The breakdown, by classification, of the balances of “Loans and advances to clients” in the consolidated financial statements is as follows:

Thousand of reais	2018	2017	2016

Classification:
Non-Trading Financial Assets Mandatorily Measured At Fair Value Through Profit Or Loss	619,180	-	-
Loans and Receivables	-	272,420,157	252,002,774
Financial Assets Measured At Amortized Cost	301,072,207	-	-
Of which:
Loans and receivables at amortized cost	321,314,010	287,829,213	268,437,556
Impairment losses	(20,241,803)	(15,409,056)	(16,434,782)
Loans and advances to customers, net	301,691,387	272,420,157	252,002,774
Loans and advances to customers, gross	321,933,190	287,829,213	268,437,556

Thousand of reais	2018	2017	2016

Type:
Loans operations ⁽¹⁾	308,364,517	272,561,017	257,256,452
Lease Portfolio	1,836,504	1,888,444	2,092,882
Repurchase agreements	509,147	403,415	308,483
Other receivables ⁽²⁾	11,223,022	12,976,337	8,779,739
Total	321,933,190	287,829,213	268,437,556

(2) Refers substantially to Foreign Exchange Transactions and Other Receivables with credit granting characteristics.

Note 44-d contains a detail of the residual maturity periods of loans and receivables.

There are no loans and advances to clients for material amounts without fixed maturity dates.

Following is a detail, by loan type and status, borrower sector and interest rate formula, of the loans and advances to clients, which reflect the Bank's exposure to credit risk in its core business, gross of impairment losses:


								2018
Debt Sector by Maturity	Less than 1 year	% of total	Between 1 and 5 years	% of total	More than 5 years	% of total	Total	% of total

Commercial and industrial	109,802,828	58.92%	32,538,999	32.77%	3,951,789	10.90%	146,293,616	45.44%

Real estate	4,298,925	2.31%	7,964,308	8.02%	24,252,119	66.90%	36,515,352	11.34%
Installment loans to individuals	71,433,099	38.33%	57,808,600	58.21%	8,045,894	22.20%	137,287,593	42.64%

Lease financing	838,659	0.45%	997,644	1.00%	326	0.00%	1,836,629	0.57%
Loans and advances to customers, gross	186,373,511	100.00%	99,309,551	100.00%	36,250,128	100.00%	321,933,190	100.00%



								2017
Debt Sector by Maturity	Less than 1 year	% of total	Between 1 and 5 years	% of total	More than 5 years	% of total	Total	% of total

Commercial and industrial	103,377,571	61.65%	31,262,492	37.89%	5,979,047	19.25%	37,241,539	48.85%

Real estate	7,791,753	5.35%	10,970,004	13.29%	16,046,924	51.65%	34,808,681	12.09%
Installment loans to individuals	62,078,225	32.29%	39,393,699	47.74%	9,041,054	29.10%	110,512,978	38.40%

Lease financing	1,000,418	0.71%	886,833	1.07%	1,193	0.00%	1,888,444	0.66%
Loans and advances to customers, gross	174,247,967	100.00%	82,513,028	99.99%	31,068,218	100.00%	184,451,642	100.00%


								2016
Debt Sector by Maturity	Less than 1 year	% of total	Between 1 and 5 years	% of total	More than 5 years	% of total	Total	% of total

Commercial and industrial	99,657,024	61.65%	35,789,118	37.89%	554675800.00%	19.25%	41,335,876	48.85%

Real estate	8,648,702	5.35%	11,761,420	13.29%	16,239,889	51.65%	36,650,011	12.09%
Installment loans to individuals	52,205,927	32.29%	30,867,880	47.74%	5,627,956	29.10%	88,701,763	38.40%

Lease financing	1,152,579	0.71%	937,951	1.07%	2,352	0.00%	2,092,882	0.66%
Loans and advances to customers, gross	161,664,232	100.00%	79,356,369	99.99%	27,416,955	100.00%	168,780,532	100.00%


Thousand of reais	2018	2017	2016

Maturity
Less than 1 year	186,373,511	174,247,968	161,664,232
Between 1 and 5 years	99,309,551	82,513,030	79,356,369
More than 5 years	36,250,128	31,068,215	27,416,955
Loans and advances to customers, gross	321,933,190	287,829,213	268,437,556

Internal risk classification
Low	240,440,294	226,098,497	207,889,639
Medium-low	50,485,682	33,635,378	32,104,168
Medium	11,967,262	10,423,293	10,940,879
Medium - high	7,722,198	8,215,024	6,976,969
High	11,317,754	9,457,021	10,525,901
Loans and advances to customers, gross	321,933,190	287,829,213	268,437,556

The changes in the allowances for the impairment losses on the balances of “Loans and receivables” were as follows:

Thousand of reais				2018
	Stage 1	Stage 2	Stage 3
	Credit losses expected in 12 months	Expected credit losses over a useful life not subject to impairment	Expected credit losses during the useful life subject to impairment
				Total



Balance at beginning of year	3,833,553	3,767,490	13,122,019	20,723,062
Impairment losses charged to income for the year	83,725	389,100	13,067,280	13,540,105
Transfers between stages	(1,096,539)	(273,048)	4,502,795	3,133,208
Movement of the period	1,180,264	662,148	8,564,485	10,406,897
Of which:
Commercial and industrial	(311,546)	(161,669)	4,093,507	3,620,292
Real estate-construction	(10,173)	(28,581)	231,655	192,901
Installment loans to individuals	406,011	581,068	8,721,164	9,708,243
Lease financing	(567)	(1,718)	20,954	18,669
Write-off of impaired balances against recorded impairment allowance	-	(377,471)	(10,916,381)	(11,293,852)
Of which:
Commercial and industrial	-	(132,770)	(3,848,644)	(3,981,414)
Real estate-construction	-	(877)	(189,783)	(190,660)
Installment loans to individuals	-	(243,824)	(6,855,729)	(7,099,553)
Lease financing	-	-	(22,225)	(22,225)

Balance at end of year	3,917,278	3,779,119	15,272,918	22,969,315
Of which:
Loans and advances to customers	3,831,812	3,727,264	12,682,727	20,241,803
Loans and amounts due from credit institutions (Note 5)	-	13,561	-	13,561
Provision for Debt Instruments (Note 6)	85,465	38,296	2,590,190	2,713,951
				-
Recoveries of loans previously charged off	-	-	826,573	826,573
Of which:
Commercial and industrial	-	-	345,085	345,085
Real estate-construction	-	-	103,433	103,433
Installment loans to individuals	-	-	369,557	369,557
Lease financing	-	-	8,498	8,498


Thousand of reais			2017	2016
Balance at beginning of year			18,191,126	15,411,759
Impairment losses charged to income for the year			13,492,072	14,383,935
Of which:
Commercial and industrial			5,499,018	6,523,051
Real estate-construction			471,366	369,431
Installment loans to individuals			7,460,458	7,616,819
Lease financing			61,230	(125,366)
Write-off of impaired balances against recorded impairment allowance			(13,421,560)	(11,604,568)
Of which:
Commercial and industrial			(5,715,903)	(4,553,166)
Real estate-construction			(341,804)	(189,625)
Installment loans to individuals			(7,312,310)	(6,810,997)
Lease financing			(51,543)	(50,780)
Balance at end of year			18,261,638	18,191,126
Of which:
Loans and advances to customers			15,409,056	16,434,782
Loans and amounts due from credit institutions (Note 5)			69,015	201,441
Provision for Debt Instruments (Note 6)			2,783,567	1,554,903

Recoveries of loans previously charged off			1,153,931	994,101
Of which:
Commercial and industrial			412,514	562,393
Real estate-construction			209,940	102,826
Installment loans to individuals			521,589	314,422
Lease financing			9,888	14,460

Taking into account these amounts recognized in “Impairment losses charged to income for the year” and the "Recoveries of loans previously charged off", the "Impairment losses on financial assets - Loans and receivables” amounted on December 31, 2018 R$12,713,532 (2017 - R$12,338,141 e 2016 - R$13,389,834).

The balances of the provision for losses due to non-recovery by debtor sector are as follows:

The details of the changes in the balance of the financial assets classified as “Loans and receivables - loans and advances to clients” (as defined at Note 1.i) and considered to be impaired due to credit risk are as follows:

Following is a detail of the financial assets considered to be impaired classified by age of the oldest past-due amount:

Thousand of reais	2018	2017	2016

With no Past-Due Balances or Less than 3 Months Past Due	12,000,867	10,844,831	10,550,548
With Balances Past Due by
3 to 6 Months	3,473,591	4,123,796	2,983,575
6 to 12 Months	4,929,099	3,791,805	4,921,527
12 to 18 Months	1,144,035	271,965	339,596
18 to 24 Months	325,701	20,825	53,578
More than 24 Months	552,508	91,773	38,308
Total	22,425,801	19,144,995	18,887,132

Debt Sector
Commercial and industrial	11,832,302	11,993,953	11,628,655
Real estate - Construction	1,035,352	781,886	718,514
Installment loans to individuals	9,499,148	6,304,134	6,487,717
Lease financing	58,999	65,022	52,246
Total	22,425,801	19,144,995	18,887,132

As at December 31, 2018, 2017 and 2016 there were no material agreements for lease contracts.

On December 31, 2018, the amount recorded on “Loans and advances to clients” related to loan portfolio assigned is R$122,271 (2017 - R$431,397 and 2016 - R$783,967), and R$126,906 (2017 - R$428,248 and 2016 - R$774,673) of “Other financial liabilities - Financial Liabilities Associated with Assets Transfer” (Note 21).

The foregoing transfer was conducted with a recourse clause and the mandatory repurchase is provided for in the following events:

- agreements subject to portability pursuant to Resolution 3,401 of the Brazilian Monetary Council (CMN);

- agreements subject to rights of intervention by certain parties to the contract.