Investor Presentaiton
Asset Quality
Cost of risk¹
Cost of Risk Cyprus
-
Cost of Risk - Group
4,3%
Accumulated provisions
Accumulated provisions (€ bn)
Provisions % Gross loans
24,1%
3,6%
2,8%
2,8% 2,7%
21,6% 22,2% 22,5% 21,6%
4,0%
18,6% 19,1% 19,3% 20,0%
2,1%
2,2%
2,1%
2,4%
2,4%
2,2%
1,9%
1,7%
1,5%
1,6%
5,0
5,0
1Q2014 1H2014 9M2014 FY2014 1Q2015 1H2015 9M2015 FY2015
Dec
4,9 4,9
Mar
Jun Sep Dec
Mar
2013 2014 2014 2014 2014 2015
5,1
5,4
5,4
4,9
5,4
Jun Sep
2015 2015
Dec
2015
Provision coverage ratios
90+ DPD provision coverage
NPEs provision coverage
42% 43%
41%
41%
39%
38%
39% 38%
48%
•
Group annualised cost of risk for FY2015 was 4,3%; The increase
in provisioning levels reflects the assumption changes in the
Bank's methodology in line with the regulatory dialogue with the
ECB
Accumulated provisions totaled €5,4 bn and accounted for 24,1%
of gross loans at 31 December 2015
The 90+ DPD provisioning coverage ratio improved to 48% at
31 December 2015; The 90+ DPD provisioning coverage ratio
calculated in line with local peers, with reference to the contractual
balances of customers, totalled 58%2
The NPEs provisioning coverage ratio improved to 39% at 31
December 2015. The NPEs provisioning coverage ratio
calculated in line with local peers, with reference to the contractual
balances of customers, totalled 49%
39%
36%
35%
35%
35%
33% 34%
34%
35%
Dec
Mar Jun Sep Dec
2013 2014 2014 2014 2014
Mar
Jun
Sep
Dec
2015
2015
2015
2015
(1) Calculated as the provisions for impairment of customer loans, including provisions of discontinued operations, (in total €1.307 mn), net of gains on
derecognition and changes in expected cash flows on acquired loans (totalling €305 mn) over average gross loans
(2)
This ratio is calculated by adjusting both the provisions stock and the customer balances to include any unrecognized interest income due on contractual
balances.
Bank of Cyprus
14
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