Spar Nord Bank interested in buying the healthy sections of Fionia Bank

Today, Spar Nord Bank announced that it was interested in acquiring the healthy
sections of Fionia Bank's retail activities. An agreement has been made with
the management of Fionia Bank to launch a due diligence review as soon as
possible with a view to entering into negotiations regarding the more specific
terms and conditions for an acquisition. 

Spar Nord Bank's interest in the retail activities of Fionia Bank should be
viewed in light of the strategic and geographical match between the two banks.
Thus, Fionia Bank's branch network complements Spar Nord Bank's existing
geographical coverage in a way that Spar Nord Bank's Management finds
attractive. Following a potential acquisition of Fionia Bank's branch network,
Spar Nord Bank will be close to its goal of creating a nationwide chain of
local banks. 

Another factor is the two banks' parallel business focus on retail customers
and businesses in the local area. 

Finally, a weighty argument is the convergence between some of the strategic
partners and suppliers of the two banks, particularly in the vital IT area.
Against this background, the expectation is that both customers and employees
will see that Spar Nord Bank's possible acquisition of the retail activities
will entail as few as possible changes in the ordinary course of banking
business, and that customers will still be able to have their financial
solution needs met in future. 

Capital and liquidity matters

The potential acquisition by Spar Nord Bank of the healthy sections of Fionia
Bank's retail business has been discussed with Spar Nord Bank's largest
shareholder, the Spar Nord Foundation and Nykredit Realkredit A/S, which have
both expressed an interest in participating in any future capital increase that
Spar Nord Bank may introduce. 

In May 2009, Spar Nord Bank applied to the Danish Government for a DKK 1,265
million injection of hybrid core capital with an attached conversion right. The
expectation is that the injection of hybrid core capital will take place before
30 June 2009, and that Spar Nord Bank will have a core capital percentage of
more than 13% after the hybrid core capital injection. 
Spar Nord Bank's goal is to have a core capital percentage amounting to at
least 12% after the acquisition of the healthy section of Fionia Bank's retail
activities. 

To this should be added that Finansiel Stabilitet A/S has committed itself to
granting an individual government-backed guarantee capped at DKK 7.5 billion
for Spar Nord Bank's bond offerings under the Bank's EMTN programme. The final
agreement on the terms is expected to be concluded by 30 June 2009. 

Spar Nord Bank's outlook for 2009
At the end of Q1, Spar Nord Bank announced a forecast for core earnings before
impairment to finish in the DKK 750-900 million range for the full year of
2009. Based on developments in April and May, this forecast is repeated, as
core earnings before impairment are now expected to end at the upper end of the
range. The Bank's expectations as to impairment of loans and advances remain
unchanged at 1.00% to 1.25% of total loans, advances and guarantees. 

Please direct any further queries you may have to Lasse Nyby, CEO, who can be
reached at tel. +45 9634 4011. 


Sincerely yours,
Spar Nord Bank

Ole Madsen
Senior Vice President, Corporate Communication