YEAR - END REPORT 2007

2/21/2008 6:00 AM EST

Summary
• Income before loan losses amounted to SEK 290 (236) M and operating income amounted to SEK 238 M (198), an increase of 20%.
• Revenue was up 8% to SEK 1,106 M (1,023).
• Net interest income rose by 10% to SEK 1,017 M (927).
• Operating expenses increased by 4% to SEK 816 M (787).
• The cost/income ratio declined to 0.74 (0.77).
• Loan losses remained low, amounting to SEK 51 M (38).
• Return on equity after standard tax was 5.0% (4.6).
• Lending to the public increased 24% to SEK 67 billion (54) and deposits from the public rose 22% to SEK 30 billion (24).
• Mortgage lending by the subsidiary Länsförsäkringar Hypotek rose by 30% to SEK 48 billion (37).
• Fund volumes amounted to SEK 65 billion (62), an increase of 5%.
• Issued securities increased to SEK 46 billion (32), of which covered bonds amounted to SEK 37 billion.
• Länsförsäkringar has the most satisfied retail bank customers and the most satisfied mortgage customers according to the Swedish Quality Index 2007.
• The number of customers rose to 665,000 (640,000). Figures in parentheses pertain to 2006.

All comparative figures have been restated in accordance with IFRS.