Oma Säästöpankki Oyj

Quarterly Report • Apr 29, 2024

Q1/2024

Oma Savings Bank Group Interim Report 31 March 2024

Interim Report 31 March 2024 is a translation of the original Finnish version "Osavuosikatsaus 31.3.2024". If discrepancies occur, the Finnish version is dominant.

Oma Savings Bank Group´s Interim Report Jan–Mar 2024

• In January–March, net interest income grew 58.4% compared to the previous year. Net interest income totalled EUR 57.4 (36.2) million. Net interest income was increased by the rise of market interest rates, and in addition, the volumes that have increased with the acquisition of Liedon Savings Bank's business since March 2023.
• Home mortgage portfolio increased by 0.8% during the previous 12 months. Corporate loan portfolio decreased by 1.6% during the previous 12 months.
• Deposit base decreased by 6.4% over the previous 12 months.
• In the first quarter, fee and commission income and expenses (net) item increased due to volume growth by 22.1%.
• In January–March, total operating income grew by 46.1% compared to the comparison period.
• Total operating expenses remained almost at the same level with the comparison period and grew in January-March in total by 1.5%. The authority fees decreased from the comparison period because no EU stability fee is recorded for the financial year 2024.
• The impairment losses on financial assets were in total EUR -23.1 (-1.6) million for the first quarter. The Company recorded an additional allowance based on the management's judgement of EUR 19.5 million due to a change of credit risk position for certain customers. The change was due to non-compliance with the Company's guidelines and its impact on the weakening credit risk position.
• For the first quarter, profit before taxes grew and was in total EUR 24.7 (23.3) million. The growth was 5.9% compared to the previous year.
• Comparable profit before taxes grew 6.1% compared to the comparison period and was in total EUR 25.6 (24.2) million.
• Cost/income ratio improved and was 35.2 (50.7)%. Comparable cost/income ratio improved and was 34.1 (47.9)%.
• Comparable return on equity (ROE) decreased and was 15.5 (19.3)% compared to the comparison period.

Outlook for the financial year 2024 (updated 16 April 2024)

The Company's profitable growth will continue driven by investments in customer experience and service network. The SME customer business to be acquired from Handelsbanken will improve the Company's profitability from the second half of 2024 onwards.

We estimate the Group's comparable profit before taxes to be EUR 120-140 million in the financial year 2024 (comparable profit before taxes was EUR 143.6 million in financial year 2023). More about the outlook in the Interim Report on page 21.

The Group's key figures (1,000 euros)	1-3/2024	1-3/2023	Δ %	1-12/2023
Net interest income	57,369	36,224	58%	197,045
Fee and commission income and expenses, net	12,766	10,453	22%	47,421
Total operating income	74,080	50,697	46%	247,067
Total operating expenses	-25,958	-25,568	2%	-90,550
Impairment losses on financial assets, net	-23,112	-1,595	1,349%	-17,126
Profit before taxes	24,668	23,296	6%	138,048
Cost/income ratio, %	35.2%	50.7%	-31%	36.9%
Balance sheet total	7,531,291	7,298,953	3%	7,642,906
Equity	527,426	437,357	21%	541,052
Return on assets (ROA) %	1.0%	1.1%	-7%	1.6%
Return on equity (ROE) %	14.9%	18.6%	-20%	24.3%
Earnings per share (EPS), EUR	0.60	0.59	2%	3.49
Total capital (TC) ratio %	16.9%	15.5%	9%	16.5%
Common Equity Tier 1 (CET1) capital ratio %	15.4%	13.6%	13%	14.9%
Comparable profit before taxes	25,626	24,157	6%	143,609
Comparable cost/income ratio, %	34.1%	47.9%	-29%	35.1%
Comparable return on equity (ROE) %	15.5%	19.3%	-20%	25.3%

Comparable profit before taxes EUR 25.6 million

CEO's review

Profit growth continues despite a significant additional allowance – comparable profit before taxes was EUR 25.6 million and increased 6.1 percent

In the first quarter, OmaSp's business continued to

develop better than expected despite the challenging economic environment. Both main sources of income continued strong growth. Comparable profit before taxes increased for the 16th time in a row in relation to the comparison period, even though a significant one-off additional allowance was recorded for the quarter.

remained steady and fee and commission income and expenses increased by 22% compared to the previous year.

Net interest income increased 58%

When looking at the credit portfolio as a whole, the quality of the credit portfolio has remained at the expected level, taking into account cyclical development. At the end of the first quarter, the Company detected non-compliance with the guidelines. The weakening of the

collateral position due to non-compliance

The interest rate environment has continued to support the development of net interest income and during the early part of the year the growth was 58% compared to the previous year. The growth in customer numbers has also

combined with the prevailing general weak economic situation increases credit risk from previously reported. As a result, we recorded an additional allowance based on the management's judgement of EUR 19.5 million for the quarter. According to our estimate, the additional

allowance covers possible credit losses that may be realised in the future of customers related to the settlement. The investigation has revealed that the bank's lending guidelines have been significantly violated. It is a single case where the credit risk status of the customers has been concealed by deliberately creating customer groups incorrectly and with incomplete

information. The properties are located nationwide around Finland and target the real estate sector. Based on extensive investigations, it has been possible to ensure that noncompliance with the guidelines targets approximately 3% of OmaSp's EUR 6 billion credit portfolio. What has happened is taken very seriously and it is clear that we have failed when that chain of events has emerged. We have taken extensive concrete measures to be able to minimise the risk of anything like that happening in the future.

Profit before taxes for the first quarter was EUR 24.7 million and comparable profit before taxes was EUR 25.6 million, an increase of 6% in both. The comparable return on equity (ROE%) for the early part of the year has remained at a good level despite the additional allowance recorded for the early part of the year and was 15.5%. Due to good earnings, the Common Equity Tier 1 capital strengthened by almost 0.5 percentage points. Operational efficiency is among the best in the industry and the comparable cost/income ratio was 34.1%. The annual authority fees burden the bank's first quarter results. The comparable cost/income ratio without authority fees was 30.4%.

We are determined to build the foundation for future success

In December 2023, we adopted a revised operating model with the aim of streamlining the organisational structure. The measures taken are already visible in our everyday life and raise the level of the bank's operations even further. In addition, early in the year, we launched

an OmaOsake share savings program for all personnel. 60% of the personnel

signed up for the first program period, which reflects OmaSp's corporate culture and employees' commitment to increasing the value of the bank.

OmaSp continues the financial year with confidence

Despite the exceptional early part of the year, we continue the financial year with

confidence due to our profit-making ability and strong capital buffers. Development work and investments to improve operational efficiency and customer experience will continue. OmaSp was last year the most profitable company on the Helsinki Stock Exchange and there is a strong will to continue on that path. We are currently preparing for the onboarding of Handelsbanken's Finnish SME business at the turn of August-September, which will improve the annual profit before taxes by approximately EUR 8–12 million. According to our guidance, the comparable profit before taxes for the financial year 2024 is estimated to be EUR 120–140 million.

Pasi Sydänlammi CEO

Comparable cost/income ratio 34.1% and Comparable ROE 15.5%

A profitably growing Finnish bank

Profit before taxes, EUR mill.

Return on equity (ROE) %

Balance sheet total, EUR mill.

Investment assets

Loans and receivables to credit institutions

Loans and receivables to the public and public sector entities

Cash and cash equivalents

Total operating income, EUR mill.

Negative goodwill

Other operating income

Fee and commission income and expenses

Net income on financial assets and liabilities

Net interest income

Significant events during the period

• In May 2023, Oma Savings Bank Plc and Svenska Handelsbanken AB agreed on an arrangement whereby the Company acquires Handelsbanken's SME enterprise operations in Finland. Authority approval for the transaction was received on 24 July 2023. The plan is that the transaction will be completed at the turn of August and September. The SME enterprise operations to be purchased are geographically located all over Finland. In connection with the transaction, the Company will open new branches in Vaasa, Vantaa and Kuopio. The size of the deposit base transferring to the Company was approximately EUR 1.2 billion and the lending volume is approximately EUR 460 million in the situation on 31 March 2023. In the business transaction, approximately 14,000 customers will be transferred to the Company. At the same time, around 40 people from Handelsbanken will transfer to the Company as old employees. The acquisition of the business is estimated to increase the Company's profit before taxes by approximately EUR 8–12 million annually. More about the transaction in the Interim Report on page 18.
• On 16 April 2024, the Company gave preliminary information on the result for the first quarter and updated its guidance of 2024 due to a significant additional allowance based on management's judgement recognised for the first quarter. The Company detected non-compliance with the guidelines as a result of its own monitoring processes, as a result of which the Company's credit risk position deteriorated materially for certain customer entities. The reason behind the event is a violation of the guidelines related to the Company's lending, as a result of which individual customer entities were deliberately formed incorrectly. The weakening of the collateral position due to non-compliance combined with the prevailing general weak economic situation increases the Company's credit risk from previously reported. Due to the change in risk

position, an additional allowance based on management's judgement of EUR 19.5 million was recognised in the first quarter.

• In February, The Board of Directors of the Company decided to establish an employee share savings plan ("OmaOsake") for the employees. By encouraging employees to acquire and own shares in the Company, the Company seeks to align the objectives of shareholders and employees in order to increase the value of the Company in the long term. The aim is also to support employee motivation and commitment as well as the Company's corporate culture. The OmaOsake consists of annually commencing plan periods, each with a 12-month savings period followed by a holding period of approximately two years. The first savings period starts 1 April 2024.
• In February, The Board of Directors of the Company decided on a new performance period for the share-based incentive scheme for key employees for the financial years 2024–2025. The target group of the performance period 2024–2025 consists of approximately 45 key employees, including the Company's CEO and members of the Management Team. The potential reward for the performance period will be mainly based on the comparable cost-income ratio, customer and personnel satisfaction and quality of the credit portfolio. The rewards to be paid from the performance period correspond to the value of an approximate maximum of 405,000 Oma Savings Bank Plc shares in total, including the proportion to be paid in cash.
• At the Annual General Meeting of Oma Savings Bank Plc on 26 March 2024, Aila Hemminki, Aki Jaskari, Jyrki Mäkynen, Jaakko Ossa, Jarmo Salmi and Jaana Sandström were re-elected as members of the Board of Directors and Essi Kautonen as a new member. On 26 March 2024, the organizing meeting of the Board elected Jarmo

Salmi to continue as Chairman of the Board and Jyrki Mäkynen as Vice-Chairman. The Board of Directors decided to carry out the tasks of the Audit Committee. The Board of Directors appointed one permanent committee, the Remuneration Committee. The members of the Remuneration Committee are Jarmo Salmi, Jyrki Mäkynen and Aila Hemminki.

• On 5 March 2024, the Deputy CEO and Head of Corporate Customer Business, Pasi Turtio, left the Company. CFO Sarianna Liiri started as Deputy CEO, and Markus Souru, Head of the service network, became a member of the Management Team.

Oma Savings Bank Group's key figures

(1,000 euros)	1-3/2024	1-3/2023	Δ %	1-12/2023	2023 Q4	2023 Q3	2023 Q2
Net interest income	57,369	36,224	58%	197,045	56,907	54,679	49,236
Fee and commission income and expenses, net	12,766	10,453	22%	47,421	12,188	12,226	12,555
Total operating income	74,080	50,697	46%	247,067	67,190	65,999	63,181
Total operating expenses	-25,958	-25,568	2%	-90,550	-23,483	-19,824	-21,674
¹⁾ Cost/income ratio, %	35.2%	50.7%	-31%	36.9%	35.4%	30.1 %	34.4%
Impairment losses on financial assets, net	-23,112	-1,595	1,349%	-17,126	-7,269	-5,548	-2,714
Profit before taxes	24,668	23,296	6%	138,048	35,546	40,506	38,699
Profit/loss for the accounting period	19,899	18,671	7%	110,051	28,185	32,325	30,870
Balance sheet total	7,531,291	7,298,953	3%	7,642,906	7,642,906	7,071,703 7,014,730
Equity	527,426	437,357	21%	541,052	541,052	505,290	470,229
¹⁾ Return on assets (ROA) %	1.0%	1.1%	-7%	1.6%	1.5%	1.8%	1.7%
¹⁾ Return on equity (ROE) %	14.9%	18.6%	-20%	24.3%	21.5%	26.5%	27.2%
¹⁾ Earnings per share (EPS), EUR	0.60	0.59	2%	3.49	0.85	0.97	0.93
¹⁾ Equity ratio %	7.0%	6.0%	17%	7.1%	7.1%	7.1%	6.7%
¹⁾ Total capital (TC) ratio %	16.9%	15.5%	9%	16.5%	16.5%	16.6%	16.0%
¹⁾ Common Equity Tier 1 (CET1) capital ratio %	15.4%	13.6%	13%	14.9%	14.9%	14.8%	14.1%
¹⁾ Tier 1 (T1) capital ratio %	15.4%	13.6%	13%	14.9%	14.9%	14.8%	14.1%
¹⁾ Liquidity coverage ratio (LCR) %	152.8%	126.2%	21%	248.9%	248.9%	153.6%	149.9%
¹⁾ 2) Net Stable Funding Ratio (NSFR) %	117.3%	118.0%	-1%	117.8%	117.8%	115.3%	119.8%
Average number of employees	470	375	25%	445	463	476	464
Employees at the end of the period	471	428	10%	464	464	463	482

Alternative performance measures excluding items affecting comparability:

¹⁾ Comparable profit before taxes	25,626	24,157	6%	143,609	38,790	41,840	38,822
¹⁾ Comparable cost/income ratio, %	34.1%	47.9%	-29%	35.1%	32.8%	29.2%	33.7%
¹⁾ Comparable earnings per share (EPS), EUR	0.62	0.61	2%	3.63	0.93	1.01	0.93
¹⁾ Comparable return on equity (ROE) %	15.5%	19.3%	-20%	25.3 %	23.5%	27.4%	27.3%

1) Calculation principles of alternative performance measures and key figures are presented in Note 16 of the Interim Report. Comparable profit calculation is presented in the Income Statement.

2) NSFR calculation adjusted retrospectively as of 31 March 2023, 30 June 2023, and 30 September 2023.

Operating environment

The Finnish economy is still in recession and according to the Bank of Finland's forecast, the economy will begin to recover towards the end of the year slightly faster than predicted in the forecast from December 2023. The elevated levels of prices and interest rates as well as the weak growth of exports are weighing on private consumption. The reduction in investments also affects the recovery of the economy. (1 The year-on-year change in consumer prices calculated by Statistics Finland was 2.2% in March. The rise in inflation compared to a year ago was influenced, among other things, by the rise in the average interest rate on mortgages and the rise of interest rates on consumer loans. (3

Inflation has continued to slow down in recent months. In March, the European Central Bank decided to keep each three key interest rates unchanged. Based on ECB's current estimate, key interest rates are at a level that will help bring inflation back to 2% level in the medium term. (2 Financial conditions in Finland tightened during 2023 and, during early 2024, the interest rates have remained at the previous year's level. During January-March, the quotation of the 12-month Euribor rate has risen approximately by 0.2 percentage points. (10

Weak demand for exports, rising prices and high interest rates have contributed to the economic growth of Finland. According to the preliminary calculations of the Bank of Finland, the GDP is predicted to decrease by 0.5% in 2024 and increase by 1.7% in 2025. In 2026, economic growth is projected to slow down to 1.5%. (1

The seasonally adjusted savings rate of households increased by 0.8 percentage points compared to the previous quarter and was 0.6% in October-December. In the last quarter of 2023, the disposable income of households grew slightly compared to the previous quarter and consumption expenditure remained at the level of the previous quarter. The disposable income of households grew by 6.8% and adjusted by price changes, income increased by 4.1% compared to the previous quarter one year ago.

The investment rate decreased slightly from the previous quarter and was 11.6%. Majority of the investments of households is directed in housing investments. The corporate investment rate remained at the level of the previous quarter and was 29.3%. (4

According to Statistics Finland, the number of employed people aged 15 to 74 was 52,000 less in March and the number of unemployed was 60,000 more than a year ago. In March 2024, the employment rate was 76.1% (20 to 64 years) and the average unemployment rate was 9.0% (15 to 74 years). (5

According to Statistics Finland's preliminary data, prices of old dwellings in housing companies decreased in the whole country by 5.4% in February from the previous year. In February, prices of old dwellings in housing companies fell by 6.1% in the six biggest cities, and by 4.4% in the rest of Finland compared to the previous year. At the same time, the number of sales of old dwellings in blocks of flats and terraced houses made through real estate agents decreased by 15% from the comparison period. (6

In February 2024, mortgage withdrawals were made in total of EUR 0.9 billion, which is EUR 60 million less than in the previous year. The annual growth of all loans for households decreased by 1.0% and the annual growth of mortgage stock by 1.4%. The number of corporate loans rose 1.7% over the same period. The average interest rate on new mortgages was 4.37% in February. Over the 12 month period, the number of household deposits reduced by a total of 2%. (7

During the previous 12 months, the number of bankruptcies filed increased by 16% compared to the 12 month period. (8 During November 2023 and January 2024, the number of new building permits granted decreased by 37% compared to the previous year and was 4.8 million cubic meters. (9

1) Bank of Finland, From significant recession towards growth. Published on 15 March 2024.

2) Bank of Finland, ECB monetary policy decisions. Published on 7 March 2024.

3) Statistics Finland, Inflation 2.2% in March 2024. Published on 15 April 2024.

4) Statistics Finland, Households' saving rate was 0.6% in the fourth quarter of 2023. Published on 15 March 2024.

5) Statistics Finland, Number of employed persons decreased, and unemployment grew in March 2024 from one year ago. Published on 24 April 2024.

6) Statistics Finland, Prices of old dwellings in housing companies fell by over 5 per cent in February from one year ago. Published on 28 March 2024.

7) Bank of Finland, MFI balance sheet (loans and deposits) and interest rates, Growth of housing corporation's loan stock has slowed down. Published on 2 April 2024.

8) Statistics Finland, 274 bankruptcies were initiated in March 2024. Published on 17 April 2024.

9) Statistics Finland, Cubic volume of granted building permits fell by 37 per cent year-on-year during November 2023 to January 2024. Published on 26 March 2024.

10) Bank of Finland, Euribor interest rates tables. Published on 2 April 2024.

Credit rating and liquidity

S&P Global Ratings confirmed a credit rating of BBB+ for Oma Savings Bank Plc's long-term borrowing in June 2023, as well as a rating of A-2 for short-term borrowing. The outlook for a long-term credit rating has been confirmed as stable. In addition, S&P Global Ratings has confirmed an AAA rating for the Company's bond program.

	31 Mar 2024	31 Dec 2023
LCR*	152.8%	248.9%
NSFR*	117.3%	117.8%

The Group's Liquidity Coverage Ratio (LCR) remained at a good level, standing at 152.8% at the end of the last quarter. The Net Stable Funding Ratio (NSFR) was 117.3%.

During the first quarter 2024, the interest rates have remained at the turn of the year level. However, inflationary pressures remain at a higher level than normal as a result of low unemployment and increased wage levels, when interest rates will presumably continue to show large swings during 2024 (1 . The new interest rate environment is also reflected in the competitive bidding of deposits as banks offer an even higher deposit rate. At the same time, households' overall savings development in Finland is on the decline as vast majority of available funds go to consumption instead of saving as a result of the increased cost of living. The changes in the interest rate environment can be seen especially in the increased costs of funding. Despite the increase in costs, the availability of financing has remained at a good level.

Despite the general economic uncertainty, the Company's liquidity has remained stable in the first quarter, in addition to which bonds issued by the Company in 2023 have strengthened its liquidity position and reduced refinancing risk.

(1 Bank of Finland: Monetary policy report 2/2024 and Bloomberg.

Related party disclosures

Related party is defined as key persons in a leading position at Oma Savings Bank Plc and their family members, subsidiaries, associated companies and joint ventures, joint operations and companies in which a key person in a leading position has control or significant influence, and organizations that have significant influence in Oma Savings Bank Plc. Key persons are members of the Board of Directors, the CEO and deputy to the CEO and the rest of the management team. Loans and guarantees have been granted with conditions that are applied to similar loans and guarantees granted to customers.

More detailed information on related parties is given in Note G31 of the 2023 Financial Statements.

More detailed information on the share-based remuneration scheme for the management is given in Note G32 of the Financial Statements and in Note 14 of the Financial Statements Release.

Financial statements

The corresponding period last year has been used as the year under comparison in income statement items, and the date of 31 December 2023 as the comparison period for the balance sheet and capital adequacy.

Result 1–3 / 2024

For the first quarter, the Group's profit before taxes was EUR 24.7 (23.3) million and the profit for the period was EUR 19.9 (18.7) million. The cost/income ratio was 35.2 (50.7)%.

Comparable profit before taxes amounted to EUR 25.6 (24.2) million in the first quarter and the comparable cost/income ratio was 34.1 (47.9)%. The comparable profit has been adjusted for the net income on financial assets and liabilities as well as the one-off expenses related to the acquisitions.

Income

Total operating income was EUR 74.1 (50.7) million. Total operating income increased 46.1% compared to the comparable period. Comparable operating income was EUR 74.3 (49.7) million, an increase of 49.5% compared to the previous year. Net income on financial assets and liabilities of EUR -0.2 (1.0) million has been adjusted from the operating income as an item affecting comparability.

The acquisition of Liedon Savings Bank's business at the beginning of the year 2023 has had a positive impact on the development of net interest income and fee and commission income during the reporting period.

Net interest income grew by 58.4%, totalling EUR 57.4 (36.2) million. During the review period, interest income grew by 63.2%, totalling EUR 90.7 (55.6) million. The significant growth in interest income can be explained by the increase in market interest rates and by the increased volume due to the acquisition of Liedon Savings Bank's business as of March 2023. In the first quarter, the interest recording policy for hedges related to interest rate risk management has been changed to a netting basis, which reduced interest income and expenses. Net interest income from hedging the interest rate risk was -2.7 million. During the reporting period, the average margin of the loan portfolio has remained almost unchanged.

Interest expenses were EUR 33.3 (19.4) million in the first quarter. The growth of interest expenses has been influenced by the increased interest rates on issued bonds due to the rise in market interest rates. The average interest on deposits paid to the Company's customers was 1.07 (0.49)% at the end of the period.

Fee and commission income and expenses (net) increased by 22.1% to EUR 12.8 (10.5) million. The total amount of fee and commission income was EUR 15.1 (12.1) million.

Net fee and commission income from cards and payment transactions was EUR 9.0 (7.5) million, an increase of 19.9% over the previous year. The increase is mainly explained by the increase in customer volume. The amount of commission income from lending was EUR 2.6 (1.9) million.

The net income on financial assets and liabilities were EUR -0.2 (1.0) million during the period. Other operating income was EUR 4.1 (3.0) million. In the first quarter, deposit guarantee fee of EUR 3.9 million were recorded in other operating income. The corresponding item was recognised as a deposit guarantee fee in other operating expenses.

Expenses

Operating expenses were in total EUR 26.0 (25.6) million and they increased by 1.5% compared to the previous year's corresponding period. For the reporting period, expenses affecting comparability were recorded in total of EUR 0.8 million for the arrangement of the business to be acquired from Handelsbanken. In the comparison period, expenses included EUR 1.9 million related to the acquisition of Liedon Savings Bank's business, so comparable operating expenses were EUR 25.2 (23.7) million. The increase in comparable operating expenses was 6.3%.

Personnel expenses increased by 24.1% and were EUR 7.4 (6.0) million. At the end of the period, the number of employees was 471 (428), of which 66 (57) were fixedterm. The increase in expenses compared to the comparative period was influenced by the increase in the number of personnel due to the acquisition of Liedon Savings Bank's business.

Other operating expenses decreased by 7.1% to EUR 16.4 (17.7) million. The item includes authority fees, office, IT, PR and marketing costs and those stemming from the business premises in own use.

The Single Resolution Fund for Banking Union reached its target level at the end of 2023, which is why in 2024, instead of EU-level fee, a significantly lower national stability fee will be collected. A total of EUR 3.9 million in deposit guarantee fee was recorded for the first quarter, which will be covered by refunds from the old deposit guarantee fund. In total, EUR 3.9 (5.3) million in authority fees were recorded.

Depreciation, amortisation and impairments on tangible and intangible assets were EUR 2.2 (2.0) million.

Impairment losses on financial assets

Impairment losses on financial assets (net) increased compared to the comparative period and were EUR -23.1 million, while the impairment losses on financial assets recorded in the comparative period amounted to EUR -1.6 million.

During the first quarter, the amount of expected credit losses (ECL) increased by EUR 22.0 million, while the expected credit losses increased by EUR 1.1 million in the comparison period. Almost the entire change concerned receivables from customers and off-balance sheet items.

At the end of the first quarter, the Company detected noncompliance with the guidelines as a result of its own monitoring processes, as a result of which the Company's credit risk position deteriorated materially for certain customer entities. The reason behind the event is a violation of the guidelines related to the Company's lending, as a result of which individual customer entities were deliberately formed incorrectly. The weakening of the collateral position due to non-compliance combined with the prevailing general weak economic situation increased the Company's credit risk from previously reported. Due to the change in risk position, an additional allowance based on management's judgement of EUR 19.5 million was recognised in the first quarter. According to the Company's estimate, the additional allowance covers possible credit losses realising in the future due to changes in the credit risk position. The additional allowance will be allocated to individual loans during the second quarter. The additional allowance made is targeted to stage 2.

The net amount of realised credit losses increased compared to the comparison period and was EUR 1.2 (0.5) million in the first quarter.

At the end of the reporting period, the Company has additional loss allowances based on the management's judgement and fair value adjustments recorded in the balance sheet in total EUR 27.8 million. Additional allowances are targeted to stage 2.

Balance sheet

The Group's balance sheet total decreased by 1.5% during January-March 2024 and was EUR 7,531.3 (7,642.9) million.

Loans and receivables

Loans and receivables in total, EUR 6,180.4 (6,189.4), million remained at the level of the comparison period. Loans and receivables from credit institutions were EUR 175.0 (192.3) million at the end of the period and loans and receivables from the public and public sector entities were in total EUR 6,005.4 (5,997.1) million.

The average size of loans issued over the past 12 months has been approximately EUR 126 thousand.

Loan portfolio by customer group (excl. credit institutions), before the expected credit losses

Credit balance (1,000 euros)	31 Mar 2024		31 Dec 2023 31 Mar 2023
Private customers	3,601,904	3,585,722	3,589,104
Corporate customers	1,279,266	1,255,520	1,299,544
Housing associations	729,263	736,068	700,235
Agricultural customers	304,980	300,447	310,451
Other	147,511	154,776	105,614
Total	6,062,924	6,032,533	6,004,948

Investment assets

The Group's investment assets decreased 9.8% during the period, totaling EUR 506.3 (561.4) million. The majority of the change is due to the maturity of a single large bond investment and the increase in cash in the liquidity portfolio. The primary purpose of managing investment assets is securing the Company's liquidity position.

Intangible assets and goodwill

At the end of the period, intangible assets recorded in the balance sheet totaled EUR 7.8 (8.8) million and a goodwill of EUR 4.8 (4.8) million.

Liabilities to credit institutions and to the public sector entities

During the period, liabilities to credit institutions and to the public and public sector entities decreased by 1.9% to EUR 3,870.4 (3,943.6) million.

The item consists mostly of deposits received from the public, which came to EUR 3,675.3 (3,733.3) million at the end of March. Fixed-term deposits accounted for 17% of these. Liabilities to the credit institutions were EUR 164.3 (165.3) million at the end of the period.

Debt securities issued to the public

Total debt securities issued to the public decreased during the period by 2.3% to EUR 2,861.5 (2,930.1) million. In January, a EUR 55 million bond matured. Debt securities issued to the public are shown in more detail in Note 8.

At the end of the period, covered bonds were secured by loans to the value of EUR 3,024.2 (3,024.0) million.

Equity

The Group's equity EUR 527.4 (541.1) million decreased by 2.5% during the period. The change in equity is mainly explained by the result of the period and the payment of dividends.

Own shares

On 31 March 2024, the number of own shares held by Oma Savings Bank was 136,647. In March, the Company transferred 64,739 shares held by the Company to persons entitled to the remuneration of the 2024 reward installment of the share incentive scheme 2020–2021 and 2022–2023.

Share capital	31 Mar 2024	31 Dec 2023
Average number of shares (excluding own shares)	33,106,221	31,546,596
Number of shares at the end of the year (excluding own shares)	33,138,590	33,073,851
Number of own shares	136,647	201,386
Share capital (1,000 euros)	24,000	24,000

Off-balance-sheet commitments included commitments given to a third party on behalf of a customer and irrevocable commitments given to a customer. Commitments given to a third party on behalf of a customer, EUR 42.1 (41.9) million, were mostly made up of bank guarantees and other guarantees. Irrevocable commitments given to a customer, which totalled EUR 331.7 (330.6) million at the end of March, consisted mainly of undrawn credit facilities.

Progress of key development projects

The Company's project of transitioning to the application of the IRB approach is progressing as planned. In the first stage, the Company is applying for permission to apply an internal risk classification under the IRB approach to calculate capital requirements for retail credit risk liabilities. Later, the Company will apply for a similar permission for other types of liabilities. In February 2022, the Company has applied to the Finnish Financial Supervisory Authority (FIN-FSA) for the application of the IRB approach in capital adequacy, after which the application process has progressed based on dialogue with the supervisor.

In addition, the Company has reform projects ongoing regarding regulatory reporting.

Acquisition of Handelsbanken's SME enterprise operations in Finland

In May 2023, the Company and Handelsbanken agreed on an arrangement whereby the Company will acquire Handelsbanken's SME enterprise operations in Finland. Authority approval for the transaction was received on 24 July 2023. The plan is that the transaction will be completed at the turn of August and September. The SME enterprise operations to be purchased are geographically located all over Finland. In connection with the transaction, the Company will open new branches in Vaasa, Vantaa and Kuopio.

The size of the deposit base transferring to the Company was approximately EUR 1.2 billion and the lending volume is approximately EUR 460 million in the situation on 31 March 2023. In the business transaction, approximately 14,000 customers will be transferred to the Company. The volumes to be transferred to the Company has changed because of market changes and more precise segmentation from what was announced in connection

with the transaction. About 40 people from Handelsbanken will transfer to the Company as old employees.

With the arrangement the Company's market position will strengthen among SMEs in Finland. The growing business volumes will further improve the Company's cost efficiency and business profitability, and substantially strengthen the annual profit-making ability. The acquisition of the business is estimated to increase the Company's profit before taxes by approximately EUR 8–12 million annually. The transferring deposit base will strengthen the Company's liquidity position, and there is no separate financing need for the business arrangement. The transaction will weaken the Company's capital adequacy by approximately 2 percentage points based on increasing risk-weighted items and recognised goodwill. The purchase price is the net value of the balance sheet items to be transferred at closing plus a maximum of EUR 15 million. The final purchase price takes into account the development of the deposit base between the time of signing and closing of the transaction. The purchase price will be paid in cash, so the transaction has no impact on the number of Company's shares outstanding.

Resolutions of the AGM

Oma Savings Bank Plc's Annual General Meeting was held on 26 March 2024. The AGM confirmed the Company's Financial Statements and Consolidated Financial Statements for the 2023 financial year, granted discharge to the members of the Company's Board of Directors and CEO from liability, decided to support the Company's Remuneration Policy for governing bodies and approved the Remuneration Report for governing bodies.

In addition, the AGM decided on the following matters:

Resolution on the use of the profit shown on balance sheet and the payment of dividend

In accordance with the Board's proposal, the AGM decided to pay an ordinary dividend of EUR 0.67 per share and an additional dividend of EUR 0.33 per share based on the balance sheet adopted for the accounting period 2023. The dividend will be paid to a shareholder who is registered in the Company's shareholder register maintained by Euroclear Finland Ltd on the record date 28 March 2024. The dividend will be paid on 8 April 2024 in accordance with the rules of Euroclear Finland Ltd.

Remuneration of the Board of Directors

In accordance with the proposal of the Shareholders' Nomination Committee, the AGM decided to pay the following annual remuneration to the members of the Board of Directors for the term ending at the AGM 2025: EUR 72,000 per year to the Chairperson, EUR 54,000 per year to the Vice Chairperson and for other members EUR 36,000 per year. In addition, the meeting fees of EUR 1,000 for each Board meeting and EUR 500 for each email meeting or committee meeting will be paid.

A condition for obtaining and paying a fixed annual fee is that the Board Member commits to purchase Oma Savings Bank Plc shares amounting to 40% of the fixed annual remuneration on the regulated market (Nasdaq Helsinki Ltd) at a price determined by trading. The recommendation is that a member of the Board of Directors shall not transfer the shares awarded as annual remuneration until the membership in the Board has expired.

Number and election of the Board of Directors

The number of members of the Board of Directors was confirmed to be seven. Aila Hemminki, Aki Jaskari, Jyrki Mäkynen, Jaakko Ossa, Jarmo Salmi and Jaana Sandström were re-elected as Board members and Essi Kautonen was elected as a new member for a term ending at the end of the 2025 AGM.

Election and remuneration of the auditor

KPMG Oy Ab, a firm of authorised public accountants, was elected to continue as auditor for a term ending at the 2025 AGM. KMPG Oy Ab will also act as a certification authority for the Company's sustainability reporting in financial year 2024. M.Sc (Econ.), APA Tuomas Ilveskoski will continue as responsible auditor. The auditor's remuneration is paid against an invoice approved by the Company.

Authorisation of the Board of Directors to resolve on a share issue, the transfer of own shares and the issuance of special rights entitling to shares

The AGM decided, in accordance with the Board of Directors' proposal, to authorise the Board of Directors to resolve on the issuance of shares or transfer of the Company's shares and the issuance of special rights entitled to shares as referred to in Chapter 10, Section 1 of the Finnish Companies Act, subject to the following conditions:

• Shares and special rights can be issued or disposed of in one or more instalments, either in return for payment or free of charge.
• The total number of shares to be issued under the authorisation, including shares acquired on the basis of special rights, cannot exceed 4,000,000 shares, which corresponds to approximately 12% of the Company's total shares on the day of the AGM.
• The Board of Directors decides on all terms and conditions related to the issuance of shares. The authorisation concerns both the issuance of new shares and the transfer of own shares.

The authorisation is valid until the end of the next AGM, but not later than 30 June 2025. The authorisation revokes previous authorisations given by the AGM to decide on a share issue, as well as the option rights and the issuance of special rights entitling to shares.

Authorising the Board of Directors to decide on the repurchase of own shares

The AGM decided, in accordance with the Board of Directors' proposal, to authorise the Board of Directors to decide on the repurchase of the Company's own shares with funds belonging to the Company's free equity under the following conditions:

• Maximum number of 1,000,000 own shares may be repurchased, representing approximately 3% of the Company's total shares according to the situation on the date of the notice of the meeting, however, that the number of own shares held by the Company does not exceed 10% of the Company's total shares of the Company at any time. This amount includes the own shares held by the Company itself and its subsidiaries within the meaning of Chapter 15, Section 11 (1) of the Finnish Companies Act.

The Board of Directors is authorised to decide how to acquire own shares. The authorisation is valid until the closing of the next AGM, but not later than 30 June 2025.

Significant events after the period

On 16 April 2024, the Company gave preliminary information on the result for the first quarter and updated its guidance of 2024 due to a significant additional allowance based on management's judgement recognised for the first quarter. The Company detected noncompliance with the guidelines as a result of its own monitoring processes, as a result of which the Company's credit risk position deteriorated materially for certain customer entities. The reason behind the event is a violation of the guidelines related to the Company's lending, as a result of which individual customer entities were deliberately formed incorrectly. The weakening of the collateral position due to non-compliance combined with the prevailing general weak economic situation increases the Company's credit risk from previously reported. Due to the change in risk position, an additional allowance based on management's judgement of EUR 19.5 million was recognised in the first quarter. The Company updated its guidance and comparable profit before taxes is expected to be EUR 120–140 million for the financial year 2024.

Other events following the end of the reporting period that would require the presentation of additional information or that would materially affect the Company's financial position are unknown.

Dividend policy and dividend payment

The Company aims to pay a steady and growing dividend, at least 20% of net income. The Company's Board of Directors assesses the balance between the dividend or capital return to be distributed and the amount of own funds required by the Company's capital adequacy requirements and target on an annual basis and makes a proposal on the amount of dividend or capital return to be distributed.

Financial goals

The Company has financial goals set by the Board of Directors for growth, profitability, return on equity and capital adequacy. The Company's Board of Directors has confirmed the following financial goals:

Growth: 10–15 percent annual growth in total operating income under the current market conditions. Profitability: Cost/income ratio less than 45 percent. Return on equity (ROE): Long-term return on equity (ROE) over 16 percent.

Capital adequacy: Common Equity Tier 1 (CET1) capital ratio at least 2 percentage points above regulatory requirement.

Financial reporting in 2024

The Company will publish financial information in 2024 as follows:

29 Jul 2024 Interim Report Jan-Jun 2024 28 Oct 2024 Interim Report Jan-Sep 2024

Outlook for the 2024 accounting period

New outlook and guidance (updated 16 April 2024):

The Company's profitable growth will continue driven by investments in customer experience and service network. The SME customer business to be acquired from Handelsbanken will improve the Company's profitability from the second half of 2024 onwards.

Oma Savings Bank Plc provides earnings guidance on comparable profit before taxes for 2024. Earnings guidance is based on the forecast for the entire year, which takes into account the current market and business situation. Forecasts are based on the management's insight into the Group's business development.

We estimate the Group's comparable profit before taxes to be EUR 120–140 million for the financial year 2024 (the comparable profit before taxes was EUR 143.6 million in the financial year 2023).

Capital adequacy

The total capital (TC) ratio of Oma Savings Bank Group increased and was 16.9 (16.5)% at the end of the period. The Common Equity Tier 1 capital (CET1) ratio was 15.4 (14.9)%, being above the minimum level of the mediumterm financial goal set by the Company's Board (at least 2 percentage points above the regulatory requirement).

Risk-weighted assets, EUR 3,301.1 (3,300.0) million, remained at the level of the comparison period. Oma Savings Bank Group applies in the capital requirement calculation for credit risk calculation the standardised approach and for operational risk the basic indicator approach. The basic method is applied when calculating the capital requirement for market risk for the foreign exchange position. The Company's transition project to

the application of the IRB approach is proceeding as planned.

At the end of the review period, the capital structure of the Group was strong and consisted mostly of Common Equity Tier 1 capital (CET1). Own funds increased most significantly by retained earnings for the financial year 2024, which have been included in the Common Equity Tier 1 capital with the permission granted by the Finnish Financial Supervisory Authority (FIN-FSA). The Group's own funds (TC) of EUR 557.6 (544.5) million exceeded by EUR 161.0 million the total capital requirement for own funds EUR 396.6 (396.5) million. Taking into account the indicative additional capital recommendation, the surplus of own funds was EUR 128.0 million. The Group´s leverage ratio was 6.6 (6.3)% at the end of the period.

The main items in the capital adequacy calculation (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Common Equity Tier 1 capital before regulatory adjustments	520,782	505,611	430,171
Regulatory adjustments on Common Equity Tier 1	-13,734	-14,663	-13,769
Common Equity Tier 1 (CET1) capital, total	507,048	490,948	416,402
Additional Tier 1 capital before regulatory adjustments	-	-	-
Regulatory adjustments on additional Tier 1 capital	-	-	-
Additional Tier 1 (AT1) capital, total	-	-	-
Tier 1 capital (T1 = CET1 + AT1), total	507,048	490,948	416,402
Tier 2 capital before regulatory adjustments	50,581	53,571	59,179
Regulatory adjustments on Tier 2 capital	-	-	-500
Tier 2 (T2) capital, total	50,581	53,571	58,679
Total capital (TC = T1 + T2), total	557,629	544,519	475,081
Risk-weighted assets
Credit and counterparty risk	2,923,035	2,926,776	2,809,358
Credit valuation adjustment risk (CVA)	55,769	50,949	27,764
Operational risk	322,280	322,280	233,043
Risk-weighted assets, total	3,301,084	3,300,005	3,070,164
Common Equity Tier 1 (CET1) capital ratio, %	15.36%	14.88%	13.56%
Tier 1 (T1) capital ratio, %	15.36%	14.88%	13.56%
Total capital (TC) ratio, %	16.89%	16.50%	15.47%
Leverage ratio (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Tier 1 capital	507,048	490,948	416,402
Total amount of exposures	7,643,705	7,749,639	7,445,280
Leverage ratio	6.63%	6.34%	5.59%

The total capital requirement for banks' own funds consists of the Pillar I minimum capital requirement (8.0%) and various buffer requirements. Buffer requirements are among others the capital conservation buffer (2.5%) set by the Credit Institution Act, the discretionary SREP requirement according to Pillar II, the countercyclical buffer requirement and the systematic risk buffer.

The SREP requirement 1.5% based on the supervisory authority's estimate imposed by the Finnish Financial Supervisory Authority's (FIN-FSA) for Oma Savings Bank Plc is valid until further notice, but no later than 30 June 2026. The SREP requirement is possible to be partially covered by Tier 1 capital and Tier 2 capital in addition to Common Equity Tier 1. According to the overall assessment based on risk indicators, there are no grounds for applying a countercyclical buffer, and thus the Finnish Financial Authority (FIN-FSA) maintained the requirement of countercyclical buffer at its basic level of 0%.

In October 2023, the Finnish Financial Supervisory Authority (FIN-FSA) issued an indicative additional capital recommendation for own funds and a discretionary additional capital requirement based on the Finnish Act on Credit Institutions for Oma Savings Bank Plc. The indicative additional capital recommendation of 1.0%, covered by Common Equity Tier 1 capital, is valid until further notice as of 31 March 2024. The discretionary additional capital requirement (Pillar II) of 0.25% is valid until further notice as of 31 March 2024, but no later than 31 March 2026. The requirement must be covered by Tier 1 capital. The binding capital adequacy requirement for the leverage ratio is 3%.

On 30 March 2023, the Finnish Financial Supervisory Authority (FIN-FSA) imposed a systemic risk buffer requirement of 1.0% for Finnish credit institutions in order to strengthen the risk-bearing capacity of the banking sector. The decision enters into force on 1 April 2024 and shall be covered by Consolidated Common Equity.

Group`s total capital requirement 31 Mar 2024 (1,000 euros) Buffer requirements

Capital	Pillar I minimum capital requirement*	Pillar II (SREP) capital requirement*	Capital conservation buffer	Countercyclical buffer**	O-SII	Systemic risk buffer	Total capital requirement
CET1	4.50%	0.84%	2.50%	0.02%	0.00%	0.00%	7.86%	259,426
AT1	1.50%	0.28%					1.78%	58,801
T2	2.00%	0.38%					2.38%	78,401
Total	8.00%	1.50%	2.50%	0.02%	0.00%	0.00%	12.02%	396,627

* AT1 and T2 capital requirements are possible to fill with CET1 capital

**Taking into account the geographical distribution of the Group's exposures

The Group publishes information on capital adequacy and risk management compliant with Pillar III in its Capital and Risk Management Report. The document will be released as a separate report in connection with the Annual Report and it provides a more detailed description of Oma Savings Bank Group's capital adequacy and risk position. The substantial information in accordance with Pillar III will be published as a separate report alongside the Half-Year Financial Report.

Tables and notes to the Interim Report

Consolidated condensed income statement

	Note (1,000 euros)	1-3/2024	1-3/2023	1-12/2023
	Interest income	90,705	55,593	322,506
	Interest expenses	-33,336	-19,369	-125,461
9	Net interest income	57,369	36,224	197,045
	Fee and commission income	15,069	12,123	56,621
	Fee and commission expenses	-2,303	-1,670	-9,200
10	Fee and commission income and expenses, net	12,766	10,453	47,421
11	Net income on financial assets and financial liabilities	-175	1,019	-1,875
	Other operating income	4,120	3,002	4,476
	Total operating income	74,080	50,697	247,067
	Personnel expenses	-7,397	-5,962	-29,611
	Other operating expenses	-16,390	-17,652	-52,517
	Depreciation, amortisation and impairment losses on tangible and intangible assets	-2,170	-1,954	-8,422
	Total operating expenses	-25,958	-25,568	-90,550
12	Impairment losses on financial assets, net	-23,112	-1,595	-17,126
	Share of profit of equity accounted entities	-342	-238	-1,344
	Profit before taxes	24,668	23,296	138,048
	Income taxes	-4,768	-4,625	-27,997
	Profit for the accounting period	19,899	18,671	110,051
	Of which:
	Shareholders of Oma Savings Bank Plc	19,899	18,671	110,051
	Total	19,899	18,671	110,051
	Earnings per share (EPS), EUR	0.60	0.59	3.49
	Earnings per share (EPS) after dilution, EUR	0.60	0.59	3.47

Profit before taxes excluding items affecting comparability

(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
Profit before taxes	24,668	23,296	138,048
Operating income:
Net income on financial assets and liabilities	175	-1,019	1,875
Operating expenses
Costs relating to business combinations	783	1,879	3,292
Expenses from the co-operation negotiations	-	-	394
Comparable profit before taxes	25,626	24,157	143,609
Income taxes in income statement	-4,768	-4,625	-27,997
Change of deferred taxes	-192	-172	-1,112
Comparable profit/loss for the accounting period	20,666	19,360	114,500

Consolidated statement of comprehensive income

(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
Profit for the accounting period	19,899	18,671	110,051
Other comprehensive income before taxes
Items that will not be reclassified through profit or loss
Gains and losses on remeasurements from defined benefit pension plans	-	-	191
Items that may later be reclassified through profit or loss
Measured at fair value, net	438	2,299	18,012
Transferred to Income Statement as a reclassification change	312	369	422
Other comprehensive income before taxes	751	2,667	18,624
Income taxes
For items that will not be reclassified to profit or loss
Gains and losses on remeasurements from defined benefit pension plans	-	-	-38
Items that may later be reclassified to profit or loss
Measured at fair value	-150	-533	-3,687
Income taxes	-150	-533	-3,725
Other comprehensive income for the accounting period after taxes	601	2,134	14,899
Comprehensive income for the accounting period	20,500	20,805	124,950
Attributable to:
Shareholders of Oma Savings Bank Plc	20,500	20,805	124,950
Total	20,500	20,805	124,950

Consolidated condensed balance sheet

	Note Assets (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
	Cash and cash equivalents	604,341	682,117	496,827
4	Loans and receivables to credit institutions	175,000	192,305	120,199
4	Loans and receivables to the public and public sector entities	6,005,416	5,997,074	5,966,671
5	Financial derivatives	31,443	44,924	5,367
6	Investment assets	506,316	561,414	558,121
	Equity accounted entities	24,164	24,131	25,113
	Intangible assets	7,753	8,801	8,256
	Goodwill	4,837	4,837	4,837
	Tangible assets	35,499	34,594	35,670
	Other assets	119,287	75,097	55,869
	Deferred tax assets	17,233	17,610	21,293
	Current income tax assets	-	-	731
	Assets, total	7,531,291	7,642,906	7,298,953

	Liabilities, total	7,003,865	7,101,854	6,861,596
	Current income tax liabilities	2,183	2,580	2,309
	Deferred tax liabilities	40,394	42,899	36,694
	Provisions and other liabilities	160,470	113,297	103,980
	Subordinated liabilities	60,000	60,000	60,000
8	Debt securities issued to the public	2,861,503	2,930,058	2,462,851
5	Financial derivatives	8,931	9,455	6,292
7	Liabilities to the public and public sector entities	3,706,049	3,778,310	3,927,221
7	Liabilities to credit institutions	164,336	165,255	262,249
	Note Liabilities (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023

Equity	31 Mar 2024	31 Dec 2023	31 Mar 2023
Share capital	24,000	24,000	24,000
Reserves	149,422	148,822	135,957
Retained earnings	354,004	368,230	277,401
Shareholders of Oma Savings Bank Plc	527,426	541,052	437,357
Shareholders of Oma Savings Bank Plc	527,426	541,052	437,357
Equity, total	527,426	541,052	437,357
Liabilities and equity, total	7,531,291	7,642,906	7,298,953

Group's off-balance sheet commitments (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Off-balance sheet commitments
Guarantees and pledges	42,141	41,926	38,626
Commitments given to a third party on behalf of a customer	42,141	41,926	38,626
Undrawn credit facilities	331,652	330,599	324,391
Irrevocable commitments given in favour of a customer	331,652	330,599	324,391
Group's off-balance sheet commitments, total	373,793	372,525	363,017

Consolidated statement of changes in equity (1,000 euros)

31 Mar 2024 Share capital Fair value reserve Other reserves Reserves, total Retained earnings Shareholders of Oma Savings Bank Plc Equity, total Equity, 1 January 2024 24,000 -61,756 210,578 148,822 368,230 541,052 541,052 Comprehensive income Profit for the accounting period - - - - 19,899 19,899 19,899 Other comprehensive income - 601 - 601 - 601 601 Comprehensive income, total - 601 - 601 19,899 20,500 20,500 Transactions with owners Emission of new shares - - - - - - - Repurchase/sale of own shares - - - - 1,066 1,066 1,066 Distribution of dividends - - - - -33,139 -33,139 -33,139 Share-based incentive scheme - - - - -2,054 -2,054 -2,054 Other changes - - - - - - - Transactions with owners, total - - - - -34,126 -34,126 -34,126 Equity total, 31 March 2024 24,000 -61,155 210,578 149,422 354,004 527,426 527,426

						Shareholders
						of Oma
	Share	Fair value	Other	Reserves,	Retained	Savings Bank
31 Dec 2023	capital	reserve	reserves	total	earnings	Plc	Equity, total
Equity, 1 January 2023	24,000	-76,503	145,324	68,822	272,139	364,961	364,961
Comprehensive income
Profit for the accounting period	-	-	-	-	110,051	110,051	110,051
Other comprehensive income	-	14,747	-	14,747	153	14,899	14,899
Comprehensive income, total	-	14,747	-	14,747	110,204	124,950	124,950
Transactions with owners
Emission of new shares	-	-	65,001	65,001	-	65,001	65,001
Repurchase/sale of own shares	-	-	-	-	-1,556	-1,556	-1,556
Distribution of dividends	-	-	-	-	-13,270	-13,270	-13,270
Share-based incentive scheme	-	-	-	-	552	552	552
Other changes	-	-	252	252	162	414	414
Transactions with owners, total	-	-	65,253	65,253	-14,112	51,141	51,141
Equity total, 31 December 2023	24,000	-61,756	210,578	148,822	368,230	541,052	541,052

						Shareholders
						of Oma
	Share	Fair value	Other	Reserves,	Retained	Savings Bank
31 Mar 2023	capital	reserve	reserves	total	earnings	Plc	Equity, total
Equity, 1 January 2023	24,000	-76,503	145,324	68,822	272,139	364,961	364,961
Comprehensive income
Profit for the accounting period	-	-	-	-	18,671	18,671	18,671
Other comprehensive income	-	2,134	-	2,134	-	2,134	2,134
Comprehensive income, total	-	2,134	-	2,134	18,671	20,805	20,805
Transactions with owners
Emission of new shares	-	-	65,001	65,001	-	65,001	65,001
Repurchase/sale of own shares	-	-	-	-	498	498	498
Distribution of dividends	-	-	-	-	-13,270	-13,270	-13,270
Share-based incentive scheme	-	-	-	-	-596	-596	-596
Other changes	-	-	-	-	-42	-42	-42
Transactions with owners, total	-	-	65,001	65,001	-13,410	51,591	51,591
Equity total, 31 March 2023	24,000	-74,369	210,326	135,957	277,401	437,357	437,357

Consolidated condensed cash flow statement

Note	(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
	Cash flow from operating activities
	Profit/loss for the accounting period	19,899	18,671	110,051
	Changes in fair value	-14	-563	2,104
	Share of profit of equity accounted entities	342	238	1,344
11	Depreciation and impairment losses on investment properties	7	10	59
	Depreciation, amortisation and impairment losses on tangible and
	intangible assets	2,170	1,954	8,422
12	Impairment and expected credit losses	23,112	1,595	17,126
	Income taxes	4,768	4,625	27,997
	Other adjustments	792	595	9,446
	Adjustments to the profit/loss of the accounting period	31,178	8,455	66,498
	Cash flow from operations before changes in receivables and liabilities	51,077	27,126	176,549
	Increase (-) or decrease (+) in operating assets
	Debt securities	54,410	39,303	58,741
	Loans and receivables to credit institutions	-680	3,504	45,052
	Loans and receivables to customers	-30,882	-209,594	-254,038
	Derivatives in hedge accounting	102	108	246
	Investment assets	91	-1,016	-758
	Other assets	-22,689	-7,763	-37,101
	Total	351	-175,458	-187,859
	Increase (+) or decrease (-) in operating liabilities
	Liabilities to credit institutions	-5,909	-194,678	-288,103
	Deposits	-58,042	-97,054	-289,309
	Provisions and other liabilities	17,404	6,695	28,639
	Total	-46,547	-285,037	-548,773
	Paid income taxes	-7,444	-2,071	-17,796
	Total cash flow from operating activities	-2,562	-435,439	-577,879
	Cash flow from investments
	Investments in tangible and intangible assets	-894	-2,233	-6,559
	Acquisition of associated companies and joint ventures	-268	-	-3,270
	Total cash flow from investments	-1,162	-2,233	-9,829
	Cash flows from financing activities
	Other cash increases in equity items	-	-	252
	Repurchase of own shares	-	-	-2,054
	Subordinated liabilities, changes	-	20,000	20,000
	Debt securities issued to the public	-91,141	364,548	832,413
	Acquisition or sale of business	-	143,071	143,071
	Payments of lease liabilities	-895	-778	-3,442
	Dividends paid	-	-	-13,270
	Total cash flows from financing activities	-92,037	526,840	976,971
	Net change in cash and cash equivalents	-95,761	89,168	389,262
	Cash and cash equivalents at the beginning of the accounting period	873,923	484,660	484,660
	Cash and cash equivalents at the end of the accounting period	778,162	573,828	873,923
	Cash and cash equivalents are formed by the following items Cash and cash equivalents	604,341	496,827	682,117
3	Receivables from credit institutions repayable on demand	173,820	77,002	191,805
4	Total	778,162	573,828	873,923
	Received interest	86,483	49,288	290,255
	Paid interest	-28,344	-8,198	-101,834
	Dividends received	126	82	179

Consolidated condensed income statement, quarterly trend

Note	(1 000 euros)	2024 Q1	2023 Q4	2023 Q3	2023 Q2	2023 Q1
	Interest income	90,705	98,581	90,051	78,281	55,593
	Interest expenses	-33,336	-41,674	-35,372	-29,046	-19,369
9	Interest income, net	57,369	56,907	54,679	49,236	36,224
	Fee and commission income	15,069	15,000	14,858	14,640	12,123
	Fee and commission expenses	-2,303	-2,812	-2,632	-2,085	-1,670
10	Fee and commission income and expenses, net	12,766	12,188	12,226	12,555	10,453
11	Net income on financial assets and financial liabilities	-175	-2,234	-1,084	424	1,019
	Other operating income	4,120	330	178	967	3,002
	Operating income, total	74,080	67,190	65,999	63,181	50,697
	Personnel expenses	-7,397	-7,898	-7,295	-8,456	-5,962
	Other operating expenses	-16,390	-13,393	-10,352	-11,121	-17,652
	Depreciation, amortisation and impairment losses on tangible and intangible assets	-2,170	-2,192	-2,178	-2,097	-1,954
	Operating expenses, total	-25,958	-23,483	-19,824	-21,674	-25,568
12	Impairment losses on financial assets, net	-23,112	-7,269	-5,548	-2,714	-1,595
	Share of profit from joint ventures and associated companies	-342	-891	-120	-94	-238
	Profit before taxes	24,668	35,546	40,506	38,699	23,296
	Income taxes	-4,768	-7,361	-8,181	-7,829	-4,625
	Profit for the accounting period	19,899	28,185	32,325	30,870	18,671
	Of which:
	Shareholders of Oma Savings Bank Plc	19,899	28,185	32,325	30,870	18,671
	Total	19,899	28,185	32,325	30,870	18,671
	Earnings per share (EPS), EUR	0.60	0.85	0.97	0.93	0.59
	Earnings per share (EPS) after dilution, EUR	0.60	0.85	0.97	0.93	0.59
	Profit before taxes excluding items affecting

comparability:	2024 Q1	2023 Q4	2023 Q3	2023 Q2	2023 Q1
Profit before taxes	24,668	35,546	40,506	38,699	23,296
Operating income:
Net income on financial assets and liabilities	175	2,234	1,084	-424	-1,019
Operating expenses
Costs relating to business combinations	783	615	250	547	1,879
Expenses from the co-operation negotiations	-	394	-	-	-
Comparable profit before taxes	25,626	38,790	41,840	38,822	24,157
Income taxes in income statement	-4,768	-7,361	-8,181	-7,829	-4,625
Change of deferred taxes	-192	-649	-267	-25	-172
Comparable profit/loss for the accounting period	20,666	30,780	33,392	30,968	19,360

1. About the accounting principles

The Group's parent Company is Oma Savings Bank Plc, whose domicile is in Seinäjoki and head office is in Lappeenranta, Valtakatu 32, 53100 Lappeenranta. Copies of the Financial Statements, Financial Statements Release, Interim and Half-Year Financial Reports are available on the bank's website www.omasp.fi.

Oma Savings Bank Group is formed as follows:

Subsidiaries

• Real estate company Lappeenrannan Säästökeskus holding 100%

Associated companies

• GT Invest Oy holding 48.7%
• City Kauppapaikat Oy holding 43.3%

Joint ventures

• Figure Taloushallinto Oy holding 25%
• Deleway Projects Oy holding 49%
• SAV-Rahoitus Oyj holding 48.2%

Joint operations

• Housing company Seinäjoen Oma Savings Bank house holding 30.5%

The Interim Report is drawn up in accordance with the IAS 34 Interim Financial Reporting standard. The accounting principles for the Interim Report are the same as for the 2023 Financial Statements.

The figures of the Interim Report are presented in thousands of euros unless otherwise specified. The figures in the notes are rounded off, so the combined sum of single figures may deviate from the grand total presented in a table or a calculation. The accounting and functional currency of the Group and its companies is the euro.

The Board of Directors has approved the Interim Report 1 January – 31 March 2024 in its meeting on 29 April 2024.

2. Changes to the accounting principles

Future new standards, changes to standards or interpretations effective or published on 1 January 2024 have not a material impact on the consolidated financial statements. Furthermore, future new standards or changes to standards published by the IASB are not expected to have a material impact on the consolidated financial statements.

3. Accounting principles and uncertainties related to estimates requiring management's judgement

The preparation of this Interim Report in accordance with IFRS has required certain estimates and assumptions from the Group's management that affect the number of items presented in the Interim Report and the information provided in the notes. The management's key estimates concern the future and key uncertainties about the reporting date. They relate to, among other things, fair value assessment, impairment of financial assets, loans and other assets, investment assets and tangible and intangible assets. Although the estimates are based on the management's current best view, it is possible that the realisations differ from the estimates used in the Interim Report.

The uncertainties contained in the accounting principles that require management's judgement and those contained in the estimates are described in the 2023 Financial Statements. Uncertainty in the economic environment due to the effects of inflation and the increase in interest rates may bring changes to the estimates presented in the Financial Statements that require management judgement.

The application of the impairment losses on financial assets model under IFRS 9 requires the management to make estimates and assumptions about whether the credit risk associated with the financial instrument has increased significantly since the initial recognition and requires forward-looking information to be considered in the recognition of on-demand credit losses.

1. Liquidity risk

Despite the general uncertainty in the economy, the Company's liquidity has remained stable at the end of the first quarter of 2024. However, inflationary pressures will remain at a higher level than normal as a result of low unemployment and higher wage levels, when interest rates will presumably continue to show large swings during 2024 (1. The Company strengthened its liquidity by issuing a covered bond in November 2023. With the issuance, the Company will refinance the EUR 300 million covered bond maturing at the beginning of April 2024.

The management of Oma Savings Bank Plc's liquidity risk is based on the Company's ability to procure sufficient cash that is competitive in price in both the short and long term. A key component of liquidity risk management is the planning of the liquidity position in both the short and long term. Additionally, the planning of the liquidity reserve prepares for deteriorating economic conditions in the market and possible changes in legislation. The goal of the Company's liquidity reserve is to cover one month's outflows. Liquidity risk management is supported by active risk management, monitoring of the balance sheet and cash flows and internal calculation models. The Company's liquidity is monitored daily by the Company's Treasury unit. The main objective of the Treasury unit is to ensure that the liquidity position always remains above the regulated and internally set threshold values. The function monitors and measures the amounts of incoming and outgoing cash flows and assesses the possible occurrence of liquidity shortfalls over the course of the day.

The Group's liquidity ratio (LCR), which describes shortterm liquidity, was 152.8% on 31 March 2024. The Company's liquidity has remained strong despite the uncertain market situation. The LCR for the first quarter is temporarily burdened by the Company's maturing covered bond of EUR 300 million, which the Company already has refinanced earlier in November 2023.

The Company has increased buffers in response to a weakening economic cycle and continues to maintain and strengthen liquidity and capital buffers. In 2023, the

Company increased its capital buffers by issuing a debenture loan and strengthened the liquidity position by issuing covered bonds, by which the Company has also reduced refinancing risk. In addition, the Company has implemented hedging operations against interest rate risk during the first quarter 2024.

(1Bank of Finland: Monetary policy report 2/2024 and Bloomberg 31 Mar 2023 30 Jun 2023 30 Sep 2023 31 Dec 202331 Mar 2024

2. Credit risk

Credit risk refers to the risk that a contracting party to a financial instrument will not be able to meet its obligations, thereby causing the other party a financial loss. Oma Savings Bank Plc's credit risk primarily consists of exposures secured by immovable property, retail exposures and corporate loans. The goal of credit risk management is to limit the profit and loss and capital adequacy effects of risks resulting from customer exposures to an acceptable level. Credit risk management and procedures have been described in Note G2 of the 2023 Financial Statements.

The rise in interest rates and costs, as well as the waning of economic growth, have increased customers' payment difficulties, and this is reflected in the increase in insolvent loans and expected credit losses.

Share of insolvent responsibilities of total loan portfolio was 2.1 (2.1)% in the end of the review period. At the same time matured and non-performing receivables from the credit portfolio rose and were 3.2 (2.9)%. The Company monitors the development of possible payment delays and repayment exemption applications as well as the development of values of collaterals.

2.1 Allowances based on the management's judgement

The Company has additional allowances based on the management's judgement and fair value adjustments in total EUR 27.8 million at the end of the first quarter. During the reporting period, an additional allowance of EUR 19.5 million based on the management's judgement was made due to the change in the Company's credit risk position for certain customer entities. According to the Company's estimate, the additional allowance, caused by the change in credit risk position, will cover credit losses that may be realised in the future.

When forming an estimate of the amount of the additional allowance based on the management's judgement, the Company has reviewed the customer entities under review and assessed their credit risk on a client-by-client basis. As a result of the investigation, the Company estimates that the activities that violated the guidelines leading to an additional allowance have been found to be limited to certain identified customer entities, and the increased credit risk within these to certain identified individual customers and their solvency. The Company's risk control and internal audit monitor the development of the investigation work and the resulting payment reliefs and forbearances.

2.2 Distribution by risk class

The Company classifies its customers into risk classes based on information available on the counterparty. The classification uses its own internal assessment and external credit rating data. Monitoring is continuous and can lead to a transfer from one risk class to another.

In lending, risk concentration may occur, for example, when the loan portfolio includes large amounts of loans and other liabilities:

• to a single counterparty
• to groups that are made up of individual counterparties or entities tied to them
• to specific sectors
• against specific collateral
• whose maturity is the same or
• whose product/instrument is the same.

Matured and non-performing exposures and forbearances

(1,000 euros)		% of credit		% of credit
	31 Mar 2024	portfolio	31 Dec 2023	portfolio
Matured exposures, 30-90 days	35,813	0.6%	31,253	0.5%
Non-matured or matured less than 90 days, non-repayment likely	92,636	1.5%	89,842	1.5%
Non-performing exposures, 90-180 days	23,363	0.4%	16,950	0.3%
Non-performing exposures, 181 days - 1 year	21,783	0.4%	14,374	0.2%
Non-performing exposures, > 1 year	23,256	0.4%	21,882	0.4%
Matured and non-performing exposures total	196,852	3.2%	174,301	2.9%
Performing exposures and matured exposures with forbearances	78,266	1.3%	74,099	1.2%
Non-performing exposures with forbearances	62,161	1.0%	57,593	1.0%
Forbearances total	140,427	2.3%	131,692	2.2%

Figures include interest due on items.

Geographic breakdown of collaterals

31 Mar 2024 (1,000 euros)
Region	Collateral value	Share (%)
Southwest Finland	2,002,096,086	26.3%
South Ostrobothnia	1,085,863,486	14.2%
Uusimaa	930,691,399	12.2%
Pirkanmaa	770,666,509	10.1%
Satakunta	524,480,662	6.9%
South Karelia	489,324,507	6.4%
Kymenlaakso	267,033,270	3.5%
Kanta-Häme	262,201,224	3.4%
Central Finland	240,940,610	3.2%
South Savo	205,599,242	2.7%
North Ostrobothnia	185,239,988	2.4%
Päijät-Häme	177,902,288	2.3%
North Karelia	168,757,761	2.2%
Other regions	314,767,200	4.1%
Total	7,625,564,232	100.0%

Loans and receivables and off-balance sheet commitments by risk rating and credit risk concentrations

Risk rating 1: Low-risk items are considered to include the Company's internal credit rating of AAA level private, corporate, housing association and AAA-AA+ level agricultural customers.

Risk rating 2: Reasonable risk items include the Company's internal credit rating of AA-B+ level private customers, AA-A+ level corporate and housing associations and AA-A level agricultural customers.

Risk rating 3: Increased risk items include the Company's internal credit rating of B-C-level private customers and A-B-level corporate and housing associations, as well as B+-B-level agricultural customers.

Risk rating 4: The highest risk items are considered to be the Company's internal credit rating of D-level private customers, C-level corporate and housing associations, C-D-level agricultural customers and defaulted customers.

Other customers are based on the Company's internal assessment of the risk rating.

The 'No rating' item includes loans and debt securities for which the Company has not defined credit ratings or for which there are no external credit ratings available.

Private customers

Loans and receivables and off-balance sheet
commitments	31 Mar 2024	31 Dec 2023
Risk rating 1	1,518,254	1,491,431
Risk rating 2	2,032,438	2,040,053
Risk rating 3	131,678	132,059
Risk rating 4	96,309	84,935
No rating	2,537	2,671
Capital items by risk category, total	3,781,216	3,751,150
Loss allowance	20,402	19,495
Total	3,760,814	3,731,655

Corporates

Loans and receivables and off-balance sheet

commitments	31 Mar 2024	31 Dec 2023
Risk rating 1	471,025	479,239
Risk rating 2	606,344	614,543
Risk rating 3	232,342	196,319
Risk rating 4	62,250	60,964
No rating	1,207	405
Capital items by risk category, total	1,373,168	1,351,470
Loss allowance	33,058	11,964
Total	1,340,110	1,339,506

Housing associations

Loans and receivables and off-balance sheet

commitments	31 Mar 2024	31 Dec 2023
Risk rating 1	642,720	651,897
Risk rating 2	84,446	73,089
Risk rating 3	15,040	29,462
Risk rating 4	4,357	2,817
Capital items by risk category, total	746,564	757,264
Loss allowance	673	449
Total	745,892	756,815

Agriculture

Loans and receivables and off-balance sheet
commitments	31 Mar 2024	31 Dec 2023
Risk rating 1	107,406	109,179
Risk rating 2	160,104	159,145
Risk rating 3	23,954	22,332
Risk rating 4	18,083	17,331
No rating	6,064	6,454
Capital items by risk category, total	315,612	314,442
Loss allowance	3,012	3,146
Total	312,600	311,296

Others

Loans and receivables and off-balance sheet commitments	31 Mar 2024	31 Dec 2023
Risk rating 1	86,174	96,123
Risk rating 2	73,649	76,829
Risk rating 3	1,010	932
Risk rating 4	35	42
Capital items by risk category, total	160,867	173,926
Loss allowance	593	674
Total	160,274	173,252
Debt securities	31 Mar 2024	31 Dec 2023
Risk rating 1	477,186	476,133
Risk rating 2	1,424	1,366
Risk rating 3	90	252
No rating	11,874	68,425
Capital items by risk category, total	490,574	546,177
Loss allowance	478	478
Total	490,096	545,699

Loans and receivables and off-balance sheet
commitments by industry	Risk rating 1	Risk rating 2	Risk rating 3	Risk rating 4	No rating	31 Mar 2024	31 Dec 2023
Enterprises	1,122,762	735,998	246,702	67,843	6,822	2,180,127	2,171,713
Real estate	772,169	338,843	110,827	21,330	-	1,243,169	1,250,967
Agriculture	2,145	52,246	1,305	2,177	5,614	63,487	61,607
Construction	54,578	48,297	19,097	7,914	-	129,886	125,645
Accommodation and food service activities	18,998	36,217	22,859	5,936	-	84,010	84,755
Wholesale and retail	81,922	79,832	20,320	8,235	-	190,310	182,695
Finance and insurance	18,240	27,324	8,704	177	-	54,446	44,500
Others	174,710	153,239	63,589	22,074	1,207	414,820	421,542
Public entities	1,232	15,209	-	-	-	16,441	16,486
Non-profit communities	15,491	18,570	170	-	-	34,231	34,832
Financial and insurance institutions	55,929	39,720	839	35	-	96,523	103,977
Households	1,630,166	2,147,484	156,312	113,156	2,987	4,050,105	4,021,245
Total	2,825,580	2,956,981	404,024	181,034	9,808	6,377,427	6,348,252

3. Operational risk

Oma Savings Bank Plc's most significant source of operational risk is cyber risks. The operational environment has changed due to the general situation and the risk level of information security has increased. The IT-risk is protected with many different methods and protection against cyberattacks applies not only to the IT environment but also to the entire personnel. Cyber threats and other risks, such as electrical and telecommunications disruptions have been surveyed in cooperation with service providers to ensure that the Company is well prepared in the event of a possible disruption. The Company has updated its own preparedness measures and operating guidelines by assessing various threat scenarios and their probabilities and impacts. The TIBER-FI framework-based information security testing carried out in the first quarter found that the protections were at a good level.

Note 3 Classification of financial assets and liabilities

Assets (1,000 euros)		Fair value through other	Fair value
		comprehensive	through profit	Hedging	Carrying value,
31 Mar 2024	Amortised cost	income	or loss	derivatives	total	Fair value
Cash and cash equivalents	604,341	-	-	-	604,341	604,341
Loans and receivables to credit institutions	175,000	-	-	-	175,000	175,000
Loans and receivables to customers	6,005,416	-	-	-	6,005,416	6,005,416
Derivatives, hedge accounting	-	-	-	31,443	31,443	31,443
Debt instruments	-	490,239	1,117	-	491,355	491,355
Equity instruments	-	-	13,801	-	13,801	13,801
Financial assets, total	6,784,758	490,239	14,918	31,443	7,321,357	7,321,357
Investments in associated companies					24,164	24,164
Investment properties					1,160	1,160
Other assets					184,611	184,611
Assets, total	6,784,758	490,239	14,918	31,443	7,531,291	7,531,291

Liabilities (1,000 euros)

		Hedging	Carrying value,
31 Mar 2024	Other liabilities	derivatives	total	Fair value
Liabilities to credit institutions	164,336	-	164,336	164,336
Liabilities to customers	3,706,049	-	3,706,049	3,706,049
Derivatives, hedge accounting	-	8,931	8,931	8,931
Debt securities issued to the public	2,861,503	-	2,861,503	2,861,503
Subordinated liabilities	60,000	-	60,000	60,000
Financial liabilities, total	6,791,887	8,931	6,800,818	6,800,818
Non-financial liabilities			203,047	203,047
Liabilities, total	6,791,887	8,931	7,003,865	7,003,865

Assets (1,000 euros)		Fair value through other comprehensive	Fair value through profit	Hedging	Carrying value,
31 Dec 2023	Amortised cost	income	or loss	derivatives	total	Fair value
Cash and cash equivalents	682,117	-	-	-	682,117	682,117
Loans and receivables to credit institutions	192,305	-	-	-	192,305	192,305
Loans and receivables to customers	5,997,074	-	-	-	5,997,074	5,997,074
Derivatives, hedge accounting	-	-	-	44,924	44,924	44,924
Debt instruments	-	545,699	1,030	-	546,729	546,729
Equity instruments	-	-	13,519	-	13,519	13,519
Financial assets, total	6,871,497	545,699	14,549	44,924	7,476,669	7,476,669
Investments in associated companies					24,131	24,131

Investment properties					1,167	1,167
Other assets					140,939	140,939
Assets, total	6,871,497	545,699	14,549	44,924	7,642,906	7,642,906

Liabilities (1,000 euros)

		Hedging	Carrying value,
31 Dec 2023	Other liabilities	derivatives	total	Fair value
Liabilities to credit institutions	165,255	-	165,255	165,255
Liabilities to customers	3,778,310	-	3,778,310	3,778,310
Derivatives, hedge accounting	-	9,455	9,455	9,455
Debt securities issued to the public	2,930,058	-	2,930,058	2,930,058
Subordinated liabilities	60,000	-	60,000	60,000
Financial liabilities, total	6,933,623	9,455	6,943,078	6,943,078
Non-financial liabilities			158,776	158,776
Liabilities, total	6,933,623	-	7,101,854	7,101,854

		Fair value
Assets (1,000 euros)		through other	Fair value
		comprehensive	through profit	Hedging	Carrying value,
31 Mar 2023	Amortised cost	income	or loss	derivatives	total	Fair value
Cash and cash equivalents	496,827	-	-	-	496,827	496,827
Loans and receivables to credit institutions	120,199	-	-	-	120,199	120,199
Loans and receivables to customers	5,966,671	-	-	-	5,966,671	5,966,671
Derivatives, hedge accounting	-	-	-	5,367	5,367	5,367
Debt instruments	-	542,699	902	-	543,601	543,601
Equity instruments	-	-	13,201	-	13,201	13,201
Financial assets, total	6,583,697	542,699	14,103	5,367	7,145,866	7,145,866
Investments in associated companies					25,113	25,113
Investment properties					1,319	1,319

Other assets					126,655	126,655
Assets, total	6,583,697	542,699	14,103	5,367	7,298,953	7,298,953
Liabilities (1,000 euros)
		Hedging	Carrying value,
31 Mar 2023	Other liabilities	derivatives	total	Fair value

262,249	-	262,249	262,249
3,927,221	-	3,927,221	3,927,221
-	6,292	6,292	6,292
2,462,851	-	2,462,851	2,462,851
60,000	-	60,000	60,000
6,712,321	6,292	6,718,613	6,718,613
		142,983	142,983
6,712,321	6,292	6,861,596	6,861,596

Note 4 Loans and receivables

(1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Loans and receivables to credit institutions
Deposits	173,820	191,805	77,002
Other	1,180	500	43,198
Loans and receivables to credit institutions, total	175,000	192,305	120,199
Loans and receivables to the public and public sector entities
Loans	5,875,049	5,871,747	5,839,989
Utilised overdraft facilities	70,541	65,637	72,106
Loans intermediated through the State's assets	17	20	23
Credit cards	59,101	58,929	53,993
Bank guarantee receivables	708	741	560
Loans and receivables to the public and public sector entities, total	6,005,416	5,997,074	5,966,671
Loans and receivables, total	6,180,417	6,189,379	6,086,870

Loans and receivables to credit institutions, item Other includes the minimum reserve deposit with the Bank of Finland. The recording policy for the minimum reserve deposit has been changed, and from 30 June 2023, the deposit will be presented as the amount of the balance requirement on the last day of the reporting period.

Reconciliations from the opening and the closing balances of the expected credit losses are presented in Note 12 Impairment losses on financial assets.

Note 5 Financial derivatives

Assets (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Fair value hedge
Interest rate derivatives	31,443	44,924	5,365
Other hedging derivatives
Share and share index derivatives	-	-	1
Derivative assets, total	31,443	44,924	5,367
Liabilities (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Fair value hedge
Interest rate derivatives	8,931	9,455	6,292
Derivative liabilities, total	8,931	9,455	6,292

Fair value of hedge items on hedge accounting

(1,000 euros)	31 Mar 2024		31 Dec 2023		31 Mar 2023
	Book value on	of which the	Book value on	of which the	Book value on	of which the
	hedge item	change in the fair value of the hedged item	hedge item	change in the fair value of the hedged item	hedge item	change in the fair value of the hedged item
Fair value portfolio hedge
Loans and advances to credit institutions	225,667	7,667	227,523	9,523	220,989	2,989
Assets, total	225,667	7,667	227,523	9,523	220,989	2,989
Liabilities to the public and public
sector entities	1,530,692	30,692	1,345,014	45,014	706,805	1,805
Liabilities, total	1,530,692	30,692	1,345,014	45,014	706,805	1,805

Nominal values of underlying items and fair

values of derivatives (1,000 euros)	Remaining maturity				Fair values
31 Mar 2024	Less than 1 year	1-5 years	Over 5 years	Total	Assets	Liabilities
Fair value hedge	-	891,000	827,000	1,718,000	31,443	8,931
Interest rate swaps	-	891,000	827,000	1,718,000	31,443	8,931
Other hedging derivatives	-	-	-	-	-	-
Share and share index derivatives	-	-	-	-	-	-
Derivatives, total	-	891,000	827,000	1,718,000	31,443	8,931

Nominal values of underlying items and fair

values of derivatives (1,000 euros)	Remaining maturity				Fair values
31 Dec 2023	Less than 1 year	1-5 years	Over 5 years	Total	Assets	Liabilities
Fair value hedge	-	891,000	627,000	1,518,000	44,924	9,455
Interest rate swaps	-	891,000	627,000	1,518,000	44,924	9,455
Other hedging derivatives	12,553	-	-	12,553	-	-
Share and share index derivatives	12,553	-	-	12,553	-	-
Derivatives, total	12,553	891,000	627,000	1,530,553	44,924	9,455

Nominal values of underlying items and fair

values of derivatives (1,000 euros)	Remaining maturity				Fair values
31 Mar 2023	Less than 1 year	1-5 years	Over 5 years	Total	Assets	Liabilities
Fair value hedge	5,000	291,000	627,000	923,000	5,365	6,292
Interest rate swaps	5,000	291,000	627,000	923,000	5,365	6,292
Other hedging derivatives	27,490	-	-	27,490	1	-
Share and share index derivatives	27,490	-	-	27,490	2	-
Derivatives, total	32,490	291,000	627,000	950,490	5,367	6,292

Note 6 Investment assets

Investment assets (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Measured at fair value through profit or loss
Debt securities	1,117	1,030	902
Shares and other equity instruments	13,801	13,519	13,201
Assets measured at fair value through profit or loss, total	14,918	14,549	14,103
Measured at fair value through other comprehensive income
Debt securities	490,239	545,699	542,699
Shares and other equity instruments	-	-	-
Measured at fair value through other comprehensive income, total	490,239	545,699	542,699
Investment properties	1,160	1,167	1,319
Investment assets, total	506,316	561,414	558,121

Reconciliations from the opening and the closing balances of the expected credit losses are presented in Note 12 Impairment losses on financial assets.

Changes in investment properties (1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Cost January 1	4,058	4,199	4,199
+ Increases	-	22	22
+/- Transfers	-	-163	-27
Cost at the end of the period	4,058	4,058	4,194
Accumulated depreciation and impairment losses January 1	-2,892	-2,871	-2,871
+/- Accumulated depreciation of decreases and transfers	-	40	7
- Depreciation	-7	-59	-10
+/- Other changes	-	-1	-1
Accumulated depreciation and impairment at the end of the period	-2,899	-2,892	-2,875
Opening balance January 1	1,167	1,328	1,328
Closing balance	1,160	1,167	1,319

31 Mar 2024		Equity instruments			Debt-based
Measured at fair value through profit	Fair value				Fair value
or loss and measured at fair value	through other	Fair value			through other	Fair value
through other comprehensive income	comprehensive	through profit or	At amortised		comprehensive	through profit or	At amortised
(1,000 euros)	income	loss	cost	Total	income	loss	cost	Total	All total
Quoted
Public sector entities	-	-	-	-	167,721	-	-	167,721	167,721
From others	-	4,305	-	4,305	322,518	115	-	322,633	326,938
Non-quoted
From others	-	9,496	-	9,496	-	1,002	-	1,002	10,498
Total	-	13,801	-	13,801	490,239	1,117	-	491,355	505,156
31 Dec 2023					Debt-based
		Equity instruments
Measured at fair value through profit	Fair value				Fair value
or loss and measured at fair value	through other	Fair value			through other	Fair value
through other comprehensive income	comprehensive	through profit or	At amortised		comprehensive	through profit or	At amortised
(1,000 euros)	income	loss	cost	Total	income	loss	cost	Total	All total
Quoted
Public sector entities	-	-	-	-	161,872	-	-	161,872	161,872
From others	-	4,214	-	4,214	383,827	115	-	383,942	388,156
Non-quoted
From others	-	9,305	-	9,305	-	915	-	915	10,220
Total	-	13,519	-	13,519	545,699	1,030	-	546,729	560,248
31 Mar 2023		Equity instruments		Debt-based

Measured at fair value through profit or loss and measured at fair value	Fair value through other	Fair value			Fair value through other	Fair value
through other comprehensive income	comprehensive	through profit or	At amortised		comprehensive	through profit or	At amortised
(1,000 euros)	income	loss	cost	Total	income	loss	cost	Total	All total
Quoted
Public sector entities	-	-	-	-	154,654	-	-	154,654	154,654
From others	-	3,962	-	3,962	387,844	113	-	387,957	391,919
Non-quoted
From others	-	9,239	-	9,239	202	789	-	990	10,230
Total	-	13,201	-	13,201	542,699	902	-	543,601	556,802

43

Note 7 Liabilities to the public and public sector entities and liabilities to credit institutions

(1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Liabilities to credit institutions
Liabilities to Central Banks	30,000	30,000	150,000
Repayable on demand	7,496	4,420	8,385
Other than repayable on demand	126,840	130,835	103,865
Liabilities to credit institutions, total	164,336	165,255	262,249
Liabilities to the public and public sector entities
Deposits	3,675,340	3,733,280	3,925,395
Repayable on demand	3,016,748	3,160,301	3,328,618
Other	658,592	572,979	596,777
Other financial liabilities	16	16	21
Other than repayable on demand	16	16	21
Changes in fair value in terms of borrowing	30,692	45,014	1,805
Liabilities to the public and public sector entities, total	3,706,049	3,778,310	3,927,221
Liabilities to the public and public sector entities and liabilities to credit institutions, total	3,870,385	3,943,565	4,189,470

The Liabilities to Central Banks item concern the secured LTRO loan. In the comparison period 31 March 2023, the item consisted of a TLTRO credit, which matured on 30 June 2023. In accordance with the IFRS 9 standard, the TLTRO loan was treated as a liability and the loan interest was revised after the loan matured.

Note 8 Debt securities issued to the public

(1,000 euros)	31 Mar 2024	31 Dec 2023	31 Mar 2023
Bonds	2,706,760	2,758,725	2,289,630
Certificates of deposit	154,743	171,333	173,221
Debt securities issued to the public,	2,861,503	2,930,058	2,462,851
total

	Nominal value				Closing balance
Bond	31 Mar 2024	Interest	Year of issue	Due date	31 Mar 2024	31 Dec 2023	31 Mar 2023
OmaSp Plc 3.4.2024, covered bond	300,000	0.125%/fixed	2019	4/3/2024	299,997	299,914	299,662
OmaSp Plc 6.4.2023, covered bond	250,000	0.125%/fixed	2020	4/6/2023	-	-	249,993
OmaSp Plc 17.1.2024	55,000	margin 1%/variable	2020	1/17/2024	-	55,000	54,999
OmaSp Plc 25.11.2027, covered bond	650,000	0.01%/fixed	2020-2023	11/25/2027	623,781	622,126	403,710
OmaSp Plc 19.5.2025	200,000	margin 0.2%/variable	2021	5/19/2025	199,822	199,782	199,664
OmaSp Plc 18.12.2026, covered bond	600,000	1.5%/fixed	2022	12/18/2026	588,592	587,613	584,625
OmaSp Plc 26.9.2024	150,000	5%/fixed	2022	9/26/2024	149,845	149,802	149,632
OmaSp Plc 15.6.2028, covered bond	350,000	3.125%/fixed	2023	6/15/2028	347,776	347,641	347,346
OmaSp Plc 15.1.2029, covered bond	500,000	3.5%/fixed	2023	1/15/2029	496,947	496,848	-

Maturity of deposit certificates	Less than 3 months	3-6 months	6-9 months	9-12 months	Closing balance, total
31 Mar 2024	80,768	64,223	9,752	-	154,743
31 Dec 2023	99,464	62,221	-	9,648	171,333
31 Mar 2023	89,673	41,655	12,738	29,155	173,221

2,706,760 2,758,725 2,289,630

Note 9 Net interest income

(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
Interest income
Loans to credit institutions	5,713	2,383	11,627
Loans and receivables to the public and public
sector entities	82,194	46,166	266,459
Debt securities	1,630	1,110	5,102
Derivatives contracts*	-	5,630	37,613
Net interest paid or received on derivatives in
accounting hedges of assets*	587	-	-
Other interest income	580	304	1,705
Interest income, total	90,705	55,593	322,506
Interest expenses
Liabilities to credit institutions	-1,586	-1,192	-5,099
Liabilities to the public and public sector entities	-8,987	-2,992	-22,216
Debt securities issued to the public	-18,589	-9,751	-54,488
Derivative contracts*	-	-4,972	-40,775
Net interest paid or received on derivatives in
hedges of liabilities*	-3,299	-	-
Subordinated liabilities	-544	-322	-1,754
Other interest expenses	-331	-140	-1,130
Interest expenses, total	-33,336	-19,369	-125,461
Net interest income	57,369	36,224	197,045

*During the reporting period, the Company has changed the management of the interest rates of derivatives that hedge the interest rate risk to a netting basis, which has an impact on interest income of EUR -12.5 million and on interest expenses of EUR + 12.5 million. Net interest income from hedging the interest rate risk was EUR -2.7 million.

Note 10 Fee and commission income and expenses

(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
Fee and commission income
Lending	2,608	1,938	10,156
Deposits	27	21	107
Card and payment transactions	8,992	7,501	33,713
Funds	1,817	1,312	6,517
Legal services	117	74	483
Brokered products	664	516	2,469
Granting of guarantees	582	519	2,094
Other fee and commission income	263	241	1,082
Fee and commission income, total	15,069	12,123	56,621
Fee and commission expenses
Card and payment transactions	-1,762	-1,272	-6,653
Securities	-255	-126	-1,442
Other fee and commission expenses	-285	-271	-1,105
Fee and commission expenses, total	-2,303	-1,670	-9,200
Fee and commission income and expenses, net	12,766	10,453	47,421

Note 11 Net income on financial assets and financial liabilities

		1-12/2023
25	42	25
25	42	25
126	82	217
319	-37	-2,782
446	45	-2,564
	87	-2,540
	1-3/2024	1-3/2023

Net income on financial assets measured at fair value through

other comprehensive income

Debt securities
Capital gains and losses	91	562	610
Difference in valuation reclassified from the fair value reserve
to the income statement	-312	-369	-422
Debt securities, total	-222	193	188
Net income on financial assets measured at fair value through other comprehensive income, total	-222	193	188

Net income from investment properties (1,000 euros)	1-3/2024	1-3/2023	1-12/2023
Rent and dividend income	49	55	235
Other gains from investment properties	2	2	11
Maintenance expenses	-28	-16	-90
Depreciation and impairment on investment properties	-7	-10	-59
Rent expenses on investment properties	-	-	-10
Net income from investment properties, total	15	31	87

Net income on trading in foreign currencies	53	-43	-83
Net income from hedge accounting	-305	701	779
Net income from trading	-187	50	-306
Net income on financial assets and financial liabilities, total	-175	1,019	-1,875

Note 12 Impairment losses on financial assets

(1,000 euros)	1-3/2024	1-3/2023	1-12/2023
ECL on receivables from customers and off-balance
sheet items	-22,011	-965	1,926
ECL from debt instruments	142	-107	-40
Expected credit losses, total	-21,869	-1,072	1,885
Final credit losses
Final credit losses	-1,349	-600	-20,760
Refunds on realised credit losses	106	77	1,748
Recognised credit losses, net	-1,243	-522	-19,012

Reconciliations from the opening and closing balances of the expected credit losses have been formed from 1 January 2024 and 31 March 2024 on the basis of changes in euro denominated loan exposures and expected credit losses.

Expected credit losses, loans and receivables

				1-3/2024	1-3/2023	1-12/2023
Receivables from credit institutions and public and public entities (1,000 euros)	Stage 1	Stage 2	Stage 3	Total	Total	Total
Expected credit losses 1 January	1,655	14,180	19,624	35,458	24,833	24,833
Transfer to stage 1	99	-294	-	-194	-289	-583
Transfer to stage 2	-128	1,575	-355	1,092	712	321
Transfer to stage 3	-6	-501	2,491	1,984	878	5,473
New debt securities	45	119	171	335	5,172	7,496
Instalments and matured debt securities	-47	-193	-466	-706	-544	7,990
Realised credit losses	-	-	-1,349	-1,349	-600	-20,760
Recoveries on previous realised credit losses	-	-	106	106	77	1,748
Changes in credit risk	20	-286	1,428	1,161	-1,001	1,878
Changes in the ECL model parameters	-	-	-	-	-	-100
Changes based on management estimates	-29	19,555	94	19,620	9,038	7,161
Expected credit losses period end	1,609	34,156	21,743	57,508	38,277	35,458

In the first quarter, an additional allowance of EUR 19.5 million based on management's judgement was recognised due to a change in the credit risk position of certain customers.

				1-3/2024	1-3/2023	1-12/2023
Off-balance sheet commitments (1,000 euros)	Stage 1	Stage 2	Stage 3	Total	Total	Total
Expected credit losses 1 January	78	192	-	269	297	297
Transfer to stage 1	5	-26	-	-21	-71	156
Transfer to stage 2	-2	24	-	23	24	79
Transfer to stage 3	-	-4	-	-4	-3	-9
New debt securities	19	71	-	91	146	140
Instalments and matured debt securities	-21	-90	-	-111	-72	65
Realised credit losses	-	-	-	-	-	-
Recoveries on previous realised credit losses	-	-	-	-	-	-
Changes in credit risk	-2	-15	-	-17	-24	214
Changes in the ECL model parameters	-	-	-	-	-	-726
Changes based on management estimates	-	-	-	-	45	53
Expected credit losses period end	78	153	-	231	342	269

Expected credit losses, investment assets

				1-3/2024	1-3/2023	1-12/2023
Debt securities (1,000 euros)	Stage 1	Stage 2	Stage 3	Total	Total	Total
Expected credit losses 1 January	430	48	-	478	438	438
Transfer to stage 1	-	-	-	-	-11	-
Transfer to stage 2	-	-	-	-	-	23
Transfer to stage 3	-	-	-	-	-	-
New debt securities	14	-	-	14	639	613
Instalments and matured debt securities	-74	-	-	-74	-609	-629
Realised credit losses	-	-	-	-	-	-
Recoveries on previous realised credit losses	-	-	-	-	-	-
Changes in credit risk	-77	-5	-	-82	87	34
Changes in the ECL model parameters	-	-	-	-	-	-
Changes based on management estimates	-	-	-	-	-	-
Expected credit losses period end	293	43	-	336	544	478

Note 13 Fair values in accordance with the valuation method

The determination of the fair value of financial instruments is set out in Note G1 Accounting principles under "Determining the fair value" of the Financial Statements for the year 2023.

Equity securities recorded to stage 3 include shares in unlisted companies.

Financial assets and liabilities measured at fair value

		31 Mar 2024
Financial assets (1,000 euros)	Level 1	Level 2	Level 3	Total
At fair value through profit or loss
Equity securities	4,305	2,672	6,824	13,801
Debt securities	710	-	407	1,117
Derivatives	-	31,443	-	31,443
At fair value through other comprehensive income
Debt securities	490,006	-	233	490,239
Financial assets, total	495,021	34,115	7,463	536,599
		31 Mar 2024
Financial liabilities (1, 000 euros)	Level 1	Level 2	Level 3	Total
Derivatives	-	8,931	-	8,931
Financial liabilities, total	-	8,931	-	8,931
		31 Mar 2024
Other liabilities (1,000 euros)	Level 1	Level 2	Level 3	Total
At fair value through profit or loss
Payment liability, consortium of Savings Banks	-	-	19,550	19,550
Total	-	-	19,550	19,550
		31 Dec 2023				31 Mar 2023
Financial assets (1,000 euros)	Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
Measured at fair value through profit or loss
Equity securities	4,214	2,439	6,866	13,519	3,962	2,147	7,092	13,201
Debt securities	685	-	345	1,030	705	-	197	902
Derivatives	-	44,924	-	44,924	-	5,367	-	5,367
Measured at fair value through other comprehensive income
Debt securities	545,465	-	234	545,699	542,699	-	-	542,699
Financial assets, total	550,364	47,363	7,445	605,172	547,366	7,514	7,289	562,169
		31 Dec 2023				31 Mar 2023
Financial liabilities (1,000 euros)	Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
Derivatives	-	9,455	-	9,455	-	6,292	-	6,292
Financial liabilities, total	-	9,455	-	9,455	-	6,292	-	6,292
		31 Dec 2023				31 Mar 2023
Other liabilities (1,000 euros)	Level 1	Level 2	Level 3	Total	Level 1	Level 2	Level 3	Total
At fair value through profit or loss
Payment liability, consortium of Savings Banks	-	-	19,550	19,550	-	-	20,200	20,200
Total	-	-	19,550	19,550	-	-	20,200	20,200

Investment transactions, categorised to Level 3

		31 Mar 2024			31 Dec 2023		31 Mar 2023
Financial assets at fair value
through profit or loss	Equity	Debt		Equity	Debt		Equity	Debt
(1,000 euros)	securities	securities	Total	securities	securities	Total	securities	securities	Total
Opening balance	6,866	345	7,211	6,211	199	6,410	6,211	199	6,410
+ Acquisitions	-91	146	54	743	146	888	1,000	-	1,000
- Sales	-	-	-	-	-	-	-	-	-
- Matured during the year	-	-84	-84	-	-	-	-	-	-
Realised changes in value +/- recognised on the income statement	-	-	-	-	-	-	-	-	-
Unrealised changes in value +/- recognised on the income statement	49	-	49	-88	-	-88	-119	-2	-121
+ Transfers to Level 3	-	-	-	-	-	-	-	-	-
- Transfers to Level 1 and 2	-	-	-	-	-	-	-	-	-
Closing balance	6,824	407	7,231	6,866	345	7,211	7,092	197	7,289

		31 Mar 2024			31 Dec 2023		31 Mar 2023
At fair value through other comprehensive income (1,000 euros)	Equity securities	Debt securities	Total	Equity securities	Debt securities	Total	Equity securities	Debt securities	Total
Opening balance	-	234	234	-	-	-	-	-	-
+ Acquisitions	-	-	-	-	-	-	-	-	-
- Sales	-	-	-	-	-	-	-	-	-
- Matured during the year	-	-	-	-	-	-	-	-	-
Realised changes in value +/- recognised on the income statement	-	-	-	-	-	-	-	-	-
Unrealised changes in value +/- recognised on the income statement	-	-	-	-	-	-	-	-	-
Changes in value recognised +/- in other comprehensive income	-	-2	-2	-	-69	-69	-	-	-
+ Transfers to Level 3	-	-	-	-	303	303	-	-	-
- Transfers to Level 1 and 2	-	-	-	-	-	-	-	-	-
Closing balance	-	233	233	-	234	234	-	-	-

Transactions in other liabilities, categorised to Level 3

		31 Mar 2024		31 Dec 2023			31 Mar 2023
Other liabilities at fair value through profit or loss (1,000 euros)	Equity securities	Debt securities	Total	Equity securities	Debt securities	Total	Equity securities	Debt securities	Total
Opening balance	-	19,550	19,550	-	5,200	5,200	-	5,200	5,200
+ Acquisitions	-	-	-	-	15,000	15,000	-	15,000	15,000
- Sales	-	-	-	-	-	-	-	-	-
- Matured during the year	-	-	-	-	-	-	-	-	-
Realised changes in value +/- recognised on the income statement	-	-	-	-	-	-	-	-	-
Unrealised changes in value +/- recognised on the income statement	-	-	-	-	-650	-650	-	-	-
+ Transfers to Level 3	-	-	-	-	-	-	-	-	-
- Transfers to Level 1 and 2	-	-	-	-	-	-	-	-	-
Closing balance	-	19,550	19,550	-	19,550	19,550	-	20,200	20,200

			31 Mar 2024			31 Dec 2023			31 Mar 2023
(1,000 euros)		Potential impact on equity			Potential impact on equity			Potential impact on equity
Equity securities	Hypo thetical change	Market value	Positive	Negative	Market value	Positive	Negative	Market value	Positive	Negative
At fair value through profit or loss	+/- 15%	6,824	1,024	-1,024	6,866	1,030	-1,030	7,092	1,064	-1,064
At fair value through other comprehensive income	+/- 15%	-	-	-	-	-	-	-	-	-
Total		6,824	1,024	-1,024	6,866	1,030	-1,030	7,092	1,064	-1,064
		31 Mar 2024				31 Dec 2023		31 Mar 2023
(1,000 euros)			Potential impact on equity			Potential impact on equity			Potential impact on equity
Debt securities	Hypo thetical change	Market value	Positive	Negative	Market value	Positive	Negative	Market value	Positive	Negative
At fair value through profit or loss	+/- 15%	407	61	-61	345	52	-52	197	30	-30
At fair value through other comprehensive income	+/- 15%	233	35	-35	234	35	-35	-	-	-
Total		639	96	-96	579	87	-87	197	30	-30

Sensitivity analysis for financial assets on Level 3

Note 14 Share-based incentive schemes

As of 31 March 2024, the Company has the following existing share-based incentive schemes:

Program 2020–2021

On 17 February 2020, Oma Savings Bank's Board of Directors decided to set up a share-based incentive scheme for the Group's management. The remuneration is based on comparable cost-income ratio, an increase in operating income (in comparable figures) and customer and employee satisfaction. The program includes the earning period 2020–2021 and subsequent commitment periods, during which the shares will be disposed approximately in four installments within three years. The reward is paid partly in shares of the Company and partly in cash. The cash portion is used to cover taxes and tax charges incurred by the reward to the person. If a person's employment or employment relationship ends before the payment of the commission, the remuneration, as a rule, is not paid. The fees payable under the scheme correspond to a total of up to 420,000 Oma Savings Bank Plc shares. The target group of the scheme includes a maximum of 10 persons.

Program 2022–2023

On 24 February 2022, Oma Savings Bank's Board of Directors decided to set up a share-based incentive scheme for key persons of the Group. The remuneration is based on comparable cost-income ratio, the quality of the credit portfolio, and customer and employee satisfaction. The program includes a two-year long earning period, 2022–2023 and subsequent commitment periods, during which the shares will be disposed in approximately six instalments within five years. The reward is paid partly in shares of the Company and partly in cash. The cash portion is used to cover taxes and tax charges incurred by the reward to the person. If a person's employment or employment relationship ends before the payment of the commission, the remuneration, as a rule, is not paid. The fees payable under the scheme correspond to a maximum value of 400,000 shares of Oma Savings Bank Plc, including the amount to be paid in cash. The target group of the scheme includes a maximum of 30 key persons, including the Company's CEO and members of the Group's Management Team.

Program 2024–2025

On 29 February 2024, Oma Savings Bank's Board of Directors decided to set up set up a new share-based incentive scheme for key persons of the Group. The remuneration is based on comparable cost-income ratio, quality of the credit portfolio, customer and personnel satisfaction. The program includes a two-year long earning period, 2024–2025 and subsequent commitment periods, during which the shares will be disposed in approximately six instalments within four years. The reward is paid partly in shares of the Company and partly in cash. The cash portion is used to cover taxes and tax charges incurred by the reward to the person. If a person's employment or employment relationship ends before the payment of the commission, the remuneration, as a rule, is not paid. The fees payable under the scheme correspond to a maximum value of 405,000 shares of Oma Savings Bank Plc, including the amount to be paid in cash. The target group of the scheme includes a maximum of 45 key persons, including the Company's CEO and members of the Group's Management Team.

Share savings plan OmaOsake

On 29 February, Oma Savings Bank's Board of Directors established an employee share savings plan ("OmaOsake") for all employees. By encouraging employees to acquire and own shares in the Company, the Company seeks to align the objectives of shareholders and employees in order to increase the value of the Company in the long term. The aim is also to support employee motivation and commitment as well as the Company's corporate culture. The OmaOsake consists of annually commencing plan periods, each with a 12-month savings period followed by a holding period of approximately two years. Participants have the opportunity to receive one free matching share (gross) per two savings shares or one savings share, depending on the achievement of the performance criteria. If the performance criteria are not fulfilled, the participants will receive one matching share per three savings shares. As a rule, the receipt of the matching shares is subject to continued employment and holding of savings shares for the holding period ending 31 March 2027. The potential reward will be paid partly in shares and cash after the end of the holding period. The cash pro-portion is intended to cover taxes and statutory social security contributions arising from the reward. The matching shares are freely transferable after they have been recorded on the participant's book-entry account. During the 2024–2027 plan period, the OmaOsake will be offered to approximately 440 employees including members of the Management Team and the CEO.

Share-based incentive scheme	1-3/2024	1-3/2024	1-3/2024	1-12/2023
	Program	Program	Program	Program
	2024-2025	2022-2023	2020-2021	2020-2021
Maximum estimated number of gross shares at the start of the
scheme	405,000	400,000	420,000	420,000
Date of issue	1/1/2024	1/1/2022	1/1/2020	1/1/2020
Share price at issue, weighted average fair value	20.34	16.90	8.79	8.79
Earning period begins	1/1/2024	1/1/2022	1/1/2020	1/1/2020
Earning period ends	12/31/2025	12/31/2023	12/31/2021	12/31/2021
Persons at the close of the financial year	41	29	10	11
Events for the financial year (pcs)	1-3/2024	1-3/2024	1-3/2024	1-12/2023
	Program	Program	Program	Program
1/1/2023	2024-2025	2022-2023	2020-2021	2020-2021
Those who were out at the beginning of the period		-	114,794	172,190
Changes during the period
Granted during the period		218,293	-	-
Lost during the period		-13,086	-24,086	-
Implemented during the period		-82,093	-45,356	-57,396
Expired during the period		-	-	-
Out at the end of the period		123,114	45,352	114,794

Note 15 Significant events after the period

On 16 April 2024, the Company gave preliminary information on the result for the first quarter and updated its guidance of 2024 due to a significant additional allowance based on management's judgement recognised for the first quarter. The Company detected noncompliance with the guidelines as a result of its own monitoring processes, as a result of which the Company's credit risk position deteriorated materially for certain customer entities. The reason behind the event is a violation of the guidelines related to the Company's lending, as a result of which individual customer entities were deliberately formed incorrectly. The weakening of the collateral position due to non-compliance combined with the prevailing general weak economic situation increases the Company's credit risk from previously reported. Due to the change in risk position, an additional allowance based on management's judgement of EUR 19.5 million was recognised in the first quarter. The Company updated its guidance and comparable profit before taxes is expected to be EUR 120–140 million for the financial year 2024.

Other events following the end of the reporting period that would require the presentation of additional information or that would materially affect the Company's financial position are unknown.

Note 16 Alternative Performance Measures (APM) and calculation of the key figures

Oma Savings Bank Plc's financial reporting presents Alternative Performance Measures (APM) that describe the Company's historical financial result, financial position or cash flows. The APMs are drawn up in line with the guidelines set by the European Securities and Markets Authority (ESMA). APMs are not key figures defined or specified in IFRS standards, capital adequacy regulation (CRD/CRR) or Solvency II (SII) regulations. The Company presents APMs as supplementary information to the key figures that are presented in the Group's IFRS-compliant income statement, Group balance sheets and cash flow statements.

In the Company's view, alternative key figures provide meaningful and useful information to investors, securities market analysts and others concerning Oma Savings Bank Plc's performance, financial position and cash flows.

Oma Savings Bank Plc uses the following Alternative Performance Measures:

• Comparable profit before taxes
• Cost/income ratio, %
• Total return on assets, ROA %
• Return on equity, ROE %
• Equity ratio, %
• Comparable cost/income ratio, %
• Comparable return on equity, ROE %
• Comparable earnings per share (EPS), EUR

Calculation of key figures

Operating income, total

Net interest income, net fee and commission income and expenses, net income on financial assets and liabilities, other operating income

Total operating expenses

Personnel expenses, other operating expenses, depreciation, amortisation and impairment losses on tangible and intangible assets

Liquidity coverage ratio (LCR), %

Minimum liquidity buffer relative to net cash and collateral outflows in a 30-day stress scenario

Net stable funding ratio (NSFR)%

Available amount of stable funding	X 100
Required amount of stable funding

Cost/income ratio, %

Total operating expenses
Total operating income + share of profit from joint	X 100
ventures and associated companies (net)

Comparable cost/income ratio, %

Total operating expenses without items affecting
comparability
Total operating income without items affecting comparability	X 100
+ share of profit from joint ventures and associated companies (net)

Comparable profit before taxes

Profit/loss before taxes without net income from financial assets and liabilities and other items effecting comparability

Return on equity, ROE %

Profit/loss for the accounting period
Equity (average of the beginning and the end of	X 100
the year)

Comparable return on equity, ROE %

Comparable profit/loss for the accounting period Equity (average of the beginning and the end of the year) X 100

Total return on assets, ROA %
Profit/loss of the accounting period
Average balance sheet total	X 100
(average of the beginning and the end of the year)
Equity ratio, %
Equity
Balance sheet total	X 100
Total capital (TC), %
Own funds total (TC)
Risk-weighted assets (RWA) total	X 100
Common Equity Tier 1 (CET1) capital ratio, %
Common Equity Tier 1 (CET1) capital
Risk-weighted assets (RWA) total	X 100
Tier 1 (T1), capital ratio, %
Tier 1 (T1) capital
Risk-weighted assets (RWA) total	X 100
Leverage ratio, %
Tier 1 (T1) capital
Exposures total	X 100
Earnings per share (EPS), EUR
Profit/loss for the accounting period
belonging to the parent company owners Average number of shares outstanding
Earnings per share after dilution (EPS), EUR
Profit/loss for the accounting period
belonging to the parent company
Average number of shares outstanding after dilution of share-based rewarding
Comparable earnings per share (EPS), EUR

Comparable profit/loss – Share of non-controlling interests

Average number of shares outstanding

lndependent Auditor's Report on Review of Consolidated Interim Report of Oma Savings Bank Plc

To the Board of Directors of Oma Savings Bank Plc

Introduction

We have reviewed the accompanying consolidated interim report of Oma Savings Bank Plc which comprise the condensed consolidated balance sheet as at 31 March 2024, condensed consolidated income statement, statement of comprehensive income, changes in equity, and cash flows for the three months ended 31 March 2024 and notes to the condensed interim information. The Board of Directors and the CEO are responsible for the preparation and presentation of the condensed consolidated interim report in accordance with IAS 34 "lnterim Financial Reporting" standard and other regulations governing the preparation of interim financial statements in Finland. Our responsibility is to express a conclusion on this condensed consolidated interim financial information based on our review.

Scope of review

We conducted our review in accordance with lnternational Standards on Review Engagements ISRE 2410 "Review of lnterim Financial Information Performed by the lndependent Auditor of the Entity". A review of interim

financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review

procedures. A review is substantially less in scope than an audit conducted in accordance with lnternational Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying consolidated interim report of Oma Savings Bank Plc as at 31 March 2024 and for the three month period ended 31 March 2024 has not been prepared, in all material respects, in accordance with IAS 34 lnterim Financial Reporting standard and other regulations governing the preparation of interim financial statements in Finland.

In Helsinki, 29 April 2024

KPMG OY AB

Tuomas Ilveskoski Authorised Public Accountant, KHT