Secrétariat général de la Commission bancaire

1. Secrétariat général de la Commission bancaire COREP - FINREP - XBRL The French Banking Commission approach Sylviane DELARUE Head of IT Department Jerome POUPARD IT Expert COREP - FINREP - XBRL SGCB

2. COREP- FINREP- XBRLThe French Banking Commission approach 1 • A French European based project 2 • Large and open consequences on IT systems 3 • French taxonomies 4 • The French Banking Commission COREP-FINREP project : « COFINREP »

3. XBRL taxonomies built by the CEBS for COREP and FINREP will be essential in order to create a common framework, because they include : A vocabulary common to european supervisors elaborated on the basis of official european regulations and A common « grammar » through its « Linkbases ». XBRL allows for a european flexible approach, including national specific elements European taxonomies will constitute a common framework, to which elements : can be added  extension or from which elements can be inhibeted  restriction 1. A French European based project

4. Two european initiatives were taken to this endeavour : A common reporting for a common solvency ratio (COREP – COmmon REPorting) CRD Directives 14 June 2006: final adoption of Directives 2006/48/CE et 2006/49/CE June 2006: French text transmitted for approval after a common work with the banking industry COREP 13 January 2006: CEBS publishes COREP templates => http://www.c-ebs.org/standards.htm 28 June 2006 : Banking Commission examines the project of COREP « rules » to be adopted once the final text introducing CRD in the French legal framework will be adopted. 1. A French European based project

5. A common « prudential » reporting for banks consolidated accounts in IFRS (FINREP, FINancial REPorting) European regulation of direct application in France European reporting published by the CEBS on 16 December 2005 => http://www.c-ebs.org/standards.htm Discussion with the banking industry on the French reporting during the first half of the year Adoption of the French rules by the Banking Commission on 28 June 1. Un projet européen décliné au niveau français

6. The French Banking Commission decided to make it mandatory for the banks to transmit their COREP and FINREP reports, using the XBRL standard for reasons of efficiency and cost. Therefore we intend to run, in a first stage, two parallel information systems : COFINREP and BAFI Possible since : Relatively few common data between the new reportings and the present data base COREP and FINREP are new and would have, in any case, needed important and complex developments in the old system This situation will not hinder the supervisors’ work However, we will need to run data exchanges between both systems 2 • Large and open consequences on IT systems

7. Civil statuts data Input Output Configuration 2 • Large and open consequences on IT systems BAFI Financial Institution Information System Accreditation Prudential and accounting Reporting Inside applications CB/BDF Bâle II SIGNECB COREP Instances Data Control and management IFRS Data mining FINREP Instances XBRL Taxonomy management Accreditation COFINREP

8. The working relation between banks and the BC will change only marginally : The General Secretary of the Banking Commission will provide the banks with the adapted French version of the european taxonomies The financial agent will be able to fully use them with them help of « technical guides » The financial institutions concerned will transmit their reports (instance documents according to XBRL vocabulary) XML/XBRL, via the usual data transmission means After verification of data quality, anomalies will be restituted to each institution 2 • Large and open consequences on IT systems

9. Study of the European taxonomies validated by the CEBS Study of the CB regulations document Comparison of the sets of information: between the templates of the European taxonomy and the CB templates (adopted or presented) in order to gather all the differences. Some templates and information will be added Others will be prohibited 3. Création des taxonomies françaises

10. Creation of the French extension on the base of the European taxonomies (for FINREP as well as COREP) that will act like a filter in order to create the French taxonomies All the labels of concepts coming from the European taxonomies will be translated into French Creation of the French specific concepts (with an English and French label) Internal validation of the taxonomies with the help of our tools. (formalism and standards) 3. Création des taxonomies françaises

11. The taxonomy, with the « approved » status, will be accessible on the BANQUE DE France website (under the supervision part: « Reporting XBRL ») for the profession to make a feed back. At the same time a information « push » will be sent to the financial agents’ correspondents Gather of the feedbacks (or remarks) Via mail on our common mail box Via our web site Depending on these responses, we will eventually modify the taxonomy to the point it may need a new full cycle of validation The final taxonomy will be on the BDF website with the « Published » status 3.Création des taxonomies françaises

12. 3.Création des taxonomies françaises

13. The following documentation will be available as well as the taxonomy: Printout of all the concepts used in the French taxonomy. Reference note: For all the European elements (link to the CEBS website) Links to the French regulations (link to the Banque de France website) 3.Création des taxonomies françaises

14. First XBRL reporting : COREP and FINREP are to be sent for the 30/06/2007 A four month delay will be accepted as it is the first emission (see: the annex on delivery dates). A test platform will be available to the financial agents on January 2007. They will be able to verify their instances and get a complete report containing any anomalies encountered. 3.Création des taxonomies françaises

15. 4 • The Banking Commission project : « COFINREP » French taxonomy definitions Professional’s Feed back Validated taxonomies Launch T A X O N O M Y Taxonomy editing tool delivery, getting started and training Taxonomy extensions Taxonomy finalization Project management and supervision 01/2007 Final version european Taxonomies & Beginning of French taxonomies 09/2006 Taxonomies available for the professional public 10/2006 First draft European taxonomies 01/2006

16. COREP: between 600 and 650 liable entities : 19 tables that is to say about 14000 data in total with :         1100 data with a possible postponement         8300 data asked in standard approach and 6000 in IRBA approach. FINREP: About 80 liable entities 42 tables (in 27 "documents") that is to say 1895 data. About 280 supervisors and inspectors. 4 taxonomy managers IT team : supplier : between 5 and 10 persons depending on phases of the projet internal IT team : between 4 et 6 persons depending on phases of the project. 4 • The Banking Commission project : « COFINREP » Some figures :

17. Choice of a generic software : Very short deadlines, Use XBRL as far as possible Legal process for open tender : Research of software solutions : september 05, Open tender : the 7th of december 05, Emission of specifications by the BC : the 3rd of february 06, Choice of solution : may 06 The chosen software meets 60% of users requierements in the basic version The 40% of specific developments are taken in charge by the supplier The solution (software and materials) is easy to integrate into the existing production lines at BDF. 4 • The Banking Commission project : « COFINREP »

18. 4 • The Banking Commission project : « COFINREP » • Scope of the project : : • French taxonomies management (creation, extension, restriction, update, publication) • reception management (COREP and FINREP reportings with xbrl format) • electronic signature of the instance documents • habilitations and reference data management • Controls of the receipts • reminders in case of anomalies or lateness of data • synthesis and reporting for the needs of the supervisors • interface with the others systems of BDF • Automatisation of the processes

19. 4 • The Banking Commission project : « COFINREP » Financials institutions (submitters) BACKEND INTRANET EXTRANET - Taxonomy creation - Instance management - Taxonomy published - Intances workflow Instance Document Instance Document Instance Document Instance Document Receipt Management Taxonomy Reception Management Taxonomies Instance Document Instance Document Databases servers Control and storage Amounts ctrl. BAFI/COFINREP Comparision • Reporting synthesis • Conception • Reporting calculation Taxonomy management Taxonomy control Taxonomy Taxonomy Mistakes/Errors Corporate Directory Server: BAFI … Reporting Extraction COFINREPReporting Errors Reporting synthesis Habilitations Reference data management

20. 4 • The Banking Commission project : « COFINREP » • The solution integrates the XBRL format into the total production line : • The XBRL instance documents (sent by the financial institutions) are receipted and then controlled and stored in xbrl format • The synthesis and calulated reportings are directly built from the xbrl instance documents (via XSLT) • The outputs (extraction for sending data to IEDOM for example) are possible in XBRL • This approach allows the IT information system COFINREP to fully use this format benefits ; which are the interoperability and extensibility.

21. 4 • The Banking Commission project : « COFINREP » Delivery modularization : • Unique signature per emitted file • A file may contain, if needed, any amount of XBRL instances (COREP and/or FINREP) A simplified instance format; • The instances contain a single CIB (Banque identifier), a single taxonomy, a single date and a single monetary value. • The different dimension necessary for a template are to be delivered in a single instance. (For example; COREP’s Template CR and it’s exposure classes) • For FINREP, in regards of it’s current structure, all data describing a certain date will have to sent in the same instance

22. 4 • The Banking Commission project : « COFINREP » A COFINREP delivery is structured around: • A single XML file • A electronic signature envelop • A element regrouping all the different header element • Header elements containing information necessary for the identification of the instance, and a single XBRL instance • XBRL instances The XBRL instances will have to be compliant; • XBRL 2.1 • Aggregation 1.0 • Dimension 1.0 - French taxonomy

23. 4 • The Banking Commission project : « COFINREP » Electronic signature Group of header Header Header Header XBRL XBRL XBRL

24. 4 • The Banking Commission project : « COFINREP » The XBRL instances will go through the following steps: • Verification of the signature and the habilitations • The received file will be divided in single XBRL instances • Validation of each XBRL instance against the different normes asked by the Commission Bancaire (XBRL 2.1, French taxonomy…) • Controls with existing data (from BAFI) and with other XBRL instances • Daily batch to check the coherence and progress of delivery sets • A delivery status report including anomalies will be sent to each financial agent • Data processing to create reports in XBRL. The technology XSLT will be used for the visual display

25. 4 • The Banking Commission project : « COFINREP » Go live Portal V1 Go live Portal V2 Launch Validation Global conception P O R T A L Portal V.1 Portal V.2 07/2006 06/2007 01/2008 06/2006 Project management and supervision

26. All the technical components of COFINREP portal are known and used into the existing production lines of BDF : Server : Windows/Unix SGBDR : Oracle in environment Unix Middleware SQL*Net for the standard accès to Oracle bases Server WAS (Websphere Application Server) The system management is centralized. 4 • The Banking Commission project : « COFINREP »

27. 4 • The Banking Commission project : « COFINREP » QUESTIONS ?