allocated and unallocated provisions

[Anita]

The question is for professionals working for Canadian banks.

If I understand it correctly, ALLOCATED provisions for loan losses are those provisions (allowance) which have been set aside for specific types of loans (retail, commercial). I might be wrong though. Please correct me, if I am.

Then, what are the UNALLOCATED provisions which also appear in banks annual reports? Have they also been set aside, but without any connection to a particular type of loan?

I have a table from a course book in Bank Risk Management. I can post it here, if needed.

Thank you. :o

[Anita]

OK. I'll try to specify my question a bit more.
Here is the annual report 2004 of RBC. The numbers are provisions.

Consumer loans:
Mortgages $6 mln
Personal $ 212 mln
Credit cards $165
Total $383 mln

Business and Government loans $138 mln

Other Provisions:
Allocated ($147 mln)
Unallocated ($28 mln)
Total ($175 mln)

Total general provisions $346 mln

[Anita]

Could you define 'allocated' and 'unallocated' provisions in the case above please? Please note that both are subtracted (negative).