| Cure period | As defined in Part 2, paragraph 231(b), of Annex V to Commission Implementing Regulation (EU) No 680/2014 |
| EBITDA | Earnings before interest, taxes, depreciation and amortisation Forbearance measures as referred in Annex V to Commission |
| Forbearance | Implementing Regulation (EU) No 680/2014 Exposures in respect to which forbearance measures have been |
| Forborne exposures (FBEs) | applied in accordance with Annex V to Commission Implementing Regulation (EU) No 680/2014 Assets obtained by taking possession of collateral and which remain recognised on the balance sheet. Foreclosed assets can be obtained through judicial procedures, through bilateral agreement with the borrower or through other types of collateral |
| Foreclosed assets | transfer from the borrower to the credit institution. Foreclosed assets may include financial and non-financial assets and should include all collateral obtained irrespective of accounting classification Immovable property as defined in Article 208 of Regulation (EU) |
| Immovable property | No 575/2013 Liquidation costs are defined as the cash outflows incurred during |
| Liquidation cost | collateral execution and the sales process and include: a) all applicable legal costs; b) selling costs, taxes and other expenses; c) any additional maintenance costs to be incurred by the credit institution in relation to the repossession and disposal of the collateral; d) any cash inflows up to the date of liquidation As defined in points 7 and 8 of Article 3(1) of |
| Management body | Directive 2013/36/EU Physical property other than immovable property in accordance |
| Movable property | with Article 210 of Regulation (EU) No 575/2013 Exposures classified as non-performing in accordance with |
| Non-performing exposures (NPEs) | Annex V to Commission Implementing Regulation (EU) No 680/2014 Loans and advances as defined in Annex V to Commission Implementing Regulation (EU) No 680/2014 that are classified as |
| Non-performing loans (NPLs) | non-performing in accordance with Annex V to Commission Implementing Regulation (EU) No 680/2014 To calculate the NPL ratio, the gross carrying amount of NPLs and |
| NPL ratio | advances is divided by the gross carrying amount of total loans and advances in accordance with the NPE definition Policies, processes, controls and systems for risk management of |
| NPE framework | NPEs |
| Portfolio | A group of exposures with similar credit risk characteristics As defined in Annex V to Commission Implementing Regulation |
| Probation period | (EU) No 680/2014 The overall approach, including policies, processes, controls and systems, through which risk appetite is established, communicated and monitored. It includes a risk appetite statement, risk limits and an outline of the roles and |
| Risk appetite framework (RAF) | responsibilities of those overseeing the implementation and monitoring of the RAF. The RAF should consider material risks to the credit institution, as well as to its reputation with depositors, investors and customers. The RAF aligns with the bank’s strategy Texas ratio: a ratio comparing the stock of NPLs with a credit |
| Texas ratio | institution’s equity. NPLs (gross carrying amount) over equity and accumulated impairments |