Dit prospectus is gemaakt voor de uitgifte van dit product en ... - Iex

Contingent liabilities relate primarily to transactions in which Rabobank Group stands surety for commitmentsof third parties.At 31 December2008 2007(in millions of euro)Guarantees, etc............................................................................................... 9,515 8,992Irrevocable letters of credit............................................................................ 1,540 2,402Other contingent liabilities ............................................................................ 208 21Total contingent liabilities ........................................................................... 11,263 11,415Contingent liabilities secured by assets were € 95 million at 31 December 2008 compared to € 28 million at 31December 2007.Guarantees relate both to credit and non-credit substitute guarantees. Credit-substitute guarantees areguarantees given by Rabobank Group entities in respect of credit granted to customers by a third party. Manyof them are expected to expire without being drawn on and therefore do not necessarily represent future cashoutflows.Irrevocable letters of credit mainly secure payments to a third party for a customer’s foreign and domestictrade transactions in order to finance a shipment of goods. Rabobank Group’s credit risk in these transactionsis limited since these transactions are collateralised by the commodity shipped and are of a short duration.Other contingent liabilities mainly relate to acceptances of bills and are of a short-term nature. As describedbelow, facilities mainly constitute unused portions of irrevocable credit facilities granted to corporate clients.Many of these facilities are for a fixed duration and bear interest at a floating rate. Most of the unused portionof irrevocable credit facilities is secured by customers’ assets or counter-guarantees by the central governmentand exempted bodies under the regulatory requirements. Irrevocable facilities also include commitments madeto purchase securities to be issued by governments and private issuers.Irrevocable facilities relate to all irrevocable facilities that could lead to lending.At 31 December2008 2007(in millions of euro)Unused credit facilities ................................................................................. 30,878 35,553Other ............................................................................................................. 510 770Total irrevocable facilities .......................................................................... 31,388 36,323Revocable credit facilities ............................................................................. 44,402 36,432Total credit-related and contingent liabilities ........................................... 75,790 72,755Capital adequacyCapital adequacy and the use of capital are monitored by Rabobank Group and its subsidiaries, employingtechniques based on the guidelines developed by the Basel Committee on Banking Regulations andSupervisory Practices (the “Basel Committee”) and implemented by the EU and the Dutch legislator and theDutch Central Bank (De Nederlandsche Bank, or “DNB”) for supervisory purposes.273