Financial Analysis and Currency Deposits slide image

Financial Analysis and Currency Deposits

Gross loans and coverage by IFRS 9 staging Gross loans by IFRS 9 stage (€ mn) Allowance for expected loan credit losses (€ mn) Coverage ratio 10,856 10,964 11,047 10,477 Dec 21 Mar 22 Jun 22 Stage 1 7,529 7,753 7,799 Jun 22 pro forma 792 7,799 74% 734 for HFS 84 677 54 85 52 83 51 Stage 1 1.1% 1.1% 1.1% 1.1% 355 Stage 2 1,984 1,964 2,080 20% 654 597 Stage 2 2.7% 2.7% 2.5% 2.4% 543 83 2,078 51 Stage 3 1,343 1,247 1,168 6% 221 Stage 3 48.7% 47.8% 46.5% 36.9% 600 Dec 21 Mar 22 Jun 22 Jun 22 Dec 21 Mar 22 Jun 22 pro forma % of gross loans for HFS Jun 22 pro forma for HFS . Coverage for stage 3 loans at 36.9% pro forma for HFS • Transfers of €198 mn loans from Stage 2 to Stage 1, due to improved performance and updated financial information •⚫ Transfer of €339 mn of loans from Stage 1 to Stage 2, mainly due to management overlays on sectors that are expected to be impacted by the prolonged geopolitical uncertainty and the persistent inflationary pressures as a result of soaring energy prices 31
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