RBS 2012 Annual Report Download - page 135

RBS GROUP 2012
133
2012
£m
2011
£m
2010
£m
Qualifying Tier 2 capital
Subordinated debt 26,773 26,319 27,053
Less: transferred to other Tier 1 capital (4,200)(4,782) (4,780)
Less: amortisation (5,049) (4,275) (2,915)
Less: other adjustments (1,910)(897) (761)
15,614 16,365 18,597
Unrealised gains on AFS equity shares 63 108 25
Collectively assessed impairment provisions 399 635 778
Non-controlling Tier 2 capital — 11 11
16,076 17,119 19,411
Tier 2 deductions
50% of securitisation positions (1,107) (2,019) (2,321)
50% excess of expected losses over impairment provisions (2,522)(3,451)(2,658)
50% of material holdings (295) (340)(310)
50% of APS first loss — (2,763) (4,225)
(3,924) (8,573) (9,514)
Total Tier 2 capital 12,152 8,546 9,897
Supervisory deductions
Unconsolidated Investments
- Direct Line Group (2,081)(4,354) (3,962)
- Other investments (162)(239) (318)
Other deductions (244) (235) (452)
(2,487) (4,828) (4,732)
Total regulatory capital 66,800 60,708 65,289
Key points
x Core Tier 1 capital increased by £1 billion during 2012. Excluding
APS however, Core Tier 1 capital decreased by £1.8 billion.
x Attributable loss, net of fair value of own credit, of £2.6 billion was
partially offset by lower Core Tier 1 deduction for securitisation
positions of £1.1 billion, primarily relating to restructuring of
monolines within Non-Core.