Update: reassessment of interest rate derivatives for SME clients

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ABN AMRO is busy reassessing the situation of around 7,000 clients with interest rate derivatives.

The Uniform Recovery Framework, agreed late in 2016, specifies how this is to be done. In the past year, a lot of time went into deciding how to implement the Recovery Framework in practical terms. We drafted compensation proposals and offered clients advances. Over the past six months, all clients within the scope of the Recovery Framework (over 6,200) received a letter with a tailored advance proposal. Advances offered to clients exceeded EUR 250 million. This is half the total amount earmarked for compensation.

Progress to date

On 1 February, around 75% of the proposed advances have been accepted, and 44 clients have received their compensation proposal. In the months ahead, we will be making strides with our reassessments. This year, over 400 ABN AMRO employees will be working on the project. They will be joined by 150 employees of the external assessment agency that has been hired to oversee ABN AMRO’s correct implementation of the Recovery Framework. Our aim is to provide clarity by the end of Q2 to all clients being handled by our Financial Restructuring & Recovery Team, and by the end of 2018 to all other clients. 

For more information on the reassessment and progress made, see www.abnamro.nl/herbeoordeling.

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