xmlns:atom="http://www.w3.org/2005/Atom" xmlns:atom="http://www.w3.org/2005/Atom" [ANNEX V U.K. REPORTING ON FINANCIAL INFORMATION
PART 2 U.K. TEMPLATE RELATED INSTRUCTIONS
31. LOANS AND ADVANCES: ADDITIONAL INFORMATION (23) U.K.
319. Template 23 presents additional information on loans and advances, excluding loans and advances classified as held for trading, trading financial assets and debt instruments held for sale. U.K.
320. For the purposes of determining the ‘ number of instruments ’ , an instrument shall be understood as a banking product with an outstanding balance and, where applicable, a credit limit, typically being associated with an account. An exposure towards a specific counterparty can consist of multiple instruments. The number of instruments shall be determined based on the way the institution manages the exposure. The number of instruments shall be indicated separately for exposures in pre-litigation status and exposures in litigation status as defined in paragraphs 321 and 322 of this Part. U.K.
321. An exposure shall be ‘ in pre-litigation status ’ where the debtor has been formally notified that the institution will take legal action against the debtor within a defined time period, unless certain contractual or other payment obligations are met. That shall also include cases where the contract has been terminated by the reporting institution because the debtor is in formal breach of the terms and conditions of the contract and the debtor has been notified accordingly, but no legal action against the debtor has formally been taken by the institution yet. Exposures classified as ‘ in pre-litigation status ’ can exit this classification if the outstanding amounts are paid or if they enter into litigation status as defined in the following paragraph. U.K.
322. An exposure shall be ‘ in litigation status ’ where legal action against the debtor has formally been taken. This comprises cases where a court of law confirmed that formal judiciary proceedings have occurred or the judiciary system has been notified of the intention to commence legal proceedings. U.K.
323. ‘ Unsecured loans and advances without guarantees ’ refers to exposures for which neither collateral was pledged nor financial guarantees were received; the unsecured part of a partially secured or partially guaranteed exposure shall not be included. U.K.
324. Loans and advances with an accumulated coverage ratio of more than 90 % shall be reported separately. For that purpose, the ‘ accumulated coverage ratio ’ shall be the ratio between the accumulated impairments, respectively the accumulated negative changes in fair value due to credit risk related to a loan or advance as numerator, and the gross carrying amount of that loan or advance as denominator. U.K.
325. Loans collateralised by immovable property as defined in paragraphs 86(a) and 87 of this Part as well as commercial real estate loans as defined in paragraph 239ix of this Part shall be reported broken down by loan/collateral ratio ( ‘ loan-to-value ’ (LTV) ratio) as defined in paragraph 239x of this Part. U.K.
326. Information on collateral held and guarantees received on the loans and advances shall be reported in accordance with paragraph 239 of this Part. Consequently, the sum of the amounts reported for both collateral and guarantees shall be capped at the carrying amount of the related exposure. Immovable property pledged as collateral shall be reported separately in addition. U.K.
327. By way of derogation from the previous paragraph, ‘ collateral received on loans and advances – uncapped amounts ’ shall reflect the full value of the collateral received without a cap at the carrying amount of the related exposure.] U.K.