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, 2022
Performing
Impaired
Stage 1
Stage 2
Stage 3
Total
Personal Balance at beginning of year
$
928 $
2,299 $
485
$
3,712
Transfers to (from) (1) Stage 1
202
(202)
-
- - -
Stage 2 Stage 3
(393)
393
-
-
(1,860)
1,860
Net remeasurement (2)
(805)
2,864
(1,467)
592
New originations
1,292
-
-
1,292
Derecognitions and maturities
(177)
(716)
(91)
(984)
Provision for credit losses (3)
119
479
302
900
Write-offs
- -
- -
(697)
(697)
Recoveries
50
50
Balance at end of year
1,047
2,778
140
3,965
Business Balance at beginning of year
$
64,624 $
38,702 $
38,812
$
142,138
Transfers to (from) (1) Stage 1
5,661
(5,661)
-
- - -
Stage 2 Stage 3
(7,500)
7,500
-
(51)
(12,993)
13,044 19,583
Net remeasurement (2)
(46,815)
56,062
28,830 55,864
New originations
55,864
-
-
Derecognitions and maturities
(21,544)
(17,237)
(778)
(39,559)
Provision for (reversal of) credit losses (3)
(14,385)
27,671
31,849
45,135
Write-offs
- -
- -
(29,918)
(29,918)
Recoveries
5,808
5,808
Balance at end of year
50,239
66,373
46,551
163,163
Total Allowance for Credit Losses
$
51,286 $
69,151 $
46,691
$
167,128
Represented by: Loans
$
49,779 $
65,348 $
46,691
$
161,818
Committed but undrawn credit exposures and letters of credit (4)
1,507
3,803
-
5,310
Total Allowance for Credit Losses (5)
$
51,286 $
69,151 $
46,691
$
167,128
(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 4 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 2022 Annual Report | 83
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