7 7 Loans and advances to customers
Isopgave Voorwoord Bestuursverslag
Corporate governance
I
I
in millions of euros
2016
20151
Loans initiated by Rabobank:
Loans to government clients:
- leases
284
227
- other
2,957
3,083
I
Loans to private clients:
- overdrafts
21,677
30,758
- mortgages
206,450
212,685
I
- leases
19,984
25,923
- reverse repurchase transactions and securities
borrowing agreements
16,068
18,927
- corporate loans
184,647
173,789
- other
7,809
8,210
Gross loans and advances to customers
459,876
473,620
Less: loan impairment allowance loans and
advances to customers
(7,487)
(8,391)
452,389
465,211
Reclassified assets
418
782
Total loans and advances to customers
452,807
465,993
Loan impairment allowance loans and advances to customers
Balance on 1 January
8,391
9,348
Loan impairment charges from loans and
advances to customers
474
1,087
Write-down of defaulted loans during the year
(1,548)
(2,307)
Interest and other changes
170
263
Total loan impairment allowance loans and
advances to customers
7,487
8,391
Specific allowance
5,846
6,521
I
Collective allowance
756
997
1
IBNR
885
873
Total loan impairment allowance loans and
advances to customers
7,487
8,391
i
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Gross carrying amount of loans whose value
adjustments were established on an individual
basis
16,564
18,094
I
Consolidated Financial Statements
Company Financial Statements
Pillar 3
1 Prior-year figures adjusted due to changes in presentation and the
restatement (see note 2.1).
In 2016, Rabobank sold loans as part of its strategy and normal
business operations. Mortgage loans of EUR 1.5 billion were
sold to insurance companies. FGH Bank sold real estate loans for
an amount of EUR 0.2 billion and Obvion reduced its balance
sheet with EUR 1.4 billion through a sale of Dutch mortgages.
Rabobank acquired financial and non-financial assets during the
year by taking possession of collateral with an estimated value
of 61 (2015:62). It is the policy of Rabobank to sell these assets
in the reasonably foreseeable future. Yields are allocated to
repay the outstanding amount.
Reclassified assets
In 2008, based on the amendments to IAS 39 and IFRS 7,
Rabobank has identified assets to which this amendment
holding the securities for the near future as opposed to
in millions of euros
Financial assets held for trading
reclassified to loans
Available-for-sale financial assets
reclassified to loans
Total financial assets
reclassified to loans
31 December 2016
Carrying
amoun t Fair value
31 December 2015
Carrying
amount Fair value
If the reclassification had not been made, net profit
in 2016 would have been 33 more positive (2015:43 more
negative) if the reclassification of the available-for-sale financial
assets had not been carried out.
Following reclassification, the reclassified financial assets made
the following contribution to operating profit before taxation:
For the year ended 31 December
2016 2015
Net income
(2) 3
Loan impairment charges
Operating profit before taxation on
reclassified financial assets held for trading
(2) 3
Net income
9 16
Loan impairment charges
2
Operating profit before taxation on
reclassified available-for-sale financial assets
9 18
221 Notes to the consolidated financial statements
