EBA欧洲银行-ES_549300OLBL49CW8CT155_16页_3mb

2014 EU-wide Stress Test Summary for ES - Caja de Ahorros y M.P. de Zaragoza, Aragón y Rioja

Core Information

• Bank Name: ES - Caja de Ahorros y M.P. de Zaragoza, Aragón y Rioja
• LEI Code: 549300OLBL49CW8CT155
• Report Period: 2013–2016

Summary: Adverse Scenario

Summary: Baseline Scenario

Memorandum Items

Key Findings

• Common Equity Tier 1 (CET1) Ratio:

  • In the Baseline Scenario, the CET1 ratio increased slightly from 10.0% in 2013 to 10.6% in 2016, indicating improved capital adequacy under normal conditions.
  • In the Adverse Scenario, the CET1 ratio decreased from 10.0% in 2013 to 7.9% in 2016, suggesting a significant capital erosion under stress conditions.

• Operating Profit Before Impairments:

  • In the Baseline Scenario, the 3-year cumulative operating profit before impairments increased from 398 to 520 EUR million.
  • In the Adverse Scenario, it dropped from 398 to 209 EUR million, showing a decline in profitability under stress.

• Impairment Losses:

  • In the Baseline Scenario, impairment losses decreased from 548 to 427 EUR million over three years.
  • In the Adverse Scenario, impairment losses increased significantly from 548 to 1,070 EUR million, reflecting higher loan defaults and credit losses.

• Trading Book Losses:

  • The Baseline Scenario showed minimal losses (1 EUR million) in the trading book over three years.
  • The Adverse Scenario reported losses of 5 EUR million, indicating some impact from market stress.

• Valuation Losses from Sovereign Shock:

  • In the Adverse Scenario, valuation losses due to sovereign shock amounted to -25 EUR million after tax and prudential filters, highlighting the impact of sovereign debt issues.

Risk Exposure and Provisions

Baseline Scenario (as of 31 December 2013)

Adverse Scenario (as of 31 December 2013)

Impairment Rates and Coverage Ratios

Baseline Scenario

Adverse Scenario

Summary of Key Observations

• The Baseline Scenario shows a relatively stable performance, with a slight increase in CET1 ratio and a decrease in impairment losses.
• The Adverse Scenario highlights a significant decline in CET1 ratio and a sharp rise in impairment losses, suggesting a higher risk of capital erosion.
• The bank's risk exposure increased in the adverse scenario, indicating higher vulnerability to stress.
• The bank did not have any instruments that convert into Common Equity Tier 1 or are written down under the stress test conditions, as of the 2014–2016 period.