HSBC 2009 Annual Report Download - page 238

HSBC HOLDINGS PLC
Report of the Directors: Risk (continued)
Credit risk > Impairment allowances > Net loan impairment charge
236
Individually and collectively assessed impairment charge to income statement by industry segment
(Unaudited)
2009 2008
Individually
assessed
US$m
Collectively
assessed
US$m
Total
US$m
Individually
assessed
US$m
Collectively
assessed
US$m
Total
US$m
Banks .................................................................. 70 – 70 54 – 54
Personal ............................................................... 316 19,465 19,781 110 20,840 20,950
Residential mortgages .................................... 171 4,014 4,185 26 4,974 5,000
Other personal ................................................ 145 15,451 15,596 84 15,866 15,950
Corporate and commercial ................................. 3,699 1,012 4,711 1,782 1,097 2,879
Commercial, industrial and international
trade ............................................................ 1,681 711 2,392 912 661 1,573
Commercial real estate and other
property-related .......................................... 1,330 162 1,492 613 142 755
Other commercial ........................................... 688 139 827 257 294 551
Financial ............................................................. 373 7 380 118 130 248
Total charge to income statement ....................... 4,458 20,484 24,942 2,064 22,067 24,131
Net loan impairment charge to the income statement
(Unaudited)
2009 2008 2007 2006 2005
US$m US$m US$m US$m US$m
Individually assessed impairment allowances
New allowances ....................................................................... 5,173 2,742 1,533 1,297 1,715
Release of allowances no longer required .............................. (581) (565) (608) (711) (998)
Recoveries of amounts previously written off ........................ (134) (113) (129) (128) (199)
4,458 2,064 796 458 518
Collectively assessed impairment allowances
New allowances net of allowance releases ............................. 21,240 22,788 17,257 10,740 8,425
Release of allowances no longer required .............................. – – – – (788)
Recoveries of amounts previously written off ........................ (756) (721) (876) (651) (295)
20,484 22,067 16,381 10,089 7,342
Total charge for impairment losses ............................................. 24,942 24,131 17,177 10,547 7,860
Banks ...................................................................................... 70 54 – (3) (7)
Customers ............................................................................... 24,872 24,077 17,177 10,550 7,867
% % % % %
Charge for impairment losses as a percentage of closing
gross loans and advances ........................................................ 2.26 2.17 1.39 0.99 0.90
US$m US$m US$m US$m US$m
At 31 December
Impaired loans8 ............................................................................ 30,845 25,422 19,594 15,086 12,360
Impairment allowances8 .............................................................. 25,649 23,972 19,212 13,585 11,366
For footnote, see page 291.