Landeskreditbank Baden-Württemberg - L-Bank

Notes to the annual financial statements of
Landeskreditbank Baden-Württemberg – Förderbank –
for the financial year ended December 31, 2003
Individual subordinated issues exceeding 10% of the total amount of the subordinated liabilities break down as
follows:
Currency Amount in millions Interest rate (%) Due on
EUR ............... 85 Zero coupon issue Dec. 30, 2010
EUR ............... 250 4.1250 Jan. 14, 2009
All subordinated liabilities constitute exclusively supplemental capital and meet the requirements of the German
Banking Act (Kreditwesengesetz [KWG]). Of significance here is the subordinated nature of the Bank’s liabilities
in relation to all non-subordinated liabilities due to other creditors. In the event of liquidation, subordinated
creditors are only entitled to receive payment after all liabilities due to other creditors have been paid in full.
Retrospective limitation of the subordinated nature of the liability or the original maturity (of at least five years)
or the agreed period of notice, is precluded.
In accordance with state legislation, L-Bank is unable to file for insolvency.
Individual material items
Other assets
Dec. 31, 2003 Dec. 31, 2002
EUR ’000 EUR ’000
• Premiums on interest rate options ....................................... 6,396 9,695
• Objets d’art ......................................................... 13,715 13,722
• Real estate and buildings in the current asset portfolio ....................... 15,544 8,763
Other liabilities
• Adjustment item for foreign exchange valuation of off-balance-sheet transactions . . 1,108,223 492,026
• Liabilities arising from contributions to state highway construction project ...... 15,339 —
• One-off payments on swaps due at maturity ............................... 11,321 4,700
• Liabilities relating to outstanding premiums on interest rate options ............ 6,956 9,275
• Trade payables ...................................................... 3,040 4,433
• Taxes to pay ........................................................ 2,434 2,461
Deferred items on the liability side
• Prepaid interest subsidies received from third parties ........................ 907,619 1,007,367
• One-off payments on swaps due at maturity ............................... 38,899 40,822
Contingency reserves
• Under other reserves: reserves for L-Bank interest subsidies .................. 560,589 611,450
Commissions paid
• Commissions paid for administration of loans in a fiduciary capacity ........... 7,698 9,580
Other operating income
• Rental income ...................................................... 7,155 8,018
• Income from services to third parties .................................... 16,645 15,949
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