Danske-Bank - CSR Report 2009

8/2/2019 Danske-Bank - CSR Report 2009

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COMPANY PROFILE / NO MORE BUSINESS AS USUAL / ESTABLISHING GOOD

CR GOVERNANCE / ABOUT THIS REPORT / 2009 ACHIEVEMENTS /

RESPONSIBLE BANKING IN A CHANGING ENVIRONMENT / BUSINESS /

EMPLOYEES / ENVIRONMENT / SOCIETY

CORPORATERESPONSIBILITY2009


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COMPANY PR OFILECORPORATE RESPONSIBILITY 20092

3 Company profile

4 No more business as usual

6 Establishing good CR governance

8 About this report

9 2009 achievements

10 Responsible banking in a changing environment12 Business

12 An important conversation

14 Meeting the 2009 objectives16 Investing responsibly17 Responsible sourcing17 Business objectives 2010

18 Employees18 Supporting our employees in challenging times

20 Meeting the 2009 objectives22 Employee objectives 201023 Employee data24 Environment24 The climate challenge continues

26 Meeting the 2009 objectives28 Environmental objectives 201029 Environmental impact30 Society

30 Financial skills for the next generation32 Meeting the 2009 objectives33 Society objectives 201034 Key Group facts

35 Reporting principles

READ ABOUT OUR VISION AND VALUES AT WWW.DANSKEBANK.COM/ABOUT


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3CORPORATE RESPONSIB ILITY 2009 COMPANY PROFILE

Company profile

The Danske Bank Group servesmore than 5 million retail customersas well as many corporate, publicsector and institutional customersin 14 countries. The Group focuses

on traditional banking based on theuniversal banking model, whichincludes serving customers throughnationwide branch networks, onlinebanking and telephone banking inall our markets. Some 2 millioncustomers use the Banks online

services.

The Group has substantial activi-ties in the financial markets as well.Danske Markets conducts tradingin equities, foreign exchange and

fixed income products; manages the

Groups investment portfolio; andis responsible for corporate financeand corporate and institutional

banking.

The Group also includes DanskeCapital, our asset management unit,and Danica Pension, Denmarkslargest provider of pensions, lifeinsurance and health care insur-

ance to both personal and corporatecustomers.

The Groups 22,000 well-qualifiedstaff members provide reliable serv-ice tailored to the individual needsof our customers. Our mission is

to become the best local financial

partner. To reach this goal, we build

customer relationships and finan-

cial partnerships on our core valuesand a thorough knowledge of ourcustomers circumstances, require-ments and desires. This report on

Corporate Responsibility and theGroups CR policy are also based onGroup core values such as integ-

rity and accessibility. Read the CRpolicy on our Web site atdanskebank.com/responsibility.


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No more business as usual

NO MORE BUSINESS AS USUAL CORPORATE RES PONSIBILITY 20094

In these difficult times, we arededicated to working closely withour customers to help them adapt tothe changing conditions. Supporting

our corporate and retail customersis vital to society as well as to ourbusiness. Therefore, in 2009, weundertook measures to meet thechallenges and become an even bet-ter bank for our customers.

Looking after our employees

During the crisis, the financialsector came under heavy publicscrutiny, and confidence in banksweakened. Exposed to stressfulexperiences with customers andconfronted with criticism of theirprofession and workplace, some ofour employees were also under a

great deal of pressure last year. Nev-ertheless, our staff faced up to thechallenges and stayed focused onhelping our customers and adaptingto new, more complex demands and

a changed working environment.

The year 2009 was unusual andchallenging for the financial

sector, for the Danske BankGroup and for many of our

customers. In all our markets,customers found themselves

affected by declining propertyvalues and loss of income,

businesses experienced lowergrowth, and banks faced increas-

ingly difficult conditions and

unexpected losses. Like many

other banks, the Danske BankGroup was seriously affectedby the challenging economicenvironment as well as a

range of isolated cases. It isfair to say that managing finan-

cial matters is no longer businessas usual.

At the Danske Bank Group, we takeresponsibility by helping to stabilisethe economies we are part of whilemanaging the social and environ-

mental impact of our business.


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5CORPORATE RES PONSIBILITY 2009 NO MORE BUSINESS AS USUAL

We made cost reductions in all partsof the Group in order to match thechanged business environment andthe decrease in activity, and they in-

cluded staff reductions. We workedtogether with trade unions to miti-gate the number of layoffs and care-fully planned the retirement processfor those we had to let go. At thegroup level, we stayed focused onensuring good, flexible working con-

ditions for all our employees.

I am very pleased that our em-ployees general satisfaction andmotivation did not diminish in2009 despite the hard times. In fact,the rating of senior managementsability to make the right decisions

and inform employees rose from analready high level.

Continuing commitment to CRExercising corporate responsibil-ity remains pivotal in the DanskeBank Groups business model, and

in 2009 we kept working to inte-

grate CR in our core business. Sincethe financial environment is stillextremely challenging, however, wemust prioritise our CR efforts even

more than before. In times of crisis,we must be able to measure theeffect of our activities. Prioritisingcan be hard, but it is also healthyfor the business. Actually, many ofour environmental activities havean almost immediate cost-saving

benefit as well as a positive effect on

the environment.

Although the financial crisis domi-nated our concerns in 2009, we stillcreated positive results in the CRarea. The crisis clearly demonstrat-

ed the importance of investing inthe financial education of the nextgeneration of consumers. At theDanske Bank Group, we know thatconsumers with good financial skillsnot only handle their own financesbetter. They also help to increase

competition, innovation and prod-

uct quality in the financial marketsby challenging us to develop better

products and solutions. For thesereasons, in 2009 we strengthenedour Financial Literacy and Invest-ment in Education Programme bydeveloping three new initiatives.

In December 2009, we met animportant goal by attaining carbonneutrality. The achievement coin-cided with the UN Climate Change

Conference in Copenhagen (COP15)and sent a strong signal about ourongoing commitment to mitigating

climate change.

PETER STRAARUP,

CHAIRMAN OF THE EXECUTIVE BOARD

At the Danske Bank Group, we take responsibility by helpingto stabilise the economies we are part of while managing the

social and environmental impact of our business.PETER STRAARUP / CHAIRMAN OF THE EXECUTIVE BOARD


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high standards of integrity, profes-sionalism and ethics.

Our policies and codes are opera-

tionalised in our CR strategy andimplemented across all Group units.In 2009, we launched a new datamanagement system that allows usto monitor the implementation ofour strategies and follow up on ourprogress towards objectives even

more effectively than before.

Acting on behalf of the Board of Di-rectors, the Groups Internal Auditdepartment monitors the Groupscompliance with the CR policies,business procedures and reporting

standards.

WhistleblowingAll companies need to managethe risk of things going wrong.When something does go wrong,employees are usually the first to

notice. As part of its good corporate

At the Danske Bank Group, Corpo-rate Responsibility is based on a setof general principles that guide ourconduct as a business and an em-

ployer. These tenets include the UNGlobal Compacts ten principles onhuman rights, employee rights, theenvironment and anti-corruption.

Policies and strategiesA wide range of policies ensuresthat we live up to these principles.

In the beginning of 2009, we revisedthe Groups CR policy to includeour continuing support for the UNGlobal Compact and to emphasiseour efforts to reduce our environ-mental impact and to support alow-carbon economy.

In addition to the Group CR policyand our environmental policy, sup-plier standards, HR policies andcode of conduct on corruption andbribery, we have a number of busi-

ness procedures in place to ensure

governance practices, the DanskeBank Group gives employees theopportunity to be whistleblowers.

If an employee has any knowl-edge of irregularities, they mustbe reported. The Group wants toestablish and maintain an environ-ment that encourages the free flowof information. This also appliesto the security of employees who

report a suspicion and protectionagainst retaliatory measures towards

them. Reports and questions that arereceived through the whistleblowersystem are therefore treated confi-dentially.

The responsibility for managingwhistleblowing in the Group lieswith the managements of the Legaland Internal Audit departments.

CR managementIn 2009, we strengthened the CRmanagement framework. Overall re-

sponsibility for Group CR policy lies

ESTABLISHING GOOD CR GOVERNANCE CORPORATE RESPONSIBILI TY 2009

6

Establishing goodCR governance

READ ABOUT OUR POLICIES AND CODES AT WWW.DANSKEBANK.COM/RESPONSIBILITY


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7CORPORATE RESPONSI BILITY 2009 ESTABLISHING GOOD CR GOVERNANCE

with the highest CR governance body,the Group CR Board, which is headedby CFO Tonny Thierry Andersen,member of the Executive Board.

All the Group CR Board members arealso members of the Groups Execu-tive Committee. This ensures that CRprinciples are firmly rooted in theexecutive management as well as inthe Groups various country units.

The Group CR Board meets twice a

year to discuss corporate responsibil-ity on a strategic level.

Other governance bodies, such asthe Socially Responsible InvestmentBoard, are responsible for developing

and implementing specific policiesand programmes. In 2010, we willestablish a Responsible SourcingBoard to oversee and make executivedecisions on supplier issues.

CR strategy development

A department located at the Group

head office in Copenhagen, theGroup CR Secretariat, is responsiblefor the continuing development ofthe Groups CR strategy. The depart-

ment also coordinates Group activi-ties and manages the internal andexternal reporting on the GroupsCR performance, including theGlobal Compact Communication onProgress. The Group CR Secretariatreports directly to the CFO.

The CR Secretariat staff act as spe-cialist consultants to other units anddirect attention to CR issues that arenot being addressed by the organisa-tion. According to the CR strategy,CR issues should be managed by the

relevant business unit or supportarea whenever possible.

For example, supplier issues arehandled mainly in purchasing andcontract management departments,and employee issues are handled by

HR and local management.

Local integration of CRAs an extension of the Group CRBoard, each of the Danske BankGroups seven major country units

has appointed a local executive tosupervise the implementation ofGroup CR policies and strategies atthe unit. At the operational level,corporate responsibility matters atthe country units are managed bylocal CR coordinators, who work

closely with the Group CR Secre-

tariat.

LOCAL COORDINATORS

LOCAL EXECUTIVE SPONSOR

BOARD OF DIRECTORSINTERNAL AUDIT

SRI BOARD

EXECUTIVE BOARD

GROUP CR BOARD

CR SECRETARIAT

CR governance structure


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The aim of our annual CR report isto provide an overview of the non-financial issues that are material toour business and to describe our CR

strategies, activities and performance.

The report covers all branded unitsin the Danske Bank Group and isintended primarily for investors,analysts and corporate customerswith an interest in the Group at a

strategic level. In cases where this

report presents information thatalso appears in the Groups annualreport, the information may bereported differently or in greater de-tail. For further information on theGroups financial results and risk

management, see Annual Report2009 and Risk Management 2009.

Statutory requirementsPublic interest in corporate re-sponsibility reporting has grownconsiderably in the past few years.

Investors, analysts, customers and

governments demand informationon businesses positions on ethical,social and environmental issues.

In 2008, the Danish Parliamentadopted an amendment requiring the1,100 largest Danish companies toaccount for their corporate responsi-bility policies, activities and results.The account must be included in themanagement review section of the

annual report or appear in a sepa-

rate report or on the companys Website. If the business has joined theUN Global Compact or Principlesfor Responsible Investment, it maysimply refer to the progress reportthat members of these associations

are required to prepare.

At the Danske Bank Group, we havesupported the UN Global Compactsince 2007. To fulfil the statutoryrequirements, we therefore refer toour Global Compact Communica-

tion on Progress. The Groups COP

can be found on the Global Com-

pact Web site. It consists of this CRreport as well as a PDF documentpresenting examples of policies,programmes, agreements and activi-ties that promote the principles ofthe Global Compact.

GuidelinesOur CR reporting is organised inaccordance with the GRI Sustain-ability Reporting Guidelines (G3).

On our Web site, you can see aGRI index that corresponds to therelevant principles of the UN GlobalCompact. For our greenhouse gasemissions reporting, we also drawon guidance from the GreenhouseGas Protocol and ISO 14064-1.

For more information about thescope of this report, reporting prin-ciples and calculation of data, seepage 35 of the report and the report-ing principles on our Web site and

in CR Fact Book 2009.

ABOUT THIS REPORT CORPORATE RESPONSI BILITY 2009

8

About this report

SEE OUR GRI INDEX AND CR FACT BOOK AT WWW.DANSKEBANK.COM/RESPONSIBILITY


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9CORPORATE RESPONSIBIL ITY 2009 ACHIEVEMENTS

2009 achievements

In 2009, the Groups work withcorporate responsibility led to ourinclusion in one of the worldsmost widely recognised indexes

of socially responsible companies,FTSE4Good. The index, which ismanaged by Financial Times andthe London Stock Exchange (FTSE),

contains companies with strongsustainability profiles. The Groupsinclusion in FTSE4Good sends

an important signal to our inves-tors that we work seriously on ourenvironmental, social and ethicalimpact.

Reporting to Global CompactIn August 2009, we submitted theGroups first Communication onProgress to Global Compact. In

future, we will keep improving theCOP to relate our activities and out-comes more clearly to the Groupsoverall performance.

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part in two state initiatives, the Acton Financial Stability (Bank Pack-age I) and the Act on State-fundedCapital Injections (Bank Package II).

Bank Package I, from October 2008,is a kind of insurance policy withstate guarantees for Danish banks. Itensures that lenders and depositorswill be repaid if a bank encountersfinancial difficulties. The immedi-

ate effect of the package was an

improvement in the banks abilityto raise liquidity on the interna-tional capital markets, among othersources. The Group pays someDKr2.5bn a year to participate inthe Bank Package I. We also cover

around one third of all funds thatare used to recapitalise banks thatbecome insolvent, up to a maximumof DKr6.5bn. In total, the Groupscontribution to Bank Package I in2009 amounted to DKr4.1bn.

Under Bank Package II, the Group

The recent financial turbulence

has seriously affected the globaleconomy, and both businesses andconsumers are struggling to over-come the challenges the crisis hasbrought. When companies struggle,unemployment grows. Then peoplemay have difficulty repaying their

loans and risk losing their homes.This in turn reduces consumerdemand and dampens the economyfurther. This vicious circle could

have accelerated if no measures hadbeen taken to stop the process andstabilise the economy.

Like other businesses, the DanskeBank Group has experienceduncertainty about the future. Thesituation prompted us to take ac-tions to safeguard our business andcontribute to the stabilisation of the

economies that we are part of.

Contributing to financial stability

In Denmark the Group chose to take

received a capital infusion ofDKr26bn in May 2009. This is atype of loan that can be includedin the tier 1 ratio and that is just as

valuable for banks as equity capitalbecause it can be converted to equi-ty. Danske Bank pays an interest rateof more than 9%, or about DKr2.5bnannually, to the Danish state.

The loan strengthened the Groups

capital base. Had we not received

the capital infusion, we could havebeen forced to reduce the Groupsbalance sheet if the economicrecession had suddenly escalateddramatically. By taking the loan, wehave ensured that our creditworthy

customers will continue to have ac-cess to capital.

Our economic footprintThe financial crisis has demonstrat-ed that a strong financial infrastruc-ture is important for society as a

whole. Banks are essential to the

RESPONSIBLE BANKING IN A CHANGING ENVIRONMENT CORPORATE RES PONSIBILITY 2009

10

Responsible bankingin a changing env ironment


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11CORPORATE RESPONSIBIL ITY 2009 RESPONSIBLE BANKING IN A CHANGING ENVIRONMENT

economy because they facilitateaccess to capital, investment, pay-ments and other transactions. Withthe two bank packages, the Danish

state has underscored the impor-tance of this role.

Since 2007, we have addressedthe broader aspects of our valuecreation in what we define as oureconomic footprint. Our various

interactions with stakeholders and

the communities where we operatecreate mutual value. This value cantake the form of the sound advicethat we give our customers, theknowledge that our employees bringto work, or the skills we help build

in our financial literacy programme.

In 2009, the Danske Bank Grouphad around 5 million customersand 734 branches in 14 countries.Access to capital is necessary ifbusinesses are to grow and private

individuals are to prosper. At Dan-

ske Bank, we recognise our respon-

sibility to finance the projects of ourpersonal and corporate customers.This does not mean we can say yesevery time a customer approachesus. That would not be responsible.But we help to maintain a soundeconomy in our markets by con-

tinuing to lend in a responsiblemanner. In 2009, the percentageof loan applications from new andexisting Danish customers that were

approved remained stable at 92%for retail customers and 87% forcorporate customers. In Denmark,

the Group issued a total of DKr75bnin new loans in 2009.

The Group employs more than22,000 people. Most of them havea financial education, but we arealso one of the biggest employers

of IT professionals in Denmark.We train our employees in order toequip them to meet the demands

of technological developments and

increasing specialisation. In 2009,employees received DKr12,500bnin salaries (including pensions andsocial benefits). In addition, theGroups investment in training andeducation benefits employees and

ensures their employability.

In 2009, the Groups payments to sup-pliers amounted to DKr14,545bn andits corporation taxes, including VATand social contributions for employ-

ees, amounted to DKr4.9bn. Govern-ments also benefited indirectly frompersonal taxes of DKr3.5bn paid byGroup employees.

Because of our participation in theDanish state guarantee scheme, theGroup may not pay dividends or

repurchase shares for a period oftwo years starting in October 2008.Therefore, no dividends will bepaid to shareholders from earningsin 2008 or 2009.

Ensuring financial stability is a sharedresponsibility. At the Danske Bank Group,we want to be part of the solution.TONNY THIERRY ANDERSEN / CHIEF FINANCIAL OFFICER


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ance and specific one-off eventsweakened the Banks competitiveposition in comparison with itsstanding before the crisis.

A look in the mirrorThe results of these studies depictedthe Banks management as unwill-ing to inform the public sufficientlyabout the financial crisis and theBanks position. Customers gener-ally desired greater attentiveness

and sensitivity as well as more openand honest communications.

We decided to act on this impres-sion by turning the spotlight onourselves and looking at the Bankthrough the eyes of our customers

and the public. In June 2009, weasked the Danish people to give ustheir thoughts and views on the fi-nancial situation, their own financesand their experiences with DanskeBank. More than 80,000 people vis-

ited a new dialogue section on our

In 2008 and 2009, the financialcrisis had a profound effect on the

financial services sector, at both thebusiness and reputational levels. In2009, public surveys indicated thatbanking customers in Denmark wereamong the least satisfied in Europe(sources include the Epsis survey,with more than 50,000 interviews

throughout Europe). Since DanskeBank is the largest retail bank inDenmark, we were also affected by

the general lack of trust in banks.Retail customer satisfaction in Dan-ske Bank Denmark dropped from 73in 2008 to 67 in 2009 (see page 15).

To investigate this situation further,we undertook various surveys ofretail and corporate customers. Theresults revealed that the crisis hasaffected confidence in the Bank con-siderably. Even though the respon-

dents were confident that DanskeBank would get through the crisis,

concerns about the Banks perform-

Web site, and 3,500 expressed theiropinions in an open blog. We moni-tored the blog around the clock andarranged for relevant Danske Bankemployees to respond promptly tomore than 750 blog posts and give

qualified and serious considerationto our stakeholders concerns.

The posts ranged from personal ex-periences with the Bank to generalviews on the financial crisis and the

role of banks in society. Althoughmany people expressed satisfactionwith and confidence in the Bank,many others were disappointedand highly critical. The majority ofthe posts fell under three headings:responsibility, defined as a broaderfinancial responsibility towards

customers and society; transparen-cy, defined as greater disclosure ofprices, fees and product terms; andaccessibility, defined as a respectfuland forthcoming approach towards

customers at all times.

BUSINESS CORPORATE RES PONSIBILITY 2009

12

An important conversationBusiness


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13CORPORATE RES PONSIBILITY 2009 BUSINESS

Now we go to workThe blog posts supplied us with in-valuable knowledge about our stake-holders concerns and expectations

as well as about their opinions ofthe Bank as a service provider. Thisknowledge, together with informa-tion from our customer satisfactionsurveys, laid the foundation for thedevelopment of 23 concrete mea-sures that we have initiated in order

to become a better bank. We have

gone to work to become more trans-parent, accessible and responsiblein the eyes of our stakeholders.

For example, we realised thatsome customers feel Danske Bank

is inaccessible, reluctant to admitmistakes, and unable to recognisewhen we can do better or to learnfrom others. We wish to change thatperception and own up to our ac-tions, including the ones we couldhave performed better. One way to

do this is by being more accessible

when a customer files a complaint.We therefore launched a new page

on our Web site where customerscan post ideas and file complaints,find statistics on complaints, andsee our answers to the most com-mon problems that customersexperience.

Also, as they face a more complexfinancial reality than before the cri-sis, many customers feel they do not

have enough information about theirfinancial options. Our advisers willtherefore become more proactive,contacting customers with concrete

suggestions on how they can makethe most of their financial resources.In 2009, Danske Bank Denmarkearmarked DKr75m to developadvisers competencies. An impor-tant element in this programme is

providing relevant financial servicesin a low-growth economy. Thisinitiative is very much in line with

the Groups Financial Literacy pro-

gramme, which focuses on enablingour future customers to make soundfinancial decisions.

Becoming a better bankDanske Bank Denmark has em-barked on a journey. We do notwish to be a different bank, but wedo want to become an even betterbank. And we will keep involvingour customers and stakeholders inthe Banks development. To ensure a

continuing dialogue, we have set upan online customer panel consist-ing of a large number of people whowish to share their opinions withus. A new strategy for social mediawill provide us with yet anothertool for staying close to our stake-

holders.

The ongoing conversation withcustomers is very important. In theend, it will determine how success-ful our business is.

23 COMMITMENTS TO BECOME A BETTER BANK

01 INCREASED ATTENTION TO YOUR INVESTMENT PROFILE

02 REGULAR SURVEY OF CUSTOMER SATISFACTION

03 NO BONUSES FOR ADVISERS

04 KNOW YOUR INVESTMENT POLICY

05 WE WILL HIRE A CUSTOMER SATISFACTION MANAGER

06 INCREASED OPENNESS ABOUT COMPLAINTS

07 DKR75M TO TRAIN ADVISERS

08 TRAINING FOR SENIORS IN EBANKING

09 WE SUPPORT VOLUNTEER DEBT ADVISORY SERVICES

10 THE BEST ADVICE AS QUICKLY AS POSSIBLE

11 GUIDE TO A GOOD ADVISORY MEETING

12 YOU RECEIVE A SUMMARY OF YOUR MEETINGS

13 FASTER RESPONSES TO E-MAIL AND TELEPHONE MESSAGES

14 WE ANSWER THE PHONE WITHIN 30 SECONDS AROUND THE CLOCK

15 WE ARE INTRODUCING A SERVICE HOST

16 YOU CAN REACH THE BANK MORE QUICKLY

17 DKR1BN TO INCREASE USER-FRIENDLINESS

18 WE HAVE SET UP A SPECIAL UNIT FOR SMALL BUSINESSES19 BECOME PART OF OUR CUSTOMER PANEL

20 WE GIVE YOUR FINANCES AN EXTRA REVIEW

21 TRANSPARENT PRICES

22 COMPARE PRICES WITH OTHER BANKS PRICES

23 SEE HOW WE EARN MONEY


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young adults think they know andwhat they actually do know aboutpersonal finance. Nevertheless, themajority of the age group acknowl-

edged that they need to learn moreabout these matters.

In response to this need, we devel-oped Mind Your Money, an advisoryWeb site for young adults. The siteis built upon situations that are

particularly relevant to 18-27 year

olds, such as travelling, enteringuniversity, starting a home or havingchildren. On the site we have devel-oped new ways of communicatingpersonal finance to this age groupby focusing on exploratory interac-

tion with simple tips, visualisations,tools and calculators.

Mind Your Money was developed in2009 and will be launched in Den-mark, Finland, Sweden and Norwayin 2010.

Meeting the 2009 objectives

At the Danske Bank Group, we wantto improve the way we explainfinancial matters to young adults.

We have therefore undertaken mea-sures to learn more about 18-27 yearolds preferred means of gainingfinancial knowledge.

Mind Your MoneyIn collaboration with YouGov

Zapera, we conducted a surveyin Denmark, Finland, Sweden,Norway, Northern Ireland andIreland to understand the level offinancial literacy among this agegroup. The results clearly indicatethat many young people have dif-

ficulties with financial terminol-ogy and budgeting. In addition toquantitative surveys, we conductedqualitative interviews with sub-jects in this age group from variedsocial backgrounds. The interviews

revealed a huge gap between what

Carbon trading scheme in placeIn 2009, the Danske Bank Group be-gan offering trading in carbon allow-ances, also known as EU allowances

or EUAs. Each allowance is equiva-lent to one tonne of carbon dioxide.Carbon allowance trading promotesreliable market signals on the pricesof fossil fuels and greenhouse gases.By trading in EUAs, the Group issupporting the development of a

low-carbon economy.

No more bonuses in branchesThe extensive stakeholder dialoguethat the Group conducted in Den-mark in 2009 revealed widespreaddoubts about whether DanskeBanks frontline employees areprimarily the customers advisers or

the Banks salespeople. In practice,they are both. The most importantthing for us is obtaining a clear pic-ture of all aspects of the customersfinances. If a customer wants to bor-

row money to buy a house or a car,

BUSINESS CORPORATE RESPONSIBILITY 2009

14

ACTIVITIES 2009 RESULT

Launch online advisory programme for 18-27 year olds

Co-found and launch Dansif, the Danish version of Eurosif

Ongoing implementation of Moment of Truth method of

surveying customer satisfaction


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CUSTOMER SATISFACTION (SCALE OF 0-100, RETAIL/CORPORATE) 2009 2008

Danske Bank Denmark 67/72 73/76

Fokus Bank, Norway* 69/68 69/67

Danske Bank, Sweden* 77/73 79/80

National Irish Bank, Ireland* 76/64 74/70

Northern Bank, Northern Ireland* 73/72 72/70

Sampo Bank, Finland* 68/66 64/61


we evaluate whether the customersbudget can accommodate it. Thismay lead to a loan and perhapsalso the sale of insurance. But our

advisers must always recommendthe product or solution that is bestfor the customer. To make sure thatthere is no doubt about this prin-ciple, in 2009 the Group decidedto abolish bonus payments to allbranch staff in Denmark.

Customer satisfactionThe change in customer satisfaction

from 2008 to 2009 varied greatlyacross the Danske Bank Group. Itis not possible to detect a uniformeffect of the turbulent times, either

in feedback from our own custom-ers or in the scores in the markets ingeneral.

The satisfaction scores from person-al customers were either even withlast years scores or higher in four of

our six main national markets. The

same was true of our SME custom-ers in three of our six markets. In

Denmark, we have seen a decline inthe scores of both personal and SMEcustomers. Considering the circum-

stances and challenges in the Danishmarket in the past year, this devel-opment was not unexpected. Eventhough this drop is not unique toDanske Bank in the Danish market,we take it most seriously and havebegun to address the issue through

various initiatives. Read about themin more detail on pages 12-13.

SEE A FULL OVERVIEW OF CUSTOMER OBJECTIVES AND ACTIVITIES

IN 2009 AT WWW.DANSKEBANK.COM/RESPONSIBILITY

* The number of retail customers was stated inaccurately in 2008.


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integrate environmental, social andgovernance issues structurally intheir investment decision-makingprocess. These concerns are ad-

dressed by Danske Capitals currentprogramme.

PRIIn January 2010 the Danske BankGroup Executive Board decidedto sign on to the UN Principlesfor Responsible Investment (PRI),

committing the Group to applyingsix principles in our day-to-dayinvestment processes. The PRIinitiative provides a voluntary andaspirational framework for incor-porating environmental, social andgovernance issues into mainstream

investment decision-making andownership practices. Our decisionto endorse the PRI reflects our ambi-tion to align our environmental andsocial performance with the highestcorporate standards. The principles

will be implemented in 2010.

Investing responsibly

In 2008, the Danske Bank Groupintroduced a policy for sociallyresponsible investment (SRI) and

a screening framework to ensurethat the funds we invest on behalfof our customers are not placed incompanies that violate internation-ally recognised standards for humanrights, working conditions, the envi-ronment and anti-corruption. Since

its inception, we have excluded24 companies that did not complywith the policy. We have also begundialogues with a number of compa-nies.

The SRI programme has been well

received by the Groups stakehold-ers. Danske Capitals institutionalcustomers welcomed the policy andthe processes we have adopted toexclude noncompliant companies.Major Danish local authorities have

asked Danske Capital to help them

Diversifying the debateLast year the Groups investmentpolicy received increasing attention,not only from institutional custom-

ers but also from retail customers,the media, NGOs and politicians.Especially in Norway and Denmark,public and media interest intensi-fied in 2009. The response from cus-tomers was very clear: SRI consid-erations are very important to them

when banks and pension companies

manage their assets. At DanskeBank, we want to retain the trust andconfidence of our customers. To dothis, we maintain transparency aboutwhat we do and give convenient ac-cess to exclusion lists and portfolio

contents on our Web site.

In order to provide information andpromote a diversified debate aboutSRI, Danske Bank has joined Dansif(the Danish Social Investment Fo-rum). This work will continue

in 2010.

BUSINESS CORPORATE RES PONSIBILITY 2009

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SEE A FULL OVERVIEW OF CUSTOMER OBJECTIVES AND ACTIVITIES


BUSINESS OBJECTIVES 2010 GOALS AND ACTIVITIES 2010

Minimise social and environmental risks among

strategic suppliers

Establish framework for handling strategic suppliers.

Launch responsible sourcing policy.

Set up responsible sourcing board.

Launch online advisory programme for 18-27 year olds

at country units

Roll out Mind Your Money in Denmark, Finland, Sweden

and Norway.

Ensure that the Groups products and advisory programmes

meet the needs of the next generation of consumers

Publish research and surveys.

Continue stakeholder dialogue.

Implement UN Principles for Responsible Investment Implement principles in our day-to-day investment process.

Responsible sourcing

In 2006, the Danske Bank Groupintroduced a number of environ-mental standards to be met by

suppliers and selected products.In 2007, the Group signed the UNGlobal Compact, committing our-selves to promoting human rights,labour standards and environmentalconcerns.

We have decided to expand our sup-plier initiative by establishing anoverall framework for responsiblesourcing in order to identify social,

ethical and environmental risksacross the supply chain.

The framework will allow us to ac-tively promote compliance with in-ternational standards and guidelinesamong our suppliers and to limit

our own business risks. In 2010, wewill identify our strategic suppli-ers and related risks. On the basis

of this inventory, we will formulatea responsible sourcing policy andestablish an adequate framework forhandling suppliers. We will also es-tablish a responsible sourcing boardto ensure a systematic review of theGroups suppliers.


18/36

the human face of the financialsector in a general atmosphere ofdistrust towards banks, and theircompetence as advisers was severe-

ly questioned. This was doubtlessa blow to their professional pride.And in Denmark, there was alsosome controversy about whetherthey are primarily the customersadvisers or the Banks salespeople.To correct this impression, the

Group decided to abolish bonuses

for all branch staff. We wish to makeclear that we place great importanceon service ethics.

As described in the Business sec-tion, Danske Bank responded to the

public criticism with an extensiveplan to become a Better Bank andregain customers trust. Advisersplay a key role in this process.

Competencies for a Better BankIn the coming years, the Group will

continue to provide both retail and

The financial crisis strongly af-fected every part of the Danske BankGroup. As the situation changedfor our customers and our business

generally, so did our staffs dailywork. During such times, the Grouphas a responsibility to take specialcare of employees, whether it is byequipping them to deal with newcustomer demands or by ensuring adignified process when staff reduc-

tions are necessary.

Bank advisers in the line of fireThe Banks frontline employeesexperienced the effects of the crisisdirectly. In their daily work at thebranches, they faced many ques-tions from customers, some of themdissatisfied with their financial

situation and some with the servicethey had received.

Bank advisers also found them-selves the centre of attention in the

media in the past year. They were

corporate customers with the bestproducts and services available.This requires an investment in com-

petency development.

As part of its Better Bank strategy,Danske Bank Denmark earmarkedDKr75m for developing adviserscompetencies. A key topic in thetraining programme is providing

financial services in a low-growtheconomy.

Similar initiatives were introducedat other Group units. In NorthernIreland, Northern Bank ran a seriesof workshops to reinforce and

augment the branch staffs skillsin dealing with personal customersituations so that they could betterhelp customers face the variouschallenges that the economic down-turn has brought.

The bank has always been commit-

ted to dealing fairly and sympathet-

EMPLOYEES CORPORATE RESPONSIBILI TY 2009

18

Employees

Supporting our employeesin challenging times


19/36

19CORPORATE RESPONSIB ILITY 2009 EMPLOYEES

ically with customers in financialdifficulties, but our employees hadnever experienced economic condi-tions as extreme as the current ones.

Over 100 Northern Bank employeesreceived training in areas such asdebt problems that covered not onlythe practical and technical aspectsbut also the emotional effects ofsuch issues.

Staff reductions

In 2009, the Danske Bank Groupmade a necessary but difficultdecision to reduce the number ofstaff. Before the layoffs, the Groupworked together with trade unionsto mitigate the number of termina-tions by various means such as earlyretirement arrangements and a flex-

ible freeze on recruiting and fillingvacated positions.

Once the decision about the staffadjustments had been made, the key

objective became careful planning

to ensure a dignified process for allinvolved. The organisational unitsaffected made thorough prepara-

tions focused on the managementsrole making sure that local manag-ers did everything possible to lessenthe stress and insecurity for theaffected employees.

Despite the hard times, our employ-

ees general satisfaction and motiva-tion has not diminished. The results

of our annual employee opinionsurvey show that our employeessupport the way we have dealt withthe crisis. The rating of senior man-agements ability to make the right

decisions and inform employeesrose from an already high level.

The survey also reflects the difficultperiod we have been through, how-ever, as our employees perceptionof the Groups image was signifi-

cantly lower than in the year before.

Robberies and assaultsUnfortunately, economic crises areoften accompanied by an increasein robberies and assaults, and 2009

was no exception. As usual, DanskeBank Denmark accounted for themajority of the cases. Of a total of38 robberies, 29 took place in Den-mark.

The Group has well-established

procedures for preventing robberies

and threats as well as efficient mea-sures for dealing with the cases wecannot avoid. In 2009 we made ad-ditional efforts to prevent stressfulsituations. For example, on the in-tranet we posted information about

working with difficult customersthat included a conflict-resolutionmethod developed by our WorkingEnvironment department.

Even though we are not happy about the layoffs, the

Group dealt with the process responsibly and unionrepresentatives felt well-informed.PER TOUBRO / DANSKE BANK SECTION OF THE DANISH FINANCIAL SERVICES UNION


20/36

for a full-time position to be dividedbetween two people, with all theactivities and responsibilities of thejob shared between them.

Despite these initiatives, there arestill areas where we are not fullyexploiting the potential of our staffdiversity. For instance, we wantmore women to pursue manage-ment careers (currently 34% of our

managers are women). And while

our staff generally believes that theGroup offers great career opportuni-ties (our employees rate this abovethe benchmark in the employeeopinion survey), there are still somecultural and organisational barriers

we need to address. For these rea-sons, in 2009 we launched addition-al initiatives to promote diversityand inclusion.

Role models show the wayRole models are an effective means

of inspiring change towards a

Meeting the 2009 objectives

The Danske Bank Group has becomean international workplace. We haveemployees of many nationalities,

and much of our daily work in-volves collaboration with colleaguesin other countries. This is just onedimension of diversity that we wantto optimise.

Utilising all competencies

The overall principle of our ap-proach to diversity is to ensurethe optimal utilisation of all staffcompetencies. We have a long tradi-tion of putting this principle intopractice. Our diversity initiativesinclude programmes for femalemanagers, immigrant integration

projects, part-time work for parents,and a special scheme for seniorstaff that was nominated for theDanish Ministry of Employments2009 senior award. In Ireland, a job-

sharing scheme makes it possible

more inclusive culture. In 2009,we launched an internal campaignshowcasing managers whom we

consider positive role models, eitherin representing a particular em-ployee group or by being exemplarydiversity managers.

Managers play a key part in makingproductive use of our diverse work-

force. In 2009 we joined DiversityLab, a business network founded

by the Danish Institute for HumanRights for the purpose of develop-ing diversity management tools. Inorder to ensure that the project isgrounded in our organisation and

that the tools we develop work inpractice, our Shared Services Centreunit participated in a pilot projectin which new methods to promotediversity and inclusion were tested.In 2010, we will integrate an inclu-sion training module in a course for

new managers.


20


Introduce Danica Health Promoter for all employees

in Danica Pension

Evaluate flexibility and inclusion at the Groups individual units

Conduct activities to promote examples of diversity

and inclusion


21/36


Working systematically on diversity management will

certainly have a significant bottom-line ef fect, for examplebecause of increased productivity in the collaboration with

our Indian colleagues both in Denmark and in Bangalore.

PETER DALSGAARD / VICE PRES IDENT, CONSULTANCY SERVICES

Flexible career modelsJob flexibility enables employeesto adapt individual career modelsaccording to their changing needs

in various phases of their lives. Webelieve this is of mutual benefit toemployees and our business. Wetherefore offer flexible workingarrangements such as job-sharingschemes and telecommuting whenthey fit into local work routines.

Our 2009 employee opinion survey

included questions about job flex-ibility, and the results indicate thatour staff feel they have a high levelof flexibility.

Management remunerationThe principles of the Danske BankGroups remuneration policy reflect

the Groups objectives of a soundgovernance process and long-termvalue creation for the Groups share-holders.

The Board of Directors Renumera-tion Committee monitors trendsin the Groups salary and bonusframework, including the incentive

programmes. The Committee reportsto the full Board of Directors andmakes preparations for the Boardsconsideration of human resourceissues, particularly terms and condi-tions of employment, remunerationand retirement benefits.

As stipulated in the Act on financialstability, the Danske Bank Groupwill not use share options as partof management compensation untilSeptember 2010, and in 2008 and2009 the Executive Board did not

receive any performance-based com-pensation. The actual remunerationof members of Danske Banks Boardof Directors and Executive Board isdisclosed in the annual report andalso on the Corporate GovernanceWeb site.

Promoting employee healthIn 2009, Danica Pension, theGroups life and pension company,developed a programme for business

customers that is intended to pre-vent health problems and absencedue to illness. Danica decided totake its own medicine and offered ahealth check-up to its entire staff.Some 571 employees accepted theoffer and had their blood pressure,

cholesterol, blood sugar, body mass

index and general fitness measured.After the check-up, each employeereceived personal guidance andsuggestions for improvements. Thehealth condition of most of the em-ployees fell into the category good

and normal.

In 2010, Danica will follow up on thiseffort by conducting a survey of theparticipants in the 2009 check-up.


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22

Volunteer debt advisersCorporate volunteering is commonin many countries where the Groupoperates. In Ireland and Northern Ire-

land, for instance, some of our staffmembers share their professionalknowledge with society by teachingpersonal finance in the schools.

In Denmark, corporate volunteer-ing is less common, but the Groups

new debt advisory project gives

some of our Danish employees a

chance to make a difference. In2009, a number of philanthropicorganisations launched a debt

advisory service with funds fromthe Danish Ministry of the Interiorand Social Affairs. The programmeis intended to help people with debtproblems manage their finances, andit is staffed by volunteers who workin the banking sector.

The Danske Bank Group consid-

ers this initiative fully in keeping

with our efforts to promote financialliteracy and supports the project

by paying for a portion of the timethat our employees spend serving asdebt advisers.

Many employees have applied tovolunteer. The first volunteers beganadvising people in autumn 2009,

working in teams with attorneys,social workers and advisers fromother banks.

EMPLOYEE OBJECTIVES 2010 GOALS AND ACTIVITIES 2010

Ensure diversity and inclusion among employees Implement inclusion training module in a course for new managers.

Run diversity role model campaign on the intranet Continue diversity role model campaign.

Promote employee health Conduct follow-up survey.

This job has proved to be equallychallenging and rewarding bothprofessionally and personally.

LENE FRIIS ANDERSEN / VOLUNTEER DEBT ADVISER


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EMPLOYEE DATA GROUP 2009 COMMENTS GROUP 2008 COMMENTS

Staff details

Number of full-time employees, end of year 22,093 23,624

Percentage of women in workforce (%) 57 58

Percentage of women in management (%) 34 34

Average age 42 42

Average years of service 15 15

Work-life balance

Women working part-time 2,823 2,698

Men working part-time 452 358

Avg. No. of maternity leave days (days per employee on leave) 163 Ex BAL 165 Ex BAL, F l

Avg. No. of paternity leave days (days per employee on leave) 25 Ex BAL, NI 43 Ex BAL, Fl, NI

Leaves of absence granted for other reasons

(No. of employees granted leave of absence during year) 663 Ex BAL 474 Ex BAL, F l

Health and safety

Absence due to illness(Avg. No. of days lost through illness per employee) 6.0 Ex BAL, FI 6.6 Ex BAL, F l

No. injuries or post-traumatic stress related to robberies 186 194

No. other physical or psychological injuries 116 127 Ex NO, BAL

Competency development

Opportunities for professional and personal development as

perceived by the employees (scale of 0-100) 74 74

Employee satisfaction

Employee satisfaction and motivation (scale of 0-100) 72 72

Employee loyalty (scale of 0-100) 78 78

Employee turnover (%) 6.2 8.4 Ex Fl

SEE THE CR FACT BOOK AT WWW.DANSKEBANK.COM/RESPONSIBILITY

FOR MORE EMPLOYEE DATA AND A BREAKDOWN BY COUNTRY


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It was therefore disappointing thatCOP15 did not result in a bindingagreement. The process showedhow difficult it is to balance vari-

ous interests while trying to sharea common burden fairly. But theconference also gave evidence ofpolitical leaders commitment tofinding a solution. Copenhagen wasnot the end of the road, but it can bea step on the way to an agreement

in 2010.

Carbon-neutral operationsThe year 2009 was also an impor-tant time for climate matters inter-nally at the Danske Bank Group. Weachieved our ambitious goal of car-bon neutrality through reductions ofCO

2emissions and investments in

external renewable energy projects.We offset a total of 56,000 tonnes ofCO

2emissions.

Our carbon-neutral status helps

us better understand the implica-

tions and impact of an increasinglycarbon-constrained economy, forboth the Group and our stakehold-ers. Carbon neutrality also acts as a

catalyst for organisational efficiency.The cost of offsetting emissionsgives us an extra incentive to keepenergy consumption and emissionsto a minimum.

From 2008 to 2009, the Group

reduced its CO2

emissions by 15%.

We achieved this reduction by cur-tailing travel and energy consump-tion and through a general declinein business activities.

In December 2009, the Group joinedthe Climate Neutral Network, which

was launched by the United NationsEnvironment Programme (UNEP) in2008. The Climate Neutral Networkconsists of a number of compa-nies, cities and individuals that arelaying out strategies and plans to

become climate-neutral over the

Climate moved to the top of theworld agenda in 2009, which cul-minated in the UN Climate Change

Conference (COP15) in Copenha-gen in December. We followed thepolitical process with great interest,since the outcome of the conferenceclearly sets the framework for thefinancial sectors opportunities forenvironmental activity.

For example, without a stable politi-

cal framework and long-term objec-tives, it is difficult to set prices forgreenhouse gases and to implementgreen investment strategies.

The Danske Bank Group thereforesupported the Copenhagen Com-muniqu on Climate Change andthe UN Global Compacts Seal theDeal Campaign. Both campaignssought to help bring about a strong,effective international climate agree-

ment, with a firm commitment to

emissions reductions.

ENVIRONMENT CORPORATE RESPONSIBILI TY 200924

Environment

The climatechallenge continues


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26/36

over two years. From 2008 to 2009,the reductions totalled 35%. We es-timate that we saved 871 tonnes ofCO

2with the TelePresence meetings

alone. Travel also declined in 2009

because the Group completed the ITintegration of Sampo Bank.

Identifying potential reductionsIn 2008, as part of the effort toreduce energy consumption and CO

2

emissions at the Group head offices

and branches, we started identifyingpossible energy-saving projects. Wecompleted the identification phaseat the head office and large branchesin Denmark, and the same processbegan in Norway, Ireland, NorthernIreland and Finland. This inventory

has given us valuable information wecan use to prioritise our investments.

Digital bankingIn 2008, the Danske Bank Group tookpart in a research project to quantify

the environmental effects of using

Meeting the 2009 objectivesThe financial crisis not only affectedthe Groups earnings; it also alteredour environmental performance.

We achieved some of our plannedenergy reductions earlier thanexpected because of branch clo-sures and reduced activity. Invest-ments in energy-efficient offices anddigital communication reduced ourcosts as well as our environmental

impact. The Groups strong focus oncost savings thus often goes hand inhand with environmental efficiency.Going forward, we expect to findeven more synergies.

Reducing travelIn 2008-09, the Group established

16 studios for TelePresence meet-ings in order to reduce travel, costsand environmental impact. On thebasis of this investment, the Groupset an objective of reducing CO

2

emissions from air travel by 15%

electronic media as an alternative toordinary mail for document distribu-tion. The study showed that chang-ing to the electronic mail system has

a positive effect on the environment.Electronic mail proved better in allaspects of the survey impact onclimate, acidification, smog forma-tion, fossil-fuel consumption andrenewable energy.

For several years, the Danske Bank

Group has worked on digitising awide range of processes, mainlyto optimise customer service andminimise paper consumption. Oneinitiative is intended to increase thenumber of customers who receive

account statements, annual summa-ries and pay slips by electronic me-dia instead of in conventional paperdocuments. At the end of 2009,more than 1.7 million customershad received more than 32 milliondocuments via the Internet.


26


Achieve carbon neutrality by December 2009

Implement the environmental management system in

Finland and the Baltic states

Raise supplier requirements


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27CORPORATE RESPONSI BILITY 2009 ENVIRONMENT

The Group is also working to enablecustomers to sign electronic docu-ments with digital signatures, eitherat home or at a branch office. The

project will lead to faster process-ing, less expensive products andreduced paper consumption. TheGroup has set a goal that 80% of allcredit approvals will be made elec-tronically by the end of 2010.

Raise supplier requirements

In 2009, the Danske Bank Groupreceived an award from the Dan-ish Ministry of the Environmentfor having one of the best greenpurchasing policies. The process ofintegrating environmental require-ments in the purchasing processbegan in 2006, and now more than

74% of the Groups purchases ofoffice equipment, IT, merchandise,paper, cleaning supplies and thelike come from suppliers with anenvironmental management system.

The Group set new requirements

for cleaning supplies and paint in2009.

Green company carsIn 2008, the Group implemented

a green car policy stipulating thatcompany cars must generally be inclasses A to E of the EU eco-labelscheme. The policy reduces fuelconsumption and thus costs as wellas CO

2emissions. The Group esti-

mates that it brought a 10% reduc-

tion of CO2 emissions in 2009. Sincefuel-efficient cars are becomingmore readily available, the Groupdecided to strengthen the policy.As of 2010, all new company carsmust be in classes A to D. We expectthis change to reduce CO

2emissions

from company cars by another 10%

in the next two years.

Expanding the EMSThe Groups environmental manage-ment system (EMS) helps us stay

focused on improving our environ-

mental impact. The system buildson the ISO 14001 standard, and in2009 it was updated to integratethe ISO 14064 requirements on

the quantification and reportingof greenhouse gas emissions andreductions. The environmentalmanagement process was furtherstrengthened by the implementationof a new IT system for data collec-tion and reporting.

One objective for the EMS in 2009was to expand its coverage to Fin-land and the Baltic states. With pro-cedures and objectives in place, theimplementation in Finland is wellunder way, although the system has

not yet undergone the first internalaudit. The implementation in theBaltic states was postponed becausethe difficult financial conditions inthe region require the organisationsfull attention.

SEE A FULL OVERVIEW OF ENVIRONMENTAL OBJECTIVES AND ACTIVITIES


Reductions from 2008 to 2009

Air

travel

Energy

consumption

Paper

consumption

8% 18%31%


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28

ENVIRONMENTAL OBJECTIVES 2010

Group objectives

Extend and develop environmental management system (EMS) Improve internal control procedures for environmental data.

Finish implementation of EMS in Finland.

Continued focus on climate and CO2

reductions Reduce the Groups CO2

emissions from travel by 15% from 2008

to 2010.

Set group-wide target for energy reduction.

Implement new lighting programme.

Identify further potential for digitising and reduction of paper.

Continued focus on supplier requirements Implement updated business procedures for environmental

screening.

Increase the environmental awareness of the employees Continue internal awareness activities about the Groups environ-mental policy and climate strategy.

Selected national objectives

Denmark Reduce energy consumption by 10% within five years of 2008.

Ireland Reduce energy consumption by 5% from 2009 level.

Northern Ireland Reduce energy consumption by 5% from 2009 level.

Norway Reduce energy consumption by 5% from 2008 level.

Sweden Digitise all internal magazines.

Finland Launch energy-saving campaign for employees.


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29CORPORATE RESPONSI BILITY 2009 ENVIRONMENT

ENVIRONMENTAL IMPACT GROUP 2009 COMMENTS GROUP 2008 COMMENTS

Resource consumption *

Electricity consumption (MWh) 97,036 105,547

Electricity consumption per employee (MWh/FTE) 4.5 4.8

Heat consumption (MWh) 66,991 Ex branches NO, FIN 73,776 Ex branches NO, FIN

Heat consumption per employee (MWh/FTE) 3.1 3.4

Water consumption (m3) ** 98,463 103,059

Water consumption per employee (litre/FTE) ** 9,832 10,226

Total road transport (1,000 km) 20,760 22,773

Transport by company vehicles (1,000 km) 3,916 Ex NO, NI 3,871 Ex NO, NI

Transport by employees cars (1,000 km) 16,844 18,902

Air transport (1,000 km) 29,797 43,321

Air transport per employee (km/FTE) 1,377 1,976

Air transport, domestic (1,000 km) 6,635 6,838

Air transport, international (1,000 km) 23,161 36,484

Total paper consumption (tonnes) 3,303 4,006

Paper consumption per employee (kg/FTE) 153 183

Emissions

CO2

emissions (tonnes) 55,758 65,812

CO2

emissions per employee (tonnes/FTE) 2.4 2.9

SEE THE CR FACT BOOK AT WWW.DANSKEBANK.COM/RESPONSIBILITY

FOR MORE ENVIRONMENTAL DATA AND A BREAKDOWN BY COUNTRY

* Data for 2008 and 2009 cover Denmark, Sweden, Norway, Ireland, Northern Ireland and Finland. The 2008 data have beenchanged since the 2008 report, because Finland is now included and the reporting period has changed.

** Only headquarters in DK, SE, NO and FIN. Data for 2008 and 2009 cover DK, SE, NO, IRL, NI and FIN and include estimated figures for the remainder of the Group.


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Financial skills for thenext generation

Applying our core competenciesAt Danske Bank, we feel a respon-sibility to help raise the level offinancial literacy among children

and young people. We believe thatproviding basic training in financialplanning to children and young peo-

ple today will help create a popula-tion of financially responsible and

self-reliant adults tomorrow. Suchadults are valued banking customers.

Financial knowledge is of coursepart of our core competencies anddaily work. We wish to use these

competencies to benefit the socie-

The financial crisis has clearly dem-onstrated the importance of personalfinancial skills and financial educa-

tion for the well being of individu-als, families and society at large.There is a growing recognition thatfinancial literacy is an important

skill in life. Recent internationalstudies indicate that there is a directlink between childrens financialskills and their life prospects. Thestudies also show that many chil-dren do not learn basic financialskills at home. In such cases, it is

crucial that the schools can address

this shortcoming.

ties where we operate. Therefore,

in 2008, we launched the FinancialLiteracy and Education InvestmentProgramme. We have also conductedsurveys and analyses to gain a betterunderstanding of the main chal-lenges and opportunities related to

financial literacy.

In 2008 we launchedMoneyville, an onlineuniverse targeted at 5-7

year olds. The Web siteteaches children wheremoney comes from,

how to save it, how tounderstand its value,

and how to set priorities for spend-ing it. The site has proved to be asuccess. Within six months, it hadaround 1 million visitors.

Teaching financial literacyIn order to reach children at an earlyage, teachers must be engaged and

well prepared to teach basic finan-

SOCIETY CORPORATE RESPONSIBILITY 2009

30

Society

Control Your Money offers opportunities to safely practice and

apply mathematical skills in realistic situations. And with the

option of carrying out real projects, it makes an inspiring toolfor teachers.

DR. JUHANI TAKKINEN / TEACHER AT SEPN LUKIO HIGH SCHOOL, FINLAND


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31CORPORATE RESPONSIBILITY 2009 SOCIETY

cial skills. We therefore developeda Web site where teachers can getideas on how to address financialliteracy in the classroom. The Teach-

ing Financial Literacy site providesconcrete examples of financial issuesin the daily lives of children andyouths and other useful information.

The rationale for this initiative issupported by an extensive survey

of math teachers attitudes towards

teaching financial literacy in sixcountries (Denmark, Finland, Swe-den, Norway, Northern Ireland andIreland). Some 96% of the teachersfind it relevant to teach 10-15 yearolds about personal finance, and

88% think it would be good if anon-commercial course on personalfinances were available to them.

Teaching Financial Literacy willbe launched in Denmark, Sweden,Finland, Norway, Northern Ireland

and Ireland in 2010.

From fiction to realitySome 93% of 10-15 year olds in thesix countries receive pocket moneyand have their own mobile phones.

Around 43% of them have usedtheir mobile phones for purchases.These numbers clearly indicate thatchildren handle money regularly.Fortunately, 84% of them also thinkit would be interesting to learn aboutmoney at school (source: YouGov

Zapera, Financial literacy among 10-

15 year old children, 2009).

In order to support this age groupsability to handle money responsibly,we launched an online universe,Control Your Money, which is to be

used in schools. Control Your Mon-ey is intended to give pupils a basicunderstanding of financial conceptsand provide teachers with materialsfor teaching financial literacy.

Control Your Money was devel-

oped on the basis of the national

mathematics and personal financecurricula for schools in all six coun-

tries. The site contains missionsthat challenge pupils on financialand mathematical issues that arealready part of the curricula. Thetasks include completing a budget,prioritising purchases and solvingarithmetical problems. Since they

are presented interactively, the taskscan be adapted to the individualusers level, thus giving all the pu-

pils a positive experience regardlessof their qualifications.

In addition to the carrying out

missions, the pupils will put theirfinancial skills into practice. Thesite includes a feature for creatingan actual class project such as a fieldtrip. This initiative will be launchedin the Nordic countries and North-ern Ireland in 2010.

Strengthening education of consumers now, when they are willing to receive

it, should bring benefits to the whole society in the long term. Therefore all[financial] providers should treat financial education as one of the post-crisistop priorities.

EUROPEAN COMMISSION: SECOND MEETING OF THE EXPERT GROUP ON FINANCIAL EDUCATION / APRIL 2009 BRUSSELS


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33CORPORATE RESPONSIBILITY 2009 SOCIETY

SEE WWW.DANSKEBANK.COM/RESPONSIBILITY FOR A FULL OVERVIEW

OF OUR OBJECTIVES AND ACTIVITIES FOR SOCIETY IN 2009

SOCIETY OBJECTIVES 2010 GOALS AND ACTIVITIES 2010

Expand the Groups Financial Literacy Programme Continue rollout of Moneyville.

Roll out Teaching Financial Literacy for teachers.

Roll out Control Your Money for pupils.

Ensure that the Financial Literacy Programme meets the needs of

the next generation of consumers

Publish surveys and analyses.

Continue stakeholder dialogues with experts and

organisations.

Conduct activities that can raise awareness of financial literacy issues Strengthen publicity and communications about our

research and initiatives.

I think Moneyville is a very exciting game.I am always happy to see private companies

invest in projects that give our children andyoung people good digital educational tools.

BERTEL HAARDER / DANISH MINISTER FOR EDUCATION


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KEY GROUP FACTS CORPORATE RESPONSIBIL ITY 200934

Employees

Number of full-time employees, end of year 22,093 23,624 23,632

Percentage of women in workforce (%) 57 58 57

Percentage of women in management (%) 34 34 31

Employee satisfaction and motivation (scale 0-100) 72 72 72

Absence due to illness (avg. number of illness days per employee)* 6,0 6.6 7.1

Environment

Energy consumption (MWh per employee)* 7,6 8.2 7.8

Total air travel (km per employee)* 1,377 1,976 1,813

CO2

emissions (tonnes per employee)** 2.4 2.9 2.9

Society

Donations to society (DKr m) 28 28 29

Hours of voluntary work (hours) 3,823 5,189 5,200

* Data for 2007 exclude Finland and the Baltic states. Data for 2008 and 2009 exclude the Baltic states.

** Data for 2007 cover Denmark, Sweden, Norway, Ireland and Northern Ireland.

KEY GROUP FACTS 2009 2008 2007

Business operations (DKr m)

Total income 59,339 43,043 45,063

Operating expenses 28,907 28,726 25,070

Profit before tax 4,755 2,229 19,306

Tax 3,042 1,193 4,436

Net profit 1,713 1,036 14,870

Business

Banking customers, end of year (millions) 5.1 5.0 5.0

Percentage of loans and advances to retail customers, end of year (%) 46 40 40

Number of branches, end of year 734 804 842


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ADDITIONAL INFORMATION

If you have any questions about or comments on this

report, please contact us by e-mail at

[email protected] or by letter post:

Danske Bank A/S

CR Secretariat

Holmens Kanal 2-12DK 1092 Kbenhavn K

DANSKE BANK A/S HOLMENS KANAL 2-12 / DK - 1092 KBENHAVN K / TEL. +45 33 44 00 00

CVR-NR. 61 12 62 28 - KBENHAVN / WWW.DANSKEBANK.COM

Danske-Bank - CSR Report 2009

Documents

Transcript of Danske-Bank - CSR Report 2009