Länsförsäkringar Hypotek: Interim report January-June 2007

“During the second quarter, we further consolidated our position as a challenger and price-pressure force in the mortgage market. We are now capturing more than 11% of new lending, which indicates that we have an extremely competitive offering to our customers. Moody’s and Standard & Poor’s gave our covered bonds the highest possible credit rating and in June we began issuing the bonds with great success. Accordingly, we can show that our operations represent stability, quality and a long-term approach. We will continue to challenge in the future with attractive offerings in the market”, says Anders Borgcrantz, President of Länsförsäkringar Hypotek.

Summary
Lending increased by 23%, from SEK 34 billion to SEK 42 billion.
The market share of mortgages to households increased from 2.9% to 3.2%.
The market share of new lending in the mortgage market was approximately 11% as of June 30.
The covered bonds received the highest possible credit rating from both Moody’s and Standard & Poor’s.
Operating income amounted to SEK 23.8 M (17.7).
Net interest income rose by 24% and amounted to SEK 106.9 M (86.1).
Capital adequacy was 11.23% and the Tier 1 ratio 9.84%.
The number of customers rose to 101,800 (87,000).

Figures in parentheses pertain to January-June 2006.
All comparative figures have been restated in accordance with IFRS.

The full report is attached to this press release.

For further information, contact:

Anders Borgcrantz,
President, Länsförsäkringar Hypotek AB
+46 (0)8-588 412 51
+46 (0)73- 96 412 51

Dag Rosander,
Press Officer, Länsförsäkringar AB
+46 (0)8-588 414 99
+46 (0)73-96 414 99