Information for shareholders to clarify facts or issues raised in the market.
25 May 2005
Stress Testing of the Bank's home loan portfolio.
20 October 2004
A question was raised during the Investor Half Day Briefing held on 19 October in relation to Dividend Payout Ratio. In response we provide the following table, explaining the method of calculation.
16 September 2004
On page 19 of the Profit Announcement document for the full year ended 30 June 2004, total Funds Under Administration as at 30 June 2004 is shown as $109,883 million. Analysts have asked for the 31 December 2003 number which compares to the total 30 June 2004 number. In response we provide the following comparative table, giving the itemised Funds Under Administration.
13 August 2004
Amendment to Net Tangible Assets per Share Ratio
Restatement of the Net Tangible Assets per share ratio.
14 July 2004
An analyst report dated 14 July 2004 indicated that Commonwealth Bank's policy for recognising mortgage broker commissions is to expense upfront commissions against net interest income.
The report is correct in that Commonwealth Bank's current policy in relation to mortgage broker commissions is to expense 100% of the upfront and trailing commissions as incurred.
However, upfront commissions are expensed within lending fees (which forms part of other banking income), and not expensed within net interest income. Trailing commissions are expensed within net interest income.
29 June 2004
An analyst report dated 28 June 2004 compared certain Commonwealth Bank salaries with those of another bank. That comparison was made from information provided by the FSU and based on Hay points (see attached file).
The Commonwealth Bank’s statement in response is contained in the attached file.
15 April 2004
In response to a letter by a shareholder to the Australian Financial Review dated 7 April, referring to share buy-backs:
The Bank’s capital management activities endeavour to distribute all forms of surplus value to all of the Bank’s shareholders equitably. Yet the financial position of each shareholder is different driven by, amongst other things, where they reside, their total income and their tax status. Within this constraint, there is a number of alternatives where surplus value can be returned to shareholders. These include:
1. High dividend payout ratio
2. Special dividend
3. On-market buy-back
4. Capital return
5. Off-market structured buy back (with capital and franking component)
CBA shareholders already enjoy a high dividend payout ratio compared with peers and the market in general. Given the Bank's diverse shareholder base, the Bank has calculated that a combination of dividends and buy-backs is the optimum strategy for the Bank to deliver shareholder returns, which benefit shareholders in different ways, leaving each shareholder to determine how they will participate.
2 December 2003
Correction of Analyst Comments on PERLS II
In response to incorrect statements or inferences made in recent analyst reports, Commonwealth Bank would like to clarify that the total PERLS II issue will qualify as Tier 1 capital and notes that the Bank will continue to have significant hybrid capacity following the PERLS II issue. Click here for further information.
19 September 2003
'Which new Bank' Customer Service Vision - Further clarification of numbers in today's analyst presentation
In response to analyst questions, we have decided to provide further clarification around the annual spend on the 'Which new Bank' customer service vision and the impact on the profit over the three years.
The attached table sets out the spend, by year (as per slide 15 of the analyst presentation) and an expansion of slide 17, including years 2005 and 2006. The table excludes the impact of all of the benefits and the relatively minor impact of amortisation associated with the investment.
- View Customer Service Vision media release, media presentation and analyst presentation on the News & Information page.
27 November 2002
ASX Announcement by Commonwealth Bank in response to the Australian Financial Review article ‘CBA shares fall under pressure'
Standard and Poor's has given no indication of an intention to downgrade its outlook for the Bank. Other than the announcement made at the AGM on 1 November 2002 relating to a hybrid raising and associated buyback, the Bank does not need to raise any additional equity.
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