EBA欧洲银行-ES_549300U4LIZV0REEQQ46_TR_2017_12页_733kb

2017 EU-wide Transparency Exercise Summary - Kutxabank

Core Information

• Bank Name: Kutxabank
• LEI Code: 549300U4LIZV0REEQQ46
• Country Code: ES (Spain)
• Reporting Periods: As of 31/12/2016 and 30/06/2017

Own Funds - Transitional Period

• Own Funds: Decreased from 4,613 mln EUR to 4,581 mln EUR
• CET1 Capital (net of deductions): Decreased from 4,613 mln EUR to 4,581 mln EUR
  • CET1 Capital Elements:
    • A.1.1 (Eligible CET1 Capital): Remained at 2,060 mln EUR
    • A.1.2 (Retained Earnings): Remained at 2,789 mln EUR
    • A.1.3 (Accumulated Other Comprehensive Income): Decreased from 507 mln EUR to 459 mln EUR
    • A.1.6 (Minority Interest in CET1): Increased from 1 mln EUR to 3 mln EUR
    • A.1.7 (Adjustments due to prudential filters): Decreased from -4 mln EUR to -1 mln EUR
    • A.1.8 (Intangible Assets): Decreased from -326 mln EUR to -334 mln EUR
    • A.1.13 (Excess deduction from AT1 items): Decreased from -130 mln EUR to -67 mln EUR
    • A.1.21 (Transitional Adjustments): Decreased from 203 mln EUR to 161 mln EUR
      • A.1.21.1 (Grandfathered CET1 instruments): No change
      • A.1.21.2 (Additional minority interests): Decreased from 4 mln EUR to 2 mln EUR
      • A.1.21.3 (Other transitional adjustments): Decreased from 199 mln EUR to 159 mln EUR

Capital Ratios - Transitional Period

• Common Equity Tier 1 (CET1) Ratio: Decreased from 15.20% to 14.81%
• Tier 1 Capital Ratio: Decreased from 15.20% to 14.81%
• Total Capital Ratio: Decreased from 15.20% to 14.81%

CET1 Capital - Fully Loaded

• CET1 Capital (fully loaded): Decreased from 4,540 mln EUR to 4,486 mln EUR
• CET1 Capital Ratio (fully loaded): Decreased from 14.96% to 14.51%

Leverage Ratio

• Tier 1 Capital (transitional definition): Decreased from 4,613 mln EUR to 4,581 mln EUR
• Leverage Ratio (transitional definition): Decreased from 8.1% to 7.9%
• Leverage Ratio (fully phased-in definition): Decreased from 8.0% to 7.8%
• Total Leverage Exposures (transitional): Increased from 57,029 mln EUR to 58,009 mln EUR
• Total Leverage Exposures (fully phased-in): Increased from 56,960 mln EUR to 57,916 mln EUR

Risk Exposure Amounts

• Total Risk Exposure Amount: Increased from 30,353 mln EUR to 30,922 mln EUR
• Credit Risk Exposure: Increased from 27,931 mln EUR to 28,508 mln EUR
• Securitisation and Re-securitisations (banking book): Decreased from 38 mln EUR to 36 mln EUR
• Market Risk Exposure (position, FX, commodities): Increased from 0 to 8 mln EUR

Profit and Loss (P&L)

• Total Operating Income (Net): Decreased from 1,155 mln EUR to 744 mln EUR
• Interest Income: Decreased from 693 mln EUR to 307 mln EUR
• Interest Expenses: Decreased from 146 mln EUR to 37 mln EUR
• Net Fee and Commission Income: Decreased from 396 mln EUR to 214 mln EUR
• Gains/Losses on derecognition of financial assets and liabilities: Increased from 177 mln EUR to 245 mln EUR
• Gains/Losses on financial assets held for trading: Increased from -1 mln EUR to 2 mln EUR
• Profit or Loss Before Tax from Continuing Operations: Decreased from 293 mln EUR to 134 mln EUR
• Profit or Loss After Tax from Continuing Operations: Decreased from 245 mln EUR to 171 mln EUR

Credit Risk - Standardised Approach

• Standardised Total Risk Exposure Amount: Decreased from 62,730 mln EUR to 53,698 mln EUR
• Risk Exposure Amount: Decreased from 27,931 mln EUR to 28,508 mln EUR
• Value Adjustments and Provisions: Decreased from 2,858 mln EUR to 2,556 mln EUR

Credit Risk - IRB Approach

• IRB Total Risk Exposure Amount: Remained at 0 mln EUR
• Risk Exposure Amount: Remained at 0 mln EUR
• Value Adjustments and Provisions: Remained at 0 mln EUR

Sovereign Exposure

• Total Sovereign Exposure (As of 31/12/2016): 4,938.5 mln EUR
• Total Sovereign Exposure (As of 30/06/2017): 6,213.7 mln EUR
• Breakdown of Financial Assets:
  • Held for Trading: Increased from 2,669.1 mln EUR to 3,567.1 mln EUR
  • Available-for-sale: Increased from 2,269.3 mln EUR to 2,646.6 mln EUR
  • Loans and Receivables: Increased from 2,225.1 mln EUR to 2,601.4 mln EUR
  • Held-to-maturity investments: Increased from 2,669.1 mln EUR to 3,567.1 mln EUR

Key Observations

• Capital Trends: CET1 and Tier 1 capital decreased during the reporting period, indicating a reduction in capital adequacy.
• Leverage Ratio: The leverage ratio slightly declined, reflecting a change in risk exposure and capital structure.
• Risk Exposure: Total risk exposure increased, mainly driven by market risk exposure.
• P&L Performance: Net operating income declined, with reductions in interest income and fee and commission income.
• Sovereign Exposure: There was a significant increase in sovereign exposure, primarily in held for trading and held-to-maturity investments.