Reconciliation A reconciliation of changes in the allowance for credit losses related to loans, committed but undrawn credit exposures and letters of credit follows:
As at October 31, 2021
Performing
Impaired
Stage 1
Stage 2
Stage 3
Total
Personal Balance at beginning of year
$
1,346 $
5,376 $
829
$
7,551
Transfers to (from) Stage 1 (1)
1,809
(1,809)
-
- - -
Stage 2 (1) Stage 3 (1)
(574)
574
-
-
(1,219)
1,219
Net remeasurement (2)
(2,960)
345
(474)
(3,089)
New originations
1,655
-
-
1,655
Derecognitions and maturities
(348)
(968)
(170)
(1,486)
Provision for (reversal of) credit losses (3)
(418)
(3,077)
575
(2,920) (1,153)
Write-offs
- -
- -
(1,153)
Recoveries
234
234
Balance at end of year
928
2,299
485
3,712
Business Balance at beginning of year
$
57,503 $
66,053 $
33,306
$
156,862
Transfers to (from) Stage 1 (1)
18,778
(18,778)
-
- - -
Stage 2 (1) Stage 3 (1)
(8,239)
8,315
(76)
(56)
(10,494)
10,550 41,406
Net remeasurement (2)
(39,506)
13,841
15,741 63,670
New originations
63,670
-
-
Derecognitions and maturities
(27,526)
(20,235)
(1,862)
(49,623)
Provision for (reversal of) credit losses (3)
7,121
(27,351)
50,018
29,788
Write-offs
- -
- -
(56,947)
(56,947)
Recoveries
12,435
12,435
Balance at end of year
64,624
38,702
38,812
142,138
Total Allowance for Credit Losses
$
65,552 $
41,001 $
39,297
$
145,850
Represented by: Loans
$
62,687 $
39,445 $
39,297
$
141,429
Committed but undrawn credit exposures and letters of credit (4)
2,865
1,556
-
4,421
Total Allowance for Credit Losses (5)
$
65,552 $
41,001 $
39,297
$
145,850
(1) Represents stage movements prior to remeasurement of the allowance for credit losses. (2) Represents credit risk changes as a result of significant increases in credit risk, changes in credit risk that did not result in a transfer between stages, changes in model inputs and assumptions, including changes in forward-looking macroeconomic forecasts and qualitative adjustments, and changes due to partial repayment. (3) Included in the provision for credit losses in the consolidated statements of income. (4) Included in other liabilities in the consolidated balance sheets. (5) Allowance for credit losses related to debt securities measured at FVOCI, cash resources and other financial assets classified at amortized cost were excluded from the table above. See Note 5 for details related to the allowance for credit losses on debt securities measured at FVOCI. Cash resources and other financial assets classified at amortized cost are presented in the consolidated balance sheets, net of allowance for credit losses.
CWB Financial Group 2021 Annual Report | 85
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