Føroya Banki's net profit for 2007 was DKK 180m before tax, which corresponds to the projections in the 2007 Q3 Interim Report Net interest and fee income amounted to DKK 339m compared to DKK 275m. This is a 23% increase. The reason is a large increase in loans and increased fee income. The result from net financials amounted to DKK 364m for 2007, which is a DKK 84m or a 30% increase compared to the 2006 result Employee and administrative expenses increased by 34% to DKK 206m in 2007 compared to 2006. The reasons are e.g. expenses in connection with the establishment of a subsidiary bank in Denmark. The Bank's loans amounted to DKK 7.5bn at 31 December 2007, which is a 39% increase. The increase is mainly funded through long-term loans from financial institutions The Bank's solvency ratio was 17.9% and liquidity was 103% above statutory requirements Outlook 2008 Føroya Banki expects a pre-tax profit for 2008 in the range of DKK 165m - 185m. Net interest income is expected to increase by 8 -14% in 2008 based on a growth in the loan portfolio Fee income is expected to increase by 8 -12% Employee and administrative expenses are expected to increase by 0 - 5%, mostly due to expenses connected with the establishment of a subsidiary bank in Denmark Loans and deposits are expected to increase by 5 -10% in 2008 in correspondence with the expected economic growth in 2008