We measure our exposure to default and transfer risk using expected loss and economic capital calculations. We base our expected loss and economic capital calculations on that part of our total credit exposure that we feel is exposed to default and transfer risk. We exclude exposures that we treat as subject to risks other than default and transfer risk (e.g., exposure for which we assign economic capital under market risk policies).
The following table shows our default and transfer risk exposure, and expected loss and economic capital, by Group Division, as we calculate it for expected loss and economic capital purposes.
| December 31, 2003 | Corporate and | Private Clients | Other1 | Total |
| Investment Bank | and Asset | Group | ||
| in € m. | Management | |||
| Loans | 74,197 | 71,182 | 2,848 | 148,227 |
| OTC derivatives | 60,376 | 95 | – | 60,471 |
| Contingent liabilities | 22,226 | 3,841 | 470 | 26,537 |
| Irrevocable loan commitments | 82,671 | 5,943 | 270 | 88,884 |
| Repurchase and reverse repurchase agreements and securities lending and borrowing | 8,981 | 1 | – | 8,982 |
| Interest-earning deposits with banks | 14,475 | 137 | 38 | 14,650 |
| Total credit exposure2 | 262,926 | 81,199 | 3,626 | 347,751 |
| Expected loss2 | 574 | 264 | 4 | 842 |
| Economic capital usage for default and transfer risk2 | 5,600 | 1,146 | 37 | 6,783 |
| 1 | Primarily relates to the Corporate Investments Group Division. |
| 2 | Excludes tradable assets. |