Euro 25,000,000,000 Debt Issuance Programme - Münchener ...

(in € million) 30 June 31 Dec. 31Dec. 31 Dec.
2006 2005 2004 2003
Liabilities to banks 2,558 2,390 2,340 1,903
Registered mortgage Pfandbriefe
issued 1,041 772 696 645
Registered public-sector Pfandbriefe
issued 321 312 417 393
Other liabilities 1,196 1,306 1,227 865
Liabilities to customers 7,987 7,779 7,372 6,563
Registered mortgage Pfandbriefe
issued 2,695 2,317 2,583 2,930
Registered public-sector Pfandbriefe
issued 4,506 4,719 4,188 3,056
Other liabilities 786 743 601 577
Certificated liabilities 22,608 22,801 22,259 21,771
Mortgage Pfandbriefe issued 7,034 7,325 5,766 5,482
Public-sector Pfandbriefe issued 12,313 11,781 11,997 13,257
Other bonds issued 3,261 3,695 4,496 3,032
Deferred items 36 35 51 51
Subordinated liabilities 66 66 66 66
Profit-participation certificates 91 101 101 103
Capital and reserves
(before allocation to the reserves) 630 659 505 438
Subscribed capital 366 395 246 210
a) Member´s capital contributions 123 122 113 77
b) Silent participations 243 273 133 133
Revenue reserve 264 264 259 228
a) Legal reserve 263 263 258 227
b) Other revenue reserves 1 1 1 1
Net income *) 5 10 8 35
Other liabilities
(including provisions and trust liabilities) 176 174 181 222
Total liabilities, capital and reserves 34,157 34,015 32,882 31,153
Contingent liabilities 8 8 31 12
Irrevocable loan commitments 630 514 386 471
*) The net income less transfer to reserves results in the net profit.
Save as disclosed herein, there has been no material negative change in the capitalisation of
MünchenerHyp since 30 June 2006.
Prospects
Business Development
Comparing to the first Half-year 2005, in the first Half-year 2006 MünchenerHyp has increased its
commitments in the mortgage business by 14.4 per cent.: from EUR 987.4 mn to EUR 1,129,1 mn.
In the public loan business the commitments rose - compared to the period of last year - with an
amount of EUR 428 mn to EUR 1,687 mn.
Extensive measures to achieve a sustained improvement in earnings, reduce costs, and improve
processes at the MünchenerHyp have decisively been processed partially in 2005 and continue in
2006. These measures will create the preconditions necessary to achieve the basis for the Bank´s
continued good standing.
Risks that could endanger the value of the Bank´s holdings or risks that could have a significant
influence on our net worth, financial or earnings situation are not visible.
In light of the difficult economic conditions facing the Bank, the goals for 2006 are indeed ambitious.
However, they are realistic because of MünchenerHyp´s competence and resources. The signs are
favourable that the bank will be able in 2006 as well as in the following years to successively and
sustainably improve the Bank´s earning abilities in addition to securing and strengthening its
competitiveness.
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