Deutsche Pfandbriefbank Ag · XETR:PBB
Deutsche Pfandbriefbank — FY2011 Earnings Presentation
60 slides from Deutsche Pfandbriefbank's earnings presentation, Mar 1, 2012
Slide 1: Analyst/Investor Presentation: pbb profitable with pre-tax profit of EUR 188 mio in FY 2011
Analyst/Investor Presentation pbb profitable with pre-tax profit of EUR 188 mio in FY 2011 PRELIMINARY UNAUDITED FIGURES Preliminary unaudited Results Q4/FY 2011, 1st March, 2012
Slide 2: Disclaimer
Disclaimer This presentation is not an offer or invitation to subscribe for or purchase any securities. No warranty is given as to the accuracy or completeness of the information in this presentation. You must make your own independent investigation and appraisal of the business and financial condit
Slide 3: Highlights 2011
Highlights 2011 pbb Profitability achieved – pre-tax profit of EUR 188 mio underscores viability of business model despite of positive one-off effects New business origination power proven – new business volume of EUR 8.0 bn (incl. extensions Appendix 1 – pbb >1 year) at attractive margins makes pbb
Slide 4: Income statement
Income statement pbb now profitable for six consecutive quarters pbb Income statement (IFRS) EUR millions FY 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 FY 2011 Operating revenues 652 131 162 129 104 526 Net interest and similar income 600 97 95 101 78 371 Appendix 1 – pbb Net commission income -10 14 5 6
Slide 5: Balance sheet
Balance sheet Total assets reduced by -42% to EUR 109 bn, given a significant reduction of counter-effects resulting from the asset transfer to FMS-WM pbb Total assets (IFRS) Counter-effects resulting from In FY 2011, total assets are down by EUR 78 bn (-42%) to EUR 109 bn, EUR billions the asset tr
Slide 6: Capitalisation
Capitalisation pbb sufficiently capitalised pbb Pro-forma Risk-Weighted Assets (RWA) The regulatory capital ratios stated are calculated on an unaudited pro- EUR billions forma basis. Deutsche Pfandbriefbank AG is according to the ‘Waiver -64% Market risk Rule’ regulated in Sec. 2a KWG (German Banki
Slide 7: New business
New business Origination power proven with a volume of EUR 8.0 bn in FY 2011, which meets the full-year target pbb Total new business1 EUR billions +95% 2.3 8.0 0.3 Public Investment 1.73 2.0 Finance (PIF) 1.6 Appendix 1 – pbb 0.2 4.1 1.9 1.4 PSF 2 0.6 1.0 Real Estate (incl. PIF) 6.3 2.2 1.3 Finance
Slide 8: New business
New business New business origination at attractive margins and with conservative underwriting policy pbb Real Estate Finance (REF) Public Investment Finance (PIF) EUR billions EUR billions 6.3 1.74 3.5 1.03 3.1 1.4 Appendix 1 – pbb New commitments 2.8 1.7 New commitments Extensions >1 year FY 2010
Slide 9: Liquidity & Funding
Liquidity & Funding pbb aims to be a quality Pfandbrief issuer with responsibly placed liquid benchmark transactions pbb Liquidity ratio1 New public issuances – spread development according to German Ordinance on Liquidity (‘Liquiditätsverordnung’) Spread vs. mid-swap (bp)2 2.4 75 Liquidity ratio 2.
Slide 10: Cover pools: Mortgage cover pool
Cover pools Mortgage cover pool – over-collateralisation of EUR 6.7 bn / 46% (nominal) provides comfortable cover for Pfandbriefe outstanding and basis for new issuances pbb Cover funds by region Mortgage cover pool (Nominal) 31/12/2010 31/12/2011 EUR billions (Nominal) Pfandbriefe outstanding EUR 1
Slide 11: Cover pools: Public Sector cover pool
Cover pools Public Sector cover pool – over-collateralisation of EUR 3.6 bn / 11% (nominal) covers exposure to peripheral countries in focus (Portugal, Spain, Italy) by 66% pbb Cover funds by region Public Sector cover pool (Nominal) 31/12/2010 31/12/2011 EUR billions (Nominal) Pfandbriefe outstandi
Slide 12: Total portfolio
Total portfolio In the future, portfolio growth in strategic business areas REF and PIF expected to largely compensate mid-term for the run-down of Public Budget Finance pbb Total portfolio In FY 2011, total portfolio reduced by EUR 9 bn to EUR 79 bn, primarily EUR billions (EaD)1,2 reflecting matur
Slide 13: Exposure in selected countries
Exposure in selected countries pbb Non-REF: Sovereign exposure REF: Real Estate exposure EUR billions (EaD)1,2 EUR billions (EaD)1,2 31/12/2010 31/12/2010 31/12/2011 31/12/2011 Appendix 1 – pbb 2.9 3.0 0.3 0.3 0.3 0.3 0.4 0.5 0.0 0.0 0.0 0.0 0.0 0.0 0.1 0.1 0.0 0.0 0.0 0.0 Portugal Ireland Italy Gre
Slide 14: Problem loans
Problem loans Total problem loans significantly reduced and adequately covered pbb Total problem loans REF problem loans EUR billions (EaD) EUR billions (EaD) -85% Non-REF Workout loans1 -86% 8.5 REF Restructuring loans2 8.4 0.1 0.7 Appendix 1 – pbb 8.4 7.7 1.2 1.4 1.2 1.3 0.1 0.1 0.0 0.0 1.2 1.3 1.
Slide 15: Strategic priorities 2012
Strategic priorities 2012 pbb Build up the strategic Real Estate Finance (REF) and Public Investment Finance (PIF) portfolio to improve pbb‘s future earnings base Appendix 1 – pbb Strict monitoring of the portfolio and reducing risk positions Expand pbb‘s refinancing capabilities and preserve the ex
Slide 16: Outlook
Outlook pbb pbb expected to remain profitable – however, this requires an overall market situation without further serious distortions (e.g. sovereign defaults) EUR FY 2011 FY 2012e FY 2013e Appendix 1 – pbb New business (incl. extensions > 1year) bn 8 Total assets bn 109 Pre-tax profit mio 188 100-
Slide 17: Key take-aways
Key take-aways pbb Restructuring completed – portfolios de-risked and pbb realigned Appendix 1 – pbb pbb profitable with mid-term growth potential New business origination power proven with new business volume (incl. extensions >1 year) of EUR 8 bn at attractive margins and with conservative underwr
Slide 18: Contact details
Contact details pbb Communications Walter Allwicher +49 (0)89 2880 28787 walter.allwicher@pfandbriefbank.com Appendix 1 – pbb Investor Relations Frank Ertz +49 (0)89 2880 28776 frank.ertz@pfandbriefbank.com Michael Heuber +49 (0)89 2880 28778 michael.heuber@pfandbriefbank.com Appendix 2 – DEPFA www.
Slide 19: Appendix 1 – pbb
Appendix 1 – pbb Preliminary unaudited Results Q4/FY 2011 Preliminary unaudited Results Q4/FY 2011, 1st March, 2012
Slide 20: Group structure
pbb Deutsche Pfandbriefbank Group structure – pbb being the strategic core bank within HRE Group pbb Federal Republic of Germany SoFFin Appendix 1 – pbb 100% Hypo Real Estate Holding AG (Munich) 100% 100% Appendix 2 – DEPFA Deutsche DEPFA Bank plc1 Pfandbriefbank AG (Dublin) (Munich) Issuer of publi
Slide 21: Agenda
pbb Deutsche Pfandbriefbank Agenda pbb Financial Results Total Portfolio Appendix 1 – pbb Real Estate Portfolio Non-Real Estate Portfolio Cover Pools Appendix 2 – DEPFA Mortgage Cover Pool Public Sector Cover Pool Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 21
Slide 22: Balance sheet
pbb Deutsche Pfandbriefbank Balance sheet pbb Total assets (IFRS) Total liabilities and equity (IFRS) EUR billions EUR billions Transfer of assets Transfer of assets 226 to FMS-WM to FMS-WM 226 Trading assets 2 -42% Trading liabilities 2 -42% 187 187 16 Liabilities to other banks 16 Appendix 1 – pbb
Slide 23: Agenda
pbb Deutsche Pfandbriefbank Agenda pbb Financial Results Total Portfolio Appendix 1 – pbb Real Estate Portfolio Non-Real Estate Portfolio Cover Pools Appendix 2 – DEPFA Mortgage Cover Pool Public Sector Cover Pool Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 23
Slide 24: Real Estate portfolio: exposure by region
pbb Deutsche Pfandbriefbank Real Estate portfolio pbb Exposure by region EUR billions (EaD)1,2 14.0 13.1 31/12/2010 / Total: EUR 26.5 bn 31/12/2011 / Total: EUR 25.2 bn Appendix 1 – pbb 2.6 2.6 2.5 3.0 2.2 2.2 1.9 1.7 1.5 0.8 0.7 0.6 0.4 0.5 0.3 0.3 0.3 0.3 0.2 0.2 0.1 0.1 0.0 0.0 0.0 0.0 0.0 0.0 Ge
Slide 25: Real Estate portfolio: exposure by loan type
pbb Deutsche Pfandbriefbank Real Estate portfolio pbb Exposure by loan type EUR billions (EaD)1,2 25.0 23.4 31/12/2010 / Total: EUR 26.5 bn 31/12/2011 / Total: EUR 25.2 bn Appendix 1 – pbb 0.8 1.0 0.6 0.8 0.1 0.1 Investment loans Development loans REF derivatives Others Appendix 2 – DEPFA 31/12/2010
Slide 26: Real Estate portfolio: exposure by property type
pbb Deutsche Pfandbriefbank Real Estate portfolio pbb Exposure by property type EUR billions (EaD)1,2 10.5 31/12/2010 / Total: EUR 26.5 bn 8.93 31/12/2011 / Total: EUR 25.2 bn Appendix 1 – pbb 7.1 6.6 5.9 5.2 2.0 2.43 1.3 1.4 0.2 0.3 Office Retail/ Residential Industrial/ Hotel/ Others Shopping Logi
Slide 27: Real Estate portfolio: exposure by EL classes
pbb Deutsche Pfandbriefbank Real Estate portfolio pbb Exposure by EL classes EL class S&P rating scale EUR billions (EaD)1,2 1-5 AAA to A- 6-8 BBB+ to BBB- 5.2 4.8 9-11 BB+ to BB- 31/12/2010 / Total: EUR 26.5 bn 12-14 B+ to B- 4.0 31/12/2011 / Total: EUR 25.2 bn 15-18 CCC+ and below Appendix 1 – pbb
Slide 28: Non-Real Estate portfolio: exposure by region
pbb Deutsche Pfandbriefbank Non-Real Estate portfolio pbb Exposure by region EUR billions (EaD)1,2 26.2 31/12/2010 / Total: EUR 61.0 bn 21.1 31/12/2011 / Total: EUR 53.8 bn Appendix 1 – pbb 6.8 6.9 5.1 5.0 4.5 4.5 5.2 4.1 2.6 2.3 2.0 1.8 1.8 1.7 1.0 2.0 2.1 1.0 1.3 1.0 0.9 0.8 0.9 0.6 1.0 0.5 0.3 0.
Slide 29: Non-Real Estate portfolio: exposure by counterparty type
pbb Deutsche Pfandbriefbank Non-Real Estate portfolio pbb Exposure by counterparty type EUR billions (EaD)1,2 16.9 16.2 15.3 31/12/2010 / Total: EUR 61.0 bn 13.3 13.3 31/12/2011 / Total: EUR 53.8 bn 12.0 12.3 Appendix 1 – pbb 11.8 1.7 1.3 0.4 0.0 Local Authorities Financial Institutions Sovereign3,4
Slide 30: Non-Real Estate portfolio: exposure by PD class
pbb Deutsche Pfandbriefbank Non-Real Estate portfolio pbb Exposure by PD class PD class S&P rating scale EUR billions (EaD)1,2 1-7 AAA to A- 58.6 8-10 BBB+ to BBB- 11-13 BB+ to BB- 31/12/2010 / Total: EUR 61.0 bn 49.1 14-22 B+ to B- 31/12/2011 / Total: EUR 53.8 bn 23-27 CCC+ to CCC- Appendix 1 – pbb
Slide 31: Agenda
pbb Deutsche Pfandbriefbank Agenda pbb Financial Results Total Portfolio Appendix 1 – pbb Real Estate Portfolio Non-Real Estate Portfolio Cover Pools Appendix 2 – DEPFA Mortgage Cover Pool Public Sector Cover Pool Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 31
Slide 32: Mortgage cover pool
pbb Deutsche Pfandbriefbank Mortgage cover pool pbb Cover funds by region Mortgage cover pool (Nominal) 31/12/2010 31/12/2011 EUR billions (Nominal) Pfandbriefe outstanding EUR 17.4 bn EUR 14.7 bn 11.5 Cover funds EUR 22.7 bn EUR 21.5 bn 10.5 31/12/2010 / Total: EUR 20.8 bn1 Over-collateralisation (
Slide 33: Mortgage cover pool: property type
pbb Deutsche Pfandbriefbank Mortgage cover pool pbb Cover funds by property type EUR billions (Nominal) 8.2 7.2 31/12/2010 / Total: EUR 20.8 bn1 31/12/2011 / Total: EUR 18.9 bn1 Appendix 1 – pbb 5.1 4.8 4.7 4.4 2.8 2.5 Office Residential Retail/Shopping Others2 Appendix 2 – DEPFA 31/12/2010 31/12/20
Slide 34: Mortgage cover pool: maturity profile
pbb Deutsche Pfandbriefbank Mortgage cover pool pbb Maturity profile1,2 31/12/2010: EUR millions (Nominal) 6,000 Pfandbriefe outstanding / Total: EUR 17.4 bn 5,000 Cover funds / Total: EUR 22.7 bn Appendix 1 – pbb 4,000 3,000 2,000 1,000 0 ≤1y >1-2y >2-3y >3-4y >4-5y >5-10y >10y Appendix 2 – DEPFA 3
Slide 35: Public Sector cover pool
pbb Deutsche Pfandbriefbank Public Sector cover pool pbb Cover funds by region Public Sector cover pool (Nominal) 31/12/2010 31/12/2011 EUR billions (Nominal) Pfandbriefe outstanding EUR 39.5 bn EUR 33.7 bn 18.9 Cover funds EUR 43.8 bn EUR 37.4 bn 17.2 31/12/2010 / Total: EUR 41.9 bn 1,2 Over-collat
Slide 36: Public Sector cover pool: counterparty type
pbb Deutsche Pfandbriefbank Public Sector cover pool pbb Cover funds by counterparty type EUR billions (Nominal) 18.0 31/12/2010 / Total: EUR 41.9 bn1,2 31/12/2011 / Total: EUR 35.7 bn1,2 13.0 Appendix 1 – pbb 12.6 12.4 10.0 8.8 1.3 1.6 Regional authorities Central governments Local authorities Othe
Slide 37: Public Sector cover pool: maturity profile
pbb Deutsche Pfandbriefbank Public Sector cover pool pbb Maturity profile1,2 31/12/2010: EUR millions (Nominal) 14,000 Pfandbriefe outstanding / Total: EUR 39.5 bn 12,000 Cover funds / Total: EUR 43.8 bn Appendix 1 – pbb 10,000 8,000 6,000 4,000 2,000 0 ≤1y >1-2y >2-3y >3-4y >4-5y >5-10y >10y Append
Slide 38: Appendix – DEPFA
Appendix 2 – DEPFA Preliminary unaudited Results Q4/FY 2011 Preliminary unaudited Results Q4/FY 2011, 1st March, 2012
Slide 39: Agenda
DEPFA Agenda pbb Financial Results Appendix 1 – pbb Total Portfolio ACS Cover Pool HPBI Cover Pool Appendix 2 – DEPFA Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 39
Slide 40: DEPFA income statement
DEPFA Income statement pbb Income statement (IFRS) EUR millions 1 FY 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 FY 2011 Operating revenues -480 151 45 45 -13 230 Appendix 1 – pbb Net interest and similar income 211 122 46 14 14 196 Net commission income -310 -6 -4 -8 -1 -19 thereof: Intra-group refinancin
Slide 41: DEPFA balance sheet
DEPFA Balance sheet pbb Total assets (IFRS) Total liabilities and equity (IFRS) EUR billions EUR billions Transfer of assets Transfer of assets to FMS-WM to FMS-WM 250 250 Trading assets 17 Trading liabilities 15 Appendix 1 – pbb Loans and advances Liabilities to other banks (Public Sector 159 144 1
Slide 42: DEPFA capitalisation
DEPFA Capitalisation pbb Risk-weighted Assets (RWA) DEPFA significantly de-risked after the asset transfer to FMS-WM – in FY 2011, RWA’s further reduced by EUR 1.5 bn (-19%) to EUR 5.7 bn, primarily reflecting EUR billions maturities (pre-/repayments) Market risk Tier I capital declined by EUR 1.0 b
Slide 43: Agenda
DEPFA Agenda pbb Financial Results Appendix 1 – pbb Total Portfolio ACS Cover Pool HPBI Cover Pool Appendix 2 – DEPFA Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 43
Slide 44: DEPFA total portfolio: exposure by region
DEPFA Total portfolio pbb Exposure by region EUR billions (EaD)1,2 11.5 11.0 31/12/2010 / Total: EUR 64.5 bn 9.6 9.8 9.2 9.4 31/12/2011 / Total: EUR 53.4 bn Appendix 1 – pbb 4.8 4.6 4.3 4.3 4.0 3.9 3.8 3.5 3.0 3.0 2.6 2.0 1.1 1.5 1.5 1.5 1.4 1.2 1.3 1.1 0.6 0.2 0.9 0.9 0.1 0.0 0.0 0.0 0.0 0.0 German
Slide 45: DEPFA total portfolio: exposure by counterparty type
DEPFA Total portfolio pbb Exposure by counterparty type EUR billions (EaD)1,2 21.6 31/12/2010 / Total: EUR 64.5 bn 18.2 16.5 31/12/2011 / Total: EUR 53.4 bn Appendix 1 – pbb 13.9 12.3 9.0 7.7 6.9 3.9 3.6 1.8 1.5 0.6 0.2 Public Sector Entities Sovereign3 Financial Institutions Local Authorities Corpo
Slide 46: DEPFA total portfolio: exposure by PD class
DEPFA Total portfolio pbb Exposure by PD class PD class S&P rating scale EUR billions (EaD)1,2 1-7 AAA to A- 8-10 BBB+ to BBB- 62.3 11-13 BB+ to BB- 31/12/2010 / Total: EUR 64.5 bn 14-22 B+ to B- 52.2 31/12/2011 / Total: EUR 53.4 bn 23-27 CCC+ to CCC- Appendix 1 – pbb 28-30 D 1.9 0.8 0.2 0.1 0.0 0.0
Slide 47: DEPFA exposure in selected countries
DEPFA Exposure in selected countries pbb Sovereign exposure EUR billions (EaD)1,2 31/12/2010 31/12/2011 Appendix 1 – pbb 1.9 1.7 0.4 0.4 0.0 0.0 0.0 0.0 0.0 0.0 Portugal Ireland3 Italy Greece Spain Appendix 2 – DEPFA Non-sovereign4 exposure EUR billions (EaD)1,2 31/12/2010 31/12/2011 3.9 3.5 Appendi
Slide 48: DEPFA total problem loans
DEPFA Total problem loans pbb Total problem loans EUR billions (EaD) -86% Workout1 0.8 Restructuring2 0.0 Appendix 1 – pbb 0.8 0.1 0.1 0.0 0.0 0.1 0.1 30/09/2010 31/12/2010 31/12/2011 Appendix 2 – DEPFA Appendix 3 – HRE Group Note: Figures may not add up due to rounding 1 No signs that the deal will
Slide 49: Agenda
DEPFA Agenda pbb Financial Results Appendix 1 – pbb Total Portfolio ACS Cover Pool HPBI Cover Pool Appendix 2 – DEPFA Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 49
Slide 50: ACS cover pool
DEPFA ACS Bank ACS cover pool pbb Cover pool by region ACS cover pool (Nominal) 31/12/2010 31/12/2011 EUR billions (Nominal) Public Sector ACS outstanding EUR 34.3 bn EUR 29.9 bn 9.6 Cover pool EUR 37.7 bn EUR 32.5 bn 9.0 31/12/2010 / Total: EUR 37.7 bn Over-collateralisation (Nominal/NPV) 9.9% / 13
Slide 51: ACS cover pool: counterparty type
DEPFA ACS Bank ACS cover pool pbb Cover pool by counterparty type EUR billions (Nominal) 25.9 31/12/2010 / Total: EUR 37.7 bn 22.0 31/12/2011 / Total: EUR 32.5 bn Appendix 1 – pbb 6.3 5.2 4.1 4.1 1.4 1.3 Public Sector Entities Local Authorities Sovereign Others Appendix 2 – DEPFA 31/12/2010 31/12/20
Slide 52: ACS cover pool: maturity profile
DEPFA ACS Bank ACS cover pool pbb Maturity profile1 31/12/2010: EUR millions (Nominal) 20,000 ACS bonds outstanding Cover pool 15,000 Appendix 1 – pbb 10,000 5,000 0 ≤1y >1-5y >5-10y >10y Appendix 2 – DEPFA 31/12/2011: EUR millions (Nominal) ACS bonds outstanding 15,000 Cover pool 10,000 Appendix 3
Slide 53: DEPFA (sub-group) Agenda
DEPFA (sub-group) Agenda pbb Financial Results Appendix 1 – pbb Total Portfolio ACS Cover Pool HPBI Cover Pool Appendix 2 – DEPFA Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011, 1st March, 2012 53
Slide 54: HPBI cover pool
Hypo Pfandbrief Bank International (HPBI) HPBI cover pool pbb Cover pool by region LdG cover pool 31/12/2010 31/12/2011 EUR billions (Nominal) Lettres de Gage outstanding EUR 3,276 mio EUR 2,454 mio 0.74 Cover pool EUR 3,509 mio EUR 2,869 mio 31/12/2010 / Total: EUR 3,509 mio Over-collateralisation
Slide 55: HPBI cover pool: counterparty type
Hypo Pfandbrief Bank International (HPBI) HPBI cover pool pbb Cover pool by counterparty type EUR billions (Nominal) 1.3 31/12/2010 / Total: EUR 3,509 mio 1.0 31/12/2011 / Total: EUR 2,869 mio Appendix 1 – pbb 0.9 0.9 0.9 0.8 0.2 0.2 0.1 0.1 Bank Agency Region Government Other Appendix 2 – DEPFA 31/
Slide 56: HPBI cover pool: maturity profile
Hypo Pfandbrief Bank International (HPBI) HPBI cover pool pbb Maturity profile1 31/12/2010: EUR millions (Nominal) 1,600 Lettres de Gage outstanding 1,400 Cover pool Appendix 1 – pbb 1,200 1,000 800 600 400 200 0 ≤1y >1-2y >2-3y >3-4y >4-5y >5-10y >10-20y >20y Appendix 2 – DEPFA 31/12/2011: EUR mill
Slide 57: Appendix 3 – HRE Group
Appendix 3 – HRE Group Preliminary unaudited Results Q4/FY 2011 Preliminary unaudited Results Q4/FY 2011, 1st March, 2012
Slide 58: HRE Group income statement
HRE Group Income statement pbb Income statement (IFRS) EUR millions 1 FY 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 FY 2011 Operating revenues 89 260 177 152 96 685 Appendix 1 – pbb Net interest and similar income 798 218 141 114 93 566 Net commission income -319 8 0 -1 5 12 thereof: SoFFin guarantees -38
Slide 59: HRE Group balance sheet
HRE Group Balance sheet pbb Total assets (IFRS) Total liabilities and equity (IFRS) EUR billions EUR billions Transfer of assets Transfer of assets to FMS-WM to FMS-WM 384 384 -28% -28% Trading assets 17 Trading liabilities 16 328 328 39 39 Appendix 1 – pbb Liabilities to other banks 181 Loans and a
Slide 60: HRE Group capitalisation
HRE Group Capitalisation pbb Risk-weighted assets (RWA) HRE Group significantly de-risked after the asset transfer to FMS-WM – in FY 2011, EUR billions RWA’s further reduced by EUR 1.1 bn (-5%) to EUR 19.3 bn, primarily reflecting maturities (pre-/repayments) -73% Market risk Tier I capital declined
Deutsche Pfandbriefbank — FY2011 Earnings Presentation on 6ix