implying an increase of 3.1% in the quarter. The
organic generation of capital in the quarter is at 22
basis points, thanks to the profit obtained during the
same time period and the compensation for the
negative effect of the devaluation of the bolivar,
standing at 7 basis points. The core ratio came to
8.1% as compared to the 8.0% as of 31-Dec-2009.
The Tier I ratio, at 9.5%, increased 11 basis points
from December 2009. Furthermore, preference shares
amounted to €5,153m and increased €23m due to
the appreciation of the dollar. This allowed its
weighting over capital (Tier I) to be at 18.5%.
The rest of the eligible capital (Tier II), which mainly
consists of subordinated debt, surplus generic
Ratings
Moody’s
Fitch
Standard & Poor’s
Long term
provisions and eligible latent capital gains, came to
€11,568m. The Tier II ratio thus stands at 3.9%, as
compared to 4.2% in the previous quarter.
To summarize, the BIS ratio as of 31-Mar-2010
stands at 13.4% (13.6% at year-end 2009). However,
despite the negative impact of the devaluation of the
Venezuelan bolivar, the core ratio increased in the
quarter, reflecting the Group’s capacity to generate
recurrent capital in the current adverse economic
situation.
RATINGS
There were no actions taken this quarter regarding
BBVA’s rating.
Short term
Aa2 P-1 B- Negative
AA- F-1+ A/B Positive
AA A-1+ - Negative
Financial strength
Outlook
| 1Q10 |
21
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