GlobalBankCrdit Financial Holdings PLC estimates that 14% of its AAA to AA- rated loans are at risk for a downgrade to BBB+. Calculate the effect this would have on its minimum capital requirement under Basel III using the table below.

Amount in USD Risk Weight % Risk-adjusted Value in USD

Cash and equivalents 5,000,000 __________ ____________

Government securities 1,500,000,000 __________ ____________

Inter-bank loans 100,000,000 __________ ____________

Mortgage loans 2,000,000,000 __________ ____________

Ordinary loans

BBB+ - BBB- 377,000,000 __________ ____________

AAA AA- 473,000,000 __________ ____________

Standby letters of credit 81,000,000 __________ ____________

Total Assets in USD __________ ____________

Basel II minimum % No longer relevant Basel III minimum % __________ ____________

This will require GlobalBankCrdit Financial Holdings PLC to _____ its reserves by $____.