Länsförsäkringar Alliance, year-end report 2007:

- Länsförsäkringar has been a leader in Swedish non-life insurance for many years – in terms of market shares, expertise and customer offering. We continue to hold this position, but after the past year I would be so bold as to say that we are also Sweden’s best life-assurance company, with the best return to our savers of all of Sweden’s pension companies and with finances that have been further strengthened. Successful management leads to successful sales, and new sales rose by more than 60%. Volume growth in the banking operations was the strong ever, for example, mortgage lending rose by 30%. All in all, we can summarize a strong 2007 with favorable earnings across the board and a robust financial position. The end of the year was characterized by major turmoil in the global capital markets. However, Länsförsäkringar is not exposed to the unrest in the credit market, says Tommy Persson, Managing Director of Länsförsäkringar AB, the Alliance’s jointly owned company.

2007 in brief:

• The technical result for non-life insurance remained strong and amounted to SEK 2,322 M (2,114). Operating profit was SEK 3,769 M (4,545). The return on shareholders’ equity was 11.6%.
• As a result of the favorable earnings within non-life insurance, 15 of the regional insurance companies will pay bonuses in various forms to their customers. In total, the bonuses amount to about SEK 800 M.
• The total return on investment assets in Länsförsäkringar Liv (life assurance) was 6.7% (8.0), which was the best of all pension companies in Sweden. Successful management provided customers a bonus rate of 10% at year-end.
• Income from bank operations before loan losses amounted to SEK 290 M (236) and operating income to SEK 238 M (198). Lending to the public rose 25% to SEK 67 billion (54) and deposits from the public increased by 22% to SEK 30 billion (24). Mortgage lending rose 30% to SEK 48 billion (37).
• Income before tax for the Länsförsäkringar Alliance’s jointly owned company Länsförsäkringar AB with subsidiaries amounted to SEK 1,269 M (821). The return on shareholders’ equity was 10.0% (7.7).
• The Swedish Quality Index for 2007 revealed that Länsförsäkringar had Sweden’s most satisfied private bank customers, mortgage customers, medical insurance customers and car insurance customers. Within all other categories, Länsförsäkringar was ranked among the top three. The Länsförsäkringar Alliance was also awarded a number of distinctions in 2007, including “Life Assurance Company of the Year” and “Non-life Insurance Company of the Year” from Finansbarometern and “Best Broker of the Year.”

Read the full report: www.lansforsakringar.se/info

For further information please contact:

Tommy Persson, Managing Director Länsförsäkringar AB
Phone: +46 8 588 400 00

Christer Baldhagen, Senior Vice President Corporate Communications Länsförsäkringar AB
Phone: +46 70 57 970 66