content_image/85509.jpg content_image/85516.jpg
<img src='content_image/85509.jpg'>

The effects of the deconsolidation of Deutsche Hyp Deutsche Hy- pothekenbank AG are shown in the line „Changes in the group of consolidated companies” 2002. 

The loan portfolio contains non-accrual loans of ¤ 8,374 (2002: 10,452) mn. The total amount of loans with provisions against the principal include ¤ 3,068 (2002: 2,556) mn of loans on which the Group continues accruing interest with a specific allowance against the total interest accrued. The interest income not recognized from loans on non-accrual status amounted to ¤ 367 (2002: 470; 2001: 448) mn. The amount of interest collected and recorded on non-accrual loans was approximately ¤ 49 (2002: 66; 2001: 45) mn. 

At December 31, 2003 the Group had ¤ 9,498 (2002: 12,221) mn of impaired loans of which ¤ 8,722 (2002: 10,742) mn had a related valuation allowance. For the year ended December 31, 2003 the av- erage balance in impaired loans was ¤ 11,780 (2002: 12,773) mn and the interest income recognized on impaired loans was ¤ 117 (2002: 131, 2001: 67) mn. 

## 9 Trading assets 

<img src='content_image/85516.jpg'>

The majority of equities and fixed-income securities held in trading assets are marketable and listed securities. The fixed-income securi- ties include ¤ 67,300 (2002: 50,038) mn from public-sector issuers, and ¤ 44,229 (2002: 41,680) mn from other issuers. 

The positive market values of derivative financial instruments are shown on a net basis, i. e. taking into account existing netting agree- ments. 

