157. For the purpose of the calculation of the observed average LGD, institutions should recognise …

For the purpose of the calculation of the observed average LGD, institutions should recognise without undue delay as closed recovery processes all exposures in default which fall into at least one of the following categories:

• (a) exposures for which the institution does not expect to take any further recovery actions;
• (b) exposures that remain in defaulted status for a period of time longer than the maximum period of the recovery process specified for this type of exposures;
• (c) exposures fully repaid or written-off;
• (d) exposures that have been reclassified to non-defaulted status.

With regard to the defaulted exposures falling under the categories in points (a) and (b), all recoveries and costs realised before or at the time of estimation should be considered for the purpose of the calculation of the observed average LGD, including any recoveries realised after the maximum period of the recovery processes.

1. Forbhreathnú

1.1 Tagairtí

1.2 Ceanglais aitheanta

1.3 Caighdeáin ghaolmhara

2. Ceanglais aitheanta

3. Caighdeáin ghaolmhara

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