January - March 2006

Market shares, high growth and stable financial result First quarter 2006 in summary (comparative figures refer to the first quarter 2005): Consolidating and raising key market shares •The share of new mortgage loans to private customers in Sweden rose to 28 percent (23) •For household deposits, the market share for new savings in Sweden increased to 31 percent (23) •The share of bank lending was 51 percent (52) in Estonia, 25 percent (22) in Latvia and 23 percent (23) in Lithuania. Continued high growth in Baltic and Swedish Banking •Lending in Baltic Banking rose by 62 percent to SEK 99 billion (61), while deposits rose by 47 percent to SEK 72 billion (49) •Operating profit in Baltic Banking rose by 25 percent to SEK 651 M (519) •In Swedish Banking, lending rose by 9 percent to SEK 701 billion (645), while deposits rose by 5 percent to SEK 235 billion (224). Stable financial result •Profit for the period rose by 9 percent to SEK 2,270 M (2,088) •Earnings per share rose by 8 percent to SEK 4.41 (4.07) •The return on equity decreased to 16.6 percent (18.5) •The C/I ratio rose to 0.56 (0.53) •The primary capital ratio decreased to 6.5 (6.7) •Operating profit amounted to SEK 2,843 M (2,842) •Total income rose by 4 percent to SEK 6,543 M (6,274) •Net interest income decreased by 4 percent to 3,777 (3,939) •Net commissions rose by 37 percent to SEK 2,098 M (1,530) •Expenses increased by 10 percent or SEK 317 M to SEK 3,650 M (3,333), of which staff costs increased by SEK 224 M, mainly caused by the consolidation of First Securities and growth in Baltic Banking where the number of employees rose by 1,204 or 19 percent. •Loan losses decreased by 49 percent to SEK 50 M (99). Read the interim report below