EBA欧洲银行-EBA_ST_IT_81560097964CBDAED282_34页_5mb

2018 EU-wide Stress Test Summary for Unione di Banche Italiane Società Per Azioni

Core Information

• Bank Name: Unione di Banche Italiane Società Per Azioni
• LEI Code: 81560097964CBDAED282
• Country Code: IT (Italy)

Summary of Financial Performance

Credit Risk IRB Analysis

Exposure Values (Restated: 31/12/2017)

Risk Exposure Amounts (31/12/2018-2020)

Key Performance Indicators

• Non-performing Exposure (NPE):

  • Coverage Ratio: Ranged from 43.82% (starting year) to 47.27% (Baseline Scenario) and 45.61% (Adverse Scenario).
  • NPE Stock of Provisions: Increased from 2,246 (Baseline) to 4,068 (Adverse Scenario).
  • Of which: from NPE: Increased from 37.8% (Baseline) to 39.3% (Adverse Scenario).

• Capital Ratios:

  • CET1: Decreased from 11.56% (starting year) to 11.51% (Baseline) and dropped to 8.32% (Adverse Scenario).
  • Leverage Ratio: Decreased from 5.85% (starting year) to 5.29% (Baseline) and further to 3.97% (Adverse Scenario).

• Profitability:

  • Profit for the year: Decreased from 712 (starting year) to -201 (Baseline) and -829 (Adverse Scenario).
  • Gains/Losses on financial assets: Decreased from 123 to 86 (Baseline) and further to 59 (Adverse Scenario).
  • Impairment Reversal: Increased from -1,051 (starting year) to -1,696 (Adverse Scenario).

Summary of Key Findings

• The bank faced a decline in profitability under both baseline and adverse scenarios, with the adverse scenario showing a significant drop in profit.
• The CET1 ratio and leverage ratio both declined over the stress test period, indicating potential capital stress in adverse conditions.
• The coverage ratio of non-performing exposure slightly increased in the adverse scenario, suggesting an improved ability to cover NPE, but the stock of provisions rose significantly.
• The bank’s exposure to corporates and retail sectors showed a decrease in non-defaulted and defaulted exposure in the adverse scenario.
• No mandatory conversion of instruments or eligible instruments converting to CET1 or being written down were reported during the 2018-2020 period.