team spirit - Bankier.pl

(17) Investments
Loan loss provisions – breakdown by region
€ m 2005 2004
Austria 2,565 2,539
Abroad 667 765
Central and Eastern Europe 667 765
Other foreign countries – –
LOAN LOSS PROVISIONS 3,232 3,305
€ m Carrying First-time Acquisition Accumulated Carrying Carrying Total
amount application cost write-ups/write downs amount amount change
31 Dec. 2004 31 Dec. 2004 1 Jan. 2005 1 Jan. 2005 1 Jan. 2005 31 Dec. 2005 2005
Held-to-maturity investments – debt securities 7,292 –1 7,356 – 64 7,291 6,847 – 445
Available-for-sale investments 8,036 – 308 7,977 – 381 7,728 8,160 432
Shares in unconsolidated subsidiaries 738 – 1,032 – 303 738 748 10
Shares in other companies 169 – 217 – 72 169 162 – 7
Other fixed-income securities 3,518 – 308 3,210 – 3,210 3,913 703
Shares and other variable-yield securities 3,610 – 3,518 – 6 3,610 3,337 – 273
Securities held as short-term investments 1,817 – 1,817 – 1,817 1,539 – 279
Securities held as long-term investments 1,793 – 1,701 – 6 1,793 1,798 5
Fair value option – investments – 887 – – 887 1,963 1,076
Bonds and other fixed-income securities – 887 – – 887 1,738 850
Shares and other variable-yield securities – – – – – 226 226
Securities held as short-term investments – – – – – 5 5
Securities held as long-term investments
Investments in companies accounted for
– – – – – 221 221
under the equity method 942 69 787 144 931 987 56
of which: goodwill *) 183 – 120 –17 103 99 – 4
Investment property 397 – 589 –191 397 214 –183
INVESTMENTS 17,235 18,172 937
*) In the previous year, adjustment of goodwill of regional banks (– € 79 m) pursuant to IFRS 3 (purchase accounting).
The BA-CA Group used the option to designate financial instruments upon initial recognition
as “at fair value through profit or loss”. Valuation differences between hedged items
and hedging instruments to be recognised in income are thereby reduced or avoided. The
overall effect of using the fair value option for investments in the Bank Austria Creditanstalt
Group was a positive amount of € 19 m.
Notes to the balance sheet 133