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Rothschild & Co | Annual Report 2017
The tables below disclose the maximum exposure to credit risk at 31 December 2017 and at 31 March 2017 for financial assets with exposure to credit
risk, without taking account of collateral held or other credit risk mitigation.
In millions of euro
Category 1 Category 2 Category 3 Category 4 Category 5 Impairment
allowance
31/12/2017
Cash and amounts due from central banks
3,868.9
–
–
–
–
– 3,868.9
Financial assets at fair value through profit
or loss
(1)
50.2
–
–
–
–
–
50.2
Loans and advances to banks
1,730.2
–
–
–
–
–
1,730.2
Loans and advances to customers
2,855.2
33.1
34.2
128.3
16.0
(76.9)
2,989.9
Available-for-sale debt securities
985.2
–
–
2.0
7.7
(8.2)
986.7
Other financial assets
387.1
34.3
–
10.6
10.1
(15.7)
426.4
Subtotal assets
9,876.8
67.4
34.2
140.9
33.8
(100.8)
10,052.3
Commitments and guarantees
563.6
–
0.3
–
–
–
563.9
TOTAL
10,440.4
67.4
34.5
140.9
33.8
(100.8)
10,616.2
(1) Excluding equity.
In millions of euro
Category 1 Category 2 Category 3 Category 4 Category 5 Impairment
allowance
31/03/2017
Cash and amounts due from central banks
3,907.4
–
–
–
–
–
3,907.4
Financial assets at fair value through profit
or loss
(1)
33.0
–
–
–
–
–
33.0
Loans and advances to banks
1,918.1
–
–
–
–
– 1,918.1
Loans and advances to customers
2,679.9
37.0
75.2
137.4
16.8
(79.0)
2,867.3
Available-for-sale debt securities
1,061.2
–
0.4
5.1
9.3
(11.0)
1,065.0
Other financial assets
420.1
38.1
–
14.1
14.5
(20.6)
466.2
Subtotal assets
10,019.7
75.1
75.6
156.6
40.6
(110.6)
10,257.0
Commitments and guarantees
494.5
–
–
–
–
–
494.5
TOTAL
10,514.2
75.1
75.6
156.6
40.6
(110.6)
10,751.5
(1) Excluding equity.
The Group no longer uses “past due but not impaired” as a category for its risk assessment. Amounts previously disclosed as past due but not impaired are
now shown in the categories 2 or 3 as appropriate. The comparatives for credit risk have been restated accordingly.
2 Past due but not impaired assets
A financial asset is considered to be past due when the counterparty has failed to make a payment when contractually due (unless this is caused by
short-term administrative delays). Financial assets that are past due but not impaired are exposures for which a provision is not considered necessary
despite non-payment of the contractual obligations.
The table below analyses amounts considered by the business as past due but not impaired by how far they are past their due date:
In millions of euro
31/12/2017
31/03/2017
Loans and
advances to
customers
Other
financial
assets
TOTAL
Loans and
advances to
customers
Other
financial
assets
TOTAL
Less than 90 days
–
–
–
1.2
–
1.2
Between 90 and 180 days
–
6.6
6.6
1.5
13.6
15.1
Between 180 days and one year
–
14.2
14.2
15.0
13.8
28.8
More than one year
12.9
13.5
26.4
0.6
10.7
11.3
TOTAL
12.9
34.3
47.2
18.3
38.1
56.4
Where refinancing and sale options are difficult, it is generally in the lender’s and borrower’s interest to extend certain facilities at maturity and not to
foreclose on the security. This assumes there are no underlying issues regarding the borrower’s ability to continue to service the loan and the level of
collateral is expected to be of sufficient quality to secure the principal.
Notes to the consolidated financial statements