Presentation of results Q3 2010 - SpareBank 1 Gruppen

3rd quarter 2010Presentation of results

SpareBank 1 Gruppen

Kirsten Idebøen, CEO

28 October 2010

2

Highlights

• Good earnings performance for SpareBank 1 Gruppen in the 3rd quarter

• SpareBank 1 Skadeforsikring reports the lowest quarterly claims ratio in four years in the 3rd quarter

• Argo Securities establishes SpareBank 1 Markets in collaboration with the alliance banks. The aim is to strengthen SpareBank 1's position within the markets-area

• Strategic focus within receivables management

– Acquisition of the debt collection company Conecto AS was completed in the 3rd quarter

– New structure for SpareBank 1 Gruppen Finans with focus on growth, control and greater efficiency

• The Delta profitability project is ahead of schedule and has contributed to a net result improvement of MNOK 77 year to date

3

Good year-to-date earnings performance for SpareBank 1 Gruppen

• Pre-tax profit as of Q3 was MNOK 643 (818). Pre-tax profit for Q3 was MNOK 347 (358)*

• Profit after tax as of Q3 was MNOK 508 (567). Profit after tax for Q3 was MNOK 259 (330)

• Annualised return on equity was 15.8 % (19.1 %) year to date and 24.4 % (35.0 %) for Q3 alone

• Total assets as of 30 September 2010 was NOK 39.8 billion, up NOK 3.3 billion from 31 December 2009

• Core ratio and capital ratio were 11.5 % and 16.7 % as of 30 September 2010**, compared with 15.0 % and 20.9 % at year-end 2009

• MNOK 43 were recognised as income in Q3 in connection with employer's National Insurance contributions, associated with a ten year-old tax case, that SpareBank 1 Gruppen AS previously had covered on behalf of First Securities

Group pre-tax profit, quarterly

* Comparison figures for 2009 have been restated and do not include Bank 1 Oslo

Group. Including Bank 1 Oslo Group, the pre-tax profit as of the 3rd quarter 2009 would

have been MNOK 974

** Year-to-date profit has not been included in the calculation of the capital adequacy

ratio

6887

131163

374

164

24

358 347

0

50

100

150

200

250

300

350

400

450

2008 2009 2010

MN

OK

Pre-tax profit - Q1 Pre-tax profit - Q2 Pre-tax profit - Q3

4

361

306

262

79

16

321

286

148

21

2H 20101H 20102H 20091H 2009 3Q 2010

Delta profitability project still ahead of schedule in realising profitability effects, and has contributed to a net result effect of MNOK 77 year to date

REALISED EFFECTS AS OF 30 SEPTEMBER 2010* (excluding Bank 1 Oslo)

*A completed measure qualifies for full annual effect. This method ensures focus on implementation.

Realisation of profitability effects over time (MNOK, cumulative annual effect)

Realised effects

Planned

PROFIT EFFECT FROM THE DELTA PROFITABILITY PROJECT AS OF 30 SEPTEMBER 2010 (MNOK)

**Costs of MNOK 55 related mainly to IT development

and the use of consultants. Costs of MNOK 20 were recognised in Q3 2010.

55

34

77

96

Permanent profit improvement as of 30.09.10

55

SB1 Skade

Others

34

SB1 Liv

77

One-off implementation

costs as of 30.09.10**Net profit effect as of 30.09.10

96

77

55

34

77

277

96

132

5

SpareBank 1 LivsforsikringGood risk result and solid buffer capital

6

SpareBank 1 Livsforsikring

Good risk result and solid buffer capital

• Pre-tax profit as of Q3 was MNOK 278 (311). Pre-tax

profit for Q3 was MNOK 86 (81)

• Risk result was MNOK 260 (277) year to date. Risk

result was MNOK 72 (87) for Q3

• Investment result was MNOK 269 (432) as of Q3.

Investment result was MNOK 71 (132) for Q3

• Provisions for increased life expectancy amounted to

MNOK 36 year to date and MNOK 12 for Q3

• Total assets amounted to NOK 25.6 billion as of 30

September 2010 , up NOK 1.3 billion from year-end

2009

Pre-tax profit, quarterly

Risk result trend

-52

2492

44

206

100

-335

81 86

-400

-300

-200

-100

0

100

200

300

2008 2009 2010

MN

OK

Pre-tax profit/loss - Q1 Pre-tax profit/loss - Q2 Pre-tax profit/loss - Q3

130

277260

210

352

0

50

100

150

200

250

300

350

400

2008 2009 2010M

NO

K

YTD Year-end

7


Solid buffer capital

• Core and capital adequacy ratio estimated at

20.1 % and 18.3 % as of 30.09.10, compared

with 19.0 % and 16.1 % as of 31.12.09

• The buffer capital, including the year-to-date

profit, amounted to NOK 2.5 billion as of Q3,

which corresponds to 16.1 % (13.7 %) of the

insurance provisions

• Estimated solvency margin by the end of

September was 306 % (242 %)

• Additional provisions amounted to MNOK 274,

compared with MNOK 289 at the end of 2009

• The securities adjustment reserve was MNOK

410, compared with MNOK 327 at year-end 2009

Development in buffer capital

6.0 %

11.7 %

13.7 %

11.7 %

13.0 %

15.4 %16.1 %

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

Q12009

Q22009

Q32009

Q42009

Q12010

Q22010

Q32010

Pe

rce

nt

Core capital in excess of minimum Interim profit

Additional provisions Securities adjustment reserve

8


Value adjusted return for customer portfolios with guarantee year to date

(excluding change in value construction)

Source: company presentations

2.1

1.5

4.6

4.1 4.03.7

1.61.4

0

1

2

3

4

5

SpareBank 1 Storebrand Vital Nordea

Pro

se

nt

Q22010

Q32010

Q22010

Q32010

Q22010

Q32010

Q22010

Q32010

*

* Booked return as of 3rd quarter was 4.0%

9

SpareBank 1 Skadeforsikring GroupPositive insurance result development year to date

10

SpareBank 1 Skadeforsikring Group

Positive insurance result development year to date

• Pre-tax profit was MNOK 334 (506) as of Q3. Pre-tax profit for Q3 was MNOK 254 (251), inclusive of a pre-tax loss from Unison Forsikring of MNOK -9 from the date of the acquisition, of which MNOK 7 was non-recurring costs related to the acquisition

• Insurance result was MNOK 144 (118) as of Q3. Insurance result in Q3 was MNOK 121 (96)

• Net combined ratio was 96.8 % (95.1 %) as of 30 September 2010 and 89.8 % (90.9 %) in Q3

– Net cost ratio was 20.0 % (21,7 %) as of Q3 and 22.7 % (21.8 %) in Q3

– Net claims ratio was 76.7 % (73.4 %) as of Q3. The net claims ratio in Q3 was 67.1 % (69.2 %)

• Net financial income was MNOK 232 (405) year to date. Financial return year to date was 2.7 % (5.2 %)

• Positive portfolio growth in both private and corporate markets as of 30 September 2010. Total portfolio growth of MNOK 255 (196) from year-end 2009, which represents 6.3 % (5.1 %)


54 4836

125

207

4358

251 254

0

50

100

150

200

250

300

2008 2009 2010

MN

OK

Pre-tax profit - Q1 Pre-tax profit - Q2 Pre-tax profit - Q3

11


Low claims ratio in Q3

Net combined ratio - quarterlyNet combined ratio - cumulative

79.5

%

71.7

%

69.2

%

74.8

%

88.3

%

75.9

%

67.1

%

21.1

%

22.2

%

21.8

%

24.8

% 20.2

%

17.1

%

22.7

%

0.0 %

20.0 %

40.0 %

60.0 %

80.0 %

100.0 %

120.0 %

Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010

Net claims ratio Net cost ratio

100.6%93.9 % 90.9 %

99.6%

108.6%

92.9 %89.8 %

79.5

%

75.6

%

73.4

%

73.8

%

88.3

%

82.0

%

76.7

%

21.1

%

21.7

%

21.7

%

22.5

%

20.2

%

18.6

%

20.0

%

0 %

20 %

40 %

60 %

80 %

100 %

Per Q1 2009

Per Q2 2009

Per Q3 2009

Per Q4 2009

Per Q1 2010

Per Q2 2010

Per Q3 2010

Net claims ratio Net cost ratio

100.6 %95.1 %97.2 %

108.5 %

100.6 %96.8 %96.2%

12

ODIN ForvaltningIncreased assets under management

13

ODIN Forvaltning

Increased assets under management

• Pre-tax profit was MNOK 48 (18) year to date. Pre-tax profit in Q3 was MNOK 17 (16)

• Total assets have increased by NOK 1.0 billion from year-end 2009 and amounted to NOK 29.0 billion as of 30 September 2010

• In September ODIN entered into an agreement to acquire SpareBank 1 SR-Fondsforvaltning AS. Consequently, ODIN will add combination funds to the range of funds offered from early 2011

• In October 2010 ODIN launched a mass-market version of ODIN Eiendom (Real Estate), a Nordic industry fund that invests in shares in companies that are engaged in the property market and property related businesses. The fund has provided a 17 % annual return since it was established for over ten years ago


30

-7

14

29

10

17

26

16 17

-10

-5

0

5

10

15

20

25

30

35

2008 2009 2010

MN

OK

Pre-tax profit/loss - Q1 Pre-tax profit - Q2 Pre-tax profit - Q3

14

Argo SecuritiesStronger position through the "SpareBank 1Markets" collaboration

15

Q3 2009

Q4 2009

Q1 2010

Q2 2010

Q3 2010

• Pre-tax loss was MNOK -34 (-39) as of Q3. Pre-tax loss in Q3 was MNOK -29 (-15)

– Provisions for employee bonuses were allocated in Q3

• Positive development in revenue year to date compared with the same period last year

– Commission income on stocks and derivatives amounted to MNOK 27 (17)

– Debt capital markets was MNOK 12 (5)

– Fee income Corporate Finance totalled MNOK 17 (1)

• SpareBank 1 Nord-Norge Markets, SpareBank 1 SMN Markets, SpareBank 1 SR-Bank Markets and Argo Securities will establish "SpareBank 1 Markets"

– Finansavisen, 26 October 2010: ”Bank-owned brokerage firms that can guarantee for new issues have been preferred as facilitators in the turbulent market over the last two years”

– SpareBank 1 Markets is a formalised collaboration to strengthen the markets area, including, for example, a pooled ledger balance of NOK 2.4 billion, which will be used to guarantee equity and debt capital transactions

Argo Securities

Stronger position through the "SpareBank 1 Markets" collaboration

Pre-tax loss, quarterly

Ranking in Oslo Børs's brokerage statistics

32

26

1514 8

-12.9

-2.7

-11.9

-1.9

-14.6

-29.0

-35.0

-30.0

-25.0

-20.0

-15.0

-10.0

-5.0

0.0

2009 2010

Pre-tax loss - Q1 Pre-tax loss - Q2

Pre-tax loss - Q3

16

SpareBank 1 Gruppen FinansStrategic focus within receivables management

17

0.0

5.0

-1.2

20.4

0.0

20.2

-7.5

-0.5

1.4

11.4

1.2 2.0

-8

-4

0

4

8

12

16

20

YTD 2009 YTD 2010

*

SpareBank 1 Gruppen Finans

Strategic focus within receivables management

*Conecto was acquired with accounting effect from 10 September 2010. The profit up to the acquisition date was recorded directly against equity

Pre-tax profit/loss as of Q3 2010

MN

OK

Fo

rdri

ng

s-

forv

alt

nin

g

Fac

tori

ng

Co

ne

cto

SB

1G

Fin

an

s

Gro

up

• SpareBank 1 Gruppen Finans reported a pre-tax profit of MNOK 2 (20) year to date

• The Factoring business area reported a pre-tax loss of MNOK -0.5 (5), marked by a loss provision of MNOK 10.5, related to a bankruptcy commitment, MNOK 5.5 of which was allocated in Q3

− Client revenues as of Q3 of NOK 7 billion increased by 23.1 % compared with the same period in 2009

− SpareBank 1 Factoring shows the strongest growth in the market and has a market share of 11 % (4th

place)

• The pre-tax profit for Actor Fordringsforvaltning of MNOK 11 (20) was affected by mandatory reduction in debt recovery fees and increased personnel expenses

Ma

nag

e-

me

nt

Po

rte

følje

18


Simplified legal structure implemented in Q3

Old structure New structure

Actor Fordringsforvaltning

(100%)

Actor Verdigjenvinning

(100%)


(100%)

SpareBank 1 Gruppen

SpareBank 1 Gruppen


Holding(100%)

SpareBank 1 Factoring(100%)


(100%)

Actor Portefølje(100%) Conecto

(100%)

19

• Combined, SpareBank 1-owned Actor Fordringsforvaltning and Conecto represent the third largest debt collection company in Norway

• Actor Fordringsforvaltning and Conecto will be merged as of 1 January 2011. The merger will contribute to:

− Income-related diversification

− Increased access to expertise and systems

− Improved quality, competitiveness and business models


Acquisition of debt collection company Conecto AS in Q3 strengthens SpareBank 1 Gruppen's countercyclical business

* Shows the combined revenues for Conecto and Actor Fordringsforvaltning

** Revenues for Actor Fordringsforvaltning as of 31 December 2009 include Actor Verdigjenvinning

Ranking Revenue

31.12.2009 Company (MNOK)

1 Lindorff 870

2 Kredinor 370

3 Conecto/Actor Fordringsforvaltning 157*

4 Aktiv Kapital 102

5 Gothia AS 100

6 Intrum Justitia 78

7 Sergel 70

8 Creno 60

Number of

Company Revenue (MNOK) employees

Conecto 78 86

Actor Fordringsforvaltning** 79 59

20

Competitive return on equity among selectedNordic financial institutions

SpareBank 1 Gruppen 15.8 % 17.5 %

Handelsbanken 12.9 % 12.6 %

Nordea 11.0 % 11.3 %

Storebrand 3.9 % 5.6 %

Danske Bank 3.4 % 1.0 %

Gjensidige 10.8 % 11.3 %

DnB NOR 12.2 % 10.6 %

3rd quarter 2010* Year 2009**

Source: Companies' interim reports for 2010 and annual reports for 2009

*For comparison purposes only, the annualised return on equity is calculated on the basis of the profit for the period (profit attributable to shareholders)**The annualised return on equity for 2009 is based on the companies’ annual reports for 2009

2121

The nation's savings bank

22

Appendix

23

SpareBank 1 Gruppen AS

SpareBank 1SR-Bank (19.5 %)

SpareBank 1SMN

(19.5%)

SpareBank 1Nord-Norge

(19.5%)

SparebankenHedmark (12%)

SamarbeidendeSparebanker

(19.5%)

LO (Trade Union)(10%)

Alliance Cooperation

SpareBank 1Livsforsikring

(100%)

SpareBank 1Skadeforsikring

(100%)

ODIN Forvaltning

(100%)


(100%)

Argo Securities(76.75%)

Conecto(100%)


(100%)

SpareBank 1Medlemskort

(100%)Broad cooperation

- Technology- Brand/communication- Expertise- Joint processes and best practice- Purchasing

Regional competence centres- Payment services: Trondheim- Credit: Stavanger- Training: Tromsø

(Bank-owned companies)

SpareBank 1 BoligkredittEiendomsMegler 1

BNbankSpareBank 1 Oslo og Akershus

UNISON

(100%)

SpareBank 1 Alliance

24

18

6

48

20

50

100

150

200

SB

1

L

ivs

fors

.

SB

1

S

ka

de

fors

.

OD

IN

Oth

er

MN

OK

Pre-tax profit - YTD 2009 Pre-tax profit - YTD 2010

311

506

186

278

334

48

20

50

100

150

200

250

300

350

400

450

500

550

SB

1

L

ivs

fors

.

SB

1

Sk

ad

efo

rs.

OD

IN

Øv

rig

e/

jus

teri

ng

er

MN

OK

Resultat før skatt per 3. kv 2009 Resultat før skatt per 3. kv 2010

Earnings performance by company year to date

• Solid buffers in SpareBank 1 Livsforsikring

• Positive insurance result development for

SpareBank 1 Skadeforsikring. Unison

Forsikring became a wholly owned subsidiary

of SpareBank 1 Skadeforsikring in Q3

• Increased assets under management in ODIN

Forvaltning

Pre-tax profit in subsidiaries

25

Year

Figures in MNOK 2010 2009 2009

Part of result from subsidiaries before tax

- SpareBank 1 Livsforsikring 277.9 311.2 392.2

- Additional provisions recognised as

income in consolidated accounts 0.0 0.0 0.0

- SpareBank 1 Skadeforsikring 333.6 505.8 621.1

- ODIN Forvaltning 48.2 18.1 42.1

- Argo Securities -33.6 -39.4 -48.9

- SpareBank 1 Medlemskort 9.3 11.4 12.1

- SpareBank 1 Gruppen Finans Group 2.0 20.2 22.5

- Correction Group 23.9 13.4 4.8

Net result before tax from subsidiaries 661.4 840.7 1,046.0

Total operating costs (parent company) 8.8 -38.6 -54.1

Net investment charges (parent company) -27.6 -26.5 -36.3

Gains from sale of companies 0.0 29.2 29.2

Share of associated company 0.0 13.5 10.8

Net result before amortisation 642.6 818.4 995.5

Amortisation 0.0 0.0 0.0

Pre-tax result 642.6 818.4 995.5

Taxes -135.1 -251.2 -260.5

Net result for the period 507.5 567.2 735.1

Majority interest 513.3 574.3 743.9

Minority interest -5.8 -7.1 -8.8

Year to date

SpareBank 1 Gruppen

Profit year to date 2010

*

* Consists primarily of actuarial gains and losses on pensions, revaluation of property and adjustment of insurance liabilities** MNOK 43 were recognised as income in Q3 2010 in connection with employer's National Insurance contributions, associated with a ten year-old tax case, that SpareBank 1 Gruppen AS had previously covered on behalf of First Securities

**

Year

Key figures 2010 2009 2009

Annualised return on equity 15.8% 19.1% 17.5%

Year to date

26

SpareBank 1 Gruppen

Quarterly profits

Q3 Q2 Q1 Q4 Q3 Q2 Q1

Figures in MNOK 2010 2010 2010 2009 2009 2009 2009

Part of result from subsidiaries before tax

- SpareBank 1 Livsforsikring 85.8 100.3 91.9 81.0 81.2 205.6 24.4

- Additional provisions recognised as

income in consolidated accounts 0.0 0.0 0.0 0.0 0.0 -42.0 42.0

- SpareBank 1 Skadeforsikring Group 253.9 43.4 36.3 115.3 272.8 184.9 48.1

- ODIN Forvaltning 17.0 16.7 14.4 24.0 16.0 9.6 -7.5

- Argo Securities -29.0 -1.9 -2.7 -9.5 -14.6 -11.9 -12.9

- SpareBank 1 Medlemskort 2.7 3.3 3.4 0.7 1.8 4.1 5.6

- SpareBank 1 Gruppen Finans Group -4.9 7.0 -0.1 2.3 3.9 11.0 5.3

- Correction Group -7.4 16.3 15.1 -8.6 12.0 -6.0 7.4

Net result before tax from subsidiaries 318.1 185.1 158.2 205.2 373.1 355.4 112.3

Total operating costs (parent company) 40.7 -11.9 -20.0 -15.5 -13.2 -12.1 -13.3

Net investment charges (parent company) -11.4 -9.3 -6.9 -9.8 -2.1 -7.0 -17.3

Gains from sale of companies 0.0 0.0 0.0 0.0 0.0 29.2 0.0

Share of associated company 0.0 0.0 0.0 -2.8 0.0 8.4 5.1

Net result before amortisation 347.4 163.9 131.3 177.2 357.7 373.8 86.8

Amortisation 0.0 0.0 0.0 0.0 0.0 0.0 0.0

Pre-tax result 347.4 163.9 131.3 177.2 357.7 373.8 86.8

Taxes -88.4 -8.3 -38.5 -9.3 -27.3 -131.4 -92.5

Net result for the period 259.1 155.6 92.8 167.9 330.4 242.4 -5.7

Majority interest 263.9 156.1 93.3 169.6 333.1 244.6 -3.4

Minority interest -4.9 -0.4 -0.5 -1.7 -2.6 -2.1 -2.3

27



The company's accounts did not show the tax cost in 2009 since the tax benefit was not included in accordance with the IAS 12 accounting standard. The group contribution in Q2 2010 resulted in a net deferred tax liability of MNOK 10.8. The company's total tax cost amounted to MNOK 42.7 year to date

Q3 Q2 Q1 Q3 Year

Figures in MNOK 2010 2010 2010 2009 2010 2009 2009

Insurance risk income 327.3 321.7 315.3 303.9 964.3 919.0 1,220.6

Insurance risk claims -250.1 -213.4 -209.3 -208.0 -672.8 -610.5 -829.4

Risk result 77.1 108.3 106.0 95.9 291.5 308.5 391.2

Tecnical allocations -5.5 -11.6 -14.2 -8.5 -31.3 -31.1 -38.9

Risk result after tecnical allocations 71.6 96.7 91.8 87.4 260.1 277.4 352.3

Fees 161.1 164.1 146.3 148.2 471.4 423.1 563.2

Expenses, exclusive comissions -147.0 -144.5 -131.2 -132.7 -422.6 -404.7 -554.7

Comissions -58.7 -59.4 -55.9 -49.7 -174.0 -144.3 -201.6

Administration result -44.6 -39.8 -40.8 -34.2 -125.2 -125.9 -193.1

Net investment income 177.0 234.0 176.3 241.8 587.4 765.5 1,002.4

Guaranteed interest to policyholders -106.3 -105.5 -107.0 -110.3 -318.8 -333.3 -445.0

Investment result 70.8 128.5 69.3 131.5 268.6 432.2 557.4

Reserves -12.0 -12.0 -12.0 0.0 -36.0 0.0 -74.5

Investment result after reserves 58.8 116.5 57.3 131.5 232.6 432.2 482.9

Compensation guaranteed interest 7.5 9.7 5.2 3.7 22.4 10.9 14.6

Result before additional provisions 93.2 183.1 113.6 188.3 389.9 594.6 656.7

Undistributed profits to customers -39.6 -79.3 -42.2 -93.7 -161.0 -316.1 -337.4

Return on company's assets 32.1 -3.5 20.5 -13.4 49.1 32.7 73.0

Net profit to owner before tax 85.8 100.3 91.9 81.2 277.9 311.2 392.2

Taxes -24.9 -17.8 0.0 0.0 -42.7 0.0 0.0

Net profit/loss for the period 60.9 82.5 91.9 81.2 235.2 311.2 392.2

Key figures Year to date Year

2010 2009 2009

Capital adequacy ratio 20.1 % 18.3 % 19.0 %

Buffer capital in % of insurance provisions 16.1 % 13.7 % 11.7 %

Year to date

28


Profit by portfolio year to date 2010

Figures in MNOK

Group

portfolio

Previously

established

individual products

Investment choice

portfolio

Company

portfolio Total

Risk result 252.2 7.5 0.4 0.0 260.1

Administration result 25.2 -42.7 -107.8 0.0 -125.2

Net investment result 188.6 78.0 0.5 1.5 268.6

Reserves - long life -0.2 -35.8 0.0 0.0 -36.0

Compensation interest guarantee 22.4 0.0 0.0 0.0 22.4

Transferred to policyholders -155.5 -4.6 -1.0 0.0 -161.0

Return on company's assets 0.0 0.0 0.0 49.1 49.1

Sum 332.8 2.5 -107.9 50.6 277.9

29


Premium income trends

Q3 Q2 Q1 Q3 Year to date Year

Figures in MNOK 2010 2010 2010 2009 2010 2009 2009

Individual annuity and pension insurance 68.6 83.1 75.2 64.1 226.9 192.2 269.6

Individual endowment insurance 129.5 128.9 126.9 121.7 385.4 361.2 486.7

Group pension insurance 105.4 72.1 252.1 109.4 429.5 476.9 564.1

Individual life insurance 46.1 45.4 44.5 43.1 136.0 127.1 171.0

Group life insurance 130.1 125.8 209.8 128.7 465.7 456.9 575.0

Unit Linked - Annuity 10.4 10.8 13.7 11.2 34.9 33.9 47.9

Unit Linked - Endowment 53.9 55.4 59.0 67.8 168.2 188.8 258.3

Defined contribution pension 224.6 216.6 200.0 185.2 641.2 569.0 753.7

Total gross due premium income 768.6 737.9 981.3 731.1 2,487.9 2,405.9 3,126.4

Premium reserves transferred from other companies 64.8 80.5 80.8 90.9 226.1 240.4 285.4

Reinsurance ceded -34.2 -42.0 -43.5 -39.0 -119.7 -118.7 -157.7

Premium income for own account 799.2 776.4 1,018.6 783.0 2,594.2 2,527.5 3,254.1

30

Stocks Other BondsStocks Other

Real estate Bonds held to maturity

Bonds

Stocks Other

Real estate Bonds held to maturity

Bonds


Asset allocation by portfolio

NOK 15.8 (15.5) billion NOK 2.8 (2.5) billion NOK 6.3 (5.6) billion

As of 30.09.2010 *)

37.4 (34.2) %

22.0 (24.3) %

14.0 (14.5) %

21.4 (21.7) %

5.1 (5.2) %20.2 (19.4) %

0.1 (0.1) %

46.9 (48.7) %

11.2 (14.7) %

21.6 (17.0) %

34.7 (31.5) %

59.3 (61.4) %6.0 (7.1) %

* Figures in brackets are as of 31.12.09

**

** The reduction came as a result of reducing shareholding in Group Pension Insurance to 10 % in 1st half-year 2010

Group portfolio Company portfolio Investment choice portfolio

31


Return on ordinary customer portfolio with guarantee as of 30.09.10

7.1

4.1

8.2

4.6

1.8

3.3

1.7

0 2 4 6 8 10

Real estate

Held to maturity

Foreign bonds

Norwegian bonds

Money market

Foreign shares

Norwegian shares

Percent

32

2.8

1.6

4.0

3.2

3.8

3.1

1.6

2.1

0

1

2

3

4

5

SpareBank 1 Storebrand Vital Nordea

Pe

rce

nt


Booked return on customer portfolios with guarantee year to date

Source: company presentations

Q22010

Q32010

Q22010

Q32010

Q22010

Q32010

Q22010

Q32010

33


Balance sheet as of 30 September 2010

Year

Figures in MNOK 2010 2009 2009

Intangible assets 28 61 38

Investments 2,837 2,013 2,498

Reinsurance's part of insurance obligations 228 217 221

Accounts receivable 119 585 90

Other assets 170 300 241

Prepayed liabilities and accrued income 0 0 0

Investments group portfolio 15,978 15,386 15,629

Investments options portfolio 6,256 5,221 5,576

Total assets 25,616 23,783 24,294

Paid in capital 1,602 1,243 1,243

Other equity 622 616 397

Subordinated loan capital 400 525 525

Insurance obligations - contractual 15,843 15,449 15,513

Insurance obligations - investment options 6,348 5,300 5,658

Provisions for obligations 149 100 88

Premium deposits from reinsurance companies 133 127 129

Other obligations 443 307 658

Accrued liabilities, prepaied income 77 118 83

Total liabilities and equity 25,616 23,783 24,294

Year to date

34



Q3 Q2 Q1 Q3 Year

Figures in MNOK 2010 2010 2010 2009 2010 2009 2009

Gross written premium 1,059.1 1,171.9 1,325.2 944.7 3,556.2 3,266.8 4,271.2

Net earned premium 1,077.0 1,007.0 965.4 971.0 3,049.4 2,831.3 3,814.3

Net incurred claims -722.7 -764.0 -852.5 -671.6 -2,339.3 -2,077.3 -2,813.1

Net insurance operating costs -244.1 -171.8 -195.1 -211.3 -611.0 -614.2 -858.0

Other insurance income/costs 17.4 -0.5 -0.4 -1.6 16.6 -0.1 0.8

Changes in other technical reserves -6.3 4.6 29.9 9.2 28.2 -21.1 -27.5

Operating result before finance 121.3 75.3 -52.8 95.6 143.9 118.4 116.6

Net financial income 149.0 -15.0 97.6 160.3 231.6 404.5 532.6

Other costs -0.7 -1.0 -1.0 -1.1 -2.7 -4.7 -5.8

Result before changes in security reserve 269.7 59.4 43.8 254.8 372.8 518.2 643.3

Changes in security reserve -15.8 -15.9 -7.5 -4.2 -39.2 -12.4 -22.2

Pre-tax profit 253.9 43.4 36.3 250.6 333.6 505.8 621.1

Taxes -54.0 -12.2 5.4 -58.3 -60.8 -124.5 -118.1


Key figures Q3 Q2 Q1 Q3 Year

Figures in percentage 2010 2010 2010 2009 2010 2009 2009

Claims ratio, net 67.1 % 75.9 % 88.3 % 69.2 % 76.7 % 73.4 % 73.8 %

Cost ratio, net 22.7 % 17.1 % 20.2 % 21.8 % 20.0 % 21.7 % 22.5 %

Combined ratio, net 89.8 % 92.9 % 108.5 % 90.9 % 96.8 % 95.1 % 96.2 %

Capital adequacy ratio 27.2 % 27.0 % 34.2 %

Year to date

Year to date

35

Bonds held as current assets

Bonds held to maturity

Real state

Stocks

Bank

Hedgefond


Allocation of financial assets

NOK 8.1 (8.2) billion

As of 30.09.2010 *)

* Figures in brackets are as of 31.12.09

65.3 (64.3) %

11.5 (11.0) %

14.6 (14.4) %

0.1 (0.3) %0.1 (2.9) % 8.4 (7.1) %

36

ODIN Forvaltning


Q3 Q2 Q1 Q3 Year

Figures in MNOK 2010 2010 2010 2009 2010 2009 2009

Management fees 78.0 79.6 78.3 66.9 235.9 170.2 244.8

Subscription and redemption fees 0.0 0.0 0.0 6.1 0.0 19.1 25.9

Total operating income 78.0 79.6 78.3 73.0 235.9 189.3 270.7

Salaries 27.1 24.1 25.6 23.4 76.9 61.1 88.1

Depreciations 3.6 3.7 3.9 4.0 11.2 12.0 16.0

Other operating costs 31.1 35.8 34.6 28.0 101.5 90.6 124.2

Total operating costs 61.9 63.6 64.1 55.4 189.6 163.8 228.3

Operating profit 16.2 16.0 14.2 17.6 46.3 25.6 42.4

Net financial income 0.9 0.7 0.3 -1.7 1.8 -7.4 -0.3

Pre-tax profit 17.0 16.7 14.4 16.0 48.2 18.1 42.1

Taxes 4.7 4.6 3.9 4.4 13.2 5.1 13.5


Year to date

37

84

79

47

37

16

2

80

57

31

22

7

4848

15

10

4

2

48

18

6

15

9

Realised effects by quarter (MNOK)

Realised staff reduction by quarter (annual full-time equivalents)

EFFECT REALISATION FROM PROFITABILITY PROJECT

SUB-PROJECT SpareBank 1 Skadeforsikring REPORT DATE 15/10/2010

Q3-09Q2-09 Q4-10Q1-10Q4-09 Q3-10Q2-10 Q1-10Q4-09Q3-09 Q4-10Q3-10Q2-10Q2-09

Realised so far

Planned Planned

Realised so far

38

101

9494

79

68

2420

7878

7168

50

25

191

162

150

119

43

1813

172166

137

86

66

18


SUB-PROJECT SpareBank 1 Livsforsikring REPORT DATE 15/10/2010


Q1-10Q4-09Q3-09Q2-09 Q2-10 Q4-10Q3-10 Q4-10Q3-10Q2-10Q1-10Q4-09Q3-09Q2-09

Realised so far

Planned

Realised so far

Planned


39

157150

116

76

24

136

105

92

29

2H 20101H 20102H 20091H 2009 3Q 2010

The Delta profitability project was behind schedule in respect of staff reductions. This is a result of giving priority to measures that have the best profitability effect, irrespective of whether or not they have an impact on staff numbers

REALISED EFFECTS AS OF 30 SEPTEMBER 2010 (excluding Bank 1 Oslo)

A large part of the reduction in annual full time equivalents comes from natural reduction in the use of temporary staff

Realisation of staffing consequences over time (annual full-time equivalents, cumulative)

Realised so far

Planned

40

21

1919

10

777

21

18

12

9

7

2189

7171

59

46

29

14

84

70

61

44

25

14


SUB-PROJECT Bank 1 Oslo REPORT DATE 15/10/2010


Q1-10Q4-09Q3-09Q2-09 Q2-10 Q4-10Q3-10 Q4-10Q3-10Q2-10Q1-10Q4-09Q3-09Q2-09

As of 1 January 2010, the reports for SB1 Gruppen do not include Bank 1 Oslo, but the bank is still part of the Delta Project

Realised so far

Planned

Realised so far

Planned


Presentation of results Q3 2010 - SpareBank 1 Gruppen

Investor Relations

Transcript of Presentation of results Q3 2010 - SpareBank 1 Gruppen