Bank of the West 2014 Annual Report Download - page 35

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Consolidated VIEs
The following table presents information on assets and liabilities of the consolidated VIEs, as they are included in
these line items in our consolidated balance sheets:
As of December 31,
(dollars in thousands) 2014 2013
Assets
Cash and due from banks $ 31,264 $-
Loans and leases:
Loans and leases 1,044,483 301,705
Less: Allowance for loan and lease losses 1,592 1,347
Net loans and leases 1,042,891 300,358
Other assets 1,489 22
Total assets $1,075,644 $300,380
Liabilities
Long-term debt $ 658,326 $ 12,800
Other liabilities 1,033 1,637
Total liabilities $ 659,359 $ 14,437
The assets of the VIEs consolidated by the Bank can only be used to settle the liabilities of the VIEs. The creditors
of these VIEs do not have any recourse to assets of the Bank.
Unconsolidated VIEs
The following tables present the carrying amount of assets, liabilities and our maximum exposure to loss related to
the Bank’s unconsolidated VIEs in the consolidated balance sheets:
(dollars in thousands)
Total
Assets(1)
Total
Liabilities(1)
Maximum
Exposure
to Loss
December 31, 2014
Tax credit investments $277,998 $111,543 $489,110
December 31, 2013
Tax credit investments 187,966 56,795 364,484
(1) Reported in other assets or other liabilities.
9. Regulatory Capital Requirements
The Bank is subject to various regulatory capital requirements administered by federal banking agencies. If the
Bank fails to meet minimum capital requirements, these agencies can initiate certain discretionary and mandatory
actions. Such regulatory actions could have a material effect on the Bank’s consolidated financial statements. The Bank
constantly monitors its regulatory capital levels and, if necessary, may obtain capital from its parent company through
BNP Paribas or by other means.
Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet
specific capital guidelines that involve quantitative measures of its assets and certain off-balance sheet items as
calculated under regulatory accounting practices. These capital amounts and classifications are also subject to qualitative
judgments by the regulators about components, risk weightings and other factors.
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