Home » HSBC Annual Reports » 2006 Annual Report - page 199

HSBC 2006 Annual Report Download - page 199

Download and view the complete annual report

Please find page 199 of the 2006 HSBC annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

197

Impairment allowances and charges

Movement in allowance accounts for total loans and advances

(Audited)

Individually

assessed

Collectively

assessed Total

US$m US$m US$m

At 1 January 2006 ............................................................................................ 2,679 8,687 11,366

Amounts written off ........................................................................................ (1,023) (8,450) (9,473)

Recoveries of loans and advances written off in previous years .................... 128 651 779

Charge to income statement ............................................................................ 458 10,089 10,547

Exchange and other movements ...................................................................... 330 36 366

At 31 December 2006 ..................................................................................... 2,572 11,013 13,585

At 1 January 2005 ............................................................................................ 3,728 8,906 12,634

Amounts written off ........................................................................................ (1,102) (7,941) (9,043)

Recoveries of loans and advances written off in previous years .................... 199 295 494

Charge to income statement ............................................................................ 518 7,342 7,860

Exchange and other movements ...................................................................... (664) 85 (579)

At 31 December 2005 ...................................................................................... 2,679 8,687 11,366

Impairment allowances as a percentage of loans and advances to customers

(Unaudited)

At 31 December

2006 2005

% %

Total impairment allowances to gross lending1

Individually assessed impairment allowances .................................................................................. 0.30 0.36

Collectively assessed impairment allowances .................................................................................. 1.28 1.18

1.58 1.54

1 Net of reverse repo transactions, settlement accounts and stock borrowings.