The Company was incorporated in 1928 as a state-run rural and mortgage credit bank, whose core business was long- term loans backed by mortgage guarantee. In 1931, after absorbing Banco Pelotense, the Company began to operate as collector of Rio Grande do Sul State’s taxes.

Since then, our Company has initiated an expansion process, with the opening of branches in several cities in the state, proceeding with its growth and consolidation process by absorbing state-run financial institutions, such as Banco Real de Pernambuco, Banco Sul do Brasil, Rio Grande do Sul State Development Bank, BADESUL and Distribuidora de Títulos e Valores Mobiliários do Estado do Rio Grande do Sul - DIVERGS.

In March 1990, the Company became a multiple-service Bank, with commercial portfolio, real estate credit and loan, financing and investment. In 1997, it absorbed Caixa Economica Estadual’s branches, clients and certain assets; thus, it operates the payment of state government civil servants and provide financial services to the State of Rio Grande do Sul and other entities related thereto.

In view of its inclusion in the Program for Reducing the Presence of the State Public Sector in Banking Activity (PROES), the Company underwent a restructuring process that resulted in a capital injection of R$1,400.0 million, comprising: (i) R$700.0 million from bonds issued by the Brazilian government and the Central Bank; and (ii) R$700.0 million from actuarial liabilities from the Banrisul Foundation and amounts due to the Brazilian Development Bank (BNDES) which were assumed by the State of Rio Grande do Sul and subsequently converted into interest in the Company’s capital stock.

In 2007, the Company concluded the capital injection process with the Primary and Secondary Public Offering of Class B Preferred Shares. The funds provided by the offering totaling R$800 million reinforced its capital base, allowing Banrisul to finance credit granting expansion and to implement information technology investment and commercial strategies, ensuring greater competitiveness and solidifying its role as agents supporting the development of Rio Grande do Sul’s economy.

In order to comply with market requirements, the Company adhered to the Corporate Governance Level 1 of São Paulo Stock Exchange (Bovespa) and constituted the Department of Investor Relations, Capital Markets and Governance, with the purpose of maintaining and strengthening relationship with stakeholders.

The year 2009 was marked by the consolidation of the strategy of adding efficiency and quality to management, which was accomplished through the implementation of a result oriented management model. This decision implied a profound and comprehensive change across all of the Bank’s channels, the modernization of its technological infrastructure, the revision of internal processes, the development of a new credit model, the restructuring of the model of sales targets and remuneration for employees, and the implementation of a financial initiative at an opportune time, which was bank’s capitalization in 2007.

In 2011, we entered into partnerships with Visa, MasterCard and VerdeCard, and an agreement with the SafetyPay system for international purchases via Amazon.com. The strengthening of Rede Banricompras helps in executing the strategy of geographic diversification and in sustaining the Bank’s growth. In this regard, in December 2011 the Company, signed a Memorandum of Understanding and carried out due diligence for the potential acquisition of 49.9% of what was then known as Bem-Vindo Promotora de Vendas e Serviços, a chain of stores and a structure specialized in the origination of payroll-deductible loans for social security (INSS) beneficiaries as well as federal, state and municipal government employees. The operation, conducted in partnership with MatoneInvest Holding, is part of the strategic move to leverage client relations channels, expand the credit portfolio and augment the potential for the nationwide distribution of financial products and services.

In 2012, in order to leverage customer relationship channels and the loan portfolio, as well as potential for distributing products and services, the Company acquired 49.9% of the shares of Bem Promotora de Vendas e Serviços. Additionally, in order to expand funding sources and elevate Banrisul’s Basel ratio, a total ofUS$775 million in international funding was obtained from a subordinated debt issue maturing in 2022.

2013 was marked by growth of revenues from services driven by cards, insurance and acquiring. 2013 also saw the reorganization of the Banrisul Serviços Ltda. subsidiary and Banrisul Cartões S.A. was incorporated to grow card issuing and acquiring business, including benefit cards, and energize Banricompras.

In 2014, the Company launched Vero as a new brand for its multi-banner acquiring network and signed a partnership agreement with Icatu Seguros to incorporate an insurer offering life insurance and pension plans.

In 2015, the current executive board took office, with the exception of the substitution of one of our executive officers. It consists of nine members, of which seven in their capacity as Company employees, one from Central Bank of Brazil and one from the State of Rio Grande do Sul Treasury Department. Appointments were based on technical criteria and the board’s focus is strengthening the Company’s position in the market. Also in 2015 the Bank was authorized to join the Banrisul Icatu Participações holding company, which holds the entire share capital of Rio Grande Seguros e Previdência, the new insurer offering life insurance products and pension plans through the Bank’s distribution channel. The holding company Banrisul Icatu Participações S.A. (BIPAR) was incorporated as part of the Banrisul Group in August 2015. With 49.9% of its capital, BIPAR shows how the Bank’s business model is evolving by absorbing part of the income from the operation in addition to revenue in the form of commission earned on the products, as was the case previously.

In 2016, the purchase of payroll services for public servants was an important component of the marketing strategy, with due regard for customers’ rights to portability. The Company and the Rio Grande do Sul State Government entered into an agreement on the assignment for consideration of services relating to the payroll of active and inactive public servants of the State’s direct administration for a period of 10 years. In the second half of 2016, the Bank and the Judiciary Branch of the State of Rio Grande do Sul entered into an agreement on the purchase of services regarding the payroll of servants of the Court of Appeals for a period of 5 years. In the municipal sphere, commercial actions were also focused on the maintenance of existing agreements and establishment of new agreements for payment of municipal servants.

In 2017, the Voluntary Retirement Plan - PAV was instituted to encourage the redundancy of employees close to official retirement, on favorable conditions. During the second half of the year, the highlight was the Voluntary Redundancy Plan - PDV, intended for employees located in branches/units attached to the Regional Superintendences of other states and recognition of the entitlement to tax credits for IRPJ and CSLL taxes resulting from the legal action against "Summer Plan". At the same time, a policy was implemented to channel credit to lower risk lines, increasing the share of private individuals within the total portfolio and being much more selective when analyzing and granting new transactions. To ensure the viability of this strategy of a more aggressive posture in a mass market, new credit risk models were reviewed and implemented.In December 2017, the Bank established a strategic partnership with Icatu Seguros, aiming at the creation of a new company, for the sale of capitalization products in Banrisul‘s distribution channels.