RBS 2010 Annual Report Download - page 175

2008
Loans and
advances
£m
Securities
£m
Derivatives
£m
Other (1)
£m
Total
£m
Netting
and
offset (2)
£m
Europe
Central and local government 1,830 21,929 228 5 23,992 —
Finance - banks 7,274 — — — 7,274 —
- other (3) 10,480 20,657 7,840 3,608 42,585 —
Residential mortgages 23,394 29 4 — 23,427 —
Personal lending 4,641 28 19 — 4,688 —
Property 19,769 1 299 — 20,069 —
Construction 5,183 — 91 — 5,274 —
Manufacturing 25,843 53 371 — 26,267 2
Service industries and business activities 40,444 10,163 2,347 85 53,039 840
Agriculture, forestry and fishing 1,327 50 1 — 1,378 —
Finance lease and instalment credit 1,815 15 — — 1,830 —
Interest accruals 1,194 1 — — 1,195 —
Group before RFS MI 143,194 52,926 11,200 3,698 211,018 842
RFS MI 150,304 18,367 1,009 20 169,700 1
Group 293,498 71,293 12,209 3,718 380,718 843
RoW
Central and local government 7,079 16,708 311 145 24,243 —
Finance - banks 9,099 — — — 9,099 —
- other (3) 11,955 4,267 42,620 407 59,249 31,732
Residential mortgages 795 — — — 795 —
Personal lending 4,592 — 5 — 4,597 29
Property 2,918 480 96 — 3,494 41
Construction 756 6 17 — 779 3
Manufacturing 6,196 178 771 — 7,145 —
Service industries and business activities 13,152 949 1,257 — 15,358 108
Agriculture, forestry and fishing 153 1 7 — 161 —
Finance lease and instalment credit 111 5 — — 116 —
Interest accruals 384 — — — 384 —
Group before RFS MI 57,190 22,594 45,084 552 125,420 31,913
RFS MI 2,223 58 55 — 2,336 13
Group 59,413 22,652 45,139 552 127,756 31,926
Notes:
(1) Includes settlement balances of £11,605 million at 31 December 2010 (2009 - £12,033 million; 2008 - £17,832 million).
(2) This shows the amount by which the Group´s credit risk exposure is reduced through arrangements, such as master netting agreements, which give the Group a legal right to set-off the financial
asset against a financial liability due to the same counterparty. In addition, the Group holds collateral in respect of individual loans and advances to banks and customers. This collateral includes
mortgages over property (both personal and commercial); charges over business assets such as plant, inventories and trade debtors; and guarantees of lending from parties other than the borrower.
The Group obtains collateral in the form of securities in reverse repurchase agreements. Cash and securities are received as collateral in respect of derivative transactions.
(3) Loans made by the Group's consolidated conduits to asset owning companies are included within Finance.
173RBS Group 2010
Business review
Risk and balance sheet management