Bank atlas Methodology
The 2006 bank atlas was compiled by Moody ’s Investors Service from commercial banks’ annual reports and financial statements for 2006 and 2005. Where 2005 data are not available, ratios were calculated using years 2003 and 2004. Within the global top 2005, the most senior reporting entity only was included (eg: HSBC Holdings, not HSBC Bank plc). The largest subsidiaries of global banking groups are included in the regional rankings.
Taiwan, Japan, Malaysia and India have fiscal years ending at March 2006 so data, when available, is reported at end-March 2006 (and similarly 2005 figures are reported at end-March 2005).
Moody’s ratings: Ratings on May 6 2006 on long-term deposits, short-term deposits and financial strength respectively. Where there is no deposit rating on the group, the rating refers to the major bank in the group.
Shareholder equity: the sum of issued common stock, capital surplus/premium, statutory reserve, legal reserve, revaluation reserve, contingency reserves (including EU fund for general banking risk), retained earnings, net profit for the year and minority interest. Where consolidated data are used, shareholder equity includes group equity attributable to minorities.
Total assets: as reported in financial statements.
Net income: as reported in financial statements before appropriation.
Return on equity: net income as a percentage of period end shareholders’ equity.
Return on assets: net income as a percentage of period end total assets.
Loans to customers % customer deposits: net loans to customers as a percentage of customer deposits, at period end.
Tier 1 capital ratio: as reported in financial statements.
Commercial banks: Defined as consolidated accounts of deposit-taking banks. Development banks are to be excluded.
G10 countries: Belgium, Canada, France, Germany, Italy, Japan, Netherlands, Sweden, United Kingdom, US – minimum shareholder equity $1 billion.
OECD countries outside G10: Australia, Austria, Czech Republic, Denmark, Finland, Greece, Hungary, Iceland, Ireland, South Korea, Luxembourg, Mexico, New Zealand, Norway, Poland, Portugal, Spain, Switzerland, Turkey – Minimum shareholder equity $500 million.
Emerging markets outside two above categories: Minimum shareholder equity $200 milion, except for countries where only two or three banks are listed.
Maximum banks in any one country: 50
Contributors: Alessandra Mongiardino, Risk Management Specialist; David Fanger, Chief Credit Officer; Gregory Bauer, Managing Director, Moody's FIG Group; Janne Thomsen, Senior VP; Jeanne Del Casino, VP - Senior Credit Officer; Jerry Chien, Managing Director, Moody's FIG Group Asia Pacific; Mardig Haladjian, General Manager, Moody's FIG Group Middle East Africa; Maria Cabanyes, Senior VP- Regional Credit Officer