ING Direct 2011 Annual Report Download - page 231

Risk management continued
ING Bank
In the table below the residential mortgage portfolio and the mortgage collateral amount are shown. Please note that the figures shown
are based on credit collateral amounts, meaning the market values of these properties after haircuts.
Promises
Promises are defined as a legally binding declaration by persons or organisations that give ING Bank the right to expect and claim from
those persons or organisations if ING Bank’s customer fails on its obligations to ING Bank. Common examples are guarantees received
andletters of credit.
The following tables show the credit risk outstandings and cover values per line of business: Retail Banking (comprising both Benelux,
Direct & International) and Commercial Banking. Outstandings for Retail Banking are reported for the most relevant retail product being
Residential Mortgages while the remaining outstandings are classified as Other Lending.
Outstandings for Commercial Banking are reported for the most relevant categories being Financial Institutions, Corporates and Governments,
while the remaining outstandings are classified as Other. Credit risk outstandings are inclusive of both on balance and off balance sheet
outstandings, and of all risk categories.
For each product or category, the cover amounts are then reported for the most relevant collateral categories being Mortgages and Cash,
and for the most relevant Promises category being Guarantees. The remaining collaterals and promises are included in the category Other.
Performing Assets – Cover values***** including guarantees received**
31 December 2011
Outstandings* Mortgages*** Cash Guarantees** Other
Total Credit
Covers****
Retail
Residential Mortgages 336,876 538,692 538,692
Other Lending 13,529 3,104 3,104
Total Retail 350,405 541,796 541,796
Commercial
Financial Institutions 162,590 3,421 1,331 9,982 3,281 18,015
Corporates 225,848 73,916 4,819 21,642 54,161 154,538
Governments 75,762 89 12 3,365 1,373 4,839
Other 41,327 4,274 61 63 242 4,640
Total Commercial 505,527 81,700 6,223 35,052 59,057 182,032
Total 855,932 623,496 6,223 35,052 59,057 723,828
Performing Assets – Cover values***** including guarantees received**
31 December 2010
Outstandings* Mortgages*** Cash Guarantees** Other
Total Credit
Covers****
Retail
Residential Mortgages 315,226 523,195 523,195
Other Lending 12,439 2,787 2,787
Total Retail 327, 6 65 525,982 525,982
Commercial
Financial Institutions 157, 83 4 4,199 1,119 8,174 3,962 17,45 4
Corporates 218,554 67,79 6 4,106 26,490 45,094 143,486
Governments 80,087 62 23,401 1,571 5,036
Other 43,943 3,310 65 102 497 3,974
Total Commercial 500,418 75,367 5,292 38,167 51,124 169,950
Total 828,083 601,349 5,292 38,167 51,124 695,932
* Excluding intercompany positions
** Guarantees received can be additional to pledges and not necessarily replace covers
*** The used valuations methods for the underlying covers may vary per cover
**** Credit covers are the sum of all existing covers. Excess cover amounts on specific loans cannot be put in place for loans without covers.
Therefore, the figures shown in the table should not be used for netting calculation purposes
1 Who we are 2 Report of the Executive Board 3 Corporate governance 4 Consolidated annual accounts 5 Parent company annual accounts 6 Other information 7 Additional information
229ING Group Annual Report 2011