SpareBank 1 Nord-Norge - Accounts as at 2nd quarter 2011
Stronger position in North Norway
Through the course of 2011, SpareBank 1 Nord-Norge has strengthened its position in North Norway. Successful issues of equity certificates totalling NOK 583 million have enabled the bank to strengthen its position of incontestable solidity.
"This shows great confidence in the development of the region and of SpareBank 1 Nord-Norge," says CEO Hans Olav Karde.
Operating profit for SpareBank 1 Nord-Norge as per 2nd quarter 2011 was NOK 573 million after losses, but before tax. This is NOK 73 million better than the same period last year. The improvement in profits is largely due to an increased contribution from financial investments and lower losses. SpareBank 1 Nord-Norge is a very solid bank with good liquidity and a deposit-loan ratio of 80.3%. The deposit-loan ratio is 2 percentage points higher than at the same time last year.
Return on equity after tax is very good and as at the second quarter was 16.3%, compared with 15.7% at the same time last year.
There has been substantial growth in deposits of 9.1 per cent over the last 12 months. Lending increased by 6.4 per cent over the last 12 months. During the first half of 2011, the bank has seen strong growth in lending to the corporate market.
The Group's core operations continue to be good, showing a profit after losses of NOK 273 million, which is NOK 13 million better than the same period in 2010. Losses are at a low level, with net losses of NOK 25 million. This was NOK 18 million lower than the same period the previous year.
- We are satisfied and our employees have reason to be proud of the profits presented today. Our advisors have completed a demanding process of competence raising that will further strengthen the customer's perception of SpareBank 1 Nord-Norge as the advising bank and we are focusing on activities aimed at personal and business customers in the region, says Karde
Living up to its vision "For North Norway", SpareBank 1 Nord-Norge can point to about 90 per cent of the profits remaining within the region. The bank has 74 offices in North Norway and Svalbard.
Key figures from the accounts appear on page one of the memorandum attached. Any questions may be directed to CEO Hans Olav Karde, tel. 0047 901 51 981 or Deputy CEO Oddmund Åsen, tel. 0047 906 72 757. Also see the bank's website www.snn.no
Tromsø, 10 August 2011
for SpareBank 1 Nord-Norge
Stig-Arne Engen
Communications Director
About SpareBank 1 Nord-Norge:
SpareBank 1 Nord-Norge is a leading provider of financial services and products to the personal and business market and the public sector in the region. The bank has a total customer base of about 244,000 personal customers, about 36,500 business customers including the public sector, groups and associations and about 101,000 insurance customers. The bank is represented through 74 offices in Finnmark, Troms, Nordland and Svalbard.
In September 2010, SpareBank 1 Nord-Norge commenced banking operations in Russia through the North-West 1 Alliance Bank. The bank is 75 per cent owned by SpareBank 1 Nord-Norge, while the other 25 per cent of the shares are owned by SpareBank 1 Nord-Norge's Russian partner Bank Tavrichesky in St. Petersburg. The head office of the new bank is located in St. Petersburg with a branch office in Murmansk.
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.