sharing experiences of xbrl projects corep/finrep in france

Sharing Sharing experiences experiences of XBRL projects of XBRL projects COREP/FINREP COREP/FINREP in France in France

Sylvie LEPICIER

XBRL France

VI European Banking Supervisors XBRL Workshop, 4th – 5th October 2006, Madrid

Sylvie LEPICIER, XBRL FranceVI European Banking Supervisors XBRL Workshop, 4th – 5th October 2006, Madrid

Agenda

• XBRL France

• COREP FINREP in France

• Use Cases

• Issues and Solutions


InstitutionsCompagnie nationale des Commissaires aux ComptesSecrétariat Général de la Commission Bancaire (Banque de France)Conseil National de la ComptabilitéConseil Supérieur de l’Ordre des Experts ComptablesINSEE

AuditorsPriceWaterhouseCoopers

• Financial data provider• COFACE

• Companies–Non profit organisations• BNP Paribas• Edificas• PSA Finance• GE Factofrance• OCBF• Groupe Banque Populaire• Groupe Caisse d’épargne

IT companies,Software providers, experts

Atos Origin Integration

Cartesis

CEGID

Microsoft France

SopraGroup

Software AG

UBMatrix

Invoke

III - Umanis

LGB Finance

Viveo

Fujitsu

C. Marion

XBRL France Members in 2006 (27 members)


Not for profit organisation

With Board and Steering Commitee

Phillippe Bonnin - President

Bruno Tesnière – Vice President

Sylvie Lepicier – Treasurer

Jean-Luc Menda – Member of the Board

Gilles Maguet – Secretary General

XBRL France – Legal Structure


Taxonomy Working group

French financial statements Taxonomy Working Group with the aim to set up a taxonomy according to French Gaap in coordination with Edificas organisation

IFRS Taxonomy Working Group – Translation of the IFRS Taxonomy

COREP/FINREP Working Group geared by Banking Commission in France

Marcom Croup (events, marketing materials, breakfasts, newsletter, etc.)

Technology Group in support to the other groups

XBRL France – Working Groups


1st step : To Carry out the translation of 4000 elements names of the 2005 IFRS GP Taxonomy

Process : a translation group has been set up between XBRL Belgium, NBB (National bank of Belgium), XBRL France, Banque de France, CNC (Conseil national de la Comptabilité – France) and IASB in July 2006

An intern appointed by XBRL France is in charge of this specific task

The cross-checking is under process between CNC and NBB

XBRL France – Translation of the IFRS Taxonomy (1/2)


To help the checking, all the labels are classified by accounting class (Balance sheet classified, BS liquidity, BS portfolio, Income statement by function, by nature,...)

The FINREP translation is also taken into account

A release in draft wil be probably available for mid october

The final release should be ready for mid-november

Next step : the translation and checking of the 2006 IFRS GP Taxonomy

XBRL France – Translation of the IFRS Taxonomy (2/2)


Agenda

• XBRL France


• Use Cases



Banking Regulatory Reporting in France

Before June 2007 : Existing system

$

$

BAFI FR GAAPBAFI IFRS

BAFI FR GAAP

MonthlyQuarterly…Annually

SITU.CB :….AAØØ1Ø3B5A…………..000000100000………

IFRS

Banque de France(SGCB)

Consolidated accounts

Corporate accounts

SGCB : Secrétariat général de la Commission Bancaire

BAFI : Base des Agents Financiers, existing reporting system


Regulatory Reporting in France

After June 2007 : COREP FINREP

$

$

BAFI FR GAAP

Banque de France(SGCB)

(Quarterly)Semi-annuallyAnnually

BAFI FR GAAP

BAFI IFRS

COREPFINREPSGCB

COREPSGCB

IFRS


Regulatory Reporting in France COREP FINREP Regulatory Requirement

June2007

1st reportingin Paris

PublicationFINREP & COREP

CEBS

June2006

PublicationFINREP & COREP

(last project) FRANCE

Oct.2007

Deadline for transmission

January 2006

(reduced)


Agenda

• XBRL France


• Use Cases



Use case 1French bank with international and european subsidiaries

Macro-Analysis

Dictionnary

PérennizationMaintenance

Project Management

Fullfillment

Intégration

Mapping

Gap treatment

Sensibilisation Workshops

?

??


Use case 1 The main questions at each step

• Lexical / Dictionnary :

•Questions : how to summarize all the regulations on COREP and FINREP and how to give a correct meaning for the understanding of each party within the bank

•French CB instruction (COREP in november and FINREP in June)

•CRD directives

•Basel 2 texts

•IRFS rules

•Questions/answers from French Banking Federation (FBF) and Banking Commission

•Local bank financial rules referentialDICTIONNARY


Use case 1 The main questions at each step

Gap treatment

•Mapping :

•Once precisely defined the exact meaning of elements, find the way of mapping the data :

•Direct mapping : the data already exist in the accounting system or risk systems

•The data don’t exist : gap analyses and treatment

•Examples :

•the breakdown by counterparty

•Risk cells for FINREP

•New breakdown (ex : 2 years for risk liquidity instead of 1, 3 and 5 years as before)


Use case 1The questions regarding the IT architecture for FINREP and COREP reporting

Risk Management

Data

Accounting and

consolidationsystem

FINREPCOREP

?

?

Counterparties breakdown

Prudential templates

?

Subsidiaries

Credit risk

Risk Management

Data

Market risk

Xls.xbrl files


Use case 1The questions regarding the IT architecture for FINREP and COREP reporting•What is the best organisation to produce COREP and FINREP reportings ?

•Head of Finance and Heaf of Risk separately or the financial department, traditionnally in charge og the reporting tasks ?

•Which systems to use ?

•Legacy systems already operationnal for consolidation and risk management, both of them or a special XBRL tool ?

•Reporting systems already operationnal or a new XBRL system as a convertor/validator ?

•Which are the controls to enforce for :

•Reconciliation of risk data and accounting data

•Treatment of gap (COREP and FINREP data required and data available in both systems)


Use case 1The « state of art » regarding the IT architecture for FINREP and COREP reporting•Most of the time, the financial department is in charge of reporting as before

•The data reconciliation between risk and acounting is viewed like as an important parameter in the project

•The choice of the XBRL tools (XBRL module of existing systems or new provider for convertor/validator) is still pending at this step


Use Case 2 French bank specialised in consumer credit

Business complianceTechnology complianceCommission bancaire

Master data base

Susidiaries

XBRL tools

Outsourcing

providers

subsidiaries

Accounting and consolidation systems

XBRL Tools (viewer,…)


Use Case 2 French bank specialised in consumer credit

•The main issues identified are :

How to collect data from

• subsidiaries (which own their proprietray legacy IT system)

• partners (the bank has outsourced most of the back office management tasks)

• How to deal with subsidiaries In / outside Europe (COREP/FINREP and non COREP/FINREP)

• How to extent the XBRL tools through the whole bank


Agenda

• XBRL France


• Use Cases

• Transversal Issues


The main planning for COREP and FINREP reporting en France

FINREP

Semi-annual

June Octobre 2007

December Avril 2008

COREP

Quaterly if total of assets sup 80 milliards euros

If not semi-annually

June septembre 2008

December Mars 2008NB : As of June about 15 statements have to be sent

As of december about 27 statements

4 months

3 months

2 months

3 months


Due to the reduction of remittance delay, speed up of data collection and processing are required

Stream B : Closing process consistency “Fast Close”Speed up of data collection and processing

New tasks to be handled Risk-accounting data reconciliation process and tool implementation Co-validation of RWAs Control of Regulatory reporting Collection and assembling of Credit, Market and Operational RWA ; new ratio calculation

Stream B : Closing process consistency “Fast Close”Speed up of data collection and processing




Dates to keep in mind at the Europeanlevel Which agenda should be respected ?

TCHEQUIEsubsidiary

AUSTRIAsubsidiary

Francesubsidiary

BelgiqueHead-office

Basel II : local options / calculation rules (counterparty types ,…)

First date / frequency : quaterly, remittance delay (down to 8 days ?), cells asked : all

First date / frequency : quaterly, remittance delay (1 month),

First date (june 2007)/ frequency : semi-annually, remittance delay (down to 2 months)

First date (Finrep 2006, Corep 2008)Remittance delay : 40 days

?

Example


Thank youMuchas gracias

[email protected]

XBRL France

153, Rue de Courcelles

75017 Paris

+33.6.87.89.71.91

mailto:[email protected]

sharing experiences of xbrl projects corep/finrep in france

Documents

comptabilit france

groupsxbrl france

nbbxbrl france translation

finrep translation

group translation

translation group

solutionsxbrl france

ifrs taxonomy corepfinrep