Other Transitional Adjustments: 1,810 (31/12/2016) → 789 (30/06/2017)
Profit and Loss (P&L) Summary
Item
As of 31/12/2016 (EUR)
As of 30/06/2017 (EUR)
Interest Income
10,016
4,936
Interest Expenses
9,818
4,828
Net Fee and Commission Income
0
-3
Gains or Losses on Derecognition
60
23
Gains or Losses on Trading Financial Assets
112
-3
Gains or Losses on Fair Value through Profit or Loss
-2
20
Gains or Losses from Hedge Accounting
209
-137
Exchange Differences
-44
0
Net Other Operating Income/(Expenses)
-48
-3
Total Operating Income, Net
498
8
Administrative Expenses
391
245
Depreciation
16
7
Provisions or Reversal of Provisions
-2
0
Profit or Loss Before Tax from Continuing Operations
293
-248
Profit or Loss After Tax from Continuing Operations
336
-294
Profit or Loss After Tax from Discontinued Operations
17
2
Profit or Loss for the Year
352
-292
Market Risk Details
Risk Exposure
As of 31/12/2016 (EUR)
As of 30/06/2017 (EUR)
Traded Debt Instruments
577
535
Foreign Exchange Risk
306
216
Commodities Risk
0
0
Total Risk Exposure Amount
883
751
Credit Risk - Standardised Approach
Risk Type
As of 31/12/2016 (EUR)
As of 30/06/2017 (EUR)
Central Governments or Central Banks
24,342
22,848
Regional Governments or Local Authorities
11,901
11,049
Public Sector Entities
4,714
4,455
Corporates
8,148
7,971
Exposures in Default
604
539
Items with High Risk
198
181
Standardised Total
64,574
59,829
Country-Specific Risk Exposure (France)
Risk Type
As of 31/12/2016 (EUR)
As of 30/06/2017 (EUR)
Central Governments or Central Banks
107
101
Regional Governments or Local Authorities
669
641
Public Sector Entities
1,249
441
Corporates
849
798
Exposures in Default
236
232
Items with High Risk
65
62
Standardised Total
384
17
Country-Specific Risk Exposure (Germany)
Risk Type
As of 31/12/2016 (EUR)
As of 30/06/2017 (EUR)
Central Governments or Central Banks
15,958
14,727
Regional Governments or Local Authorities
0
0
Public Sector Entities
478
441
Corporates
1,093
901
Exposures in Default
0
0
Items with High Risk
0
0
Standardised Total
587
517
Key Observations
Capital Reduction: Dexia NV experienced a reduction in own funds from 6,916 million EUR in December 2016 to 6,591 million EUR in June 2017, primarily due to a decrease in retained earnings and accumulated other comprehensive income.
CET1 Capital: CET1 capital also declined, from 6,657 million EUR to 6,252 million EUR, with a corresponding decline in the CET1 ratio from 15.35% to 17.04%.
Leverage Ratio: The leverage ratio decreased from 4.1% to 4.0% using the transitional definition, but became negative (-0.5%) with the fully phased-in definition, indicating potential capital stress.
Risk Exposure: Total risk exposure decreased from 43,356 million EUR to 36,694 million EUR, with significant reductions in credit risk and market risk.
P&L Performance: Net operating income dropped sharply from 498 million EUR to 8 million EUR, and profit after tax from continuing operations turned negative from 336 million EUR to -294 million EUR, suggesting financial difficulties.
Capital Plan: Dexia NV approved a capital plan in December 2017 to convert EUR 5.5 billion of preference shares into ordinary shares, which are eligible as CET1 capital. This plan was also approved by the European Commission.
