SPARBANK's profit before tax was DKK 67.8m against DKK 98.7m in H1 2008. This
corresponds to a return on equity of 10.0%. The profit includes expenses for
the Danish Contingency Committee of DKK 53.1m.
The profit before impairment, market value adjustments and expenses for the
Danish Contingency Committee rose DKK 62.4m to DKK 178.3m.
Core earnings before impairment rose DKK 7.6m to DKK 140.4m.
SPARBANK's solvency exceeds the statutory minimum requirement of 8%. The
solvency ratio was 11.0 as at 30 June 2009. The bank has filled out an
application for participation in Bank Package II. In connection with an
injection of hybrid core capital of approx. DKK 480m, the solvency and core
capital ratios are expected to increase to 12 and 14, respectively.
The negotiations with the Danish government have now progressed to such an
extent that the loan is expected to be finished within a month. However, in
order to obtain final approval of the raising of the loan, the general meeting
must adopt a change to the bank's Articles of Association for which reason an
extraordinary general meeting will be held.
As indicated by the bank in connection with the publication of its 2008 annual
report, the bank expects a small increase in core earnings before impairment
for 2009 as a whole.
