Note(s): Summary statistics of the excess of NPLs. TIER1_i,t−1 capital ratio; ROA_i,t−1 is the return on asset ratio between profit before taxes and total assets; GLGR_i,t−1, i.e. the gross loan growth rate; Cost-to-Income_i,t−1 is the cost-to-income ratio measured by operating expenses over the intermediation margin; GDP growth_t−1 captures the macroeconomic conditions or business cycle for Italy; Size_i,t−1 is the natural logarithm of total assets