Shareholders' equity

The net consolidated shareholders' equity pertaining to the Parent bank and the net consolidated profit are obtained from the net shareholders' equity and profit for the year of Banca Carige through the following changes:

RECONCILIATION STATEMENT OF BANCA CARIGE SHAREHOLDERS' EQUITY AND INCOME AND CONSOLIDATED FIGURES

⁽¹⁾ figures in thousands of €

As regards solvency ratios, the Group confirms its compliance with the expected thresholds for all risk indicators of Banca d'Italia (Bank of Italy) currently in force and calculated on the basis of Instructions for the compilation of reports on the regulatory capitalⁱ and prudential coefficients (Bank of Italy's circular no. 155 of 18 December 1991), as well as compliance with new prudential supervisory instructions for banks (Bank of Italy circular no. 263 of 27 December 2006). Regulatory capitalⁱ, including the Tier 3 subordinated loan, is estimated at € 2,016.5 million.

BREAKDOWN OF CONSOLIDATED REGULATORY CAPITALⁱ

⁽¹⁾The figure relative to the Tier 3 subordinated loan calculable in the regulatory capitalⁱ depends on the amount of the market risks. Since the consolidated capital requirements are officially reported after the publication of the financial statements, also the valuation of the subordinated loan calculable in the regulatory capitalⁱ results from management estimates.
⁽²⁾ From 1/1/2007 the equity investments are deducted pursuant to the provisions of the new Regulatory Instructions (Circular no. 263 dated 27/12/2006).
⁽³⁾ The figures issued regarding the regulatory capitalⁱ as at 30/9/08 result from accounting and management estimates, as the official consolidated figures (Information form "1") are provided only on half-yearly basis (June and December).
⁽⁴⁾ The data as at 31/12/2006 and as at 31/12/2007 are official and reported to the Bank of Italy. They differ from the management data shown in the 2006 and 2007 financial statements respectively.
⁽⁵⁾ It should be mentioned that the new disclosure schemes related to the regulatory capitalⁱ come into effect starting from 31/12/2007. The figure relating to the Tier 3 capital as at 31/12/2006 is therefore reported only for information purposes and does not take into account the disclosure schemes which were in force in that period.

Balance sheet figures as at 31 December 2008 take account of the increase in share capital under payment, carried out in the first half of the year, which fully financed the acquisition of branches from Intesa Sanpaolo, and additional capital strengthening, achieved through the issue of subordinated loansⁱ (Tier 3 totalling € 100 million, calculated within  equired limits, Lower Tier 2 for € 100 million, Upper Tier 2 for € 150 million and Tier 1 for € 160 million), as well as through the generation of new non-distributed profits. The equity requirement to cover credit riskⁱ is affected by the growth in assets which also incorporates the acquisition of Intesa San Paolo and UniCredit branches. The trend in operating risk follows the development of the banking group's gross operating income observed in the last three year period.

The Group thus shows Total Capital Ratio (10.57%) and Tier 1 Ratio (7.92%) indicators considerably higher than the supervisory limits, and an excess capital of € 490.6 million, and it also expects to maintain capitalisation levels adequately above the supervisory limits in the next financial year.

CONSOLIDATED REGULATORY CAPITALⁱ AND SOLVENCY RATIOS

⁽¹⁾ The data relating to the capital requirements, officially reported after the publication of the financial statements, result from management estimates.
⁽²⁾ From 1/1/2007 the equity investments are deducted pursuant to the provisions of the new Regulatory Instructions (Circular no. 263 dated 27/12/2006).
⁽³⁾ The figures issued regarding the regulatory capitalⁱ as at 30/09/08 result from accounting and management estimates, as the official consolidated figures (Information form "1") are provided only on half-yearly basis (June and December).  
⁽⁴⁾ The data as at 31/12/2006 and as at 31/12/2007 are official and reported to the Bank of Italy. They differ from the management data shown in the 2006 and 2007 financial statements respectively.
⁽⁵⁾ It should be mentioned that the new disclosure schemes related to the regulatory capitalⁱ come into effect starting from 31/12/2007. The figure relating to the Tier 3 capital as at 31/12/2006 is therefore reported only for information purposes and does not take into account the disclosure schemes which were in force in that period.