Bank of Montreal 2012 Annual Report Download - page 154

Notes
Note 15: Deposits
Payable on demand Payable Payable on
(Canadian $ in millions) Interest bearing Non-interest bearing after notice a fixed date Total
2012 2011 2012 2011 2012 2011 2012 2011 2012 2011
November 1,
2010
Deposits by:
Banks 816 747 611 541 2,653 2,423 13,210 17,166 17,290 20,877 19,409
Businesses and governments 16,461 11,839 21,431 18,769 44,052 37,953 103,238 90,648 185,182 159,209 131,892
Individuals 4,745 7,170 10,388 9,438 63,770 59,313 42,327 46,366 121,230 122,287 99,043
Total (1) (2) 22,022 19,756 32,430 28,748 110,475 99,689 158,775 154,180 323,702 302,373 250,344
Booked in:
Canada 21,167 18,845 24,280 21,059 60,654 51,340 97,243 96,434 203,344 187,678 171,310
United States 596 496 8,007 7,562 48,968 47,767 49,614 43,881 107,185 99,706 64,077
Other countries 259 415 143 127 853 582 11,918 13,865 13,173 14,989 14,957
Total 22,022 19,756 32,430 28,748 110,475 99,689 158,775 154,180 323,702 302,373 250,344
(1) Includes structured notes designated at fair value through profit or loss.
(2) As at October 31, 2012 and 2011, total deposits payable on a fixed date included
$17,613 million and $18,190 million, respectively, of federal funds purchased, commercial
paper issued and other deposit liabilities. Included in deposits as at October 31, 2012,
October 31, 2011 and November 1, 2010 are $146,003 million, $134,398 million and
$92,213 million, respectively, of deposits denominated in U.S. dollars, and $4,777 million,
$4,908 million and $5,207 million, respectively, of deposits denominated in other foreign
currencies.
Deposits
Deposits payable on demand are comprised primarily of our customers’
chequing accounts, some of which we pay interest on. Our customers need
not notify us prior to withdrawing money from their chequing accounts.
Deposits payable after notice are comprised primarily of our
customers’ savings accounts, on which we pay interest.
Deposits payable on a fixed date are comprised of:
‰Various investment instruments purchased by our customers to earn
interest over a fixed period, such as term deposits and guaranteed
investment certificates. The terms of these deposits can vary from one
day to 10 years.
‰Federal funds purchased, which are overnight borrowings of other
banks’ excess reserve funds at a United States Federal Reserve Bank.
As at October 31, 2012, we had borrowed $1,674 million of federal
funds ($831 million in 2011).
‰Commercial paper, which totalled $4,513 million as at
October 31, 2012 ($3,804 million in 2011).
‰Covered bonds, which totalled $9,104 million as at October 31, 2012
($7,087 million in 2011).
The following table presents the maturity schedule for our deposits
payable on a fixed date:
Payable on a Fixed Date
(Canadian $ in millions) 2012 2011
November 1,
2010
Within 1 year 114,309 106,655 105,025
1 to 2 years 10,493 15,944 11,636
2 to 3 years 13,343 10,107 12,388
3 to 4 years 7,772 7,078 1,980
4 to 5 years 9,710 8,644 5,916
Over 5 years (1) 3,148 5,752 4,279
Total (2) 158,775 154,180 141,224
(1) Includes structured notes designated at fair value through profit or loss.
(2) Includes $134,146 million of deposits, each greater than one hundred thousand dollars,
of which $79,223 million were booked in Canada, $43,006 million were booked in the
United States and $11,918 million were booked in other countries ($125,083 million,
$75,712 million, $35,505 million and $13,866 million, respectively, in 2011). Of the
$79,223 million of deposits booked in Canada, $35,023 million mature in less than three
months, $5,250 million mature in three to six months, $7,979 million mature in six to
12 months and $30,971 million mature after 12 months ($75,712 million, $33,582 million,
$1,846 million, $6,154 million and $34,130 million, respectively, in 2011). We have liquid
assets of $154,606 million to support these and other deposit liabilities ($147,771 million in
2011). A portion of these liquid assets have been pledged.
The following table presents the average deposit balances and average rates of interest paid during 2012 and 2011:
Average balances Average rate paid (%)
(Canadian $ in millions, except as noted) 2012 2011 2012 2011
Deposits Booked in Canada
Demand deposits – interest bearing 19,146 17,489 0.44 0.41
Demand deposits – non-interest bearing 23,343 21,620 ––
Payable after notice 56,262 49,282 0.60 0.53
Payable on a fixed date 92,314 89,469 1.24 1.90
Total deposits booked in Canada 191,065 177,860 0.82 1.14
Deposits Booked in the United States and Other Countries
Banks located in the United States and other countries 9,213 8,619 0.60 0.53
Governments and institutions in the United States and other countries 8,381 9,909 0.35 0.54
Other demand deposits 7,546 4,497 0.02 0.03
Other deposits payable after notice or on a fixed date 105,212 70,874 0.51 0.73
Total deposits booked in the United States and other countries 130,352 93,899 0.47 0.66
Total average deposits 321,417 271,759 0.68 0.98
As at October 31, 2012 and 2011, deposits by foreign depositors in our Canadian bank offices amounted to $24,639 million and $18,237 million, respectively.
BMO Financial Group 195th Annual Report 2012 151