DGAP-News: DAB bank AG: €29.57 million profit before valuation effects at September 30,


DAB bank AG / Quarter Results

27.10.2008 

Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
---------------------------------------------------------------------------

Munich, October 27, 2008. The DAB bank Group, which operates in Germany and
Austria, earned a pretax profit of €1.48 million in the first nine months
of 2008. The operating profit for the third quarter amounted to €7.03
million and for the first nine months, it came to €29.57 million.

However, since September 15, when U.S. investment bank Lehman Brothers
filed for protection under Chapter 11, the crisis in the financial markets
has worsened considerably, leading to a massive widening of credit spreads.
The mark-to-market valuation of DAB bank’s conservatively composed
investment portfolio at September 30, 2008 reduced the value of the
portfolio by €28.08 million.

'We measured the value of our investment portfolio strictly on the basis of
current market values. Therefore, we are not carrying any undisclosed
liabilities as we enter the fourth quarter,' said Alexander von Uslar of
the DAB bank Executive Board. 'Now as before, DAB bank is comfortably
capitalized and possesses ample liquidity.'

DAB bank’s equity ratio was 11.18% at September 30, 2008 (December 31,
2007: 10.90%) , which is significantly higher than the minimum required
regulatory ratio of 8%. Also at September 30, DAB bank’s liquidity ratio,
which is calculated in accordance with the German Liquidity Regulation,
came to 3.98 (December 31, 2007: 4.88), also well above the minimum
required regulatory ratio of 1.0.

'DAB bank has had a good start into the fourth quarter. Since
mid-September, we have seen a substantial increase in the trading activity
of our customers, along with the attendant positive effects on our
commission income,' Alexander von Uslar said.

In the third quarter, DAB bank’s customers were extremely restrained in
their trading activity until mid-September, due in part to the weak
markets, but also due to the fact that investors are traditionally less
active in the summer months. However, their trading activity picked up
again in the second half of September. DAB bank executed a total of
1,145,620 trades for its individual investors (B2C segment) and business
customers (B2B segment) in the third quarter, that being 5.1% more than in
the second quarter of 2008. Including FondsServiceBank, DAB bank executed a
total of 1,977,271 trades for its customers, 3.8% less than in the
preceding quarter.

The net commission income amounted to €23.18 million in the third quarter
(Q3 2007: €34.30 million). Thanks to strict cost management, DAB bank’s
administrative expenses were reduced even further, to €30.41 million in the
third quarter, 12.0% less than the corresponding figure for the year-ago
quarter
(Q3 2007: €34.57 million).

At September 30, 2008, DAB bank administered a total of 1,086,945
securities accounts. While the number of securities accounts carried for
individual investors (B2C) and business customers (B2B) held steady, in the
FondsServiceBank segment that number was lower by almost 8,000 securities
accounts, as planned. As a result of the continued decline in key stock
market indexes around the world, the volume of customer assets under
administration declined 9.3%, from €29.04 billion at June 30 to €26.33
billion at September 30.

Key indicators and operating results of the DAB bank Group according to
IFRS, for the nine-month period ended September 30<pre>

Key indicators                                       9M 2008     9M 2007
Securities accounts                         No.    1,086,945   1,094,959
Trades executed                             No.    6,413,280   8,596,783
Trades per securities account, annualized   No.         7.80       10.85
Customer assets                             € bn       26.33       32.79
thereof in investment funds                 € bn       14.22       17.82
Operating results                                    9M 2008     9M 2007
Net financial income*                       k€        12,595      24,535
Net commission income                       k€        79,209     107,657
Administrative expenses                     k€        95,109     102,866
Profit before taxes                         k€         1,481      33,812
Net profit                                  k€           940      18,785
Cost-income ratio                           in %        98.5        75.3
Earnings per share                          €           0.01        0.25</pre>

Key indicators and operating results of the DAB bank Group according to
IFRS, for the third quarter<pre>

Key indicators                               Q3/2008    Q2/2008    Q3/2007
Securities accounts                  No.    1,086,945  1,095,198  1,094,959
Trades executed                      No.    1,977,271  2,054,783  2,677,190
Trades per securities account,       No.        7.27       7.48       9.82
annualized
Customer assets                      € bn      26.33      29.04      32.79
thereof in investment funds          € bn      14.22      15.83      17.82
Operating results                            Q3/2008    Q2/2008    Q3/2007
Net financial income*                k€      -14,355     11,497     11,057
Net commission income                k€       23,182     27,030     34,295
Administrative expenses              k€       30,408     31,022     34,574
Profit before taxes                  k€      -21,052      9,046     11,140
Quarterly net profit                 k€      -14,230      5,934      4,289
Cost-income ratio                    in %      325.0       77.4       75.6
Earnings per share                   €         -0.19       0.08       0.06</pre>

* Net financial income = Net interest income before credit risk provisions
+ trading profit/loss + Profit/loss from investments



Contact:
If you have queries, please contact Dr. Jürgen Eikenbusch, DAB bank, +49 89
500 68 595 oder communications@dab.com.


DGAP 27.10.2008 
---------------------------------------------------------------------------
Language:     English
Issuer:       DAB bank AG
              Landsberger Straße 300
              80687 München
              Deutschland
Phone:        +49 (0)89 500 68 595
Fax:          +49  (0)89 500 68 669
E-mail:       communications@dab.com
Internet:     www.dab.com
ISIN:         DE0005072300
WKN:          507230
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Hannover, Stuttgart, München, Hamburg, Düsseldorf;
              Foreign Exchange(s) Paris
End of News                                     DGAP News-Service
---------------------------------------------------------------------------