Page 111 - Suncorp_Review

Suncorp Group Limited Annual Report 2010/11 109

AS AT 30 JUNE 2011

SGL, Corporate General Services and

Insurance  4 Banking Life Consolidation Group  5 $m $m $m $m $m

Tier 1

Ordinary share capital – – – 12,717 12,717 Subsidiary share capital (eliminated upon consolidation) 8,016 3,012 2,225 (13,253) – Reserves and non-controlling interests (69) (987) 241 737 (78) Retained profts 1 (433) 941 6 533 1,047 Preference shares – 823 – 15 838 Insurance liabilities in excess of liability valuation 516 – – – 516 Less goodwill and brands (5,263) (264) (702) 5 (6,224) Less software assets (5) – (7) (74) (86) Less other intangible assets – (47) – – (47) Less deferred tax asset – (143) – 34 (109) Less other required deductions 2 (6) – – (1) (7)

Total Tier 1 capital 2,756 3,335 1,763 713 8,567

Tier 2

Preference shares not included in Tier 1 – 15 – (15) – APRA general reserve for credit losses – 248 – – 248 Asset revaluation reserves – 17 – – 17 Subordinated notes 769 1,053 – – 1,822

Total Tier 2 capital 769 1,333 – (15) 2,087 Total capital base 3,525 4,668 1,763 698 10,654

Represented by:

Capital in regulated entities 3,458 4,606 1,738 – 9,802 Capital in unregulated entities 67 62 25 698 852 3,525 4,668 1,763 698 10,654 Target capital base 3 3,059 4,296 1,686 368 9,409

Notes

1 For Banking and General Insurance, this represents the business line retained profts determined by using the APRA calculation. APRA requires accrual of expected dividends in the Bank and General Insurance current year profts. To allow for consistency across the Suncorp Group, expected dividends are also included for Life.

2 Other required deductions include surpluses in defned beneft funds and internal funding transactions of a capital nature. 3 Internal capital targets.

4 These numbers are for consolidated segments. They do not align with the regulatory reporting groups used in the Banking capital adequacy and General Insurance minimum capital requirements calculations. 5 Represents the Suncorp Group position net of all consolidation eliminations.