Swedbank reported strong first quarter results with profit increasing significantly year-over-year. Cost reductions were on track while credit quality remained stable. Business activity was healthy across most areas though net interest income pressure continued in the Baltic region. Swedbank remains well capitalized with a capital ratio of 15.9% and is focused on further strengthening asset quality and reducing risk-weighted assets.

1. Swedbank’s first quarter 2012 results
Michael Wolf, CEO
Göran Bronner, CFO
Håkan Berg, CRO

2. Progress in many areas
• Focus on customer relations and operational efficiency
• Good business activity
– Increased lending business pipeline in LC&I/Retail
– Capital markets related products
– Commissions in Baltic shows healthy economic activity
• Cost ambitions on track
• Capital position further strengthened
2

3. Retail
Strong income growth
SEKm Q1 11 Q4 11 Q1 12 Q/Q
• Repricing moving ahead
Net interest income 2 918 3 244 3 407 +163
Net commissions 1 314 1 259 1 261 +2
• Cost trend according to plan
Total income 4 613 4 904 5 123 +219
Total expenses 2 415 2 486 2 342 -142 • Good credit quality
Profit before
2 198 2 418 2 781 +363
impairments
Credit Impairments 5 216 24 -192
ROE 28.5 25.7 26.5
C/I ratio 0.52 0.51 0.46
3

4. Large Corporates & Institutions
Strong result and activity
SEKm Q1 11* Q4 11* Q1 12 Q/Q
• Favourable market conditions
Net interest income 823 845 887 +42
- of which LC/FI**
Net commissions
433
420
563
269
652
434
+89
+165
• Good activity in corporate
Net gains and losses 366 224 648 +424
finance and in bond issues
Total income 1 621 1 328 1 980 +652
Expenses excl variable
656 818 607 -211
• Repricing trend, continued
staff cost
Variable staff costs 83 13 106 +93
stable growth in Large
Profit before
882 497 1 267 +770
Corporates NII
Impairments
Credit Impairments -105 4 14 +10
• Cost improvement visible
ROE 22.3 9.4 19.1
C/I ratio 0.46 0.63 0.36
* Excluding Lehman one-off ** Large Corporates/Financial Institutions
4

5. Baltic Banking
NII pressure
SEKm Q1 11 Q4 11 Q1 12 Q/Q
• Underlying NII under pressure
Net interest income 997 901 912 +11
Net commissions 317 380 371 -9
- Deposits from falling Euribor
Total income 1 471 1 521 1 452 -69
- Further deleveraging
Total expenses 651 719 620 -99
Profit before
820 802 832 +30
• Net recoveries in all three
impairments
Credit Impairments -382 -117 - 134 -17
countries
ROE 13.9 -18.9 14.5
• Good business pipeline but
C/I 0.44 0.47 0.43
weak consumer confidence
5

6. Cost development
Cost reductions running according to plan
• Target to reduce underlying costs by SEK 1bn 2012
• Year on year underlying cost decrease of SEK 185m
• Biggest reductions in staff (SEK 90m) and consultancy costs (SEK 75m)
• Further cost effects to be seen
Cost Trend (SEKm) Q1 2011 Q1 2012 Y/Y
Total expenses 4 513 4 413 - 100
Variable staff costs 146 208 + 62
Compensation to savings banks 129 152 + 23
Underlying cost 4 238 4 053 - 185
6

7. Group results
Solid development
SEKm Q1 11 Q4 11 Q1 12 Q/Q Y/Y
• Strong NII
Net interest income 4 501 4 967 5 208 +241 +707
- Repricing lending
Net commissions 2 456 2 291 2 405 +114 -51
- Lower cost government
Net gains and losses 255 559 759 +200 +504
guaranteed funding
Other income 1 369 839 809 - 30 -560
Total income 8 581 8 656 9 181 +525 +600
- Shrinking deposit margins
Total expenses 4 513 4 947 4 413 -534 - 100
• Cost management on track
Profit before
4 068 3 709 4 768 +1 059 +700
impairments
Credit impairments -972 -174 172 +346 +1 144
• Higher client activity
- Corporate finance
Profit for the period 3 852 965 3 425 +2 460 - 427
- FX/Fixed income
ROE 16.1 3.9 14.0
- Bond origination
C/I 0.53 0.57 0.48
CT1-ratio 14.9 15.7 15.9
7

8. Liquidity and funding
Continued conservative stance
• Significantly improved environment
• Continued high issuance of long-term debt, SEK 56bn during Q1
• Estimated issuance SEK 100-120bn for full year
• Higher degree of senior unsecured funding
• Awaiting new regulatory landscape of capital and funding
Long-term debt issued in Q1 Outstanding short-term debt
SEKm SEKm
30 000 60 000
25 000 50 000
20 000 40 000
Q4 11
15 000 30 000
Q1 12
10 000 20 000
5 000 10 000
0
0
Domestic Euro CB USD CB Other CB Senior
Domestic ECP/CD USCP Yankee French Finnish
CB (144A) unsecured
CP CD CD CD
8

9. Risk highlights
Stable asset quality
Credit impairments (SEKm) Q1 12 • Impaired loans decreasing
Retail 24
• Continued resilience in Sweden
LC&I 14
Baltic Banking -134 • Further improvements in the Baltic
Estonia -78 portfolio
Latvia -21
• Ukraine remains risk area
Lithuania -35
– SEK 200m additional provisions
Group Functions & Other 268
Russia -65
Ukraine 333
Swedbank Group 172
9

10. Asset quality
Impaired loans decreasing
• Excluding FX effect, down SEK 2.4bn in Q1
• Improvements for corporates in all areas
SEKm
45 000 2 391
40 328
40 000
35 000 Share of
- 4 088 - 3 853 impaired
30 000 - 3 031 loans, gross
- 1 078
-1 926 22 139
25 000
-3 938
20 000 -2 666 Ukraine 61%
4 965
702 Russia 12%
15 000 4 349 Lithuania 12%
10 000
6 798 Latvia 19%
5 000 Estonia 6%
3 353
294 LCI 0.12%
1 678 Retail 0.18%
0
Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q1 12
10

11. Asset quality
Continued focus on risk-weighted assets
• Minor change Q1 2012
– Credit volume mix quality improvement
– Recalibration Baltic Banking
– Increased bond portfolio and holdings of unrated bonds
• Focus areas 2012
– Review of small and mid-sized corporates Sweden
– Retail mortgage risk-weights
– Credit processes Retail and Baltic Banking
11

12. Strong first quarter but uncertain macro
• Net profit SEK 3.4bn
• Core Tier 1 capital ratio 15.9 per cent
• Return on equity 14.0 per cent
SEKm
Profit before impairments
6 000
4 000
2 000
0
Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
12

13. Q&A

14. Appendix
14

15. Mortgage loans gross margin (3 months)
%
6
5
Net margin
4
The gross margin should cover:
Cost of liquidity ~0,3%
3 Administrative costs ~0,3%
Cost of capital ~ 0,13%
Credit impairments ~ 0,03%
2
1
0
Q1 03 Q1 04 Q1 05 Q1 06 Q1 07 Q1 08 Q1 09 Q1 10 Q1 11 Q1 12
Gross margin Swedbank's funding cost Stibor 3 months Swedish Riksbanks reporate
15

16. Large Corporates & Institutions
Strong result and activity
SEKm Q1 11* Q2 11 Q3 11 Q4 11* Q1 12*
Net interest income 823 884 756 845 887
of which LC & FI** 433 444 519 563 652
of which Markets 390 440 237 282 235
Commission income 420 334 317 269 434
of which LC & FI* 315 221 241 261 278
of which Markets 105 113 77 8 156
Total income LC&I 1 621 1 247 1 184 1 328 1 980
of which LC & FI** 758 682 770 832 946
of which Markets 863 565 414 496 1 034
Total expenses, excl
656 685 659 818 607
variable pay
Variable staff costs 83 50 6 13 106
Profit bef
882 512 519 497 1 267
impairments
of which LC & FI** 536 481 567 574 735
of which Markets 346 31 -48 -77 532
Total impairments -105 -20 -68 21 14
C/I ratio 0.46 0.59 0.56 0.63 0.36
* Excluding Lehman one-off ,**Large corporates and Financial institutions
16

17. Cost management
Cost target 2012
• Target to reduce underlying costs SEK 1bn 2012
SEKbn
20
18.4
18 17.1
- 0.4 16.1
16 - 0.4 - 0.5
14
12
10
8
6
4
2
0
Total expenses 2011 Variable staf f costs Restructuring costs Compensation to Underlying costs Cost target 2012
(af ter restatements) Savings Banks 2011
17

18. Swedbank regulatory compliant – transition completed
• Transformation of:
– Maturity structure liabilities
– Liquidity reserve
– Capital buffer
• Significantly reduced risk in balance sheet
• Cost for regulatory compliance taken
Ratio Swedbank Expected requirements
CT1-ratio, Basel 3 14.9%  10% (2013) 12% (2015)
Liquidity coverage ratio 116%  100% (2015) EUR/USD
Net stable funding ratio 96%  100% (2018)
18

19. Liquidity and funding
Long-term funding maturity profile
• FY 2012 maturities amount to nominal SEK 86bn
− Of which SEK 46bn for the remainder of 2012
Long-term funding maturity profile
SEKbn
200 Government
guaranteed debt
150 Senior unsecured
debt
100 Covered bonds
50
0
2012 2013 2014 2015 2016 2017 2018-
Source: Swedbank Mar 31, 2012
19

20. Liquidity and funding
Remaining government guaranteed debt
• Exited the programme on 30 April 2010
• No issuance under the programme since summer 2009
• Maturities of SEK 9bn in government guaranteed debt for the remainder of 2012
Maturity profile as per Q1 2012
SEKbn
40
JPY
CHF
20
USD
SEK
EUR
0
2012 2013 2014
Source: Swedbank March 31, 2012
20

21. Liquidity and funding
Senior unsecured debt strategy
• Secure OC-level
• Fund liquidity reserves
House price sensitivity of the cover pool
35%
30%
25%
OC
20%
Over-collateralisation
15%
10%
5%
0%
-5%
-10%
-15%
-20%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
House price drop
Source: Swedbank, Mar 31, 2012, Nominal amounts
21

22. Liquidity and funding
Liquidity reserve
According to the template defined by the Swedish Bankers' Association
SEKm
Cash and holdings in central banks 169 795
Deposits in other banks available overnight 134
Securities issued or guaranteed by sovereigns, central banks or multilateral development banks 22 983
Securities issued or guaranteed by municipalities or Public sector entities
Covered bonds 57 905
- Issued by other institutions 57 905
- Own issued
Securities issued by non-financial corporates
Securities issued by financial corporates (excl. covered bonds) 2 713
Other
Total1 253 531
Additional liquid assets, Group2 67 795
1 94% of the securities in the liquidity reserve per Q1 2012 are rated AAA
2 86% of the additional liquid assets fulfill the Liquidity Reserve definition by the Swedish bankers’ association except from
that they are held outside the Treasury department.
22

23. Swedish housing and mortgage market
Real estate prices – Sweden 12 months development
Single-family homes1 Tenant owner rights2 Combined3
12M Δ 12M Δ 12M Δ
Apr/11 1% 6% 3%
May/11 0% 6% 2%
Jun/11 0% 5% 2%
Jul/11 0% 6% 2%
Aug/11 -2% 3% -1%
Sep/11 -3% 1% -2%
Oct/11 -4% -1% -3%
Nov/11 -5% -4% -5%
Dec/11 -7% -4% -6%
Jan/12 -4% -2% -4%
Feb/12 -4% -1% -3%
Mar/12 -4% 1% -3%
Source: Valuegard www.valuegard.se (Based on data from Mäklarstatistik), 1 HOXHOUSESWE, 2 HOXFLATSWE, 3 HOXSWE
23

24. Baltic real estate prices
Real estate prices – Baltic countries
Tallinn Riga
1800 1 800
1600 1 600
1400 1 400
1200 1 200
1000 1 000
800 800
600 600
400 400
200 200
0 0
Jan-05
Jan-06
Jan-07
Jan-08
Jan-09
Jan-10
Jan-11
Jan-12
Jan-05
Jan-06
Jan-07
Jan-08
Jan-09
Jan-10
Jan-11
Jan-12
Jul-05
Jul-06
Jul-07
Jul-08
Jul-09
Jul-10
Jul-11
Jul-05
Jul-06
Jul-07
Jul-08
Jul-09
Jul-10
Jul-11
Nr.of deals EUR/m2 Nr.of deals EUR/m2
Source: Swedbank, Estonian Land Board Source: Swedbank
Vilnius
1 800
1 600
1 400
1 200
1 000
800
600
400
200
0
Jan-05
Jan-06
Jan-07
Jan-08
Jan-09
Jan-10
Jan-11
Jan-12
Jul-05
Jul-06
Jul-07
Jul-08
Jul-09
Jul-10
Jul-11
Nr.of deals EUR/m2
Source: Swedbank, State Enterprise Centre of Registers
24

25. -80
-60
-40
-20
0
-100
20
EURm
Q1 11
Q2 11
Q3 11
Asset quality
Estonia
Q4 11
Q1 12
Q1 11
Q2 11
Latvia
Q3 11
Q4 11
Q1 12
Q1 11
Q2 11
Lithuania
Q3 11
Q4 11
Q1 12
Q1 11
Q2 11
Ukraine
Q3 11
Loans past due 60 days – performance Q/Q
Q4 11
Q1 12
Q1 11
Q2 11
Q3 11
Russia
Q4 11
Q1 12
25

26. Asset quality
Provisions – well provided for
• Increased individual provisioning rates
• Additional provisioning private portfolio Ukraine
• Positive rating migrations in home markets
SEKm
30 000 Provision ratios, % Q1 12
Retail 90
61.0%
25 000 LC&I 135
60.0%
Baltic Banking 54
59.8% 61.5% 65.0%
20 000 Russia 64
2 769
2 436 Ukraine 79
2 409
15 000 16 598 15 952 2 435 Group 65
14 782 2 478
12 821 10 801
10 000 9 255 11 915
8 206
6 306
5 204
5 000
0
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Individual provisions Portf olio provisions Write-of f s, gross, cum f rom 2010 Provision ratio
26

27. Asset quality
Credit impairments by business area, SEKm
172
-324
-174
-441
-972
Q1 11 Q2 11 Q3 11 Q4 11 Q1 12
Retail LC&I Baltic Banking Other (Russia/Ukraine)
27