Länsförsäkringar Hypotek: Interim report, January-September 2006

“The operations are continuing to perform according to plan. Low lending losses and a healthy interest net are important signs of strength. To this will be added the covered bonds, which will provide us with an even better base for competitive borrowing. This will enhance our market position and ensure that we will be able to continue to offer our customers attractive prices for their mortgage loans. When we attain our target, we will be able to offer more investors an attractive investment option”, says Anders Borgcrantz, President of Länsförsäkringar Hypotek.

Summary
- Lending increased by 21%, from SEK 29 billion to SEK 35 billion.
- In August, the market share for mortgage lending rose from 2.8% to 2.9%.
- Operating income amounted to SEK 30.7 M (18.9), marking a continuation of the favorable quarterly trend in operating income.
- Net interest income increased by 15% to SEK 146 M (127).
- Capital adequacy was 10.5% (11.6) and the Tier 1 ratio 8.7% (9.4).
- The number of customers increased to 89,000 (79,000).
- On September 27, an application was submitted to the Swedish Financial Supervisory Authority concerning permission to issue covered bonds.

Figures in parentheses pertain to January-September 2005.

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

For further information contact:

Anders Borgcrantz
President Länsförsäkringar Hypotek AB
+46 8 588 412 51
+46 73 96 412 51
anders.borgcrantz@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