Note 11

Capital adequacy
 31.03.201631.03.201531.12.2015
EC capital989989989
- ECs owned by the Bank-12-11-13
Share premium354354354
Dividend equalisation fund935799935
Gift fund125125125
Primary capital fund2 1832 0492 183
Value adjustment fund823482
Proposed dividend for the EC holders00114
Proposed dividend for the local community00115
Other equity228238228
Accumulated profit for the period1191320
Total equity5 0034 7095 112
Deferred tax, goodwill and intangible assets-47-20-47
Value adjustments of financial instruments at fair value-14-12-14
Value adjustment fund-82-34-82
Perpetual Hybrid Tier 1 capital808807808
Expected losses exceeding actual losses, IRB portfolios corporate-152-259-175
Proposed dividend for the EC holders00-114
Proposed dividend for the local community00-115
Accumulated profit for the period-119-1320
Total core capital5 3975 0595 373
Common equity Tier 1 Capital4 5894 2524 565
    
Supplementary capital   
Subordinated loan capital of limited duration501525501
36 % addition for net unrealised gains on shares available for sale000
50 % deduction for equity in other financial institutions000
Total supplementary capital501525501
Net equity and subordinated loan capital5 8985 5845 874
    
Capital requirement by exposure classes   
    
Exposure classes SA - credit risk31.03.201631.03.201531.12.2015
Central governments or central banks000
Regional governments or local authorities756
Public sector companies192020
Institutions (banks etc)544552
Companies (corporate customers)4315
Mass marked (retail banking customers)000
Secured by mortgage on immovable property000
Exposures in default000
Covered bonds171416
Equity868
Other items12384114
Total capital requirements - credit risk, The Standardised Approach232205221
    
Exposure classes IRB - credit risk31.03.201631.03.201531.12.2015
Retail - Secured by real estate560528562
Retail - Other466746
SME731847773
Specialised lending508490512
Other corporate lending285198252
IRB-F capital requirements2 1302 1302 145
Total capital requirements - credit risk2 3622 3352 366
    
Exposure classes SA - market risk31.03.201631.03.201531.12.2015
Debt000
Equity000
Foreign exchange000
Credit value adjustment risk (CVA)442040
Total capital requirements - market risk442040
    
Operational Risk (Basic Indicator Approach)193190190
Deductions from the capital requirement000
Total capital requirement less transitional rules2 5992 5452 596
Additional capital requirements from transitional rules 1)2600
Total capital requirements2 62544 82945 155
    
Risk-weighted assets (calculation basis for capital adequacy ratio) 
Risk-weighted assets less transitional rules32 81031 78732 455
Additional RWA from transitional rules 1)1 4761 4301 460
Total risk-weighted assets32 81031 78732 455
Minimum requirement common equity Tier 1 capital (4.5 %)1 4761 4301 460
    
1) Transitional rules require that RWA can not be less than 80 per cent of the corresponding Basel I requirement.
    
    
Buffer Requirement31.03.201631.03.201531.12.2015
Capital conservation buffer (2.5 %)820795811
Systemic risk buffer (3.0 %)984954974
Countercyclical buffer (1.0%)328318325
Total buffer requirements2 1322 0672 110
Available common equity Tier 1 capital after buffer requirements981755995
    
Capital adequacy as a percentage of the weighted asset calculation basis incl. transitional rules31.03.201631.03.201531.12.2015
Capital adequacy ratio18.017.618.1
Capital adequacy ratio incl. 50 per cent of the profit for the period18.217.8 
Core capital ratio16.515.916.6
Core capital ratio incl. 50 per cent of the profit for the period16.616.1 
Core Tier 1 capital ratio14.013.414.1
Core Tier 1 capital ratio incl. 50 per cent of the profit for the period14.213.6 
    
Sparebanken Møre's capital requirements at 31st March 2016 are based on IRB-Foundation for corporate commitments and IRB-Retail for retail commitments.
    
Leverage Ratio (LR)31.03.201631.03.201531.12.2015
Leverage Ratio (LR)8.08.08.0