Investor Presentaiton
Group Financial Results for the nine months ended 30 September 2020
Buffer to MDA Restrictions Level & Distributable Items¹
Maximum Distributable Amount for BOCH
CET1 Ratios
14.6%
~.11.0%
359 bps
L-1.3%
}
9.7%
Unfilled
AT1 + T2
capacity
• The Bank and BOCH having obtained approval by their shareholders,
the ECB and the Court of Cyprus and Irish High Court respectively,
implemented a capital reduction process in October 2020, which
resulted in the reclassification of ~€619 mn and €700 mn of share
premium to distributable reserves respectively
• No prohibition applies to the payment of coupons on any AT1 capital
instruments issued by the Company and the Bank²
• Significant CET1 MDA buffer³ (30 Sep 2020): ~359 bps (~€426 mn)
CET1 30 Sep 2020
30 Sep 20203
MDA Threshold
CET1
Ratio (%)
CET1
Req
Unfilled AT1 &
T2 Bucket
[ ] bps
Distance
to MDA
72
1)
2)
3)
Distributable Items definition per CRR
Based on the SREP decisions of prior years, the Company and the Bank were under a regulatory prohibition for equity dividend distribution and therefore no dividends were declared or paid during years 2019 and 2018. Following the 2019 SREP decision, which will continue to be
in effect in 2021, the Company and the Bank are still under equity dividend distribution prohibition. This prohibition does not apply if the distributions are made via the issuance of new ordinary shares to the shareholders which are eligible as CET1 capital
Including phasing in of O-SII buffer (+50 bps). The Central Bank of Cyprus (CBC) set the O-SII buffer for the Group at 2%. This buffer will be phased-in gradually, having started from 1 January 2019 at 0.5% and increased by 0.5% every year thereafter, until being fully implemented
on 1 January 2022. In April 2020 the CBC, as part of the COVID measures, decided to delay the phasing-in by 12 months (1 January 2023). As a result, the phasing-in of 0.5% on 1 January 2021 has been delayed for 12 months
Bank of Cyprus Holdings
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