1
Positioned for profitability and growth
Mr Jan Lidén
CEO
Capital Markets Day
Kiev, 5 March 2008
© Swedbank 2
Agenda
• Po...
2
© Swedbank 3
Strong position for profitability and growth
Ukraine and RussiaBalticsSweden
Stable base
Growth and
experie...
3
© Swedbank 5
Strategic recap – what was highlighted last time we met in
November 2006?
High ROE / low
risk Swedish
retai...
4
© Swedbank 7
Strong profit development
-1,000
1,000
3,000
5,000
7,000
9,000
11,000
13,000
15,000
17,000
2000 2001 2002 2...
5
© Swedbank 9
Strategic priorities for the coming year
Efficiency Growth
© Swedbank 10
Strategic priorities for the comin...
6
© Swedbank 11
Strategic priorities for the coming year – Growth
Sweden
• Private banking and
wealth management
• Metropo...
7
© Swedbank 13
Swedbank Russia – Objectives
• Long-term vision of a universal bank in Russia intact
– but a relatively sl...
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Capital markets day 2008 - Jan Lidén

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Swedbank was founded in 1820, as Sweden’s first savings bank was established. Today, our heritage is visible in that we truly are a bank for each and every one and in that we still strive to contribute to a sustainable development of society and our environment. We are strongly committed to society as a whole and keen to help bring about a sustainable form of societal development. Our Swedish operations hold an ISO 14001 environmental certification, and environmental work is an integral part of our business activities.

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Capital markets day 2008 - Jan Lidén

  1. 1. 1 Positioned for profitability and growth Mr Jan Lidén CEO Capital Markets Day Kiev, 5 March 2008 © Swedbank 2 Agenda • Positioned for profitability and growth – CEO Mr Jan Lidén • High quality funding – CFO Mr Mikael Inglander • Break • Swedish Banking – Head of Swedish Banking, Mr Kjell Hedman • Baltic Banking – Head of Baltic Banking, Mr Erkki Raasuke • Swedbank Ukraine – Head of Swedbank Ukraine, Mr Sergey Tigipko • Summary and wrap-up • Press meeting • Dinner
  2. 2. 2 © Swedbank 3 Strong position for profitability and growth Ukraine and RussiaBalticsSweden Stable base Growth and experience Future growth and profitability Swedbank is the leading bank in Sweden. Profitability is high and stable and the bank is consolidating its market shares in important segments in both the private and corporate sectors. Swedbank has a small but growing presence in Ukraine and Russia. In the long term, a significant share of Swedbank’s growth will be generated in these markets. The Baltic economies are experiencing strong economic growth that is expected to remain for many years. As the largest bank in the region, growing with the market ensures attractive earnings growth. Share of profit 2007: 66% Share of lending 2007: 80% Share of profit 2007: 2% Share of lending 2007: 2% Share of profit 2007: 32% Share of lending 2007: 16% © Swedbank 4 Growing number of home markets 2003 2008 2012 Business is conducted through decentralized decision making, but supported by common methodology and processes
  3. 3. 3 © Swedbank 5 Strategic recap – what was highlighted last time we met in November 2006? High ROE / low risk Swedish retail business Baltic focus - long term growth Moderate differentiation in selected businesses Active capital management • Expected beneficiary of Basel 2 • Denmark, Norway, Finland & Russia • Investment & merchant banking • Capture market growth opportunity • Realize cross-border synergies • Retain high market share • Target growing segments • Maintain excellent asset quality • Manage cost base © Swedbank 6 Tier 1 capital 0 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 0.0 0.1 0.2 0.3 0.4 0.5 Income Costs C/I-ratio SEKm % Baltic Banking Operations Did we deliver? Lending in Denmark, Norway, Finland and Russia SEKbn 2007 2006 Growth 12.2 18.4 51% Swedbank Markets has opened 4 new corporate finance units in Estonia, Latvia, Lithuania and Russia 2007 2006 Return on equity,% 23.2 22.3 Market shares % (private): Mortgages 30 30 Net new savings 18 17 Deposits 26 26 No. of payments 32 31 Impaired loans gross (SEKm) 1,167 1,129 Total costs increased by 3.5% as well as Swedish CPI 0 1 2 3 4 5 6 7 8 9 10 Q105 Q205 Q305 Q405 Q106 Q206 Q306 Q406 Q107 Q207 Q307 Q407 0 1 2 3 4 5 6 7 8 9 10 Tier 1 ratio, Basel 2 Tier 1 ratio, transition rules Target Tier 1 ratio % % Swedish Banking
  4. 4. 4 © Swedbank 7 Strong profit development -1,000 1,000 3,000 5,000 7,000 9,000 11,000 13,000 15,000 17,000 2000 2001 2002 2003 2004 2005 2006 2007 -1,000 1,000 3,000 5,000 7,000 9,000 11,000 13,000 15,000 17,000 Profit before loan losses Capital gains EnterCard and KIAB Loan losses, net* Operating profit (excl. capital gains) SEKm SEKm *Loan losses, net = write-offs + provisions – recoveries + change in property taken over © Swedbank 8 A value-driven organization Service Leadership Results-oriented Open Innovative Committed Accessible Uncomplicated Proactive Values Customer perception
  5. 5. 5 © Swedbank 9 Strategic priorities for the coming year Efficiency Growth © Swedbank 10 Strategic priorities for the coming year – Efficiency Sweden • Structural measures (operational and branch structure) • Channel management • Cash handling The Baltic region • Improve cross-border capabilities • Productivity - measurement and continuous improvement scheme • Employee retention • IT management development Ukraine • HR management • Competence build- up and growth management • Process management • IT systems Broad client base and large volumes together with efficient processes will drive operational efficiency
  6. 6. 6 © Swedbank 11 Strategic priorities for the coming year – Growth Sweden • Private banking and wealth management • Metropolitan areas • Corporate market • New initiatives to come – life and pension, etc The Baltic region • Leverage on pan- Baltic position within corporate sector • Broaden client offerings • Investment management growth Ukraine • Capture growth • Grow distribution network – ATMs, branches and agency network • Broader product range From a strong position in several markets there is an excellent organic growth opportunity for Swedbank in many areas – with some differences in regional focus © Swedbank 12 Swedbank Markets – Objectives • Swedbank Markets shall be a leading multi-domestic player in the region with the competitive advantage of serving our customers with access to/from the CEE region. • Overall priority is to further increase cross-border capital markets business in the region. In 2007 Swedbank Markets delivered a record profit Swedbank Market’s profit to Swedbank’s shareholders 0 200 400 600 800 1,000 1,200 2003 2004 2005 2006 2007 SEKm Swedbank Markets excluding First Securities First Securities
  7. 7. 7 © Swedbank 13 Swedbank Russia – Objectives • Long-term vision of a universal bank in Russia intact – but a relatively slow pace during 2008 • Building robust administrative routines • Growing corporate business • Open a few new retail branches during 2008 – retail products development • Implementation of new IT system • Risk management improvement In 2007 Swedbank Russia faced significant challenges but still increased lending and profits © Swedbank 14 Summary • Swedbank offers a strong and stable banking operation with high profitability across several geographical areas • Swedbank has a solid foundation that offers very good organic growth opportunities • Focus on efficiency will secure continued profitable growth for the Group Swedbank - Positioned for profitability and growth

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