Main Data on Banks, for 31.12.2015, for Each Bank

General 

  1. This report gives a digest of the main data relating to the banking corporations to enable the reader to review rapidly their profitability, balance sheet balances, financial ratios, and main development trends in them in the period reviewed.
    These data are derived from those appearing in the banking corporations' financial statements, and should not be treated as substitutes for a thorough reading of the statements. Certain very significant data or events relating to the activity of a banking corporations may not be reflected in the data presented herein.  
  2. All the data are included explicitly in the financial statements, or can be derived from them via simple calculations. 
  3. The definitions in the introduction refer to concepts related to data processing performed specifically for this report, and the terms relate to the terms as in the Guidelines for Preparing Reports to the Public relevant to this publication. Recording the terms that appear in the Supervisor of Banks Guidelines for Preparing Reports to the Public is intended to make it more user friendly, but the terminology used in the Guidelines for Preparing Reports to the Public issued by the Supervisor of Banks (in Hebrew) is binding. The definitions and terms are arranged in the order in which they appear under the headings that constitute the report.  
     
    Definitions (data processed for purposes of the report)
  4. System total
    4.1   System total for banks is defined as the total of the following banking corporations: 
    • Bank Leumi Le-Israel Ltd 
    • Israel Discount Bank Ltd 
    • Bank Hapoalim B.M 
    • Union Bank of Israel Ltd 
    • Mizrahi Tefahot Bank Ltd 
    • The First International Bank of Israel Ltd 
    • Bank of Jerusalem Ltd 
    • Dexia Israel Bank Ltd 
      4.2   Data relating to banks not included in the list in subsection 4.1 above will not be totaled for the calculation of the total banking system because their parent bank is shown on a consolidated basis so that they are included indirectly.  
           
       
      Terms (Guidelines for Reporting to the Public)
  5. Balances of and rates of return on financial items 
    5.1   Excess of financial assets over financial liabilities 
    The excess (deficiency) of assets over liabilities on the balance- sheet date in each of the indexation segments, excluding the effect of ALM derivatives and financial options. If liabilities exceed assets in a particular indexation segment, the difference is shown as a negative amount.  
    5.2   Rate of income/expense on assets/liabilities 
    The balances used to calculate the rate of yield are the average balances of the monthly opening balances of assets/liabilities for which the interest income /financing costs were included. In the unindexed local-currency segment the average balance is calculated on the basis of daily balances.  
    5.3   Average effective duration 
    An approximation of the percentage change in the price of a financial instrument measured at fair value resulting from a small change in the internal rate of return. 
    5.4   Internal rate of return 
    The rate of interest that discounts the expected cash flow from a financial instrument to the fair value included for it. 
  6. Credit to the public and credit risk  
    6.1   Total balance-sheet credit risk 
    Credit to the public plus derivatives at fair value plus bonds. 
    6.2   Total off-balance-sheet credit risk 
    Guarantees and other commitments on the customers' account and futures as calculated for purposes of the limitation on the indebtedness of a borrower and a group of borrowers (Proper Conduct of banking Business, regulation no. 313).  
    6.3   Total credit risk 
    The sum of the balance-sheet and off-balance-sheet credit risks. 
     
  7. Impaired credit to the public and problem credit risk 
    7.1   Credit to the public
    Will be classified as impaired if the bank expects not to collect the full contractual amount of debt, under present circumstances and based on information. For additional detail, please see Article 29A and 30 to the Directives "Financial Reporting to the Public" regarding the Annual Financial Statement.  
    7.2   Problem credit risk
    Balance sheet credit risk and off-balance sheet credit risk that is impaired, inferior, or under special supervision.  
     
  8. Data on derivatives 
    Positive gross fair value  
    The total fair value of contracts owed to the bank by the opposing parties, after offsets. This represents the bank's maximum loss if all the opposing parties to the contracts fail and if the bank has no mortgage of the opposing parties.  
     
  9. Branching and personnel 
    9.1   Number of employee posts 
    All employees, calculated on a full-time basis, whose pay is recorded under salaries and related expenses. Includes overtime when it is paid according to a specific report. 
    9.2   Branches 
    The number relates to the number of the bank's branches - service counters are not included. 
    9.3   Overseas branches 
    Including agencies; excluding representative offices. 
     
  10. Main financial ratios in annual terms 
    10.1   Risk assets 
    The bank's assets weighted in accordance with their risk level (Directive No. 203 in the Proper Conduct of Banking Business). 
    10.2   Total capital 
    Capital as defined by its ability to absorb losses under the going concern assumption or in its absence (unlike capital in bookkeeping terms) (Directive No. 202 in the Proper Conduct of Banking Business). 
    10.3   Tier 1 capital 
    Part of total capital better able to absorb losses (Directive No. 202 in the Proper Conduct of Banking Business). 
    10.4   Return on equity (ROE) 
    Net profit minus dividend on preference shares that is not registered as an expenditure in the profit and loss statement and is declared only at the time of the report divided by average equity (equity including various adjustments)