Financial effects through September 2003

Financial effects through September 2003 Skandia's result is affected by external factors such as changes in the stock market and interest rates. Future revenues, which are based on fund values, increase or decrease as a result of these factors. According to information presented in conjunction with the interim report for the second quarter of 2003, a 1% increase in the stock market would have a one-time effect on the operating result of SEK +62 million and a 1% decrease would have a one-time effect on the operating result of SEK -55 million. Financial effects during the first half of 2003 were positive in the amount of SEK 216 million. During the third quarter of 2003, financial effects are expected to be positive and are estimated to be in the range of SEK 100 million to SEK 200 million. Third quarter sales Skandia reported on its sales for the third quarter on 13 November 2003. The sales development and new sales for unit linked assurance are summarized in the appended table on page 2. Comparison figures To facilitate comparison, as in the 2002 Annual Report, the group overview presented in connection with the interim report will be stated excluding the result for discontinued operations. This format is show in the appended tables on pages 3-5. By discontinued operations is meant American Skandia and the banking operation in Switzerland. As previously announced, a decision has been made to wind up the Swiss banking operation, which will close its office on 20 November 2003. Skandia's interim report for the third quarter of 2003 will be released on 24 November 2003. For further information, please contact: Harry Vos, Head of Investor Relations, tel +46-8-788 3643 Sales development, third quarter 2003 The sales development pertains to the third quarter of 2003 compared with the corresponding period a year ago. % SEK Local currency Group, total Sales 3 11 of which, unit linked assurance -1 7 New sales, unit linked assurance 1 7 Sweden (excl. Skandia Liv) Sales -9 -9 of which, unit linked assurance -1 -1 New sales, unit linked assurance 0 0 Comparison figures 2002 for group overview GROUP OVERVIEW - QUARTERLY ANALYSIS 2002 2002 2002 2002 2002 SEK million 12 mos. Q4 Q3 Q2 Q1 Sales 1) Unit linked assurance 53,967 13,391 13,185 13,638 13,75 3 Mutual funds 16,963 3,750 4,147 5,220 3,846 Direct sales of funds 2,341 423 590 264 1,064 Life assurance 1,638 710 408 273 247 Other businesses 453 114 95 118 126 Total sales 75,362 18,388 18,425 19,513 19,03 6 Result summary Unit linked assurance 3,027 795 724 733 775 (according to the embedded value method) Mutual funds -291 -90 -56 -87 -58 Life assurance 119 5 35 20 59 Other businesses -18 14 -35 -47 50 Group expenses -569 -179 -122 -159 -109 Result of operations 2,268 545 546 460 717 Financial effects, unit linked -2,267 -457 -898 -792 -120 assurance (according to the embedded value method) Items affecting comparability 1,566 -450 - 2,016 - Operating result 1,567 -362 -352 1,684 597 Other comparison figures Total annualized new sales, 9,176 2,318 2,064 2,361 2,433 unit linked assurance 2), SEK million Profit margin new sales, unit 13.5 13.4 14.9 12.9 13.1 linked assurance, % Profit and loss account (according to Swedish GAAP) Result after tax, incl. -4,298 -4,505 -1,451 1,498 160 discontinued operations, SEK million Result after tax, excl. 2,724 -44 666 1,770 332 discontinued operations, SEK million Earnings per share, incl. -4.20 -4.40 -1.42 1.46 0.15 discontinued operations, SEK 3) Earnings per share, excl. 2.66 -0.04 0.65 1.73 0.32 discontinued operations, SEK 3) 1) Sales pertain to paid-in premiums and deposits in funds. 2) Periodic premiums recalculated to full-year figures plus 1/10 of single premiums during the period. 3) Earnings per share, after dilution. Comparison figures 2003 for group overview GROUP OVERVIEW - QUARTERLY ANALYSIS 2003 2003 SEK million Q2 Q1 Sales 1) Unit linked assurance 14,07 12,57 7 1 Mutual funds 4,368 3,323 Direct sales of funds 632 1,373 Life assurance 253 276 Other businesses 116 146 Total sales 19,44 17,68 6 9 Result summary Unit linked assurance (according to the embedded value 848 634 method) Mutual funds -54 -68 Life assurance 7 32 Other businesses 50 -7 Group expenses -177 -135 Result of operations 674 456 Financial effects, unit linked assurance (according to 499 -283 the embedded value method) Items affecting comparability -46 - Operating result 1,127 173 Other comparison figures Total annualized new sales, unit linked assurance 2), SEK 2,259 2,073 million Profit margin new sales, unit linked assurance, % 13.8 13.5 Profit and loss account (according to Swedish GAAP) Result after tax, incl. discontinued operations, SEK -43 127 million Result after tax, excl. discontinued operations, SEK -75 177 million Earnings per share, incl. discontinued operations, SEK -0.04 0.12 Earnings per share, excl. discontinued operations, SEK -0.07 0.17 1) Sales pertain to paid-in premiums and deposits in funds. 2) Periodic premiums recalculated to full-year figures plus 1/10 of single premiums during the period. 3) Earnings per share, after dilution. Specification, discontinued operations Operating 2003 2003 2002 2002 2002 2002 2002 result, Q2 Q1 12 mos. Q4 Q3 Q2 Q1 SEK million American Skandia 125 0 -10,848 -6,718 -2,268 -1,472 -390 Skandia Bank -93 -50 -164 -55 -50 -22 -37 Switzerland Result before 2003 2003 2002 2002 2002 2002 2002 tax, Q2 Q1 12 mos. Q4 Q3 Q2 Q1 SEK million American Skandia 125 0 -9,145 -6,545 -1,921 -438 -241 Skandia Bank -93 -50 -164 -55 -50 -22 -37 Switzerland Result after 2003 2003 2002 2002 2002 2002 2002 tax, Q2 Q1 12 mos. Q4 Q3 Q2 Q1 SEK million American Skandia 125 0 -6,853 -4,405 -2,066 -247 -135 Skandia Bank -93 -50 -169 -56 -51 -25 -37 Switzerland ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/11/14/20031114BIT00640/wkr0001.doc http://www.waymaker.net/bitonline/2003/11/14/20031114BIT00640/wkr0002.pdf