2 1 Debt securities in issue
22 Financial liabilities held for trading
24 Other liabilities
23 Financial liabilities designated
at fair value
25 Provisions
Contents Introduction Management report Appendices Corporate governance Consolidated Financial Statements Company Financial Statements
in millions of euros
2017
2016
Certificates of deposit
26,749
33,948
Commercial paper
10,978
11,848
Bonds
85,458
102,713
Other debt securities
11,238
10,833
Total debt securities in issue
134,423
159,342
Financial liabilities held for trading are mainly negative fair
values of derivatives and delivery obligations that arise on the
short selling of securities. Securities are sold short to realise
gains from short-term price fluctuations.The securities needed
to settle short sales are acquired through securities lending
and repurchasing agreements. The fair value of the shares and
bonds sold short are amount to 581 (2016: 739).
to retained earnings as a result of derecognition of financial
liabilities designated at fair value (2016:0).
The carrying value of the structured notes is 5,223 (2016:6,236)
lower than the amount Rabobank is contractually obliged to
repay to the holders of the structured notes. This difference is
mainly attributable to the effect of zero-coupon notes of which
the accrued interest is not due until final redemption.
The change in fair value that is attributable to changes in own
credit risk is calculated by deducting on a note by note basis
the current fair value of the structured notes portfolio at the
reporting date from the fair value recalculated based on the
prevailing credit curve at the time of origination, with all other
pricing components unchanged.This calculation reflects the
amount that can be attributed to the change in the own credit
risk of Rabobank since the origination of these structured notes.
in millions of euros 2017 2016
Debt securities issued 9,803 12,646
Deposits 3,989 3,874
Total financial liabilities designated at fair value 13,792 16,520
in millions of euros Note 2017 2016
Payables 5,843 5,582
Accrued interest 2,117 2,541
Employee benefits 27 292 315
Other 19 (6)
Total other liabilities 8,271 8,432
The cumulative change in fair value of the financial liabilities
designated at fair value attributable to changes in the own
credit risk of Rabobank amounts to 833 before taxes (2016:405).
In 2017 an amount of minus 4 has been reclassified from OCI
in millions of euros 2017 2016
Restructuring provision 332 461
Provision for legal issues 591 770
Other provisions 614 279
Total provisions 1,537 1,510
in millions of euros
Opening balance on 1 January 2017
Additions
Withdrawals
Releases
Closing balance on 31 December 2017
Restructuring
provision
461
309
(288)
(150)
332
Provision for
legal issues
770
149
(300)
(28)
591
Other
provisions
279
448
(105)
(8)
614
Total
1,510
906
(693)
(186)
1,537
Opening balance on 1 January 2016
Additions
Withdrawals
Releases
Closing balance on 31 December 2016
354
594
(408)
(79)
461
347
583
(44)
(116)
770
227
126
(50)
(24)
279
928
1,303
(502)
(219)
1,510
In the additions of the restructuring provision, an amount of
192 (2016:403) is included for the reorganisation programme
of the local Rabobanks. This reorganisation provision consists
of future payments relating to redundancy pay and other
Rabobank Annual Report 2017 - Consolidated financial statements
223
