# Decision of the European Central Bank of 29 July 2014 on measures relating to targeted longer-term refinancing operations (ECB/2014/34) (2014/541/EU), Division —: Write-offs/write-downs (3.2B)

Extent: E+W+S+N.I.

In accordance with Regulation (EU) No 1071/2013 (ECB/2013/33), ‘write-down’ means the direct reduction of the carrying amount of a loan on the (statistical) balance sheet owing to its impairment. Similarly, ‘write-off’ means a write-down of the full carrying amount of a loan leading to its removal from the balance sheet. The effects of write-downs and write-offs should be reported with a negative (positive) sign when in net terms they result in a reduction (increase) in outstanding amounts. These data are necessary to allow a full reconciliation between net lending and changes in outstanding amounts.
As regards write-offs/write-downs relating to outstanding loans on the balance sheet, data compiled to comply with the minimum requirements of Part 4 of Annex I to Regulation (EU) No 1071/2013 (ECB/2013/33) (Block 2 of Table 1A on revaluation adjustments) can be used. However, disentangling the impact of loan write-offs/write-downs on securitised or otherwise transferred loans which are not derecognised requires a separate data extraction from the MFIs' internal databases.
Data on outstanding amounts of eligible loans (items 1 and 4) are in principle corrected for the outstanding amounts of provisions in cases where loans are recorded net of provisions on the statistical balance sheet.

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Source: https://www.legislation.gov.uk/eudn/2014/34/annex/II/division/4/division/c/division/ii/division/2 (the official version)
Page: https://openlegislation.uk/eu-decision-2014-34/annex-II/division-4/division-c/division-ii/division-2
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.