2.26. Capital

Registered share capital is disclosed at its nominal value, in accordance with the statute and the entry in the court register.

If the Bank purchases its own shares, the amount paid reduces equity as treasury shares until their cancellation. Should these shares be sold or re-allocated, the payment received is recognised in equity.

The supplementary capital is created from the issue premium obtained from the issue of shares, reduced by the direct costs incurred with the issue.

The costs directly related to the issue of new shares, after deduction of income tax, reduce the proceeds from the issue included in the equity.

Other capital: spare capital, reserve capital and general risk funds are created from profit allocations and are designated for purposes specified in the statute or other legal regulations.

Other equity items are created as a result of:

• valuation of financial assets at fair value through other comprehensive income,
• actuarial profits and losses related to post-employment benefits,
• valuation of derivatives as part of cash flow hedge accounting with reference to the effective part of the hedge.