NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 165 12/31/2003 12/31/2002 ¤ mn ¤ mn Underwriting commitments – 7 Irrevocable loan commitments Advances 25,595 31,321 Stand-by facilities 7,909 11,567 Guarantee credits 2,817 2,942 Discount credits 40 75 Mortgage loans/Public-sector loans 229 307 Total other commitments 36,590 46,219 12/31/2003 12/31/2002 ¤ mn ¤ mn Contingent liabilities on endorsed bills  of exchange settled with customers – 1 Including: rediscounted at central banks (–) (–) Contingencies on guarantees and  warranties Credit guarantees 1,476 1,878 Other guarantees and warranties 16,223 16,234 Letters of credit 1,583 2,092 of which: letters of credit opened (919) (1,107) letters of credit confirmed (664) (985) Subtotal 19,282 20,205 Liability on collateral pledged for third- party liabilities 8 – Other contingent liabilities 63 385 Total contingent liabilities 19,353 20,590 Other contingent liabilities and other commitments Other contingent liabilities and other commitments resulting prima- rily from our banking business include the Group’s potential future liabilities under loan commitments to customers not yet drawn upon, with the term of such commitments being limited. The Group en- gages in providing open credit facilities to allow customers quick ac- cess to funds required to meet their short-term obligations as well as their long-term financing needs. Such credit facilities can take the form of guarantees, whereby the Group might guarantee repayment of a loan taken out by a client with a third party, stand-by letters of credit which are credit enhancement facilities enabling customers to engage in trade finance at lower cost, documentary letters of credit which are payments related to foreign trade finance made on be- half of a customer and reimbursed to the Group later, note issuance facilities and revolving underwriting facilities which allow customers to issue money-market paper or medium-term notes when required without engaging in the normal underwriting process on each occa- sion. Revenue for guarantees is recognized under “Fee and commis- sion income” and is determined by application of agreed rates on the nominal amount of the guarantees. Other contingent liabilities and other liabilities comprise: The liability arising from Dresdner Bank’s interest in Bankhaus Reuschel & Co. is unlimited due to the legal form in which this en- terprise is organized. The financial status of the other partners in- volved is sound.  The shares in LIKO are owned 30 % by Deutsche Bundesbank, with the rest of the shares being held by other German banks and banking associations. The shareholders have provided capital of  ¤ 200 mn to fund LIKO; Dresdner Bank’s participation is  ¤ 12.1 mn (6.05 %). The Dresdner Bank Group is contingently liable to pay in further as- sessments to LIKO up to  ¤ 60.5 mn. In addition, under clause § 5 (4) of the Articles of Association of LIKO, Dresdner Bank is committed to a secondary liability which arises if other shareholders do not ful- fill their commitments to pay their further assessment. In all cases of secondary liability, the financial status of the other shareholders in- volved is sound. Liquiditäts-Konsortialbank GmbH (LIKO) is a bank founded in 1974 in order to provide funding for German banks which experience liquidity problems.  On the balance sheet date commitments to pay up shares, bonds and other capital interests totaled  ¤76 (2002:  85) mn; secondary li- ability under clause § 24 of the German Limited Liability Companies Act (GmbH-Gesetz) were  ¤ 16 (2002: 16) mn, and obligations arising from hire, rental and leasing agreements existed in an aggregate amount of  ¤2,845 (2002:  2,920) mn. As of December 31, 2003 there were no underwriting commit- ments drawn. The figures disclosed in the accompanying tables represent the amounts at risk should customers draw fully on all facilities and then default, excluding the effect of any collateral. The majority of these commitments may expire without being drawn upon and are not rep- resentative of actual future credit exposure or liquidity requirements for such commitments. 