ČSOB will consider possible further legal steps leading to the revision of this award.
The payment of damages and contractual penalties will have an adverse financial impact on ČSOB and KBC Group. In accordance with IFRS, ČSOB is required to provision the full amount of CZK 3.7 billion in its 4Q2022 P/L, impacting KBC Group’s 4Q2022 P&L to the extent of -149 million euro before tax/-121 million euro after tax. The CET1-ratio fully loaded DC at the end of 2022 decreases from 15,4% to 15,3%.
ČSOB assures its clients, business partners and other interested parties that the payment of the above-mentioned amount in the arbitration will not have any effect on the stability and functioning of the ČSOB group.
ČSOB maintains a strong capital and liquidity position. On February 9, 2023, ČSOB announced a net profit after tax for the year 2022 to the amount of CZK 17.5 billion, and the above amount, after taking into account income tax, will be deducted from the profit of the previous year. As of December 31, 2022, the equity capital of the ČSOB Group stood at CZK 103.9 billion and the common Tier 1 capital (CET1) ratio was 19.9%. After taking into account the above-mentioned amount, the group's equity would fall to CZK 101.0 billion and the Common Tier 1 capital (CET1) ratio would decrease to 19.8%.
* This news item contains information that is subject to the transparency regulations for listed companies.
 The annual report 2022 (publication 3 April 2023) will be adapted accordingly.