Prospectus - Notowania

BA whilst they will subsequently be applied by other UniCredit Group companies in
line with a gradual extension plan communicated to the supervisory authorities.
UniCredit’s CRO function performs the control of portfolio credit risk, producing the
relative reports at Group level, both recurring and specific, with the objective of
analysing the main components of said risk and following their development over
time, in order to be able to quickly detect any symptoms of deterioration and,
therefore, put in place the appropriate corrective initiatives.
Portfolio reporting activities at "Group-Wide” level are carried out in close
collaboration with the Transactional Risk Managers and the Credit & Cross-Border
Risk Portfolio Manager that, within their respective perimeters, implement their
specific reporting activities.
In addition, Credit & Cross-Border Risk Portfolio Management is responsible for
carrying out monitoring and providing independent evaluations of customers and
individual transactions that present a high level of credit risk.
The fundamental goal of the reporting and monitoring activities performed by the
CRO is to analyse the main drivers and parameters of credit risk (exposure at default
(“EAD”), expected loss (“EL”), migration, cost of risk etc.) in order to promptly
adopt any counter-measures on portfolios subject to said risk.
In the first half of 2009, reporting activities developed considerably thanks to the
gradual improvement in the quality of data and processes through which the various
reports are drawn up (“ERM Risk Report”, “CRO Flash Report”, “Quarterly Risk
Report”, etc.). In support of the production of the aforementioned reports, the Group
Risk Reporting unit at central level also uses the “Credit Tableau de Boards”, a
quarterly instrument which contains detailed information on the trends in the risks of
the Strategic Business Area.
6.11.2. Market and liquidity risk
In August 2009, the Managing Director approved the reorganisation of the Group
Market Risks Department, with the objective of bringing together all the strategic
functions, charged with definition of the limits on Market, Liquidity and Balance
Sheet risks, under one management, thus creating the new Market & Balance Sheet
Risk Portfolio Manager. At the same time, the reorganisation provided for the
establishing of the Treasury Risk Officer, an entity responsible for checking that the
operations effected by the Group correspond to the strategies and limits set by the
Market & Balance Sheet Risk Portfolio Manager.
In particular, the following tasks were carried out:
• concentration of responsibilities for the measurement, evaluation, monitoring and
control within the new “Group Market Risks” department, responsible for the
monitoring of banking and trading book risks at UniCredit Group level, and
ensuring the consistency of policies, methodologies and practices, relative to
market risks, between the strategic business areas and the UniCredit Group
companies;
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