Notes to the consolidated financial statements
41. Off-balance sheet contingent liabilities
Off-balance seet contingent liabilities granted by type |
Balance as at | Balance as at |
---|---|---|
31 December 2015 | 31 December 2014 | |
PLN’000 | PLN’000 | |
Financial | 171 306 | 125 543 |
- unused credit lines | 159 527 | 111 666 |
- credit card limits | 11 779 | 13 877 |
Guarantees | 45 844 | 49 959 |
- guarantees granted | 45 844 | 49 959 |
Total | 217 150 | 175 502 |
Off-balance seet contingent liabilities granted by maturity |
Balance as at | Balance as at |
31 December 2015 | 31 December 2014 | |
PLN’000 | PLN’000 | |
Financial | 171 306 | 125 543 |
Undetermined maturity | 111 788 | 79 479 |
Up to 1 month | 4 620 | 3 017 |
From 1 to 3 months | 8 171 | 7 964 |
From 3 months to 1 year | 42 829 | 21 034 |
From 1 year to 5 years | 3 898 | 14 049 |
Guarantees | 45 844 | 49 959 |
Up to 1 month | 0 | 1 087 |
From 1 to 3 months | 0 | 98 |
From 3 months to 1 year | 1 297 | 3 564 |
From 1 year to 5 years | 44 547 | 45 210 |
Total | 217 150 | 175 502 |
The majority of contingent liabilities are credit lines. Guarantees granted and financial commitments are treated as an exposure bearing credit risk. Assessment of risk resulting from guarantees and financial commitments is a part of the credit risk assessment process related to other credit products held by customers, i.e. all credit products, including guarantees, granted to specified customers are reviewed both for indications of impairment and assessment of impairment losses.
Gross off-balance sheet exposures (credit lines, guarantees) to five key customers in a given year as at 31 December 2015 and 31 December 2014 have been presented below:
Debtor | Balance as at |
---|---|
31 December 2015 | |
PLN’000 | |
Custormer 1 | 85 000 |
Custormer 2 | 8 501 |
Custormer 3 | 8 168 |
Custormer 4 | 1 054 |
Custormer 5 | 1 000 |
Total selected customers | 103 723 |
Debtor | Balance as at |
---|---|
31 December 2014 | |
PLN’000 | |
Custormer 1 | 48 800 |
Custormer 2 | 12 923 |
Custormer 3 | 10 832 |
Custormer 4 | 4 643 |
Custormer 5 | 1 611 |
Total selected customers | 78 809 |
As at 31 December 2015 the provision for guarantees and financial commitments amounted to PLN 406 thousand (as at 31 December 2014 it was PLN 631 thousand). Provisions for off-balance sheet liabilities are recognized in balance sheet accounts and presented in Note 34 as “Provisions for off-balance sheet liabilities”.
Off-balance sheet contingent liabilities received
Off-balance seet contingent liabilities received by type |
Balance as at | Balance as at |
---|---|---|
31 December 2015 | 31 December 2014 | |
PLN’000 | PLN’000 | |
Guarantees | 1 264 | 1 235 |
- guarantees received | 1 264 | 1 235 |
Total | 1 264 | 1 235 |
Off-balance seet contingent liabilities received by maturity |
Balance as at | Balance as at |
---|---|---|
31 December 2015 | 31 December 2014 | |
PLN’000 | PLN’000 | |
Guarantees | 1 264 | 1 235 |
Up to 1 month | 0 | 60 |
From 1 to 3 months | 0 | 234 |
From 3 months to 1 year | 941 | 941 |
From 1 year to 5 years | 323 | 0 |
Total | 1 264 | 1 235 |
The key item of contingent liabilities received is a guarantee received securing the Group's liabilities under office space lease agreement.
Litigation
In 2015, the Group was not a party to any proceedings held before a court or public administration body, whose value would be equal to or higher than 10% percent of the Group’s equity. Any risks related to court or public administration proceedings have been adequately provisioned for.
The total value of claims related to litigation in which the Group is a defendant, where the probability of losing is estimated by the Group below 50%, was PLN 466 thousand and PLN 323 thousand as at 31 December 2015 and 31 December 2014, respectively.