Company: BBVXF
Filing Date: 2025-08-12
Form Type: DRS
Source: 0000950123-25-007520
Chunk: 441

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-08-12
Form: DRS
Chunk 441
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 Individuals with 1st mortgage guarantee  |     |      | 1.89 |     |                   | 2.27 |     |      | 2.29 |     |                   | 3.12 |
| Real estate development and construction |     |      | 5.66 |     |                   | 5.69 |     |      | 6.44 |     |                   | 6.48 |

(*) Corresponds to the NPL ratio excluding TSB. A more detailed quantitative breakdown of allowances and assets classified as stage 3 can be found in Note 11, and a more detailed breakdown of refinancing and restructuring transactions is included in Schedule IV. 4.4.2.7. Concentration risk Concentration risk refers to the level of exposure to a series of economic groups which could, given the size of that exposure, give rise to significant credit losses in the event of an adverse economic situation. Exposures can be concentrated within a single customer or economic group, or within a given sector or geography. Concentration risk can be caused by two risk subtypes:

| – | Individual concentration risk: this refers to the possibility of incurring significant credit losses as a result of 
 maintaining large exposures to specific customers, either to a single customer or to an economic group.             |

| – | Sector concentration risk: imperfect diversification of systematic components of risk within the portfolio, which can 
 be sector-based factors, geographical factors, etc.                                                                   |

Banco Sabadell has a series of specific tools and policies in place to ensure its concentration risk is managed efficiently:

| – | Quantitative metrics from the Risk Appetite Statement and their subsequent monitoring, including both first-tier 
 (Board) metrics and second-tier (Executive) metrics.                                                             |

| – | Individual limits for risks and customers considered to be significant, which are set by the Delegated Credit 
 Committee.                                                                                                    |

| – | A structure of conferred powers which requires transactions with significant customers to be approved by the Risk 
 Operations Committee, or even by the Delegated Credit Committee.                                                  |

In order to control its concentration risk, Banco Sabadell Group has rolled out the following critical control parameters: Consistency with the Global Risk Framework The Group ensures that the level of its concentration risk exposures is consistent with its tolerance of this risk, as defined in the RAS. Overall concentration risk limits and adequate internal controls are in place to ensure that concentration risk exposures do not go beyond the risk appetite levels established by the Group