SEC Form 20-F - Deutsche Bank Annual Report 2012

Deutsche Bank
Annual Report 2010 on Form 20-F
Item 5: Operating and Financial Review and Prospects 72
Noninterest expenses of € 4.5 billion were € 165 million, or 4 %, higher than in 2009. This increase was predominantly
driven by € 320 million related to the first-time consolidation of Postbank. Excluding Postbank, noninterest
expenses decreased by € 155 million, or 4 %, mainly attributable to lower severance payments.
Invested assets were € 306 billion as of December 31, 2010, an increase of € 112 billion compared to December
31, 2009, mainly driven by the Postbank consolidation. Excluding this effect, invested assets increased by
€ 7 billion, including € 5 billion due to market appreciation and € 2 billion net inflows, mainly in deposits.
The number of clients in PBC was 28.8 million at year end 2010, including 14.2 million related to Postbank.
Corporate Investments Group Division
The following table sets forth the results of our Corporate Investments Group Division (CI) for the years ended
December 31, 2010, 2009 and 2008, in accordance with our management reporting systems.
in € m.
(unless stated otherwise) 2010 2009 2008
Net revenues (2,020) 1,044 1,290
therein:
Net interest income and net gains (losses) on financial assets/liabilities
at fair value through profit or loss (184) 793 (172)
Provision for credit losses (4) 8 (1)
Total noninterest expenses 637 581 95
therein:
Impairment of intangible assets – 151 –
Restructuring activities – – –
Noncontrolling interests (2) (1) 2
Income (loss) before income taxes (2,649) 456 1,194
Cost/income ratio N/M 56 % 7 %
Assets 17,766 28,456 18,297
Average active equity 1 4,168 4,323 403
Pre-tax return on average active equity (64) % 11 % N/M
N/M – Not meaningful
1 See Note 05 “Business Segments and Related Information” to the consolidated financial statements for a description of how average active equity is allocated to the
divisions.
Comparison between 2010 and 2009
Net revenues were negative € 2.0 billion, versus positive € 1.0 billion compared to 2009. Net revenues in 2010
were mainly impacted by a charge of € 2.3 billion on our investment in Postbank, which was recorded in the
third quarter. In addition, net revenues included an impairment charge of € 124 million on The Cosmopolitan of
Las Vegas. Net revenues in 2009 included € 1.0 billion related to the Postbank transaction, mark-to-market gains
of € 83 million from our option to increase our share in Hua Xia Bank Co. Ltd. and an impairment charge of
€ 75 million on The Cosmopolitan of Las Vegas.
Total noninterest expenses were € 637 million, an increase of € 56 million compared to the previous year. This
increase was mainly due to higher expenses related to space and building optimization and higher operating
costs of our consolidated investment in The Cosmopolitan of Las Vegas, which commenced operations in
December 2010. Noninterest expenses in 2009 included a goodwill impairment charge of € 151 million on our
investment in Maher Terminals.
Consolidation & Adjustments
For a discussion of Consolidation & Adjustments to our business segment results see Note 05 “Business
Segments and Related Information” to the consolidated financial statements.