The rule in plain words
Retained earnings must equal previous years retained earnings plus profit or loss eligible.
All the values are in the amount column (0010) of C 01.00.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Retained earnings = Previous years retained earnings + Profit or loss eligible
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Add up the parts in your file and compare the result with the total.
- 03If they differ, a part is missing, a value sits in the wrong row, or the total is out of date.
- 04EBA allows a small rounding difference, worked out from the decimals each value is reported with.
- 05It runs only when your filing indicators mark C 01.00 as reported.
- 06This is a warning. It does not stop the filing on its own, but your authority may ask you to explain it.
The cells it reads
Capital adequacy - own funds definition (C 01.00)
Rows
- 0130Retained earnings
- 0140Previous years retained earnings
- 0150Profit or loss eligible
Column
- 0010Amount
A worked example
The first of its checks, with simple numbers.
Retained earnings must then be 2,000.
A file that reports 2,000 passes. One that reports 2,100 fails, by 100.
The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.
Show the rule as writtenShowHide
EBA's formula. Cells are written as {template, row, column, sheet}.
{C_01.00,r0130,c0010,} = {C_01.00,r0140,c0010,} + {C_01.00,r0150,c0010,}Other rules on C 01.00
- Own CET1 instruments must equal the sum of its three parts (v0174_m)Warning
- Profit or loss eligible must equal the sum of its two parts (v0176_m)Warning
- Capital instruments and share premium eligible as CET1 capital must equal the sum of its four parts (v0173_m)Warning
- Adjustments to CET1 due to prudential filters must equal the sum of its five parts (v0177_m)Warning
- Common equity tier 1 capital must equal the sum of its 31 parts (v0172_m)Warning
- Goodwill must equal the sum of its four parts (v0178_m)Warning
- Other intangible assets must equal the sum of its three parts (v0179_m)Warning
- Defined benefit pension fund assets (under common equity tier 1 capital) must equal the sum of its three parts (v0180_m)Blocking
Every COREP own funds rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.