BPCE - 2019 RISK REPORT Pillar III

CAPITAL MANAGEMENT AND CAPITAL ADEQUACY

COMPOSITION OF REGULATORY CAPITAL

Common Equity Tier 1 (CET1)

CORE CAPITAL AND DEDUCTIONS Common Equity Tier 1 consists of: share capital; • additional paid-in capital or merger premiums; • reserves, including revaluation differences and gains or losses • recognized directly in other comprehensive income; retained earnings; • net income attributable to equity holders of the parent; • non-controlling interests in banking or related subsidiaries for • the share after CET1 eligibility caps. The following deductions are made: treasury shares held and measured at their carrying amount; •

intangible assets, including set-up costs and goodwill; • deferred tax assets and liabilities that rely on future • profitability; prudential filters arising from CRR Articles 32, 33, 34 and 35: • gains or losses on cash flow hedges, gains on transactions in securitized assets, own credit risk; negative amounts arising from the comparison between • provisions and expected losses (in this calculation, performing loans are clearly separated from loans in default); equity interests in eligible banking, financial and insurance • institutions, according to the rules on allowances for these holdings and the phase-in period; value adjustments arising from the prudent valuation of assets • and liabilities measured at fair value according to a prudential method, deducting any value adjustments; irrevocable payment commitments. •

4

TABLE 3 – CHANGES IN CET1 CAPITAL

CET1 capital

in millions of euros

12/31/2018

62,178

Cooperative share issues

1,633 2,685 (504)

Income net of proposed dividend payout*

Other items 12/31/2019

65,992

Including the actual 2018 dividend paid in 2019, less the proposed 2018 dividend payout. * TABLE 4 – BREAKDOWN OF NON-CONTROLLING INTERESTS (MINORITY INTERESTS)

Non-controlling interests

in millions of euros

Carrying amount (regulatory scope) – 12/31/2019

6,521 (152) (416) (301) (334) (259) 5,059

Perpetual deeply subordinated notes classified as non-controlling interests

Ineligible non-controlling interests

Proposed dividend payout

Caps on eligible non-controlling interests

Other items

Prudential amount – 12/31/2019

47

RISK REPORT PILLAR III 2019 | GROUPE BPCE

Made with FlippingBook - professional solution for displaying marketing and sales documents online