Mizuho Bank Europe Annual Report 2018

66 MIZUHO BANK EUROPE N.V. Concentration Risk Asset concentrations are reported per sector and per geographical region for the balances with central banks, loans and advances to banks, loans and advances to customers, debt securities, contingent liabilities and commitments. The largest credit concentration by industry sector was sovereign and supranational, which amounted to € 1,355,979,000 or 24% of the credit portfolio, followed by machinery & precision machinery of € 476,206,000 (8%) and banks and other financials of € 442,291,000 (8%). This compares with the largest sector concentration of sovereign and supranational of € 882,938,000 (17%) followed by banks and other financials of € 595,259,000 (12%) and utilities of € 430,330,000 (8%) last year. The largest sector of credit concentration remained the same from the previous year due to large placing at the DNB account together with holdings of the Netherlands government bonds for liquidity purposes. MBE sets guideline levels for maximum concentrations in individual sectors and monitors this in the Portfolio Management Committee on a monthly basis. (in €’000) 31/12/2018 31/12/2017 Sovereign & Supranational 1,355,979 882,938 Machinery & Precision Machinery 476,206 380,915 Banks & Other Financials 442,291 595,259 Automotives 415,091 404,734 Utilities 377,603 430,330 Leasing 336,614 264,763 Food & Drinks 296,433 363,707 Chemicals 280,355 198,647 Electrical Equipments 227,938 103,713 Rail & Road Transport 192,835 157,748 Other Materials 187,842 281,968 Professional & Business Services 183,674 231,761 Energy 170,043 128,084 Telecommunications 142,235 145,643 Steel & Metals 81,959 94,398 Trading &Wholesale 78,856 112,544 Consumer Products & Services 76,261 308 Home Electronics 63,916 62,517 Tranport Equipments 61,903 55,192 Construction 47,409 65,727 Consumer Finance 44,123 13,339 Other Manufacturing 41,617 66,064 Medical Equipment 11,575 16,483 Textiles 10,001 10,000 Pharmaceutical 7,378 7,593 Healthcare 1,074 1,075 Marine Transport 74 83 Information Services 1 4 Real Estate - 2 5,611,286 5,075,539