Company: BBVXF
Filing Date: 2025-02-27
Form Type: F-4/A
Source: 0001193125-25-037317
Chunk: 317

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-02-27
Form: F-4/A
Chunk 317
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.7 |     |        |  1.8 |     |        |  1.9 |     |        |  1.9 |     |                | -6.5 |     |        | -2.4 |     |        |  1.9 |     |        | 2.5 |     |        | 2.5 |
| Alternative scenario 1 |     |            |  5.6 |     |        |  4.6 |     |        |  3.5 |     |        |  3.5 |     |        |  3.5 |     |                | -2.5 |     |        |  0.5 |     |        |  1.0 |     |        | 1.6 |     |        | 3.4 |
| Alternative scenario 2 |     |            | -3.6 |     |        | -2.1 |     |        |  0.0 |     |        |  1.9 |     |        |  1.9 |     |                | -7.8 |     |        | -9.5 |     |        | -0.4 |     |        | 0.0 |     |        | 1.6 |

(*) For Spain, the price variation at year-endis calculated and, for the UK, the average price variation over the year is calculated. In the Group, macroeconomic scenarios have been incorporated into the impairment calculation model. Further adjustments to expected losses The Group applies a series of additional adjustments to the outputs of its credit risk models, referred to as Post Model Adjustments (PMAs) or overlays, in order to address situations in which the outputs of those models are not sufficiently sensitive to uncertainty or to capture events that cannot be modelled. These adjustments are temporary and remain in place until the reasons for which they were originally applied cease to exist. In all cases, the aforesaid overlays followed the policies and procedures set by the Group, as well as their internal governance workflow, which includes a review by the second line of defence. As at 31 December 2023, the additional adjustments applied to expected losses stemming from credit risk models amounted to around 80 million euros, of which 50 million euros corresponded to adjustments relating to sectoral factors and 30 million euros to adjustments arising from the macroeconomic environment. Both adjustments were due to