DNB Bank ASA

Report Publication Announcement • Apr 20, 2023

IFRS 17 Insurance contracts - Restated comparative figures for 2022

IFRS 17 Insurance contracts - Restated comparative figures for 2022

The new accounting rules for the recognition, measurement and presentation of

insurance contracts (IFRS 17) became mandatory for the period beginning on 1

January 2023, with requirements for comparable figures for 2022. The DNB Group

will report in accordance with IFRS 17 as of the first quarter of 2023. At the

same time, the DNB Group will change classification of some financial

instruments under IFRS 9.

There are no changes in the underlying business model, operations or strategy as

a result of the introduction of IFRS 17. The transition to IFRS 17 does not

affect the DNB Group's common equity Tier 1 (CET1) capital, and thus does not

affect the Group's capital adequacy, leverage ratio, minimum distributable

amount (MDA) or dividend capacity.

The new IFRS 17 rules entail a new measurement method for the Group's life

insurance liabilities, whereby estimated future cashflows in the insurance

contracts will be discounted using a market-based interest rate. This affects

the transition effect as at 1 January 2022, recognised liabilities and future

profit and loss. There will also be a change from the previous presentation of

the income statement, as operating expenses relating to insurance contracts

under the new rules are included in net operating income in the income

statement, whereas they were previously presented under operating expenses.

The IFRS 17 rules are effective only for the DNB Group accounts, which means

that the rules are not being introduced in the company accounts for DNB

Livsforsikring. The transition to IFRS 17 does therefore not affect DNB

Livsforsikring's capitalisation, tax base or dividend capacity.

The full implementation effect of IFRS 17, as well as the effect of the changed

measurement method for financial assets, has reduced the Group's equity at the

time of the transition on 1 January 2022 with NOK 9 836 million after tax.

Certain investment contracts, including unit link contracts and defined

contribution pension schemes, fall outside the scope of the IFRS 17 requirements

and are assessed under the rules for financial instruments in IFRS 9.

See attached for restated comparative figures for 2022 for the DNB Group (for

Excel version see https://www.ir.dnb.no/press-and-reports/press-releases).

For further information, please contact:

Rune Helland, head of Investor Relations, tel. (+47) 23 26 84 00 / (+47) 977 13

250