No provisioning for the secured exposure towards Lehman

Press release October 7, 2008

No provisioning for the secured exposure towards Lehman Brothers

As previously announced, Swedbank has a secured exposure towards Lehman Brothers
of USD 1.350 million. There will be no provisioning made. 

After a thorough investigation on site in the US of the properties and
documentation, Swedbank confirms that the underlying mortgage loans are
performing and that the collateral is of good quality. 

During recent weeks the bank has had its real estate analysts and other
specialists conduct a due diligence review of the commercial mortgage loans and
its collateral. Following this due diligence, Swedbank is still of the opinion
that there is no need for provisioning. This assessment has been made in
consultation with Swedbank's external auditor, Deloitte.

Several of Lehman Brothers' U.S. subsidiaries have filed for Chapter 11 during
the past few days, including Swedbank's counterparty. This does not change
Swedbank's assessment, since Swedbank has taken steps to preserve its right to
the collateral, hence the repo transaction and the mortgage loans are exempt
from the bankruptcy proceedings. 

More information about the exposure will be given in connection with the bank's
report for the third quarter.


For further information: 
Lars Lundquist, Credit Chief Officer, Swedbank, phone: +46 70 678 54 64
Anna Sundblad, Press Manager, Swedbank, phone: +46 70 321 39 95