ING Direct 2015 Annual Report Download - page 256

Contents
Report of the
Executive Board
Corporate
Governance
Consolidated
annual accounts
Parent company
annual accounts
Other
information
Additional
information
Additional Pillar III information - continued
The Corporates portfolio increased by EUR 35.1 billion READ and EUR 16.7 bio RWA. The increase in READ is mainly attributable to the
Structured Finance portfolio which showed healthy growth. In light of the political and economic turmoil, exposures to Russia were
reduced in 2015, mainly visible in Natural Resources industry. Even though exposure to Ukraine remained relatively stable in 2015, the
economic recession had its impact on the portfolio resulting in an increased non-performing portfolio increasing the RWA.
Additionally, the update of the Leveraged Finance and the Commercial Property Finance LGD models has also increased RWA, EUR 4.2
billion and EUR 1.1 billion respectively. Cures were also noticeable in the portfolio, of which the largest in READ was driven by a change
in the rating for a client which was assessed as performing by its super preferential character. The risk profile of the Real Estate
portfolio has also improved, decreasing its share in the non-performing loan book.
ING Bank Annual Report 2015 254