employee shareholding plan

Employee Share PlanJune 2006 1

Employee shareholding plan


The Dexia Group24.019 employees

France 2,275

Luxembourg 2,976

Belgium 15,196


The Dexia Group24.019 employees

SlovakiaAustria

Israel

Switzerland Singapore

Japan

Australia

Denmark

United Kingdom

USA

Ireland

Jersey

Portugal Monaco

ItalySpain

Sweden

Germany

France 2,275

Luxembourg 2,976

The Netherlands Belgium 15,196

Poland

HongKong

Canada

Mexico


Arcofin16,44%

Holding Communal

16,36%

Ethias6,76%

Employees4,95%

Others18,03%

InstitutionalShareholders

28,88%

CDC Group8,58%

The Dexia GroupShareholding breakdown


0

2

4

6

8

10

12

14

16

18

2001

/02/

97

07/0

2/97

01/0

2/98

07/0

2/98

01/0

2/99

07/0

2/99

01/0

2/00

07/0

2/00

01/0

2/01

07/0

2/01

01/0

2/02

07/0

2/02

01/0

2/03

07/0

2/03

01/0

2/04

07/0

2/04

01/0

2/05

07/0

2/05

The Dexia GroupShare price performance


The employee share planGoals

S tre

n gt h

e n th

e co

rpor

ate

cultu

re

take part in the ‘shareholder value’

be involved in a long term growth strategy

make an at t ra cti ve inv estm

e nt at a tt ract ive t erms


The employee share planEligibility & limits

All employees of the Group Seniority of at least 3 months

Employment contract

25% gross annual remuneration (Including leverage)

According to work patterns (for part-time employees)


The employee share planThe offers

For 1 subscribed shares by the employee

Leveraged Offers

Total personal contribution of the employee

Classic Offer

9 additional subscribed shares by the counterparty

2 leveraged offers : standard & averaged

Difference : return calculation


Leveraged OffersClassic offer

Subscription with discount Subscription with discount

direct voting right indirect voting right

capital guarantee capital guarantee

interim dividends dividends

25% of gross salary 2.5% salary x 10

100% of the capital gain of one share

Following the formulaX % the capital gain in 10

shares

The employee share planThe offers


2005 employee share planThe offers

Standard Leveraged Offer Averaged Leveraged Offer

1. Calculation of increase

- Share price used : maturity after 5 years

2. Personal Contribution Guaranteed

3. Return

- If market price at maturity > initial reference price

return = 8 x increase / share(80% / 10 shares)

1. Calculation of increase

- Share price used :Average of 52 monthly prices

2. Personal Contribution Guaranteed

3. Return

- If average price > initial reference price

return = 9,5 x increase / share

(95% / 10 shares)


The employee share planExample of return

Employee’s investment

20 % Discount

return

Dividends

100% increase

Share price evol.after 5 years

total 38+ 5 years dividends

+ 100%

+

+

+

Reference price = 19 eurosSubscription price = 15,2 euros

Classic offer

15,2

3,8

5 years

19


Employee’s total subscription 152

Employee’s investment : 1 share

9 x personal investment

Reference price of the share

Subscription price (20% discount)

15,2

136,8

19

15,2


Leveraged offers


0

10

20

30

40

50

60

70

80

90

100

Share Price Subscription price Standard Leveraged Averaged Leveraged

Standard Leveraged Offer : 500 % return

Averaged Leveraged Offer : 332,5 % return


500 % ?= 15,2 + 8 x (28,50 – 19)

= 91,2 500% increase

332,5 % ?= 15,2 + 9.5 x (24,32 – 19)

= 65,74 332,5% increase


0

2

4

6

8

10

12

14

16

18

20


Standard & Averaged Leveraged: 0 % return



0

10

20

30

40

50

60

70

80

90

100


Averaged Leveraged Offer : 268,13% return

Standard Leveraged Offer: 0% return



0

10

20

30

40

50

60

70

80

90

100


Standard Leveraged Offer : 500 % return

Averaged Leveraged Offer : 116,25 % return



The employee share planSubscription process

ReservationReference price

calculation

Confirmation

Capital increase

Payment of subscription price


Exit 2000 employee share planGuidelines

Dexia’s 2000 International Employee Share Plan

ends on November 10, 2005 includes only the classic offer financial results will be determined in November

Dexia’s 2000 Employee Share Plan in Belgium & Luxembourg

terminated on July 12, 2005 classic offer and July 29, 2005 leveraged offer


Exit 2000 employee share planFinancial results Bel / Lux

2000 Employee Share Plan in Belgium and Luxembourg “in a nutshell” :

Reference Price : 139,68 € divided by ten in 2001

Subscription Price : 111,75 € divided by ten in 2001

Employee’s capital gain percentage of leveraged offer : 56 %


2000 employee share planFinancial results

The Final Reference Price corresponds to the average of the closing prices of the Dexia share on Euronext Brussels during the 20

stock exchange days following June 15, 2005



-38,35% -34% -29,96%

3,11%

82,36%

-50,00%

0,00%

50,00%

100,00%

EuroStoxx 50 Cac 40 SBF 120 Bel 20 Dexia Plan -Classic offer

The presentation of the 2000 plan results does not constitute any guarantee or estimation for the 2005 plan results



-38,35% -34% -29,96%

3,11%

211,07%

-40,00%

10,00%

60,00%

110,00%

160,00%

210,00%

EuroStoxx 50 Cac 40 SBF 120 Bel 20 Dexia Plan -Leveraged

offer

The presentation of the 2000 plan results does not constitute any guarantee or estimation for the 2005 plan results

employee shareholding plan

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