Länsförsäkringar Bank: Interim report, January-March 2006

“The year has begun well. We continue to grow in line with our strategy. Our efforts to reduce costs and increase revenues have had a favourable impact on the result. We are improving on all fronts despite a more challenging market. During the period we were particularly successful in the area of savings, and are focusing intensively on generating even more meetings with customers in all of the channels through which we encounter banking and insurance customers’’, says Thomas Johansson, President of Länsförsäkringar Bank.

Summary - Income before loan losses amounted to SEK 54 M (51). Operating income after loan losses amounted to SEK 40 M (34). - Profit after tax amounted to SEK 29 M (25). - Revenue was up 3% to SEK 323 M (315) and administration expenses increased by 2% to SEK 270 M. - Net interest income rose by 0.3% to SEK 220 M (219). - The cost/income ratio declined to 0.83 (0.84). - Loan losses remained low, amounting to SEK 14 M (16). - Unconditional shareholders contribution totaling SEK 300 M have been received. - Return on equity was 3.9% (4.0). - Lending to the public increased by 19% to SEK 49 billion (41). - Deposits from the public rose 12% to SEK 22 billion (19). - Mortgage lending by the subsidiary Länsförsäkringar Hypotek rose by 28% to SEK 32 billion (25). - During the third quarter of 2006, Länsförsäkringar Bank will submit an application, through Länsförsäkringar Hypotek AB, to the Swedish Financial Supervisory Authority, for permission to issue covered bonds. Figures in parentheses pertain to January-March 2005. Read the entire report: www.lansforsakringar.se/reports For further information contact: Tomas Johansson President and CEO Länsförsäkringar Bank +46 8 588 419 82 +46 73 96 419 82 tomas.g.johansson@lansforsakringar.se Christer Baldhagen Senior Vice President Corporate Communications Länsförsäkringar AB +46 8 588 415 01 +46 70 579 70 66 christer.baldhagen@lansforsakringar.se