Bank of Montreal 1998 Annual Report Download - page 72

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BANK OF MONTREAL GROUP OF COMPANIES
TABLE 13 IMPAIRED LOANS AND ACCEPTANCES BY ACCOUNTING CLASSIFICATION ($ millions)
As at or for the year ended October 31 1998 19 9 7 19 9 6 19 9 5 19 9 4
Gross impaired loans and acceptances, beginning of year 787 1,397 1,730 2,447 4,249
Additions to impaired loans and acceptances 621 660 959 806 1,267
Reductions in impaired loans and acceptances (a) (389) (936) (948) (1,073) (1,922)
Net new additions (reductions) 232 (276) 11 (267) (655)
Write-offs (195) (334) (344) (450) (1,147)
Gross impaired loans and acceptances, end of year 824 787 1,397 1,730 2,447
Allowance for credit losses (ACL) (b), beginning of year 1,145 1,033 895 1,071 1,986
Increases – specific allowance 106 169 437 264 132
Increases – general allowance 110 200 0 125 50
Transfer of allowance 0100 150 0 50
Write-offs (c) (195) (357) (449) (565) (1,147)
Allowance for credit losses (b), end of year 1,166 1,145 1,033 895 1,071
Net impaired loans and acceptances (NIL), beginning of year (358) 364 835 1,376 2,263
Change in gross impaired loans and acceptances 37 (610) (333) (717) (1,802)
Change in allowance for credit losses (21) (112) (138) 176 915
Net impaired loans and acceptances, end of year (342) (358) 364 835 1,376
TABLE 14 BALANCE SHEET SUMMARY ($ millions)
As at October 31 19 9 8 19 97 19 9 6 19 9 5 19 9 4 19 9 3 19 9 2 1991 199 0 198 9
Assets
Cash resources 19,730 32,245 24,187 20,317 14,659 12,081 11,288 13,607 12,502 8,581
Securities 43,465 41,789 36,609 33,019 26,535 23,328 22,581 17,862 12,238 9,761
Loans (net) 129,691 114,918 98,413 88,442 88,634 74,028 68,251 60,172 55,106 54,303
Acceptances 6,944 5,594 4,397 4,469 3,430 3,555 2,878 3,712 3,508 2,778
Other assets 22,760 13,292 6,226 5,587 4,917 3,877 4,037 3,372 4,016 3,498
Total assets 222,590 207,838 169,832 151,834 138,175 116,869 109,035 98,725 87,370 78,921
Liabilities and Shareholders’ Equity
Deposits 143,983 144,212 119,262 109,605 98,241 87,859 86,601 77,769 70,170 62,985
Other liabilities 63,208 50,892 39,670 32,602 31,178 20,961 15,604 14,836 11,801 10,860
Subordinated debt 4,791 3,831 3,314 2,595 2,218 2,363 1,666 1,570 1,473 1,329
Share capital
Preferred 1,958 1,274 857 858 860 852 832 718 475 650
Common 3,095 3,019 2,989 3,002 3,002 2,632 2,539 2,416 2,276 2,162
Retained earnings 5,555 4,610 3,740 3,172 2,676 2,202 1,793 1,416 1,175 935
Total liabilities and shareholders’ equity 222,590 207,838 169,832 151,834 138,175 116,869 109,035 98,725 87,370 78,921
Average Balances
Loans (d) 130,686 113,136 94,598 87,028 77,292 73,918 66,469 58,227 53,793 53,110
Assets (d) 227,450 196,721 158,316 144,115 122,234 113,387 104,591 94,118 81,971 78,878
TABLE 15 UNREALIZED GAINS ON SECURITIES AND RESERVES (e) ($ millions)
As at October 31 1998 19 9 7 19 9 6 19 9 5 19 9 4
Securities
Designated lesser-developed countries (LDC) 22 43 91 200 247
Associated corporations (190) 118 132 na na
High yield securities /distressed portfolio (f) (29) 0000
Other securities 344 293 148 156 (74)
147 454 371 356 173
General allowance for credit losses 885 775 475 325 200
Fair value of past due interest bonds 41 57 100 95 101
Loans to designated LDC 22 4 4 (12)
928 834 579 424 289
To t a l 1,075 1,288 950 780 462
SUPPLEMENTAL INFORMATION
(a) Loans and acceptances returning to performing status, sales and repayments.
(b) Excludes ACL for off-balance sheet exposure. Also excludes LDC reservations in
excess of impaired loans (1998 – $98 million, 1997 – $93 million,
1996 – $108 million, 1995 – $360 million, 1994 – $425 million).
(c) Write-offs on designated LDC include losses on sales of performing assets that
were charged directly against the allowance (1998 – $0, 1997 – $3 million,
1996 – $109 million, 1995 – $115 million, 1994 – $0).
(d) Daily averages for 1990 to 1998.
(e) Securities and LDC loans.
(f) Consists of the corporate debt securities portfolios accounted for on an accrual basis.
na – Not applicable