The rule in plain words
Other bailinable liabilities must equal these three added up:
- Residual maturity of < 1 year
- Residual maturity of >= 1 year and < 2 years
- Residual maturity of >= 2 years
All the values are in the internal MREL column (0010) of M 03.00.
How the Line4 Check report words itShowHide
Word for word as the report shows it when the rule fails.
Internal MREL: Other bailinable liabilities = Residual maturity of < 1 year + Residual maturity of >= 1 year and < 2 years + Residual maturity of >= 2 years
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- 03If they differ, a part is missing, a value sits in the wrong row, or the total is out of date.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 M 03.00 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
Internal MREL and internal TLAC (ILAC) (M 03.00)
Rows
- 0550Other bailinable liabilities
- 0580Residual maturity of < 1 year
- 0590Residual maturity of >= 1 year and < 2 years
- 0600Residual maturity of >= 2 years
Column
- 0010Internal MREL
A worked example
The first of its checks, with simple numbers.
Other bailinable liabilities must then be 2,450.
A file that reports 2,450 passes. One that reports 2,550 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}.
{M_03.00,r0550,c0010,} = {M_03.00,r0580,c0010,} + {M_03.00,r0590,c0010,} + {M_03.00,r0600,c0010,}Other rules on M 03.00
- Combined buffer requirement must equal the sum of its four parts (v10784_m)Warning
- Other bailinable liabilities cannot be less than other bailinable liabilities governed by third country law (v10786_m)Warning
- Guarantees provided by the resolution entity and permitted by the resolution authority must equal permitted guarantees times total exposure measure (v10783_m)Warning
- Eligible own funds and eligible liabilities must equal own funds and eligible liabilities as a percentage of the total exposure measure times total exposure measure (v10782_m)Warning
- Other bailinable liabilities governed by third country law cannot be less than containing a write down and conversion clause (v10788_m)Warning
- Guarantees provided by the resolution entity and permitted by the resolution authority must equal permitted guarantees times total risk exposure amount (v10781_m)Warning
- Eligible own funds and eligible liabilities must equal own funds and eligible liabilities as a percentage of the total risk exposure amount times total risk exposure amount (v10780_m)Warning
- A check on internal MREL and internal TLAC (ILAC) (v10779_m)Not run yet
Every MREL and TLAC rule, by template
Checks like this one, run at the point of submission, are the first step to real-time supervision.