Circular Letter ST.16-0557 — Establishment of a database regarding non-compliance with statistical reporting obligations for securitization vehicles

2, boulevard Royal ◦ L-2983 Luxembourg ◦ Fax (+352) 4774-4943 ◦ E-mail: reporting.titrisation@bcl.lu Ref.: ST.16-0557 Luxembourg, May 24, 2016 Circular Letter To all securitization entities Establishment of a database regarding non-compliance with statistical reporting obligations for securitization vehicles

Dear Sirs, Madams,

The European Central Bank Decision ECB/2015/50 of December 18, 2015, amending Decision ECB/2010/10 on non-compliance with statistical reporting obligations, will enter into force on July 1, 2016, and will apply to statistical data on securitization vehicles collected by the Banque Centrale du Luxembourg.

Thus, starting from July 2016 (reference period June 2016), the European Central Bank and the Banque Centrale du Luxembourg will monitor compliance by reporting agents with the minimum standards required to fulfill their reporting obligations. This monitoring will be based on feeding a database containing the various infractions identified during the production month in accordance with the minimum statistical reporting standards, see Annex I.

Sanctions may be imposed by the European Central Bank following an infringement procedure in case of non-compliance with the minimum transmission standards (relating to deadlines and technical reporting obligations), accuracy (related to table balancing constraints and data consistency over time), and conceptual compliance (concerning definitions and classifications).

Furthermore, so-called "serious" infractions may also be recorded and subject to sanctions by the European Central Bank. Serious infractions are defined as follows:

2, boulevard Royal ◦ L-2983 Luxembourg ◦ Fax (+352) 4774-4943 ◦ E-mail: reporting.titrisation@bcl.lu

• Systematic non-compliance with minimum revision standards
• Systematic reporting of inaccurate data
• Intentional inaccurate, late, or incomplete reporting
• Manifest failure to cooperate with the Banque Centrale du Luxembourg and/or the European Central Bank

As part of the implementation of this procedure, the Banque Centrale du Luxembourg will no longer accept the transmission of reports via email. Please therefore take the necessary measures to implement the electronic transmission of reports (e-file or Sofie).

Please accept, Sirs, Madams, the assurance of our perfect consideration.

BANQUE CENTRALE DU LUXEMBOURG

Philippe Arondel
Head of the Economic and Financial Statistics Section Roland Nockels Head of the Statistics Department

2, boulevard Royal ◦ L-2983 Luxembourg ◦ Fax (+352) 4774-4943 ◦ E-mail: reporting.titrisation@bcl.lu
Annex I
Annex III of Regulation ECB/2013/40 on statistics on assets and liabilities of securitization vehicles
Minimum standards to be applied by the effective reporting population.

Reporting agents must comply with the following minimum standards to satisfy the statistical reporting obligations imposed by the European Central Bank (ECB).

1. Minimum transmission standards:
   a) reports must be submitted on time and within the deadlines set by the competent National Central Bank (NCB); b) the format and presentation of statistical reports must comply with the technical reporting obligations set by the competent NCB; c) the person or persons to be contacted at the reporting agent must be indicated; and d) the technical specifications for data transmission to the competent NCB must be respected.

2. Minimum accuracy standards:
   a) statistical information must be correct: all table balancing constraints must be respected (for example, assets and liabilities must be balanced, the sums of subtotals must equal the totals); b) reporting agents must be able to provide information on the trends implied by the transmitted data; c) statistical information must be complete and cannot contain continuous and structural gaps; any gaps must be reported and explained to the competent NCB and, if applicable, filled in as quickly as possible; and d) reporting agents must respect the dimensions, rounding policy, and number of decimals set by the competent NCB for the technical transmission of data.

3. Minimum conceptual compliance standards:
   a) statistical information must satisfy the definitions and classifications set out in this Regulation;

2, boulevard Royal ◦ L-2983 Luxembourg ◦ Fax (+352) 4774-4943 ◦ E-mail: reporting.titrisation@bcl.lu b) in the event of deviation from these definitions and classifications, reporting agents must regularly monitor and quantify the difference between the measure used and the measure provided for by this Regulation; and c) reporting agents must be able to explain breaks in the data communicated compared to figures from previous periods.

4. Minimum revision standards:
   The revision policy and procedures set by the ECB and the competent NCB must be respected. Revisions that deviate from normal revisions must be accompanied by explanatory notes.