SUNCORP GROUP LIMITED — Audit Report / Information 2015

Aug 3, 2015

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ABN 66 145 290 124 Suncorp Group Limited Suncorp Bank APS330 as at 30 June 2015 Release date: 04 August 2015

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APS330 as at 30 June 2015

Suncorp Bank

Basis of preparation

This document has been prepared by Suncorp Bank to meet the disclosure obligations under the Australian Prudential Regulation Authority (APRA) Australian Prudential Standard (APS) 330 Capital Adequacy: Public Disclosure of Prudential Information.

Suncorp Bank is represented by Suncorp-Metway Limited and its subsidiaries. Suncorp-Metway Limited is an authorised deposit-taking institution and a wholly owned subsidiary of Suncorp Group Limited. Suncorp Group is represented by Suncorp Group Limited and its subsidiaries.

Other than statutory information required by a regulator (including APRA), all financial information is measured in accordance with Australian Accounting Standards. All figures have been quoted in Australian dollars and have been rounded to the nearest million.

This document has not been audited nor reviewed in accordance with Australian Auditing Standards. It should be read in conjunction with Suncorp Group’s consolidated annual and interim financial reports which have been either audited or reviewed in accordance with Australian Auditing Standards.

Figures relate to the quarter ended 30 June 2015 (unless otherwise stated) and should be read in conjunction with other information concerning Suncorp Group filed with the Australian Securities Exchange (ASX).

Disclaimer

This report contains general information which is current as at 04 August 2015. It is information given in summary form and does not purport to be complete.

It is not a recommendation or advice in relation to the Suncorp Group and Suncorp Bank or any product or service offered by its entities. It is not intended to be relied upon as advice to investors or potential investors, and does not take into account the investment objectives, financial situation or needs of any particular investor. These should be considered, with or without professional advice, when deciding if an investment is appropriate.

The information in this report is for general information only. To the extent that the information may constitute forward-looking statements, the information reflects Suncorp Group’s intent, belief or current expectations with respect to our business and operations, market conditions, results of operations and financial condition, capital adequacy, specific provisions and risk management practices at the date of this report. Such forward-looking statements are not guarantees of future performance and involve known and unknown risks and uncertainties, many of which are beyond Suncorp Group’s control, which may cause actual results to differ materially from those expressed or implied.

Suncorp Group and Suncorp Bank undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date of this report (subject to ASX disclosure requirements).

Registered Office

Level 28, 266 George Street, Brisbane Queensland 4000 Telephone: (07) 3362 1222 www.suncorpgroup.com.au

Investor Relations

Mark Ley Head of Investor Relations Telephone: (02) 8121 1221 mark.ley@suncorp.com.au

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Suncorp Bank

APS330 as at 30 June 2015

Table of contents

Basis of preparation .................................................................................................................................................... 2 Regulatory capital reconciliation ............................................................................................................................... 4 Table 1: Common disclosures – Composition of capital ......................................................................................... 6 Table 2: Main features of capital instruments ......................................................................................................... 10 Table 3: Capital adequacy......................................................................................................................................... 11 Table 4: Credit risk .................................................................................................................................................... 12 Table 5: Securitisation disclosures ......................................................................................................................... 17 Table 18: Remuneration disclosures ....................................................................................................................... 18 Appendix - Definitions .............................................................................................................................................. 19

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Suncorp Bank

REGULATORY CAPITAL RECONCILIATION

The following table discloses the consolidated balance sheet of Suncorp-Metway Limited and its subsidiaries (the Group), as published in its audited financial statements, and the balance sheet under the Level 2 regulatory scope of consolidation pursuant to APS 111.

Each component of capital reported below in Table 1: Common Disclosures – Composition of Capital can be reconciled to the balance sheets below using the reference letters included in both tables.

	BALANCE SHEET PER PUBLISHED AUDITED FINANCIAL STATEMENTS	ADJUSTMENTS	BALANCE SHEET UNDER REGULATORY SCOPE OF CONSOLIDATION	REFERENCE
	JUN-15 JUN-15 JUN-15
	$M $M $M
Assets	591 595	- 591 - 595
Cash and cash equivalents
Receivables due from other banks
Trading securities	1,384 651 6,245 - 51,961	- 1,384 - 651 - 6,245 18 18 (3,294) 48,667
Derivatives
Investment securities
Investment in regulatory non-consolidated subsidiaries				(j)
Loans, advances and other receivables
of which: eligible collectiveprovision component of GRCL in tier 2 capital		(99) 177 8		(o)
of which: loan and lease origination fees and commissions paid to mortgage . originators and brokers in CET1 regulatory adjustments				(f)
of which: costs associated with debt raisings in CET1 regulatory adjustments				(g)
Deferred tax assets	81	- 81
of which: arising from temporary differences included in CET1 regulatory . adjustments		79		(e)
Other assets	182	(32) 150
of which: loan and lease origination fees and commissions paid to mortgage . originators and brokers in CET1 regulatory adjustments		3		(h)
Goodwill and intangible assets	21	- 21		(d)
Total assets Liabilities	61,711 (3,308) 58,403 (44,431) (12) (44,443) (401) 17 (384) - (4) (4) (q) (297) - (297) (599) 5 (594) - (62) (62) (3,651) 3,353 (298)
Deposits and short-term borrowings
Derivatives
Securitisation derivatives in CET1 regulatory adjustments
Payables due to other banks
Payables and other liabilities
Due to regulatory non-consolidated subsidiaries
Securitisation liabilities
of which: securitisation start-up costs in CET1 regulatory adjustments	10 (i)
Debt issues	(7,876) - (7,876)
Total liabilities excluding loan capital Loan capital	(57,255) 3,297 (53,958) - (742) - (742)
Subordinated notes
of which: directly issued qualifying tier 2 instruments	(670) (m) (72) (n)
of which: directly issued instruments subject to phase out from tier 2
Preference shares	- - - (l)
Total loan capital	(742) - (742)
Total liabilities	(57,997) 3,297 (54,700)
Net assets	3,714 (11) 3,703
Equity	(2,648) - (2,648) (a) (450) - (450) (k) 224 - 224
Share capital
Capital notes
Reserves
of which: equity component of GRCL in tier 2 capital	(146) (6)			(p)
of which: AFS reserve				(c)
Retainedprofits	(840) 11 (829)
of which: included in CET1	(461) (b)
Total equity	(3,714) 11 (3,703)

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APS330 as at 30 June 2015

REGULATORY CAPITAL RECONCILIATION (continued)

The Level 2 group for regulatory capital purposes consists of the head entity, Suncorp-Metway Limited (SML), and its eligible subsidiaries.

There are no entities included in the regulatory scope of consolidation which are excluded from the accounting scope of consolidation.

The following legal entities are included in the accounting scope of consolidation but are excluded from the regulatory scope of consolidation:

	TOTAL ASSETS TOTAL LIABILITIES
	JUN-15 JUN-15 $ $
SPDEF #2 Pty Ltd	1 -
Principal activity:

The company acts as trustee for Suncorp Property Development Equity Fund #2 Unit Trust.

	JUN-15 JUN-15 $M $M
Suncorp Property Development Equity Fund #2 Unit Trust	26 (1)
Principal activity:

The Trust was established by the directors of SPDEF #2 Pty Ltd (the trustee) for the purpose of forming an unincorporated joint venture to develop land for the purpose of reselling as residential housing lots.

Securitisation special purpose vehicles1	JUN-15 JUN-15 $M $M
Apollo Series 2007-1E Trust Apollo Series 2010-1 Trust Apollo Series 2011-1 Trust Apollo Series 2012-1 Trust Apollo Series 2013-1 Trust Apollo Series 2015-1 Trust	306 (306) 271 (271) 487 (487) 493 (493) 656 (656) 1,179 (1,179)

Principal activity:

The Trusts were established for the purpose of raising funds, via the issue of mortgage backed securities, to fund the purchase of mortgage loans by equitable assignment.

Note

1. The Trusts qualify for regulatory capital relief under APS 120 and are therefore deconsolidated from the Level 2 regulatory group. The assets of the Trusts include the secured loans from SML, representing the outstanding balance of securitised mortgages and accrued interest, as well as cash and other receivables.

Any transfer of funds or regulatory capital within the Level 2 group can occur only after the relevant approvals from management and the Board of each affected entity, in line with the Group’s capital management policies. Any such transactions must be consistent with the Group’s capital management strategy objectives to ensure each entity in the Level 2 group has sufficient capital resources to maintain the business and operational requirements, retain sufficient capital to exceed externally imposed capital requirements, and ensure the Group’s ability to continue as a going concern.

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Suncorp Bank

TABLE 1: COMMON DISCLOSURES – COMPOSITION OF CAPITAL

The disclosures below are presented using the post 1 January 2018 common disclosure template as, pursuant to APRA guidelines, the Bank is applying, in full, the Basel III regulatory adjustments from 1 January 2013.

		JUN-15	SOURCE IN REGULATORY CAPITAL RECON- CILIATION
		$M
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25	Common Equity Tier 1 capital: instruments and reserves	2,648 (a) 461 (b) 6 (c) - -
	Directly issued qualifying ordinary shares (and equivalent for mutually-owned entities) capital
	Retained earnings
	Accumulated other comprehensive income (and other reserves)
	Directly issued capital subject to phase out from CET1 (only applicable to mutually- owned companies)
	Ordinary share capital issued by subsidiaries and held by third parties (amount allowed ingroup CET1)
	Common Equity Tier 1 capital before regulatory adjustments Common Equity Tier 1 capital: regulatory adjustments	3,115 - 21 (d) - - - - - - - - - - - - - - - - -
	Prudential valuation adjustments
	Goodwill (net of related tax liability)
	Other intangibles other than mortgage servicing rights (net of related tax liability)
	Deferred tax assets that rely on future profitability excluding those arising from temporary differences (net of related tax liability)
	Cash-flow hedgereserve
	Shortfallofprovisions to expectedlosses
	Securitisationgainonsale (as set outinparagraph562of Basel II framework)
	Gains andlosses due to changesinowncreditriskon fair valuedliabilities
	Defined benefit superannuation fundnet assets
	Investments in own shares (if not already netted off paid-in capital on reported balance sheet)
	Reciprocalcross-holdingsincommonequity
	Investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, where the ADI does not own more than 10% oftheissued share capital(amount above10% threshold)
	Significant investments in the ordinary shares of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions (amount above10% threshold)
	Mortgage servicerights (amount above10% threshold)
	Deferred tax assets arising from temporary differences (amount above 10% threshold, net of related tax liability)
	Amount exceeding the15% threshold
	of which:significant investments inthe ordinary shares of financial entities
	of which: mortgage servicing rights
	of which: deferred tax assets arising from temporary differences

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APS330 as at 30 June 2015

TABLE 1: COMMON DISCLOSURES – COMPOSITION OF CAPITAL (continued)

		JUN-15	SOURCE IN REGULATORY CAPITAL RECON- CILIATION
26 26a 26b 26c 26d 26e 26f 26g 26h 26i 26j 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 41a 41b 41c 42 43 44 45	National specific regulatory adjustments (sum of rows 26a, 26b, 26c, 26d, 26e, 26f, 26g, 26h, 26i and 26j)
	of which: treasury shares
	of which: offset to dividends declared under a dividend reinvestment plan (DRP), to . the extent that the dividends are used to purchase new ordinary shares . issued by the ADI
	of which: deferred fee income
	of which: equity investments in financial institutions not reported in rows 18, 19 and 23
	of which: deferred tax assets not reported in rows 10, 21 and 25
	of which: capitalised expenses
	of which: investments in commercial (non-financial) entities that are deducted under . APRA rules
	of which: covered bonds in excess of asset cover in pools
	of which: undercapitalisation of a non-consolidated subsidiary
	of which: other national specific regulatory adjustments not reported in rows 26a- 26i
	Regulatory adjustments applied to Common Equity Tier 1 due to insufficient Additional Tier 1 and Tier 2 to cover deductions
	Total regulatory adjustments to Common Equity Tier 1
	Common Equity Tier 1 Capital(CET1)
	Additional Tier 1 Capital: instruments
	Directly issued qualifying Additional Tier 1 instruments
	of which: classified as equity under applicable accounting standards
	of which: classified as liabilities under applicable accounting standards
	Directly issued capital instruments subject to phase out from Additional Tier 1
	Additional Tier 1 instruments (and CET1 instruments not included in row 5) issued by subsidiaries and held by third parties (amount allowed in group AT1)
	of which: instruments issued by subsidiaries subject to phase out
	Additional Tier 1 Capital before regulatory adjustments Additional Tier 1 Capital: regulatory adjustments
	Investments in own Additional Tier 1 instruments
	Reciprocal cross-holdings in Additional Tier 1 instruments
	Investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, where the ADI does not own more than 10% of the issued share capital (amount above 10% threshold)
	Significant investments in the capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation (net of eligible short positions)
	National specific regulatory adjustments (sum of rows 41a, 41b and 41c)
	of which: holdings of capital instruments in group members by other group members . on behalf of third parties
	of which: investments in the capital of financial institutions that are outside the scope of . regulatory consolidations not reported in rows 39 and 40
	of which: other national specific regulatory adjustments not reported in rows 41a & 41b
	Regulatory adjustments applied to Additional Tier 1 due to insufficient Tier 2 to cover deductions
	Total regulatory adjustments to Additional Tier 1 capital
	Additional Tier 1 capital (AT1)
	Tier 1 Capital(T1=CET1+AT1)

APS330 as at 30 June 2015

Suncorp Bank

TABLE 1: COMMON DISCLOSURES – COMPOSITION OF CAPITAL (continued)

		JUN-15	SOURCE IN REGULATORY CAPITAL RECON- CILIATION
		$M
46 47 48 49 50 51 52 53 54 55 56 56a 56b 56c 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75	Tier 2 Capital: instruments and provisions
	Directly issued qualifying Tier 2 instruments
	Directly issued capital instruments subject to phase out from Tier 2
	Tier 2 Capital before regulatory adjustments 987 Tier 2 Capital: regulatory adjustments Investments in own Tier 2 instruments - Reciprocal cross-holdings in Tier 2 instruments - Investments in the Tier 2 capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions, where the ADI does not own more than 10% of the issued share capital (amount above 10% threshold) - Significant investments in the Tier 2 capital of banking, financial and insurance entities that are outside the scope of regulatory consolidation, net of eligible short positions - National specific regulatory adjustments (sum of rows 56a, 56b and 56c) - of which: holdings of capital instruments in group members by other group members . on behalf of third parties - of which: investments in the capital of financial institutions that are outside the scope . of regulatory consolidation not reported in rows 54 and 55 - of which: other national specific regulatory adjustments not reported in rows 56a & 56b -
	Total regulatory adjustments to Tier 2 capital -
	Tier 2 capital(T2) 987
	Total capital(TC=T1+T2) 4,232
	Total risk-weighted assets based on APRA standards 30,610
	Capital ratios and buffers Common Equity Tier 1 (as a percentage of risk-weighted assets) 9.13% Tier 1 (as a percentage of risk-weighted assets) 10.60% Total capital (as a percentage of risk-weighted assets) 13.83% Buffer requirement (minimum CET1 requirement of 4.5% plus capital conservation buffer of 2.5% plus any countercyclical buffer requirements expressed as a percentage of risk-weighted assets) 7.00% of which: capital conservation buffer requirement 2.50% of which: ADI-specific countercyclical buffer requirements - of which: G-SIB buffer requirement (not applicable) Common Equity Tier 1 available to meet buffers (as a percentage of risk-weighted assets) 9.13% National minima (if different from Basel III) National Common Equity Tier 1 minimum ratio (if different from Basel III minimum) n/a National Tier 1 minimum ratio (if different from Basel III minimum) n/a National total capital minimum ratio (if different from Basel III minimum) n/a Amount below thresholds for deductions (not risk-weighted) Non-significant investments in the capital of other financial entities - Significant investments in the ordinary shares of financial entities - Mortgage servicing rights (net of related tax liability) - Deferred tax assets arisingfrom temporarydifferences(net of related tax liability) 79 (e)

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APS330 as at 30 June 2015

TABLE 1: COMMON DISCLOSURES – COMPOSITION OF CAPITAL (continued)

		JUN-15	SOURCE IN REGULATORY CAPITAL RECON- CILIATION
		$M
76 77 78 79 80 81 82 83 84 85	Applicable caps on the inclusion of provisions in Tier 2	245 340 n/a n/a - - 612 - 151 -
	Provisions eligible for inclusion in Tier 2 in respect of exposures subject to standardised approach(priorto applicationofcap)		(o)+(p)
	Cap on inclusionofprovisionsin Tier 2understandardised approach
	Provisions eligible for inclusion in Tier 2 in respect of exposures subject to internal ratings-based approach(priorto applicationofcap)
	Cap for inclusion of provisions in Tier 2 under internal ratings-based approach Capital instruments subject to phase-out arrangements (only applicable between 1Jan 2018 and 1Jan 2022)
	Current cap on CET1 instruments subject to phase out arrangements
	Amount excluded from CET1 due to cap (excess over cap after redemptions and maturities
	Current cap on AT1 instruments subject to phase out arrangements
	Amount excluded from AT1 instruments due to cap (excess over cap after redemptions and maturities)
	Current cap on T2 instruments subject to phase out arrangements
	Amount excluded from T2 due to cap (excess over cap after redemptions and maturities)

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APS330 as at 30 June 2015

Suncorp Bank

TABLE 2: MAIN FEATURES OF CAPITAL INSTRUMENTS

Attachment B of APS330 details the continuous disclosure requirements for the main features of all capital instruments included in the Group’s regulatory capital.

The Group’s main features of capital instruments are updated on an ongoing basis and are available at www.suncorpgroup.com.au/investors/regulatory-disclosures.

The full terms and conditions of all of Suncorp Group’s regulatory capital instruments are available at www.suncorpgroup.com.au/investors/securities[1] .

Note

1. The published full terms and conditions represent the comparable capital instruments issued by Suncorp Group Limited to external investors. The terms of these instruments may differ slightly to those instruments issued by the regulatory Level 2 group.

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APS330 as at 30 June 2015

TABLE 3: CAPITAL ADEQUACY

	CARRYING VALUE	CARRYING VALUE	AVG RISK WEIGHT	RISK-WEIGHTED ASSETS	RISK-WEIGHTED ASSETS
	JUN-15 MAR-15 JUN-15 JUN-15 MAR-15 $M $M % $M $M
On-balance sheet credit risk-weighted assets Cash items Claims on Australian and foreign governments Claims on central banks, international banking agencies, regional development banks, ADIs and overseas banks Claims on securitisation exposures Claims secured against eligible residential mortgages Past due claims Other retail assets Corporate Otherassets and claims	596 523 2 10 4 2,442 2,676 - - - 3,289 3,987 20 674 798 1,047 1,040 20 209 208 38,965 38,586 39 15,035 14,983 538 573 88 473 537 511 520 81 412 418 8,451 8,602 100 8,433 8,581 242 181 100 241 179
Total Banking assets	56,081 56,688 45 25,487 25,708
	NOTIONAL AMOUNT	CREDIT EQUIVALENT	AVG RISK WEIGHT	**RISK-WEIGH **	TED ASSETS
	JUN-15	JUN-15	JUN-15	JUN-15
Off-balance sheet positions Guarantees entered into in the normal course of business Commitments to provide loans and advances Foreign exchange contracts Interest rate contracts Securitisation exposures CVAcapitalcharge	283 281 70 196 192 8,091 2,438 50 1,229 1,104 6,203 217 24 53 76 57,060 139 35 48 60 2,973 47 83 39 43 - - - 108 150
Total off-balance sheetpositions	74,610 3,122 54 1,673 1,625
Market risk capital charge Operational risk capital charge Total off-balance sheet positions Total on-balance sheet credit risk-weighted assets				172 299 3,278 3,282 1,673 1,625 25,487 25,708
Total assessed risk				30,610 30,914
Risk-weighted capital ratios				% %
Common Equity Tier 1 Tier 1 Tier 2				9.13 8.82 10.60 10.27 3.23 3.20
Total risk-weighted capital ratio				13.83 13.47

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APS330 as at 30 June 2015

TABLE 4: CREDIT RISK

Table 4A: Credit risk by gross credit exposure – outstanding as at 30 June 2015

	RECEIVABLES DUE FROM OTHER BANKS (2) TRADING SECURITIES INVESTMENT SECURITIES LOANS, ADVANCES AND OTHER RECEIVABLES (3) CREDIT COMMITMENTS (4) DERIVATIVE INSTRUMENTS (4)	TOTAL CREDIT RISK IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS TOTAL NOT PAST DUE OR IMPAIRED SPECIFIC PROVISIONS
Agribusiness Construction & development Financial services Hospitality Manufacturing Professional services Property investment Real estate - Mortgage Personal Government/public authorities Other commercial & industrial	$M $M $M $M $M $M	$M $M $M $M $M
	- - - 3,983 173 -	4,156 111 21 4,024 27
	- - - 489 155 -	644 15 - 629 8
	595 1,384 5,198 334 216 356	8,083 - - 8,083 -
	- - - 912 47 -	959 25 3 931 16
	- - - 319 20 -	339 14 3 322 11
	- - - 233 11 -	244 7 1 236 2
	- - - 1,997 80 -	2,077 3 6 2,068 3
	- - - 38,506 1,898 -	40,404 21 323 40,060 4
	- - - 380 10 -	390 - 8 382 -
	- - - - - -	- - - - -
	- - - 1,722 109 -	1,831 22 34 1,775 11
Total gross credit risk Securitisation Exposures (1)	595 1,384 5,198 48,875 2,719 356	59,127 218 399 58,510 82
	- - 1,047 3,294 32 15	4,388 - - 4,388 -
Total including Securitisation Exposures Impairment provision TOTAL	595 1,384 6,245 52,169 2,751 371	63,515 218 399 62,898 82
		(208) (82) (27) (99)
		63,307 136 372 62,799

(1) The securitisation exposures of $3,294 million included under “Loans advances and other receivables” qualify for regulatory capital relief under APS 120 and therefore do not contribute to the Bank’s Total gross credit risk. The remaining securitisation exposures carry credit risk commensurate with their respective asset classes in accordance with APS 120.

(2) Receivables due from other banks include collateral deposits provided to derivative counterparties.

(3) Total loans, advances and other receivables include receivables due from related parties.

(4)

“Credit commitments” and “Derivative instruments” represent the credit equivalent amount of the Bank’s off-balance sheet exposures calculated in accordance with APS 112.

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APS330 as at 30 June 2015

TABLE 4: CREDIT RISK (continued)

Table 4A: Credit risk by gross credit exposure – outstanding as at 31 March 2015

	RECEIVABLES DUE FROM OTHER BANKS (2) TRADING SECURITIES INVESTMENT SECURITIES LOANS, ADVANCES AND OTHER RECEIVABLES (3) CREDIT COMMITMENTS (4) DERIVATIVE INSTRUMENTS (4)	TOTAL CREDIT RISK IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS TOTAL NOT PAST DUE OR IMPAIRED SPECIFIC PROVISIONS
Agribusiness Construction & development Financial services Hospitality Manufacturing Professional services Property investment Real estate - Mortgage Personal Government/public authorities Other commercial & industrial	$M $M $M $M $M $M	$M $M $M $M $M
	- - - 4,052 148 -	4,200 138 26 4,036 45
	- - - 528 138 -	666 21 - 645 11
	565 2,121 5,530 248 203 463	9,130 - - 9,130 -
	- - - 949 52 -	1,001 25 1 975 11
	- - - 336 16 -	352 16 12 324 10
	- - - 247 9 -	256 8 1 247 2
	- - - 1,911 72 -	1,983 7 2 1,974 6
	- - - 38,110 1,714 -	39,824 25 321 39,478 4
	- - - 391 10 -	401 - 7 394 -
	- - - - - -	- - - - -
	- - - 1,825 100 -	1,925 12 29 1,884 5
Total gross credit risk Securitisation Exposures(1)	565 2,121 5,530 48,597 2,462 463	59,738 252 399 59,087 94
	- - 1,040 3,537 34 18	4,629 - - 4,629 -
Total including Securitisation Exposures Impairment provision TOTAL	565 2,121 6,570 52,134 2,496 481	64,367 252 399 63,716 94
		(231) (94) (30) (107)
		64,136 158 369 63,609

(1) The securitisation exposures of $3,537 million included under “Loans advances and other receivables” qualify for regulatory capital relief under APS 120 and therefore do not contribute to the Bank’s Total gross credit risk. The remaining securitisation exposures carry credit risk commensurate with their respective asset classes in accordance with APS 120.

(2) Receivables due from other banks include collateral deposits provided to derivative counterparties.

(3) Total loans, advances and other receivables include receivables due from related parties.

(4) “Credit commitments” and “Derivative instruments” represent the credit equivalent amount of the Bank’s off-balance sheet exposures calculated in accordance with APS 112.

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APS330 as at 30 June 2015

TABLE 4: CREDIT RISK (continued)

Table 4A: Credit risk by gross credit exposure – average gross exposure over period 1 April to 30 June 2015

	RECEIVABLES DUE FROM OTHER BANKS (2) TRADING SECURITIES INVESTMENT SECURITIES LOANS, ADVANCES AND OTHER RECEIVABLES (3) CREDIT COMMITMENTS (4) DERIVATIVE INSTRUMENTS (4)	TOTAL CREDIT RISK IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS TOTAL NOT PAST DUE OR IMPAIRED SPECIFIC PROVISIONS
Agribusiness Construction & development Financial services Hospitality Manufacturing Professional services Property investment Real estate - Mortgage Personal Government/public authorities Other commercial & industrial	$M $M $M $M $M $M	$M $M $M $M $M
	- - - 4,018 161 -	4,179 125 24 4,030 35
	- - - 509 147 -	656 18 - 638 9
	580 1,753 5,364 291 210 410	8,608 - - 8,608 -
	- - - 931 50 -	981 25 2 954 14
	- - - 328 18 -	346 15 7 324 11
	- - - 240 10 -	250 8 1 241 2
	- - - 1,954 76 -	2,030 5 4 2,021 5
	- - - 38,308 1,806 -	40,114 23 322 39,769 4
	- - - 386 10 -	396 - 7 389 -
	- - - - - -	- - - - -
	- - - 1,774 105 -	1,879 17 32 1,830 8
Total gross credit risk Securitisation Exposures(1)	580 1,753 5,364 48,739 2,593 410	59,439 236 399 58,804 88
	- - 1,044 3,416 33 17	4,510 - - 4,510 -
Total including Securitisation Exposures Impairment provision TOTAL	580 1,753 6,408 52,155 2,626 427	63,949 236 399 63,314 88
		(220) (88) (29) (103)
		63,729 148 370 63,211

(1) The securitisation exposures of $3,416 million included under “Loans advances and other receivables” qualify for regulatory capital relief under APS 120 and therefore do not contribute to the Bank’s Total gross credit risk. The remaining securitisation exposures carry credit risk commensurate with their respective asset classes in accordance with APS 120.

(2) Receivables due from other banks include collateral deposits provided to derivative counterparties.

(3) Total loans, advances and other receivables include receivables due from related parties.

(4)

“Credit commitments” and “Derivative instruments” represent the credit equivalent amount of the Bank’s off-balance sheet exposures calculated in accordance with APS 112.

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Suncorp Bank

APS330 as at 30 June 2015

TABLE 4: CREDIT RISK (continued)

Table 4A: Credit risk by gross credit exposure – average gross exposure over period 1 January to 31 March 2015

	RECEIVABLES DUE FROM OTHER BANKS (2) TRADING SECURITIES INVESTMENT SECURITIES LOANS, ADVANCES AND OTHER RECEIVABLES (3) CREDIT COMMITMENTS (4) DERIVATIVE INSTRUMENTS (4)	TOTAL CREDIT RISK IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS TOTAL NOT PAST DUE OR IMPAIRED SPECIFIC PROVISIONS
Agribusiness Construction & development Financial services Hospitality Manufacturing Professional services Property investment Real estate - Mortgage Personal Government/public authorities Other commercial & industrial	$M $M $M $M $M $M	$M $M $M $M $M
	- - - 4,078 167 -	4,245 147 26 4,072 48
	- - - 555 143 -	698 19 2 677 10
	566 2,210 5,555 263 190 429	9,213 - - 9,213 -
	- - - 974 50 -	1,024 26 1 997 11
	- - - 350 19 -	369 15 13 341 10
	- - - 246 9 -	255 9 1 245 3
	- - - 1,911 80 -	1,991 8 12 1,971 7
	- - - 37,713 2,294 -	40,007 23 306 39,678 4
	- - - 397 11 -	408 - 7 401 -
	- - - 1 - -	1 - - 1 -
	- - - 1,837 103 -	1,940 13 31 1,896 7
Total gross credit risk Securitisation Exposures(1)	566 2,210 5,555 48,325 3,066 429	60,151 260 399 59,492 100
	- - 1,047 3,001 29 14	4,091 - - 4,091 -
Total including Securitisation Exposures Impairment provision TOTAL	566 2,210 6,602 51,326 3,095 443	64,242 260 399 63,583 100
		(232) (99) (30) (103)
		64,010 161 369 63,480

(1) The securitisation exposures of $3,001 million included under “Loans advances and other receivables” qualify for regulatory capital relief under APS 120 and therefore do not contribute to the Bank’s Total gross credit risk. The remaining securitisation exposures carry credit risk commensurate with their respective asset classes in accordance with APS 120.

(2) Receivables due from other banks include collateral deposits provided to derivative counterparties.

(3) Total loans, advances and other receivables include receivables due from related parties.

(4) “Credit commitments” and “Derivative instruments” represent the credit equivalent amount of the Bank’s off-balance sheet exposures calculated in accordance with APS 112.

15

APS330 as at 30 June 2015

Suncorp Bank

TABLE 4: CREDIT RISK (continued)

Table 4B: Credit risk by portfolio – 30 June 2015

	GROSS CREDIT RISK EXPOSURE AVERAGE GROSS EXPOSURE IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS SPECIFIC PROVISIONS CHARGES FOR SPECIFIC PROVISIONS & WRITE OFFS
Claims secured against eligible residential mortgages Other retail Financial services Government and public authorities Corporate and other claims	$M $M $M $M $M $M
	40,405 40,115 21 323 4 2
	391 396 - 8 - 2
	8,081 8,607 - - - -
	- - - - - -
	10,250 10,321 197 68 78 6
Total	59,127 59,439 218 399 82 10

Table 4B: Credit risk by portfolio – 31 March 2015

	GROSS CREDIT RISK EXPOSURE AVERAGE GROSS EXPOSURE IMPAIRED ASSETS PAST DUE NOT IMPAIRED > 90 DAYS SPECIFIC PROVISIONS CHARGES FOR SPECIFIC PROVISIONS & WRITE OFFS
Claims secured against eligible residential mortgages Other retail Financial services Government and public authorities Corporate and other claims	$M $M $M $M $M $M
	39,824 40,007 25 321 4 3
	401 408 - 7 - 2
	9,130 9,213 - - - -
	- 1 - - - -
	10,383 10,522 227 71 90 3
Total	59,738 60,151 252 399 94 8

Table 4C: General reserves for credit losses

	JUN-15 MAR-15
Collective provision for impairment Ineligible Collective Provisions on Past Due not Impaired	$M $M
	126 137
	(27) (30)
Eligible Collective Provisions EquityReserve for credit losses	99 107
	146 142
General Reserve for Credit losses	245 249

16

Suncorp Bank

APS330 as at 30 June 2015

TABLE 5: SECURITISATION EXPOSURES

Table 5A: Summary of securitisation activity for the period

	EXPOSURES SECURITISED	EXPOSURES SECURITISED	RECOGNISED GAIN OR (LOSS) ON SALE	RECOGNISED GAIN OR (LOSS) ON SALE
	JUN-15	MAR-15	JUN-15	MAR-15
	$M $M $M $M
Residential mortgages	- 1,250 - -
Total exposures securitised during theperiod	- 1,250 - -

Table 5B(i): Aggregate of on-balance sheet securitisation exposures by exposure type

	EXPOSURE	EXPOSURE
Exposure type	JUN-15 MAR-15 $M $M	MAR-15
Debt securities	1,047 1,040
Total on-balance sheet securitisation exposures	1,047 1,040

Table 5B(ii): Aggregate of off-balance sheet securitisation exposures by exposure type

	PRINCIPAL OR NOTIONAL EXPOSURE	PRINCIPAL OR NOTIONAL EXPOSURE
Exposure type	JUN-15 MAR-15 $M $M	MAR-15
Liquidity facilities Derivative exposures	64 68 2,909 3,096
Total off-balance sheet securitisation exposures	2,973 3,164

17

APS330 as at 30 June 2015

Suncorp Bank

TABLE 18: REMUNERATION DISCLOSURES

Table 18: Remuneration disclosures for the year ended 30 June 2015 will be included with the Group’s prudential disclosures for the quarter ended 30 September 2015, in accordance with the requirements of APS330.

18

Suncorp Bank

APS330 as at 30 June 2015

Appendix - Definitions

Capital adequacy ratio	Capital base divided by total assessed risk, as defined by APRA
Common Equity Tier 1	Common Equity Tier 1 Capital (CET1) comprises accounting equity
	plus adjustments for intangible assets and regulatory reserves
Common equity tier 1 ratio	Common Equity tier 1 divided by total assessed risk
Equity reserve for credit	The equity reserve for credit losses represents the difference between
losses	the collective provision for impairment and the estimate of credit losses
	across the credit cycle based on guidance provided by APRA
Past due loans	Loans outstanding for more than 90 days
Risk weighted assets	Total of the carrying value of each asset class multiplied by their
	assigned risk weighting, as defined by APRA
Total assessed risk	Risk weighted assets, off balance sheet positions and market risk
	capital charge and operational risk capital charge, as defined by APRA

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