Company: BBVXF
Filing Date: 2025-09-05
Form Type: F-4/A
Source: 0001193125-25-196513
Chunk: 697

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-09-05
Form: F-4/A
Chunk 697
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, having reviewed the borrower’s assets and financial position, that the borrower is unlikely to 
 experience financial difficulties.                                                                              |

| – | A minimum of two years have passed since the date of the restructuring or refinancing or, if later, since the date of 
 reclassification to the stage 3 category.                                                                             |

| – | The borrower has paid the instalments of principal and interest accumulated since the date of the refinancing or 
 restructuring or, if later, since the date of reclassification to the stage 3 category.                          |

| – | The borrower has no other transactions with amounts more than 30 days past due at the end of the probation period. |

Refinancing, refinanced and restructured transactions remain in the stage 3 category until it can be verified that they meet the general criteria for reclassification from stage 3 into a different category, particularly the following requirements:

| – | It is concluded, having reviewed the borrower’s assets and financial position, that the borrower is unlikely to 
 experience financial difficulties.                                                                              |

| – | One year has passed since the date of the refinancing or restructuring. |

| – | The borrower has paid the accumulated instalments of principal and interest. |

| – | The borrower has no other transactions with amounts more than 90 days past due on the date on which the refinancing, 
 refinanced or restructured transaction is reclassified as stage 2.                                                   |

In the case of refinanced/restructured loans classified as stage 2, in addition to the general classification criteria, certain specific criteria are applicable which, if met, lead to reclassification into one of the higher risk categories described previously (i.e. into stage 3, as a result of borrower arrears, when payments are, in general, over 90 days past due, or for reasons other than borrower arrears, when there are reasonable doubts as to their recoverability). The methodology used to estimate losses on these portfolios is generally similar to that used for other financial assets at amortised cost, but it is considered that, in principle, the estimated loss on a transaction that has had to be restructured to enable payment obligations to be satisfied should be greater than the estimated loss on a transaction with no history of non-payment,unless sufficient additional effective guarantees are provided to justify otherwise. 1.3.4.1.2 Credit loss allowances The Group applies the following parameters to determine its credit loss allowances:

| – | EAD (Exposure at Default): the Institution defines exposure at