SpareBank 1 Nord-Norge today presents its interim accounts for the first 9 months of the year.  The Group's operating result, before tax, but after credit losses, totalled NOK 402 million, up from NOK 214 million for the corresponding interim period last year, an improvement of NOK 188 million or 88 per cent.  The good result is attributable to  enhanced revenue production for the sale of banking products and services, a positive development of overall costs, coupled with lower credit losses than 12 months ago.  The operating result for the first 9 months of 2004 produced a 15.53 per cent after-tax return on equity capital and NOK 22.74 earnings per Primary Capital Certificate (PCC), recalculated on an annual basis.

 

As at 30.9.2004, Group assets stood at NOK 42,419 million, up by NOK 2,294 million or 5.7 per cent on the comparable interim period last year.

 

Group loans to customers (gross) totalled NOK 38,255 million at the end of the quarter currently under review, up by NOK 1,955 million or 5.4 per cent on the corresponding interim period last year.  Retail banking loans expanded by 13.6 per cent, whereas the corporate and public sectors shrank by 5.5 per cent. 

 

The main Board of Directors is very pleased with the result for the first 9 months of 2004.  The improvement within many areas shows that the various measures which were implemented in 2003, aimed at boosting further levels of overall quality and operational effectiveness, have produced good results.  Every effort will continue to be made in order to reduce the credit risk applicable to certain commercial and industrial areas, and to improve earnings from risk-free areas.

 

Against the background of the Bank's overall performance during the first 9 months of 2004, the main Board of Directors expects results to develop in a satisfactory manner for the remainder of the year.

 

More details relating to the Group's various operational areas can be found in the attached financial information.