Bank of Ireland 2019 Credit Presentation
Capital - fully loaded CET1 ratio improved by 60bps
Capital ratios - Dec 2019
Bank of Ireland 2019 Credit Presentation
Total equity
Less Additional Tier 1
Deferred tax
Intangible assets and goodwill
Foreseeable dividend'
Expected loss deduction
Other items²
Common Equity Tier 1 Capital
Credit RWA
Operational RWA
Market, Counterparty Credit Risk and Securitisations
Other Assets/10/15% threshold deduction
Total RWA
Common Equity Tier 1 ratio
Total Capital Ratio
Leverage ratio
Phasing impacts on Regulatory ratio
Regulatory ratio
(€bn)
Fully loaded ratio
(€bn)
10.5
10.5
(0.8)
(0.8)
(0.5)
(1.0)
(0.8)
(0.8)
(0.2)
(0.2)
(0.4)
(0.4)
(0.3)
(0.4)
7.5
6.9
40.5
40.4
4.4
4.4
1.6
1.6
3.6
3.5
50.1
49.9
15.0%
13.8%
18.6%
17.4%
7.1%
6.5%
• Deferred tax assets - certain DTAs are deducted at a rate of 50% for 2019, increasing annually at a rate of 10% thereafter until 2024
• IFRS 9 - the Group has elected to apply the transitional arrangement which, on a Regulatory CET1 basis, resulted in minimal impact
from initial adoption and will partially mitigate future impacts in the period to 2022. The transitional arrangement allows a 85% add-back
in 20194, decreasing to 70%, 50%, and 25% in subsequent years
1 Dividend deduction of €189m (c.40bps of CET1 capital), equivalent to an annualised dividend per share of 17.5c
2 Other items - the principal items being the cash flow hedge reserve, securitisation deduction and 10%/15% threshold deduction
3 Deferred tax assets due to temporary differences are included in other RWA with a 250% risk weighting applied
4 The IFRS9 addback to the Regulatory CET1 was c.15bps at 31 Dec 2019, reduced from c.18bps at 31 Dec 2018
Bank of Ireland
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