Strategic Imperatives and Financial Overview
Credit Quality
Loans & Receivables and Islamic Financing
Highlights
■ The Bank continues to pro-actively manage credit quality
Impaired loans as a percentage of gross loans increased to 10.0% in
Q4 2010 from 8.1% in Q3 2010 and 2.6% in Q4 2009
Full required provision for Dubai World made in Q3 2010 and exposure
included in impaired loans (3)
■ Added AED 335m to PIP in 2010; total PIP of AED 2.2b at end-2010
representing 1.4% of unclassified lending credit RWAS
■ 80% of Saad and Al Gosaibi exposure provided at end-2010
Loan Portfolio by Type - 2010(1)
100% = AED 205.4b
Sovereign
26%
Retail
10%
Islamic
9%
Corporate
55%
Impaired Loans & Coverage Ratios (2)
101%
102% 105% 102%
109%
95%
98%
Impaired Loans & Impairment Allowance Composition (AED million)(2)
Impaired Loans Composition
Impairment Allowance
■Investment Securities
■Retail
48%
40%
■Islamic
Corporate
20,562
Composition
■Investment Securities
■Retail
15,155
Islamic
Corporate
8,322
10.0%
5,831
5,947
8.1%
3,751
3,292
1.674
1,660
3,314
1.788
1.6%
1.8%
2.1%
2.4%
2.6%
2.9%
3.1%
682
539
822
464
1,305
2,685
3,386
828
1,304
2,947
3,484
1,316
789
361
981
Q4 08
Q1 09
Q2 09
Q3 09
Q4 09
Q1 10
I Impaired Loans Ratio %
Q2 10 Q3 10 Q4 10
Coverage ratio %
673
265
2008
2009
2010
2008
2009
2010
1) Loans and advances before provisions
2) Impaired Loans, Impairment Allowances and Coverage ratios restated to include investment securities classified as loans & receivables; Impaired Loans ratio is calculated on gross loans & receivables
3) Impaired Loans, Impaired Loans Ratio and Coverage ratio for Q3 2010 restated accordingly
Emirates NBD
16View entire presentation