for unearned premiums, reinsurance payable and other liabilities.

The figure for Evolution of Credicorp’s funding structure and cost was calculated with quarter-end balances.

The share of Total deposits fell -150 bps QoQ and grew +60 bps YoY (62.9% in 3Q15, 65.0% in 2Q16 and 63.5% in 3Q16) and continued to represent Credicorp’s main source of funding. The deposit structure shows that the shares of Savings and Time Deposits have increased, which was attributable to large-scale campaigns at BCP Stand-alone and Mibanco respectively.

Bonds and sovereign debt posted a slight increase in share, which was mainly due to a +3.37% QoQ appreciation of the US Dollar against the Sol and to a lesser extent, to a new issuance in LC at BCP Standalone in the month of September.

BCRP instruments fell QoQ due to an increase in maturities at BCP Standalone and to a lesser extent at Mibanco. This quarter, BCRP do not conducted new auctions.

Due to Banks and Correspondents registered a QoQ increase that was attributable to a higher level of repurchase agreements, particularly in FC, at the BCP Stand-alone subsidiary.

2.1

Deposits

Deposits	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Non-interest bearing demand deposits		23,240,530		23,194,081		23,684,449		2.1	%		1.9	%
Interest bearing Demand deposits		5,885,143		8,443,396		5,530,717		-34.5	%		-6.0	%
Saving deposits		22,794,914		25,205,462		26,015,226		3.2	%		14.1	%
Time deposits		27,688,032		25,764,437		26,515,785		2.9	%		-4.2	%
CTS deposits ⁽¹⁾		6,535,695		6,997,706		6,611,956		-5.5	%		1.2	%
Interest payable		282,393		331,899		351,479		5.9	%		24.5	%
Total deposits		86,426,707		89,936,981		88,709,612		-1.4	%		2.6	%

(1) Severance indemnity deposits.

Total deposits fell QoQ in line with a significant drop in interest bearing demand deposits at BCP Standalone and, to a lesser extent, to a seasonal decline in CTS deposits this quarter.

The contraction in interest-bearing demand deposits at BCP Standalone was associated with current accounts held by institutional clients that were originated in 1Q16.

CTS Deposits reported a drop of -5.5% QoQ due to seasonal growth in 2Q16. CTS payments are made in May, which leads to a subsequent contraction every 3Q as a result of the withdrawal of the surplus.

The aforementioned was partially offset by the QoQ increase in (i) Savings deposits, which increased +3.2% QoQ in LC, in line with large-scale campaigns at BCP Standalone to promote savings accounts. Mibanco also reported a higher level of savings deposits; (ii) Time Deposits, due to higher deposits by institutional clients at Mibanco and BCP Bolivia; and iii) Non-interest bearing Deposits (+2.1% QoQ).

In YoY terms, the +2.6% increase in total deposits was primarily due to growth at BCP Bolivia and Mibanco, where time deposits, followed by savings Deposits, led expansion.

2.2.1

Deposit dollarization

Deposit Dollarization ⁽¹⁾– BAP

(1) Q-end balances.

The level of deposit dollarization at Credicorp fell and was situated at 56.3%. This was due primarily to a drop in FC deposits at BCP Stand-alone. The aforementioned was partially offset by an increase in FC deposits at BCP Bolivia and ASB.

BCP Stand-alone- Deposit Dollarization measured in average daily balances

An analysis of the QoQ evolution of the four types of Deposits at BCP Stand-alone in terms of average daily balances shows a decrease in the dollarization level of (i) Time Deposits due to a specific withdrawal in Middle-Market Banking, which reflected the aggressive competition in the Peruvian financial system; and (ii) demand deposits, in line with a decrease in the volume of interest bearing deposits in FC by institutional clients.

Savings deposits posted no change in their level in the currency mix, which was in line with a decrease in this type of deposit in FC at BCP Standalone and with an increase in LC deposits at BCP Standalone and Mibanco.

2.2.2

Market share in Deposits

Market share in Peru

(1) Demand deposits includes Mibanco's market share of 0.2% at the end of September 2015, June 2016 and August 2016.

(2) Savings deposits includes Mibanco's market share of 1.3% at the end of September 2015 and 1.2% at the end of June 2016 and August 2016.

(3) Time deposits includes Mibanco's market share of 4.9% at the end of September 2015, 5.5% at the end of June 2016 and 6.0% at the end of August 2016.

(4) CTS or Severance indemnity deposits includes Mibanco's market share of 1.2% at the end of September 2015, June 2016 and August 2016.

At the end of August 2016, Credicorp’s banking subsidiaries in Peru, BCP and Mibanco, continued to lead the market for different types of deposits with a share of 31.9%, which fell slightly below the 32.9% posted at the end of September 2015. It is important to note that the result posted in August 2016 was situated approximately 12 percentage points above the level reported by its closest competitor.

The YoY analysis reveals a slight contraction in all deposit types due to aggressive competition in the past few months. Nevertheless, it is important to note the YoY increase in Mibanco’s market share of term deposits, which rose from 4.9% at the end of September 2015 to 6.0% at the end of September 2016.

BCP Bolivia continued to rank fifth in the Bolivian financial system with a market share of 9.2% at the end of September 2016 (compared to 8.9% at the end of June 2016). This increase was due to growth in time deposits.

2.3

Other funding sources

Other funding sources	Quarter						% Change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Due to banks and correspondents		9,737,111		8,931,350		9,790,822		9.6	%		0.6	%
BCRP instruments		11,863,340		11,305,771		10,798,751		-4.5	%		-9.0	%
Bonds and subordinated debt		16,016,573		15,255,588		15,571,172		2.1	%		-2.8	%
Other liabilities⁽¹⁾		13,010,791		12,519,684		14,181,411		13.3	%		9.0	%
Total Other funding sources		50,627,815		48,012,393		50,342,156		4.9	%		-0.6	%

(1) Includes acceptances outstanding, reserves for property and casualty claims, reserve for unearned premiums, reinsurance payable and other liabilities.

The total of Other Funding Sources increased 4.9% QoQ. This was mainly due to growth in Other Liabilities, which was in turn attributable to a transaction that took place in the last week of 3Q16 and was liquidated at the beginning of 4Q16. This transaction consisted of an exchange of sovereign bonds of the Peruvian government to obtain sovereign bonds with longer tenures.

The increase posted in Due to Banks and Correspondents was a result of a higher level of repurchase agreements between BCP Stand-alone and other banks.

The level of Bonds and Subordinated Debt increased QoQ. This was mainly attributable to BCP Stand-alone due to i) +3.37% QoQ appreciation of the US Dollar versus the Sol and to a lesser extent to ii) a new issuance in LC through BCP Standalone in the month of September.

BCRP instruments posted a drop QoQ due to maturities related to last year’s operations.

The YoY analysis reflects a slight decrease in the total of other funding sources due to a reduction in instruments with the Central Bank and in Bonds and subordinated debt. This was offset by an increase in other liabilities and, to a lesser extent, by expansion in Due to Banks and Correspondents. The significant increase in other liabilities reflects the exchange of sovereign bonds conducted by the Peruvian government.

2.4

Loan / Deposit (L/D)

Loan/Deposit Ratio per Subsidiary

The L/D ratio rose QoQ to 106.3% due to an increase in this ratio at the main banking business subsidiary, BCP Standalone, and to a lesser extent at ASB. The aforementioned was due to the -1.4% QoQ drop in total deposits in a scenario in which loans registered a more dynamic growth this quarter than last quarter (+2.9% QoQ).

In the YoY analysis, the L/D ratio increased +470 bps. This was mainly attributable to BCP Standalone.

Loan / Deposit ratio by currency

Local currency	Foreign currency

The analysis of the L/D ratio by currency shows a drop in the L/D ratio in LC at Credicorp. This was mainly associated with a drop in BCP Standalone’s ratio, which was attributable to an increase in LC deposits.

2.5

Funding Cost

Credicorp’s funding cost increased +13 bps QoQ given the growth in interest expenses (+5.0% QoQ), which was accentuated by the drop in average total liabilities (-1.3% QoQ). The increase in interest expenses was mainly attributable to higher interest expenses on Bonds and Subordinated Notes, which was in turn due to an increase in the Libor (3-month and 6-month), and to growth in time deposits, which is have a high cost.

The following table shows the funding cost by subsidiary:

Funding cost by banking subsidiary

	BCP Stand-alone			Mibanco			BCP Bolivia			ASB			Banking business			Credicorp⁽¹⁾
3Q15		1.91	%		4.28	%		2.03	%		2.38	%		2.11	%		1.97	%
2Q16		1.99	%		4.93	%		1.96	%		2.19	%		2.21	%		2.02	%
3Q16		2.07	%		5.06	%		1.99	%		2.23	%		2.30	%		2.15	%

(1)

Includes banking business results, other subsidiaries and consolidation adjustments.

The funding cost at Credicorp increased +13 bps QoQ, which reflects the same trend of the 4 banking subsidiaries.

The funding cost at BCP Stand-alone increased +8 bps QoQ due to growth in interest expenses on Bonds and Subordinated Notes and, to a lesser extent, to an increase in the volume of savings deposits. The aforementioned was accentuated by a contraction in the average of total liabilities (-2.3% QoQ) due to a drop in the total deposit volume.

Mibanco’s funding cost has been under more pressure since 4Q15. In 3Q16, this cost posted growth of +13 bps QoQ. This expansion was primarily attributable to higher interest expenses for time deposits, which was in line with the large-scale campaigns conducted in 2Q16 and 3Q16.

The funding cost at BCP Bolivia increased +3 bps QoQ due to growth in interest expenses for time deposits.

ASB posted growth in its funding cost due to a QoQ drop in average liabilities. This was due to the fact that in 1Q16, the level of total liabilities was higher than in 2Q16 and in 3Q16. It is also important to note that interest expenses at ASB fell QoQ due to a drop in due to banks in the last two quarters of 2016.

The following graphs show the funding cost of our Banking business²by funding source:

June 2016	September 2016

(1)

Deposits include Demand, Savings, Severance indemnity (CTS) and Time Deposits.

(2)

It mainly includes outstanding acceptances and other payable accounts

2.6

Mutual Funds

Mutual funds	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Mutual funds in Peru		8,728,789		9,374,929		10,581,802		12.9	%		21.2	%

Mutual funds in Bolivia		437,792		520,584		543,444		4.4	%		24.1	%

Total mutual funds		9,166,581		9,895,513		11,125,246		12.4	%		21.4	%

Mutual funds at Credicorp Capital Fondos Peru reported a significant increase QoQ and YoY. QoQ growth was due primarily to an increase in funds from corporate clients. This allowed the organization to post a market share of 42.7% at the end of September 2016 (vs. 42.3% at the end of June 2016) and maintain leadership in the Peruvian market.

In the YoY analysis, Credicorp Capital Fondos Peru reported growth of +21.2% in assets under management. If we exclude the effect of the appreciation of the US Dollar against the Sol, we find that YoY growth was situated at +14.9%.

The portfolio managed by Credifondo Bolivia increased QoQ. This was mainly due to the effect of the appreciation of the Bolivian against the Sol (3.37% QoQ) and, to a lesser extent, to an increase of the number of clients and growth in investment volumes.

Credifondo Bolivia posted a market share of 12.1% at the end of September 2016 and situated among the 5 largest competitors in the Bolivian market.

In YoY terms, Credifondo Bolivia reported expansion of +24.1% in FuM. If we exclude the effect of the appreciation of the Boliviano against the Sol, the increase was situated at +17.6%.

² Includes BCP Stand-alone, Mibanco, BCP Bolivia and ASB.

Portfolio quality and Provisions for loan losses

In 3Q16, all risk quality ratios improved. The cost of risk declined -46 bps reaching 1.65%, the lowest level recorded in the last three years. The internal-overdue-loan ratio and non-performing-loan ratio decreased -6 and -3 bps, respectively.

Portfolio quality and Provisions for loan losses	Quarter									% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY
Gross Provisions		(497,077	)		(583,863	)		(516,388	)		-11.6	%		3.9	%
Loan loss recoveries and reversions		52,652			99,952			127,302			27.4	%		141.8	%
Provision for loan losses, net of recoveries		(444,425	)		(483,911	)		(389,086	)		-19.6	%		-12.5	%
Cost of risk ⁽¹⁾		2.02	%		2.11	%		1.65	%		-46 bps			-37 bps
Provisions for loan losses / Net interest income		23.8	%		25.4	%		19.9	%		-555 bps			-395 bps
Total loans		87,842,690			91,655,366			94,319,220			2.9	%		7.4	%
Allowance for loan losses		3,674,654			3,994,390			4,084,178			2.2	%		11.1	%
Write-offs		442,767			458,686			398,410			-13.1	%		-10.0	%
Internal overdue loans ⁽²⁾		2,256,655			2,611,949			2,627,587			0.6	%		16.4	%
Refinanced loans		727,014			751,284			807,904			7.5	%		11.1	%
Non-performing loans (NPLs) ⁽³⁾		2,983,669			3,363,233			3,435,491			2.1	%		15.1	%
Delinquency ratio over 90 days		1.88	%		2.05	%		2.12	%		7 bps			24 bps
Internal overdue ratio		2.57	%		2.85	%		2.79	%		-6 bps			22 bps
NPL ratio		3.40	%		3.67	%		3.64	%		-3 bps			24 bps
Coverage ratio of Internal overdue loans		162.8	%		152.9	%		155.4	%		251 bps			-740 bps
Coverage ratio of NPLs		123.2	%		118.8	%		118.9	%		10 bps			-430 bps

(1) Annualized provisions for loan losses / Total loans.

(2) Includes overdue loans and loans under legal collection.

(3) Non-performing loans include past-due loans and refinanced loans.

3.1 Provisions for loan losses

Provision for loan losses net of recoveries and reversals fell -19.6% QoQ. This was due primarily to:

(i)

Lower gross provisions at BCP, BCP Bolivia and Mibanco due mainly to an improvement in portfolio quality and,

(ii)

An increase in the level of recoveries and reversals at BCP. This mainly entailed recoveries in the written-off portfolio for the Consumer and Middle-Market Banking segment and to reversals of provisions for Corporate Banking.

The aforementioned, coupled with loan growth, translated into a drop of -46 bps QoQ and -37 bps YoY in the cost of risk³, which reflected the positive results obtained from the adjustments made to our risk models and the new risk appetite that the organization has adopted for the riskiest segments.

The coverage ratio for the internal overdue loans increased QoQ due to higher growth in the allowance for loan losses than in the overdue portfolio. The coverage ratio for the non-performing loans remained relatively stable.

³ Provisions ratio for doubtful collections annualized for total loans.

Portfolio quality & Cost of risk

(1) Cost of risk = Annualized provisions for loan losses / Total loans.

In the YoY analysis, provisions for loan losses fell -12.5% due to an increase in recoveries and reversals in 3Q16, which offset growth in gross provisions YoY. The aforementioned, coupled with YoY growth in loans measured in quarter-end balances, led to a -37 bps drop YoY in the cost of risk.

Coverage for both the internal overdue loans and the non-performing loans fell YoY; nevertheless, both coverage ratios are within the levels set by the organization in its risk policy.

Given the seasonality of loans, the YoY analysis reveals an improvement in the cost of risk; however, the delinquency ratios posted less favorable levels due to the impact of loans with real estate collateral in the SME-Business, SME-Pyme and Mortgage segments.

3.2

Portfolio Quality

Prior to analyzing the evolution of traditional delinquency ratios (internal overdue ratio and non-performing ratio), it is important to note that these indicators continue to be distorted by the presence of real estate collateral (commercial properties). The aforementioned has meant that loans which are more than 150 days overdue cannot be written-off despite the fact that they are fully provisioned given that it is necessary to first undergo a judicial process to liquidate and reposes the collateral, which takes four years on average.

It is important to remember that loans are more dynamic in the second semester (2H) in general and in the SME-Pyme and Mibanco segments in particular given that the main financing campaigns for Christmas are held in 2H and these short-term loans are paid off in 1H the following year.

In this context, the internal overdue portfolio posted a drop of -6 bps QoQ to situate at 2.79% in 3Q16. This was due primarily to lower growth in internal-overdue loans (+0.6% QoQ) than in total loans (+2.9% QoQ). Expansion in internal overdue loans was mainly associated with the Mortgage and SME-Pyme segments.

Non-performing loans (which includes refinanced loans) grew +2.1% QoQ. This was mainly due to growth in the refinanced portfolio (+7.5% QoQ). Despite the aforementioned, the non-performing ratio fell -3 bps QoQ, which was in line with higher loan growth.

In the YoY analysis, both the internal overdue loan ratio and the non-performing loan ratio posted growth. This was due mainly to higher growth of internal overdue loans than that of loans.

The following figure shows the evolution of delinquency ratios by business and product:

Internal overdue ratio by segment

3.2.1 Delinquency ratios by business segment

Wholesale Banking – Portfolio quality and Cost of risk

(i)

The internal overdue ratio for Wholesale Banking contracted -5 bps QoQ and situated at 0.28%. The NPL ratio increased 1 bps during the same period. The cost of risk was situated at -0.05% due to provisions reversals in Corporate Banking and to recoveries in the written-off portfolio in Middle-Market Banking.

In the YoY analysis, the internal overdue loan ratio held steady while the NPL ratio grew +19 bps due to an increase in the volume of refinanced loans.

BCP Bolivia – Portfolio quality and Cost of risk

(ii)

BCP Bolivia reported an improvement in its internal overdue loan and NPL ratios at the end of 3Q16, which fell -12 bps and -10 bps QoQ respectively. The improvement in the delinquency ratios reflects the contraction in the internal overdue portfolio and an acceleration in loan growth. The contraction in the internal overdue portfolio is associated with write offs particularly in uncollateralized consumer loans. The improvement in portfolio quality and the subsequent contraction in provisions, coupled with loans expansion, had a positive impact on the cost of risk, which fell -88 bps QoQ.

In the YoY analysis, the delinquency indicator grew, which was in line with growth in the internal overdue portfolio in the mortgage and SME-Pyme segments due to regulatory changes in 2014. In the SME-Pyme segment in particular, these changes limited the possibility of renewing loans, which meant that clients had to become accustomed to new debt levels. Nevertheless, the cost of risk fell -45 bps YoY due to the drop in YoY provisions

SME-Business – Portfolio quality and Cost of risk

(1) Data before March 2014 is not available

(iii)

An analysis of the portfolio in the SME-Business segment reveals a significant reduction of -28 bps QoQ in the internal overdue loan ratio. This was attributable to i) an improvement in portfolio quality, which was reflected in a drop in the internal overdue portfolio, which was accentuated by ii) QoQ growth in the loan balance. The NPL ratio increased +7 bps QoQ due to growth in refinanced loans. Nevertheless, the cost of risk increased +25 bps QoQ due to an unusually low provision level in June 2016 (due to reversals of provisions).

SME - Pyme – Portfolio quality and Cost of risk

(1) Figures differ from previously reported due to adjustments during the data processing that have been incorporated in this report.

(iv)

In the SME-Pyme segment, it is important to analyze the early deliquency indicator, which excludes loans that have been overdue for less than 60 days (volatile loans whose percentage of recovery is very high) and loans that have been overdue more than 150 days (loans for which provisions have already been set aside but cannot be written off given the existence of real estate collateral – commercial properties whose liquidation process takes 4 years on average).

Since the beginning of the second half of 2014, early delinquency has continued to follow downward trend YoY, which is in line with ongoing improvement in vintages, mainly those originated after the main adjustments were made to the SME-Pyme business model. This mainly refers to vintages from 2015. In 3Q16, early delinquency fell -3 bps YoY.

In this context, the cost of risk fell -53 bps YoY due to an improvement in the risk quality of vintages as well as to measures to manage the portfolio adequately and improve acceptance policies, which led to a drop in provision expenses. The aforementioned was reinforced by higher loan growth.

Mortgage – Portfolio quality and Cost of risk

(1) Figures differ from previously reported due to adjustments during the data processing that have been incorporated in this report.

(v)

In terms of Mortgage loans, traditional ratios for portfolio quality are also affected by the existence of real estate collateral. As such, it is also important to analyze the evolution of early delinquency, which increased +12 bps QoQ.

Nevertheless, the cost of risk fell -40 bps QoQ due to a contraction in QoQ provisions due mainly to less provisions required from clients that have registered deterioration with other financial institutions or in other BCP’s products such as Credit Cards or consumer loans, as it happened in previous quarters.

In the YoY analysis, the increase in early delinquency of +34 bps YoY was in line with the evolution of loan vintages in FC from 2013, which began to post increases in their delinquency levels. Nevertheless, it is important to note the ongoing campaign to convert FC loans into LC loans, which coupled with moves to increase tenures to provide clients with adequate options for debt service, have reaped positive results. In this context, the cost of risk posted a slight improvement of -11 bps YoY given the contraction in provisions.

Consumer – Portfolio quality and Cost of risk

(1) Figures differ from previously reported due to adjustments during the data processing that have been incorporated in this report.

(vi)

In the Consumer portfolio, the internal-overdue loan and NPL ratios increased +11 bps and + 2 bps QoQ respectively while the YoY increase was +65 bps and +37 bps, respectively. This deterioration was due primarily vintages from 2014 to 1Q15 that continue maturing, which show the negative effect of the economic slowdown on individuals, and by higher debt at the client level, both of which lead to over-indebtedness. Adjustments to the models for acceptance and pricing that were executed in 2Q15 may explain the slight drop of -2 bps in early delinquency.

The cost of risk fell -131 bps QoQ and -35 bps YoY in line with the contraction in provisions. The drop in provisions over the last few months was due to lower provisions related with deterioration in our clients’ debt capacity in other BCP products (credit card, etc.)

Credit Card – Portfolio quality and Cost of risk

(1) Figures differ from previously reported due to adjustments during the data processing that have been incorporated in this report.+

(vii)

The Credit Card portfolio posted a QoQ reduction in its internal overdue and NPL ratios (-28 bps and -16 bps respectively). Early delinquency also posted a drop of -38 bps QoQ, which was reflected in lower provisions and consequently, a lower cost of risk (-161 bps QoQ).

Nevertheless, the YoY analysis continues to indicate deterioration in the portfolio, which posted an increase in internal overdue and NPL ratios of +81 bps and +106 bps, respectively. This mainly corresponds to maturities of vintages originated in 2015 and to deceleration in loan growth, which started at the beginning of 2016 and accentuated the impact of higher levels of overdue loans.

The cost of risk increased +75 bps YoY and reflects the previously mentioned points and the existence of a third element, which is related to the deterioration of our clients’ debt service with other entities in the financial system (this information can be obtained through external sources that are available for the Peruvian financial system). This requires an increase in provisions due to evidence of customer deterioration, in line with our incurred loss internal models.

Mibanco – Portfolio quality and Cost of risk⁴

(viii)

At Mibanco, a QoQ drop was recorded for its internal overdue and NPL ratios, which reflects efforts made since March 2014 to recover the portfolio’s risk quality and moreover, to ensure that loan origination falls within the organization’s risk appetite. The YoY analysis shows a clearer picture of the improvement in the portfolio’s risk quality, which posted internal overdue loan and NPL ratios that fell -91 bps YoY and -78 bps YoY, respectively.

In this context, the cost of risk fell -20 bps QoQ and -76 bps YoY due to a drop in provisions after the portfolio posted ongoing improvements in its risk quality. This reflects Mibanco’s stability and continuous improvement.

⁴ Cost of risk of Mibanco is calculated starting on 2Q14 since net provisions were consolidated on BAP’s results at the beginning of this period.

4.	Net Interest Income (NII)

NIM increased +18 bps QoQ. This was primarily due to an increase in interest income on loans, mainly at BCP Stand-alone and Mibanco and to a lesser extent to a drop in average IEA. NIM after provisions posted a significant growth of +43 bps QoQ as a result of an increase of NII and a drop in provisions.

Net interest income	Quarter									% change						YTD						% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15			Sep 16			Sep 16 / Sep 15
Interest income		2,517,964			2,613,338			2,703,992			3.5	%		7.4	%		7,352,701			7,981,895			8.6	%
Interest on loans		2,187,431			2,331,491			2,392,826			2.6	%		9.4	%		6,388,197			7,036,313			10.1	%
Interest and dividends on investments		2,507			6,146			2,975			-51.6	%		18.7	%		51,393			48,929			-4.8	%
Interest on deposits with banks		6,613			11,758			11,480			-2.4	%		73.6	%		25,258			35,604			41.0	%
Interest on trading securities		227,819			253,040			293,396			15.9	%		28.8	%		669,635			800,659			19.6	%
Other interest income		93,594			10,903			3,315			-69.6	%		-96.5	%		218,218			60,390			-72.3	%
Interest expense		651,071			709,119			744,568			5.0	%		14.4	%		1,863,246			2,171,562			16.5	%
Interest on deposits		206,799			261,015			271,089			3.9	%		31.1	%		625,024			788,794			26.2	%
Interest on borrowed funds		204,734			208,730			203,756			-2.4	%		-0.5	%		547,931			615,436			12.3	%
Interest on bonds and subordinated notes		192,879			187,600			207,412			10.6	%		7.5	%		550,758			598,433			8.7	%
Other interest expense		46,659			51,774			62,311			20.4	%		33.5	%		139,533			168,899			21.0	%
Net interest income		1,866,893			1,904,219			1,959,424			2.9	%		5.0	%		5,489,455			5,810,333			5.8	%
Net interest income after provisions		1,422,468			1,420,308			1,570,338			10.6	%		10.4	%		4,111,131			4,484,099			9.1	%

Average interest earning assets		135,942,787			146,761,868			146,035,709			-0.5	%		7.4	%		131,526,437			145,413,797			10.6	%
Net interest margin ⁽¹⁾		5.49	%		5.19	%		5.37	%		18bps			-12bps			8.35	%		7.99	%		-36bps
Net interest margin after provisions ⁽¹⁾		4.19	%		3.87	%		4.30	%		43bps			11bps			6.25	%		6.17	%		-8bps
Net provisions for loan losses / Net interest income		23.81	%		25.41	%		19.86	%		-555bps			-395bps			25.11	%		22.83	%		-228bps

(1) Annualized

4.1	Interest Income

Interest income increased +3.5% QoQ, which was mainly due to (i) an increase in interest income on loans, which was in line with higher growth in loans measured in average daily balances, where the top performers were Middle-Market Banking, BCP Bolivia, Retail Banking and Mibanco; and ii) growth in interest income on trading securities, which was primarily associated with investments in CDS with BCRP and Sovereign Bonds.

The aforementioned helped offset the reduction in Other Interest Income, due to lower gains on foreign exchange swaps⁵ (at BCP Standalone), which was due to a decrease in the difference between the rate in Soles and the rate in US Dollars; and to lower income from Interest and Dividends on Investments.

In the YoY analysis, interest income grew +7.4%. This was mainly attributable to an increase in interest income on loans (+9.4%) due to a +7.9% YoY expansion in Credicorp’s total loans measured in average daily balances, in line with the expansion in Wholesale Banking (+5.5%), Mortgage (+6.7%) and in the SME-Business segment (+20.0%). Higher YoY interest income on trading securities was primarily associated with income from investments with BCRP and the government.

The aforementioned was impacted by lower Other interest income (-96.5%), mainly at BCP Standalone, given that in 3Q15, this account reported significant gains due to higher net gains on forwards with BCRP (foreign exchange swaps). It is important to note that we expect the volume of this instrument to drop significantly in 2016.

4.2	Interest Expenses

Interest expenses increased +5.0% QoQ, mainly due to i) higher interest expenses on bonds and subordinated notes, which was in line with a significant increase of the Libor (for 3m and 6m) in the last quarter and the recent issuance at BCP Stand-alone; ii) higher Other interest expenses, mainly at Credicorp Capital due to a net loss on derivatives; and iii) Interest expenses on deposits, mainly due to an increase of the average cost of deposits and a higher volume of deposits at Mibanco and BCP Bolivia as explained in Section 2.5, Funding Cost.

⁵ Forwards with BCRP (foreign exchange swaps) provide financing in Soles that Credicorp covers with forwards with private institutional clients (the majority foreign). The increase in income from these foreign exchange swaps originated because the overbought position allowed the group to obtain gains due to the appreciation of the US Dollar that were higher than the payment made to obtain funding in Soles. These instruments are used mainly by BCP and are aligned with BCRP’s policy to reduce the excessive volatility that tends to arise in the exchange rate. It is important to consider that BCRP has set limits for the forward business that will begin to reduce this business’s levels.

The aforementioned was partially offset by lower Interest expenses on borrowed funds due to a drop in REPO transactions with BCRP at BCP Stand-alone and Mibanco.

In the YoY analysis, interest expenses grew +14.4%, as result of higher Interest expenses on Deposits and borrowed funds, which were mainly attributable to growth of deposits at Mibanco and BCP Bolivia.

4.3	Net Interest Margin (NIM)

In the QoQ analysis, NIM increased considerably due to growth in NII (+2.9% QoQ) and to a drop in average IEA (-0.5% QoQ).This quarter, NIM posted a significant recovery due to loan dynamic and an increase in interest income on trading securities, which account for approximately 85% of NIM recovery.

It is important to note that there are still some factors that continue to exercise pressure on NIM: (i) the increase in interest expenses and (ii) the strategy to improve the risk profile, which implies expansion in lower margin segments.

NIM after provisions reported an increase of +43 bps QoQ, which was in line with the lower provisions registered in 3Q16 in comparison to 2Q16. This reflects the better quality of new loan entries. In this context, the ratio of Provisions as percentage of NII fell from 25.41% in 2Q16 to 19.86% in 3Q16.

As is evident in the following figure, NIM after provisions posted a drop from 4Q15 to 2Q16 but recovered in 3Q16 (explained in the previous paragraph).

Credicorp’s NIM and NIM after provisions⁶

⁶ NIM on loans is calculated as follows:

The share of loans within total earning assets is calculated by dividing the average of the beginning and closing balances of total loans for the reporting period, by the average of the beginning and closing balances of the interest earning assets for the reporting period.

NIM on loans posted no variation QoQ given that growth rates in NII and average loans were similar. In the YoY analysis, NIM on loans fell -5 bps in line with higher growth in average loans vs. growth in NII due to more dynamic activity YoY in Wholesale Banking, which is a lower margin segment.

NIM on loans

It is also important to analyze NIM by subsidiary. The table below contains the net interest margins at each of Credicorp’s main subsidiaries:

NIM Breakdown	BCP Stand-alone			Mibanco			BCP Bolivia			ASB			Credicorp ⁽¹⁾
3Q15		4.75	%		14.16	%		4.02	%		2.01	%		5.49	%
2Q16		4.52	%		14.87	%		4.58	%		2.16	%		5.19	%
3Q16		4.73	%		15.22	%		4.78	%		2.25	%		5.37	%
YTD - Sep 15		4.83	%		13.96	%		4.27	%		2.13	%		5.56	%
YTD - Sep 16		4.63	%		14.60	%		4.39	%		2.11	%		5.33	%

NIM: Annualized Net interest income / Average period end and period beginning interest earning assets.

(1) Credicorp also includes Credicorp Capital, Prima, Grupo Credito and Eliminations for consolidation purposes.

The QoQ evolution of the global NIM by subsidiary shows that BCP Stand-alone accounts for the majority of variations in Credicorp’s NIM given that it represents around 68% of the group’s net interest income. In this context, the good performance of the other banking subsidiaries helped boost global NIM, mainly through more dynamic loan activity measured in average daily balances.

In YoY and accumulated terms, Credicorp’s NIM fell, which was in line with the trend of this ratio at BCP Stand-alone level. NIM at Mibanco and BCP Bolivia reported an improvement in accumulated terms that was aligned with loan growth measured in average daily balances for both subsidiaries, as explained in section 1.2 Credicorp Loans.

5.	Non-Financial Income

Non-financial income increased +8.0% QoQ if we eliminate the effect of the non-recurring income generated by the sale of 50% of the investment in BCI that took place in 2Q16. Growth was registered in every segment of Non-financial income and was led by the net gain on sales of securities. In YoY terms, non-financial income grew 13.4% due to an improvement in the evolution of net gains on sales of securities and fee income, which increased 252.3% and 7.4% respectively.

Non-financial income	Quarter						% change						YTD				% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY			Sep 15		Sep 16		Sep 16 / Sep 15
Fee income, net		650,195		693,185		698,029		0.7	%		7.4	%		1,957,027		2,061,972		5.4	%
Net gain on foreign exchange transactions		197,902		177,065		180,452		1.9	%		-8.8	%		566,633		522,660		-7.8	%
Net gain on sales of securities		29,200		176,169		102,866		-41.6	%		252.3	%		74,828		284,488		280.2	%
Net gain from associates⁽¹⁾		3,172		891		4,136		364.4	%		30.4	%		149,763		8,564		-94.3	%
Other income		35,612		37,438		53,172		42.0	%		49.3	%		114,988		153,097		33.1	%
Total non financial income		916,081		1,084,748		1,038,655		-4.2	%		13.4	%		2,863,239		3,030,781		5.9	%

(1) Mainly includes the agreement between Grupo Pacífico and Banmédica.

Fee income, which represents the main source of non-financial income, reported growth of +0.7% QoQ and +7.4% YoY. This was due primarily to improvements in the evolution of credit cards, wires and transfers and miscellaneous accounts at BCP Standalone.

Net gains on foreign exchange transactions increased +1.9% QoQ. This was due primarily to an increase in spot and forward transactions at Credicorp Capital. In YoY terms, net gains on FX transactions fell -8.8% due to a drop in performance for this line at BCP Standalone given that in 3Q15, these gains were higher due to volatility in the exchange rate in the second half of August and in the first few days of September.

Gains on sales of securities reported a significant contraction QoQ of -41.6% due to the sale of 50% of the investment in shares of BCI, which took place in 2Q16 and explain the non-recurring income result of S/ 123 million. If we exclude this non-recurring income from the analysis, the net gain on sales of securities increases 93.5% QoQ and 252.3% YoY due to successful sales of sovereign bonds at BCP and successful sales of equity and fixed income instruments at Credicorp and Pacifico.

The QoQ and YoY increases of 42.0% and 49.3% respectively in Other Income are mainly due to activity at BCP Standalone: in July and August, partial recoveries of council taxes took place, among other transactions.

Net gains (loss) on investments in associated companies, which stems from the agreement between Grupo Pacifico and Banmedica, is shown in the following table:

	Quarter
Millions (S/)	3Q15		2Q16		3Q16
(+) EPS contribution (50%)		6.57		6.60		8.08
(-) Private health insurance deduction (50%)		-3.40		-5.70		-3.95
(=) Net gain from associates excluding Non-recurring income/expense		3.17		0.90		4.14
(+) Non-recurring income/expense		0.00		0.00		0.00
(=) Net gain from associates		3.17		0.90		4.14

This result was due to:

(i)

A contribution of 50% of the net earnings generated by the corporate health insurance business and medical services that are now managed by Banmedica for S/8.08 million. This result rose QoQ due to a 4.2% increase in the net earned premiums, which offset the 3% increase in net claims.

(ii)

The 50% deduction of net earnings generated by private medical business, which is managed by Grupo Pacifico and totaled S/3.95 million in 3Q16. The decrease in this deduction was mainly due to an increase in net claims in 3Q16 after IBNR reserves (incurred but not reported) was constituted (delays in the process to liquidate and lower average billing).

5.1	Fee Income

Below, we show the contribution of each of Credicorp’s subsidiaries to growth in the group’s fee income in 3Q16. The figure indicates that fees for banking services decreased slightly QoQ:

Evolution of fee income QoQ by subsidiary (S/ Millions)

* Others include Grupo Pacifico and eliminations for consolidation purposes.

The following chart shows the YoY evolution of fee income by subsidiary:

Evolution of fee income YoY by subsidiary (S/ Millions)

* Others include Grupo Pacifico and eliminations for consolidation purposes.

Next, we look at the evolution of the main components of fee income in the banking business:

Composition of fee income in the banking business

Fee Income	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Miscellaneous accounts (1)		168,041		165,084		172,278		4.4	%		2.5	%
Credit cards ⁽²⁾		64,744		74,019		71,194		-3.8	%		10.0	%
Drafts and transfers		35,877		39,234		41,429		5.6	%		15.5	%
Personal loans ⁽²⁾		24,674		23,017		23,436		1.8	%		-5.0	%
SME loans ⁽²⁾		16,000		16,657		16,764		0.6	%		4.8	%
Insurance ⁽²⁾		19,016		18,139		19,917		9.8	%		4.7	%
Mortgage loans ⁽²⁾		11,685		8,987		10,807		20.3	%		-7.5	%
Off-balance sheet ⁽³⁾		38,504		41,785		42,237		1.1	%		9.7	%
Payments and collections ⁽³⁾		93,355		95,047		97,256		2.3	%		4.2	%
Commercial loans ⁽³⁾		16,245		16,472		12,950		-21.4	%		-20.3	%
Foreign trade ⁽³⁾		10,942		11,221		12,264		9.3	%		12.1	%
Corporate finance		11,312		13,835		12,683		-8.3	%		12.1	%
ASB		5,761		5,296		6,175		16.6	%		7.2	%
Others (4)		40,741		43,830		52,445		19.7	%		28.7	%
Total fee income		556,899		572,624		591,834		3.4	%		6.3	%

(1) Saving accounts, current accounts, debit card and master account.

(2) Mainly Retail fees.

(3) Mainly Wholesale fees.

(4) Includes fees from BCP Bolivia, Edyficar, network usage and other services to third parties, among others.

Source: BCP

Fee income in the banking business grew +3.4% QoQ and +6.3% YoY. This was due mainly higher level of fee income at BCP, which is the major source of fee income generation for Credicorp. Next, we describe the components that stood out the most QoQ:

(i)

Miscellaneous accounts grew +4.4% QoQ due to higher fee income from maintenance fee in current account and higher income from fees for excess transactions (number of transactions above the maximum number of transactions allowed free of fee in current and savings accounts).

(ii)

Collections and payments increased +2.3% QoQ due to higher fee income from multiple insurance, life-insurance for mortgage, among others.

(iii)

Fee Income from Drafts and Transfers grew +5.6% QoQ.

In YoY terms, growth in fees for banking services was situated at 6.3%. This was primarily attributable to the positive yearly evolution of credit cards, Wires and Transfers, and Miscellaneous Accounts.

6.	Insurance Underwriting Result

The insurance underwriting result fell -1.0% QoQ due to higher acquisition costs and an increase in claims for life insurance, which offset the increase in net earned premiums. In YoY terms, the underwriting result grew +6.6% due to an increase in net earned premiums, mainly in life insurance business, with an acquisition cost and claims that increased less in comparative terms.

Insurance underwriting result	Quarter									Change						YTD						% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15			Sep 16			Sep 15 / Sep 16
Net earned premiums		432,777			453,647			467,972			3.2	%		8.1	%		1,264,317			1,374,856			8.7	%
Net claims		(265,648	)		(265,815	)		(271,591	)		2.2	%		2.2	%		(753,305	)		(801,329	)		6.4	%
Acquisition cost ⁽¹⁾		(41,884	)		(53,066	)		(62,916	)		18.6	%		50.2	%		(169,169	)		(176,158	)		4.1	%
Total insurance underwriting result		125,245			134,766			133,465			-1.0	%		6.6	%		341,843			397,369			16.2	%

(1) Includes net fees and underwriting expenses.

Total underwriting result by business

(S/ millions)

6.1	Net earned premiums

Written premiums by business	Net earned premiums by business
(S/ millions)	(S/ millions)

Total premiums increased 2.9% QoQ due mainly to an increase in premium turnover in the life insurance and P&C lines:

(i)

The increase in the life insurance business was due primarily to Annuities due to more sales of retirement policies and Credit Life due to loan growth and an increase in rates. Group Life–Complementary Insurance for High Risk Occupations (SCTR) - also posted an increase due to semester billing while Individual Life reaped the positive impact of the exchange rate.

(ii)

The increase in P&C insurance was due to higher premiums in general risks insurance in the Banks (BBB), Fire, Transportation and Personal Accident Lines. Nevertheless, this effect was attenuated by a drop in private medical insurance due to fewer sales of policies with international coverage and for cars due to a deficit in the alliance channel.

Net earned premiums increased 3.2% QoQ due to growth in P&C insurance and life insurance. In P&C, the variation was generated in the medical assistance and general risks line. The increase in the life insurance line was due to higher premiums in the annuities, credit life and group life lines (SCTR).

6.2	Net claims

Net claims by business

(S/ millions)

Net claims grew 2.2% QoQ due to an increase in the claims of the life insurance business and despite a drop in P&C claims. The variation in life insurance was due mainly to higher claims in i) group life in the complementary insurance for high risk occupations life (SCTR- more cases and updating of average costs), ii) credit life due to IBNR (incurred but not reported) reserves and in iii) individual life due to more cases with higher average costs.

This effect was mitigated by the improvement in the loss ratio of P&C insurance. This was primarily attributable to Wholesale Lines (technical lines and fire) and personal lines for the card protection product.

6.3	Acquisition cost

Acquisition cost by Business

(S/ millions)

(1) Includes medical assistance for dependents and medical services.

Acquisition cost	Quarter									Change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY
Net fees		(27,353	)		(46,223	)		(54,735	)		18.4	%		100.1	%
Underwriting expenses		(26,196	)		(22,429	)		(23,943	)		6.7	%		-8.6	%
Underwriting income		11,665			15,587			15,762			1.1	%		35.1	%
Acquisition cost		(41,884	)		(53,066	)		(62,916	)		18.6	%		50.2	%

The acquisition cost increased 18.6% QoQ due to i) adjustments on fees of the sales force in 3Q16 in the life insurance business and ii) an increase in the underwriting expenses in P&C attributable to a release of uncollectible premiums reserves in the P&C and car lines in 2Q16.

7.	Operating Expenses and Efficiency

The efficiency ratio posted an improvement of -10 bps QoQ. This was due primarily to the fact that operating income outpaced growth in operating expenses. In YoY terms, the efficiency ratio reported an increase of +80 bps due to higher expenses for employee salaries and benefits and growth in administrative and general expenses.

Operating expenses	Quarter									% change						YTD						% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15			Sep 16			Sep 16 / Sep 15
Salaries and employees benefits		703,985			735,414			744,161			1.2	%		5.7	%		2,137,394			2,215,545			3.7	%
Administrative, general and tax expenses		496,163			513,652			526,613			2.5	%		6.1	%		1,409,315			1,493,951			6.0	%
Depreciation and amortizacion		111,966			113,910			115,129			1.1	%		2.8	%		331,058			340,809			2.9	%
Other expenses		25,688			47,463			40,709			-14.2	%		58.5	%		122,083			135,205			10.7	%
Total expenses		1,337,802			1,410,439			1,426,612			1.1	%		6.6	%		3,999,850			4,185,510			4.6	%
Operating income ⁽¹⁾		3,150,939			3,229,007			3,310,013			2.5	%		5.0	%		9,427,195			9,778,385			3.7	%
Operating expenses ⁽²⁾		1,353,998			1,416,042			1,448,819			2.3	%		7.0	%		4,046,936			4,226,463			4.4	%
Reported efficiency ratio ⁽³⁾		43.0	%		43.9	%		43.8	%		-10 bps			80 bps			42.9	%		43.2	%		30 bps
Operating expenses / Total average assets ⁽⁴⁾		3.7	%		3.6	%		3.7	%		10 bps			0 bps			3.7	%		3.6	%		-10 bps

(1) Operating income = Net interest income + Fee income + Gain on foreign exchange transactions + Net gain from associates + Net premiums earned.

(2) Operating expenses = Total operating expenses + Acquisition cost - Other operating expenses.

(3) Operating expenses / Operating income. Figures differ from previously reported, please consider the data presented on this report.

(4) Annualized operating currency / Average of Total Assets. Average is calculated with period-beginning and period-ending balances.

Total expenses increased +1.1% QoQ. This was due mainly to growth in administrative, general and tax expenses. At BCP Standalone, the main accounts that explain this increase are:

(i)

Marketing, which registered additional provisions in July and August to fulfill the contract signed with LAN for the Lan Pass program.

(ii)

Consultants related mainly to Digital Banking project.

In the YoY analysis, total expenses posted an increase due to growth in:

(i)

Administrative, general and tax expenses due to an increase in expenses for marketing and consultants at BCP Standalone, which were partially offset by a drop in expenses at ASB, BCP Bolivia, Grupo Credito and Foreign Branches of BCP; and

(ii)

Employee salaries and benefits, which was due mainly to an increase in payroll expenses at Mibanco and to a lesser extent at Credicorp Capital.

Credicorp’s administrative and general expenses

Administrative and general expenses	Quarter															% change
S/ 000	3Q15 (1)		%			2Q16		%			3Q16		%			QoQ			YoY
Marketing		62,779		13	%		55,488		11	%		79,316		15	%		42.9	%		26.3	%
Taxes and contributions		50,846		10	%		56,586		11	%		55,450		11	%		-2.0	%		9.1	%
Insfrastructure		56,438		11	%		64,871		13	%		65,095		12	%		0.3	%		15.3	%
Minor expenses		58,575		12	%		53,803		10	%		52,827		10	%		-1.8	%		-9.8	%
Systems outsourcing		53,030		11	%		56,867		11	%		61,101		12	%		7.4	%		15.2	%
Programs and systems		53,142		11	%		60,743		12	%		56,350		11	%		-7.2	%		6.0	%
Communications		30,018		6	%		27,395		5	%		25,422		5	%		-7.2	%		-15.3	%
Rent		44,237		9	%		44,506		9	%		44,442		8	%		-0.1	%		0.5	%
Consulting		20,444		4	%		27,289		5	%		35,918		7	%		31.6	%		75.7	%
Channels		43,827		9	%		44,254		9	%		46,989		9	%		6.2	%		7.2	%
Others ⁽²⁾		22,828		5	%		21,852		4	%		3,703		1	%		-83.1	%		-83.8	%
Total administrative and general expenses		496,163		100	%		513,652		100	%		526,613		100	%		2.5	%		6.1	%

(1) Figures differ from previously reported, please consider the data presented on this report.

(2) Others include ASB, BCP Bolivia, Grupo Credito and eliminations for consolidation.

The operating expenses/average total assets ratio posted a slight increase of +10 bps QoQ. This was primarily due to lower growth in total assets, which was in line with a decrease in non-interest bearing available funds this quarter. In the YoY analysis, no variation is evident.

Reported efficiency ratio by subsidiary⁽¹⁾

	BCP Stand-alone			Mibanco			BCP Bolivia			ASB			Grupo Pacífico			Prima			Credicorp Capital			Credicorp

3Q15 ⁽²⁾		40.7	%		54.0	%		63.9	%		25.7	%		25.0	%		41.6	%		94.1	%		43.0	%
2Q16		41.3	%		59.2	%		54.8	%		24.6	%		26.4	%		44.1	%		87.3	%		43.9	%
3Q16		41.2	%		56.0	%		55.9	%		24.0	%		28.0	%		42.2	%		113.5	%		43.8	%
Var. QoQ		-10 bps			-320 bps			110 bps			-60 bps			160 bps			-190 bps			2620 bps			-10 bps
Var. YoY		50 bps			200 bps			-800 bps			-170 bps			300 bps			60 bps			1940 bps			80 bps

Acum. Set 15		40.7	%		56.9	%		67.8	%		23.2	%		26.0	%		42.5	%		102.6	%		42.9	%
Acum. Set 16		40.6	%		57.6	%		56.3	%		24.4	%		27.9	%		43.7	%		105.0	%		43.3	%
Var. Acum. Set 16 Acum. Set 15		-10 bps			70 bps			-1150 bps			120 bps			190 bps			120 bps			240 bps			40 bps

(1) Operating income + acquisition cost - other expenses) / (Net interest income + fee income + Net gain from associates + net earned premiums.

(2) Figures of subsidiaries differ from previously reported, please consider the data presented on this report.

In the quarterly analysis, the efficiency ratio was situated at 43.8% at the end of 3Q16, which was ten points lower than the 43.9% reported in 2Q16. This evolution was due to growth in operating income QoQ, in line with an increase in net interest income -mainly at BCP Standalone and Mibanco- which offset lower net interest income at Credicorp Capital. This led to an improvement in the efficiency ratio despite an increase in operating expenses.

In the YoY analysis, Credicorp’s efficiency ratio grew 80 bps due to higher spending for employee salaries and benefits at Mibanco and Credicorp Capital and to an increase in administrative and general expenses at BCP Standalone.

The accumulated efficiency ratio grew +40bps due to growth in i) administrative, general and tax expenses at BCP Standalone and ii) Employee salaries and benefits at Mibanco.

Regulatory Capital

8.1

Regulatory Capital – BAP

Regulatory Capital and Capital Adequacy Ratios	Balance as of									% Change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY
Capital Stock		1,400,339			1,392,750			1,389,100			-0.3	%		-0.8	%
Legal and Other capital reserves (1)		11,127,858			13,507,601			13,524,557			0.1	%		21.5	%
Minority interest (2)		359,162			395,472			324,414			-18.0	%		-9.7	%
Loan loss reserves (3)		1,247,615			1,285,561			1,318,376			2.6	%		5.7	%
Perpetual subordinated debt		805,500			822,250			850,000			3.4	%		5.5	%
Subordinated Debt		4,796,314			5,039,308			5,181,341			2.8	%		8.0	%
Investments in equity and subordinated debt of financial and insurance companies		(930,541	)		(728,148	)		(731,447	)		0.5	%		-21.4	%
Goodwill		(721,067	)		(633,611	)		(628,458	)		-0.8	%		-12.8	%
Deduction for subordinated debt limit (50% of Tier I excluding deductions) (4)		-			-			-			-			-
Deduction for Tier I Limit (50% of Regulatory capital) (4)		-			-			-			-			-
Total Regulatory Capital (A)		18,085,180			21,081,183			21,227,882			0.7	%		17.4	%

Tier I (5)		10,697,542			12,180,475			12,137,020			-0.4	%		13.5	%
Tier II (6) + Tier III (7)		7,387,638			8,900,708			9,090,861			2.1	%		23.1	%

Financial Consolidated Group (FCG) Regulatory Capital Requirements		14,961,433			15,653,442			16,252,647			3.8	%		8.6	%
Insurance Consolidated Group (ICG) Capital Requirements		917,299			923,434			986,619			6.8	%		7.6	%
FCG Capital Requirements related to operations with ICG (8)		(139,375	)		(325,433	)		(306,820	)		-5.7	%		120.1	%
ICG Capital Requirements related to operations with FCG (9)		-			-			-			-			-
Total Regulatory Capital Requirements (B)		15,739,357			16,251,443			16,932,446			4.2	%		7.6	%
Regulatory Capital Ratio (A) / (B)		1.15			1.30			1.25
Required Regulatory Capital Ratio (10)		1.00			1.00			1.00

(1) Legal and other capital reserves include restricted capital reserves (PEN 10,571 million) and optional capital reserves (PEN 2,954 million).

(2) Minority interest includes Tier I (PEN 357.1 million) and Tier II (PEN 2.1 million) minority interests.

(3) Up to 1.25% of total risk-weighted assets of Banco de Crédito del Perú, Solución Empresa Administradora Hipotecaria, Financiera Edyficar and Atlantic Security Bank.

(4) Tier II + Tier III can not be more than 50% of total regulatory capital.

(5) Tier I = capital + restricted capital reserves + Tier I minority interest - goodwill - (0.5 x investment in equity and subordinated debt of financial and insurance companies) + perpetual subordinated debt.

(6) Tier II = subordinated debt + TierII minority interest tier + loan loss reserves - (0.5 x investment in equity and subordinated debt of financial and insurance companies).

(7) Tier III = Subordinated debt covering market risk only.

(8) Includes regulatory capital requirements of the financial consolidated group.

(9) Includes regulatory capital requirements of the insurance consolidated group.

(10) Regulatory Capital / Total Regulatory Capital Requirements (legal minimum = 1.00).

At the end of September 2016, Credicorp reported a comfortable capitalization level that was 1.25 times higher than the capital required by the Peruvian Regulator. This ratio posted a slight decrease QoQ because the regulatory capital requirement expanded +4.2% QoQ while Credicorp’s regulatory capital only grew +0.7% QoQ.

The QoQ growth in regulatory capital was due primarily to the subordinated debt issued in 3Q by BCP Stand-alone.

The QoQ increase in the regulatory capital requirement was due mainly to the higher capital requirement from the consolidated financial group, which in turn reflected the higher capital required for loan growth at BCP Stand-alone.

8.2

Regulatory Capital – BCP Stand-alone based on Peru GAAP

Regulatory Capital and Capital Adequacy Ratios	Balance as of									% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY
Capital Stock		5,854,051			7,066,346			7,066,346			-			20.7	%
Legal and Other capital reserves		3,157,906			3,582,218			3,582,218			-			13.4	%
Accumulated earnings with capitalization agreement		-			-			-			-			-
Loan loss reserves ⁽¹⁾		1,105,826			1,140,215			1,165,100			2.2	%		5.4	%
Perpetual subordinated debt		805,500			822,250			850,000			3.4	%		5.5	%
Subordinated Debt		4,361,716			4,442,054			4,575,152			3.0	%		4.9	%
Unrealized profit (loss)		-			-			-			-			-
Investment in subsidiaries and others, net of unrealized profit and net income		(1,687,497	)		(1,228,010	)		(1,208,055	)		-1.6	%		-28.4	%
Investment in subsidiaries and others		(1,920,128	)		(1,347,105	)		(1,412,072	)		4.8	%		-26.5	%
Unrealized profit and net income in subsidiaries		232,631			119,095			204,017			71.3	%		-12.3	%
Goodwill		(122,083	)		(122,083	)		(122,083	)		-			-
Total Regulatory Capital		13,475,418			15,702,990			15,908,678			1.3	%		18.1	%

Off-balance sheet		29,097,439			31,913,377			33,188,994			4.0	%		14.1	%

Tier 1 ⁽²⁾		8,967,941			10,794,274			10,874,463			0.7	%		21.3	%
Tier 2 ⁽³⁾ + Tier 3 ⁽⁴⁾		4,507,478			4,908,716			5,034,216			2.6	%		11.7	%

Total risk-weighted assets		97,003,577			99,612,081			102,270,784			2.7	%		5.4	%
Market risk-weighted assets ⁽⁵⁾		1,537,512			707,066			1,172,830			65.9	%		-23.7	%
Credit risk-weighted assets		88,466,066			91,217,162			93,207,994			2.2	%		5.4	%
Operational risk-weighted assets		6,999,999			7,687,852			7,889,960			2.6	%		12.7	%

Adjusted Risk-Weighted Assets		96,565,298			99,124,208			101,763,810			2.7	%		5.4	%
Total risk-weighted assets		97,003,577			99,612,081			102,270,784			2.7	%		5.4	%
(-) RWA Intangible assets, excluding goodwill.		438,279			487,873			506,974			3.9	%		15.7	%
(-) RWA Deferred tax assets generated as a result of temporary differences in income tax, in excess of 10% of CET1		-			-			-			-			-
(-) RWA Deferred tax assets generated as a result of past losses		-			-			-			-			-

Total capital requirement		11,739,677			12,060,046			12,541,229			4.0	%		6.8	%
Market risk capital requirement ⁽⁵⁾		153,751			70,707			117,283			65.9	%		-23.7	%
Credit risk capital requirement		8,846,607			9,121,716			9,320,799			2.2	%		5.4	%
Operational risk capital requirement		700,000			768,785			788,996			2.6	%		12.7	%
Additional capital requirements		2,039,319			2,098,838			2,314,150			10.3	%		13.5	%

Capital ratios
Tier 1 ratio ⁽⁶⁾		9.24	%		10.84	%		10.63	%
Common Equity Tier 1 ratio ⁽⁷⁾		9.01	%		10.20	%		10.64	%
BIS ratio ⁽⁸⁾		13.89	%		15.76	%		15.56	%
Risk-weighted assets / Regulatory capital ⁽⁹⁾		7.20			6.34			6.43

(1) Up to 1.25% of total risk-weighted assets.

(2) Tier 1 = Capital + Legal and other capital reserves + Accumulated earnings with capitalization agreement + Unrealized profit and net income in subsidiaries - Goodwill - (0.5 x Investment in subsidiaries) + Perpetual subordinated debt (maximum amount that can be included is 17.65% of Capital + Reserves + Accumulated earnings with capitalization agreement + Unrealized profit and net income in subsidiaries - Goodwill).

(3) Tier 2 = Subordinated debt + Loan loss reserves - (0.5 x Investment in subsidiaries).

(4) Tier 3 = Subordinated debt covering market risk only. Tier 3 exists since 1Q10.

(5) It includes capital requirement to cover price and rate risk.

(6) Tier 1 / Risk-weighted assets

(7) Common Equity Tier I = Capital + Reserves – 100% of applicable deductions (investment in subsidiaries, goodwill, intangibles and net deferred taxes that rely on future profitability) + retained earnings + unrealized gains.

(8) Regulatory Capital / Risk-weighted assets (legal minimum = 10% since July 2011)

(9) Since July 2012, Risk-weighted assets = Credit risk-weighted assets * 1.00 + Capital requirement to cover market risk * 10 + Capital requirement to cover operational risk * 10 * 1.00 (since July 2014)

At the end of 3Q16, BCP Stand-Alone (Peru GAAP) registered a slight reduction in its capital ratios.

In this sense, the BIS ratio was situated at 15.56%, which represented a decrease over the figure posted in 2Q16. This was due to the increase in Risk-Weighted Assets (RWAs) in general and credit risk RWAs in particular, which reflect the greater dynamism in loan growth, compared to the previous quarter. Also, although in a much lesser degree, the market risk RWAs increased due to a higher capital requirement related to interest rate risk.

The Tier 1 ratio was situated at 10.63%, due to the increase in RWAs.

Finally, the Common equity tier 1 (CET1) ratio, which is considered the most rigorous in terms of measuring capitalization levels, reported an increase of 44 bps and situated at 10.64% at the end of September, mainly due to the net income generated in 3Q.

Common Equity Tier 1 Ratio – BCP Stand-alone

June 2016			September 2016

(1)

Includes minor investments.

Distribution channels

	Quarter						Change (units)
	3Q15		2Q16		3Q16		QoQ		YoY
Branches		454		459		455		-4		1
ATMs		2,260		2,311		2,327		16		67
Agentes BCP		5,305		5,573		5,815		242		510
Total BCP's Network		8,019		8,343		8,597		254		578
Total Mibanco's Network		319		324		316		-8		-3
Total Peru's Network		8,338		8,667		8,913		246		575
Branches		47		47		49		2		2
ATMs		257		260		261		1		4
Agentes BCP Bolivia		51		94		97		3		46
Total Bolivia's Network		355		401		407		6		52
Total BCP Consolidated's Network		8,693		9,068		9,320		252		627

(1) Mibanco does not have Agentes or ATM s because it uses the BCP network. Mibanco branches include Banco de la Nacion branches, which in 3Q15, 2Q16 and 3Q16 were 38.

The distribution channels at BCP, Mibanco and BCP Bolivia posted a total of 9,320 points of contact at the end of 3Q16, which represented an increase of 252 points QoQ.

BCP reported a total of 8,597 points of contact at the end of 3Q16, which represented an increase of 254 points QoQ. The aforementioned was due primarily to an increase in Agentes BCP (+242 QoQ), which took place mainly in Lima (+171 QoQ). This meant that the percentage of points of contact in Lima remained at 56%.

Mibanco reduced its number of offices by 8 points QoQ. It is important to note that Mibanco has an agreement with the Banco de la Nation to use its offices throughout the country to reduce operating costs. At the end of 3Q16, these offices represented 12% of the total (38 offices).

BCP Bolivia increased its number of offices (+2 QoQ), ATMs (+1 QoQ) and Agentes (+3 QoQ).

In the YoY analysis, the total number of points of contact at BCP increased 578, which was due to growth in the number of Agentes BCP (+510) and ATMs (+67), which was in line with the banking penetration strategy and expansion plan. BCP Bolivia increased its number of points of contact (+52 YoY), mainly through growth in Agentes and ATMs, which was in line with its expansion strategy to have 150 Agentes by the end of 2016. Mibanco cut its number of offices (-3 YoY) based on criteria for determining proximity to and concentration of clients.

Points of Contact by Locality – BCP stand-alone

	Quarter						Change (units)
	3Q15		2Q16		3Q16		QoQ		YoY
Lima		268		283		280		-3		12
Provinces		186		176		175		-1		-11
Total Branches		454		459		455		-4		1
Lima		1,394		1,472		1,487		15		93
Provinces		866		839		840		1		-26
Total ATM's		2,260		2,311		2,327		16		67
Lima		2,751		2,895		3,066		171		315
Provinces		2,554		2,678		2,749		71		195
Total Agentes BCP		5,305		5,573		5,815		242		510

This quarter, BCP Standalone increased its points of contact both in Lima and in the Provinces to improve efficiency relative to maintenance costs. In Lima, the number of points of contact grew by 183 QoQ and in the Provinces, 71 QoQ.

The YoY analysis reveals aggressive growth in Agentes BCP in Lima (+315) and in the Provinces (+195) thus far in 2016. The number of ATMs has also grown (+93) along with offices (+12). On the contrary, the number of ATMs in the provinces was reduced (-26) as were offices (-11).

Transactions per channel – BCP stand-alone

	Monthly average in each quarter															% change
N° of Transactions per channel ⁽¹⁾	3Q15		%			2Q16		%			3Q16		%			QoQ			YoY
Teller		9,449,481		10.1	%		8,669,772		8.8	%		8,688,385		8.2	%		0.2	%		-8.1	%
ATMs		19,091,701		20.3	%		19,255,754		19.6	%		20,147,416		19.1	%		4.6	%		5.5	%
Balance inquiries		2,620,944		2.8	%		2,405,842		2.5	%		2,233,101		2.1	%		-7.2	%		-14.8	%
Telephone banking		3,015,347		3.2	%		3,119,883		3.2	%		3,681,870		3.5	%		18.0	%		22.1	%
Internet banking Via BCP		20,291,413		21.6	%		20,126,606		20.5	%		20,323,907		19.3	%		1.0	%		0.2	%
Agente BCP		13,919,990		14.8	%		14,660,153		14.9	%		15,671,673		14.9	%		6.9	%		12.6	%
Telecrédito		8,571,956		9.1	%		8,839,570		9.0	%		9,379,467		8.9	%		6.1	%		9.4	%
Mobile banking		7,184,904		7.6	%		10,553,955		10.8	%		14,181,148		13.4	%		34.4	%		97.4	%
Direct debit		776,034		0.8	%		681,891		0.7	%		656,972		0.6	%		-3.7	%		-15.3	%
Points of sale P.O.S.		8,858,872		9.4	%		9,595,055		9.8	%		10,331,998		9.8	%		7.7	%		16.6	%
Other ATMs network		226,427		0.2	%		201,560		0.2	%		204,019		0.2	%		1.2	%		-9.9	%
Total transactions		94,007,069		100.0	%		98,110,042		100.0	%		105,499,955		100.0	%		7.5	%		12.2	%

(1)

Figures include monetary and non-monetary transactions.

The average monthly number of transactions increased QoQ. This was mainly due to higher transaction volumes through Mobile Banking, Telephone Banking, Points of Sale P.O.S. and Agentes BCP due to the upward trend in the number of transactions that is always present as the year progresses.

In the YoY analysis, which excludes the seasonal effect, an increase in the monthly average of transactions is evident (+12.2%). The aforementioned was due primarily to an increase in the volume of transactions reported through cost-efficient channels such as:

(i)

Cellular Banking (+97.4% YoY), which continues to increase its share of transactions due to the mobile applications: “Banca Celular BCP” and “Tus Beneficios BCP”.

(ii)

Telephone Banking (+22.1% YoY) due to the increase in balance inquiries, automatic validations of cards and other kinds of non-monetary transactions.

(iii)

Points of sale P.O.S (+16.6% YoY) thanks to the campaign to install P.O.S Visanet at no cost to SMEs with a BCP Current Account.

(iv)

Agente BCP (+12.6% YoY) due to an increase of more than 500 points of contact YoY.

The channels that posted decreases in their transaction volumes YoY were: Teller (-8.1 YoY) and Balance Inquiry Modules (-14.8% YoY) and Automatic Debit (-15.3% YoY), in line with migration to cost-efficient channels.

It is important to note that future growth in banking in the region will be channel primarily through digital venues. As such, Credicorp’s companies have been successfully seeking to increase their strategic positioning in these cost-efficient channels.

10.

Economic outlook

Peru: Economic Outlook

Peru	2014			2015			2016			2017

GDP (US$ Millions)		202,944			192,134			194,898			204,108
Real GDP (% change)		2.4			3.3			3.7			4.2
GDP per capita (US$)		6,501			6,168			6,189			6,412
Domestic demand (% change)		2.2			2.9			1.5			3.5
Total consumption (% change)		4.5			4.3			4.1			3.8
Gross fixed investment (as % GDP)		25.7			24.3			23.0			23.2
Public Debt (as % GDP)		20.0			23.3			25.5			27.3
System loan growth (% change) ⁽¹⁾		13.9			17.3			N/A			N/A
Inflation ⁽²⁾		3.2			4.4			3.0			2.5
Reference Rate		3.50			3.75			4.25			4.25
Exchange rate, end of period		2.98			3.41			3.38 - 3.43			3.45 - 3.50
Exchange rate, (% change)		6.4	%		14.6	%		-1.0	%		2.1	%
Fiscal balance (% GDP)		-0.3			-2.1			-3.1			-3.5
Trade balance (US$ Millions)		-1,509			-3,150			0			425
(As % GDP)		-0.7	%		-1.6	%		0.0	%		0.2	%
Exports		39,533			34,236			35,298			38,490
Imports		41,042			37,385			35,298			38,065
Current account balance (US$ Millions)		-8,196			-9,210			-6,630			-6,550
(As % GDP)		-4.0	%		-4.8	%		-3.4	%		-3.2	%
Net international reserves (US$ Millions)		62,308			61,485			62,213			62,467
(As % GDP)		30.7	%		32.0	%		31.9	%		30.6	%
(As months of imports)		18			20			21			20

Source: Estimates by BCP Economic Research as of October, 2016; INEI, BCRP, and SBS.

(1) Multiple Banking, Current Exchange Rate

(2) Inflation target: 2%, +/- 1%.

Economic Activity: For this year and the next, forecasts situate GDP growth at 3.7% and 4.2%. Domestic demand is expected to accelerate after three years of declining private investment.

Inflation: we expect inflation will close near 3.0% in 2016 in the upper band of BCRP’s target range (2.0% +/- 1pp.). In 2017, is expected to situate at 2.5%.

Monetary policy rate: we expect the Central Bank to hold its reference rate at 4.25% in upcoming quarters.

Exchange Rate: our forecast considers a range between USDPEN 3.38-3.43 for 2016 and USDPEN 3.45-3.50 for next year. In 2017, we expect a Trade Balance surplus.

Main macroeconomic variables

Economic Activity – GDP (real annual percentage variations)

Source: INEI

In 3Q16 our estimates suggest GDP grew around 4.4% y/y due to: i) a solid impulse from the Fishing sector (67%, 1H16: -42%), and ii) an increase in Mining production (17%) explained by copper from operations at Las Bambas and Cerro Verde’s expansion. In the first three quarters of the year, copper production has increased 48%.

Between January and September, GDP grew 4.2% while domestic demand expanded around 1.4%.

Inflation and the reference rate (%)

Source: INEI, BCRP

As the end of 3Q16, annual inflation closed at 3.1%.

Since February 2016, The Central Bank (BCRP) has maintained its monetary policy rate at 4.25%.

Fiscal result and Current Account Balance Account (% of GDP, Quarter)

*BCP estimates

Source: Central Bank

3Q16 registered an annualized fiscal deficit of 3.4% of GDP. With the objective of reaching a fiscal deficit target of 3.0% this year, the government has established a legal limit for government spending in 4Q16.

In the 2Q16, the annualized current account balance decreased to 4.3% of GDP (1Q16: 4.5% of GDP). In the 3Q16, it will continue to narrow: i) the Terms of Trade registered their first increase in 13 quarters, and ii) the trade balance between Jan/Aug-16 registered a USD -217 million deficit (Jan/Aug-15: USD -2,606 million).

Exchange rate (S/ per USD)

Exchange Rate (USDPEN)

The Exchange Rate at the end of 3Q16 was USDPEN 3.387, appreciating 0.8% against the figure posted year-end for 2015 (USDPEN 3.414).

In 3Q16, BCRP made purchases in the spot FX market for USD 1,629 million. The institution is also reducing its outstanding FX Swaps from a maximum of PEN 34,449 million in Feb-16 to PEN 965 million as of Sep-16.

Congress granted legislative powers to the Executive for 90 days

In a context where the Executive has only 18 of 130 congressmen, Congress granted legislative powers to the Executive for 90 days to address the following aspects:

Economic Recovery and Formalization

Citizen Security

Fight against corruption

Water and Sanitation

Reorganization of state-owned oil company, Petroperu.

Regarding the economic and tax related aspect, the following measures are noteworthy:

Reduction of the VAT by 1pp.

Increase on the Corporate Income Tax from 28% to 30%, and a reduction of the Corporate Tax on Dividends from Peruvian Sources.

Establishing a special tax regime for SME firms, including progressive tax rates on earnings or income (option chosen by the taxpayer)

Capital Repatriation: temporal and substitute Income Tax regime for contributors that declare (10 to 12%), repatriate and invest (5 to 8%) income generated until 31-Dec-2015.

Preferred treatment for yields on negotiated financial instruments that are regulated and supervised by the SMV.

It is expected that the measures will be defined and regulated in coming weeks.

One of the central commitments of the Government contemplates cutting red tape on the main infrastructure projects for around USD 18 bn. The Government expects to show its first results before year-end.

Safe Harbor for Forward-Looking Statements

This material includes “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements other than statements of historical information provided herein are forward-looking and may contain information about financial results, economic conditions, trends and known uncertainties.

The Company cautions readers that actual results could differ materially from those expected by the Company, depending on the outcome of certain factors, including, without limitation: (1) adverse changes in the Peruvian economy with respect to the rates of inflation, economic growth, currency devaluation, and other factors, (2) adverse changes in the Peruvian political situation, including, without limitation, the reversal of market-oriented reforms and economic recovery measures, or the failure of such measures and reforms to achieve their goals, and (3) adverse changes in the markets in which the Company operates, including increased competition, decreased demand for financial services, and other factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.

The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements which may be made to reflect events or circumstances after the date hereof, including, without limitation, changes in the Company’s business strategy or planned capital expenditures, or to reflect the occurrence of unanticipated events.

11.

Appendix

11.1

Credicorp

CREDICORP LTD. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(In S/ thousands, IFRS)

	Quarter									% change
	3Q15			2Q16			3Q16			QoQ			YoY
ASSETS
Cash and due from banks
Non-interest bearing		3,426,781			3,751,246			3,896,236			3.9	%		13.7	%
Interest bearing		27,955,357			27,831,888			23,601,925			-15.2	%		-15.6	%
Total cash and due from banks		31,382,138			31,583,134			27,498,161			-12.9	%		-12.4	%

Trading securities, net		2,608,267			3,383,545			4,609,582			36.2	%		76.7	%

Loans		87,842,690			91,655,366			94,319,220			2.9	%		7.4	%
Current		85,586,035			89,043,417			91,691,633			3.0	%		7.1	%
Internal overdue loans		2,256,655			2,611,949			2,627,587			0.6	%		16.4	%
Less - allowance for loan losses		(3,674,654	)		(3,994,390	)		(4,084,178	)		2.2	%		11.1	%
Loans, net		84,168,036			87,660,976			90,235,042			2.9	%		7.2	%

Investments securities available for sale		19,152,134			18,188,377			19,949,532			9.7	%		4.2	%
Investments held to maturity		3,161,475			4,288,379			4,243,603			-1.0	%		34.2	%
Reinsurance assets		440,615			470,148			483,585			2.9	%		9.8	%
Premiums and other policyholder receivables		599,846			561,630			601,837			7.2	%		0.3	%
Property, furniture and equipment, net		1,854,665			1,761,123			1,732,536			-1.6	%		-6.6	%
Due from customers acceptances		201,357			264,235			384,783			45.6	%		91.1	%
Investments in associates ⁽¹⁾		614,441			630,584			646,073			2.5	%		5.1	%
Other assets ⁽²⁾		8,619,706			7,404,603			8,224,473			11.1	%		-4.6	%

Total assets		152,802,680			156,196,734			158,609,207			1.5	%		3.8	%

LIABILITIES AND EQUITY
Deposits and obligations
Non-interest bearing		23,240,530			23,194,081			23,684,449			2.1	%		1.9	%
Interest bearing		63,186,177			66,742,900			65,025,163			-2.6	%		2.9	%
Total deposits and obligations		86,426,707			89,936,981			88,709,612			-1.4	%		2.6	%

BCRP instruments		11,863,340			11,305,771			12,818,751			13.4	%		8.1	%
Due to banks and correspondents		9,737,111			8,931,350			7,770,822			-13.0	%		-20.2	%
Bonds and subordinated debt		16,016,573			15,255,588			15,571,172			2.1	%		-2.8	%
Acceptances outstanding		201,357			264,235			384,783			45.6	%		91.1	%
Reserves for property and casualty claims		848,435			925,495			930,683			0.6	%		9.7	%
Reserve for unearned premiums		5,161,785			5,591,173			5,815,615			4.0	%		12.7	%
Reinsurance payable		364,396			404,316			413,037			2.2	%		13.3	%
Other liabilities ⁽³⁾		6,434,818			5,334,465			6,637,293			24.4	%		3.1	%
Total liabilities		137,054,522			137,949,374			139,051,768			0.8	%		1.5	%

Net equity		15,153,252			17,656,273			19,116,945			8.3	%		26.2	%
Capital stock		1,318,993			1,318,993			1,318,993			0.0	%		0.0	%
Treasury stock		(208,727	)		(209,228	)		(209,383	)		0.1	%		0.3	%
Capital surplus		290,073			282,985			279,490			-1.2	%		-3.6	%
Reserves		11,127,858			13,507,601			13,524,557			0.1	%		21.5	%
Unrealized gains or losses		256,730			978,575			1,595,592			63.1	%		N/A
Retained earnings		2,368,325			1,777,347			2,607,696			46.7	%		10.1	%

Non-controlling interest		594,906			591,087			440,494			-25.5	%		-26.0	%

Total equity		15,748,158			18,247,360			19,557,439			7.2	%		24.2	%

Total liabilities and total equity		152,802,680			156,196,734			158,609,207			1.5	%		3.8	%

Off balance sheet		62,914,042			63,364,922			64,061,232			1.1	%		1.8	%

(1) Mainly includes the agreement between Grupo Pacifico and Banmedica.

(2) Mainly includes receivables, goodwill, tax credit, and others.

(3) Mainly includes other payable accounts.

CREDICORP LTD. AND SUBSIDIARIES

QUARTERLY INCOME STATEMENT

(In S/ thousands, IFRS)

	Quarter									% change						YTD						% change
	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15			Sep 16			Sep 16 / Sep 15

Interest income and expense
Interest and dividend income		2,517,964			2,613,338			2,703,992			3.5	%		7.4	%		7,352,701			7,981,895			8.6	%
Interest expense		(651,071	)		(709,119	)		(744,568	)		5.0	%		14.4	%		(1,863,246	)		(2,171,562	)		16.55	%
Net interest income		1,866,893			1,904,219			1,959,424			2.9	%		5.0	%		5,489,455			5,810,333			5.8	%

Net provisions for loan losses		(444,425	)		(483,911	)		(389,086	)		-19.6	%		-12.5	%		(1,378,324	)		(1,326,234	)		-3.8	%

Non-financial income
Fee income		650,195			693,185			698,029			0.7	%		7.4	%		1,957,027			2,061,972			5.4	%
Net gain on foreign exchange transactions		197,902			177,065			180,452			1.9	%		-8.8	%		566,633			522,660			-7.8	%
Net gain on sales of securities		29,200			176,169			102,866			-41.6	%		252.3	%		74,828			284,488			280.2	%
Net gain from subsidiaries ⁽¹⁾		3,172			891			4,136			364.4	%		30.4	%		149,763			8,564			-94.3	%
Other non-financial income		35,612			37,438			53,172			42.0	%		49.3	%		114,988			153,097			33.1	%
Total non financial income, net		916,081			1,084,748			1,038,655			-4.2	%		13.4	%		2,863,239			3,030,781			5.9	%

Insurance underwriting result
Net earned premiums		432,777			453,647			467,972			3.2	%		8.1	%		1,264,317			1,374,856			8.7	%
Net claims		(265,648	)		(265,815	)		(271,591	)		2.2	%		2.2	%		(753,305	)		(801,329	)		6.4	%
Acquisition cost		(41,884	)		(53,066	)		(62,916	)		18.6	%		50.2	%		(169,169	)		(176,158	)		4.1	%
Total insurance underwriting result		125,245			134,766			133,465			-1.0	%		6.6	%		341,843			397,369			16.2	%

Operating expenses
Salaries and employees benefits		(703,985	)		(735,414	)		(744,161	)		1.2	%		5.7	%		(2,137,394	)		(2,215,545	)		3.7	%
Administrative, general and tax expenses		(496,163	)		(513,652	)		(526,613	)		2.5	%		6.1	%		(1,409,315	)		(1,493,951	)		6.0	%
Depreciation and amortization		(111,966	)		(113,910	)		(115,129	)		1.1	%		2.8	%		(331,058	)		(340,809	)		2.9	%
Other expenses		(25,688	)		(47,463	)		(40,709	)		-14.2	%		58.5	%		(122,083	)		(135,205	)		10.7	%
Total expenses		(1,337,802	)		(1,410,439	)		(1,426,612	)		1.1	%		6.6	%		(3,999,850	)		(4,185,510	)		4.6	%

Operating income		1,125,992			1,229,383			1,315,846			7.0	%		16.9	%		3,316,363			3,726,739			12.4	%

Translation result		2,940			(20,009	)		(2,583	)		-87.1	%		-187.9	%		13,830			(59,719	)		-531.8	%
Income taxes		(300,989	)		(311,932	)		(338,018	)		8.4	%		12.3	%		(899,809	)		(974,754	)		8.3	%

Net income		827,943			897,442			975,245			8.7	%		17.8	%		2,430,384			2,692,266			10.8	%
Non-controlling interest		20,798			23,250			25,451			9.5	%		22.4	%		69,210			72,651			5.0	%
Net income attributed to Credicorp		807,145			874,192			949,794			8.6	%		17.7	%		2,361,174			2,619,615			10.9	%

(1)

Includes the agreement between Grupo Pacifico and Banmedica.

11.2

BCP Consolidated

BANCO DE CREDITO DEL PERU AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEET

(In S/ thousands, IFRS)

	Quarter									% change
	3Q15			2Q16			3Q16			QoQ			YoY
ASSETS
Cash and due from banks		30,786,855			29,595,262			25,534,363			-13.7	%		-17.1	%
Cash and BCRP		28,343,697			26,232,023			22,900,963			-12.7	%		-19.2	%
Deposits in other banks		2,381,180			3,362,115			2,462,366			-26.8	%		3.4	%
Interbanks		59,332			-			170,000			-			186.5	%
Accrued interest on cash and due from banks		2,646			1,124			1,034			-8.0	%		-60.9	%

Trading securities, net		1,956,192			1,761,542			2,591,573			47.1	%		32.5	%

Loans		86,092,146			84,121,534			86,057,877			2.3	%		0.0	%
Current		83,837,821			81,608,387			83,529,020			2.4	%		-0.4	%
Past due		2,254,325			2,513,147			2,528,857			0.6	%		12.2	%
Less - allowance for loan losses		(3,673,609	)		(3,793,544	)		(3,881,194	)		2.3	%		5.7	%
Loans, net		82,418,537			80,327,990			82,176,683			2.3	%		-0.3	%

Investment securities available for sale		9,286,648			7,042,344			8,191,614			16.3	%		-11.8	%
Investments held to maturiy		3,161,475			3,977,471			3,922,354			-1.4	%		24.1	%
Property, plant and equipment, net		1,724,844			1,595,504			1,562,248			-2.1	%		-9.4	%
Due from customers acceptances		201,357			264,235			384,783			45.6	%		91.1	%
Other assets⁽¹⁾		4,439,784			3,865,263			4,594,052			18.9	%		3.5	%

Total assets		133,975,692			128,429,611			128,957,670			0.4	%		-3.7	%

LIABILITIES AND NET SHAREHOLDERS' EQUITY

Deposits and obligations		82,211,845			78,407,712			76,142,826			-2.9	%		-7.4	%
Demand deposits		25,464,114			26,713,043			24,432,718			-8.5	%		-4.1	%
Saving deposits		22,795,579			23,338,183			24,154,989			3.5	%		6.0	%
Time deposits		27,171,597			21,205,896			20,785,447			-2.0	%		-23.5	%
Severance indemnity deposits (CTS)		6,535,695			6,997,706			6,611,956			-5.5	%		1.2	%
Interest payable		244,860			152,884			157,716			3.2	%		-35.6	%

BCRP instruments		11,863,340			11,305,771			12,818,751			13.4	%		8.1	%
Due to banks and correspondents		11,037,594			10,000,688			8,781,396			-12.2	%		-20.4	%
Bonds and subordinated debt		14,093,864			13,656,079			14,068,175			3.0	%		-0.2	%
Acceptances outstanding		201,357			264,235			384,783			45.6	%		91.1	%
Other liabilities ⁽²⁾		3,046,093			2,410,904			3,555,996			47.5	%		16.7	%

Total liabilities		122,454,093			116,045,389			115,751,927			-0.3	%		-5.5	%

Net shareholders' equity		11,362,177			12,242,857			13,062,382			6.7	%		15.0	%
Capital stock		5,560,671			6,772,966			6,772,966			0.0	%		21.8	%
Reserves		2,939,044			3,363,356			3,363,356			0.0	%		14.4	%
Unrealized gains and losses		35,369			(7,241	)		48,775			NA			37.9	%
Retained earnings		672,147			703,655			703,655			0.0	%		4.7	%
Income for the year		2,154,946			1,410,121			2,173,630			54.1	%		0.9	%

Non-controlling interest		159,422			141,365			143,361			1.4	%		-10.1	%

Total equity		11,521,599			12,384,222			13,205,743			6.6	%		14.6	%

Total liabilities and net shareholders' equity		133,975,692			128,429,611			128,957,670			0.4	%		-3.7	%

Off-balance sheet		62,114,812			52,935,640			51,042,498			-3.6	%		-17.8	%

(1)

Mainly includes intangible assets, other receivable accounts and tax credit.

(2)

Mainly includes other payable accounts.

BANCO DE CREDITO DEL PERU AND SUBSIDIARIES

QUARTERLY INCOME STATEMENT

(In S/ thousands, IFRS)

	Quarter									% change						YTD						% change
	3Q15			2Q16			3Q16			QoQ			YoY			Set 15			Set 16			Set 16 / Set 15
Interest income and expense
Interest and dividend income		2,263,961			2,472,793			2,426,776			-1.9	%		7.2	%		6,584,312			7,247,579			10.1	%
Interest expense		(581,108	)		(686,004	)		(673,374	)		-1.8	%		15.9	%		(1,659,873	)		(1,998,290	)		20.4	%
Net interest income		1,682,853			1,786,789			1,753,402			-1.9	%		4.2	%		4,924,439			5,249,289			6.6	%

Net provision for loan losses		(435,024	)		(484,044	)		(380,462	)		-21.4	%		-12.5	%		(1,356,844	)		(1,301,841	)		-4.1	%

Non financial income
Fee income		528,404			572,092			557,471			-2.6	%		5.5	%		1,530,967			1,667,865			8.9	%
Net gain on foreign exchange transactions		183,631			172,591			169,546			-1.8	%		-7.7	%		531,524			500,821			-5.8	%
Net gain on sales of securities		(21,327	)		27,229			23,172			-14.9	%		-208.7	%		385,756			53,662			-86.1	%
Other		7,150			15,206			27,981			84.0	%		291.3	%		42,569			71,998			69.1	%
Total non financial income,net		697,858			787,118			778,170			-1.1	%		11.5	%		2,490,816			2,294,346			-7.9	%

Operating expenses
Salaries and employees benefits		(545,265	)		(607,429	)		(569,735	)		-6.2	%		4.5	%		(1,657,114	)		(1,746,937	)		5.4	%
Administrative expenses		(388,842	)		(441,136	)		(426,981	)		-3.2	%		9.8	%		(1,105,805	)		(1,226,220	)		10.9	%
Depreciation and amortization		(86,842	)		(91,690	)		(88,187	)		-3.8	%		1.5	%		(255,227	)		(265,272	)		3.9	%
Other		(13,277	)		(33,739	)		(24,232	)		-28.2	%		82.5	%		(73,592	)		(78,918	)		7.2	%
Total operating expenses		(1,034,226	)		(1,173,994	)		(1,109,135	)		-5.5	%		7.2	%		(3,091,738	)		(3,317,347	)		7.3	%

Operating income		911,461			915,869			1,041,975			13.8	%		14.3	%		2,966,673			2,924,447			-1.4	%
Translation result		3,511			72,442			(3,033	)		-104.2	%		-186.4	%		9,352			38,964			316.6	%
Income taxes		(254,695	)		(256,621	)		(270,642	)		5.5	%		6.3	%		(865,050	)		(777,427	)		-10.1	%
Non-controlling interest		(4,877	)		(2,670	)		(4,791	)		79.4	%		-1.8	%		(9,814	)		(12,354	)		25.9	%
Net income continuing operations		655,400			729,020			763,509			4.7	%		16.5	%		2,101,161			2,173,630			3.4	%
Net income discontinuing operations		20,278			(20,830	)		-			-			-			53,785			-			-
Net income		675,678			708,190			763,509			7.8	%		13.0	%		2,154,946			2,173,630			0.9	%

BANCO DE CREDITO DEL PERU AND SUBSIDIARIES

SELECTED FINANCIAL INDICATORS

	Quarter									YTD
	3Q15			2Q16			3Q16			Set 15			Set 16
Profitability
EPS ⁽¹⁾		0.096			0.10			0.108			0.305			0.308
Net interest margin⁽²⁾		5.48	%		5.75	%		5.70	%		5.53	%		5.55	%
ROAA ⁽²⁾⁽³⁾		2.1	%		2.1	%		2.4	%		2.3	%		2.2	%
ROAE⁽²⁾⁽³⁾		24.4	%		23.7	%		24.1	%		27.0	%		23.0	%
No. of outstanding shares (Million)		7,066.35			7,066.35			7,066.35			7,066.35			7,066.35

Quality of loan portfolio
PDL ratio		2.62	%		2.99	%		2.94	%		2.62	%		2.94	%
NPL ratio		3.46	%		3.86	%		3.85	%		3.46	%		3.85	%
Coverage of PDLs		163.0	%		151.0	%		153.5	%		163.0	%		153.5	%
Coverage of NPLs		123.2	%		116.8	%		117.0	%		123.2	%		117.0	%
Reserves for loan losses as a percentage of total loans		4.3	%		4.5	%		4.5	%		4.3	%		4.5	%

Operating efficiency
Oper. expenses as a percent. of total income - reported ⁽⁴⁾		42.6	%		45.0	%		43.7	%		43.2	%		43.7	%
Oper. expenses as a percent. of total income - including all other items		43.4	%		45.6	%		43.8	%		41.7	%		44.0	%
Oper. expenses as a percent. of av. tot. sssets ^(2)(3)(4)		3.2	%		3.41	%		3.4	%		3.2	%		3.26	%

Capital adequacy (BCP Stand-alone based on Peru GAAP)
Total regulatory capital (S/ Million)		13,475			15,703			15,909			13,475			15,909
Tier 1 capital (S/ Million)		8,968			10,794			10,874			8,968			10,874
Common equity tier 1 ratio		9.0	%		10.2	%		10.6	%		9.0	%		10.6	%
BIS ratio		13.9	%		15.8	%		15.6	%		13.9	%		15.6	%

Employees		27,039			27,205			26,677			27,039			26,677

(1) Shares outstanding of 7,066 million is used for all periods since shares have been issued only for capitalization of profits.

(2) Ratios are annualized.

(3) Averages are determined as the average of period-beginning and period-ending balances.

(4) Total income includes net interest income, fee income and net gain on foreign exchange transactions. Operating expenses includes personnel expenses, administrative expenses and depreciation and amortization.

(5) Regulatory capital/ risk-weighted assets. Risk weighted assets include market risk and operational risk.

11.3

Mibanco

MIBANCO

(In S/ thousands, IFRS )

	Quarter									% change
	3Q15			2Q16			3Q16			QoQ			YoY
ASSETS
Cash and due from banks		1,436,739			962,874			1,015,601			5.5	%		-29.3	%
Investments available for sale and trading securities		1,433,556			1,671,097			1,813,481			8.5	%		26.5	%
Total loans		7,648,927			8,244,004			8,455,050			2.6	%		10.5	%
Current		7,160,243			7,771,118			7,980,339			2.7	%		11.5	%
Past-due		414,572			385,018			381,154			-1.0	%		-8.1	%
Refinanced		74,113			87,868			93,557			6.5	%		26.2	%
Allowance for loan losses		(750,355	)		(725,431	)		(731,412	)		0.8	%		-2.5	%
Net loans		6,898,572			7,518,573			7,723,638			2.7	%		12.0	%
Property, plant and equipment, net		236,752			230,721			222,790			-3.4	%		-5.9	%
Other assets		634,593			571,578			437,225			-23.5	%		-31.1	%
Total assets		10,640,212			10,954,843			11,212,735			2.4	%		5.4	%

LIABILITIES AND NET SHAREHOLDERS' EQUITY
Deposits and obligations		5,388,253			5,933,981			6,600,601			11.2	%		22.5	%
Due to banks and correspondents		2,884,839			1,989,301			1,586,927			-20.2	%		-45.0	%
Bonds ans subordinated debt		742,344			842,164			836,714			-0.6	%		12.7	%
Other liabilities		334,375			807,363			717,338			-11.2	%		114.5	%
Total liabilities		9,349,811			9,572,809			9,741,580			1.8	%		4.2	%

Net shareholders' equity		1,290,400			1,382,034			1,471,156			6.4	%		14.0	%

Total liabilities and net shareholders' equity		10,640,212			10,954,843			11,212,735			2.4	%		5.4	%
Net financial income		369,794			394,179			412,265			4.6	%		11.5	%
Provision for loan losses, net of recoveries		(75,206	)		(69,493	)		(66,994	)		-3.6	%		-10.9	%
Non financial income		7,600			8,681			9,670			11.4	%		27.2	%
Operating expenses		(205,566	)		(242,282	)		(238,328	)		-1.6	%		15.9	%
Operating Income		96,622			91,085			116,614			28.0	%		20.7	%
Translation results		(257	)		(360	)		(671	)		86.5	%		161.2	%
Income taxes		(21,972	)		(21,268	)		(28,339	)		33.2	%		29.0	%
Net income		74,394			69,457			87,604			26.1	%		17.8	%
L/D ratio		142.0	%		138.9	%		128.1	%		-1080 bps			-1390 bps
Inernal overdue ratio		5.4	%		4.7	%		4.5	%		-20 bps			-90 bps
NPL ratio		6.4	%		5.7	%		5.6	%		-10 bps			-80 bps
Coverage of Internal overdue loans		181.0	%		188.4	%		191.9	%		350 bps			1090 bps
Coverage of NPLs		153.5	%		153.4	%		154.1	%		70 bps			60 bps
ROAE		23.7	%		20.7	%		24.6	%		390 bps			90 bps
ROAE inc, goodwill		21.1	%		18.6	%		22.3	%		370 bps			120 bps
Efficiency ratio		54.0	%		59.2	%		56.0	%		-320 bps			200 bps
Branches ⁽¹⁾		319			324			316			-2.5	%		-100.0	%
Employees		10,093			10,490			10,222			-2.6	%		-100.0	%

11.4

BCP Bolivia

BCP BOLIVIA

(In S/ thousands, IFRS)

	Quarter									Change
	3Q15			2Q16			3Q16			QoQ			YoY
ASSETS
Cash and due from banks		1,064,084			1,102,200			1,181,065			7.2	%		11.0	%
Investments available for sale and trading securities		1,057,642			1,060,803			1,330,320			25.4	%		25.8	%
Total loans		4,282,821			5,033,204			5,347,992			6.3	%		24.9	%
Current		4,194,483			4,920,573			5,233,725			6.4	%		24.8	%
Internal overdue loans		69,260			95,207			94,883			-0.3	%		37.0	%
Refinanced		19,078			17,425			19,384			11.2	%		1.6	%
Allowance for loan losses		-160,185			-196,311			-198,130			0.9	%		23.7	%
Net loans		4,122,636			4,836,894			5,149,862			6.5	%		24.9	%
Property, plant and equipment, net		39,160			32,546			35,818			10.1	%		-8.5	%
Other assets		67,898			84,802			81,420			-4.0	%		19.9	%
Total assets		6,351,419			7,117,245			7,778,486			9.3	%		22.5	%

LIABILITIES AND NET SHAREHOLDERS' EQUITY
Deposits and obligations		5,540,968			6,245,188			6,849,565			9.7	%		23.6	%
Due to banks and correspondents		29,217			27,508			31,020			12.8	%		6.2	%
Bonds ans subordinated debt		100,016			102,890			105,311			2.4	%		5.3	%
Other liabilities		150,104			162,352			176,148			8.5	%		17.4	%
Total liabilities		5,820,305			6,537,937			7,162,044			9.5	%		23.1	%

Equity		531,114			579,308			616,442			6.4	%		16.1	%

Total liabilities and net shareholders' equity		6,351,419			7,117,245			7,778,486			9.3	%		22.5	%

Net interest income		60,746			72,473			76,385			5.4	%		25.7	%

Provision for loan losses, net of recoveries		-10,339			-17,662			-6,908			-60.9	%		-33.2	%

Net interest income after provisions		50,407			54,811			69,477			26.8	%		37.8	%
Non financial income		30,181			31,337			27,450			-12.4	%		-9.0	%
Operating expenses		-56,573			-55,105			-61,370			11.4	%		8.5	%
Translation result		-133			-96			-51			-47.0	%		-62.0	%
Income taxes		-7,548			-10,209			-14,907			46.0	%		97.5	%
Net income		16,333			20,740			20,599			-0.7	%		26.1	%
L/D ratio		77.3	%		80.6	%		78.1	%		-251 bps			79 bps
Internal overdue ratio		1.62	%		1.89	%		1.77	%		-12 bps			15 bps
NPL ratio		2.06	%		2.24	%		2.14	%		-10 bps			8 bps
Coverage of internal overdue ratio		231.3	%		206.2	%		208.8	%		263 bps			-2246 bps
Coverage of NPLs		181.3	%		174.3	%		173.4	%		-90 bps			-794 bps
Efficiency ratio		63.9	%		54.8	%		55.9	%		103 bps			-808 bps
ROAE		12.5	%		14.5	%		13.8	%		-72 bps			125 bps
Branches		47			47			49			0			1
Agentes		51			94			97			-9			1
ATMs		257			260			261			5			11
Employees		1,702			1,679			1,734			-6			59

11.5

Credicorp Capital

Credicorp Capital	Quarter						% change
S/ 000	3Q15		2Q16		3Q16		QoQ			YoY
Net interest income		788		13,498		-9,700		-171.9	%		-1331.0	%
Non-financial income		106,204		127,192		143,333		12.7	%		35.0	%
Fee income		80,722		94,628		88,247		-6.7	%		9.3	%
Net gain on foreign exchange transactions		9,868		5,568		11,307		103.1	%		14.6	%
Net gain on sales of securities		14,497		24,843		42,831		72.4	%		195.4	%
Other income		1,117		2,153		948		-56.0	%		-15.1	%
Operating expenses ⁽¹⁾		-85,946		-100,580		-107,797		7.2	%		25.4	%
Operating income		21,046		40,110		25,836		-35.6	%		22.8	%
Income taxes		-6,379		-10,301		-3,620		-64.9	%		-43.3	%
Translation results		-734		-218		187		-185.8	%		-125.5	%
Non-controlling interest ⁽²⁾		-2,490		-3,224		-3,224		0.0	%		29.5	%
Net income		11,443		26,367		19,179		-27.3	%		67.6	%

(1) Includes: Salaries and employees benefits + Administrative expenses + Assigned expenses + Depreciation and amortization + Tax and contributions + Other expenses.

(2) Percentage of Correval and IM Trust that is not owned by BCP Colombia and BCP Chile (49% and 39.4% respectively).

11.6

Atlantic Security Bank

ASB	Quarter						% change
US$ Millions	3Q15		2Q16		3Q16		QoQ			YoY
Total loans		897.2		909.5		964.6		6.1	%		7.5	%
Total investments		873.7		872.5		880.1		0.9	%		0.7	%
Total assets		1,997.2		1,974.8		2,053.3		4.0	%		2.8	%
Total deposits		1,660.9		1,685.1		1,773.7		5.3	%		6.8	%
Net shareholder's equity		205.8		234.5		255.6		9.0	%		24.2	%
Net income		26.1		14.5		16.9		16.8	%		-35.1	%

Interest earning assets

Interest earning assets*	Quarter						% change
US$ 000	3Q15		2Q16		3Q16		QoQ			YoY
Due from banks		157		149		173		16.4	%		10.3	%
Total loans		897		910		965		6.1	%		7.5	%
Investments		778		827		833		0.7	%		7.1	%
Total interest earning assets		1,832		1,885		1,971		4.5	%		7.6	%

* Excludes investments in equities and mutual funds.

Liabilities

Liabilities	Quarter						% change
US$ 000	3Q15		2Q16		3Q16		QoQ			YoY
Deposits		1,661		1,685		1,774		5.3	%		6.8	%
Borrowed Funds		86		15		0		-100.0	%		-100.0	%
Other liabilities		45		40		24		-40.4	%		-46.4	%
Total liabilities		1,791		1,740		1,798		3.3	%		0.4	%

Assets under management and Deposits (US$ Millions)

Portfolio distribution as of September 2016

11.7

Grupo Pacifico

GRUPO PACÍFICO *

(S/ in thousands)

	Quarter									% change
	3Q15			2Q16			3Q16			QoQ			YoY
Balance
Total assets		8,816,211			9,940,238			10,453,470			5.2	%		18.6	%
Invesment on securities ⁽¹⁾		6,443,018			7,221,832			7,598,343			5.2	%		17.9	%
Technical reserves		6,016,438			6,527,028			6,754,917			3.5	%		12.3	%
Net equity		1,605,360			2,242,417			2,431,271			8.4	%		51.4	%
Quarterly income statement
Net earned premiums		439,480			461,628			477,366			3.4	%		8.6	%
Net claims		265,647			265,815			271,591			2.2	%		2.2	%
Net fees		102,713			108,884			118,363			8.7	%		15.2	%
Net underwriting expenses		14,531			8,452			9,894			17.1	%		-31.9	%
Underwriting result before Medical services		56,588			78,477			77,519			-1.2	%		37.0	%

Net financial income		81,792			108,796			113,848			4.6	%		39.2	%

Operating expenses		90,406			95,868			100,784			5.1	%		11.5	%

Other income		4,577			5,288			6,258			18.3	%		36.7	%
Traslations results		478			-2,088			1,373			-165.8	%		187.3	%
Gain (loss) from Grupo Pacífico and Banmédica agreement		3,172			891			4,136			364.5	%		30.4	%
Income tax		7,026			11,031			13,921			26.2	%		98.1	%

Income before minority interest		49,176			84,464			88,430			4.7	%		79.8	%
Non-controlling interest		5,167			9,199			8,289			-9.9	%		60.4	%

Net income		44,008			75,265			80,140			6.5	%		82.1	%
Ratios
Ceded		17.4	%		18.7	%		19.6	%		90 bps			220 bps
Loss ratio⁽²⁾		60.4	%		57.6	%		56.9	%		-70 bps			-350 bps
Fees + underwriting expenses, net / net earned premiums		26.7	%		25.4	%		26.9	%		150 bps			20 bps
Underwriting results / net earned premiums		12.9	%		17.0	%		16.2	%		-80 bps			330 bps
Operating expenses / net earned premiums		20.6	%		20.8	%		21.1	%		30 bps			50 bps
ROAE ⁽³⁾⁽⁴⁾		10.5	%		14.4	%		13.7	%		-70 bps			320 bps
Return on written premiums		6.1	%		11.2	%		11.4	%		20 bps			530 bps
Combined ratio of P&C⁽⁵⁾		92.9	%		88.8	%		88.0	%		-80 bps			-490 bps

*Financial statements without consolidation adjustments.

(1) Excluding investments in real estate.

(2) Net claims / Net earned premiums.

(3) Includes unrealized gains.

(4) Annualized and average are determined as the average of period beginning and period ending.

(5) (Net claims / Net earned premiums) + [(Acquisition cost + Operating expenses) / Net earned premiums].

From 1Q15 and on, Grupo Pacifico’s financial statements reflect the joint venture with Banmedica (to participate as equal partners, 50/50). This partnership includes:

the private health insurance business, which is managed by Grupo Pacifico and incorporated in each line of Grupo Pacifico’s financial statements;

ii)

corporate health insurance for payroll employees; and

iii)

medical services.

The businesses described in ii) and iii) are managed by Banmedica, therefore they do not consolidate in Grupo Pacifico’s financial statements. The 50% of net income generated by Banmedica is recorded in Grupo Pacifico’s Income Statement as a gain/loss on investments in subsidiaries.

As explained before, corporate health insurance and medical services businesses are consolidated by Banmedica. The following table reflects the consolidated results from which Grupo Pacifico receives the 50% net income.

Corporate health insurance and Medical services

(Soles in thousands)

	Quarter						% change
	3Q15		2Q16		3Q16		QoQ			YoY
Results
Net earned premiums		211,687		214,537		223,533		4.2	%		5.6	%
Net claims		-181,196		-183,864		-189,433		3.0	%		4.5	%
Net fees		-9,625		-9,593		-10,467		9.1	%		8.7	%
Net underwriting expenses		-2,906		-2,992		-3,088		3.2	%		6.3	%
Underwriting result		17,960		18,087		20,545		13.6	%		14.4	%

Net financial income		942		1,365		1,348		-1.3	%		43.1	%
Operating expenses		-15,559		-16,707		-16,629		-0.5	%		6.9	%
Other income		235		362		852		135.0	%		261.7	%
Traslations results		328		-63		-30		-51.7	%		-109.2	%
Income tax		-50		-931		-1,940		108.3	%		N/A

Net income before Medical services		3,857		2,114		4,145		96.1	%		7.5	%

Net income of Medical services		9,280		11,090		12,020		8.4	%		29.5	%

Net income		13,137		13,204		16,164		22.4	%		23.0	%

11.8

Prima AFP

Main financial indicators	Quarter									% change						YTD				% change
S/ 000	3Q15			2Q16			3Q16			QoQ			YoY			Sep 15		Sep 16		Sep 16 / Sep 15
Total assets		808,888			760,382			842,608			10.8	%		4.2	%		808,888		842,608		4.2	%
Total liabilities		276,854			245,468			268,026			9.2	%		-3.2	%		276,854		268,026		-3.2	%
Net shareholders' equity		532,035			514,914			574,583			11.6	%		8.0	%		532,035		574,583		8.0	%
Income from commissions		100,148			101,314			101,776			0.5	%		1.6	%		301,913		304,020		0.7	%
Administrative and sale expenses		(36,690	)		(39,313	)		(37,493	)		-4.6	%		2.2	%		-114,908		-117,196		2.0	%
Depreciation and amortization		(4,773	)		(5,204	)		(5,370	)		3.2	%		12.5	%		-14,395		-15,566		8.1	%
Operating income		58,686			56,797			58,913			3.7	%		0.4	%		172,610		171,258		-0.8	%
Other income and expenses, net		(393	)		(604	)		(791	)		30.9	%		101.3	%		-576		-471		-18.2	%
Income tax		(18,136	)		(16,053	)		(16,410	)		2.2	%		-9.5	%		-49,096		-48,627		-1.0	%
Net income before translation results		40,157			40,140			41,712			3.9	%		3.9	%		122,938		122,160		-0.6	%
Translations results		(82	)		(295	)		127			-143.2	%		-254.9	%		760		-706		-192.8	%
Net income		40,074			39,846			41,840			5.0	%		4.4	%		123,699		121,455		-1.8	%
ROAE ⁽¹⁾		30.8	%		32.6	%		30.7	%

(1) Net shareholders' equity includes unrealized gains from Prima’s investment portfolio.

Funds under management

Funds under management	Jun 16		% share			Sep 16		% share
Fund 0		225		0.5	%		275		0.6	%
Fund 1		5,276		12.8	%		5,155		11.8	%
Fund 2		28,451		69.1	%		30,466		69.9	%
Fund 3		7,214		17.5	%		7,695		17.7	%
Total S/ millions		41,165		100	%		43,592		100	%

Source: SBS.

Nominal profitability over the last 12 months

	Jun 16 / Jun 15			Sep 16 / Sep 15
Fund 0		-			-
Fund 1		6.0	%		14.0	%
Fund 2		4.0	%		16.0	%
Fund 3		-1.7	%		15.7	%

AFP fees

Fee based on flow	1.60%	Applied to the affiliates' monthly remuneration.
Mixed fee

Flow	1.19%	Applied to the affiliates' monthly remuneration since February 2015, before it was 1.51%.

Balance	1.25%	Applies annualy to the new balance since February 2013 for new affiliates to the system and beginning on June 2013 for old affiliates who have chosen this commission scheme.

Main indicators

	Prima		System		% share			Prima		System		% share
Main indicators and market share	2Q16		2Q16		2Q16			3Q16		3Q16		3Q16
Affiliates		1,458,616		6,103,073		23.9	%		1,462,835		6,181,379		23.7	%
New affiliations ⁽¹⁾		4		75,888		0.0	%		-		83,497		0.0	%
Funds under management (S/ millions)		41,165		129,627		31.8	%		43,592		136,684		31.9	%
Collections (S/ millions) ⁽¹⁾		742		2,353		31.5	%		736		2,368		31.1	%
Voluntary contributions (S/ millions)		282		634		44.5	%		404		840		48.1	%
RAM (S/ millions) ⁽²⁾		2,143		6,786		31.6	%		2,123		6,842		31.0	%

Source: SBS

(1) Accumulated to the quarter. Prima AFP's new affiliations correspond to fishing workers.

(2) Prima AFP estimate: Average of aggregated income during the last 4 months, excluding special collections and voluntary contribution fees.

11.9 Table of calculations

Table of calculations ⁽¹⁾

Profitability
Net Interest Margin (NIM)		Annualized Net Interest Income/ Average* Interest Earning Assets

Net Interest Margin on loans (NIM on loans)		[Interest on loans–(Interest expense x (Average* total loans /Average interest earning assets))] x 4/Average total loans

Funding cost		Annualized interest expense / Average* of total liabilities

Return on average assets (ROAA)		Annualized net income / Average* assets

Return on average equity (ROAE)		Annualized net income / Average* net equity

Portfolio quality
Internal overdue ratio		Internal overdue loans / Total loans

Non – performing loans ratio (NPL ratio)		Non-performing loans / Total loans

Coverage ratio of internal overdue loans		Allowance for loan losses / Internal overdue loans

Coverage ratio of non – performing loans		Allowance for loan losses / Non-performing loans

Cost of risk		Annualized net provisions for loan losses / Total loans

Insurance
Combined Ratio of P&C		(Net claims + General expenses + Fees + Underwriting expenses) / Net earned premiums. Does not include Life insurance business.

Loss Ratio		Net Claims / Net Earned Premiums

Underwriting Result / Net Earned Premium		(Net Earned Premiums - Net Claims - Acquisition Cost) / Net Earned Premiums

Operating performance
Operating efficiency		(Salaries and employee benefits + Administrative expenses + Depreciation and amortization + Adquisition cost) / (Net interest income + Fee income + Net gain on foreign exchange transactions + Net gain from associates + Net premiums earned)

		(Salaries and employee benefits + Administrative expenses + Depreciation and amortization + Adquisition cost) / Average* total assets

Capital Adequacy
BIS ratio		Regulatory Capital / Risk-weighted assets

Tier 1 ratio		Tier 1 / Risk-weighted assets

Common Equity Tier 1 ratio		Capital + Reserves – 100% of applicable deductions (investment in subsidiaries, goodwill, intangibles and deferred tax that rely on future profitability) + retained earnings + unrealized gains.

(1) Averages are determined as the average of period-beginning and period-ending balances.