Annual report of Raiffeisen-Landesbank Tirol AG

Annual report of Raiffeisen-Landesbank Tirol AG
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Contents
RLB Tirol AG management board statement 04
Members of the management board and supervisory board 06
Statement from the supervisory board chairman 07
Raiffeisen-Landesbank Tirol AG 08
Our employees 10
Raiffeisen Banking Group Tyrol 12
Austrian Raiffeisen Banking Group 14
Raiffeisen has steadfastly supported the regional economy for 125 years
Interview with Dr Hannes Schmid, management board chairman of RLB Tirol AG, and Josef Graber,
director and supervisory board chairman of RLB Tirol AG 16
Management report 19
125 years of Raiffeisen in Austria: on solid foundations
A report by Professor Kurt Ceipek, publisher of Raiffeisenzeitung (the Group’s in-house journal) 30
Annual financial statements 33
Bank branches 50

4 RLB Tirol AG management board statement
Reinhard Mayr
Management board director
Dr Hannes Schmid
Management board chairman
Gobert Sternbach
Management board director

RLB Tirol AG management board statement
RLB Tirol AG management
board statement
Dear Readers,
2011 was a volatile year marked by political upheaval in many North African countries, the tsunami
in Japan and subsequent nuclear accident, fears of sovereign defaults in Europe and the debt
ceiling crisis in the USA, all of which led to sharp fluctuations in the financial markets. From the
summer onwards, the European debt crisis assumed disquieting proportions due to events in
Greece, Spain and Italy as well as signs of an impending recession. However, the situation was
gradually stabilised through major purchases of Italian and Spanish government bonds by the
European Central Bank. Meanwhile, the economy registered strong growth in Austria and as well
as in Tyrol chiefly as a result of our close connection with the economic powerhouse of
Germany.
This positive economic environment in Tyrol was one reason why Raiffeisen-Landesbank Tirol
AG performed so well in 2011. Despite intense competition and various changes in the economic
and regulatory framework, we succeeded in increasing our profit from ordinary activities to 24.2
million euros. This demonstrates the strength of customers’ faith in Raiffeisen-Landesbank Tirol
AG and vindicates our policies of unwavering customer focus and risk-oriented growth. The principal
benefit derived from this good result has been the boosting of our equity and, with an equity
ratio of over 11 per cent, we are already in a good position to satisfy Basel III requirements.
Together with the various Tyrolean Raiffeisen banks, we have again succeeded in augmenting
our leading market position in Tyrol. This tried-and-tested partnership makes us by some
distance the region’s largest and most efficient banking group. The comprehensive coverage
provided by the over 262 branches of Raiffeisen-Landesbank Tirol AG and the 81 autonomous
Raiffeisen banks fully meets all the financial needs of the local population and economy.
Moreover, with a workforce of over 2,700, we are one of the largest and most attractive
employers in Tyrol.
We would like to take this opportunity to thank our customers, partners, owners and employees
for their confidence in us, and we look forward to a continuation of our successful collaboration
throughout 2012.
Dr Hannes Schmid
Management board chairman
Reinhard Mayr
Management board director
Gobert Sternbach
Management board director
5

6 Members of the management board and supervisory board
Members of the management board
and supervisory board
Management board of Raiffeisen-Landesbank Tirol AG
Dr Hannes Schmid
Management board chairman
Gobert Sternbach
Management board director
Supervisory board of Raiffeisen-Landesbank Tirol AG
Josef Graber
Chairman
Manager of Raiffeisen Regional Bank Hall in Tyrol
Peter-Roman Bachler
Deputy chairman
Manager of Raiffeisen Bank Kitzbühel
Josef Chodakowsky
Manager of Raiffeisen Bank St Anton am Arlberg
Martin Lorenz
Director of Bergbahnen Silvretta Galtür
Meinhard Mayr
Manager of Raiffeisen-Bezirkskasse Schwaz
Gallus Reinstadler
Manager of Raiffeisen Bank Pitztal
Deputed by the works council (Betriebsrat)
Reinhard Mayr
Management board director
Dr Hans Unterdorfer
Management board director (until 28 February 2011)
Johannes Gomig
Deputy chairman
Manager of Raiffeisen Bank Reutte
Berthold Blassnig
Manager of Raiffeisen Bank Defereggental
Dr Anna Hosp
Employee, Gernot Langes-Swarovski & CO
Andreas Mantl
Manager of Raiffeisen Bank Wipptal
Dr Michael Misslinger
Manager of Raiffeisen Bank Wörgl Kufstein
Johann Thaler
Mayor of Reith im Alpbachtal
Doris Bergmann, Innsbruck Heinz Hofer, Lienz
Wolfgang Kunz, Rum Rudolf Staffler, Tristach
Erika Zingerle, Innsbruck Dr Markus Zorn, Rum
State commissioners
State councillor (Hofrat) Dr Michael Manhard
Federal Ministry of Finance, Vienna
AD Andreas Umlauf
Federal Ministry of Finance, Vienna

Statement from the supervisory board chairman
Statement from the supervisory board chairman
Raiffeisen-Landesbank Tirol AG can look back on a successful 2011, for which we
are able to present a highly satisfactory set of annual financial statements. The
operating income increased, while operating expenses remained at last year’s level
and our risk provision was reduced which, taken together, led to a marked rise in our
profit from ordinary activities. I view this encouraging performance as a clear expression
of our customers’ high levels of satisfaction with the outstanding services we
offer.
For Tyrolean Raiffeisen banks, Raiffeisen-Landesbank Tirol AG is not only the lead
bank but also the agenda setter and a reliable business partner. This is vitally important,
and never more so than in turbulent times of economic volatility, when we face
a constant flow of new government regulations. It gives the entire Group the requisite
security and stability.
Raiffeisen Banking Group Tyrol is the region’s largest and most efficient banking
institution. Almost half of the Tyrolean population places its trust in the quality of
Raiffeisen’s advice and financial services, and Raiffeisen is also a reliable and expert
partner for local business enterprises. Together we support the Tyrolean economy
and put in place the overall financial framework needed to successfully put ideas
into practice.
In 2011, the management board and supervisory board enjoyed a highly constructive
working relationship, and this, too, contributed to the positive performance of both
Raiffeisen-Landesbank Tirol AG and the Raiffeisen Banking Group Tyrol as a whole.
Accordingly, I would like to take this opportunity to sincerely thank the entire manage-
ment board, senior managers, functionaries and all our employees for their
productive joint efforts and great dedication throughout the past year.
Josef Graber,
director and supervisory board chairman
7

8 Raiffeisen-Landesbank Tirol AG
Raiffeisen-Landesbank Tirol AG
Raiffeisen-Landesbank Tirol AG is the lead bank in Raiffeisen Banking Group Tyrol (RBGT).
As well as its strategic agenda-setting role within RBGT, the bank has its own market
presence and runs 17 branches. It also provides a range of services, such as IT and product
development, for Tyrol’s Raiffeisen banks. Like every Tyrolean Raiffeisen bank, RLB Tirol AG
is a byword for security, customer care, trust and community spirit.
RLB Tirol AG was founded in 1895 as Raiffeisen-Zentralkasse Tirol.
Today Tyrolean Raiffeisen banks own more than 99 per cent of the
company and constitute the region’s largest and most efficient
banking group. RBGT is almost 50 per cent customer-owned.
Wide-ranging customer care services
Thanks to their great expertise, our advisers are able to provide
customers with comprehensive advisory care addressing all their
financial concerns.
Unlike a major international bank, we are there for our customers
in the heart of the region. We offer innovative products tailored to
the individual needs of private and corporate clients alike. In doing
so, the bank can call on a network of specialist firms such as
Raiffeisen Versicherung, Raiffeisen Bausparkasse and Raiffeisen-
Leasing, and the establishment of the modern Abwicklungs- und
Dienstleistungs Ges.m.b.H. (RAD) has ensured the long-term productivity
and efficiency of Tyrolean Raiffeisen banks’ management
and support services.
Innovative: the Raiffeisen–Tyrol regional bond
One example of an innovative product accommodating Tyrolean
people’s wishes and needs for a high-yield yet secure form of investment
is the Raiffeisen–Tyrol regional bond.
This bond underpins our regionalism and our ties with Tyrol and
the Tyrolean people. The Raiffeisen–Tyrol regional bond invests
directly in the region. The funds generated are invested locally or
used directly in Tyrol, for instance, to build residential housing or
public buildings such as nurseries and schools.
Any company wishing to secure future success will have to actively
shape that success through strategic planning. For this reason,
RLB Tirol AG works together with Tyrolean Raiffeisen banks on our
fundamental future strategic alignment. As an agenda setter, RLB
coordinates regional and nationwide committee work.
Important sponsor
Alongside its role as an important local provider of a full range of
modern, customer-oriented banking services, RLB Tirol AG also
has a long tradition in the region of charitable work and educational,
cultural and sports sponsorships.
Here are a few examples: the Red Cross, Caritas, the Tyrolean
hospice movement, a partnership with the University of Innsbruck,
RLB Kunstbrücke gallery (staging three exhibitions a year), the
18,000-euro RLB art prize awarded every two years, the New
Orleans Festival, football clubs and many more.
An outstanding employer
RLB Tirol AG offers around 500 employees an attractive, secure
workplace, making it one of the region’s most important employers.
RLB employees remain with the company longer than average,
and their know-how, expertise and personal dedication contribute
to our sustained business success.
The employees’ well-being and good health are assigned the highest
priority by management, and the company’s wide-ranging
training opportunities are ever popular, as is the attractive range of
activities offered by RLB Vital, our in-house health programme.
Winner of multiple awards
For the first time, the testing body TÜV AUSTRIA is awarding a
certificate designed to recognise a bank’s service and advising
quality. In this respect, Raiffeisen banks were tested for ‘fair credit’.
The testing focused on flexibility during the terms of loans as well
as price and cost transparency. Raiffeisen-Landesbank Tirol AG
was among those to be awarded the relevant certificate.
RLB was the first bank in western Austria to be awarded the quality
seal for occupational health promotion by the European network
for promoting health in the workplace Betriebliche Gesundheitsförderung
(BGF). On presentation of the award, special praise was
reserved for the RLB Vital company health programme.
The Federal Ministry of Economy, Family and
Youth hailed RLB Tirol AG as an attractive employer
that gave its employees the chance to
reconcile work and family life. In 2011, the bank
was awarded the job and family certificate Audit
berufundfamilie.
The year before, the state of Tyrol launched a
competition for the most family-friendly company
in 2011/12. RLB Tirol AG took part in the
competition with success and was awarded a
certificate.

Raiffeisen-Landesbank Tirol AG
Major investments of RLB Tirol AG
Raiffeisen Zentralbank
Österreich AG
Raiffeisen
Capital Management
Raiffeisen & Steinmayr
Tirol Consult
AlpenBank AG
Raiffeisen Bau Tirol
PayLife Bank
Raiffeisen Bausparkasse
Raiffeisen Wohnbaubank
Raiffeisen-Leasing GmbH
RACON West Software GmbH
LOGIS IT Service GmbH
AQUA DOME Tirol
Therme Längenfeld
Unser Lagerhaus
Warenbeteiligungs GmbH
9

10 Employees
We would like to thank our employees
Manuela ABFALTER, Iris AIGNER, Pauline AIGNER, Luca ALLETTO, Walter ALTSTAETTER, Karin Brigitte AMMER, Hubert AMON, Christian
ANDREATTA, Reinhard ANGERMANN, Sabine ARL, Patricia ASSMAIR, Eva ASTL, Roland AUER, Sibylle AUER, Cornelia AUER, Bernhard
AUGSCHOELL, Marina BABIC, Hildegard BACHMAIR, Stefanie BALLWEBER, Hubert BARBIST, Heinz BAUMANN, Gerald BEER, Petra
BENEDIKTER, Maximilian BERGHAMMER, Doris BERGMANN, Elisabeth BERNHARDT, Verena BERNLOCHNER, Christian BEVELANDER,
Markus BLASSNIG, Claudia BLIEM, Gerhard BLOEB, Stefan BODNER, Susann BOEKDRUKKER, Josef BRANDAUER, Eva Maria BRASCH-
LER, Christian BRAUNEGGER, Vanessa BRENNER, Barbara BRIDA, Richard BRUGGER, Birgit BRUNNER, Karl BRUNNER, Guenther
CHRONST, Gerhard CRAMER, Carolin CZERMAK, Martin DANLER, Andreas DEGENHART, Agnes DEISER, Andreas DIERIGL, Arno
DRAXL, Verena DRESEN, Michaela DUCANOVIC, Elisabeth DUENSER, Markus DUFTNER, Peter DULLNIG, Claudia DULLNIG, Judith
EBNER, Peter ECKERT, Andreas EGGER, Oliver EGGER, Nicole EGGER, Denise EGGER, Herbert EICHHORN, Irene EISENBEUTL,
Christina ELLER, Thomas ELZENBAUMER, Christian ENGL, Elisabeth ENGL, Ilse ERLACHER, Martin EXENBERGER, Genovefa FALKNER,
Sabine FALSCHLUNGER, Daniel FASCHING, Petra FEICHTNER, Meinhard FIDLER, Stephanie FILL, Johann FINK, Helga FINNER, Roland
FRIESS, Thomas FRISCHAUF, Ludwig FROECH, Elke FUERHOLZER, Manuela FUNK, Daniela GABMAIR, Joerg GAMROTH, Wilfried
GANDER, Alfons GANEIDER, Manfred GAPP, Birgit GASSER, Viktoria GASSER, Roland GASSER BERGER, Markus GATT, Walter GAUGG,
Johannes GEILER, Manuela GEILER, Petra GEISSLER, Eleonore GERBER-EICHHORN, Claudia GINER, Hermann GIRSTMAIR, Michael
GLANZ, Marina GLATZL, Stefan GOGL, Peter GOLLER, Martin GOREIS, Helga GRABNER, Dagmar GRANZER, Erich GRISSMANN, Klaus
Michael GROSSGUT, Franz GRUBER, Evi GRUBER, Andrea GRUBER, Christina GRUBER, Manuela GRUBER, Angela GRUENBACHER,
Christian GSCHLIESSER, Julia GSCHWENTNER, Desiree GSPAN, Gerhard GSTREIN, Bernhard GSTREIN, Michael GUNDRUM, Christof
GURGISSER, Siegmund GUTTERNIG, Christa HABERKORN, Michael HAGER, Michaela HAIDLER, Elisabeth HAIRER, Gabriele HANDL,
Martin HAPP, Susanne HAUN, Elisabeth HAUSER, Florian HAUSER, Julia HEEL, Sandra HEIDEGGER, Martin HEIDEGGER, Alexander
HEINDL, Alexander HEISS, Albert HELL, Helene HELLRIGL, Eric HENSEN, Heidi HINTNER, Christian HIRNER, Erwin HOEGER, Klaus
HOERTNAGL, Christian HOERTNAGL, Victoria HOERTNAGL, Heinz-Johann HOFER, Christine HOFER, Martina HOFER, Gregor HOHEN-
AUER, Stefanie HOLBACH, Hans HOLZKNECHT, Dagmar HOLZMANN, Dietmar HOSP, Astrid HOY, Petra HUBER, Albert HUEBER,
Helmut HUPFAUF, Gerhard HUPFAUF, Lukas HUTER, Elisabeth IGHODARO, Eva JAEKEL, Joachim JAMNIG, Ingrid JANICKI, Christine
JANTSCHER, Maria JEITLER, Monika JENEWEIN, Johann JUNGMANN, Sylvia KAINZ, Daniel KALDINAZZI, Johannes KAMPFER, Markus
KAPFERER, Barbara KAPPACHER, Simone KASTL, Margarita KATSCHNIG, Werner KERBER, Regina KIRCHMAIR, Angelika KIRCHMAIR,
Heidi KIRSCHNER, Andreas KLAUNZER, Johannes KLAUNZER, Ludwig Josef KLEINDL, Roger KLIMEK, Klaus KLINGENSCHMID, Karin
KLINGENSCHMID, Jasmin KLINGENSCHMID, Christian KLOCKER, Katrin KLOTZ, Michael KLUCKNER, Natalie KLUCKNER, Sandra
KNAUS, Mario KOFLER, Robin KOFLER, Peter KOFLER, Werner KOLB, Gabriele KOLLREIDER, Claudia KONRAD-HUBER, Nebojsa
KOSTIC, Juergen KRABACHER, Franz KRANEWITTER, Eva KRAPF, Sandra KRIEGL, Peter KRITZINGER, Waltraud KROELL, Birgit KRUG,
Karoline KUEN, Reinhard KUGLER, Melek KULOGLU, Wolfgang KUNZ, Sandy KUSS, Julia LACHBERGER, Bernhard LADNER, Klaus
LAMPRECHT, Catrin LAMPRECHT, Stefan LANG, Sandra LARCH, Brigitte LARCHER, Karin LARCHER, Sandra LARCHER, Bettina LAX,
Dominik LEBEDA, Martin LECHNER, Manuela LECHNER, Christoph LEIMGRUBER, Andreas LEITINGER, Helga LEITNER, Tamara LENER,
Christiane LEUPRECHT, Renate LEZUO, Gottfried LIRK, Nina LOEFFLER, Thomas LOTRITSCH, Verena LUNG, Konstantin LUTZ, Peter
MACHAT, Claudia MADL-SCARTEZZINI, Martina MAIACHER, Dorothea MAIR, Kurt MAIR, Gregor MARGREITER, Norbert MARGREITER,
Christine MARKSTEINER, Anton MARKT, Josef MARTINER, Ingrid MASSANI, Martin MAURER, Karlheinz MAYR, Reinhard MAYR, Josef
MAYR, Helmut MAYR, Christoph MAYR, Christoph MAYR, Renate MEDINA-HOFER, Margit METZLER, Carola MIGLAR, Manfred MIGLAR,
Daniel MIKULA, Monika MIMM, Bernhard MITTERMAIR, Manfred MLADEK, Stefan MOLL, Hubert MONAI, Markus MOR, Eva MRAK,

Employees
Michael MUEHLBACHER, Werner MUELLER, Hubert MUESSIGGANG, Angelika MUESSIGGANG, Doris MURR, Patrik MUXEL, Susanne
NAGELE, Julia NAGL, Josef NAGL, Jasmine NEUHAUSER, Birgit NEUNER, Alexander NEUNER, Otto NEUNER, Julia NEURAUTER,
Barbara NEURAUTER, Franziska NIESCHER, Walter NITZLNADER, Ruth NOCKER-LEDERER, Bernd NOEHRER, Barbara OBERDANNER,
Helmut OBERERLACHER, Frank OBERHAUSER, Stefan OBERHOFER, Georg OBERMUELLER, Guenter OBERZAUCHER, Christian
OBEX, Monika OETTL, Monika ORTNER, Michaela ORTNER, Christoph ORTNER, Michaela OSS, Karin OSTERMANN, Marie-Theres
PANCHERI, Konrad PARDELLER, Christina PARTL, Thomas PATSCH, Marina PEDRINI, Julia PENZ, Christian PENZ, Cornelia PERKOUNIGG,
Romina PEROTTI, Sabine PFERSCHI, Martina PFLEGER, Monika PFURTSCHELLER, Birgit PFURTSCHELLER, Marcus PICHLER, Eugenio
PIGNATTI, Arlette PILS, Gabriele PINGGERA, Verena PITTL, Josef PITTRACHER, Karoline PLANK, Markus PLATTNER, Nicole PLATTNER,
Alexandra PLUNGER, Christine POCK, Eveline POLIN, Martin PRANTER, Christian PRUGGER, Monika PUCHER, Nicole PUCKL, Gertraud
PUELACHER, Dietmar PUTSCHNER, Andreas RAASS, Isa RABL, Bettina RAGGL, Angela RAGGL, Michael RAGGL, Sarah RAINER
WIESER, Dieter RASPOTNIK, Christiane RECHEIS, Wolfgang REDL, Marco REGENSBURGER, Karoline REIDER, Petra REISTER-WALL-
NOEFER, Fraenk REITER, Gabriella REUTER, Christina RHOMBERG, Petra RIEDL, Brigitte RIETH, Silvia RIETZLER, Katrin RIHA, Christa
ROESNER, Gerhard ROSENDORFER, Marion ROSINA, Christine ROTTENSTEINER, Monika RUDISCH, Helmuth RUECH, Markus RUECH,
Thomas RUETZ, Bibiane RUETZ, Stefan RUF, Klaus SAIGER, Manfred SAILER, Patricia SANTA, Alexander SANTER, Thomas SATTLEG-
GER, Thomas SAURER, Clemens SAURER, Roman SAUTNER, Sylvia SCHAMBERGER, Sandra SCHANDL, Werner SCHARF, Stefan
SCHARF, Sandra SCHELLHORN, Matthias SCHIESTL, Monika SCHLATTER, Renate SCHLEICH, Markus SCHLENCK, Claudia SCHLIT-
TLER, Ferdinand SCHMID, Michael SCHMID, Hannes SCHMID, Harald SCHMIDER, Karin SCHNAUFERT, Thomas SCHNEEBERGER,
Brigitte SCHNEIDER, Marlies SCHNELL, Richard SCHNELLER, Daniel SCHNIEDERS, Romed SCHOEPF, Marina SCHRANZ, Hannes
SCHREINER, Maria SCHWAIGER, Lisa SCHWARZL, Markus SCHWINGHAMMER, Wolfgang SCHWITZER, Hubert SEDLMAYR, Andrea
SEEHAUSER, Petra SEELAUS, Sophia SEEWALD, Christian SEISER, Peter SENFTER, Rudolf SENN, Kerstin SIEBENHUENER, Caecilia
SILGENER, Alexander SMITH, Emanuel SORAPERRA-AUGUSZTINYI, Renate SPARBER, Soeren SPECHT, Christoph SPOECK, Petra
SPOERR, Armin SPRENGER, Markus STABENTHEINER, Rudolf STAFFLER, Carmen STANGLECHNER, Martin STECHER, Gebhard
STEINACHER, Claudia STEINER, Christian STEINER, Patrick STEINKELLNER, Michael STEINLECHNER, Elisabeth STEINRINGER, Gobert
STERNBACH, Nicole STOISER, Melitta STOLZ, Johannes STOTTER, Patrick STRASSER, Bernadette STRICKNER, Inge STROBL, Doris
STROBL, Karin STROBL, Christa STROBL, Elke STROBL, Elisabeth Charlotte STUBLER, Barbara TAUTSCHER, Peter TAUTSCHER,
Johanna TEMPELE, Johann THALER, Patrizia THALER, Birgit THALER, Jacqueline THALER, Helmut THEYER, Sandra THOENY, Andrea
TOLL, Markus TOLLINGER, Herwig TRAUNER, Christoph TRAUNFELLNER, Dietmar TRIENDL, Othmar TRIENDL, Katrin TROYER-SOCHER,
Christina TSCHAPELLER, Notburga TSCHUGG, Simone UNGERANK, Brigitte UNSINN, Michael UNTERASSINGER, Johannes UNTER-
LUGGAUER, Thomas UNTERPERTINGER, Gerald UNTERRAINER, Margreth UNTERWEGER, Marleen VAN BARMEN T LOO, Andrea
VERDROSS, Olivia VESELY, Benjamin VOGLER, Alfred VOLDERAUER, Veronika VOLDERAUER, Sylvia VOTAVA, Kerstin WALKER,
Christine WALLNOEFER, Stephan WALSER, Sonja Fernanda WANKMUELLER, Thomas WASS, Sabine WASS, Philipp WEBER, Thomas
WEIDINGER, Michael WEISS, Sonja WEITZER, Christine WEIXLER, Evelin WENDE, Wolfgang WENINGER, Detlev WENKO, Manuela
WENTZ, Ramona WERTH, Daniel WHITE, Markus WIDMANN, Ulrike WIDMOSER, Johannes WIESER, Harald WIESER, Melanie WILD,
Urban WINDBICHLER, Regina WINKLER, Andrea WITTING, Thomas WOEBER, Maria WOLF, Martina WOMBACHER, Andreas WOPFNER,
Claudia WOTZEL, Maria WURZER, Hubert WURZER, Hannes ZACCHIA, Patrick ZANGERL, Andrea ZANKL, Elfriede ZECHNER, Petra
ZEILLINGER, Aegidius ZETTINIG, Werner ZIMA, Stefan ZIMMER, Renate ZIMMERMANN, Gabriele ZIMMERMANN, Erika ZINGERLE,
Sabine ZOEHRER, Christian ZOLLER, Markus ZORN, Markus ZWIEFELHOFER
11

12 Raiffeisen Banking Group Tyrol
Raiffeisen Banking Group Tyrol
Many people have been disquieted by the economic and political
events in the recent past. It is precisely at times like these that the
local milieu becomes so important, because properly functioning
regional structures provide solid ground and security.
That is one reason why every second Tyrolean puts their trust in
Raiffeisen when it comes to financial matters. Among young
people the proportion is even greater, with two out of three young
people aged between 10 and 27 being members of the Raiffeisen
Club Tirol.
This trust in Raiffeisen can be expressed in figures: with a customer
share of 47 per cent, Raiffeisen is the region’s clear leader. As of
the 31 December 2011, RBGT’s aggregate balance sheet total was
17.8 billion euros. The year before, the Tyrolean Raiffeisen banks
managed initial deposits, comprising instant-access, time and
savings deposits, totalling 8.5 billion euros. The fact that there is
no credit squeeze at Raiffeisen is shown by an increase of 1.9 per
cent in loans to private and corporate clients.
For over 125 years, the Raiffeisen values of security, customer
care, trust and community spirit have provided solid foundations
for business enterprise. Tyrolean Raiffeisen banks stand for
sustainable, responsible commercial dealings. They ensure that
ZÜRICH
240 KM
MAILAND
360 KM
economic power and wealth creation remain in the region, thus
benefiting local people. The money entrusted to them is invested
in the region, being loaned for such purposes as building houses,
buying a home or for doing home improvement work.
With 262 branches in Tyrol, the 81 independent Raiffeisen banks
and Raiffeisen-Landesbank Tirol AG provide comprehensive services
that meet all the needs of the local population and economy.
Decisions are made locally and autonomously, with no detours.
However, in the service of its customers, Raiffeisen Bank can also
bring to bear the Raiffeisen Banking Group’s worldwide network.
With 2,800 attractive, secure jobs, Raiffeisen numbers among the
region’s biggest employers. As businesses that employ trainees,
Tyrolean Raiffeisen banks create jobs for young people, offering
vocational training courses as qualified bank clerks. Four out of
every five Tyrolean bank trainees receive their training from Raiffeisen.
Raiffeisen banks are also important customers for industry, for
instance, in the field of renovations and new buildings, where
orders are placed with local and regional companies. This protects
jobs and boosts the local economy, even in cases where ‘cheaper’
offers are on the table.
OBERAU
MÜNCHEN
90 KM

Raiffeisen Banking Group Tyrol
Raiffeisen is the bank for the people of Tyrol
Unlike anonymous major banks with head offices somewhere far
away, Raiffeisen is present in the heart of the community. These
local roots are also clear from the fact that, as cooperative banks,
Tyrolean Raiffeisen banks are owned by their members, some
120,000 Tyrolean men and women.
The spirit of cooperative sponsorship is deeply rooted in the entire
Raiffeisen Banking Group, and is every bit as alive today as it was
when the first Raiffeisen banks were founded in Tyrol.
The Raiffeisen–Tyrol regional bond
The regional bond: focusing on Tyrol
For Tyrolean Raiffeisen banks, their ties with the Tyrolean population
are the practical expression of a deeply held philosophy.
This is also apparent from innovative products such as the
Raiffeisen-Tyrol regional bond. This is an offer made by Tyroleans
That is why Tyrolean Raiffeisen banks have traditionally used some
of their profits to sponsor social concerns, educational institutions
and local cultural and sports clubs. In the last four years alone,
over 20 million euros have been made available to clubs, associations
and institutions. Through the Raiffeisen Club Tirol, Raiffeisen
assists young people in learning to handle their finances, and the
associated Raiffeisen Club card offers attractive discounts on the
best concerts and with hundreds of cooperation partners throughout
Tyrol.
for Tyroleans, and as such embodies the concept of regionalism.
Every euro invested in these bonds will be spent in Tyrol for
Tyrol, for instance, to enable a Tyrolean company to construct a
new production hall, a new residential block or a new nursery.
13

14 Austrian Raiffeisen Banking Group
Austrian Raiffeisen Banking Group
The Austrian Raiffeisen Banking Group is by some way Austria’s
largest and most efficient banking group. It has a three-tier
structure.
The 513 autonomous, locally active Raiffeisen banks and their
1,689 branches form the first tier, while also being the owners of
the Raiffeisen regional banks for their federal state.
It is these eight Raiffeisen regional banks that form the second tier,
and within their spheres of influence provide liquidity pooling and
other central services for the Raiffeisen banks, as well as acting
as independent universal banks. They hold about 89 per cent of
RZB’s ordinary shares.
Raiffeisen Zentralbank Österreich AG (RZB), the lead bank in the
Raiffeisen Banking Group, and makes up the third tier.
Structure of the RZB Group
Raiffeisen Zentralbank Österreich AG (RZB) is the central enterprise
in the RZB Group. Founded in 1927, RZB is Austria’s thirdlargest
bank and the lead bank in the Austrian Raiffeisen Banking
Group (RBG), which is the country’s largest banking group in
terms of balance sheet total.
RBG constitutes around a quarter of Austria’s domestic banking
industry, with over 2,200 independent banks and branches giving
it the country’s densest network of branches and employing over
25,000 people.
Raiffeisen Zentralbank took on its current form in October 2010.
Large portions of Raiffeisen Zentralbank’s operational business –
in particular its corporate client business, the product areas and the
investment banking – were hived off and merged with Raiffeisen
International, leading to the formation of today’s Raiffeisen Bank
International AG.
Raiffeisen in central and eastern Europe
Through its 78.5 per cent holding in Raiffeisen Bank International
AG (RBI), RBG is not only one of the leading commercial banks
in Austria but also a universal bank in central and eastern Europe
(CEE). RBI views Austria and CEE as its domestic market. It has
been active in CEE for almost 25 years, thus giving it pioneering
status in the region. Today RBI has a dense network of subsidiary
banks, leasing companies and a wide variety of specialised financial
services companies in 17 CEE countries. As a universal bank,
it numbers among the top five banks in 13 of the region’s countries,
and also has a strong position in Russia. It is supported in its
endeavours by the Raiffeisen name, which is one of the region’s
best-known brands.
In comparison with western Europe, CEE countries are characterised
by higher economic growth rates, and RBI benefits both from
this sustained growth and the business potential generated by the
region’s pent-up demand for banking services. At the end of 2011,
a workforce of 56,114 people in 2,915 branches catered to the
banking needs of around 13.8 million customers across CEE.
Apart from the major local and international clientele who are
looked after by the Vienna office, the RBI’s clear focus is on the
countries of central and eastern Europe, a region which in
recent years has been viewed with suspicion, particularly in the
media, due to the alleged credit risk faced by foreign banks operating
there. However, this view generally overlooks the fact that the
region is anything but a single homogeneous economic unit. In
fact, the various countries differ just as much in their levels of
development, potential and risk as in any other growth region. This
diversity means that there is a variety of different opportunity–risk
profiles and that the overall risk is smoothed out across the region
as a whole.
As one of the few international banks with a presence in virtually
every central and eastern European country, RBI’s diversification
by markets entails a natural reduction in the level of risk inherently
associated with the banking business. Thus, high-yield markets and
banks compensate for reverses of the kind currently being experienced
in Hungary. Meanwhile, the enduring strength of our
Austrian business further contributes to this spreading of risk.
Niche player in international markets
In international markets outside CEE, RBI’s presence is that of a
niche player offering a product range tailored to customers’
specific needs through a variety of agents and branch offices.
Its offices in Singapore, Beijing and Xiamen, plus agencies in
Harbin, Hong Kong, Zhuhai, Seoul, Mumbai and Ho Chi Minh City,
give RBI the strongest presence in Asia of any Austrian bank.
Further branches in New York and London, a bank in Malta and
agencies in Brussels, Frankfurt am Main, Paris, Madrid, Milan,
Stockholm, Chicago and Houston mean RBI is also well positioned
in various international financial centres, underpinning its role as a
gateway linking East and West.

Austrian Raiffeisen Banking Group
Corporate responsibility at RZB
As a signatory of the UN Global Compact, RZB takes responsibility
for people, society and the environment. It reports separately
on its corporate responsibility activities, and in so doing complies
with the internationally recognised standards of the global reporting
initiative.
Peace of mind thanks to Raiffeisen deposit
protection
Raiffeisen Banking Group is responsible for the security of the
customer funds entrusted to it.
Austria’s statutory deposit protection safeguards savings up to
a maximum of 100,000 euros. However, Raiffeisen has put in place
an additional safety net whose provisions go far beyond
statutory requirements: deposits with Raiffeisen are protected by
the Raiffeisen Deposit Guarantee Association.
Structure of the Raiffeisen Banking Group
Investments in Austrian financial
institutions
Raiffeisen Capital Management, UNIQA,
Notartreuhandbank, card complete,
PayLife, HOBEX, Valida, Raiffeisen-
Leasing, Raiffeisen Informatik, Raiffeisen
Bausparkasse, Raiffeisen Factor Bank,
Raiffeisen evolution, OeKB, Raiffeisen
Wohnbaubank
Special settlement companies
1.7 million members
513 Raiffeisen banks
8 Raiffeisen regional banks and other shareholders
Investments
Raiffeisen Centrobank, Kathrein & Co, F. J.
Elsner & Co, Raiffeisen Malta Bank, Raiffeisen
Property Holding, Raiffeisen Investment,
CEESEG AG (Vienna Stock Exchange),
Raiffeisen Leasing International, Zuno Bank
Through the introduction of the Raiffeisen Customer Guarantee
Association Austria, the Raiffeisen Banking Group has played a
pioneering role in the field of deposit protection. This association
of participating Raiffeisen banks and regional banks, as well as
Raiffeisen Zentralbank Österreich AG (RZB) and Raiffeisen Bank
International AG (RBI), guarantees all customer deposits and
securities issues by participating banks, irrespective of their
amount, up to the total joint economic capacity of the institutions
involved.
The deposit guarantee association has a two-tier structure, with
the Raiffeisen Deposit Guarantee Association Tyrol at state level
and the Raiffeisen Deposit Guarantee Association at federal level.
Thus it provides protection going beyond or in addition to Austrian
statutory deposit protection, safeguarding 100 per cent of
customer deposits.
The distinctive gable cross logo of the Raiffeisen Banking Group
thereby stands as a symbol of the protection given to money
entrusted to the bank, as well as customer care and customer faith
in Raiffeisen.
Never at a any time in the 125-year history of the Raiffeisen
Banking Group in Austria has a customer lost a single cent of any
money deposited or saved with Raiffeisen.
CEE network
15 network banks
with over 15 million
customers
21.5% widely held stock
Foreign branch
offices and investments
15

16 Interview with Dr Hannes Schmid and Director Josef Graber
Because we know each other
Raiffeisen has provided the regional economy with
steadfast support for 125 years.
‘We know our customers by name – and they know us,’ explain Dr Hannes Schmid,
management board chairman, and Josef Graber, director and supervisory board chairman.
Raiffeisen is there locally, and even during times of crisis the Tyrolean Raiffeisen banks have
kept the regional economy afloat. And now there are new challenges to be faced.
Every second Tyrolean is a Raiffeisen customer. What do
you put that down to?
Dr Schmid: We are the local bank throughout the region. We
know our customers by name and our customers know us. We
have grown together with the local infrastructure, our employees
live and work locally, we grew up together and our children go to
the same schools. And so our relationships with customers have
grown organically. That is the human factor at Raiffeisen: our
togetherness.
Mr Graber: We can rapidly and directly address our customers’
individual needs. On the ground, that means that decisions are
taken locally, and not in some head office in Vienna or abroad.
Our employees live locally, and not just as bank clerks. For instance,
our research shows that Tyrolean Raiffeisen employees
do 170,000 hours unpaid work a year for the community in clubs
and associations.
Meeting Basel III requirements such as the increased
equity ratio: what does that mean for RLB? What direct
impact could it have on your customers?
Dr Schmid: Our customers really won’t notice the equity ratio increase
because we already meet this requirement right now. Raiffeisen’s
established structures offer security and sustainability.
Raiffeisen and its customers have long since been an important
part of Tyrol’s economic strength. We are part of the regional economy,
and that is the cornerstone of our success: deposits remain in
the region and are reinvested there, for instance, in the local economy,
for residential buildings, in energy-efficient renovation measures
and much more besides.
Mr Graber: The risk for Raiffeisen customers is minimal. We have
our regional Raiffeisen banks and also Raiffeisen-Landesbank, and
together we can deal with issues and requirements on a scale that
would cause difficulties for a regional bank operating alone. That
means that customers will not notice these requirements at all. We
operate according to the basic principle of subsidiarity.

Interview with Dr Hannes Schmid and Director Josef Graber
The Basel III requirements affect all banks, including the
ones that were not in any way at fault. How do you view
that as a regional bank?
Mr Graber: During the crisis in 2008, Raiffeisen was a stabilising
factor for the Tyrolean economy which enabled the regional economy
to come through the crisis unscathed. On the one hand, we
had savings deposits; on the other, we made loans to Tyrolean
companies. Put simply, Raiffeisen did not speculate or invest in
foreign institutions; rather we made secure investments in the
region. But despite this these requirements are now hitting us hard
and above all undeservedly. Because of the new requirements,
we’ll have to absorb a rise in personnel costs. And one thing I’m
sure of is this: everything being introduced now cannot prevent the
same kind of disaster happening in future because it was human
error, not systemic failure, which caused the crisis.
Dr Schmid: I can understand that legislators felt that there was
a need to act, but unfortunately no distinction was made between
international investment banks and regional banks like us. And yet
it was purely us regional banks who kept the regional economy
ticking over. In the media, our traditional reliability gets as little
coverage as the fact that we are the real pillars of the economy.
But despite that, the same regulations apply to us as to global
banks. At Raiffeisen in Tyrol, we’ve never needed state aid, quite
simply because we do business in a sustainable and responsible
way. And even this year our lead bank, Raiffeisen-Landesbank,
was again able to post a sustainable profit. The fact is, despite
being totally blameless, we nevertheless come off worse!
Josef Graber, director
In light of the Raiffeisen values of security and sustainability,
which forms of investment do you regard as best?
Mr Graber: Investments are an individual and personal matter and
the advice given should also be of that nature. Our employees
know their customers, their risk appetites, the resources they have
to invest, their desires and goals.
Dr Schmid: The choice of investment is geared to individual
needs. People trust the advice we give them more and more. Over
the past year, deposits with us grew by 2.1 per cent, because deposits
with Raiffeisen are safe! Two major financial crises have
caused neither us nor our customers any difficulties because we
uphold security in all money-related matters.
To what do you attribute the huge success of the
Raiffeisen–Tyrol regional bond?
Dr Schmid: We designed this product for customers who didn’t
want to invest in risk-oriented products but rather in a semi-
direct way in Tyrol itself, and this went down very well with the
Tyrolean people. The fact is, the terms and conditions alone are
not the only factors affecting customers’ decision, but also knowing
what’s done with the money. That’s a strong argument for the
regional bond, because the invested money is used exclusively in
Tyrol! Our employees are also 100 per cent behind this product.
Our guiding principles of fairness, clarity, transparency and
ethical action all find expression in this product. And that has been
rewarded!
Mr Graber: Regional banks have the advantage that we can react
to market needs and also offer customers something in the
medium term, thereby also being able to offer better terms.
On the subject of saving, is saving in general back ‘in’?
17
‘We are
the stabilising factor
in the regional
Tyrolean economy.’
Dr Hannes Schmid
Management board chairman of RLB Tyrol
Dr Schmid: Absolutely! The simple transparency and clear
security orientation of the Raiffeisen savings book satisfy people’s
desire for straightforwardness when it comes to the bewildering
array of financial products available today. In Tyrol, saving has
traditionally been afforded a special place. People like to put their
money in the savings book, with shares and capital market investments
supplementing their savings.
Mr Graber: In Tyrol, saving money counts as one of the traditional
values, and on top of that the savings book is something you can
pick up, something you can hold in your hand. Having said that,
I’d like to point out that online saving with Raiffeisen is also booming,
as customers take the opportunity to save in the comfort of
their own homes. ➜

18 Interview with Dr Hannes Schmid and Director Josef Graber
Dr Hannes Schmid
Raiffeisen is also number one among corporate clients.
How has your working relationship with the Tyrolean economy
developed? Are you expecting a credit squeeze?
Dr Schmid: Traditionally, Tyrol’s SMEs and Raiffeisen were practically
joined at the hip.
Now in the wake of the crisis, regional Tyrolean enterprises are
turning back to their local financial service providers. Where it used
to be more about the terms and conditions, today it’s also about
the partnership-based relationship with Raiffeisen and the continuity
that brings. There never was any credit squeeze at Raiffeisen
and in future we shall be continuing to loan our customers
money the same as we always have!
Mr Graber: The Tyrolean business community has good reason to
trust our Raiffeisen banks. Rather than just running branches, we
bring our entire expertise to bear at the local level. Our employees
are able to assess the situation personally and make a quick
decision, and it is this Raiffeisen philosophy of independent
regional banks that differentiates us from our rivals. We’re not
expecting a credit squeeze at Raiffeisen now or in the future.
Liquidity is paramount, and at Raiffeisen it is in safe hands, as the
growth figures in our latest operating results demonstrate.
On the subject of social commitment, RLB sponsors
and supports culture, sport, education, social issues and
regional projects. Why do you do so much, and is it going
to stay that way?
Mr Graber: At five million euros a year, the bulk of our regional
sponsorship activities are organised via the Tyrolean Raiffeisen
banks. We support clubs and initiatives and through them local
development. We didn’t have to cut our marketing budget in the
wake of the crisis and have kept up all our payments. That is
another Raiffeisen promise: sustainability. However, that doesn’t
mean that our sponsoring always remains constant. The sum of
five million euros, yes, but every year we decide afresh how to
distribute it.
Dr Schmid: We are there where Tyroleans like to spend their
leisure time, for instance, doing sport or in social areas where they
need our help. We also have a traditional commitment to youth.
We provide support both individually or where our sponsoring can
benefit others, and none of that will change in future.
One example is our long-term sponsorship of young climbers.
Currently climbing is THE in sport for young athletes, and, after all,
you can hardly imagine Tyrol without climbing and mountains.
All that is part of the strength of our brand and shows what we stand for.
Turning to the future, how do you view your social responsibility
in relation to your employees and customers?
Dr Schmid: Our role as one of Tyrol’s largest private employers,
with a workforce of 2,800, heaps a good deal of responsibility
on the shoulders of all our senior management. Our employees
appreciate the conditions at Raiffeisen, the cooperative working
environment and ties with local communities, and we are one of
the few banks whose workforce is still growing.
On top of that, we believe in young people: we’ve launched a
trainee offensive, and today 80 per cent of all bank trainees in Tyrol
are employed by Raiffeisen.
Mr Graber: A total of 82 Raiffeisen banks throughout Tyrol are
good local employers. We view ourselves here as local providers,
investing locally, offering work and thus boosting wealth creation.
Similarly, we always engage regional companies when we need to
renovate existing buildings or build new ones, thus ensuring that
the money also stays here. In addition, the trainee project is a
successful initiative by Dr Schmid. I’d like to mention here that we
also offer the option of vocational training coupled with the school
leaving exam.
Currently everyone is talking about the euro crisis, and the
situation on the financial markets is tense. Do you believe
in the survival of the euro, something often discussed at
the moment?
Dr Schmid: Yes, without a doubt! What we’re going through at the
moment is not a euro crisis but rather a crisis of governments and
politics. I view it as half-hearted to define the currency union purely
in terms of the euro. Europe’s economy, apart maybe from a few
southern countries, is perfectly competitive! However, without unity
in European politics there will also be no economic union. If we
can unite, then Europe, and with it the euro, will be one of the three
strongest economic powers in the world.
Mr Graber: Essentially what we are facing is a political crisis
that has been further whipped up by negative reporting in the
media. But there is no economic crisis! If there was, why for example
would the big car companies be registering massive profits?
The figures relating to the euro are always reported as more
negative than they actually are. We simply ought to remember who
triggered the crisis in 2008: not Europe, but the USA. I believe in
Europe and am pro-Europe through and through. The euro will
survive!
●
2
M
r

011
anagement
eport

20 Management report
2011 macroeconomic conditions
Capital markets
The first half of 2011 was a turbulent time on the financial markets
as political upheaval in various North African countries and consequent
oil price rises, and above all the tsunami and subsequent
nuclear accident in Japan, led to severe short-term market
volatility. However, the financial markets eventually got over these
shocks, and by July some stock markets were again registering
levels close to their highs for the year, or in some cases even
exceeding them. The capital markets were much harder hit by the
resurgence of the debt crisis, particularly when the USA became
embroiled in it towards the end of July and into August. First of all,
the dispute over raising the US debt ceiling fuelled fears of a
technical default by the USA. Shortly afterwards rating agency
S&P downgraded the US credit rating from AAA to AA+.
Bonds and equities
During August, the European debt crisis also assumed more
serious proportions. The trouble started when the bond yields
demanded by investors for some larger eurozone countries,
namely Italy and Spain, soared to levels high enough to jeopardise
their long-term solvency. This went hand in hand with a dramatic
flight by investors to safe havens such as German government
bonds, and as a result yields on ten-year bonds fell to an all-time
low of 1.7 per cent. The situation was gradually brought under
control through massive purchases of Italian and Spanish government
bonds by the European Central Bank (ECB).
On the equity markets, escalating fears of sovereign defaults,
followed by a deep recession, led to sharp falls as the DAX shed
a good third of its value between its July high point and September
nadir. Against this backdrop, Europe’s leaders held summit
after summit. Finally, at the end of October agreement was reached
involving debt restructuring for Greece (a 50 per cent write-down
on bonds held by banks), boosting the size of the bailout fund for
ailing eurozone countries and a prophylactic increase in the
equity requirements imposed on major European banks from 2012
onwards.
The summer slump on the financial markets went hand in hand
with fears that the US economy would slip back into recession.
After growth of just one per cent during the first half, many feared
an even sharper downturn during the second half of the year.
Instead, from October onwards, US data improved sharply, with
surprise third quarter GDP growth of no less than 2.5 per cent.
Coupled with hopes of progress in overcoming the debt crisis,
this made a significant contribution to the financial market recovery
towards the end of October.
Currency
The debt crisis also hit the euro exchange rate hard, particularly
as compared with the Swiss franc, with capital inflows from the
eurozone briefly bringing the euro–franc exchange rate to a historic
low of just over parity. However, the pressure exerted by the soaring
franc on the Swiss economy finally forced the Swiss National
Bank (SNB) to intervene, setting a floor of 1.20 Swiss francs to the
euro. This enabled the SNB to eventually curb speculation against
the euro.
Gold
Gold, meanwhile, once again confirmed its safe-haven status when
times get hard. Amid general jitters throughout August, it reached
a record high of 1,911 US dollars per ounce, with the high-water
mark in euro terms being the 1,360 euros per ounce reached in
September. This trend was exacerbated by central bank purchases,
above all from China, coupled with low interest rates.
The capital markets received support from the ECB at the end
of the year as it responded to the flagging European economy by
reducing the base rate by 0.25 per cent in both November and
December, taking it to a record low of just one per cent.

Management report
Austrian economic trends
In 2011, the Austrian economy expanded strongly, with the current
forecast for 2011 predicting real-terms GDP growth of 3.2 per cent.
This puts Austria well ahead of the EU as a whole, where average
GDP growth was just 1.5 per cent. However, due to a sharp deterioration
in external economic conditions and the collapse in confidence,
in 2012 growth is expected to be just 0.7 per cent.
The most important pillar of the Austrian economy was exports,
which were up 6.9 per cent in 2011. However, they will be most
strongly affected by the downturn. Foreign orders have been falling
steadily since last May, but there are signs that this trend is now
bottoming out. In 2011, Austria drew considerable benefit from the
economic strength of Germany, which is also our country’s biggest
trading partner. Of Austrian exports, 33 per cent are destined for
Germany, whereas Austria’s second-biggest trading partner, Italy,
accounts for just eight per cent of all exports.
As recovery set in, the investment cycle slowly began turning in
2010, but had already lost impetus by mid-2011. The excess
capacity still available up to mid-2011 is indicative of the fact that
the capital expenditure undertaken up to then was chiefly to
replace old plants and equipment rather than to expand production
capacity. Nevertheless, gross plant and equipment investments
rose by 3.7 per cent. In the construction industry, a slight recovery
is expected for 2012, as indicated by increasing numbers of building
permits and recent sharp rises in property
prices. Civil engineering recovered somewhat earlier than
construction, but clear signs of an upswing are lacking, with no
additional impetus coming from the public sector. At 1.7 per cent,
public sector consumption made a below-average contribution to
GDP growth, while private consumption in 2011 faltered in the face
of high inflation rates, rising by just 0.9 per cent. Despite strong
growth in employment, real disposable household incomes barely
rose at all.
In Tyrol, too, the economic recovery was very much led by the
export sector. Though final figures are not yet available, 2011
appears to have been a record year for exports, beating the pre-
vious record set in 2010. The Italian market takes a relatively
high proportion of Tyrol’s exports, making it more important than
for Austria as a whole, in view of which the prevailing uncertainty
as to how the debt crisis will play out in our southern neighbour
generates a significant but imponderable level of additional risk.
A stabilising factor for Tyrol is the strength of the tourism industry,
which is of major importance to the state’s economy. In terms of
overnight stays, Tyrol is Austria’s number one federal state for
tourism.
Due to sharp rises in the prices of services, foodstuffs and energy,
2011 HICP inflation rose to 3.5 per cent, significantly above the
EU average of 3.1 per cent. In 2012, falling commodity prices are
expected to bring about a marked fall in inflation to 2.1 per cent
(two per cent for the EU).
21
In both 2010 and the portion of 2011 for which we have figures,
the labour market served up a welcome surprise, as new jobs were
created in virtually all economic sectors. However, since mid-2011
various key leading indicators have been signalling a turnaround
on the Austria labour market. In 2011, the unemployment rate fell
to 4.1 per cent, but the economic downturn in 2012 means that the
rate is set to rise back up to 4.5 per cent. However, this still leaves
Austria with the lowest unemployment rate in the EU, where the
average 2011 unemployment rate was 9.9 per cent.
Meanwhile, the labour market situation in Tyrol is even better.
At 2.8 per cent, the 2010 unemployment rate was well below the
the Austrian average of 4.4 per cent, and although no final 2011
figures for Tyrol were available at the time of going to press, the
provisional figures indicate a further fall in unemployment, maintaining
the positive picture of previous years.

22 Management report
Review of operations in 2011
Raiffeisen-Landesbank Tirol AG can look back on a successful 2011, in which we chalked up a significant increase in our profit from
ordinary activities. This was chiefly due to our success in slightly raising our operating income, while managing to keep operating
expenses at last year’s level and significantly reducing the fair-value measurement.
Balance sheet total in millions of euros
31.12.2004 31.12.2005 31.12.2006 31.12.2007 31.12.2008 31.12.2009 31.12.2010 31.12.2011
5,086 4,882 4,758 5,047 6,654 7,296 7,182 7,356
Origin of funds and capital structure
Liabilities to
banks
Millions of
euros
31.12.2011 31.12.2010 Change
Per cent Millions of
euros
Per cent Millions of
euros
Per cent
3,952.41 53.7% 4,012.30 55.9% –59.89 –1.5%
Current account deposits 847.10 11.5% 797.06 11.1% 50.04 6.3%
Savings account deposits 610.92 8.3% 606.78 8.4% 4.14 0.7%
Liabilities evidenced by
paper
1,379.18 18.7% 1,188.18 16.5% 191.00 16.1%
Equity 360.12 4.9% 350.85 4.9% 9.27 2.6%
Other liabilities 205.98 2.8% 226.78 3.2% –20.80 –9.2%
Total liabilities 7,355.71 100.0% 7,181.95 100.0% 173.76 2.4%
The 2.4 per cent increase in balance sheet liabilities by 173.76 million euros to 7,355.71 million euros is chiefly due to an increase in
liabilities evidenced by paper, which rose by 16.1 per cent, or 191 million euros, to 1,379.18 million euros. Current account deposits are
also up by 6.3 per cent, or 50.04 million euros, to 847.10 million euros. Equity is up by 2.6 per cent, or 9.27 million euros, to 360.12 million
euros. And savings deposits increased 0.7 per cent by 4.14 million euros to 610.92 million euros. Meanwhile, liabilities to banks have
fallen by 1.5 per cent, or 59.89 million euros, to 3,952.41 million euros, and other liabilities by 9.2 per cent, or 20.80 million euros, to
205.98 million euros.

Management report
Appropriation of funds and asset structure
Receivables from
banks
Millions of
euros
The rise in balance sheet assets is chiefly due to increases in securities held beneficially and receivables from banks. Securities held
beneficially increased 9.4 per cent by 143.36 million euros to 1,663.35 million euros, and receivables from banks rose by 3.0 per cent,
or 81.75 million euros, to 2,830.99 million euros. Also slightly up are other assets by 4.7 per cent, or 5.87 million euros, to 131.79 million
euros, and participating interests including investments in affiliated companies grew 1.0 per cent by 2.05 million euros to 210.97 million
euros. Meanwhile, receivables from customers have fallen slightly by 2.3 per cent, or 59.27 million euros, to 2,518.61 million euros.
At the end of 2011, receivables from customers broke down as follows:
31.12.2011 31.12.2010 Change
Per cent Millions of
euros
Per cent Millions of
euros
23
Per cent
2,830.99 38.5% 2,749.24 38.3% 81.75 3.0%
Receivables from customers 2,518.61 34.2% 2,577.88 35.9% –59.27 –2.3%
Securities 1,663.35 22.6% 1,519.99 21.2% 143.36 9.4%
Participating interests,
including
shares in
affiliated companies 210.97 2.9% 208.92 2.9% 2.05 1.0%
Other assets 131.79 1.8% 125.92 1.8% 5.87 4.7%
Total assets 7,355.71 100.0% 7,181.95 100.0% 173.76 2.4%
RLB Tirol AG 2011 breakdown by sector
Thousands of
euros
2011 2010 Change Proportion of
total loans
Thousands of
euros
Per cent Per cent
Agriculture, forestry and cooperatives 22,839 23,168 –1.4% 0.9%
Transport 127,412 140,342 –9.2% 5.1%
Trade 531,209 539,897 –1.6% 21.1%
Manufacturing industry 147,096 161,978 –9.2% 5.8%
Employed persons, private 493,107 486,748 1.3% 19.6%
Tourism and leisure industry 361,780 352,049 2.8% 14.4%
Public sector and social insurance 187,335 203,562 –8.0% 7.4%
Self-employed persons 55,210 55,185 0.0% 2.2%
Commerce 154,665 149,464 3.5% 6.1%
Others (residential building associations and other non-banks) 437,958 465,491 –5.9% 17.4%
Total 2,518,610 2,577,884 –2.3% 100.0%

24 Management report
Regulatory capital pursuant to Section 23 BWG
31.12.2011 31.12.2010 31.12.2009 Change
Thousands of Thousands of Thousands of Thousands of Per cent
euros
euros
euros
euros
Subscribed capital 84,950 84,950 84,950
Reserves 275,170 265,899 258,587
Intangible assets 0 0 –3
CORE CAPITAL 360,120 350,849 343,534 9,271 2.6%
Subordinate capital 13,752 13,752 13,752
SUPPLEMENTARY CAPITAL 13,752 13,752 13,752 0 0.0%
REGULATORY CAPITAL before deductions 373,872 364,601 357,286 9,271 2.5%
Deduction pursuant to Section 23 (13) BWG –2 –2 –2
Short-term subordinate capital 0 0 0
TOTAL REGULATORY CAPITAL 373,870 364,599 357,284 9,271 2.5%
In the year under review, Raiffeisen-Landesbank Tirol AG’s regulatory capital rose by 2.5 per cent, or 9.27 million euros, to 373.87 million
euros.
Income statement
2011 2010 Change
Millions of Millions of Millions of Per cent
euros
euros
euros
Net interest income
Income from securities
57.03 55.63 1.40 2.5%
and participating interests 15.22 14.28 0.94 6.6%
Commission income 23.55 24.16 –0.61 –2.5%
Profit/loss from financial transactions 3.24 3.07 0.17 5.5%
Other operating income 11.54 11.83 –0.29 –2.5%
OPERATING INCOME 110.58 108.97 1.61 1.5%
Personnel costs –36.67 –38.13 –1.46 –3.8%
Other administrative costs
(operating expenses) –24.66 –23.87 0.79 3.3%
Impairment losses on
assets –3.05 –3.38 –0.33 –9.8%
Other operating costs –1.79 –1.20 0.59 49.2%
TOTAL OPERATING COSTS –66.17 –66.58 –0.41 –0.6%
OPERATING PROFIT 44.41 42.39 2.02 4.8%
Net expense for
impairment losses on receivables –21.02 –19.98 1.04 5.2%
Net expense for
impairment losses on securities and participating interests 0.82 –4.78 5.60 –117.2%
Profit from ordinary activities 24.21 17.63 6.58 37.3%
In 2011, our operating income rose by 1.5 per cent, or 1.61 million euros, to 110.58 million euros. This was due to a slight increase in net
interest income of 2.5 per cent, or 1.40 million euros, to 57.03 million euros. Our income from securities and participating interests also
went up by 6.6 per cent, or 0.94 million euros, to 15.22 million euros, while income from financial transactions increased by 5.5 per cent,

Management report
or 0.17 million euros, to 3.24 million euros. However, commission income fell slightly by 2.5 per cent, or 0.61 million euros, to 23.55 million
euros, and other operating income by 2.5 per cent, or 0.29 million euros, to 11.54 million euros.
Operating costs fell by 0.6 per cent, or 0.41 million euros, to 66.17 million euros. This can be put down to a fall in personnel costs of 3.8
per cent, or 1.46 million euros, to 36.67 million euros, as well as a fall in impairment losses on assets of 9.8 per cent by 0.33 million euros
to 3.05 million euros. Other administration costs rose slightly, by 3.3 per cent, or 0.79 million euros, to 24.66 million euros, while other
operating costs rose by 49.2 per cent, or 0.59 million euros, to 1.79 million euros.
The net expense reported for accounts receivable and allocations to provisions for contingent liabilities as well as income from the reversal
of impairment losses on receivables and from provisions for contingent liabilities rose by 5.2 per cent, or 1.04 million euros, to –21.02
million euros. Meanwhile, there is now a net profit from impairment losses on securities valued as financial assets and participating
interests plus income from write-ups of securities valued as financial assets. The balance in question improved by 5.60 million euros to
0.82 million euros.
Despite the enduringly difficult economic and regulatory framework, we succeeded in increasing our profit from ordinary activities by 37.3
per cent, or 6.58 million euros, to 24.21 million euros.
Bank branches report
As of 31 December 2011, Raiffeisen-Landesbank Tirol AG was operating 23 bank branches, five of them as self-service
banking outlets. The personnel of RLB Tirol AG looked after the banking needs of a total of 72,500 customers.
Financial and non-financial performance indicators
Capital ratio
31.12.2011 31.12.2010 31.12.2009
11.12% 10.77% 10.55%
Cost–income ratio
31.12.2011 31.12.2010 31.12.2009
59.84% 61.10% 63.80%
Return on equity
31.12.2011 31.12.2010 31.12.2009
6.81% 5.08% 5.05%
Overall profitability
31.12.2011 31.12.2010 31.12.2009
0.33% 0.25% 0.23%
Events after the balance sheet date
Net margin
31.12.2011 31.12.2010 31.12.2009
0.60% 0.59% 0.57%
The capital ratio stands at 11.12 per cent, well above the eight
per cent level stipulated in Section 22 paragraph 1 of the Austrian
Banking Act (Bankwesengesetz – BWG). The net margin is 0.6 per
cent, the cost–income ratio is 59.84 per cent, the return on equity
is 6.81 per cent and overall profitability is 0.33 per cent.
In 2011, Raiffeisen-Landesbank Tirol AG employed an average
of 454.18 people (436.55 salaried and 17.63 wage-earning
personnel), which represented a slight fall of 3.6 per cent.
To date, no business occurrences or other events have occurred which would be of special public interest or which would have a
significant impact on the 2011 annual financial statements.
25

26 Management report
Risk report
Modern risk management
Raiffeisen-Landesbank Tirol AG attaches great importance to
active risk management, which safeguards our longterm success.
In keeping with statutory requirements (BWG and Basel II), Raiffeisen-
Landesbank Tirol AG has set itself the goal of applying modern
methods and suitable systems in the fields of both risk management
and risk controlling in order to guarantee the bank’s security
and profitability in the interests of our customers and owners. Our
experiences during 2011 have confirmed the effectiveness of our
risk policies, risk management and organisation.
Principles of risk policy
Our risk policy principles are laid down by the management board
and are regularly reviewed and adjusted as necessary.
• The management board and all our employees are committed
to the risk policy principles and comply with them in their day-
to-day decision-making.
• In the case of non-transparent risk positions or methodological
uncertainties, we apply the prudence concept.
• Careful analysis of the business-specific risks is essential before
introducing new lines of business or products (the product
launch process).
Risk management principles
Our risk management is founded on the following principles:
• The management board takes overall responsibility for monitoring
risk management at Raiffeisen-Landesbank Tirol AG, while
the supervisory board reviews our risk policies at regular intervals.
• The management of credit, market, liquidity, investment, operational
and other risks is a coordinated process involving all relevant
levels within the bank.
• The risk committee issues recommendations concerning risk
strategy, the limitation of risk capital in line with our risk-bearing
ability and risk capital allocation.
Risk management organisation
The risk management system is organised with a view to avoiding
conflicts of interest at both personal and organisational level (separation
of trading and back-office supervisory functions). The tasks
and organisational processes involved in the measurement, monitoring
and reporting of risks are the responsibility of the risk management
organisational unit and are laid down on the intranet and
in the corresponding manuals.
Credit risk
The credit risk is evaluated for both counterparties (private and
commercial customers, banks and countries) and concentrations.
Granting credit and the judicious assumption of risk are among
Raiffeisen-Landesbank Tirol AG’s core lines of business. Borrowers’
risk situations are continuously and two-dimensionally managed,
on the one hand, through assessing their economic situation via
our inhouse rating systems and, on the other, through the evaluation
of risk-reducing collateral. In the corresponding calculations,
we take the varying risk levels inherent in different credit activities
duly into account.
The risk management organisational unit supports our sales units
in the management process by measuring and monitoring credit
risk as well as by dealing with problematic exposures in collaboration
with the accounts receivable management organisational unit.
In the reporting system, various reference date and forecast analyses
form an integral part of the risk profile and assist in guaranteeing
an active across-the-board risk management process.
The various credit risk-related tasks and organisational processes
as well as the credit risk strategy laid down annually by the management
board are clearly described on the intranet and in credit
manuals. Furthermore, all employees involved in the execution of
transactions are instructed in these tasks and process, which are
also available online. This ensures in every individual case that any
risk taken on is in compliance with our risk policies and strategy.
In addition, in keeping with principles of commercial prudence,
ample provision is made for all existing risks.
In line with supervisory law requirements and recommendations,
as well as potential operational benefits, Raiffeisen-Landesbank
Tirol AG has set itself the goal of continuously developing and
improving its risk management processes as well as its risk evaluation
and monitoring methods.

Management report
Market risk
Market risk is the risk of interest rate, exchange rate and price
changes adversely affecting securities, interest and currency positions.
Market risk is generated by both trading book transactions
and bank book positions.
Raiffeisen-Landesbank Tirol AG uses a combination of risk measurement
parameters to manage market risks and set associated limits.
The treasury organisational unit manages market risk, systematically
compiling all interest, currency and price positions and controlling
them in line with the prevailing market situation. Alongside
the credit business, the bank’s own account trading constitutes
another core line of business.
The risk management organisational unit supports the treasury
organisational unit in controlling market risks. The measurement
and monitoring of market risk and regular reporting are the central
tasks in this respect. The dynamic risk monitoring process involves
giving particular emphasis to the systematic monitoring of strategic
and hedging positions. Daily risk/performance analyses and
reports allow the treasury organisational unit to provide the right
steering impetus.
Liquidity risk
At Raiffeisen-Landesbank Tirol AG, we set great store by refinancing
with matching maturities, and this policy is supported by a key
liquidity figures system and associated limits, duly distinguishing
here between short-term operational and longer-term strategic
liquidity management.
Compliance with limits is monitored by the risk management
organisational unit. Various liquidity scenarios are used to simulate
adequate supplies of short- and long-term liquidity during hypothetical
financial squeezes. To reinforce liquidity, Raiffeisen-Landesbank
Tirol AG gives great weight to factors such as issuance activity
and available collateral that can be refinanced. Furthermore,
additional steering instruments are continuously being developed
in furtherance of proactive liquidity steering, something which will
increase in importance with the introduction of Basel III.
Investment risk
The investment risk is steered by the management board, measured
by the risk management organisational unit and monitored by
the accounting and investment management organisational units.
An expert approach ensures the appropriate assessment of potential
risk.
Operational risk
The management of operational risk is the task of the risk management
organisational unit. All potential risks that can result from
system or process failures, mistakes by employees and external
events are analysed and evaluated with a view to devising suitable
countermeasures.
The resources needed to combat operational risk are determined
via a base indicator approach, and modern IT systems are used
to portray and manage risk. This process is backed up by regular
internal audits and periodic reporting to ensure that operational
risk is tackled vigorously.
Risk-bearing capacity
In the process of steering overall risk, our capacity to cover risk is
tallied against all significant risks identified using modern methods
and systems suitable for this purpose.
The planned annual risk exposure represents the limitation of the
aggregated overall bank risk, taking into account not just the risks
actually identified and quantified but also other non-quantifiable
risks by putting in place a risk buffer. All risk-relevant information
is fed into a monthly risk-bearing capacity reports, which are discussed
in depth by the risk committee. Various different scenarios
are used to determine overall bank risk in order to ensure that sufficient
capital would be available to cope with a range of problem
situations.
27
At Raiffeisen-Landesbank Tirol AG, greater attention is given to the
credit, market and liquidity risk management processes due to the
fact that the focus of the bank’s activities is on private and commercial
customers and also treasury business. The credit risk is
calculated on the basis of default probabilities, and the trading and
banking book market risk via key sensitivity figures. The liquidity
risk is controlled via set limits. As well as the market-dependent
risks, the overall bank steering process also involves calculating
the investment risk and operational risk in order to represent all
risks and take into account the evergrowing supervisory requirements.
The risk capacity analysis thus forms the starting point for keeping
risky activities down to a reasonable level in order to ensure the
trouble-free continuing existence of Raiffeisen-Landesbank Tirol
AG while also fully exploiting its revenue potential.

28 Management report
Safeguarding deposits
Solidarity Association of the Tyrol Raiffeisen
financial organisation
Together with Raiffeisen-Landesbank Tirol AG, the banks in the
Raiffeisen Banking Group Tyrol have set up a solidarity association
that takes suitable action to ensure that association members who
get into economic difficulties receive the help they need.
Raiffeisen Deposit Guarantee Association
Austria
This association of Raiffeisen banks, Raiffeisen regional banks,
Raiffeisen Zentralbank Österreich AG and Raiffeisen Bank International
AG reciprocally guarantees all customer deposits and also
the securities issued by members, irrespective of the amount involved.
The deposit guarantee association has a two-tier structure,
with the first tier being at regional state level and the second at federal
level. The deposit guarantee association thus offers customers
guarantees which go well beyond those required by law.
The management board of Raiffeisen-Landesbank Tirol AG applies
an effective system of internal audits which ensures that the
accounting accurately reflects business circumstances. The internal
system for auditing the accounting process is designed to
ensure an acceptable degree of certainty and accuracy in the
published annual financial statements, in conformity with the
statutory provisions of the BWG and the Austrian Commercial
Code (Unternehmensgesetzbuch – UGB). For this purpose, the
supervisory board and management board can call on the expertise
and professional skills of the accounting and controlling
organisational units. The supervisory board of Raiffeisen-Landesbank
Tirol AG is responsible for monitoring the effectiveness of the
internal audit systems, while the management board ensures the
existence of an appropriate internal audit system of proven
effectiveness for the account-rendering process. Responsibilities
for the individual components and processes in the accounting
Deposit protection institutions of
Raiffeisen Banking Group Austria
Research and development report
Via Raiffeisen-Einlagensicherung Tirol eGen, the member banks
of the Raiffeisen Banking Group Tyrol are joint members of the
Österreichischen Raiffeisen-Einlagensicherung eGen. Pursuant to
Sections 93, 93a and 93b BWG, this deposit protection cooperative
represents the joint liability entity for the entire Raiffeisen
Banking Group.
For deposit protection purposes, the Raiffeisen Banking Group
Austria has put in place an early warning system. Based on a
comprehensive revenues and risk-reporting system operated by all
member banks, this system performs continuous analysis and
observations.
Given the nature of the sector’s activities, there are no relevant research and development activities to report.
Report on the key features of the internal audit
and risk management system in relation to the
accounting process
system are clearly specified and assigned to individual organisational
units. The internal system for auditing the account-rendering
process is implemented and documented in standing instructions.
The internal audit system is an integral component of the technical
and organisational processes, with specified standards such
as the ‘four-eyes principle’, the verifying of data quality and plausibility
checks, as well as linking risk and compliance and ensuring
that adequate controls are implemented and correctly executed in
relation to specific risks. For instance, the separation of sensitive
activities is backed up by restrictions on the granting of IT access
authorisation. The regular exchanging of information relevant to the
auditing process within the individual organisational units forms
one cornerstone of the internal audit system. Internal auditing
regularly and independently audits compliance with in-house
regulations, including in the accounting department. The head of
internal auditing reports directly to the management board.

Management report
Outlook for 2012
During 2012, economic growth will slacken markedly throughout
the world. A recession appears virtually inevitable in the EU, and
in many European countries, such as Greece, Portugal, Ireland,
Spain and Italy, recession has long since been a reality. The intensified
cost-cutting efforts in almost all EU countries and the lack of
capital in the European banking system will only exacerbate this
situation. In Europe at least, a lengthy period of recession could be
impending. The Austrian and Tyrolean economy will inevitably be
affected by this, as a result of which we face a difficult and
challenging 2012.
However, in the coming year Raiffeisen-Landesbank Tirol AG will
maintain its highly successful policy of risk- and revenue-oriented
growth, focusing firmly on retail business. Our customer orientation,
from strategy through to day-to-day activities, will continue
to form the basis for our future success. As regards our private
customers, in 2012 we shall be focusing on boosting revenues
from services. Meanwhile, in our individual business we shall be
embarking on a quality offensive with the aim of further improving
our credit portfolio and liquidity situation.
A key goal for 2012 is the early, professional preparation of both
RLB Tirol AG and the entire Raiffeisen Banking Group Tyrol for the
new equity and liquidity requirements. Alongside the customer focus
and systematic exploitation of synergies, these themes will be
central to the RBGT 2017 strategy, which we are devising during
the first half of 2012 together with the Tyrolean Raiffeisen banks.
The management board of Raiffeisen-Landesbank Tirol AG
Dr Hannes Schmid
Management board chairman
Reinhard Mayr
Management board director
29
The Tyrolean Raiffeisen banks are both our owners and our most
important customers. Next year, too, it is our avowed goal to steadily
increase their satisfaction with the service provided by Raiffeisen-
Landesbank Tirol AG. We shall do this above all by further reinforcing
our agenda-setting role, thereby putting the Tyrolean
Raiffeisen banks on an even stronger footing for the future and
strengthening our market position as Tyrol’s leading banking group.
Our dedicated employees are vital to the success of Raiffeisen-
Landesbank Tirol AG and are what gives us an edge on our rivals.
This is why the purposeful development of our employees’ careers
has always been important to us. In order to continue being able in
future to attract employees who care about quality and service, we
aim to further enhance Raiffeisen’s attractiveness as an employer.
Over recent years, we have made good progress in improving our
company’s productivity. We shall continue to vigorously pursue
this course, in so doing building on the entrepreneurial skills of our
senior executives.
In 2012, Raiffeisen-Landesbank Tirol AG, the lead bank for the
Raiffeisen Banking Group Tyrol, will continue steadfastly along the
highly successful course of recent years.
Gobert Sternbach
Management board director

30
125 years of Raiffeisen in Austria:
on solid foundations
By Professor Kurt Ceipek, publisher of ‘Raiffeisenzeitung’
In 2011, the Raiffeisen organisation in Austria celebrated its 125th
anniversary. In December 1886, the first Raiffeisen credit union
opened its doors in Lower Austria. Raiffeisen appeared in Tyrol
only a few months later. Tyrol’s first two Raiffeisen credit unions set
up shop in Oetz and Inzing in 1888, opening on almost the same
day. This paved the way for what was to prove the unstoppable
rise of the Austrian Raiffeisen co-operative movement.
An unparalleled success story
Since those pioneering days, Raiffeisen in Tyrol, along with its
members and customers, has survived a series of wars and upheavals.
Raiffeisen banks have always been the banks for the middle
strata of society, the SMEs, farmers, salaried employees, civil
servants and working people, and it is that which has made us so
resilient.
Today Raiffeisen forms the backbone of the Tyrolean economy. In
all, 82 autonomous Tyrolean Raiffeisen banks with a total of 262
bank branches look after people's local financial service needs,
as well as being the most important financiers of business investments
and residential building. However, Raiffeisen also stimulates
the state economy as an important investor in its own right. Raiffeisen
is also important in its capacity as the region’s biggest private
employer, and also due to the fact that it creates a lot of jobs
in regions where skilled employment is thin on the ground, thus
being that much more valuable than in large urban areas. Raiffeisen
also provides jobs for young people, offering vocational training
courses as qualified bank clerks, either with or without the schoolleaving
certificate.
The present has a past
The development of the Raiffeisen idea and the founding of the
first Raiffeisen cooperatives came at a time of social and economic
upheaval during which the bulk of the population was suffering
severe privation. In the mid-nineteenth century, newly free farmers
and craftsmen hardly ever had enough money to buy equipment
and tools or finance investments. On top of this, very few of them
were adequately educated, and illiteracy rates were high.
The lives of craftsmen and tradesmen were undergoing similarly
dramatic change, as many of them lost their livelihoods with the
onset of industrialisation.
The shortage of money suffered by farmers and craftsmen was
exploited in the mid-ninetheenth century by unscrupulous loan
sharks who lent money at extremely high interest rates, very often
with the aim of appropriating the farmers’ property. Many farmers
and small business people got deeply into debt, and as a result
125 years of Raiffeisen in Austria
lost their belongings and livelihoods. This led to the destitution of
whole sections of the population, particularly in rural areas. Thousands
of farms were seized and auctioned off, people were driven
from their homes and whole families were uprooted.
As the mayor of several towns in Germany’s Westerwald region,
the German social reformer Friedrich Wilhelm Raiffeisen was confronted
head on by people’s suffering, and he looked for ways to
end the crisis. In response to the famine winter of 1846–47,
Raiffeisen set up a charitable Verein für Selbstbeschaffung von
Brod und Früchten (society for bread and grain supply). With the
aid of private donations, he bought flour, set up a bakery and
distributed the bread baked there to the needy.
Soon after, Raiffeisen determined that the only long-term solution
to people’s problems was self-help in cooperatives, and so in 1864,
the social reformer converted his charity into the Heddesdorfer
Darlehnskassen-Verein (Heddesdorf credit union). This became
the first Raiffeisen cooperative, which laid the cornerstone for the
triumphal march of the Raiffeisen movement, first throughout
Europe and then the whole world.
In Austria, Raiffeisen in Tyrol was one of the movement’s pioneers.
After the founding of the first Raiffeisen banks in 1888, in 1895 the
Raiffeisen-Zentralkasse Tirol, the forerunner of today’s RLB Tirol
AG, was set up in Bozen to serve as a focal point and common
platform for the Tyrolean Raiffeisen credit unions. Then three years
later came the founding of a central regional bank for Lower Austria
and Vienna, and the Austrian Raiffeisen association also first saw
the light of day just three years after the founding of the Tyrolean
regional cooperative bank.
Raiffeisen’s idea was simplicity itself, made perfect sense and was
readily understandable by all. ‘One for all and all for one’ became
the familiar battle cry. A wave of cooperatives sprang up in Tyrol,
soon also including trading cooperatives, and many Raiffeisen
credit unions also became involved in trading. Similarly, over the
following years the dairy industry increasingly became the preserve
of rural cooperatives.
The objective of the Raiffeisen credit unions was to persuade its
members to entrust their savings to the cooperative bank so that
members could then take out loans at very favourable interest
rates. The purpose of the trading cooperatives was to significantly
reduce the cost of tools and equipment for individual members
through bulk buying, while getting better prices for their agricultural
produce by selling in bulk. They also made possible the storage
of agricultural produce in order to weather periods of abnormally
low prices. Raiffeisen thus became the driving force for economic
upturn not only in rural areas but also increasingly in towns and
cities.

125 years of Raiffeisen in Austria
Values as guiding principles
The roots of Raiffeisen’s success in recent decades undoubtedly
lie in the guiding principles which govern the work of Raiffeisen in
Tyrol and in other Raiffeisen cooperatives.
Raiffeisen stands for solidarity, self-governance, personal responsibility,
sustainability and subsidiarity. The key motive force behind
its work is always to help cooperative members help themselves.
Over the years Raiffeisen banks have always successfully adapted
themselves to their customers’ changing needs, but without ever
undermining these guiding principles. Today and in future, they will
continue to form the basis of Raiffeisen’s work.
Cooperatives are much more than just a business model or one
legal form among many. After the many scandals of recent years,
there is an ever stronger desire for co-determination and democratisation
of business, and the cooperative movement has given this
aspiration practical form for over a century now. At the same time,
cooperatives have time and again proven themselves entirely competitive.
Raiffeisen has been in the fast lane for years now. Whereas
other Austrian banks have either ceased trading or fallen into foreign
ownership, Raiffeisen remains Austrian through and through.
This has confounded those sceptics who continue insisting that in
an age of economic globalisation the size of an enterprise or group
of enterprises is vital to its long-term market success. The counterargument
successfully exemplified by Raiffeisen runs as follows:
you can succeed if you adapt to the specific circumstances of
countless local markets and bundle their energies in order to hold
your own against the major players.
The Raiffeisen Group simultaneously embodies both local solidarity
and international strength. Naturally enough, the autonomous
Raiffeisen banks know the needs of the people in the regions they
serve better than anybody else, while the size necessary for market
success is achieved through the union of Raiffeisen cooperatives.
The individual Raiffeisen banks are the owners of Raiffeisen-
Landesbank Tirol AG, and the Raiffeisen regional banks for the
various states jointly own Raiffeisen Zentralbank Österreich, which
in turn is the owner of Raiffeisen Bank International. In many instances,
this model of small autonomous economic units joining
together in a well-organised voluntary union has major advantages
over giant, centrally managed conglomerates which sometimes
prove, particularly in times of crisis, to be cumbersome and
illequipped to adapt.
Among the decisive secrets of Raiffeisen’s success is not just the
application of the above-mentioned guiding principles, but precisely
this autonomy of many small regional or local units. ‘Raiffeisen.
Meine Bank’ is more than just a succinct advertising slogan, it reflects
actual daily practice. The members of the Tyrolean Raiffeisen
Prof. Kurt Ceipek
banks and other cooperatives are at the same time their owners
and elect the owners’ representatives at the general meetings.
Most members certainly feel strong ties with their Raiffeisen banks.
The feeling of having a say and a share in the decision-making
over important matters, the manageable scale and closeness to
the decisionmakers give members and customers a feeling of security
and trust which more and more people are coming to value.
For many years, Raiffeisen has enjoyed a high and ever-growing
level of recognition and popularity. Every Austrian is aware that
Raiffeisen is the country’s biggest sports sponsor and has almost
all of Austria’s best athletes under contract. Niki Lauda, Thomas
Muster, Hermann Maier and Marcel Hirscher are just a few examples
here. It is clear that bearing the gable cross logo on their
helmets or costumes gives sports stars wings, and spurs them on
to even greater success.
31
More importantly, though, Raiffeisen banks also support countless
small local clubs. Many Tyrolean football clubs and also clubs for
sports – such as bicycle racing, skiing and other leisure activities
popular with young people – get strong financial support from both
individual Raiffeisen banks and the Raiffeisen regional bank, a fact
that does not go unnoticed by those attending sporting events.
Members’ close ties with their Raiffeisen banks are further reinforced
by the cooperatives’ strong links with local institutions.
Raiffeisen’s place in society goes well beyond its economic role.
Alongside sports clubs, schools and voluntary organisations, such
as the fire service, mountain rescue and the Red Cross, are frequently
supported by regional Raiffeisen banks. On top of this,
both the honorary and professional decision-makers at Raiffeisen
banks almost always have close links with local clubs and initiatives,
often also working for and playing a leading role in these institutions.
➜

32 125 years of Raiffeisen in Austria
Social responsibility
What is less well known is that Raiffeisen is also one of Tyrol’s most
important sponsors in the cultural and social arenas. Its support for
social initiatives is not something that has ever been shouted from
the rooftops. Raiffeisen views its involvement in social issues as a
key part of its responsibility towards society. Among Raiffeisen’s
unswerving guiding principles has always been solidarity towards
those who need either temporary or longer-term help. This applies
not just in economic terms but also very much in the social sphere.
Secure, regional, sustainable
The financial crisis has shaken many Europeans’ confidence in the
banking system. One major reason for this is that media reporting
has portrayed everything in black and white, depicting all banks as
being much the same. This has led to a distorted view of the banking
industry. Banks like Raiffeisen cannot be compared with investment
banks based on the Anglo-American model. Raiffeisen banks
have always been rooted in their local areas and have never lost
these local ties in the 125 years since their foundation. Raiffeisen
is deeply rooted in society and has developed comparatively slowly
over recent decades, and this healthy and organic growth gives
the Raiffeisen Group the stability which has proven so valuable
during the present financial crisis.
The Raiffeisen Banking Group operates in the real economy rather
than playing financial roulette of the kind practised by some investment
banks, particularly in the USA and Great Britain. These banks
triggered the current turbulence on the world’s financial markets
and have brought the entire banking industry into disrepute. Now
every bank has to deal with the consequences, including those
which have always been run prudently.
The Austrians trust Raiffeisen more than ever, a fact demonstrated
by rising levels of deposits at Raiffeisen banks. The tougher the
situation on the financial markets becomes for individual savers
and investors, the more people search for a solid business partner,
and the fact that, since its foundation, no saver has ever lost a
penny of any money deposited at a Raiffeisen bank is as convincing
an argument for the Tyrolean people as the multiply secured deposit
guarantee offered by Raiffeisen. Secure savings figure very
high on the wish list of all Austrians.
The cooperative organisational form is set to emerge from the
latest financial crisis stronger than ever. Hardly anyone now
doubts, given what the financial and economic crisis has taught
us, that voluntary cooperative ventures are a model with a future.
The desire of a large portion of the population for cooperative,
democratically organised enterprises can only grow in the face
of the problems caused by globalisation. In these highly volatile
times, the Raiffeisen Banking Group offers a safe haven that people
can trust, and the desire for security and a trustworthy partner
is stronger now than ever before.
Cooperatives are not only gaining ground in well-heeled indus-
trialised countries but also in developing nations. Nobel Peace
Prize laureate Muhammad Yunus, a Bangladeshi economist, has
received many awards for his work setting up microcredit coop-
eratives. In interviews, he has frequently said that his microcredit
cooperatives idea is largely based on the principles of Friedrich
Wilhelm Raiffeisen.
2012: the year of cooperatives
The importance of cooperatives for the future of the human race
is highlighted by the fact that the UN has declared 2012 the International
Year of Cooperatives. The worldwide importance of
Raiffeisen cooperatives today is clear from the following facts and
figures. In over 100 countries, more than 900,000 cooperatives with
over 500 million members are operating according to the principles
of Friedrich Wilhelm Raiffeisen. In many countries, these cooperatives
form an important foundation for economic development,
opening up the opportunity for people to create livelihoods for
whole families and indeed entire regions. Just as they did in Europe
150 years ago.
We can confidently pronounce that banking groups organised
along cooperative lines represent a model for the future.
Their success will endure for as long as cooperative banks continue
to adapt to the needs of a changing society, while remaining
true to the tried-and-tested guiding principles of solidarity, self-
reliance, regional ties and democratic organisational structures.
Raiffeisen in Tyrol will certainly not waver in its adherence to these
principles. ●
A
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nancial
tatements
or 2011
33

34 Annual financial statements
Balance sheet to 31 December 2011 – assets
31.12.2011 31.12.2010
Euros Euros Thousands of
euros
Thousands of
euros
1. Cash on hand and cash at
central banks and giro banks 18,549,368.31 16,282
2. Public sector debt securities and bills authorised for
refinancing by the central bank:
a) Public sector debt securities and
similar securities
b) Bills authorised for refinancing
1,021,439,474.46 909,835
by central banks 0 1,021,439,474.46 0 909,835
3. Receivables from banks:
a) Maturing daily 878,589,829.64 820,911
b) Other receivables 1,952,401,006.91 2,830,990,836.55 1,928,328 2,749,239
4. Receivables from customers 2,518,610,255.99 2,577,884
5. Debt securities and other
fixed-interest securities:
a) From public issuers 0 0
b) From other issuers
of which:
592,748,248.78 592,748,248.78 543,737 543,737
company bonds
0 0
6. Equities and other variable interest
Securities 49,157,216.32 66,409
7. Investments
of which:
188,537,623.64 186,556
in banks
183,303,533.31 179,802
8. Holdings in affiliated enterprises
of which:
22,425,062.93 22,360
in banks
0 0
9. Intangible fixed
assets 0 0
10. Property, plant and equipment
of which:
real estate and buildings used by the bank
45,724,602.38 47,744
during its own business activities
21,431,951.84 22,403
11. Own shares or holdings and also holdings in a controlling
company or one with a majority shareholding
of which:
0 0
nominal value
0 0
12. Other assets 65,551,309.24 60,903
13. Subscribed capital which has been called in but not
yet paid 0 0
14. Deferred income
of which:
deferred taxes pursuant to section 198,
1,975,713.09 999
paragraph 10, of the UGB
0 0
TOTAL assets 7,355,709,711.69 7,181,948

Annual financial statements
Balance sheet to 31 December 2011 – equity and liabilities
Euros Euros
31.12.2011 31.12.2010
Thousands of
euros
35
Thousands of
euros
1. Liabilities to banks:
a) Maturing daily 1,783,414,906.61 1,696,424
b) With an agreed term or period of notice 2,168,997,574.37 3,952,412,480.98 2,315,875 4,012,299
2. Liabilities to customers:
a) Savings account deposits of which: 610,919,608.13 606,778
aa) Maturing daily 0 0
bb) With an agreed term or period of notice 610,919,608.13 606,778
b) Other liabilities
of which:
847,099,964.64 1,458,019,572.77 797,060 1,403,838
aa) Maturing daily 471,094,290.76 467,388
bb) With an agreed term or period of notice 376,005,673.88 329,672
3. Liabilities evidenced by paper:
a) Debt securities issued 0 0
b) Other liabilities evidenced by paper 1,379,181,985.91 1,379,181,985.91 1,188,185 1,188,185
4. Other liabilities 131,880,000.35 149,033
5. Deferred income 1,944,957.32 2,571
6. Provisions:
a) Provisions for redundancy payments 7,788,967.99 7,799
b) Pension provisions 22,802,781.21 23,547
c) Tax provisions 1,900,000.00 0
d) Others 17,310,411.88 49,802,161.08 22,331 53,677
6.A Fund for general banking risks 0 0
7. Subordinate liabilities 0 0
8. Supplementary capital 13,847,734.53 13,847
9. Subscribed capital 84,950,000.00 84,950
10. Capital reserves:
a) Allocated 79,342,800.00 79,343
b) Unallocated
11. Revenue reserves:
0 79,342,800.00 0 79,343
a) Statutory reserve 8,495,000.00 8,495
b) Reserves required under the articles of association 0 0
c) Other reserves
of which:
113,045,375.68 121,540,375.68 103,595 112,090
Allocated reserves 11,641,930.57 11,642
Reserve pursuant to section 225, paragraph 5, of the UGB
12. Liability reserve pursuant to section 23, paragraph
0 0
6; of the BWG 67,200,000.00 67,200
13. Net income
14. Untaxed reserves:
8,500,795.67 7,649
a) Asset valuation reserve for special depreciation 7,086,847.40 7,266
b) Other untaxed reserves
of which:
aa) Investment reserve pursuant to Section 9 of the In-
0 7,086,847.40 0 7,266
come Tax Act (Einkommensteuergesetz – EstG) 1988
bb) Investment allowance pursuant to Section 10
0 0
of the EStG 1988
cc) Rental reserve pursuant to Section 11 of the
0 0
EStG 1988
dd) Secret reserves pursuant to Section 12 of the
0 0
EStG 1988 0 0
TOTAL equity and liabilities 7,355,709,711.69 7,181,948

36 Annual financial statements
Below-the-line items
Euros Euros
31.12.2011 31.12.2010
Thousands of
euros
Thousands of
euros
ASSETS:
1. Foreign assets 878,179,381.50 615,999
EQUITY AND LIABILITIES:
1. Contingent liabilities
of which:
a) Acceptances and endorsement liabilities
229,275,761.03 213,447
on negotiated bills
b) Liabilities from guarantees and
0 0
liability from the furnishing of security 229,200,468.48 213,175
2. Credit risks
of which:
248,534,105.05 248,469
Liabilities from pension transactions 0 0
3. Liabilities from trust transactions 0 0
4. Imputable regulatory capital pursuant to section
23, paragraph 14
of which:
Regulatory capital pursuant to section 23,
373,869,605.74 364,599
paragraph 14, number 7 0 0
5. Required regulatory capital pursuant to section
22, paragraph 1
of which:
Required regulatory capital pursuant to section
268,880,903.88 270,943
22, paragraph 1, numbers 1 and 4 268,880,903.88 270,943
6. Foreign liabilities 1,353,202,594.39 1,286,211
7. Hybrid capital pursuant to section 24, paragraph
2, numbers 5 and 6 0 0

Annual financial statements
Income statement for 2011
1. Interest and similar income
of which:
Euros Euros
2011 2010
Thousands of
euros
37
Thousands of
euros
176,336,167.44 161,645
From fixed-interest securities 36,077,764.70 27,870
2. Interest and similar expenses 119,304,914.57 106,018
I. NET INTEREST INCOME 57,031,252.87 55,627
3. Income from securities and investments
a) Income from equities, other equity interests
and variable interest securities 1,876,343.90 1,345
b) Income from investments 12,005,621.84 11,936
c) Income from holdings in
affiliated companies 1,338,201.58 15,220,167.32 999 14,280
4. Commission income 30,082,483.84 31,501
5. Commission expenses 6,535,583.51 7,340
6. Profit/loss from financial transactions 3,240,685.65 3,070
7. Other operating income 11,541,794.75 11,828
II. OPERATING INCOME 110,580,800.92 108,966
8. General administrative costs
a) Personnel costs
of which:
36,669,039.15 38,133
aa) Wages and salaries 24,586,154.61 25,282
ab) Costs of statutory social-security charges
and income-dependent charges and compulsory
contributions 6,221,462.95 6,598
ac) Other social security costs 1,018,806.71 1,011
ad) Pension and welfare costs 4,045,812.52 3,787
ae) Allocation to pension provision –444,700.31 257
af) Costs of redundancy payments and
contributions to company employee welfare
funds 1,241,502.67 1,198
b) Other administrative costs
(operating expenses) 24,656,409.51 61,325,448.66 23,873 62,006
9. Impairments of the assets
included in asset items 9 and 10 3,049,622.18 3,375
10. Other operating costs 1,794,554.50 1,197
III. TOTAL OPERATING COSTS 66,169,625.34 66,578
IV. OPERATING PROFIT 44,411,175.58 42,388

38 Annual financial statements
Euros Euros
2011 2010
Thousands of
euros
Thousands of
euros
IV. OPERATING PROFIT – amount carried
forward 44,411,175.58 42,388
11./12. Net expense for impairment losses on
accounts receivable and allocations to
provisions for contingent liabilities, on the
one hand, and income from the reversal of
impairment losses on receivables and from
provisions for contingent liabilities on the
other –21,023,373.27 –19,980
13./14. Net profit from impairment losses on
securities valued as financial assets and
impairment losses on participating interests
and holdings in affiliated companies plus
income from the reversal of impairment
losses on securities valued as financial
assets 820,899.67 –4,780
V. RESULT FROM ORDINARY ACTIVITIES 24,208,701.98 17,628
15. Extraordinary income 0 0
of which:
withdrawals from the fund for general
banking risks 0 0
16. Extraordinary costs 0 0
of which:
Allocations to the fund for general banking
risks 0 0
17. Extraordinary result
(Subtotal from items 15 and 16) 0 0
18. Taxes on income –3,447,643.68 –2,257
19. Other taxes not posted under item 18 –2,993,190.96 –414
VI. NET PROFIT 17,767,867.34 14,957
20. Movements in reserves –9,270,968.53 –7,312
of which:
allocation to liability reserve 0 0
Reversal of liability reserve 0 0
VII. ANNUAL PROFIT 8,496,898.81 7,645
21. Profit carried forward 3,896.86 4
VIII. NET INCOME 8,500,795.67 7,649

Annual financial statements
Notes:
Accounting policies
General principles
The current annual financial statements have been prepared in
accordance with the provisions of the Austrian Banking Act (Bankwesengesetz
– BWG) and the Austrian Commercial Code
(Unternehmensgesetzbuch – UGB). The annual financial Statements
were compiled in accordance with generally accepted
accounting principles and in compliance with the general requirement
to convey as accurate as possible a picture of the company’s
net assets, financial position and earning performance. The annual
financial statements were drawn up in compliance with the principle
of completeness.
When valuing individual assets and debts we complied with the
principle of individual valuation and acted on the assumption of the
continued existence of the company.
We applied the prudence concept in that only those profits realised
by the balance sheet date are reported. All discernible risks and
impending losses have been taken into account.
Currency conversion
Pursuant to section 58, paragraph 1, of the BWG, amounts in
foreign currencies were converted at the ECB reference rates or,
if these were not published, at the mean currency exchange rate
(RZB fixing).
Pursuant to section 58, paragraph 2, of the BWG, forward trans-
actions were converted at the forward rate on the balance sheet
date.
Securities
Fixed-interest securities held as fixed assets are valued either
according to the diluted lower value principle or pursuant to section
56, paragraph 2, of the BWG. Other securities held as fixed
assets are valued according to the strict lower value principle.
Securities forming the cover fund for trust fund monies are fixed
assets and, pursuant to section 2, paragraph 3, of the Austrian
Regulation on the Protection of Money Held in Trust (Mündelsicherheitsverordnung),
are valued according to the strict lowervalue
principle.
Pursuant to section 207 of the UGB, securities held for trading and
in the current assets are valued according to the strict lower-value
principle. Current asset securities procured to cover company issues
are posted at market value. Securities issued by the company
and held as current assets will be reported at their redemption
values.
Loans, contingent liabilities and credit risks
Individual impairments or provisions are formed to cover all
discernible credit risks. Draw-down charges are recognised in the
income statement in the year in which the credit is granted. For
selected sectorial risks general impairment charges are applied.
In item 4 (receivables from customers), we have made use of the
margin of appreciation pursuant to section 57, paragraph 1, of the
BWG.
Investments
39
Investments are valued at their costs of acquisition. Non-scheduled
depreciation is applied if, due to sustained losses, reduced equity
and/or reduced earning power, a loss of value has occurred that is
expected to be permanent.
Property, plant and equipment and intangible
fixed assets
Pursuant to section 55, paragraph 1, of the BWG in conjunction
with section 204 of the UGB, property, plant and equipment are
valued at their costs of acquisition or manufacture less scheduled
depreciation.
Additions during the first half of the financial year will be subject to
the full annual depreciation rate and additions during the second
half to half of said rate.
Low-value assets are fully written off in their years of acquisition.
The useful lives on which the scheduled depreciation is based
range from five to 67 years in the case of immobile assets and
three to 20 years in the case of mobile assets.
Non-scheduled depreciation is undertaken in the event of probable
long-term losses of value.

40 Annual financial statements
Cost of company issues
Issue costs and premium or discount are distributed evenly over
the term of the debt.
Pension provision
The pension provisions have been calculated according to recognised
actuarial principles, applying the entry age normal method,
based on a technical interest rate of four per cent, using the Pagler
& Pagler mortality tables (AVÖ 2008) and taking the individual
retirement age into account. No staff turnover deduction was
made. Monetary value adjustments are allowed for by using the
real interest rate.
Provision for redundancy payments and similar
obligations
Provisions for redundancy payment obligations as of the balance
sheet date have been calculated according to principles of mathematical
finance, applying an interest rate of four per cent and taking
the individual retirement age into account. Provisions for the
obligation to pay long-service bonuses have been calculated
according to principles of mathematical finance in similar fashion
to the redundancy payment obligations. No staff turnover de-
duction was made.
Monetary value adjustments are allowed for by using the real interest
rate.
Other provisions
Applying the prudence principle, the other provisions take into
account all discernible risks at the time of preparing the statements,
as well as all probable or certain liabilities of uncertain proportions,
for the purpose setting aside the amounts necessary in
our reasonable commercial judgement.
Liabilities
Liabilities are recognised at the higher of their nominal value or
redemption value.
Valuation of derivatives
Derivative financial instruments are recognised at their market
values. When forming valuation units, the market values of derivatives
are not booked. The market value is the amount for which the
financial instruments could be bought or sold under fair conditions
on the balance sheet date. If stock exchange prices were available,
these were used for valuation purposes. In the case of financial instruments
with no stock market price, we used internal valuation
models applying current market parameters, in particular the cash
value method and the option price model.
Note concerning means of disclosure pursuant
to section 26 of the BWG
Pursuant to section 26 of the BWG, banks are required to disclose
information about their organisational structure, risk management
and risk capital situation at least once a year. This information is
published on RLB Tirol AG’s website at www.rlb-tirol.at.

Annual financial statements
Notes to the balance sheet
Breakdown of maturity dates
The maturity dates of receivables from banks not maturing daily break down as follows:
Remaining term 31.12.2011 Previous year
In euros In thousands of euros
Up to three months 647,859,592 907,365
Three months to one year 446,873,514 345,778
One to five years 793,591,393 627,556
Over five years 64,076,508 47,630
The maturity dates of receivables from non-banks not maturing daily break down as follows:
Remaining term 31.12.2011 Previous year
In euros In thousands of euros
Up to three months 216,511,091 291,252
Three months to one year 474,812,286 525,607
One to five years 550,274,774 524,895
Over five years 1,122,513,844 1,059,603
The maturity dates of payables to banks not maturing daily break down as follows:
Remaining term 31.12.2011 Previous year
In euros In thousands of euros
Up to three months 1,547,411,800 1,773,414
Three months to one year 222,668,189 209,687
One to five years 242,372,585 208,887
Over five years 156,545,000 123,887
The maturity dates of payables to non-banks not maturing daily break down as follows:
Remaining term 31.12.2011 Previous year
In euros In thousands of euros
Up to three months 174,547,444 184,516
Three months to one year 353,575,876 252,963
One to five years 305,043,914 357,460
Over five years 147,036,752 136,912
In 2012, debt securities and other fixed-interest securities held beneficially totalling 118,154,810 euros (previous year: 144,395,000 euros)
will mature, and issued debt securities totalling 155,854,000 euros (previous year: 61,432,000 euros) will mature.
41

42 Annual financial statements
Securities
The securities admitted for trading (see asset items 5 and 6) break down into listed and unlisted as follows:
Description Listed Unlisted
Debt securities and
other fixed-interest securities
Previous year (in thousands of euros)
Equities and other variable interest securities
Previous year (in thousands of euros)
In euros In euros
19,788,516
(18,880)
11,990,000
(11,990)
The securities admitted for trading (see asset items 5 and 6) break down according to the nature of their valuation as follows:
Description Valued as fixed assets
Debt securities and other fixed-interest
securities
Previous year (in thousands of euros)
Equities and other variable interest securities
Previous year (in thousands of euros)
558,083,546
(511,589)
15,180,573
(20,970)
Not valued as fixed
assets
In euros In euros
558,083,546
(514,603)
27,170,104
(31,126)
19,788,516
(15,866)
The listed securities are held for long-term investment purposes. The securities not valued as fixed assets are procured for securities-
trading purposes. RLB Tyrol runs a small securities trading book that currently contains securities holdings to a value of 9,994 euros
(previous year: 189,000 euros).
Other assets
Other assets include accrued interest totalling 48,259,817 euros (previous year: 43,990,000 euros) which will produce cash inflows after
the balance sheet date.
Provisions and other liabilities
The other provisions (EQUITY AND LIABILITIES, item 6d)) include the following main items:
469
(1,834)
Provision for 31.12.2011 Previous year
In euros In thousands of euros
Contingent liabilities 6,955,844 12,414
Social-welfare plan 2,400,000 2,100
Other assets also include accrued interest totalling 49,471,558 euros (previous year: 40,512,000 euros) and foreign currency valuations of
derivatives totalling 63,546,067 euros (previous year: 86,281,000 euros) which will produce cash inflow after the balance sheet date.

Annual financial statements
Supplementary details
The balance sheet includes the following foreign currency amounts converted into euros:
Assets Previous year Equity and liabilities Previous year
In euros In thousands of euros In euros In thousands of euros
1,547,411,800 2,073,380 1,547,411,800 1,079,412
As of the balance sheet date, we held the following derivative financial instruments (in thousands of euros):
Category and type
Interest rate derivatives
Banking
book
Trading
book Total
Market
value
positive
43
Market
value
negative
Interest rate swaps 5,315,923 0 5,315,923 161,861 238,566
Previous year (in thousands of euros) (4,898,821) (0) (4,898,821) (118,146) (116,978)
Interest rate futures – sale 100,000 0 100,000 0 245
Previous year (in thousands of euros) (400,000) (0) (400,000) (208) (0)
Interest rate options – purchase 310,632 0 310,632 7,590 185
Previous year (in thousands of euros) (324,168) (0) (324,168) (8,565) (0)
Interest rate options – sale 304,820 0 304,820 357 8,083
Previous year (in thousands of euros) (268,093) (0) (268,093) (0) (7,433)
Exchange rate derivatives
Currency futures 30,217 0 30,217 1,989 33
Previous year (in thousands of euros) (36,486) (0) (36,486) (1,837) (154)
Currency and interest rate swaps 1,137,391 0 1,137,391 2,905 58,528
Previous year (in thousands of euros) (1,127,668) (0) (1,127,668) (5,176) (88,791)
During the financial year, a provision of 710,000 euros (previous year: 220,000 year) was formed for open interest rate swaps.
As of 31 December 2011, securities with a nominal value of 5,796,900 euros (previous year: 5,600,000 euros) were held as the cover
fund for trust fund savings deposits totalling 5,307,371 euros (previous year: 4,680,000 euros). For the ECB tendering, process security
to a value of 17,300,000 euros (previous year: 17,300,000 euros) was lodged at Raiffeisen Zentralbank Österreich AG and 149,407,205
euros (previous year: 89,900,000 euros) at OeNB. Furthermore, securities to a value of 1,170,900,000 euros (previous year: 1,010,900,000
euros) were used for the repo transaction via SIX SIS AG. A total of 20,000,000 euros (previous year: 20,000,000 euros) was lodged as
security for liabilities to banks and 10,500,000 euros (previous year: 10,500,000 euros) for the GSA/cash provision. Loans of 3,507,840 euros
(previous year: 3,957,000 euros) were granted to Österreichische Kontrollbank AG, of 129,493,373 euros (previous year: 156,152,000 euros)
to Europäische Investitionsbank and of 184,130,747 euros (previous year: 143,924,000 euros) to OeNB.
During the financial year, a sum of 725,073 euros (previous year: 2,217,000 euros) was not imputed on tax grounds, pursuant to section
208, paragraph 2, of the UGB. The anticipated future tax burden will be 181,268 euros (previous year: 554,000 euros).

44 Annual financial statements
Notes to the income statement
Costs of subordinated liabilities
During the year under review, payments for subordinated liabilities totalling 422,198 euros were made (previous year: 343,000 euros).
Other operating income
The other operating income posted in the income statement as item 7 breaks down into the following principle items:
Description of item 2011 Previous year
In euros In thousands of euros
Income from sundry banking activities within
the Raiffeisen Banking Group Tirol 2,978,001 2,960
Rental income 2,237,666 2,321
Refunding of personnel costs 1,216,207 1,582
Refund of expenses from Electronic Banking 1,647,157 1,412
Data centre income 1,223,927 1,317
Other details
Employee details
In 2011 (2010), an average of 436.6 (451.3) salaried staff and 17.6 (20.0) wage earners were employed.
Advances and loans to as well as contingent claims on members of the management board
and supervisory board
The advances and loans to as well as contingent claims on members of the management board and supervisory board break down as follows:
Body Amount as of 31.12.2011 Previous year
In euros In thousands of euros
Management board 24,111 2
Supervisory board 207,713 215
The loans to members of the management board and supervisory board were granted on normal industry terms and conditions. During
the present financial year 9,000 euros was repaid (previous year: 141,000 euros).
Redundancy payments and pension costs
The sums paid to management board members, senior executives and other employees in 2011 for redundancy payments and pensions
broke down as follows:
Group 2011 Previous year
In euros In thousands of euros
Management board and senior executives 1,640,726 1,814
Other employees 2,906,771 2,570

Annual financial statements
Costs of overall remuneration for the management board and supervisory board
The sums paid in 2011 to members of the management board and supervisory board break down as follows:
Body 2011 Previous year
In euros In thousands of euros
Management board 1,497,807 1,426
Supervisory board 199,800 200
Total remuneration paid to former directors and their surviving dependents amounted to 377,253 euros (previous year: 400,000 euros).
Members of the management board and supervisory board
During 2011, the following persons served as members of the management board and the supervisory board:
a) Management board SCHMID, Dr Hannes, chairman
MAYR, Reinhard, management board director
STERNBACH, Gobert, management board director
UNTERDORFER, Dr Hans, management board director (until 28 February 2011)
b) Supervisory board: GRABER, Josef, supervisory board chairman
BACHLER, Peter-Roman, supervisory board deputy chairman
GOMIG, Johannes, supervisory board deputy chairman
MANTL, Andreas, supervisory board member
BLASSNIG, Berthold, supervisory board member
MAYR, Meinhard, supervisory board member
REINSTADLER, Gallus, supervisory board member
CHODAKOWSKY, Josef, supervisory board member
MISSLINGER, Dr Michael, supervisory board member
LORENZ, Martin, supervisory board member
HOSP, Dr Anna, supervisory board member
THALER, Johann, supervisory board member
Deputed by the works council
ZORN, Dr Markus
ZINGERLE, Erika
BERGMANN, Doris
KUNZ, Wolfgang (from 13 April 2011)
STAFFLER, Rudolf
HOFER, Heinz
SAUTNER, Roman (until 13 April 2011)
c) State commissioners: MANHARD, Dr Michael, state councillor
UMLAUF, Andreas, senior civil servant
Details pursuant to section 237, number 12, of the UGB
The company is consolidated with Raiffeisenbanken Tirol Kast GmbH, Innsbruck (the top-level parent company) and belongs to the group
of fully consolidated companies. The consolidated financial statements of Raiffeisenbanken Tirol Kast GmbH are lodged at the company’s
registered office in Innsbruck.
45

46 Annual financial statements
Special depreciation asset valuation reserve
for 2011
Asset items
As of
01.01.2011 Addition Disposals
Reclassi-
fications
As of
31.12.2011
7. Investments 3,826,974 0 0 0 3,826,974
of which: in the bank 3,244,708 0 0 0 3,244,708
10. Property, plant and
equipment 3,438,905 0 179,032 0 3,259,873
of which:
Real estate and buildings
used
by the bank for its
business activities 1,274,550 0 113,120 0 1,161,430
Total 7,265,879 0 179,032 0 7,086,847
2011 statement of fixed asset movements
Asset item
Cost of
acquisition
or manufacture
01.01 Additions Disposals
Reclassi-
fications
2. a) Public sector debt securities and
similar securities 887,321,887 225,052,328 114,837,592 0
4. Receivables from customers 0 1,000,000 737,870 0
5. Debt securities and
other fixed-interest securities
a) Public sector issuers 0 0 0 0
b) Other issuers 515,722,290 211,112,791 168,028,026 0
of which: company debt securities 0 0 0 0
6. Equities and other variable interest
securities 66,888,497 0 15,821,067 0
7. Investments 194,810,202 3,957,650 2,047,942 0
of which: in the bank 179,801,928 3,501,605 0 0
8. Holdings in affiliated enterprises 22,359,653 1,540,410 1,475,000 0
of which: in the bank
9. Intangible fixed assets 17,419,197 0 0 0
10. Property, plant and equipment 121,038,939 1,208,158 6,973,381 0
of which:
real estate and buildings used by the
bank for its business activities 42,971,385 75,420 91,038 0
Total 1,825,560,665 443,871,337 309,920,877 0

Annual financial statements
Cost of
acquisition
or manufacture
31.12 Revaluation
Cumulative
depreciation
Book value
31.12
Book value
01.01
47
Depreciation in
the accounting
year
997,536,623 0 903,491 996,574,051 886,785,992 59,080
262,130 0 0 65,532 0 196,598
0 0 0 0 0 0
558,807,055 0 696,009 558,083,546 514,602,982 27,500
0 0 0 0 0 0
51,067,431 0 2,286,305 48,781,126 64,154,040 0
196,719,910 0 8,182,287 188,537,624 186,555,945 440,030
183,303,533 0 0 183,303,533 179,801,928 0
22,425,063 0 0 22,425,063 22,359,653 1,475,000
17,419,197 0 17,419,197 0 0 0
115,273,716 0 69,549,114 45,724,602 47,744,455 3,049,622
42,955,767 0 21,523,815 21,431,952 22,402,683 1,008,786
1,959,511,125 0 99,036,403 1,860,191,545 1,722,203,067 5,247,830

48 Annual financial statements
Audit certificate
Report on the annual financial statements
I have audited the enclosed annual financial Statements and
accounts of Raiffeisen-Landesbank Tirol AG, Innsbruck, for the
financial year from 1 January to 31 December 2011. The annual
financial statements comprise the balance sheet to 31 December
2011, the income statement for the financial year ending on 31
December 2011 and the notes.
Legal representatives’ responsibility for the
annual financial statements and the accounting
The company’s legal representatives are responsible for the
accounting and for the preparation and content of the annual
financial statements, which must convey as accurate a picture as
possible of the company’s assets, financial position and earnings
in conformity with the provisions of Austrian company and bank
supervisory law. This responsibility includes the design, implementation
and maintenance of an internal audit system in so far as this
is important for the preparation of the annual financial statements
and for conveying as accurate a picture as possible of the company’s
assets, financial position and earnings, to ensure that these
are free of material misstatements resulting either from intentional
or unintentional errors, and also the selection and application of
suitable accounting methods and the making of estimates which
appear reasonable in light of the prevailing circumstances.
The auditor’s responsibilities and description
of the nature and scope of the statutory audit
of financial statements
My responsibility is to deliver a judgement of these annual financial
statements on the basis of my audit.
I conducted my audit in compliance with the statutory provisions
and generally accepted principles of correct auditing prevailing in
Austria. These principles require me to conform to the code of
conduct and to plan and execute the audit in such a way that I can
arrive with reasonable certainty at a judgement as to whether the
annual financial statements are free from material misstatements.
An audit includes the performance of auditing procedures in order
to obtain evidence concerning the amounts and other statements
contained in the annual financial statements. The choice of auditing
procedures is a matter for the auditor’s due professional discretion,
taking into account their assessment of the risk of material
misstatements resulting from intentional or unintentional errors.
In making this risk assessment, the auditor must take into account
the internal audit system, in so far as this is important for the preparation
of the annual financial statements and for conveying of as
accurate a picture as possible of the company’s assets, financial
position and earnings, in order to decide upon suitable audit pro-
cedures given the prevailing circumstances, though not with a view
to delivering a judgement as to the efficacy of the company’s internal
audit system. The audit also includes a judgement of the suitability
of the accounting methods and the principal estimates made
by the company’s legal representatives and an appraisal of the
overall view conveyed by the annual financial statements.
I believe that I have gained sufficient and suitable audit evidence
for my audit to provide a reasonable basis for my audit opinion.
Audit opinion
My audit has not led to any objections. On the basis of my audit
findings, my judgement is that the annual financial statements
comply with the statutory provisions and convey as accurate a
picture as possible of the company’s assets and financial position
as of 31 December 2011, and of the company’s earnings during
the financial year from 1 January to 31 December 2011 in conformity
with Austrian generally accepted accounting principles.
Statements concerning the management
report
I am required by law to audit the management report for its conformity
with the annual financial statements and to ensure that the
other statements made in the management report do not convey
a false impression of the company’s situation. The audit certificate
must also contain a statement as to whether the management
report is in conformity with the annual financial statements and
whether the statements it makes pursuant to section 243a of the
UGB are accurate.
In my opinion, the management report is in conformity with the
annual financial statements. The statements made pursuant to section
243a of the UGB are accurate.
Vienna, 20 February 2012
Auditor appointed by the Österreichischen Raiffeisenverband
Robert Eiweck
Senior auditor
The publication or dissemination of the annual financial statements
together with my audit certificate is only permitted in the version
approved by me. Any contrary versions (e.g. abridged versions or
translations into another language) are subject to the provisions of
section 281, paragraph 2, of the UGB.

Annual financial statements
Management board’s proposed profit appropriation
pursuant to section 96 of the Austrian
Stock Corporations Act (Aktiengesetz – AktG)
The net income for the 2011 financial year came to 8,500,795.67 euros. The management board proposes distributing a 2011 dividend of
100 euros per share of the eligible share capital of 84,950 shares, and carrying forward the remainder of the profit to new account.
Dr Hannes Schmid Reinhard Mayr Gobert Sternbach
Management board chairman Management board director management board director
Supervisory board report
At its various meetings, the supervisory board performed the duties required of it by law and the articles of association and was regularly
informed by the management board of all significant occurrences and developments in relation to the bank during the 2011 financial year.
The annual financial statements have been assessed by the supervisory board and checked for their conformity with the duly maintained
ledgers and accounting documents. The management report presented by the management board is in conformity with the annual financial
statements. Our checks did not give any grounds to raise objections.
The supervisory board hereby concurs with the management board’s profit appropriation proposal.
Josef Graber, director
Chairman of the supervisory board
49

50 Bank branches
RLB branches and offices
Headquarters
Raiffeisen-Landesbank Tirol AG
6021 Innsbruck, Adamgasse 1–7, Postfach 543
Tel.: +43 (0)512 530 50
Fax: +43 (0)512 5305 12011
SWIFT code: RZTI AT 22
Email: rlb.adamgasse@rlb-tirol.at
Internet: www.rlb-tirol.at
Innsbruck Ost region
Aldrans branch
Dorf 34
6071 Aldrans
Patsch self-service outlet
Dorfstrasse 22
6082 Patsch
Innsbruck Mitte region
Adamgasse branch
Adamgasse 1–7
6020 Innsbruck
Innsbruck West region
Höttinger Au branch
Höttinger Au 41
6020 Innsbruck
Imst region
Imst branch
Stadtplatz 9–10
6460 Imst
Lienz region
Lienz branch
Johannesplatz 4
9900 Lienz
Amras branch
Philippine-Welser-Strasse 51
6020 Innsbruck
Ellbögen self-service outlet
St Peter 31
6082 Ellbögen
Wilten branch
Andreas-Hofer-Strasse 2–4
6020 Innsbruck
Hötting branch
Höttinger Gasse 32
6020 Innsbruck
Nassereith branch
Karl-Mayr-Str. 116a
6465 Nassereith
Tristach branch
Lavanter Strasse 6
9907 Tristach
Igls branch
Hilberstrasse 24
6080 Igls
die junge RLB
Südtiroler Platz 8
6020 Innsbruck
Marktplatz branch
Innrain 6–8
6020 Innsbruck
Tarrenz branch
Trujegasse 1
6464 Tarrenz
Ainet self-service outlet
Nr. 90
9951 Ainet
Pradl branch
Amraser Strasse 76
6020 Innsbruck
Rathaus self-service outlet
Maria-Theresien-Strasse 18
6020 Innsbruck
Universelle RLB
Universitätsstrasse 15a
6020 Innsbruck
Oberlienz self-service outlet
Nr. 31
9900 Oberlienz
Zirl region Field office Sub-branch
Zirl branch
Bühelstrasse 1
6170 Zirl
Ärzte und Freie Berufe
Bürgerstrasse 2
6020 Innsbruck
Jungholz
Nr. 20
6691 Jungholz

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Site notice
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Raiffeisen-Landesbank Tirol AG
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All rights reserved
51

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