TD Bank 2009 Annual Report Download - page 144

TD BANK FINANCIAL GROUP ANNUAL REPORT 2009 FINANCIAL RESULTS140
Non-Retail Financial Assets Subject to the AIRB Approach by Risk Rating1
(millions of Canadian dollars) Non-
Investment investment Watch and Impaired/
grade grade classified defaulted Total
2009
Loans
Residential mortgages $ 38, 681 $ – $ – $ – $ 38,681
Consumer instalment and other personal 31,951 235 – – 32,186
Business and government 16,389 15,675 924 365 33,353
Debt securities classified as loans19,057 683 733 199 10,672
Total loans 96,078 16,593 1,657 564 114,892
Securities – held-to-maturity 9,662 – – – 9,662
Securities purchased under reverse repurchase agreement 27,094 3,690 – – 30,784
Customers’ liability under acceptances 5,040 4,798 96 5 9,939
Other assets215,785 52 4 – 15,841
Total assets 153,659 25,133 1,757 569 181,118
Off-balance sheet credit instruments 42,911 5,091 232 29 48,263
Total $ 196,570 $ 30,224 $ 1,989 $ 598 $ 229,381
2008
Loans
Residential mortgages $ 42,767 $ 1,937 $ 13 $ 5 $ 44,722
Consumer instalment and other personal 22,939 320 – – 23,259
Business and government 13,790 14,850 745 229 29,614
Total loans 79,496 17,107 758 234 97,595
Securities – held-to-maturity 8,904 360 – – 9,264
Securities purchased under reverse repurchase agreement 32,487 4,179 – – 36,666
Customers’ liability under acceptances 6,106 4,738 190 – 11,034
Other assets213,138 186 – 25 13,349
Total assets 140,131 26,570 948 259 167,908
Off-balance sheet credit instruments 50,153 8,683 151 27 59,014
Total $ 190,284 $ 35,253 $ 1,099 $ 286 $ 226,922
The following tables provide the on and off-balance sheet exposures
by risk rating for certain non-retail and retail financial assets that are
subject to the Advanced Internal Rating Based (AIRB) approach to credit
risk. Under the AIRB approach, assets receive a risk rating based on
1As a result of the 2009 Amendments to CICA Handbook Section 3855, certain
available-for-sale and held-to-maturity securities were reclassified to loans, as
described in Note 1a).
2Other assets include amounts due from banks and interest-bearing deposits
with banks.
Retail Financial Assets Subject to the AIRB Approach by Risk Rating1
(millions of Canadian dollars) Low risk Normal risk Medium risk High risk Default Total
2009
Loans
Residential mortgages $ 6,586 $ 7,434 $ 4,257 $ 1,106 $ 118 $ 19,501
Consumer instalment and other personal 5,976 20,443 14,442 3,626 196 44,683
Credit card 655 1,831 2,554 2,198 71 7,309
Business and government 184 1,791 2,037 1,371 95 5,478
Total loans 13,401 31,499 23,290 8,301 480 76,971
Total assets 13,401 31,499 23,290 8,301 480 76,971
Off-balance sheet credit instruments 16,960 15,836 6,197 1,410 6 40,409
Total $ 30,361 $ 47,335 $ 29,487 $ 9,711 $ 486 $ 117,380
2008
Loans
Residential mortgages $ 4,202 $ 6,177 $ 2,703 $ 332 $ 50 $ 13,464
Consumer instalment and other personal 7,348 20,263 9,219 3,170 166 40,166
Credit card 637 1,797 2,303 1,855 56 6,648
Business and government 137 1,586 2,096 1,364 86 5,269
Total loans 12,324 29,823 16,321 6,721 358 65,547
Total assets 12,324 29,823 16,321 6,721 358 65,547
Off-balance sheet credit instruments 19,796 15,762 5,902 1,586 6 43,052
Total $ 32,120 $ 45,585 $ 22,223 $ 8,307 $ 364 $ 108,599
1Credit exposures relating to the Bank's insurance subsidiaries have been excluded.
The financial instruments held by the insurance subsidiaries are mainly comprised
of available-for-sale securities and securities designated as trading under the fair
value option, which are carried at fair value on the Consolidated Balance Sheet.
internal models of the Bank’s historical loss experience (by counterparty
type) and on other key risk assumptions. Refer to the Managing Risk –
Credit Risk section of the MD&A for a discussion on the credit risk
rating for non-retail and retail exposures subject to the AIRB approach.