Nykredit and Totalkredit have concluded bond sales in connection with the refinancing of ARMs (Nykredit's Tilpasningslån (F1-F5) and Totalkredit's BoligXlån (X1-X5)) based on the 10-day average price principle. Interest rates will be reset on 1 April 2010. Bonds totalling DKK 45.5bn and EUR 0.9bn in nominal terms were sold in the reset period to fund ARMs subject to interest rate reset based on the 10-day average price principle. The auctions had an average bid-to-cover rate of 3.1. The refinancing resulted in historically low rates. For a retail borrower with a 30Y annuity loan of DKK 1m (33% tax allowance), interest rate reset results in the following cash rates and monthly net payments: -------------------------------------------------------------------------------- | | ARMs | ARMs | ARMs | ARMs | | | funded | funded | funded by | funded by | | | by 1Y | by 3Y | 5Y bonds | 1Y bonds | | | bonds | bonds | (F5/X5) | (F1) | | | (F1/X1) | (F3/X3) | DKK | EUR | | | DKK | DKK | | | -------------------------------------------------------------------------------- | Key figures for April 2010 | -------------------------------------------------------------------------------- | Cash rate, with repayments | 1.70% | 2.47% | 3.06% | 1.34% | -------------------------------------------------------------------------------- | Monthly net payment, with | DKK | DKK | DKK 3,700 | EUR 442 | | repayments | 3,360 | 3,540 | | | -------------------------------------------------------------------------------- | Cash rate, interest-only | 1.68% | 2.46% | 3.07% | 1.33% | -------------------------------------------------------------------------------- | Monthly net payment, | DKK | DKK | DKK 1,990 | EUR 137 | | interest-only | 1,220 | 1,650 | | | -------------------------------------------------------------------------------- | Key figures for April 2009 | -------------------------------------------------------------------------------- | Cash rate, with repayments | 3.34% | - | - | - | -------------------------------------------------------------------------------- | Monthly net payment, with | DKK | - | - | - | | repayments | 3,775 | | | | -------------------------------------------------------------------------------- | Cash rate, interest-only | 3.32% | - | - | - | -------------------------------------------------------------------------------- | Monthly net payment, | DKK | - | - | - | | interest-only | 2,132 | | | | -------------------------------------------------------------------------------- For detailed information on the bond sales, please refer to Appendix 1 and nykredit.com/ir. Enquiries may be addressed to Henrik Hjortshøj-Nielsen, Executive Vice President, Group Treasury, tel +45 44 55 10 40, or Nels Petersen, Head of Corporate Communications, tel +45 44 55 14 70/+45 20 22 22 72.