RBS 2010 Annual Report Download - page 153

2010 2009
AQ10 credit risk assets AQ10
£m
%of divisional
credit risk assets
AQ10
£m
%of divisional
credit risk assets
UK Retail 5,017 4.6 4,846 4.7
UK Corporate 5,130 4.8 5,604 5.1
Wealth 9— 11 0.1
Global Transaction Services 349 1.0 242 0.7
Ulster Bank 4,348 10.7 2,741 6.5
US Retail & Commercial 599 1.2 506 1.0
Retail & Commercial 15,452 4.3 13,950 3.9
Global Banking & Markets 2,551 1.5 2,806 1.4
Core 18,003 3.2 16,756 3.0
Non-Core 25,005 19.9 22,666 14.3
43,008 6.2 39,422 5.5
The table below provides a breakdown of AQ10 credit risk assets by sector.
AQ10 credit risk assets 2010
£m
2009
£m
Personal 7,620 6,955
Property 23,672 20,145
Banks and financial institutions 1,981 1,928
Transport and storage 1,689 1,026
Other 8,046 9,368
43,008 39,422
Key points
xThe Core divisions have generally seen an improvement in asset
quality within the performing book during 2010 as the economic
environment has slowly improved.
xAnotable exception is Ulster Bank where weakness in the Irish
property sector continues to impact portfolio trends and the stock
of defaulted assets (AQ10) continues to grow. Refer to section on
Ulster Bank on pages 161 to 165 for more details.
xNon-Core exposure has reduced across all AQ bands with the
exception of AQ10, where the transfer of additional property
assets from Ulster Bank and defaults within the property sector in
Ireland and globally have led to an increase over 2009. Credit
migration for the remaining Non-Core portfolio has been neutral
since the end of the first quarter of 2010.
xThere have been no major changes in the specific sectors
contributing to AQ10 band with property (55%) remaining the
dominant contributor.
151RBS Group 2010
Business review
Risk and balance sheet management