Deutsche Bank : Postbank Funding Trust IAnnual Report 2023

Deutsche Postbank Funding Trust I

(a statutory trust formed under the Delaware Statutory Trust Act with its principal place of business in New York, NY, U.S.A.)

Financial Report

Annual Financial Report 2023

pursuant to section 114 of the German Securities Trading Act (Wertpapierhandelsgesetz)

Management Report

Deutsche Postbank Funding Trust I (the "Trust") was set up to issue the noncumulative trust preferred securities (the "Trust Preferred Securities"), to issue a Trust Common Security to Deutsche Bank AG ("Deutsche Bank" or "DB AG") and to use all proceeds derived from such issuances to purchase noncumulative Class B Preferred Securities (the "Class B Preferred Securities") issued by Deutsche Postbank Funding LLC I (the "Company").

Under the Class B Preferred Securities, the Trust is entitled to receive Capital Payments on the Liquidation Preference Amount of € 1,000 per Class B Preferred Security which are payable semi- annually in arrears on June 2 and December 2 of each year. Capital Payments payable on each Capital Payment Date will generally accrue from and including the immediately preceding Capital Payment Date up to but excluding the relevant Capital Payment Date at a rate per annum (the "Stated Rate") as described in detail in the prospectus dated November 30, 2004 (the "Prospectus").

Capital Payments on the Class B Preferred Securities are generally paid out of the Company's Operating Profits or from payments received by the Company under the Support Undertaking. If the Company does not declare (and is not deemed to have declared) a Capital Payment on the Class B Preferred Securities in respect of any Capital Payment Period, the Trust as holder of the Class B Preferred Securities will have no right to receive a Capital Payment on the Class B Preferred Securities in respect of such Capital Payment Period, and the Company will have no obligation to pay a Capital Payment on the Class B Preferred Securities in respect of such Capital Payment Period, whether or not Capital Payments are declared (or deemed to have been declared) and paid on the Class B Preferred Securities in respect of any future Capital Payment Period. Capital Payments on the Class B Preferred Securities will only be authorized to be declared and paid on any Capital Payment Date to the extent that:

• The Company has an amount of Operating Profits for the Capital Payment Period ending on the day immediately preceding such Capital Payment Date at least equal to the amount of such Capital Payments, and
• Deutsche Bank has Distributable Profits for the preceding fiscal year for which audited unconsolidated financial statements are available in an amount at least equal to the aggregate amount of such Capital Payments and all capital payments, dividends or other distributions on Parity Securities, if any, which Distributable Profits for the preceding fiscal year are allocated among Capital Payments and capital payments, dividends or other distributions on Parity Securities, pro rata.

The terms "Capital Payments", "Capital Payment Date", "Capital Payment Period", Operating Profit", "Distributable Profits" and "Parity Securities" and other capitalized terms are described in detail in the Prospectus relating to the Trust Preferred Securities dated November 30, 2004.

During the year ended December 31, 2023, the Company and DB AG had sufficient Operating Profit and Distributable Profits, respectively to make Capital Payments at the Stated Rate and the Trust received Capital Payments from the Company at such rate and when due under the LLC Agreement. As a consequence, the Trust made Capital Payments on the Trust Preferred Securities at such rate at the scheduled date pursuant to the Trust Agreement. The Trust made no payments or other distributions on the Trust Common Security.

Under the Services Agreement, the Servicer is obligated, among other things, to provide legal, accounting, tax and other general support services to the Trust, to maintain compliance with all applicable U. S. and German local, state and federal laws, and to provide administrative, record

keeping and secretarial services for the Trust. The fees and expenses of the Trust and all other obligations of the Trust are paid by the Company. During the year ended December 31, 2023, the Trust received all such services and the Company paid such fees, expenses and obligations as provided in the Services Agreement.

Results of Operations

During the year ended December 31, 2023, the Company and Deutsche Bank had sufficient Operating Profit and Distributable Profits respectively to make Capital Payments at the stated rate and the Trust received Capital Payments from the Company at such rate and when due under the LLC Agreement. Consequently, the Trust made Capital Payments on the Trust Preferred Securities at such rate at the scheduled date pursuant to the Trust Agreement. The Trust made no payments or other distributions on the Trust Common Security. Overall, net loss in the year ended December 31, 2023, was EUR 5,859.

Risk Report

The Trust is affected mainly by market, credit and liquidity risk, all of which are managed by Deutsche Bank.

Market risk

Market risk denotes the potential risk that may lead to losses in financial transactions due to changes in interest rates, spreads, volatilities, commodity prices, exchange rates, and equity prices. The market risk in form of interest rate risk of the assets and liabilities of the Trust offset each other.

Liquidity risk

Liquidity risk is defined as the risk of being unable to meet current or future payment obligations. Since the terms of the assets and liabilities are equivalent, the liquidity risk is insignificant.

Credit risk

Credit risk is the risk of possible losses arising from the inability of a counterparty to discharge its payment obligations or from a deterioration of its credit rating. The Trust's assets are subject to the credit risk of Deutsche Bank, which has an investment grade rating.

Events after the Reporting Period

There have been no events after the Reporting Period ended that had a material impact on the financial statements.

Outlook

Payments by the Company on the Class B Preferred Securities are the source of funds for the Capital Payments on the Trust Preferred Securities. In turn, the Company has invested substantially all proceeds from the issuance of the Class B Preferred Securities in Initial Debt Securities issued by DB AG. Under the Initial Debt Securities, interest is paid at the same dates as Capital Payments are scheduled under the Class B Preferred Securities. The Company is also a party to the Services Agreement with the Trust and receives similar services as the Trust. The Trust expects that the Company and DB AG will continue to meet their respective obligations under the Class B Preferred Securities and the Initial Obligation, the Services Agreement and the other agreements made in connection with the Trust Preferred Securities.

Report of Independent Auditors

The Trustees and Stockholder

Deutsche Postbank Funding Trust I

Opinion

We have audited the consolidated financial statements of Deutsche Postbank Funding Trust I (the Trust), which comprise the consolidated statement of financial condition as of December 31, 2023, and the related consolidated statements of operations, changes in equity and cash flows for the year then ended, and the related notes (collectively referred to as the "financial statements").

In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the Trust at December 31, 2023, and the results of its operations and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinion

We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Trust and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Responsibilities of Management for the Financial Statements

Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free of material misstatement, whether due to fraud or error.

In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Trust's ability to continue as a going concern for one year after the date that the financial statements are available to be issued.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free of material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.

In performing an audit in accordance with GAAS, we:

• Exercise professional judgment and maintain professional skepticism throughout the audit.
• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Trust's internal control. Accordingly, no such opinion is expressed.

See accompanying notes to consolidated financial statements.

DEUTSCHE POSTBANK FUNDING TRUST I

Consolidated Statement of Operations

See accompanying notes to consolidated financial statements.

DEUTSCHE POSTBANK FUNDING TRUST I

Consolidated Statement of Changes in Equity

Year ended December 31, 2023

See accompanying notes to consolidated financial statements.

DEUTSCHE POSTBANK FUNDING TRUST I

Consolidated Statement of Cash Flows

Year ended December 31, 2023

See accompanying notes to consolidated financial statements.

DEUTSCHE POSTBANK FUNDING TRUST I

Notes to Consolidated Financial Statements

December 31, 2023

1. Organization
   Deutsche Postbank Funding Trust I is a statutory business trust created on October 18, 2004 under the laws of the State of Delaware. Deutsche Postbank Funding Trust I was created for the sole purpose of issuing €300,000,000 of preferred securities subject to redemption (the Trust Preferred Securities) to investors, and a €1,000 Trust Common Security to Deutsche Postbank AG. The proceeds from the issuance of the Trust Preferred Securities were used to purchase all of the Class B Preferred Securities from Deutsche Postbank Funding LLC I (the Company), a majority-owned consolidated subsidiary of Deutsche Postbank Funding Trust I. The Company also issued a Class A Preferred Security and a Company Common Security to DB AG. Deutsche Postbank Funding Trust I does not engage in any business other than holding the Class B Preferred Securities, collecting interest and other payments with respect to the Class B Preferred Securities, paying interest and other payments to the holders of the Trust Preferred Securities, and performing related ancillary activities.
   On November 29, 2016, the Trust Agreement was amended to allow for the appointment of new Regular Trustees other than employees or Affiliates of the Bank.
   These consolidated financial statements include Deutsche Postbank Funding Trust I and the Company (together, the Trust).
   The consolidated financial statements and all transactions entered into by the Trust are

denominated in Euros, the Trust's functional currency. Capitalized terms herein have the same meaning as in the Amended and Restated Trust Agreement dated December 2, 2004 (the Agreement).

On April 25, 2018, Deutsche Post Bank Funding LLC I received a capital contribution of €65,000 from Deutsche Postbank AG.

During 2018, Deutsche Postbank AG sold the Trust Common Security and the Company Common Security to DB AG. The assignment and transfer of ownership was effective May 10, 2018. The terms of the Trust Preferred Securities and both the Class A and Class B Preferred Securities of the Company are not affected by the transaction.

On May 25, 2018 Deutsche Postbank AG was merged into Deutsche Bank Privat- und Geschäftskunden Aktiengesellschaft. The merged entity was named DB Privat- und Firmenkundenbank AG.

On May 2, 2020, Deutsche Post Bank Funding LLC I received a capital contribution of € 78,298 from Deutsche Postbank AG.

On May 15, 2020, DB Privat- und Firmenkundenbank AG was merged into Deutsche Bank Aktiengesellschaft. Deutsche Bank Aktiengesellschaft (the Successor Bank), is a bank duly organized and existing under the laws of Germany, is now the successor of DB Privat- und Firmenkundenbank AG.