entire - Deutsche Bank Annual Report 2012

Deutsche Bank 01 – Management Report 22
Financial Report 2010 Operating and Financial Review
Carrying value Fair value
Dec 31, 2009 Year ended Dec 31, 2009
Impact on
income before
income taxes
Impact on other
comprehensive
income
2009 impact of the reclassification
Sales & Trading – Debt
in € bn. in € bn. in € m. in € m.
Trading assets reclassified to loans 18.2 15.9 407 –
Financial assets available for sale reclassified to loans
Origination and Advisory
9.3 8.2 (16) (1,102)
Trading assets reclassified to loans
Loan products
6.1 5.7 (664) –
Financial assets available for sale reclassified to loans – – – (114) 1
Total 33.6 29.8 (273) 2
(1,216)
1 The negative amount shown as the annual movement in other comprehensive income is due to an instrument being impaired in the year. The decrease in fair value
since reclassification that would have been recorded in equity would then be removed from equity and recognized through the income statement.
2 In addition to the impact in CB&S, income before income taxes increased by € 18 million in PBC.
During 2010 we sold reclassified assets with a carrying value of € 2.0 billion. The sales resulted in a net loss on
sale of € 3 million. Sales were made due to circumstances that were not foreseen at the time of reclassification.
The assets reclassified included funded leveraged finance loans with a fair value on the date of reclassification
of € 7.5 billion which were entered into as part of an “originate to distribute” strategy. Assets with a fair value on
the date of reclassification of € 9.4 billion were contained within consolidated asset backed commercial paper
conduits as of the reclassification date. Commercial real estate loans were reclassified with a fair value on the
date of reclassification of € 9.1 billion. These loans were intended for securitization at their origination or purchase
date. The remaining reclassified assets, which comprised other assets principally acquired or originated for the
purpose of securitization, had a fair value of € 11.9 billion on the reclassification date.