Let me highlight the role of smaller community banks in the PPP, because they demonstrate the agility and close relationships with customers that was so important in connecting with the businesses most threatened by the lockdowns. Banks with less than $ billion in assets have made a million loans under the PPP, about one-fifth the total, delivering $ billion in relief to their customers.
In particular, Banco de Portugal determined (i) the elimination of ESFG Group’s exposure to Espirito Santo International not covered by contractual obligations and guarantees assessed conservatively and (ii) the creation of an escrow account with a minimum reserve equalling the remainder of the debt issued by Espírito Santo International and placed with BES customers, to be supported by cashflows from entities outside the ESFG Group perimeter.