EBA欧洲银行-AT_AT0000000000043000VB_TR_2017_14页_1mb

2017 EU-wide Transparency Exercise Summary - Volksbanken Verbund

Core Content

The document provides detailed financial and risk-related data for Volksbanken Verbund as part of the 2017 EU-wide Transparency Exercise. It includes information on own funds, capital ratios, leverage ratios, risk exposure amounts, and P&L (Profit and Loss) for the bank, with data reported as of 31 December 2016 and 30 June 2017. The data is structured according to the Capital Requirements Regulation (CRR) and related COREP (Capital Requirements Reporting) codes.

Key Financial Metrics

Own Funds (Transitional Period)

• As of 31/12/2016: 2,003 mln EUR
• As of 30/06/2017: 1,951 mln EUR
• CET1 Capital (Net of deductions and transitional adjustments):
  • 31/12/2016: 1,642 mln EUR
  • 30/06/2017: 1,589 mln EUR
• Tier 1 Capital (Net of deductions and transitional adjustments):
  • 31/12/2016: 1,642 mln EUR
  • 30/06/2017: 1,604 mln EUR
• Tier 2 Capital (Net of deductions and transitional adjustments):
  • 31/12/2016: 362 mln EUR
  • 30/06/2017: 347 mln EUR

Capital Ratios (Transitional Period)

• Common Equity Tier 1 (CET1) Ratio:
  • 31/12/2016: 12.38%
  • 30/06/2017: 11.98%
• Tier 1 Capital Ratio:
  • 31/12/2016: 12.38%
  • 30/06/2017: 12.10%
• Total Capital Ratio:
  • 31/12/2016: 15.10%
  • 30/06/2017: 14.72%

CET1 Capital (Fully loaded)

• As of 31/12/2016: 1,596 mln EUR
• As of 30/06/2017: 1,563 mln EUR

Leverage Ratios

• Tier 1 capital - transitional definition:
  • 31/12/2016: 6.5%
  • 30/06/2017: 6.1%
• Tier 1 capital - fully phased-in definition:
  • 31/12/2016: 6.3%
  • 30/06/2017: 6.0%

Risk Exposure Amounts

• Total Risk Exposure Amount (As of 31/12/2016): 13,266 mln EUR
• Total Risk Exposure Amount (As of 30/06/2017): 13,260 mln EUR

Breakdown by Risk Type

• Credit Risk:
  • 31/12/2016: 11,609 mln EUR
  • 30/06/2017: 11,628 mln EUR
• Market Risk:
  • Traded Debt Instruments: 153 mln EUR (31/12/2016) → 128 mln EUR (30/06/2017)
  • Foreign Exchange and Commodities Risk: 0 mln EUR for both periods
• Operational Risk: 1,442 mln EUR for both periods

Profit and Loss (P&L) Overview

• Total Operating Income, Net:
  • 31/12/2016: 647 mln EUR
  • 30/06/2017: 352 mln EUR
• Profit or (Loss) Before Tax from Continuing Operations:
  • 31/12/2016: -85 mln EUR
  • 30/06/2017: 43 mln EUR
• Profit or (Loss) After Tax from Continuing Operations:
  • 31/12/2016: -80 mln EUR
  • 30/06/2017: 38 mln EUR
• Profit or (Loss) for the Year: -80 mln EUR (31/12/2016) → 38 mln EUR (30/06/2017)

Capital Components and Deductions

• CET1 Capital Elements:

  • Capital instruments eligible as CET1: 351 mln EUR (31/12/2016) → 307 mln EUR (30/06/2017)
  • Retained earnings: 919 mln EUR (31/12/2016) → 915 mln EUR (30/06/2017)
  • Accumulated other comprehensive income: -22 mln EUR (31/12/2016) → -24 mln EUR (30/06/2017)
  • Other Reserves: 248 mln EUR (31/12/2016) → 259 mln EUR (30/06/2017)
  • Funds for general banking risk: 110 mln EUR (31/12/2016) → 114 mln EUR (30/06/2017)
  • Transitional adjustments: 60 mln EUR (31/12/2016) → 25 mln EUR (30/06/2017)
  • Other CET1 deductions: -4 mln EUR (31/12/2016) → -3 mln EUR (30/06/2017)

• Additional Tier 1 Capital:

  • 31/12/2016: 0 mln EUR
  • 30/06/2017: 15 mln EUR

• Tier 2 Capital:

  • 31/12/2016: 362 mln EUR
  • 30/06/2017: 347 mln EUR

Key Regulatory References

• CET1 Capital: Articles 26(1) points (a) to (d), 36(1) points (f), and 42 of CRR
• Tier 1 Capital: Article 25 of CRR
• Tier 2 Capital: Article 71 of CRR
• Leverage Ratio: Article 429 of CRR and Delegated Regulation (EU) 2015/62
• Risk Exposure Amounts: Articles 36(1) points (c) to (l), 43 to 46, 49(2) and (3), 79, 89 to 91, 153(4) to (8), 243(1) point (k), and 258 of CRR

Summary of Key Observations

• The bank's own funds decreased slightly during the transitional period, from 2,003 mln EUR to 1,951 mln EUR.
• CET1 capital and Tier 1 capital both declined, with CET1 dropping from 1,642 mln EUR to 1,589 mln EUR.
• Leverage ratios decreased from 6.5% to 6.1% using the transitional definition of Tier 1 capital.
• Total risk exposure amount remained relatively stable at around 13,260 mln EUR.
• Credit risk remained the largest component, with no significant change in exposure amounts.
• P&L showed a significant improvement in the second half of 2017, moving from a loss of -85 mln EUR to a profit of 43 mln EUR.
• Transitional adjustments reduced from 60 mln EUR to 25 mln EUR, impacting CET1 capital.
• The standardised approach for credit risk provides detailed breakdowns by counterparty type and risk category, with exposures in default and high-risk items highlighted.

Conclusion

The data reflects the bank's financial position and risk profile under the CRR regulatory framework, with a focus on capital adequacy, leverage, and risk exposure. The transitional period appears to have resulted in a reduction in capital and leverage, while the P&L showed a notable improvement in the second half of 2017. The bank's exposure to credit risk remains substantial, and the standardised approach offers detailed insights into the composition of its risk portfolio.