BANCO BILBAO VIZCAYA ARGENTARIA, S.A. AND ... - BBVA

Wholesale Banking and Asset Management (WB&AM)
Millions of Euros
Wholesale Banking and Asset Management (WB&AM)
June June
2010 2009
% Change
NET INTEREST INCOME 419 496 (15.6)
Net fees and commissions 258 235 9.7
Net gains (losses) on financial assets and liabilities and net
exchange differences 37 36 4.6
Other operating income and expenses 220 137 60.1
GROSS INCOME 934 904 3.3
Operating expenses (244) (234) 4.0
Personnel, general and administrative expenses (240) (229) 4.5
Depreciation and amortization (4) (5) (17.3)
OPERATING INCOME 690 670 3.0
Impairment losses on financial assets (net) (11) (13) (13.0)
Provisions (net) 2 - n.s.
Other gains (losses) - - -
INCOME BEFORE TAX 681 657 3.7
Income tax (149) (177) (15.9)
NET INCOME 532 480 10.9
Net income attributed to non-controlling interests - (2) (78.7)
NET INCOME ATTRIBUTED TO PARENT COMPANY 532 477 11.4
Millions of Euros
Wholesale Banking and Asset Management (WB&AM)
June December
2010 2009
% Change
Loans and advances to customers (gross) 32,502 31,058 4.6
Customer deposits (1) 31,928 32,788 (2.6)
Deposits 25,115 25,220 (0.4)
Funds received under financial asset transfers 6,813 7,568 (10.0)
Off-balance-sheet funds 10,777 11,139 (3.2)
Mutual funds 3,682 3,914 (5.9)
Pension funds 7,095 7,224 (1.8)
Other placements - - -
Customer portfolios under management - - -
Total Assets 137,454 106,563 29.0
NPL Ratio 1.4% 5.1%
NPL Coverage Ratio 60.4% 47.7%
(1) Include collection accounts
The changes in the principal headings of the income statement in this business area were:
• “Net interest income” and “Net income from financial operations and net exchange differences”
should be examined together for the purposes of management due to offsets between the two in given
market transactions. The aggregate balance of these two items for the six months ended June 30, 2010
was €456 million, a 14.2% decrease from the €532 million recorded for the six months ended June 30,
2009. This fall is mainly due to an environment of high market volatility, which has led to worse trading
income as credit spreads narrowed in the south of Europe, despite the good performance of commercial
activity with customers in Global Markets.
• The balance of “Net fees and commissions” for the six months ended June 30, 2010 was €258 million,
an increase of 9.7% over the €235 million recorded for the six months ended June 30, 2009, mainly
because activity in the area has been focused on customers with a high business potential.
• The balance of “Other operating income and expenses” for the six months ended June 30, 2010 was
€220 million, an increase of 60.1% on the €137 million for the six months ended June 30, 2009, mainly
due to the earnings from banks accounted for using the equity method (the increased holding in China
National Citic Bank (CNCB)).
As a result, the balance of “Gross income” for the six months ended June 30, 2010 was €934 million, an
increase of 3.3% over the €904 million recorded for the six months ended June 30, 2009 .
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