For the three months ended June 30, 2017, ATB assets were $48.6 billion, with residential mortgages amounting for $15.132 billion; $7.055 billion of insured loans and $8.076 billion uninsured.
Most (76.5%) of the mortgages have amortization periods of less than 25 year with 20.9% falling between 25-30 years and 2.6% between 30 and 35 years.
ATB stress tests reveal potential losses in its residential mortgage portfolio under such scenarios to be manageable given the portfolio’s high proportion of insured mortgages and low loan-to-value ratio.
Mortgage loans past due but not impaired totalled $250,987 with the majority falling within a month of due. Impaired mortgages totalled $79,844, down from $81,165 in the previous quarter.
Loan loss provisions for ATB’s first quarter were $21.5 million, compared to $93.5 million in the first quarter a year earlier.
“Declining loan loss provisions are a sign that Alberta’s economy is improving and business confidence is returning this year,” said Dave Mowat, ATB’s President & CEO. “It’s also a reflection of the calibre and grit of Albertans and ATB’s commitment to support them through the tough times.”
The lender increased its participation in the Canada Mortgage Bonds program and other collateralized borrowing as it was able to securitize more of its growing mortgage book.