Länsförsäkringar Bank: Interim report, January-September 2006

“On a market with sharply increasing competition, we continue to grow in all areas. In addition, we are increasing earnings and profitability each quarter, fully according to our plan. Work with positioning Länsförsäkringar as the natural choice in banking and insurance on the Swedish market continues. We are now intensifying this work through increased customer orientation, improved accessibility and tools that release time for advisory service related to the customers’ private economy”, says Tomas Johansson, President of Länsförsäkringar Bank.

Summary
Operating income amounted to SEK 172 M (150) before loan losses and to
SEK 147 M (106) after loan losses.
Income includes a nonrecurring gain of SEK 18.0 M resulting from the sale of
receivables previously written off in Wasa Kredit.
Revenue was up 6% to SEK 745 M (706) and administration expenses increased
by 3% to SEK 573 M (556).
Net interest income rose by 4% to SEK 676 M (650).
The cost/income ratio declined to 0.77 (0.79).
Loan losses remained low, amounting to SEK 25 M (44). The low loans losses
are attributable to a certain extent to the nonrecurring item in Wasa Kredit
An unconditional shareholder contributions totaling SEK 300 M was received.
Return on equity after standard tax was 4.5% (3.8).
Lending to the public increased by 16% to SEK 52 billion (45) and deposits
from the public rose 14% to SEK 24 billion (21).
Mortgage lending by the subsidiary Länsförsäkringar Hypotek rose by 21% to
SEK 35 billion (29).
The number of customers increased to 604,000 (588,000)
Länsförsäkringar continues to have highly satisfied bank customers in the private banking
market, according to the 2006 edition of the Swedish Quality Index (SQI) for the
banking industry.

Figures in parentheses pertain to January-September 2005.

Read the entire report: www.lansforsakringar.se/reports

For further information contact:
Tomas Johansson
President Länsförsäkringar Bank AB
+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