International financial market indicators Short-term interest rates Long-term interest rates Stock indices Corporate bond spreads Table A A A3 A4 Financial indicators of the Austrian corporate and household sectors Financial investment of households Household income and savings Financing of nonfinancial corporations Insolvency indicators Housing market indicators A5 A6 A7 A8 A9 Austrian financial intermediaries Total assets Sectoral distribution of domestic loans Loan quality Exposure to CESEE Profitability on an unconsolidated basis Profitability of Austrian banks subsidiaries in CESEE Profitability on a consolidated basis Solvency Market indicators of selected Austrian financial instruments Key indicators of Austrian insurance companies Assets held by Austrian mutual funds Structure and profitability of Austrian fund management companies Assets held by Austrian pension funds Assets held by Austrian severance funds Transactions and system disturbances in payment and securities settlement systems A0 A A A3 A4 A5 A6 A7 A8 A9 A0 A A A3 A4 Cutoff date for data: November 3, 07 Conventions used in the tables: x = No data can be indicated for technical reasons.. = Data not available at the reporting date Revisions of data published in earlier volumes are not indicated. Discrepancies may arise from rounding. Please note that in the MS Excel file, thousand and decimal separators will be displayed according to users country settings. 9 OESTERREICHISCHE NATIONALBANK
International financial market indicators Table A Short-term interest rates Three-month rates, period average, % Euro area.39 0.57 0. 0. 0.0 0.6 0. 0.33 U.S.A. 0.34 0.43 0.7 0.3 0.3 0.74 0.63.4 Japan 0.34 0.33 0.4 0. 0.7 0.08 0.0 0.06 United Kingdom 0.87 0.83 0.5 0.54 0.57 0.50 0.59 0.33 Switzerland 0. 0.07 0.0 0.0 0.75 0.75 0.75 0.73 Czech Republic.9.00 0.46 0.36 0.3 0.9 0.9 0.9 Hungary 6.9 6.98 4.3.4.6 0.99. 0. Poland 4.54 4.9 3.0.5.75.70.68.73 Source: Bloomberg, Eurostat, Macrobond. Average rate at which a prime bank is willing to lend funds to another prime bank for three months. Long-term interest rates Ten-year rates, period average, % Euro area 4.3 3.05 3.0.8.7 0.93 0.98.9 U.S.A..89.8.5.60.3.8.94.40 Japan.3 0.86 0.7 0.57 0.36 0.04 0.04 0.05 United Kingdom.87.74.03.4.79..45.3 Switzerland.47 0.67 0.88 0.80 0.0 0.36 0.8 0.0 Austria 3.3.37.0.49 0.75 0.38 0.47 0.57 Czech Republic 3.7.78..58 0.58 0.43 0.46 0.74 Hungary 7.64 7.89 5.9 4.8 3.43 3.4 3.6 3.30 Poland 5.96 5.00 4.03 3.5.70 3.04 3.00 3.5 Source: ECB, Eurostat, Macrobond. Yields of long-term government bonds. Table A FINANCIAL STABILITY REPORT 34 DECEMBER 07 93
Table A3 Stock indices Annual change in %, period average Euro area: EURO STOXX 3.60 6.36 7.53 3.07.76 9.67.47 6.48 U.S.A.: S&P 500.0 8.8 9.7 7.49 6.7.63 3.8 7.5 Japan: Nikkei 5 5.8 3.43 49.0 3.84 4..9 3.6 6.69 United Kingdom: FTSE00 3.90.09.69 3.3.38.74.0 0.7 Switzerland: SMI 6.96 4.88 4.4 9.8 4.3 0..9 8.73 Austria: ATX 3.69 4.79 6.94.36.8 5.4 0.54 3.43 Czech Republic: PX 50 5. 4.56.53.6 0.8.49.4 0.5 Hungary: BUX 8.67.0 3.6 3.89 7.8 8.94 7.78 3.84 Poland: WIG 4.36 6.65 6.05 8.07 0.3 9.83 4.83 7.70 Source: Macrobond. Corporate bond spreads Percentage points, period average Table A4 Euro area AA.3.67 0.89 0.59 0.7 0.80 0.87 0.84 BBB 3.98 3.75.5.7.89..9.88 U.S.A. AA.68.50. 0.88.04 0.93.0 0.78 BBB.34.59.7.76.3..49.63 Source: Macrobond. Spreads of seven- to ten-year corporate bonds against ten-year government bonds (euro area: German government bonds). 94 OESTERREICHISCHE NATIONALBANK
Financial indicators of the Austrian corporate and household sectors Table A5 Financial investment of households EUR billion, four-quarter moving sum Currency. 0.6. 0.9 0.7 0.6 0.6 0.5 Deposits 4.6 3.8.9 3. 6.5. 8.8. Debt securities.8 0..8 4. 3.5.7..9 Shares and other equity 3 0.8. 0..5 0.3..6 0. Mutual fund shares.4 0.9.7 3.5 4. 3..9 3.8 Insurance technical reserves.9 3.7 3.4 3.3.6.. 0. Other accounts receivable 0. 0.0 0.0.7. 0. 0. Total financial investment 0.0 0.3 7.3 9.9 0. 3.4.9 3.7 Source: OeNB (financial accounts). Including nonprofit institutions serving households. Including financial derivatives. 3 Other than mutual fund shares. Household income and savings 009 00 0 0 03 04 05 06 EUR billion, four-quarter moving sum Net disposable income 7.4 73.8 78.3 85.4 85.6 89.7 93. 00.9 Savings 9.8 6.8 4. 6.6 3.3 3.0 3.4 6.0 Saving ratio in %.4 9.6 7.9 8.9 7. 6.8 6.9 7.9 Source: Statistics Austria (national accounts broken down by sectors). Including nonprofit institutions serving households. Saving ratio = savings / (disposable income + increase in accrued occupational pension benefits). Table A6 Financing of nonfinancial corporations EUR billion, four-quarter moving sum Debt securities 4..8.7 0.7 0.0 0.7.9. Loans 6.4 0.6 7.0 3. 3.7 6.9 8.8 5.6 Shares and other equity 9.7.4 4.4 4..6 4.3 0. 3.9 Other accounts payable 3.3 0.9 3..9 3.8 6.5 6. 3.7 Total external financing 3.6 6.7 6. 9.6 0. 8.4 6.7. Source: OeNB (financial accounts). Including financial derivatives. Table A7 FINANCIAL STABILITY REPORT 34 DECEMBER 07 95
Table A8 Insolvency indicators Default liabilities (EUR million),775 3,06 6,55,899,430,867,800 668 Defaults (number) 3,60 3,505 3,66 3,75 3,5 3,63,65,53 Source: Kreditschutzverband von 870. Note: Default liabilities for 03 include one large insolvency. Housing market indicators Residential property price index 000=00 009 00 0 0 03 04 05 06 Vienna 33.5 43.9 56. 80.7 96.3 04.6 09. 7. Austria 9.8 7.3 3.7 49. 56.0 6.4 68. 80.4 Austria excluding Vienna 4.8. 4.0 37.4 4. 45.4 5.9 66.7 Rent prices 000=00 Vienna: apartments 6.3 7.7.0 6.3 9.5 34.9 40.4 49.9 Austria excluding Vienna: apartments 44.7 45.9 48. 44. 6.5 58.9 58.3 63.0 Austria excluding Vienna: single-family houses 0.5 0.7 97. 94.6 95.5 97.4 94. 95.0 Rents of apartments excluding utilities, according to CPI 96.7 00.0 03.3 07.8. 5.6 0.7 4.4 Table A9 OeNB fundamentals indicator for residential property prices Vienna 6.6.6 3.4.0 5.9 6.8 6.9 8.8 Austria.7 8.9 5.6 0..3.4 0.3 5.0 Source: OeNB, Vienna University of Technology (TU Wien). Free and regulated rents. Deviation from fundamental price in %. 96 OESTERREICHISCHE NATIONALBANK
Austrian financial intermediaries Table A0 Total assets Total assets on an unconsolidated basis,04,78 98,4 97,55 896,44 859,65 83,67 850,643 84,375 of which: total domestic assets 693,394 678,500 645,75 6,540 605,67 603,54 597,64 605,534 Total assets on a consolidated basis,66,33,63,595,089,73,078,55,056,705 946,34,06,760 96,044 Total assets of CESEE subsidiaries, 70,045 76,35 64,998 85,675 95,557 84,966 96,735 97,75 Leverage ratio (consolidated, %) 3 5.8 6. 6.5 6. 6.3 7.6 6.5 7.8 Including Yapı ve Kredi Bankası (not fully consolidated by parent bank UniCredit Bank Austria AG) since 04. The transfer in ownership of UniCredit Bank Austria s CESEE subsidiaries to the Italian UniCredit Group limits the comparability of figures as of end-06. 3 Definition up to 03: tier capital after deductions in % of total assets. Definition as of 04 according to Basel III. Sectoral distribution of domestic loans Table A All currencies combined Banks 84,789 69,364 47,537 33,34 7,037,04 6,450,64 Nonbanks 39,9 330,385 36,80 38,34 333,970 338,3 335,793 338,058 of which: nonfinancial corporations 38,840 40,384 40,39 36,606 37,35 36,963 37,56 38,34 households 38,353 39,056 39,05 40,946 46,43 53,50 47,97 53,45 general government 8,976 7,97 5,970 8,0 8,076 7,630 8,57 7,59 other financial intermediaries 3,586,806,44,578,7 9,987,033 8,689 Foreign currency Banks 5,88 9,4 6,03 5,8,963,44,38 0,438 Nonbanks 57,3 47,65 40,08 36,88 33,950 30,089 3,04 7,338 of which: nonfinancial corporations, 9,56 6,985 6,379 5,93 4,96 4,66 4,8 households 38,76 3,905 8,385 5,374 4,43,4,785 9,85 general government 3,67,87,478,777,858,63,766,9 other financial intermediaries 3,33,76,57,759,374,945,99,85 Including nonprofit institutions serving households. Note: Figures are based on monetary statistics. Since 007, the International Monetary Fund (IMF) has published Financial Soundness Indicators (FSIs) for Austria (see also www.imf.org). In contrast to some FSIs that take only domestically-owned banks into account, the OeNB s Financial Stability Report takes into account all banks operating in Austria. For this reason, some of the figures presented here may deviate from the figures published by the IMF. FINANCIAL STABILITY REPORT 34 DECEMBER 07 97
Table A Loan quality End of period, % of claims on nonbanks Specific loan loss provisions for loans to nonbanks (unconsolidated) 3. 3.4 3.5 3.3 3.0.3.7. Specific loan loss provisions for loans to nonbanks (consolidated) 4.3 4.6 4.8 4.5 4. 3. 3.5.8 Specific loan loss provisions for loans to nonbanks (Austrian banks subsidiaries in CESEE) 7.3 7.6 8.0 7.3 7.0 6. 6.7 5. Nonperforming loan ratio (unconsolidated) 4.5 4.7 4. 4.4 4.3 3.5 4.0 3.3 Nonperforming loan ratio (consolidated) 8.3 8.7 8.6 7 6.6 4.9 5.6 4.6 Nonperforming loan ratio (Austrian banks subsidiaries in CESEE) 4. 3.9 4.0.8.5 8.6 9.9 7.5 Ratio for loans to corporates and households (introduced in Financial Stability Report 4 to better indicate the loan quality in retail business; not comparable with former ratios). The transfer in ownership of UniCredit Bank Austria AG s CESEE subsidiaries to the Italian UniCredit Group limits the comparability of figures as of end-06. Exposure to CESEE Table A3 Total exposure according to BIS 6,086 09,88 0,768 84,768 86,397 93,73 87,553 09,900 Total indirect lending to nonbanks, 3 7,3 7,7 6,439 77,389 76,78 08,738 06,405 4,093 Total direct lending 4 5,00 5,539 5,96 43,44 40,866 3,976 39,677 30,909 Foreign currency loans of Austrian banks subsidiaries in CESEE 3 88,8 85,38 79,047 76,736 69,37 3,576 3,733 3,749 As of mid-07, comparability of data with earlier figures is limited due to several methodological adjustments in data collection. Lending (net lending after risk provisions) to nonbanks by all fully consolidated bank subsidiaries in CESEE. 3 The transfer in ownership of UniCredit Bank Austria AG s CESEE subsidiaries to the Italian UniCredit Group limits the comparability of figures as of end-06. 4 Cross-border lending to nonbanks and nonfinancial institutions in CESEE according to monetary statistics. 98 OESTERREICHISCHE NATIONALBANK
Table A4 Profitability on an unconsolidated basis Operating income 9,7 9,5 8,967 9,943 0,83 8,984 9,936 0,03 of which: net interest income 9,6 8,83 8,84 9,306 8,975 8,5 4,333 4,075 securities and investment earnings 3,66 3,670 3,08 3,550 3,443 3,608,09,90 fee and commission income 3,835 3,848 4,073 4,60 4,40 3,887,,4 trading income 35 63 495 368 56 3 97 67 other operating income,784,53,567,458 3,469,644,366,367 Operating expenses,74,93,835 3,906 3,770 3.55 7,048 6,03 of which: staff costs 5,998 6,43 6,507 7,384 6,98 6,75 3,660,99 other administrative expenses 4,08 4,4 4,30 4,459 4,58 4,683,359,79 other operating expenses,688,87,07,063,70,8,030 934 Operating profit/loss 7,53 6,9 6,3 6,037 7,043 5,477,887 3,80 Net profit after taxes, 3,4 935 6,69 3,70 4,467 3,7 4,483 % Return on average assets 0. 0.3 0. 0.7 0.4 0.5 0.4 0.5 Return on average equity (tier capital).6 4.3. 9.9 5.9 7.0 4.9 7.3 Interest income to gross income 50.0 46. 46.5 46.7 43. 44.9 43.6 40.7 Cost-to-income ratio 60.9 63.79 67.7 69.7 66. 7.4 70.9 6.0 End-of-period result after tax in % of average total assets and average tier capital, respectively. Profitability of Austrian banks subsidiaries, in CESEE Table A5 Operating income 3,070,685,544,59,6 7,75 3,974 3,9 of which: net interest income 9,90 8,780 8,44 9,068 8,43 5,35,575,66 securities and investment earnings 67 66 63 7 49 57 4 64 fee and commission income 3,084,99 3,64 3,477 3,358,84,069,3 trading income 5 739 736 5 64 68 548 00 other operating income 3 4 3 374 83 58 344 9 5 Operating expenses 3 6,35 6,363 6,53 6,43 6,64 4,084,06,078 of which: staff costs,97,99,9,978,896,956 959,00 Operating profit/loss 6,744 6,3 6,9 5,746 5,998 3,668,958,844 Net profit after taxes,876,999,0 67,050,354,6,57 Return on average assets 4 0.7 0.7 0.8 0. 0.7.3.6.6 Return on average equity (tier capital) 4 7. 8. 8.4 9.9 9.5 4.3 6.5 7.5 Interest income to gross income 7 69 67 75 69 66 65 67 Cost-to-income ratio 3 48 50 50 53 5 53 5 53 Pro rata data of Yapi ve Kredi Bankasi, a joint venture of UniCredit Bank Austria AG in Turkey, are included for the period from the first quarter of 04 until end-05. The transfer in ownership of UniCredit Bank Austria AG s CESEE subsidiaries to the Italian UniCredit Group limits the comparability of figures as of end-06. 3 Since end-04, other operating income and other operating expenses have been netted under other operating income. 4 End-of-period result expected for the full year after tax as a percentage of average total assets and average total tier capital, respectively. FINANCIAL STABILITY REPORT 34 DECEMBER 07 99
Table A6 Profitability on a consolidated basis Operating income 37,07 37,673 35,7 8,77 8,064,640,8,668 of which: net interest income 0,46 9,59 8,598 9,345 8,336 4,70 7,39 7,59 net fee-based income 7,59 7,60 7,590 7,74 7,730 6,566 3,47 3,48 net profit/loss on financial operations 845,37 670 46 50 06 7 44 other operating income 8,344 0,06 8,43,05,048,58 65 937 Operating expenses 6,839 5,58 7,38 9,833 7,6 6,690 8,088 7,656 of which: staff costs 0,79 0,39 0,378 9,543 8,959 8,775 4,367 4,67 other administrative expenses 6,36 6,40 6,68 6,569 6,830 5,83,898,87 Operating profit/loss 0,369,090 7,953 8,884 0,45 5,73 3,4 4,0 Net profit after taxes 7,966,035 685 5,44 4,979,89 3,358 % Return on average assets 3 0. 0.3 0.0 0.0 0.6 0.6 0.6 0.8 Return on average equity (tier capital) 3.7 5. 0.7 0.7 8.8 8.3 8.3 0.8 Interest income to gross income 54.9 5. 5.7 67.4 65.3 65.0 64.5 6. Cost-to-income ratio 66.4 6.7 73.0 69. 6.8 73.7 7.0 65.6 The transfer in ownership of UniCredit Bank Austria AG s CESEE subsidiaries to the Italian UniCredit Group limits the comparability of figures as of end-06. Since end-04, other operating income and other operating expenses have been netted under other operating income. 3 End-of-period result for the full year after tax but before minority interests as a percentage of average total assets and average tier capital, respectively. Solvency Table A7 Own funds 88,07 88,04 88,994 87,584 87,793 80,699 88,94 83,00 Total risk exposure 649,63 6,95 578,45 56,790 537,447 44,870 539,3 448,304 End of period, eligible capital and tier capital, respectively, as a percentage of risk-weighted assets Consolidated total capital adequacy ratio 3.6 4. 5.4 5.6 6.3 8. 6.5 8.5 Consolidated tier capital ratio 0.3.0.9.8.9 4.9 3.3 5.3 Consolidated core tier capital ratio (common equity tier as from 04) 9.8 0.7.6.7.8 4.8 3. 5. Note: Since 04, figures have been calculated according to CRD IV requirements; therefore, comparability with previous figures is limited. 00 OESTERREICHISCHE NATIONALBANK
Table A8 Market indicators of selected Austrian financial instruments Share prices 00 0 0 03 04 05 06 Oct. 07 % of end-00 prices, end of period Erste Group Bank 00 39 68 7 55 83 8 Raiffeisen Bank International 00 49 77 6 3 35 44 76 EURO STOXX Banks 00 6 70 88 84 79 73 84 Uniqa 00 64 67 63 53 5 49 60 Vienna Insurance Group 00 79 04 93 95 65 55 65 EURO STOXX Insurance 00 8 09 46 5 75 65 87 Relative valuation: share price-to-book value ratio %, end of period Erste Group Bank 0.9 0.40 0.67 0.88 0.76.0 0.9.0 Raiffeisen Bank International 0.85 0.40 0.60 0.5 0.48 0.50 0.59.0 EURO STOXX Banks 0.67 0.49 0.58 0.8 0.77 0.74 0.7 0.86 Uniqa.64.53.05.03 0.78 0.74 0.69 0.9 Vienna Insurance Group.07 0.95.07.0 0.98 0.79 0.6 0.73 EURO STOXX Insurance 0.79 0.65 0.75.07 0.93.0 0.89.09 Source: Bloomberg. Key indicators of Austrian insurance companies Business and profitability Table A9 Premiums 6,537 6,34 6,608 7,077 7,34 6,90 9,0 9,7 Expenses for claims and insurance benefits,86,973 3,50 4,57 5,54 4,75 7,767 7,5 Underwriting results 95 455 59 477 475 560 4 37 Profit from investments,964 3,39 3,354 3, 3,6 3,05,75,609 Profit from ordinary activities,6,395,54,4,354,44 954 934 Acquisition and administrative expenses 3,54 3,499 3,58 3,573 3,697 3,88,934,94 Total assets 05,945 08,374 0,39 3,66 4,495 4,707 5,04 40,88 Investments Total investments 99,776 03,7 05,496 07,44 07,933 08,897 08,398 09,887 of which: debt securities 37,83 37,64 39,560 4,667 4,57 43,4 4,803 43,564 stocks and other equity securities,363,505,464,69,5,534,45,704 real estate 5,36 5,37 5,689 5,858 5,9 6,0 5,866 6,038 Investments for unit-linked and index-linked life insurance 5,870 8,330 9,7 0,79 9,776 0,4 9,43 0,4 Claims on domestic banks 6,405 6,87 6,687 5,800 5,49 3,793 5,059 x Reinsurance receivables,733,933 84 98 97,07,6,37 % Risk capacity (median solvency capital requirement) 33 350 368 380 375 x x 4 Source: FMA, OeNB. Contains shares, share certificates (listed and not listed) and all equity instruments held by mutual funds. A new reporting system based on Solvency II was introduced in 07; therefore, some indicators cannot be compared with historical values. FINANCIAL STABILITY REPORT 34 DECEMBER 07 0
Table A0 Assets held by Austrian mutual funds Domestic securities 50,046 50,963 49,757 5,6 5,970 54,38 5,87 54,467 of which: debt securities 6,683 7,57 6,03 5,467 3,609 3,78 3,653,55 stocks and other equity securities,99 3,637 3,60 3,345 3,530 4,83 3,66 4,377 Foreign securities 87,458 96,854 99,647 0,397 4,833,033 5,537 3,65 of which: debt securities 58,695 63,66 6,97 69,64 70,36 69,9 7,59 70,004 stocks and other equity securities,097 4,08 6,78 7,90 8,5 0,45 7,06 0,74 Net asset value 37,504 47,87 49,404 6,53 67,80 74,7 68,354 78,07 of which: retail funds 78,99 84,58 83,38 89,63 9,66 94,3 9,884 95,607 institutional funds 59,05 63,659 66,67 73,350 76,77 80,599 76,470 8,465 Consolidated net asset value 6,747 6,83 8,444 38,64 43,49 48,68 43,94 5,76 Structure and profitability of Austrian fund management companies Table A Total assets 66 644 670 75 745 69 679 644 Operating profit 5 3 58 84 57 73 8 Net commissions and fees earned 84 83 30 368 4 40 97 Administrative expenses 95 05 9 46 66 84 35 39 Number of fund management companies 9 9 9 9 9 9 9 9 Number of reported funds,7,68,6,8,077,09,05,040 Administrative expenses are calculated as the sum of staff and material expenses. Assets held by Austrian pension funds Table A Total assets 4,798 6,335 7,385 9,0 9,646 0,839 9,848,645 of which: direct investment,39,39,640,065 990 835 99 87 mutual funds 3,66 5,78 5,745 7,946 8,656 0,004 8,98 0,88 foreign currency (without derivatives) x 5,74 5,964 7,578 7,79 9,69 8,333 9,754 stocks x 4,805 5,47 6,50 6,00 6,97 5,890 7,357 debt x 8,464 7,650 9,63 9,55 9,5 0,0 9,65 real estate x 567 583 576 690 754 70 774 cash and deposits,64,488,033,598,850,863,508,87 Source: OeNB, FMA. 0 OESTERREICHISCHE NATIONALBANK
Table A3 Assets held by Austrian severance funds Total direct investment,393,44,58,45,565,68,6,68 of which: euro-denominated,363,45,507,99,50,647,550,647 foreign currency-denominated 30 7 x 63 35 6 35 accrued income claims from direct investment 9 5 4 5 4 5 Total indirect investment,89 3,834 4,70 5,9 6,74 7,745 7,8 7,745 of which: total of euro-denominated investment in mutual fund shares,74 3,540 4,0 5,90 5,790 6,743 6,89 6,743 total of foreign currency-denominated investment in mutual fund shares 5 94 48 7 95,00 89,00 Total assets assigned to investment groups 4,84 5,54 6,8 7,306 8,94 9,4 8,770 9,4 Note: Due to special balance sheet operations, total assets assigned to investment groups deviate from the sum of total indirect investments. Transactions and system disturbances in payment and securities settlement systems Table A4 HOAM.AT Number of transactions in million, value of transactions in EUR billion Number Value 7,667 9,974 5,906 7,438 6,38 4,36,6,050 System disturbances 3 0 4 0 Securities settlement systems Number Value 439 48 369 377 35 335 65 3 System disturbances 0 5 3 3 0 Card payment systems Number 59 633 673 856 90 963 379 47 Value 45 48 7 9 97 0 5 7 System disturbances 4 4 0 4 0 Participation in international payment systems Number 36 4 53 3 44 66 80 80 Value,306,80,643,463,40 3,09,40,565 System disturbances 0 0 0 0 0 0 0 0 Significant rise in reported values since TS migration in February 07. In mid-04, significant changes were implemented in the reporting of card payment data. On-us ATM transactions have been included since then. FINANCIAL STABILITY REPORT 34 DECEMBER 07 03