Investor Presentaiton
Large capital buffers complemented by creditor-friendly note
structure and strong capacity for capital coupon payments
■ AT1 instruments include a contractual
dividend stopper
Coupons are discretionary as required
for AT1 instruments
■ Credit Suisse Group AG will be prohibited from making any AT1
interest payment if either:
-
-
- Distributable Profits¹ are less than such interest payment
plus the aggregate amount of payments on tier 1 instruments
Regulatory capital requirements are not met
BIS CET1 ratio and capital in CHF bn
14.1%
4Q222
CET1
capital ratio
35.3
CHF
CHF
22.8 bn
Conversion³ 17.8 bn
/write-down CET1 buffer 2,5
trigger4
CET1 buffer2
Write-
7.0%
down
trigger4
17.5
5.0%
12.5
FINMA prohibits such interest payment
CET1 Common equity tier 1
CET1 capital
4Q22
CET1 capital
at conversion/write-down trigger
CET1 capital
at write-down trigger
Note: For presentation purposes the CET1 buffer for the 5.125% low-trigger capital instruments is not shown. The write-down trigger for certain capital instruments takes into account that other outstanding capital instruments that contain
relatively higher capital ratios as part of their trigger feature are expected to convert into equity or be written down prior to the write down of such capital instruments 1 Distributable Profits = aggregate of i) net profits carried forward and ii) freely available reserves (other
than reserves for own shares), in each case, less any amounts that must be contributed to legal reserves under applicable law, all as appearing in the Relevant Accounts (i.e., the audited unconsolidated financial statements of the Issuer for the previous financial year).
According to Swiss Law, as of the end of 2022, Distributable Profits of Credit Suisse Group AG, under the terms of our regulatory capital instruments were CHF 22.0 bn and consisted of total shareholders' equity of CHF 22.7 bn less total non-distributable shareholders'
equity of CHF 0.7 bn 2 Based on end 4Q22 BIS risk-weighted assets of CHF 250.5 bn 3 Conversion into equity upon Credit Suisse Group AG's (the "Group") reported CET1 ratio falling below 7%, or a determination by FINMA that conversion is necessary, or that
the Group requires public sector capital support, to prevent it from becoming insolvent or otherwise failing 4 The principal amount of the instrument would be written-down to zero and canceled if the following trigger events were to occur: A) the Group's reported CET1
ratio falls below either 7% or 5%, subject to the terms of the particular instrument; or B) FINMA determines that cancellation of the instrument and other similar contingent capital instruments is necessary, or that the Group requires public sector capital support, in either
case to prevent it from becoming insolvent or otherwise failing ("Customary Non-Viability Scenarios") 5 Buffer before CHF 10.5bn of high-trigger AT1 instruments are written-down
9
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