The rule in plain words
None of the values it checks in assets can be negative.
EBA checks it for four columns: actual current position, planned Year 1 Position, planned Year 2 Position and planned Year 3 Position. And for 35 rows, from cash and cash balances at central banks (010) to loans and advances to group entities not within the prudential scope of consolidation (excl. reverse repurchase loans) (240). That makes 140 checks. A failure names the one that failed.
How the Line4 Check report words itShowHide
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.
Planned Year 3 Position: Loans and advances to group entities not within the prudential scope of consolidation (excl. reverse repurchase loans) >= 0
What to do if your filing fails it
- 01Open the template below and find the cells the rule reads.
- 02Look for a value with the wrong sign in these cells, such as an amount entered as a negative number.
- 03EBA compares the values exactly here: there is no rounding tolerance.
- 04It runs only when your filing indicators mark P 01.01 as reported.
- 05This 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
Assets (P 01.01)
Rows
- 010Cash and cash balances at central banks
- 020Reverse repurchase loans
- 030Loans and advances to households (exc reverse repurchase loans)
- 035o/w non-performing
- 040Domestic activities
- 070o/w Loans collateralised by residential immovable property
- 091Other EEA countries activities
- 093o/w Loans collateralised by residential immovable property
- 096Non-EEA countries activities
- 100Loans and advances to non-financial corporations (excl. reverse repurchase loans)
- 105o/w non-performing
- 110Domestic activities
- 140Small and Medium-sized Enterprises
- 150Non-financial corporations other than SMEs
- 161Other EEA countries activities
- 163Small and Medium-sized enterprises
- 164Non-financial corporations other than SMEs
- 167Non-EEA countries activities
- 180Loans and advances to credit institutions (excl. reverse repurchase loans)
- 181Domestic activities
- 182Other EEA countries activities
- 183Non-EEA countries activities
- 190Loans and advances to other financial corporations (excl. reverse repurchase loans)
- 191Domestic activities
- 192Other EEA countries activities
- 193Non-EEA countries activities
- 195Loans and advances to central banks (excl. reverse repurchase loans)
- 197Loans and advances to general governments (excl. reverse repurchase loans)
- 200Derivatives
- 205Debt securities
- 207Equity instruments
- 211Other assets
- 220Total Assets
- 230Undrawn committed credit lines
- 240Loans and advances to group entities not within the prudential scope of consolidation (excl. reverse repurchase loans)
Columns
- 010Actual current position
- 030Planned Year 1 Position
- 040Planned Year 2 Position
- 050Planned Year 3 Position
A worked example
The first of its checks, with simple numbers.
Loans and advances to group entities not within the prudential scope of consolidation (excl. reverse repurchase loans), planned Year 3 Position must then be at least 0.
A file that reports 0 passes. One that reports -100 fails, by 100.
The numbers are illustrative.
Show the rule as writtenShowHide
EBA's formula, as written out for the first of its checks. Cells are written as {template, row, column, sheet}.
{P_01.01,r240,c050,} >= 0The next five:
{P_01.01,r192,c050,} >= 0{P_01.01,r105,c010,} >= 0{P_01.01,r161,c050,} >= 0{P_01.01,r195,c030,} >= 0{P_01.01,r205,c050,} >= 0And 134 more, the same formula for the other cells it covers.
Other rules on P 01.01
- Each of the 24 values it checks in assets cannot be more than zero (v4391_s)Warning
- Total assets must equal the sum of its twelve parts (v4105_m)Warning
- Loans and advances to group entities not within the prudential scope of consolidation (excl. reverse repurchase loans) cannot be more than the sum of two rows (v4104_m)Warning
- Domestic activities must equal the sum of its two parts (v5918_h)Warning
- If loans and advances to households (exc reverse repurchase loans) is more than zero, domestic activities must be more than zero (v6217_m)Warning
- Loans and advances to households (exc reverse repurchase loans): if domestic activities is more than zero, accumulated impairment, accumulated negative changes in fair value due to credit risk for domestic activities (memo item) must be negative (v6219_m)Warning
- If loans and advances to non-financial corporations (excl. reverse repurchase loans) is more than zero, domestic activities must be more than zero (v6220_m)Warning
- Loans and advances to non-financial corporations (excl. reverse repurchase loans): if domestic activities is more than zero, accumulated impairment, accumulated negative changes in fair value due to credit risk for domestic activities (memo item) must be negative (v6222_m)Warning
Checks like this one, run at the point of submission, are the first step to real-time supervision.