Strong growth in revenues with existing customers - segmentation strategy pays off Share of Retail Household income in Q1 2007 Private Banking reached 10% share � 61% of Retail Household revenues for the first time Increased deposit revenues benefits � 15% 15% all segments 10% Increased business with Gold � Bronze Silver Gold Private Banking customers Gold segment Mar 06 to Mar 07 15.2% 6.8 % 7.8% 165 143 70 66 2.3 2.2 Business volumes No. of customers Volume per (m) custome r (EUR bn) (EUR'000) 19
Continued revenue growth in all Retail corporate segments Share of Retail Corporate income Q1 2007 Large companies accounts for more � 56% than 50% of new growth potential in all segments Solid revenue growth in all segments 26% � 18% across markets One Nordic customer area � Small Medium Large Gather the corporate relationship management � competencies Income growth YoY 7% 6% 4% Small Medium Large 20
Geographical markets in focus � Growth plan Sweden � Accelerated growth plan in Nordic markets, in particular Sweden � Focus on advisory services and product segments with growth potential � 200 advisors recruited and trained in Retail banking last 12 months � Poland and Baltic countries � Continued high activity in Poland and the Baltics – revenues up 38% � Total lending up 53% YoY � Number of Gold customers doubled YoY � Increased growth ambitions in Poland with up to 150 new branches in 2-3 years. � 7 new banking units opened during first quarter in Poland and the Baltic countries � Preparations for more rapid expansion of the network are ongoing and the result will gradually seen during the latter part of 2007 21
Orgresbank � Acquisition finalised in Q1 2007 � Balance sheet consolidated in Nordea Group accounts per 31 March 2007 � Strong financial performance in Q1 � Total income EUR 18m (EUR 55m full year 2006) � Total expenses EUR 10m (EUR 31m full year 2006) � Orgresbank will capture growth in the Russian market � Russian corporate customers � Nordic corporate customers � Personal customers in high end segment 22
The next step towards improved operational efficiency Unified customer Unified product delivery Free up time for sales processes processes • Future branch: • Increase the time • Product and delivery chain to Personal bank advisors reduce time-to-market of our • Straighten out work and relationship managers products processes spend with customers • Strengthen the team • Reduce administrative • Target to increase time approach burden spend with customers 50- • Group perspective on the • Continuous 100% product delivery chain improvement • Efficiency gains to handle • Nordea Transformation growth programme 3-5 years perspective • Requires investments in IT- platform • Gradually replacing old systems Next phase of efficiency improvements goes cross units 23
New operating model to support growth Banking & Capital Group Services People & Identity Market Products & Technology Nordic Banking Segment Household and Corporate Account Products Group Corporate Centre Cash Management & Payments Capital Market Products Group Credit & Risk Private Banking Control Savings Products & Asset Management Institutional & Group Legal & Group Legal & International Banking Savings & Life Compliance Products Compliance 24
Outlook � Nordeas’ growth strategy continues to pay off and Nordea will continue to deliver on its financial targets � Nordea believes that strong revenue growth will continue in 2007 � As previously stated the cost increase for the full-year 2007 is expected to be of the same magnitude as in 2006, ie 4-5% � The gap between revenue and cost growth is for the full year 2007 expected to be 3-4%-points* * Excl. the impact of the consolidation Orgresbank 25
Summary � Organic growth strategy continues to pay off � Revenues up 8% � Total lending up 16% � AuM up 12 % � Strong performance in all business areas � Cost management unchanged alongside growth plans � Clearly identified strategic initiatives to improve performance further � New organisation and operating model to support growth strategy � On track with financial targets � Risk adjusted profit up 11% � Gap 1.2 percentage points � Outlook unchanged 26
CFO Presentation
Income statement summary * EURm Q1/07 Q1/06 Chg % Net interest income 1,004 927 8 Net fee and commission income 535 507 6 Net gains/losses on items at fair value 291 279 4 Equity method 10 20 25 Other income 33 21 57 Total operating income 1,873 1,754 8 Staff costs -585 -543 8 Other expenses -383 -367 4 Depreciation -24 -23 4 Total operating expenses -992 -933 6 Loan losses 13 31 -58 Operating profit 895 853 6 Net profit 701 665 7 * Adjusted for full impact of IMB 28
Income statement summary EURm Q1/07 Q4/06 Chg % Net interest income 1,004 1,006 0 Net fee and commission income 535 549 -3 Net gains/losses on items at fair value 291 310 -6 Equity method 10 7 43 Other income 33 26 27 Total operating income 1.873 1,898 -1 Staff costs -585 -606 -3 Other expenses -383 -391 -2 Depreciation -24 -19 26 Total operating expenses -992 -1,016 -2 Profit before loan losses 881 882 0 Loan losses 13 82 -84 Operating profit 895 966 -7 Net profit 701 876 -20 29
Net interest income YoY Up 8% � EURm Lending volume growth largely � 1,006 1,004 compensated for margin pressure 979 1,000 957 927 � Total lending up 16% 900 � SME lending up 14% 800 � Consumer lending up 16% 700 Continued margin pressure � 600 Both household and corporate deposits � 500 margins improved following higher market interest rates 400 Q1oQ4 300 Day count effect negative of approx. EUR � 200 20m 100 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 30
Change in net interest income EURm YoY Q1oQ4 Volume driven 86 24 -Lending volumes 65 20 -Deposit volumes 21 4 Margin driven -47 -9 -Lending margins -75 -17 -Deposit margins 28 8 Treasury 8 -10 Other, net 30 -7 Total 77 -2 31
Net commission income YoY EURm Up 6% � 600 Lending commissions up 14% � 549 � Following strong lending growth 535 500 521 507 497 � Strong contribution from Acquisition Finance Card commission up 9% � 400 Savings commission up 6% � 300 Q1oQ4 Down 3% compared to strong Q4 � 200 Lending related commissions up � reflecting volume growth 100 Savings related commission stable � 0 � High transaction and performance related Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 fees in Q4 32
Breakdown of commission income - gross EURm 400 360 359 356 320 338 335 325 319 306 301 280 240 200 197 187 183 181 160 177 177 175 171 120 80 100 98 91 90 88 87 87 86 40 59 48 49 45 41 37 32 36 0 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Savings related Payments related Lending related Other Of which Asset Mgmt Of which Cards 33
Customer business drives increase in net/gains losses YoY EURm Up 4% from a high level in the first � 300 quarter 2006 277 273 265 Up 3% in Business Areas 250 � Continued successful penetration of small and � 220 medium-sized companies 200 205 Growth in both fixed-income and equity products � Q1oQ4 150 High income level from Q4 maintained � 100 in Q1 All time high revenues in Markets � 50 33 28 3 19 18 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Business Areas Treasury and eliminations 34
Increased revenues from net/gains losses in Business areas Net/gains losses, EURm Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Retail 89 98 75 87 92 CIB 124 93 72 68 96 Asset Mgmt 3 6 7 4 8 Life 57 80 51 61 69 BAs 273 277 205 220 265 Group Treasury 40 44 8 7 40 35
Operating income YoY Up 8% when excluding IMB EURm � Reported up 6% � 2,000 1,898 Net interest income up 8% 1,873 � * 1,780 1,754 1,734 1,800 Volume growth largely compensating for pressure on � lending margins 1,600 Increased contribution from deposits � 1,400 Commission income up 6% � 1,200 1,000 Q1oQ4 800 Down by 1% from seasonally high Q4 � 600 Day effect on NII � 400 200 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 * Excl. gain from sale of IMB shares 36
Revenue growth in Nordea 1,873 EURm +23 +36 +12 +119 +35 +23 1,754 -10 Markets Other Volumes, Savings: Income Poland & Income Transaction margins AM, Life Jan-Mar 06 Baltics Jan-Mar 07 accounts lending and savings accounts 37
Expenses YoY Costs up 6% � EURm 1,016 992 Investments in growth areas � 928 945 1,000 933 19 Increased variable salaries � 24 900 21 23 23 Cost increase in business areas 4% � 800 391 383 372 367 355 Basel II and other strategic projects explains the � 700 remaining increase 600 606 Staff costs up 8% � 585 500 552 550 543 Wage increases 4%-points � 400 Higher variable salaries 1.5%-points � 300 Increase in FTEs 1%-points � 200 Increased costs for training and other costs 1.5%- � 100 points 0 Q1oQ4 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Down by 2% � Staff costs Other expenses Depreciation 38
Investments in future growth EURm 6.3% 1.6% 2.1% +15 Cost increase less than 992 � 1.6% +20 2% when excluding 1.0% +15 investments and +59 +9 variable salaries 933 Increase in Investments Basel II and Expenses Expenses Other variable in growth other Jan-Mar 07 Jan-Mar 06 salaries and areas* strategic profit projects sharing Investments in areas like Nordic markets (in particular Sweden), Private Banking, Poland 39
Staff costs 8% 1.5% EURm 1% +8 585 1.5% +5 4% +9 +42 +20 No. of recruited FTEs: approx. 543 2,500 No. of FTEs that has left: approx. 2,200 Staff costs Wage Higher Increase in Training and Staff costs Q1 2006 FTEs, net other costs increases variable Q1 2007 salaries and related to the profit sharing organic growth strategy 40
Number of FTEs 32,000 FTEs Q1/07 Q1/06 Chg YoY 29,396 29,383 29,201 29,249 29,052 Retail 17,738 17.511 227 28,000 CIB 3,614 3,236 378 24,000 of which P&B 1,762 1,415 347 AM & Life 2,076 2,038 38 20,000 BAs 23,428 22,785 646 16,000 GPT 4,803 5,125 -322 12,000 Group Staffs 1,152 1,142 10 Group 8,000 5,955 6,267 -312 Functions 4,000 Total 29.383 29,052 334 Orgresbank 1,036 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Increased number of sales related employees and falling number of employees in � processing and staff units 41
Loan losses YoY EURm Recoveries maintained at high level � 20 and limited new provisions 0 Provisions include EUR 20m for � -7 -13 collectively assessed loans related to -23 -20 the property market in the Baltics -31 Provision reflects increased macro-economic risk in -40 � the region -55 Nordea is confident in the overall quality of it’s � -60 Baltic credit portfolio -82 -80 -89 -101 -100 -120 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 42
Impaired loans EURm Q1 2007 Q4 2006 Q1 2006 Impaired loans, gross, individually assessed 1,355 1,616 1,681 Allowances for individually assessed loans 668 -764 975 Impaired loans, net, individually assessed 687 852 706 Impaired loans, net / lending (%) 0.31% 0.40% 0.37% Allowances, individually assessed / Impaired loans, 49% 47% 58% gross, Allowances for collectively assessed loans 364 354 396 Total allowances / Impaired loans, gross individually 76% 69% 82% assessed 43
Net profit YoY EURm Up 7% excluding IMB 876 � 900 Reported up 5% � 800 740 Effective tax rate 22% following � 701 673 665 700 revaluation of the deferred tax asset in Finland 600 Q1oQ4 500 Down 20% � 400 Lower loan loss reversals in Q1 EUR 13m � 300 (EUR 82m) Low tax cost in Q4 � 200 Profit before loan losses sustained � 100 0 * Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 *Excl. gain from sale of IMB shares 44
Improved profitability % Strong RoE at 18% - Q1/06 20% � 25 23.7 22.7 Higher equity 2007 � 21.5 20.6 Risk adjusted return on capital at risk � 20 18.0 18.0 continues to improve 23.7% (23.0%) 15 10 5 0 * 2005 2006 Jan-Mar 07 ** RoE RaRoCar *Excl. gain from sale of IMB shares ** Risk-adjusted return on capital at risk 45
Growth in risk adjusted profit in line with long-term target EURm Q1/07 Q1/06 Chg % Total income 1,873 1,754 non recurring items 0 12 (*) total operating expenses 992 933 expected losses 93 91 standard tax 213 201 Risk adjusted profit 575 517 11 cost of equity 8.0% (7.5%) 198 169 Economic Profit 378 349 8 Economic capital 9.9 9.0 10 * IMB revenues 46
Strong increase in risk-adjusted EPS 0.3 0.27 0.26 0.25 0.22 0.20 0.2 0.15 0.1 0.05 0 Reported EPS, EUR EPS, risk adjusted, EUR Jan- Mar 06 Jan-Mar 07 47
Risk-weighted assets (RWA) RWA up 11%, EUR 8bn � EURbn 200 Strong lending growth – mainly capital � 193 180 185 185 intense lending 180 174 160 Non collateralised consumer lending up 22% � 140 SME lending up 14% � CIB lending up 8% 120 � Orgresbank included 100 � 80 60 40 20 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 48
Capital position % Tier 1 ratio 6.8% � 8 Total impact of Orgresbank 15bps � 7 7.1 6.9 6.8 6.8 6.8 Impact of changed regulations 5bps � 6 Total capital ratio 9.4% 5 � 4 3 2 1 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 49
Return on risk weighted assets, rolling 4 quarters EURbn % 200 2.2 193 2.0 180 185 185 180 174 1.8 160 169 162 159 1.62 1.61 1.6 153 140 1.47 1.46 1.45 1.44 1.42 1.41 1.4 120 1.26 1.2 100 1.0 80 0.8 60 0.6 40 0.4 20 0.2 0 0.0 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 * RWA Return on RWA * Excl. Gain from sale of IMB shares 50
Capital management � Equity up 18% YoY � RoE 18% (20%) � Economic Capital up 10% to EUR 9.9bn � Increased credit risk exposure following increased lending of 16% � Risk adjusted return (RaRoCar) continues to improve 23.7 % (23.0%) Tier 1 unchanged YoY at 6.8% � � RWA up 11% � Effected by Orgresbank � AGM decision to authorise the Board of Directors’ on acquisition of own shares up to 10% of the capital � Plan to report RWA under the Basel II framework from the second quarter 2007 51
Improved rating Moody’s S&P Fitch DBRS Short Long Short Long Short Long Short Long Nordea Bank AB P-1 Aa1 A-1+ AA- F1+ AA- R-1 (high) AA � Moody’s upgraded Nordea Bank AB two notches to Aa1 in March/April 52
Business trends
Total lending EURbn 222 214 220 201 199 191 200 189 182 175 180 170 161 155 156 160 147 148 147 149 146 140 120 100 80 60 40 20 0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Corporate Housing loans Other loans Public sector 54
Household mortgages, volumes and margins EURbn % 85 1.6 80 1.5 75 76.3 1.4 74.9 70 71.8 1.3 69.4 65 66.9 65.2 1.2 60 63.0 60.1 55 1.1 57.8 56.6 54.7 50 52.9 1.0 49.6 45 48.2 46.8 0.9 44.2 40 42.7 0.8 35 0.7 30 25 0.6 20 0.5 15 0.4 10 0.3 5 0 0.2 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 55
Retail consumer lending, volumes and margins EURbn % 4.8 16 16.4 4.3 15.6 15.4 14.9 14 3.8 14.2 13.9 13.8 13.5 13.2 12.9 12 12.7 3.3 12.5 12.4 12.4 12.2 12.1 12.2 2.8 10 2.3 8 1.8 6 1.3 4 0.8 2 0.3 0 -0.2 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 56
Lending to corporates (SME), volumes and margins EURbn % 1.4 80 81.1 78.4 1.3 70 73.4 73.2 70.9 70.0 67.9 65.3 1.2 64.0 60 61.0 58.5 58.1 57.3 57.3 57.4 56.7 56.3 1.1 50 1.0 40 0.9 30 0.8 20 0.7 10 0 0.6 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 57
CIB lending, volumes and margins* EURbn % 30 1.5 28 1.4 26 1.3 24 1.2 24.5 23.6 22 23.3 1.1 22.6 22.6 22.3 21.7 21.7 21.4 21.4 20 1.0 21.2 20.8 20.3 18 0.9 19.0 18.4 18.1 18.0 16 0.8 14 0.7 12 0.6 10 0.5 8 0.4 6 0.3 4 0.2 2 0.1 0 0.0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 * Excl. Markets, Poland and Baltics 58
Total deposits EURbn 126 130 126 119 119 120 116 113 108 110 105 106 105 98 97 100 96 95 93 92 91 90 80 70 60 50 40 30 20 10 0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Of which household deposits 59
Retail deposits, households, volumes and margins EURbn % 50 2.4 51.4 50.7 50.1 49.6 2.2 45 47.0 47.1 46.9 45.7 44.1 43.8 2.0 42.9 40 42.3 41.7 41.3 40.7 40.4 40.2 1.8 35 1.6 30 1.4 25 1.2 1.0 20 0.8 15 0.6 10 0.4 5 0.2 0 0.0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 60
Retail deposits, SME, volumes and margins EURbn % 40 1.6 37.5 37.3 35 1.4 34.8 34.7 33.4 32.6 30 1.2 31.5 30.5 30.1 29.4 28.9 28.8 28.3 28.4 26.7 25 1.0 26.3 26.2 20 0.8 15 0.6 10 0.4 5 0.2 0 0.0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 61
CIB, deposits, volumes and margins* EURbn % 28 0.60 26 27.1 0.55 24 25.0 0.50 22 23.2 22.3 0.45 22.1 21.8 20 21.2 21.0 20.4 0.40 18 18.5 18.0 17.9 0.35 16 15.4 14 15.2 0.30 14.9 14.4 12 13.3 0.25 10 0.20 8 0.15 6 0.10 4 0.05 2 0 0.00 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 * Excl. Markets, Poland and Baltics 62
Structural Interest Income Risk (SIIR) EURm, annualised effect on NII* Q1/07 Q4/06 Q1/06 Increasing market rates, 100bp 220 206 131 Decreasing market rates, 100bp -249 -220 -161 Increased SIIR following higher business volumes � Reduced duration in ALM programme � *Approx. end of period SIIR is defined as the effect on net interest income (NII) in the next 12 months if market rates change by one percentage point. Figures are asymmetrical as interest rates on deposits from customers cannot be reduced below 0%. Figures are based on maturity and repricing structure, and the effect going forward will be subject to management decisions and the competitive situation in the market. 63
Assets under management YoY EURbn Up 12% � 163 158 160 149 Continued strong growth in 146 � 144 Nordic Private Banking, up 23% 140 Volumes from Institutional � 120 clients up 20% 100 Q1oQ4 80 Up 3% � 60 Nordic Private Banking up 6% � 40 Continued inflow and strong � 20 markets explain the increase 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Nordic Retail funds (*) European Fund Distribution Nordic Private Banking International Wealth Management Institutional clients Life & Pension (*) Numbers restated for removal of administrative mandate 64
Net inflows Q1/Q4 Net inflow EUR 2.6bn in Q1 � 7% annualised � EURbn Net inflow in Nordic Private � 5 3.4 Banking EUR 1.2bn and 3.3 4 2,6 Institutional clients EUR 1.1bn 1.8 3 2.0 Continued growth of the Nordic customer 2 � base 1 Net outflow from Retail funds of 0 � -1 EUR 0.3bn in Q1 -2 Outflow mainly restricted to older funds in � -3 Sweden -4 Continued positive inflow from � -5 European Fund Distribution -6 -7 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Nordic Retail funds European Fund Distribution Nordic Private Banking International Wealth Management Institutional clients Life & Pension 65
Retail Banking profit before loan losses YoY EURm Revenues up 5% � 700 � Strongest growth in Finland (11%), Denmark and 650 Sweden up 6% and 55 respectively 600 � Margin pressure in Norway – revenues down 5% 601 595 595 588 550 575 � Improved deposit margins contributing to the income 500 growth in all markets – in particular Finland 450 Profit before loan losses up 5% � 400 350 � Strongest growth in Finland, up 20% 300 RaRoCar 25% � 250 200 150 100 Key ratios Q1/07 Q1/06 FY 2006 50 0 C/I ratio, % 53 53 53 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 RaRoCar, % 25 27 26 66
Retail Banking Denmark Finland Norway Sweden EURm Q1/07 Chg Q1/07 Chg Q1/07 Chg Q1/07 Chg 371 6% 367 11% 175 -5% 365 3% Total income -192 6% -165 2% -104 9% -218 3% Total expenses Profit before loan losses 179 5% 202 20% 71 -21% 147 4% Operating profit 179 1% 224 26% 71 -38% 151 6% Q1/07 Q1/06 Q1/07 Q1/06 Q1/07 Q1/06 Q1/07 Q1/06 RaRoCar, % 24 27 37 33 18 26 21 22 C/I ratio, % 52 52 45 49 59 51 60 60 Lending, bn 54.3 45.5 40.9 36.4 30.5 26.5 51.2 46.5 Deposits, bn 22.3 20.5 25.6 24.1 15.6 13.5 25.2 21.8 67
CIB profit before loan losses YoY EURm Revenues up 10% � Up 15% excl. IMB � 180 187 Strong growth in Poland and the Baltics, revenues � up 40% 160 164 158 157 Continued strong deal flow within FID � 140 145 Shipping, Offshore and Oil divisions maintain at � high level 120 Profit before loan losses up 14% � 100 Up 26% excl. IMB � 80 Business activity high, especially in the capital � markets area 60 Limited cost increase � 40 20 Key ratios Q1/07 Q1/06 FY 2006 0 * C/I ratio, % 45 46 49* Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 RaRoCar, % 26 24 22* *Excl. gain from sale of IMB shares 68
CIB CBD FID SOOSD P&B EURm Q1/07 Chg* Q1/07 Chg Q1/07 Chg Q1/07 Chg 38% 106 75 53 40 Total income 3% 14% 2% -35 -5% -35 -5% -10 0% -24 26% Total expenses Profit before loan losses 71 8% 40 38% 43 2% 16 60% Operating profit 71 31% 40 38% 43 2% 16 100% Q1/07 Q1/06 Q1/07 Q1/06 Q1/07 Q1/06 Q1/07 Q1/06 C/I ratio, % 33 31 47 56 19 19 60 66 12.9 12.0 1.7 2.0 9.9 8.6 5.2 3.4 Lending, bn Deposits, bn 8.2 6.6 14.5 10.4 4.5 4.3 2.4 1.8 * Adjusted for IMB 69
Asset Management product result YoY Income up 7% � EURm Management fees up 11%, driven by increased � 120 AuM 110 113 Transaction related income down 10% � 100 Total income margin unchanged at 71bps � 100 90 Product result up 9% 92 � 80 85 Continued growth within Nordic 78 � 70 Private Banking 60 AuM up 23% and number of customers up 13% � 50 Pressure on margins � 40 Unchanged profit margin at 36bps - � 30 excl. Nordic Private Banking 20 10 Key ratios Q1/07 Q1/06 0 C/I ratio, % 48 49 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 AuM, EURbn 163 146 70
Life insurance, product result YoY Life premiums up 5% despite negative � sales effects on Swedish portfolio EURm from regulatory changes 90 A loss of more than 1/3 of the Swedish premium � 80 income Compensated by strong premium growth in 70 74 � Denmark, Norway and Poland 60 Total investment assets up 9% � 61 58 56 50 Q1/Q4 52 Life product result down from � 40 exceptional high Q4 30 Key ratios 20 Q1/07 Q1/06 10 Inv return, % 1.1 0.2 0 Financial 8.0 7.5 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 buffers, % 71
Group Treasury, operating profit EURm Higher investments earnings and � 80 gross investment returns Investment return Q1 1.25% - 5.06% annualised, � well above required rate of return of 4% 60 42 Strong funding activity � 32 40 34 34 20 21 39 27 15 10 6 0 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Group Investment Group Funding 72
Summary � Organic growth strategy continues to pay off � Revenues +8% � Total lending +16% � AuM +12 % � Strong performance in all business areas � Cost management unchanged alongside growth plans � Clearly identified strategic initiatives to improve performance further � New organisation and operating model to support growth strategy � On track with financial targets � Risk adjusted profit +11% � Gap 1.2 percentage points � Outlook unchanged 73
Facts & figures
Facts & Figures, content � Credit quality Page 76 � Economic capital Page 85 � Business areas Page 88 � Balance sheet Page 117 � Market shares Page 120 � Appendix Page 127 75
Credit quality
Loan portfolio by customer category* EURbn 119 120 113 110 105 105 101 100 97 100 93 91 85 90 84 84 83 82 80 79 78 80 79 70 74 71 68 60 66 65 63 60 58 50 56 55 53 50 49 48 46 40 44 30 20 24 22 21 21 20 20 19 19 18 17 17 17 16 16 10 15 15 14 0 Q1/03 Q2/03 Q3/03 Q4/03 Q1/04 Q2/04 Q3/04 Q4/04 Q1/05 Q2/05 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Corporate lending Housing loans Other loans * Excluding public sector 77
Loan portfolio by customer group End Q1/06, EUR 190.7bn End Q1/07, EUR 222.2bn Public Public sector sector 2.1% 1.8% Household Household customers customers 44.6% 45.0% Companies Companies 53.6% 52.9% 78
Lending to household customers End of Q1/07 EUR 98.7bn Other loans comprise � Other loans Consumer credits � 21.2% Investment credits � Car financing � Overdraft facilities � Credit cards � Home equity credits � Housing loans 78.8% 79
Lending to companies by industry End of Q1/07 EUR 119.5bn Other 8% Renting,Consulting and other services Real estate 10% 26% Finance 11% Construction 3% Agriculture & Fishing 5% Transp. & Communication Manufacturing 6% 15% Shipping & Offshore 5% Commerce and services 11% 80
Loan portfolio in figures EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Household customers 98,7 96.4 91.9 89.4 86.0 Real estate 31,6 30.7 28.6 28.0 26.8 Construction 3,6 3.4 3.3 3.6 2.9 Transport, communication 6,7 5.9 5.9 5.8 5.8 Trade and services 12,6 11.1 10.8 10.4 9.9 Manufacturing 17,5 15.0 14.6 14.5 14.0 Finance 12,7 12.7 8.4 9.6 8.7 Renting, Consulting and other services 12,4 12.5 12.5 12.0 10.4 Other companies/public sector 13.9 14.2 13.7 14.5 15.1 Agriculture & Fishing 6,6 6.4 6.1 5.8 5.7 Shipping & Offshore 5,9 5.7 5.3 5.2 5.4 Total 222,2 214.0 201.1 198.8 190.7 81
Lending by geographical area End of Q1/07 EUR 222.2bn Asien Latin America 1.0% 0.7% Other OECD Nordic countries and USA 0.4% P&B 1.0% 92.7% Other Other non OECD 7.3% 0.8% EU countries 3.4% Nordic countries and P&B, EURbn � Denmark 60.7 � Sweden 59.8 � Finland 44.7 � Norway 35.5 P&B 5.4 � 82
Impaired loans EURm. End of Q1/07 Gross Provisions Net Household customers 322 124 198 Manufacturing 341 178 163 Trade and services 183 96 87 Other companies 35 13 22 Real estate 120 59 62 Renting, Consulting and other services 169 104 65 Agriculture & Fishing 35 17 17 Construction 47 21 26 Transport, communication 38 22 16 Public sector 4 1 3 Shipping 6 4 3 Financial operations 8 8 0 Total 1,355 696 659 83
Loan losses YoY EURm Positive net loan losses reflecting � 299 recoveries maintained at high level 330 280 and limited new provisions 230 192 180 Provisions include EUR 20m for 126 � 130 92 86 collectively assessed loan related to 58 80 the property market in the Baltics 30 -20 -13 -23 -31 -70 -54 -82.4 -120 -89 -123 -170 -140 -140 -147 -220 -215 -270 -320 -370 -381 -420 Q3/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 Gross Reversals Net 84
Economic capital
Economic capital (EC) EURbn 10 9.9 9.6 9 EC per business area 9.3 9.2 9.0 9.0 8.9 (EURm) Q1/07 8 Retail Banking 6.156 7 CIB 1.923 6 Asset Mgmt 124 5 4 Life 1,110 3 Treasury 453 2 GPT 116 1 Other 2 0 Total 9,884 Q3/05 Q4/05 Q1/06 Q2/06 Q3/06 Q4/06 Q1/07 86
Economic capital – distribution End of Q1/07 Treasury Asset Mgmt Other Life risk Operational 4% Business & Life 1% 1% risk 12% risk 9% 12% CIB 21% Market risk Retail Credit risk 15% 61% 63% 87
Retail Banking
Retail Banking lending and deposit volumes Lending, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Denmark 54.3 52.5 48.7 47.5 45.5 45.1 43.2 41.3 Finland 40.9 39.5 38.6 37.7 36.4 35.6 34.8 33.8 Norway 30.5 28.8 27.4 26.8 26.0 25.2 24.3 23.3 Sweden 51.2 51.1 48.8 49.1 46.5 46.1 45.2 43.3 Deposits, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Denmark 22.3 21.7 21.6 21.4 20.5 20.3 20.6 19.3 Finland 25.6 25.8 25.0 25.0 24.1 24.8 23.9 24.0 Norway 15.6 14.7 14.3 14.2 13.4 12.9 12.5 11.9 Sweden 25.2 26.0 23.9 23.9 21.8 22.4 21.3 20.6 89
Retail Banking breakdown of lending Denmark, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 22.9 21.9 19.1 18.2 18.2 18.1 17.0 16.1 Household mortgages 23.1 22.5 21.8 20.8 20.3 19.6 18.8 17.9 Consumer lending 6.7 6.5 6.3 6.0 5.8 5.8 5.8 5.7 Finland, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 18.8 18.3 17.7 17.5 16.9 16.4 16.2 15.9 Households mortgages 17.6 17.2 16.5 16.0 15.5 15.2 14.8 14.2 Consumer lending 4.6 4.0 4.3 4.2 4.0 3.9 3.8 3.8 90
Retail Banking breakdown of lending Norway, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 14.3 13.3 12.7 12.7 12.3 12.0 11.5 11.1 Household mortgages 15.3 14.7 14.0 13.3 12.8 12.4 11.9 11.4 Consumer lending 1.1 1.0 1.0 1.0 0.9 0.9 0.8 0.8 Sweden, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 25.2 24.9 24.0 24.8 23.5 23.5 23.2 22.2 Household mortgages 20.3 20.5 19.5 19.2 18.3 18.0 17.4 16.6 Consumer lending 4.0 4.1 3.7 3.6 3.4 3.4 3.3 3.3 91
Retail Banking breakdown of deposits Denmark, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 8.4 8.3 8.3 8.0 7.8 7.8 8.0 7.2 Households, current 3.2 3.4 3.3 3.4 3.1 3.2 3.1 3.1 accounts Households, savings 10.7 10.0 9.9 9.9 9.5 9.4 9.5 9.0 accounts Finland, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 7.8 7.9 7.4 7.4 7.0 7.2 7.0 7.2 Households, current 9.7 9.9 9.9 10.1 9.9 10.4 10.4 10.3 accounts Households, savings 8.2 7.9 7.7 7.5 7.2 7.1 6.6 6.6 accounts 92
Retail Banking breakdown of deposits Norway, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 9.6 8.8 8.3 8.3 7.7 7.4 6.9 6.3 Households, current 1.9 2.0 2.1 2.2 2.0 1.8 1.7 1.7 accounts Households, savings 4.0 3.9 3.8 3.7 3.7 3.7 3.9 3.8 accounts Sweden, EURbn Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Corporate 11.5 12.5 10.6 11.1 10.1 11.0 9.6 9.4 Households, current 5.3 5.8 5.5 5.4 5.0 5.0 5.0 4.8 accounts Households, savings 8.4 7.8 7.8 7.4 6.7 6.3 6.8 6.5 accounts 93
Retail Banking margins % Q1/07 Q4/06 Q3/06 Q2/06 Q1/06 Q4/05 Q3/05 Q2/05 Lending to SME’s 0.90 0.92 0.95 0.98 1.00 1.04 1.06 1.09 Mortgages, households 0.56 0.57 0.63 0.70 0.75 0.76 0.81 0.85 Consumer loans, 3.25 3.46 3.53 3.61 3.66 3.74 3.81 4.04 households Deposits, SME’s 1.05 1. 06 1.03 1.02 1.01 1.05 1.06 1.06 Deposits, households 1.76 1.74 1.69 1.66 1.62 1.55 1.56 1.53 94
Payments & transactions
96 Mill. E-banking customers, all customers 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Feb-00 June- Oct-00 Feb-01 June- Oct-01 E-banking customers Feb-02 June- Oct-02 Feb-03 Jun-03 Oct-03 Feb-04 Jun-04 Oct-04 Feb-05 Jun-05 Oct-06 Feb-06 Jun-06 Oct-06 Feb-07 Mill. 10 15 20 25 30 35 40 45 50 55 0 5 Q1/00 Q3/00 Q1/01 Denmark Q3/01 Q1/02 E-banking payments Q3/02 Finland Q1/03 Q3/03 Q1/04 Norway Q3/04 Q1/05 Sweden Q3/05 Q1/06 Q3/06 Q1/07
97 0.0 1.0 2.0 3.0 4.0 5.0 Mill. Cards, all customers Jan-01 May-01 Sept-01 Jan-02 Issued debit and credit cards May-02 Debit cards Sept-02 Jan-03 May-03 Sep-03 Jan-04 May-04 Credit cards Sep-04 Jan-05 May-05 Sep-05 Jan-06 May-06 Sep-06 Jan-06 100 120 140 160 180 Mill. 20 40 60 80 0 Q1/01 Q3/01 Q1/02 Q3/02 Q1/03 Card payments Q3/03 Q1/04 Q3/04 Q1/05 Q3/05 Q1/06 Q3/06 Q1/07
Payment transactions, households 200 180 160 140 120 100 80 60 40 20 0 Q1 03 Q2 03 Q3 03 Q4 03 Q1 04 Q2 04 Q3 04 Q4 04 Q1 05 Q2 05 Q3 05 Q4 05 Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Manual transactions Payment ATMs Card payments Cash withdrawal ATMs Direct debit Netbank payments 98
Payment transactions, households Mill. 2006 2005 2004 2003 2002 Q1/2007 Manual transactions 26.1 108.7 124.6 129.1 137.7 150.6 Payterminals 3.8 16.3 19.7 23.6 27.1 31.7 Card payments 188.8 735.1 621.0 527.8 459.9 395.5 Cash withdrawal ATM 36.5 164.8 181.7 190.4 197.4 204.4 Direct debit 28.7 106.3 101.2 98.5 86.1 81.5 E-banking payments 45.7 168.3 155.7 139.3 117.3 97.6 Total 330 1,300 1,204 1,109 1,026 961 99
Corporate and Institutional Banking
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