BANCO BILBAO VIZCAYA ARGENTARIA, S.A. AND ... - BBVA
BANCO BILBAO VIZCAYA ARGENTARIA, S.A. AND ... - BBVA
BANCO BILBAO VIZCAYA ARGENTARIA, S.A. AND ... - BBVA
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Diluted earnings per share<br />
Early retirements<br />
Economic capital<br />
Effective interest rate<br />
Equity<br />
Equity instruments<br />
Equity method<br />
This calculation is similar to that used to measure basic earnings per share, except that<br />
the weighted average number of shares outstanding is adjusted to reflect the potential<br />
dilutive effect of any stock options, warrants and convertible debt instruments<br />
outstanding the year. For the purpose of calculating diluted earnings per share, an<br />
entity shall assume the exercise of dilutive warrants of the entity. The assumed<br />
proceeds from these instruments shall be regarded as having been received from the<br />
issue of ordinary shares at the average market price of ordinary shares during the<br />
period. The difference between the number of ordinary shares issued and the number<br />
of ordinary shares that would have been issued at the average market price of ordinary<br />
shares during the period shall be treated as an issue of ordinary shares for no<br />
consideration. Such shares are dilutive and are added to the number of ordinary shares<br />
outstanding in the calculation of diluted earnings per share.<br />
Employees that no longer render their services to the entity but which, without being<br />
legally retired, remain entitled to make economic claims on the entity until they formally<br />
retire.<br />
Eligible capital for regulatory capital adequacy calculations.<br />
Discount rate that exactly equals the value of a financial instrument with the cash flows<br />
estimated over the expected life of the instrument based on its contractual period as<br />
well as its anticipated amortization, but without taking the future losses of credit risk into<br />
consideration.<br />
The residual interest in an entity's assets after deducting its liabilities. It includes owner<br />
or venturer contributions to the entity, at incorporation and subsequently, unless they<br />
meet the definition of liabilities, and accumulated net profits or losses, fair value<br />
adjustments affecting equity and, if warranted, minority interests.<br />
An equity instrument is any contract that evidences a residual interest in the assets of<br />
an entity after deducting all of its liabilities.<br />
The equity method is a method of accounting whereby the investment is initially<br />
recognized at cost and adjusted thereafter for the post-acquisition change in the<br />
Group's share of net assets of the investee, adjusted for dividends received and other<br />
equity eliminations.<br />
Gains and losses generated by currency trading and the differences arising on<br />
Exchange/translation differences<br />
translating monetary items denominated in foreign currency to the functional currency,<br />
exchange differences on foreign currency non-monetary assets accumulated in equity<br />
and taken to profit or loss when the assets are sold and gains and losses realized on<br />
the disposal of assets at entities with a functional currency other than the euro.<br />
The amount for which an asset could be exchanged, or a liability settled, between<br />
Fair value<br />
knowledgeable, willing parties in an arm's length transaction.<br />
Derivatives that hedge the exposure of the fair value of assets and liabilities to<br />
Fair value hedges<br />
movements in interest rates and/or exchange rates designated as a hedged risk.<br />
Fees<br />
See Commissions, fees and similar items<br />
A financial guarantee contract is a contract that requires the issuer to make specified<br />
payments to reimburse the holder for a loss it incurs because a specified debtor fails to<br />
make payment when due in accordance with the original or modified terms of a debt<br />
Financial guarantees<br />
instrument, irrespective of its instrumentation. These guarantees may take the form of<br />
deposits, technical or financial guarantees, irrevocable letters of credit issued or<br />
confirmed by the entity, insurance contracts or credit derivatives in which the entity sells<br />
credit protection, among others.<br />
Financial liabilities that do not meet the definition of financial liabilities designated at fair<br />
Financial liabilities at amortized cost<br />
value through profit or loss and arise from the financial entities' ordinary activities to<br />
capture funds, regardless of their instrumentation or maturity.<br />
• In preparing consolidated financial statements, an entity combines the balance<br />
sheets of the parent and its subsidiaries line by line by adding together like items of<br />
assets, liabilities and equity. Intragroup balances and transactions, including amounts<br />
payable and receivable, are eliminated in full.<br />
• Group entity income statement income and expense headings are similarly<br />
Full consolidation<br />
combined line by line into the consolidated income statement, having made the<br />
following consolidation eliminations: a) income and expenses in respect of intragroup<br />
transactions are eliminated in full. b) profits and losses resulting from intragroup<br />
transactions are similarly eliminated.<br />
• The carrying amount of the parent's investment and the parent's share of equity in<br />
each subsidiary are eliminated.<br />
This heading reflects fair value changes in financial instruments - except for changes<br />
attributable to accrued interest upon application of the interest rate method and asset<br />
impairment losses (net) recognized in the income statement - as well as gains or losses<br />
Gains or losses on financial assets and liabilities, net<br />
generated by their sale - except for gains or losses generated by the disposal of<br />
investments in subsidiaries, jointly controlled entities and associates an of securities<br />
classified as held to maturity.<br />
Goodwill acquired in a business combination represents a payment made by the<br />
Goodwill<br />
acquirer in anticipation of future economic benefits from assets that are not able to be<br />
individually identified and separately recognized.<br />
Hedges of net investments in foreign operations Foreign currency hedge of a net investment in a foreign operation .<br />
Held-to-maturity investments<br />
Held-to-maturity investments are financial assets with fixed or determinable payments<br />
and fixed maturity that an entity has the positive intention and ability to hold to maturity.<br />
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