- Question ID
-
2016_2687
- Legal act
- Directive 2013/36/EU (CRD)
- Topic
- Supervisory review and evaluation (SREP) and Pillar 2
- Article
-
article 141
- COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
- Not applicable
- Article/Paragraph
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Not applicable
- Type of submitter
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Investment firm
- Subject matter
-
AT1 distribution and full year loss
- Question
-
Except what is provided under Article 141 of the CRD, is there any restriction imposed on distribution for an institution posting a full year (FY) Net Loss ? (assuming th entity in question runs with excess capital vs. regulatory requirements, so it's not under MDA restrictions)
- Background on the question
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We did not understand the statement 25.b. "review the prohibition on distribution, notably in so far as it relates to AT1 instruments, in all circumstances when no profits are made in any given year." in the paper published by the EBA in December 2015 (EBA/Op/2015/24 - Opinion of the European Banking Authority on the interaction of Pillar 1, Pillar 2 and combined buffer requirements and restrictions on distributions)
- Submission date
- Rejected publishing date
-
- Rationale for rejection
-
Please note that as part of adjustments to the Single Rulebook Q&A process, agreed by the EBA and the European Commission, it has been decided to reject outstanding questions submitted before 1 January 2020, when the Q&A process was updated as part of the last ESAs Review. In particular, the question that you have submitted has now regrettably been rejected and will not be addressed.
If you believe your question would still benefit from clarification, you are invited to resubmit your question, adapting it to reflect any legislative, regulatory or other relevant developments that may have occurred since the initial date of submission. The EBA will aim to address resubmitted questions as a matter of priority. When considering to resubmit, you are kindly requested to observe the updated admissibility criteria agreed in the context of the adjustment of the Q&A process, available in the Additional background and guidance for asking questions. We hope for your understanding.
For further information please refer to the press release and the updated Q&A page.
- Status
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Rejected question