entire - Deutsche Bank Annual Report 2012

Deutsche Bank 02 – Consolidated Financial Statements 316
Financial Report 2010 Additional Notes
37 – Related Party Transactions
Loans
in € m. 2010 2009
Loans outstanding, beginning of year 965 834
Loans issued during the year 1 3,564 366
Loan repayment during the year 148 209
Changes in the group of consolidated companies 2 (179) (83)
Exchange rate changes/other 16 57
Loans outstanding, end of year 3 4,218 965
Other credit risk related transactions:
Allowance for loan losses 31 4
Provision for loan losses 26 31
Guarantees and commitments 4 231 135
1 The increase in loans issued as of December 31, 2010 is mainly due to the restructuring of a loan transaction. For further detail please see Note 17 “Equity Method
Investments”. Related interest income to these loans amounted up to € 24 million.
2
In 2010, some entities were fully consolidated. In 2009, one entity that was accounted for using the equity method was sold. Therefore loans made to these investments
were eliminated on consolidation.
3
Loans past due were nil as of December 31, 2010 and totaled € 15 million as of December 31, 2009. For the above loans the Group held collateral of € 299 million
and € 375 million as of December 31, 2010 and as of December 31, 2009, respectively. Loans included loans to joint ventures of € 4 million both as of December 31,
2010 and December 31, 2009. For these loans no loan loss allowance was required.
4
Includes financial and performance guarantees, standby letters of credit, indemnity agreements and irrevocable lending-related commitments.
Deposits
in € m. 2010 2009
Deposits outstanding, beginning of year 367 246
Deposits received during the year 160 287
Deposits repaid during the year 220 161
Changes in the group of consolidated companies 1 (93) (6)
Exchange rate changes/other 2 1
Deposits outstanding, end of year 2 216 367
1 In 2010, some entities were fully consolidated. In 2009, one entity with related party deposits that was accounted for using the equity method was sold.
2 The deposits are unsecured. Deposits include also € 0.4 million deposits from joint ventures both as of December 31, 2010 and December 31, 2009.
Other Transactions
Trading assets and positive market values from derivative financial transactions with associated companies
amounted to € 140 million as of December 31, 2010 and € 3.7 billion as of December 31, 2009. Trading liabilities
and negative market values from derivative financial transactions with associated companies amounted to
€ 15 million as of December 31, 2010 and € 3.0 billion as of December 31, 2009. The decrease was mainly
attributable to one entity that was fully consolidated and was previously accounted using the equity method.
Other transactions with related parties also reflected the following:
Xchanging etb GmbH:
With the acquisition of Sal.Oppenheim in March 2010 the Group increased its stake in Xchanging etb GmbH
from 44 % to 49 %. The Group accounts for it under the equity method. Xchanging etb GmbH is the holding
company of Xchanging Transaction Bank GmbH (“XTB”). Two of the five executive directors of Xchanging etb
GmbH and two members of the supervisory board of XTB are employees of the Group. The Group’s arrangements
with Xchanging include a 12-year outsourcing agreement for security settlement services and a 10-year outsourcing
agreement for the provision of security settlement to Sal. Oppenheim. The outsourcing arrangements
are aimed at reducing costs without compromising service quality. In 2010 and 2009, the Group received services
from XTB with volume of € 113 million and € 104 million, respectively. In 2010 and 2009, the Group provided
supply services (e.g., IT and real estate-related services) with volumes of € 20 million and € 29 million,
respectively, to XTB.