2008 Results

RNS Number : 8365M

Banco Santander S.A.

05 February 2009

 



Press Release                    

Banco Santander attributable profit rose 9% to 8.876 billion in 2008, excluding capital gains

• Profit was driven by growth in revenues (+10%), five times more than the rate of growth in costs (+2%), enabling net operating income to grow 19%. 

• Retail and commercial in Spain contributed 31% of Group profit, Latin America 32% and U.K. 14%. 

• The increase in revenue was underpinned by spread management and strong sales, despite a more difficult environment. Loans grew by 10% and deposits by 14%, or by 25% and 41% with the integration of the acquired banks, excluding exchange rate effects. 

• Continental Europe registered attributable profit of EUR 4,908 million, with an increase of 11%. Loans grew by 4% and deposits by 11%. 

• In Latin America, attributable profit increased by 18% in dollars, to $4,311 million, with growth of 15% in loans and 18% in deposits in local currency. With the integration of Banco Real, loans and deposits both grew 51%. In euros, attributable profit amounted to EUR 2,945 million (+10%). 

• Attributable profit in the UK totalled £991 million (+21%), with growth of 43% in loans and 52% in deposits following the acquisitions of Alliance & Leicester and Bradford & Bingley. In euros, attributable profit amounted to EUR 1,247 million (+4%). 

• The non-performing loan ratio was 2.04% and the coverage rate was 91%. NPLs in Spain stood at 1.95%. These rates compare very favourably with the average of the sector in the markets where the bank operates. 

• The efficiency ratio stands at 41.9%, the best among major international banks and an improvement of 2.3 points from the year before. 

• The capital ratios underline Banco Santander's solvency, with a BIS ratio of 12.23% and core capital of 7.23%. 

• In 2008, there were EUR 3,572 million extraordinary capital gains, net of taxes, which were fully assigned to write-downs and provisions. 

• The Board of Directors approved a total dividend charged against 2008 earnings of EUR 0.65 per share in cash, the same amount as in 2007. The total amount distributed to our 3 million shareholders was EUR 4,812 million, up 18% from the previous year. 

  Madrid, February 5th, 2009 - Banco Santander registered attributable profit of EUR 8,876 million in 2008, an increase of 9% from the year earlier on a like-for-like basis in recurrent terms and a drop of 2% if 2007's capital gains are included. In 2008, Banco Santander's capital gains amounted to EUR 3,572 million, which were fully assigned to provisions and write-downs to strengthen the Bank's balance sheet. Thus, 2008 earnings were completely recurrent and positioned Santander among the world's largest banks in terms of profit. 

These results were obtained against a very difficult economic and financial backdrop, during which a large number of global financial institutions in Banco Santander's peer group have registered losses and required public support. In this environment, Banco Santander has carried out significant acquisitions, such as that of Alliance & Leicester (A&L) and Bradford and Bingley's (B&B) deposits and distribution channels in the UK. The Group also launched an offer for the shares it did not already own in Sovereign Bancorp, which was completed on January 30th. A&L, B&B and Banco Real are consolidated in the Group's 2008 global balance sheet, while Sovereign will be incorporated in the first quarter of 2009. 

Results

The financial crisis and the economic slowdown have resulted in slower growth in activity and increased non-performing loans, which have required greater provisions. These effects have been offset by managing margins to adapt to the situation and stepped-up cost control, as revenues rose by 10% and costs increased by below 2%. 

Amid a strong economic downturn, the income statement highlights the strength of the underlying business

EUR Mill.		Change o / 2007
	2008	%*	% with B. Real  by equity method
Commercial revenues	28,240	+17.2	+12.0	1. Resilience of the most commercial revenues …
Gain on financial transactions	2,802	-6.5	-6.5
Gross operating income	31,042	+14.6	+10.0
Operating expenses	-13,161	+7.8	+1.8	2.… and strict costs adjustment
Net operating income	17,729	+19.5	+16.2
Loan-loss provisions	-5,976	+72.2	+61.0	3.… allowed larger provisions to be absorbed due to environment worsening ...
Net op. income net of LLPs	11,754	+3.4	+2.6
Attr. profit (excl. capital gains)	8,876	+9.4	+9.4	4. … and keep on growing in profit

(*) Including three quarters from B. Real accounted for by the equity method and one quarter by global integration.

  Stricter cost management, in keeping with the current economic cycle …

… and to obtain a better efficiency ratio than our peers
Efficiency ratio (%)
	Peers average	SAN
12 M´05	58.6	52.9	+5.7 p.p
12 M´06	57.2	48.6	+8.6 p.p.
12 M´07	57.1	44.2	+12.9 p.p.
12 M´08	61.8 (**)	41.9	+19.9 p.p.

(**) 9M´08 data

Revenue grew at a rate 5 times higher than costs, allowing Santander's efficiency ratio to improve 2.3 points from a year earlier to 41.9%, the best ratio among our European peers and, probably, the best in the world. In Spain, the Santander branch network's efficiency ratio stood at 34.3% and Banesto's at 40%. Latin America improved to 40.3%, while UK continued its progress, to 45.2%. Abbey's costs came to over 70% of revenues in 2004, the year Santander acquired the bank. 

Improving efficiency enabled net operating income to grow 19% to EUR 17,729 million. This strong growth in net operating income absorbed EUR 450 million, net of taxes, related to products linked to Madoff and Lehman. 

Provisions increased by more than 60%, linked to the worsening in credit quality. The Group has reserves for loan losses of EUR 12,863 million, of which EUR 6,181 million are generic provisions.

The Group's NPL rate stood at 2.04%, up 1.09 point from the year before, and coverage was 91%, compared to 151% in 2007. Santander's NPL rate is well below the average of all markets where it operates. In Spain, Santander's NPL rate amounted to 1.93% and Banesto's to 1.64%. NPLs in the UK came to 1.04% (including A&L) and 2.95% in Latin America.  

Group
%
	NPLs	Coverage
SAN	2.04	91
European peers *	2.76	58

(*) Average banks included in our peer group at September 2008.

Spain
% NPLs
	Banks + Saving Banks	Grupo SAN
Dec 04	0.66	0.65
Dec 05	0.68	0.61
Dec 06	0.62	0.53
Dec 07	0.83	0.64
Mar 08	1.11	0.88
Jun 08	1.61	1.08
Sep 08	2.56	1.50
Dec 08	3.14 (as of november 08)	1.95
Source: Banco de España

United Kingdom **
% NPLs
	Sector	Abbey
Dec 04	0.88	0.61
Dec 05	1.06	0.68
Dec 06	1.03	0.61
Dec 07	1.10	0.69
Mar 08	1.21	0.72
Jun 08	1.33	0.72
Sep 08	1.44	0.77
Source: Council Mortgage Lenders

(**) Data according to the local criteria, on a like-for-like basis with the sector.

Latin America **
% NPLs
	Sector	SAN
Dec 04	4.2	2.0
Dec 05	4.0	1.7
Dec 06	4.1	2.0
Dec 07	3.9	2.3
Mar 08	4.1	2.5
Jun 08	4.0	2.4
Sep 08	4.1	2.5
Source: Central banks

(**) Data according to the local criteria, on a like-for-like basis with the sector.

In 2008, extraordinary capital gains, net of taxes, totalled EUR 3,572 million, of which 2,245 million come from the sale of the ABN Amro businesses in Italy assigned to Santander (Antonveneta and Interbanca.) Another EUR 741 million were from the disposal of ABN's liabilities and the remaining 586 million are related to the sale-and-leaseback transaction  involving the Santander Financial City in Boadilla del Monte (Madrid). 

All these capital gains are fully assigned to write-downs and provisions. Of those, EUR 1,430 million are set aside to cover capital losses generated by share stakes in RBS (0.89%) and Fortis (1.85%), while EUR 2,142 million are assigned to several provisions, such as Abbey's intangibles (904 million), a pre-retirement fund (382 million), a fund for the restructuring of acquired businesses (386 million), goodwill and portfolio (295 million) and others (175 million). 

Thus, attributable profit of EUR 8,876 million is completely recurrent (as capital gains are fully assigned to write-downs and provisions), increasing by 9%. 

By geographical areas, Continental Europe recorded attributable profit of EUR 4,908 million (+11%), with Santander's branch network, which registered EUR 2,098 million (+16%), as the main engine of growth. UK profit grew 21% in sterling pounds, to £991 million (EUR 1,247 million, up 4%), backed by an 18% increase in revenues and costs growing by 6%. Banco Santander's profit in Europe amounted to EUR 6,155 million, 68% of total Group profit. 

In Latin America, attributable profit grew 18% in dollars, its operating currency, to $4,311 million. In euros, attributable profit stood at EUR 2,945 million (up 10%). The greatest contribution was made by Brazil, where profit rose 31%, to $1,617 million (EUR 1,105 million). Mexico followed, with a drop of 2%, to $878 million (EUR 600 million) and Chile, which grew 12%, to $797 million (EUR 545 million). 

Continental Europe Main Units 2008

EUR mill. and % o/ 2007

The combined retail units registered double digit increases throughout the income statement. Moreover, good quarter in GBM.

Gross operating income: 14,641 mill.; +14%
SAN Network	5,502	+16%	+15%
Banesto	2,467	+8%
Santander Consumer Finance	3,262	+24%
Portugal	1,234	+2%
Other **	2,176 (GBM: 1,546)	+11%

Net operating income: 9,365 mill.; +20%
SAN Network	3,566	+25%	+20%
Banesto	1,450	+10%
Santander Consumer Finance	2,390	+28%
Portugal	683	+2%
Other **	1,276 (GBM: 1,059)	+19%

Attributable profit: 4,908 mill.; +11% *
SAN Branch Network	2,908	+16%	+10%
Banesto	754	+13%
Santander Consumer Finance	696	-3%
Portugal	531	+4%
Other **	829 (GBM: 662)	+15%

(*) Excluding capital gains and extraordinary allowances.

(**) Global Wholesale Banking, Asset Management and Insurance and Banif. 

Latin America main units 2008

US$ Mill. and % o/ 2007

Strong growth of revenues in all countries with costs under control. Increased LLPs due to greater lending, environment and Mexico.

Gross operating income: 19,325 mill.; +36%
Brazil *	8,989	+50%
Mexico	4,088	+20%
Chile	2,577	+25%
Other countries	3,150	+37%
Santander Private Banking	522	+17%

Net operating income: 11,135 mill.; +40%
Brazil *	5,087	+47%
Mexico	2,573	+25%
Chile	1,673	+37%
Other countries	1,477	+57%
Santander Private Banking	325	+26%

Attributable income: 4,311 mill.; +18%
Brazil *	1,617	+31%
Mexico	878	-2%
Chile	797	+7% **
Other countries	753	+37%
Santander Private Banking	264	+18%

(*) Without Banco Real, Gross operating income: +14%; Net operating income: +17%; 

Attributable profit: +4%.

(**) Profit before discontinued operations: +12%.

By businesses, retail banking registered pretax profit of EUR 9,376 million (+3%). Growth was affected by the depreciation of the pound and the dollar against the euro. Global Wholesale Banking registered a pretax profit of EUR 2,548 million (+23%), and Asset Management and Insurance, EUR 537 million, a drop of 1% from a year earlier. Insurance performed well in all markets, while mutual funds were affected by growth in deposits, as well as the market situation. 

The structure of the income statement clearly shows the advantages of geographical and business diversification, recurrence in revenue and profit and the strengthening of the balance sheet through provisions. This occurred in a very difficult environment for world banking, due to contracting economies, market volatility and the scarceness and costliness of liquidity. 

Business

Growth in business was focused more on deposits than loans, where demand slackened as a result of the global crisis. Deposits grew by 41% and loans by 25%, driven by the integration of Banco Real, A&L y B&B. Without these, deposits grew by 14% and loans by 10%. The significant increase in deposits allow for greater internal funding of loans, of particular value in the current environment of scarce liquidity. 

Banco Santander closed 2008 with managed funds of EUR 1.168 trillion, an increase of 10%. Of this amount, EUR 1.050 trillion are balance sheet assets, a 15% increase. 

Net Grupo Santander lending came to EUR 621,348 million at the end of 2008, an increase of 10% in euros which would rise to 20% excluding the exchange rate effect. The business units in Continental Europe accounted for 52% of lending, the United Kingdom for 33% and Latin America for 15%. 

  Customer loans

Gross customer loans

EUR billion

Dec 06	532
Dec 07	574
Mar 08	554
Jun 08	573
Sep 08	581
Dec 08	634 (*)
(*) +10.4% as compared to Dec 07. The increase is of 19.6% without exchange rate impact.

Gross customer loans. December 2008

% o / operating areas

Continental Europe	52%
United Kingdom	33%
Latin America	15%

In Continental Europe, loans to customers grew by 4% to EUR 323,911 million, with increases in all countries and business units. In Spain, lending by the Santander branch network and Banesto grew by 4%. In Portugal, Santander Totta grew by 8%. Santander Consumer increased lending by 18%, including the acquisition of the Royal Bank of Scotland's EUR 2,200 million consumer loan portfolio in Germany, the Netherlands, Belgium and Austria.

In Latin America, loan volume increased to EUR 92,684 million, growth of 35% in euros and  51% in local currencies, thanks largely to the consolidation of Banco Real. Brazil grew by 21%; Chile by 20% and Mexico by 8%, in local currencies. 

The United Kingdom closed 2008 with EUR 202,244 million in loans, an increase of 10% in euros, including the consolidation of Alliance & Leicester, which added £51,600 million. Mortgage activity grew 10% in Abbey, to a balance of £121,500 million, which rises to £159,000 million with A&L's mortgages. Net mortgage production in Abbey in 2008 amounted to £11,100 million. 

In savings, customer funds under management came to EUR 825,116 million at the close of 2008, an increase of 5% which would amount to 14% excluding the exchange rate effect. Customer deposits came to EUR 419,829 million, up by 18% or by 14% excluding the effect of the acquisitions and securities repurchase agreements. 

Continental Europe accounts for 43% of the Group's customer funds under management, with EUR 294,608 million. In Spain, which accounts for 82% of this geographical area, deposits net of securities repurchase agreements, grew by 15%. Growth was 26% in Portugal and 29% in Santander Consumer Finance. 

Customer funds under management

EUR billion

	Dec 06	Dec 07	Mar 08	Jun 08	Sep 08	Dec 08
Total	714	785	750	759	782	825	+5.1%*
Other	155	160	148	143	138	131	-18.1%
Other on-balance sheet	281	332	318	319	313	343	-4.8%
Customer deposits w/o REPOS	277	293	284	297	331	378	+29.0%
(*)The increase is of 13.5% without exchange rate impact. Note: Adjusted in December 2006 with the impact of the sale of pension funds management institutions in Latin America and the placement of 'Valores Santander'.

Customer funds under management. December 2008

% o/ operating areas

Continental Europe	43%
United Kingdom	33%
Latin America	24%

Latin America accounts for 24% of customer funds, with a total of EUR 169,186 million, an increase of 23%, driven by the consolidation of Banco Real. In Brazil, deposits rose by 35%, in Chile by 19% and in Mexico by 13%, in local currencies. 

The United Kingdom accounted for 33% of customer funds managed by the Group, or a total of EUR 227,271 million, up 5%. Customer deposits came to EUR 143,200 million, an increase of 17% in euros and 52% in pounds. A&L contributed £29,900 million and B&B £20,900 million at the close of December. Both banks have increased their deposit base since becoming part of Grupo Santander. A&L grew by £2,300 million in the final quarter and B&B by £1,000 million.

Acquisitions of new businesses

Banco Santander and Alliance & Leicester reached an agreement last July 14th on the terms of a recommended offer by Santander to acquire full ownership of A&L. Under the agreement, shareholders in Alliance & Leicester received last Oct. 10th one Santander share for each three held in their bank, which required the issuance of 140.9 million new shares of Banco Santander, equivalent to EUR 1,583 million between par value and share premium.  A&L, which was consolidated into the Group's accounts in the fourth quarter of 2008, has 5.5 million customers served by 254 branches. 

On Sept. 29th, Abbey acquired the deposits and distribution channels of Bradford & Bingley, which increased the customer base to 2.7 million customers served by 197 branches and another 141 points of sale on third party premises. The value of this acquisition was £612 million, which included a contribution by B&B to Abbey of £208 million in own funds held by certain B&B subsidiaries. The integration of B&B impacts the Group's fourth quarter income statement. 

These acquisitions give Santander a market share of 10% in deposits and 13% in mortgages in the United Kingdom. Abbey has become the second largest bank by mortgages and the third by deposits, with 1,300 branches and 25 million customers. 

Banco Santander and Sovereign Bancorp announced last Oct. 14th an agreement for Santander to acquire the 75.65% of Sovereign it did not already own through an exchange of shares. Banco Santander already held 24.35% of Sovereign. This transaction was approved by Shareholders Meeting of Banco Santander on Jan. 26th and Sovereign on Jan. 28th. The exchange of shares occurred on Jan. 30, with Sovereign shareholders receiving 0.3206 Santander shares for each Sovereign share, which required the issuance of 161.5 million new Santander shares for a value of EUR 1,302 million between par value and share premium. 

These three acquisitions - A&L, B&B and Sovereign - represent an investment of around EUR 5,000 million. The expected average return on these investments (ROI) will be around 20% within three years.  

Moreover, Banco Real has become a consolidated part of the Group rather than being accounted for through the equity method, as was the case until the third quarter of 2008. 

The share and the dividend 

In the fourth quarter of 2008, Banco Santander realized a capital increase equal to 25% of equity through a rights issue. The objective of the issue was to reinforce core capital around 7%, a self-imposed target that takes into account the worsening economic environment. The bank issued 1,598.8 million shares at EUR 4.5 a share between par value and share premium, increasing the bank's equity capital by EUR 7,195 million. After this capital increase and the one carried out for the Sovereign transaction, Banco Santander shares in circulation came to 8,155.6 million.

At the close of 2008, Banco Santander's eligible capital came to EUR 62,844 million, with a surplus of EUR 21,723 million above the required minimum. With this capital base, the BIS ratio, using Basil II criteria, came to 12.23%, Tier I to 8.78% and core capital to 7.23%. These ratios prove Santander's capital strength. 

The Santander share ended the year at EUR 6.75, resulting in market capitalization of EUR 53,960 million. The Board of Directors has approved a total dividend against 2008 earnings of 0.65 euros, the same amount per share as in 2007. However, due to the various capital increases, this dividend has been paid on 18% more shares than in 2007. The total dividend payout against 2008 results is EUR 4,812 million, a payout ratio of 54.2%.

At the close of 2008, the shareholder base of Grupo Santander came to 3,034,816 shareholders. 170,961 employees work in Group, servicing 80 million customers in 13,390 branches. These figures will be increased during the first quarter as a result of the integration of Sovereign. 

More information:  www.santander.com

Income statement
Million euros
			Variation
	2008	2007	Amount	%	2006
Net interest income (w/o dividends)	18,078	14,882	3,196	21.5	12,076
Dividends	548	413	134	32.5	404
Net interest income	18,625	15,295	3,330	21.8	12,480
Income from companies accounted for by the equity method	797	441	356	80.6	427
Net fees	8,451	8,040	410	5.1	7,024
Insurance activity	366	319	47	14.7	253
Commercial revenue	28,240	24,096	4,144	17.2	20,184
Gains (losses) on financial transactions	2,802	2,998	(196)	(6.5)	2,149
Gross operating income	31,042	27,095	3,948	14.6	22,333
Income from non-financial services	118	152	(34)	(22.6)	119
Non-financial expenses	(88)	(78)	(9)	11.7	(70)
Other operating income	(182)	(119)	(63)	-	(119)
Operating expenses	(13,161)	(12,208)	(954)	7.8	(11,045)
General administrative expenses	(11,892)	(10,940)	(952)	8.7	(9,899)
Personnel	(6,923)	(6,510)	(413)	6.3	(5,926)
Other administrative expenses	(4,969)	(4,430)	(539)	12.2	(3,973)
Depreciation and amortisation	(1,270)	(1,268)	(2)	0.1	(1,147)
Net operating income	17,729	14,842	2,887	19.5	11,218
Impairment loss on assets	(6,138)	(3,549)	(2,589)	73.0	(2,551)
Loans	(5,976)	(3,470)	(2,506)	72.2	(2,467)
Goodwill	-	(14)	14	(100.0)	(13)
Other assets	(162)	(65)	(98)	151.0	(70)
Other income	(221)	(383)	162	-	(45)
Profit before taxes (w/o capital gains)	11,370	10,910	460	4.2	8,622
Tax on profit	(2,025)	(2,392)	367	(15.3)	(1,947)
Net profit before ordinary activity	9,346	8,518	827	9.7	6,674
Net profit from discontinued operations	(13)	112	(126)	-	470
Net consolidated profit (w/o capital gains)	9,332	8,631	702	8.1	7,144
Minority interests	456	520	(64)	(12.4)	562
Attributable profit to the Group (w/o capital gains)	8,876	8,111	766	9.4	6,582
Net extraordinary capital gains and allowances	-	950	(950)	(100.0)	1,014
Attributable profit to the Group	8,876	9,060	(184)	(2.0)	7,596

Customer loans
Million euros
			Variation
	31.12.08 (1)	31.12.07	Amount	%	31.12.06
Public sector	7,668	5,633	2,035	36.1	5,329
Other residents	230,783	227,512	3,271	1.4	199,994
Commercial bills	14,874	18,248	(3,374)	(18.5)	17,276
Secured loans	123,566	123,371	195	0.2	110,863
Other loans	92,343	85,893	6,450	7.5	71,854
Non-resident sector	395,363	341,027	54,336	15.9	326,187
Secured loans	229,761	199,316	30,444	15.3	191,724
Other loans	165,602	141,711	23,892	16.9	134,463
Gross customer loans	633,814	574,172	59,642	10.4	531,509
Loan-loss allowances	12,466	8,695	3,771	43.4	8,163
Net customer loans	621,348	565,477	55,871	9.9	523,346
Pro memoria: Doubtful loans	13,972	6,070	7,902	130.2	4,613
Public sector	1	1	0	51.2	18
Other residents	6,208	1,812	4,396	242.6	1,212
Non-resident sector	7,763	4,257	3,506	82.3	3,383

(1).- In December 2008 Banco Real and Alliance & Leicester were incorporated.

Customer funds under management
Million euros
			Variation
	31.12.08 (1)	31.12.07	Amount	%	31.12.06
Public sector	13,720	15,239	(1,520)	(10.0)	15,266
Other residents	117,376	103,772	13,604	13.1	94,750
Demand deposits	51,300	53,779	(2,479)	(4.6)	55,050
Time deposits	46,783	31,007	15,775	50.9	24,670
REPOs	19,293	18,986	308	1.6	15,030
Non-resident sector	288,734	236,693	52,041	22.0	221,206
Demand deposits	151,774	117,699	34,075	29.0	119,861
Time deposits	115,619	78,287	37,332	47.7	72,258
REPOs	17,187	37,538	(20,351)	(54.2)	26,343
Public Sector	4,153	3,168	985	31.1	2,744
Customer deposits	419,829	355,704	64,125	18.0	331,223
Debt securities	236,404	233,634	2,769	1.2	204,069
Subordinated debt	37,822	35,670	2,152	6.0	30,423
On-balance sheet customer funds	694,055	625,009	69,046	11.0	565,715
Mutual funds	90,306	119,211	(28,905)	(24.2)	119,838
Pension funds	11,128	11,952	(825)	(6.9)	29,450
Managed portfolios	17,289	19,814	(2,525)	(12.7)	17,835
Savings-insurance  policies	12,338	9,009	3,329	37.0	6,385
Other customer funds under management	131,061	159,986	(28,925)	(18.1)	173,509
Customer funds under management	825,116	784,995	40,121	5.1	739,223

(1).- In December 2008 Banco Real and Alliance & Leicester were incorporated.

Shareholders' equity and minority interests
Million euros
			Variation
	31.12.08	31.12.07	Amount	%	31.12.06
Capital stock	3,997	3,127	870	27.8	3,127
Additional paid-in surplus	28,104	20,370	7,734	38.0	20,370
Reserves	28,024	23,458	4,566	19.5	12,352
Treasury stock	(421)	(0)	(421)	-	(127)
On-balance sheet shareholders' equity	59,704	46,955	12,748	27.1	35,722
Attributable profit	8,876	9,060	(184)	(2.0)	7,596
Interim dividend distributed	(1,711)	(1,538)	(173)	11.2	(1,337)
Shareholders' equity at period-end	66,869	54,478	12,391	22.7	41,981
Interim dividend not distributed	(3,102)	(2,532)	(569)	22.5	(1,919)
Shareholders' equity	63,768	51,945	11,822	22.8	40,062
Valuation adjustments	(8,300)	722	(9,022)	-	2,871
Minority interests	2,415	2,358	56	2.4	2,221
Preferred securities	1,051	523	529	101.2	668
Preferred securities in subordinated debt	7,622	7,261	360	5.0	6,837
Shareholders' equity and minority interests	66,555	62,810	3,746	6.0	52,658

Computable capital and BIS II ratio
Million euros
	31.12.08
Core capital	37,182
Basic capital	45,108
Supplementary capital	21,302
Deductions	(3,567)
Computable capital	62,844
Risk-weighted assets	514,013
BIS II ratio	12.23
Tier 1 (before deductions)	8.78
Core capital	7.23
Shareholders' equity surplus (BIS II ratio)	21,723

 

END

 

 

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