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2. Justificación

4.2. Marco conceptual

4.2.2. Dimensiones del clima organizacional

Parent Bank Group

2011 2012 Amounts in NOK million 2012 2011

-64 94 Change in individual write-downs for impaired value during the period 97 -68 24 -40 Change in collective write-downs for impaired value during the period -40 26 144 141 Confirmed losses against which individual write-downs for impaired value

was previously made 144 151

1 40 Confirmed losses against which no individual write-downs for impaired value

was previously made 5 1

-8 -11 Payments received on loans, guarantees etc. previously written down -11 -9

97 224 Total losses on loans and guarantees 195 101

Individual write-downs for impaired value

258 193 Individual write-downs for impaired value on loans and guarantees as at 01.01. 208 273 144 141 - Confirmed losses during the period on loans and guarantees against

which individual write-downs for impaired value were previously made 144 150

24 22 - Reversal of previous years’ impaired value 24 24

13 4 + Increase in individual write-downs for impaired value of commitments against

which individual write-downs for impaired value were previously made 9 17 90 253 + Individual write-downs for impaired value of commitments where no allowance

were raised in previous years 254 92

193 287 = Individual write-downs for impaired value on loans and guarantees as at 31.12. 303 208 Individual write-downs for impaired value of guarantees, parent bank NOK 0.2 million, and group NOK 0.2 mill, are included in the balance sheet as at 31.12.12 under liabilities. Accordingly the amount in 2011 was NOK 2 mill.

Collective write-downs for impaired value

192 213 Collective write-downs for impaired value on loans and guarantees as at 01.01. 226 200 21 -31 + Collective write-downs for impaired value on loans and guarantees in the period -28 26 213 182 = Collective write-downs for impaired value on loans and guarantees as at 31.12. 198 226

Losses broken down by sector and industry 2011 2012 2012 2011 Propor- tion of losses Loss Propor- tion of losses Loss Propor- tion of losses Loss Propor- tion of losses Loss

0 % 1 Mining and quarrying 0 % -1 0 % 0

4 % 4 1 % 3 Construction 2 % 4 3 % 6

0 % 1 Building of ships and boats 0 % 1 0 % 0

Electricity, gas, steam an air conditioning supply 0 % 1 0 % 0 2 % 4 Professional, scientific and technical activities 2 % 4 0 % 0

15 % 35 Finanicial and insurance activities 0 % -1 0 % 0

0 % -1 Fishing 0 % 0 0 % 0

0 % 1 Marine aquaculture 0 % 1 0 % 0

-1 % -3 Other business support activities 0 % -1 0 % 0

-1 % -1 Activities auxiliary to financial services and

insurance activities 0 % -1

County muncipalities and muncipalities 0 % 0

1 % 1 2 % 4 Manufacturing 1 % 3 0 % 1

1 % 2 Information and communication 1 % 2 0 % 0

9 % 9 2 % 4 Crop and animal production 2 % 4 4 % 9

Foreign industrial 0 % 0

20 % 21 41 % 96 Real estate activities 47 % 96 10 % 21

5 % 5 Accomodation and food service activities 2 % 5

Forestry and logging 0 % 0

Central government and social security funds 0 % 0

Support activities for petroleum and natural gas extraction 0 % 0

11 % 12 0 % -1 Other service industries 0 % 1 6 % 12

-1 % -1 -1 % -2 Transportation and storage 0 % -1 0 % -1

10 % 10 4 % 10 International shipping and pipeline transport 5 % 10 5 % 10

21 % 49 Development of building projects 24 % 49 0 % 0

-1 % -3 Extraction of crude oil and natural gas -1 % -3 0 % 0

Unspecified 0 % 0

17 % 40 Water supply; sewerage, waste management and

remediation activities 19 % 39 0 % 0

2 % 2 -1 % -2 Wholesale and retail trade; repair of motor vehicles

and motorcycles 0 % -1 1 % 2

21 % 22 -1 % -3 Retail banking market 0 % -1 11 % 23

30 % 32 Collective write-downs for impaired value - corporate market 16 % 33 -10 % -11 Collective write-downs for impaired value - retail banking market -5 % -11

Collective write-downs for impaired value

(losses on repossessed properties) 0 % 0

100 % 105 100 % 235 Losses on loans to customers 100 % 206 100 % 109

notE 14 - writE-down For iMpairEd valuE oF loan and advancEs

Net non-performing and impaired commitments - Parent Bank

31.12.12 31.12.11 31.12.10 31.12.09 31.12.08

Non-performing commitments, not impaired 357 452 475 541 422

Impaired 586 322 361 194 272

Non-performing and impaired commitments 943 774 836 735 694

Individual write-downs for impaired value 104 88 129 184 141

Interest on reversal of discounted impairment of value 183 105 129 36 52

Total individual write-downs 287 193 258 220 193

Net non-performing and impaired commitments 656 581 578 515 501

2012 2011 2010 2009 2008

Interest on written-down loans, included in Income * 56 50 46 36 55

Net non-performing and impaired commitments - Group

31.12.12 31.12.11 31.12.10 31.12.09 31.12.08

Non-performing commitments, not impaired 397 471 492 575 453

Impaired 592 338 378 228 303

Non-performing and impaired commitments 989 809 870 803 756

Individual write-downs for impaired value 120 96 137 190 146

Interest on reversal of discounted impairment of value 183 112 136 42 57

Total individual write-downs 303 208 273 232 203

Net non-performing and impaired commitments 686 601 597 571 553

2012 2011 2010 2009 2008

Interest on written-down loans, included in Income * 56 50 46 36 55

* Ordinary effective interest income, reduced by the amortising effect of interest related to individual write-downs, has been included in Income. Corresponding inclusion of income has been applied in the case of loans involving collective related write-downs, calculated at an average, effective rate of interest.

notE 15 - MarkEt risk rElatEd to intErEst ratE risk

This note is a sensitivity analysis conducted based on relevant balance sheet items as at 31.12.12 and in the future. The bank’s interest rate risk is calculated by simulating a parallel interest rate shift of 1% for the entire interest rate curve.

Value changes are calculated for all the items in the balance sheet when the market risk linked to the interest rate risk is measured. The interest rate risk has been low throughout 2012 and within the overall limit of NOK 60 million established by the bank’s Executive Board. The market risk linked to the interest rate risk has a limited effect on the bank’s profit performance due to the low exposure.

Parent Bank Group

Sensitivity to net interest cost Amounts in NOK million Sensitivity to net interest cost

31.12.11 31.12.12 31.12.12 31.12.11

Valuta

-10.50 5.00 NOK +200 5.00 -10.50

-1.00 -1.40 Valuta +200 -1.40 -1.00

notE 16 - MarkEt risk rElating to ForEign ExcHangE risk

The currency risk is measured as the net currency exposure for each individual currency in which the long and short positions are set off. The currency risk has been low throughout the

year and within the overall limits established by the bank’s

Executive Board.

Parent Bank Group

Net foreign exchange exposure Net foreign exchange exposure

2011 2012 Amounts in NOK million 2012 2011

Currency 0.1 6.5 EUR 6.5 0.1 30.5 29.7 USD 29.7 30.5 178.5 195.1 DKK 195.1 178.5 161.5 179.0 RUB 179.0 161.5 1.8 -0.2 Miscellaneous -0.2 1.8 372.4 410.1 Total 410.1 372.4

50 50 Total foreign exchange limits 50 50

40 40 Total per currency 40 40

SpareBank 1 Nord-Norge enters into hedging contracts with respected Norwegian and foreign banks in order to reduce its own risk.

Financial derivatives transactions are related to ordinary banking operations and are done in order to reduce the risk relating to the Bank’s funding loans from the financial markets, and in order

to cover and reduce risk relating to customer-related activities. Only hedging transactions relating to the Bank’s funding loan operations are defined as ‘fair value hedging’ in accordance with IFRS standard IAS 39. Other hedging transactions are defined as ordinary accounts-related hedging. The Bank does not use cash flow hedging.

Fair value hedges 31.12.12 31.12.11

Net losses recognised related to hedging instruments for fair value hedging were: 266 -61

Total gains on hedged items related to the hedged risk were: -267 61

Total, fair value hedges -1 0

The Bank’s main Board of Directors has determined limits for maximum risk for the Bank’s interest rate positions. Routines have been established to ensure that positions are maintained within these limits.

notE 17 - Financial dErivativEs

Currency- and interest rate contracts consist of

Interest rate swaps

• Commitments to exchange one set of cash flow for another over an agreed period. Foreign exchange derivatives

• Agreements to buy or sell a fixed amount of currency at an agreed future date at a rate of exchange which has been agreed in advance.

Currency swaps

• Agreements relating to the swapping of currency- and interest rate terms and conditions, periods and amounts having been agreed in advance.

Interest rate- and currency swap agreements

• Agreements involving the swapping of currency- and interest rate terms and conditions, periods and amounts having been agreed in advance.

Options

• Agreements where the seller gives the buyer a right, but not an obligation to either sell or buy a financial instrument or currency at an agreed date or before, and at an agreed amount.

general description

Foreign currency-

and interest rate instruments 2012 2011

Amounts in NOK million Contract/notional

amount Fair value Contract/notional amount Fair value Assets Liabilites Assets Liabilites

Fair value through profit and loss account

Foreign currency instruments Foreign exchange financial derivatives

(forwards) 1 679 39 6 2 936 43 25

Currency swaps 4 996 140 68 5 708 178 74

Currency options

Total, non-standardised contracts 6 675 179 74 8 644 221 99

Standardised foreign currency contracts (futures)

Total, foreign currency instruments 6 675 179 74 8 644 221 99

Foreign currency-

and interest rate instruments 2012 2011

Amounts in NOK million Contract/notional

amount Fair value Contract/notional amount Fair value Assets Liabilites Assets Liabilites

Fair value through profit and loss account

Interest rate instruments Interest rate swaps

(including cross currency) 23 275 453 617 19 363 282 389

Short-term interest rate swaps (FRA)

Other interest rate contracts 1 811 8 7 4 211 3 6

Total, non-standardised contracts 25 086 461 624 23 574 285 395

Standardised interest rate contracts (futures)

Total, interest rate instruments 25 086 461 624 23 574 285 395

Securing of funding

Interest rate instruments Interest rate swaps

(including cross currency) 8 318 593 15 9 125 344 25

Short-term interest rate swaps (FRA) Other interest rate contracts

Total, non-standardised contracts 8 318 593 15 9 125 344 25

Standardised interest rate contracts (futures)

Total, interest rate instruments 8 318 593 15 9 125 344 25

Total foreign currency- and interest rate instruments

Total, interest rate instruments 33 404 1 054 639 32 699 629 420

Total currency swaps and forwards 6 675 179 *

74 8 644 221 99

Total 40 079 1 234 713 41 343 850 519

* The parent bank includes NOK 6 million for the subsidiary SpareBank 1 Finans that has been eliminated in the group balance sheet.

notE 17 - Financial dErivativEs

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