ERSTE&STEIERMÄRKISCHE BANK d.d. with its headquarters in Rijeka, Jadranski trg 3/a (hereinafter: the Bank) announces that it has received a notification from the Croatian National Bank about its MREL requirement (Minimum Requirement for own funds and Eligible Liabilities) set by the Single Resolution Board (SRB) and calibrated on balance sheet data as of 31 December 2019 and the Bank Recovery and Resolution Directive 2 (BRRD2).
The Bank, as the resolution entity of the Croatian resolution group , must comply with binding interim MREL requirements equivalent to 20.96% (excluding the Combined Buffer Requirement (CBR)) of the Total Risk Exposure Amount (TREA) and 5.91% of the Leverage Ratio Exposure (LRE) of the Croatian resolution group starting from 1 January 2022.
The MREL requirements on fully loaded basis, effective from 1 January 2024, are equivalent to 24.82% of TREA (excluding CBR) and 5.91% of LRE of the Croatian resolution group, respectively.
No subordination requirement has been set at the level of the Croatian resolution group.
The TREA of the Croatian resolution group as of 31 December 2019 (as applied by SRB for the MREL calibration) amounted to EUR 6.17 billion and LRE to EUR 9.80 billion.
The table below summarises the current MREL requirements:
|
Requirements for Croatian Resolution Group based on December 2019 data |
from 1 January 2022
|
|
|
|
in % of TREA (excl. CBR) |
in % of LRE |
|
Total MREL |
20.96% |
5.91% |
These requirements are in line with Bank’s expectations and have been duly considered in the funding plan for this and the following years.
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(1) MREL requirements do not apply to Erste&Steiermärkische Bank’s sub-consolidated balance sheet, but to the Croatian resolution group comprising mainly Erste&Steiermärkische Bank d.d. and its direct Croatian subsidiaries with business in Croatia and EU. As the Croatian resolution group is not a legal entity or reporting unit, there is neither a statutory reporting nor a capital requirement at the consolidation level of the Croatian resolution group.
Erste&Steiermärkische Bank d.d.
Source of information:
Erste&Steiermärkische Bank d.d.
Jadranski trg 3/A, 51000 Rijeka
Informations to shareholders:
tel/fax: 385 072 37 1000; +385 072 37 5000
e-mail: pr@erstebank.com
web: www.erstebank.hr
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