Consolidation & Adjustments (C&A)


 

Three months ended

 

 

Nine months ended

 

 

in € m.
(unless stated otherwise)

Sep 30, 2013

Sep 30, 2012

Absolute Change

Change
in %

Sep 30, 2013

Sep 30, 2012

Absolute Change

Change
in %

N/M – Not meaningful

Net revenues

(168)

(410)

242

(59)

(595)

(846)

251

(30)

Provision for credit losses

0

1

(1)

N/M

0

1

(1)

N/M

Noninterest expenses

(6)

(111)

105

(95)

37

(1)

38

N/M

Noncontrolling interests

(10)

(6)

(4)

60

(20)

(48)

28

(58)

Income (loss) before income taxes

(152)

(293)

141

(48)

(612)

(798)

186

(23)

2013 to 2012 Three Months Comparison

Loss before income taxes in C&A was € 152 million in the third quarter 2013 and € 293 million in the prior year quarter. This development was predominantly attributable to timing differences from different accounting methods used for management reporting and IFRS, which amounted to negative € 58 million in the current quarter, compared to negative € 273 million in the third quarter 2012. Mark-to-market valuation effects of U.S. dollar/ euro basis swaps related to our funding did not lead to a significant result in the current quarter, reflecting widened U.S. dollar/euro basis swap spreads. Prior year quarter included negative effects of approximately € 135 million. In addition, the third quarter 2012 was impacted by negative effects of approximately € 90 million from different accounting methods related to economically hedged short-term positions. Due to risen mid- to long-term euro and U.S. dollar yield curves these effects did not have a significant impact in the current quarter. Results in the prior year quarter also included a credit for the UK bank levy due to the application of a related double tax treaty, which more than offset the accrual for the German bank levy.

2013 to 2012 Nine Months Comparison

In C&A, loss before income taxes was € 612 million in the first nine months 2013 compared to a loss of € 798 million in the first nine months 2012. This development was primarily driven by effects from different accounting methods used for management reporting and IFRS, which amounted to negative € 226 million in the first nine months 2013, compared to negative € 653 million in the same period for 2012. Main drivers were also the aforementioned mark-to-market valuation effects of U.S. dollar/euro basis swaps related to our funding and effects from different accounting methods used for economically hedged short-term positions. In addition, the first nine months in 2012 included positive effects from interest on taxes.