Question ID
2014_1398
Legal act
Regulation (EU) No 575/2013 (CRR)
Topic
Supervisory reporting - COREP (incl. IP Losses)
Article
99
COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
Regulation (EU) No 680/2014 - ITS on supervisory reporting of institutions (repealed)
Article/Paragraph
Annex II, C 06.01 / C 06.02, c390
Name of institution / submitter
BearingPoint Software Solutions GmbH
Country of incorporation / residence
Germany
Type of submitter
Consultancy firm
Subject matter
Group Solvency report: The content of the column 390 “Contributions to consolidated result” of the Group Solvency report
Question

Does the content of column 390 “Contributions to consolidated result” of the Group Solvency report correspond with the row 130 “Retained earnings” of the CA1 report (C 01.00) on group level (subgroup level) or rather with the sum of the rows 280 “Cumulative gains and losses due to changes in own credit risk on fair valued liabilities” and 285 “Fair value gains and losses arising from the institution's own credit risk related to derivative liabilities” of the CA1 report on group level (subgroup level)?

Expressed as formulas: {GS;c390} = {CA1;r130} or {GS;c390} = {CA1;r130} + {CA1;r280} + {CA1;r285}? (Regulation (EU) No 680/2014 [ITS on Reporting], Annex II, C 06.00, c390)

Background on the question

Column 390 of the Group Solvency report (C 06.01 and C 06.02) asks for an entity’s contribution to the consolidated result. Therefore, in our opinion, the content of column 390 “Contributions to consolidated result” corresponds with row 130 “Retained earnings” of the CA1 report on group level (subgroup level). Row 130 “Retained earnings” in turn consists of the rows 140 “Previous years retained earnings”, 150 “Profit or loss eligible”, 160 “Profit or loss attributable to owners of the parent” and 170 “Part of interim or year-end profit not eligible” ({CA1, r130} = {CA1, r140} + {CA1, r150} + {CA1, r160} + {CA1, r170}).

However, also the rows 280 “Cumulative gains and losses due to changes in own credit risk on fair valued liabilities” and 285 “Fair value gains and losses arising from the institution's own credit risk related to derivative liabilities” of the CA1 report on group level (subgroup level) contribute to the consolidated result of an entity.

Submission date
Final publishing date
Final answer

In column 390 “Contributions to consolidated result” of template C 06.01 / C 06.02 of Annex I of Regulation (EU) No 680/2014 (ITS on Supervisory Reporting), the single contribution (profit or loss) of each entity included in the scope of the prudential consolidation to the consolidated result in form of “profits or losses attributable to the owners of the parent” (as defined for the purposes of row 160 of C 01.00 of Annex I to the ITS on Supervisory Reporting) and minority interests should be reported. Previous years’ retained earnings as well as adjustments due to the application of the prudential filters shall not be included.

Due to the threshold defined in paragraph 36 of Annex II of the ITS on Supervisory Reporting, a direct comparison with the amounts reported in template C 01.00 of Annex I to the ITS on Supervisory Reporting is not possible.

Status
Final Q&A
Answer prepared by
Answer prepared by the EBA.

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