Swedbank A

Earnings Release • Feb 8, 2011

Year-end report 2010

Year-end report 2010

Fourth quarter 2010 (compared with the third quarter 2010):

- The quarterly result was SEK 2 750m (2 591)

- Earnings per share were SEK 2.37 (2.23)

- The return on equity was 11.7 per cent (11.3)

- The cost/income ratio was 0.58 (0.55)

- Net interest income increased by 14 per cent to SEK 4 527m (3 980)

- Profit before impairments excluding non-recurring items decreased by 2

per cent to SEK 3 326m (3 409)

- Credit impairments amounted to SEK -483m, i.e., net recoveries (120).

Provisions for loan losses amounted to SEK -1 138m (-84). Net write-offs

amounted to SEK 655m (204). The credit impairment ratio was -0.14 per

cent (0.03)

- The Tier 1 capital ratio according to Basel 2 increased to 15.2 per

cent (13.5 per cent on 31 December 2009). According to transition rules,

the Tier 1 capital ratio increased to 11.0 per cent (10.4). The core

Tier 1 capital ratio was 13.9 per cent (12.0) according to Basel 2 and

10.1 per cent (9.2) according to transition rules.

Full-year 2010 (compared with the full-year 2009):

- The result for the period was SEK 7 444m (-10 511)

- Earnings per share were SEK 6.43 (-10.66)

- The return on equity was 8.1 per cent (-12.5)

- The cost/income ratio was 0.57 (0.51)

- Net interest income decreased by 21 per cent to SEK 16 329m (20 765)

- Profit before impairments excluding non-recurring items decreased by

20 per cent to SEK 13 344m (16 612)

- Credit impairments amounted to SEK 2 810m (24 641). Provisions for

loan losses amounted to SEK 1 405m (21 794). Net write-offs amounted to

SEK 1 405m (2 847). The credit impairment ratio was 0.20 per cent (1.74)

- The proposed dividend is SEK 2.10 per common share and SEK 4.80 per

preference share

- Proposed buy-back programme of up to 10 per cent of outstanding shares

- The dividend policy changed to amount to 50 per cent of the profit for

the year, starting from the financial year 2011.

Read more at www.swedbank.com (http://www.swedbank.com/)

Swedbank promotes a sound and sustainable financial situation for the

many people, households and companies. Our vision is to contribute to a

development "Beyond Financial Growth". As a leading bank in the home

markets Sweden, Estonia, Latvia and Lithuania, Swedbank offers a wide

range of financial services and products. Swedbank has 9.5 million

retail customers and about 670,000 corporate customers with more than

350 branches in Sweden and over 200 branches in the Baltic countries.

The group is also present in other Nordic countries, the U.S., China,

Russia and Ukraine. As of September 30 2010 the group had total assets

of SEK 1,846 billion. Read more at

www.swedbank.com (http://www.swedbank.com/)