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2 min readWarningEBA reporting framework 4.2Updated 10 November 2026

Total provisions and adjustments or deductions (uncapped) must equal the sum of its six parts (EBA rule v09654_m)

A warning in the own funds and capital requirements return (COREP own funds), on template C 35.01, nPE loss coverage: calculation of deductions for non-performing exposures (NPE lc1).

Check your file against this ruleWhat to do if it fails

The rule in plain words

Total provisions and adjustments or deductions (uncapped) must equal these six added up:

  • Specific credit risk adjustments
  • Additional valuation adjustments
  • Amounts written-off by the institution since the exposure was classified as non-performing
  • Other own funds reductions
  • IRB shortfall
  • Difference between the purchase price and the amount owed by the debtor

EBA checks it for eleven columns, from <=1 year (0010) to total (0110). That makes eleven checks. A failure names the one that failed.

How the Line4 Check report words itShow

The first of its checks, word for word as the report shows it when it fails. The others read the same, with their own column, row or sheet.

>1 year <=2 years: Total provisions and adjustments or deductions (uncapped) = Specific credit risk adjustments + Additional valuation adjustments + Amounts written-off by the institution since the exposure was classified as non-performing + Other own funds reductions + IRB shortfall + Difference between the purchase price and the amount owed by the debtor

What to do if your filing fails it

  1. 01Open the template below and find the cells the rule reads.
  2. 02Add up the parts in your file and compare the result with the total.
  3. 03If they differ, a part is missing, a value sits in the wrong cell, or the total is out of date.
  4. 04EBA allows a small rounding difference, worked out from the decimals each value is reported with.
  5. 05It runs only when your filing indicators mark C 35.01 as reported.
  6. 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

NPE loss coverage: calculation of deductions for non-performing exposures (NPE lc1) (C 35.01)

Rows

  • 0090Total provisions and adjustments or deductions (uncapped)
  • 0100Specific credit risk adjustments
  • 0110Additional valuation adjustments
  • 0120Other own funds reductions
  • 0130IRB shortfall
  • 0140Difference between the purchase price and the amount owed by the debtor
  • 0150Amounts written-off by the institution since the exposure was classified as non-performing

Columns

  • 0010<=1 year
  • 0020>1 year <=2 years
  • 0030>2 years <=3 years
  • 0040>3 years <=4 years
  • 0050>4 years <=5 years
  • 0060>5 years <=6 years
  • 0070>6 years <=7 years
  • 0080>7 years <=8 years
  • 0090>8 years <=9 years
  • 0100>9 years
  • 0110Total

A worked example

The first of its checks, with simple numbers.

Illustrative values
Specific credit risk adjustments1,200
Additional valuation adjustments800
Amounts written-off by the institution since the exposure was classified as non-performing450
Other own funds reductions300
IRB shortfall150
Difference between the purchase price and the amount owed by the debtor100
Together3,000
What the rule then expects

Total provisions and adjustments or deductions (uncapped) must then be 3,000.

3,000Passes
3,100Fails

A file that reports 3,000 passes. One that reports 3,100 fails, by 100.

The numbers are illustrative, reported to the unit, so the rounding tolerance does not change the result.

Show the rule as writtenShow

EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.

{C_35.01,r0090,c0020,} = sum({C_35.01,r0100,c0020,},{C_35.01,r0110,c0020,},{C_35.01,r0150,c0020,},{C_35.01,r0120,c0020,},{C_35.01,r0130,c0020,},{C_35.01,r0140,c0020,})

The next five:

{C_35.01,r0090,c0070,} = sum({C_35.01,r0100,c0070,},{C_35.01,r0130,c0070,},{C_35.01,r0120,c0070,},{C_35.01,r0140,c0070,},{C_35.01,r0110,c0070,},{C_35.01,r0150,c0070,}){C_35.01,r0090,c0050,} = sum({C_35.01,r0100,c0050,},{C_35.01,r0130,c0050,},{C_35.01,r0150,c0050,},{C_35.01,r0110,c0050,},{C_35.01,r0140,c0050,},{C_35.01,r0120,c0050,}){C_35.01,r0090,c0060,} = sum({C_35.01,r0150,c0060,},{C_35.01,r0140,c0060,},{C_35.01,r0100,c0060,},{C_35.01,r0130,c0060,},{C_35.01,r0120,c0060,},{C_35.01,r0110,c0060,}){C_35.01,r0090,c0090,} = sum({C_35.01,r0110,c0090,},{C_35.01,r0120,c0090,},{C_35.01,r0100,c0090,},{C_35.01,r0140,c0090,},{C_35.01,r0130,c0090,},{C_35.01,r0150,c0090,}){C_35.01,r0090,c0100,} = sum({C_35.01,r0140,c0100,},{C_35.01,r0100,c0100,},{C_35.01,r0120,c0100,},{C_35.01,r0150,c0100,},{C_35.01,r0110,c0100,},{C_35.01,r0130,c0100,})

And 5 more, the same formula for the other cells it covers.

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.