HSBC 2015 Annual Report Download - page 426

Notes on the Financial Statements (continued)
30 – Subordinated liabilities
HSBC HOLDINGS PLC
424
First call
date
Maturity
date
2015
$m
2014
$m
Tier 2 securities issued by The Hongkong and Shanghai Banking Corporation Ltd
$400m Primary capital undated floating rate notes7Aug 1990 401 403
$400m Primary capital undated floating rate notes (second series)8Dec 1990
–
401
$400m Primary capital undated floating rate notes (third series) Jul 1991 400 400
801 1,204
Tier 2 securities issued by HSBC Bank Australia Limited
AUD200m Callable subordinated floating rate notes9 Nov 2015 Nov 2020
–
164
–
164
Tier 2 securities issued by HSBC Bank Malaysia Berhad
MYR500m 4.35% subordinated bonds Jun 2017 Jun 2022 116 143
MYR500m 5.05% subordinated bonds Nov 2022 Nov 2027 116 144
232 287
Tier 2 securities issued by HSBC USA Inc.
$200m 7.808% capital securities10 Dec 2006 Dec 2026
–
200
$200m 8.38% capital securities10 May 2007 May 2027
–
200
$150m 7.75% Capital Trust pass through securities10 Nov 2006 Nov 2026
–
150
$750m 5.00% subordinated notes
–
Sep 2020 747 738
$250m 7.20% subordinated debentures
–
Jul 2097 220 216
Other subordinated liabilities each less than $150m11 299 297
1,266 1,801
Tier 2 securities issued by HSBC Bank USA, N.A.
$500m 6.00% subordinated notes
–
Aug 2017 502 508
$1,250m 4.875% subordinated notes
–
Aug 2020 1,258 1,210
$1,000m 5.875% subordinated notes
–
Nov 2034 1,142 1,245
$750m 5.625% subordinated notes
–
Aug 2035 850 934
$700m 7.00% subordinated notes
–
Jan 2039 691 676
4,443 4,573
Tier 2 securities issued by HSBC Finance Corporation
$1,000m 5.911% trust preferred securities9 Nov 2015 Nov 2035
–
998
$2,939m 6.676% senior subordinated notes12
–
Jan 2021 2,188 2,185
2,188 3,183
Tier 2 securities issued by HSBC Bank Brazil S.A.13
BRL383m Subordinated certificates of deposit
–
Feb 2015
–
144
BRL500m Subordinated floating rate certificates of deposit
–
Dec 2016
–
188
Other subordinated liabilities each less than $150m11
–
81
–
413
Tier 2 securities issued by HSBC Bank Canada
CAD400m 4.80% subordinated debentures Apr 2017 Apr 2022 298 367
CAD200m 4.94% subordinated debentures7 Mar 2016 Mar 2021 144 172
CAD39m Floating rate debentures Oct 1996 Nov 2083 29 34
471 573
Securities issued by HSBC Mexico, S.A.
MXN1,818m Non-convertible subordinated obligations14 Sep 2013 Sep 2018 105 124
MXN2,273m Non-convertible subordinated obligations14 Dec 2013 Dec 2018 131 154
$300m Non-convertible subordinated obligations14,15 Jun 2014 Jun 2019 240 240
476 518
Securities issued by other HSBC subsidiaries
Other subordinated liabilities each less than $200m11 432 524
Subordinated liabilities issued by HSBC subsidiaries at 31 December 19,150 24,704
1 See paragraph below, ‘Guaranteed by HSBC Holdings or HSBC Bank plc’.
2 In June 2015, HSBC called and redeemed £500m 8.208% non-cumulative step-up perpetual preferred securities at par.
3 In February 2016, HSBC gave notice that it will call and redeem the €750m 5.13% non-cumulative step-up perpetual preferred securities.
4 In September 2015, HSBC called and redeemed £500m 4.75% callable subordinated notes and €500m callable subordinated floating rate notes at par.
5 The interest rate payable after March 2018 is the sum of the gross redemption yield of the then prevailing five-year UK gilt plus 1.80%.
6 The interest rate payable after November 2025 is the sum of the three-month sterling Libor plus 1.50%.
7 In January 2016, HSBC gave notice that it will call and redeem the $400m Primary capital undated floating rate notes and CAD200m 4.94%
subordinated debentures.
8 In December 2015, HSBC called and redeemed $400m Primary capital undated floating rate notes at par.
9 In November 2015, HSBC called and redeemed $1,000m 5.911% trust preferred securities and AUD 200m callable subordinated floating rate notes at par.
10 In June 2015, HSBC called and redeemed $200m 7.808% capital securities, $200m 8.38% capital securities, and $150m 7.75% Capital Trust pass
through securities at par.
11 Some securities included here are ineligible for inclusion in the capital base of HSBC in accordance with CRD IV rules.
12 Approximately $731m of the senior subordinated notes are held by HSBC Holdings.
13 Included in Note 23, Assets held for sale and liabilities of disposal groups held for sale.