UBI Banca Group

SECTION 14 Tax assets and tax liabilities – Asset item 140 and Liability
item 80
14.1 Deferred tax assets: composition
31/12/2011 31/12/2010
Balancing entry in the income statement 1,831,151 885,951
Balancing entry in equity 527,437 187,103
Total 2,358,588 1,073,054
for the following reasons:
- impairment loss on loans to banks and customers and unsecured guarantees not deducted 516,236 443,311
- losses 2,165 -
- post-employment benefits 7,285 8,841
- maintenance expenses 1,924 1,972
- application of IFRS (amortised cost in particular) 85,110 84,468
- advance depreciation and amortisation 8,705 8,045
- property, equipment and investment property 33,584 36,127
- personnel expense 19,591 16,353
- entertainment expenses 11 134
- provisions for risks and charges not deducted 63,535 56,251
- sales price adjustments, long term costs and non-recurring transactions 5,291 2,305
- intangible assets and goodwill 1,085,288 227,549
- fair value change in securities and equity investments 514,943 167,299
- impairment losses on properties 149 962
- purchase price allocation of bonds 10 194
- revaluation of hedged subordinated liabilities - 46
- non-recurring expenses not deducted 1,011 629
- cash flow hedges 1,617 295
- other 12,133 18,273
14.2 Deferred tax liabilities: composition
31/12/2011 31/12/2010
Balancing entry in the income statement 145,418 188,200
Balancing entry in equity 173,244 363,756
Total 318,662 551,956
O|1 - NOTA
14.3 Changes in deferred tax assets (balancing entry in the income statement)
31/12/2011 31/12/2010
1. Opening balance 885,951 802,142
2. Increases 1,091,400 196,861
2.1 Deferred tax assets arising during the year 1,058,319 182,823
a) relating to previous years 6,950 5,633
b) due to changes in accounting policies - -
c) reversals of impairment losses 6 -
d) other 1,051,363 177,190
2.2 New taxes or increases in tax rates 10,081 -
2.3 Other increases 23,000 14,038
3. Decreases (146,200) (113,052)
3.1 Deferred tax assets derecognised during the year (132,905) (110,369)
a) reversals of temporary differences (107,248) (110,009)
b) impairment losses on non-recoverable items (25,657) (360)
c) due to changes in accounting policies - -
d) other - -
3.2 Reductions in tax rates - -
3.3 Other decreases (13,295) (2,683)
Final amount 1,831,151 885,951
Deferred tax assets are recognised on the basis of the probability of there being sufficient
future taxable income and also taking into account the consolidated tax regime adopted in
accordance with articles 117 et seq of Presidential Decree No. 917/86.
311