SBAB's operating profit for January-September increased to SEK 1,091 million (345)

SBAB's operating profit for the first nine months of the year rose to
SEK 1,091 million (345). The loan portfolio continued to grow,
increasing 17% to SEK 215.1 billion (184.0). SBAB's share of the
lending market continued to expand to 9.3% (8.6). SBAB's deposit
volume during the period also rose to SEK 4.4 billion (3.5). Loan
losses totalled SEK 65 million, net (recoveries: 1).
"SBAB had a highly favourable profit trend and low loan losses. It is
also extremely gratifying that we maintained a large inflow of
customers and continued to capture market shares," says SBAB's CEO,
Eva Cederbalk.


Significant improvement in operating profit
SBAB's operating profit for the period increased to SEK 1,091 million
(345). Net interest income continued to grow, amounting to SEK 1,062
million (931). One contributing factor was the substantial increase
in volumes in the lending operations. The positive performance of the
liquidity portfolio also contributed to the improvement in operating
profit. The item "Net income/expense from financial items measured at
fair value" amounted to income of SEK 541 million (expense: 222).
Expenses rose to SEK 421 million (373) due to the company's strong
business flow and the performance of SBAB's operations. Annualised
loan losses totalled a mere 0.047% (neg: 0.001). Loan losses remained
extremely low and amounted to SEK 65 million, net (recoveries: 1).

Large inflow of customers
SBAB maintained a substantial inflow of customers during the period.
New lending increased significantly, amounting to SEK 47.0 billion
(22.9). Total lending rose 17% to SEK 215.1 billion (184.0).  Lending
to the retail market amounted to SEK 129.8 billion (116.8). New
lending totalled SEK 25.5 billion (14.3). SBAB's market share in this
segment increased to 7.9% (7.5). Demand for lending to the corporate
market and tenant-owner associations was also high. Lending to the
corporate market and tenant-owner associations amounted to SEK 85.3
billion (67.1). New lending totalled SEK 21.4 billion (8.6). SBAB's
market share in this segment rose to 13.0% (11.4).

New savings alternatives for the corporate market and tenant-owner
associations
SBAB's deposits rose 25% to SEK 4.4 billion (3.5) at the end of the
period. The high demand for SBAB's savings accounts declined somewhat
as a result of falling interest rates. SBAB has broadened its
operations in 2009 and now also offers deposits for the corporate
market and tenant-owner associations. SBAB offers the corporate
market and tenant-owner associations the following alternatives: SBAB
accounts at floating interest rates, investment accounts at fixed
interest rates and special deposits with individual terms. SBAB
already offers two types of savings accounts targeted at private
individuals.

More stable funding
SBAB attaches considerable importance to having a well-diversified
funding portfolio, which requires an active market presence and a
flexible range of products. The third quarter of 2009 was
characterised by increased stability in global money and capital
markets in relation to earlier periods. On 6 August, SBAB conducted
an issue totalling EUR 1 billion under its EMTN programme. Funding
through the issuance of covered bonds is effected through SBAB's
wholly owned subsidiary The Swedish Covered Bond Corporation (SCBC).
The credit rating agencies Moody's and Standard & Poor's have set a
credit rating of Aaa/AAA for the covered bonds issued.

During the year, SBAB and SCBC joined the Swedish Government's
guarantee programme for medium-term funding. Issues under the
guarantee programme were conducted exclusively in SBAB and the
outstanding issue volume totalled SEK 25.9 billion (-). SBAB
repurchased government-guaranteed securities valued at SEK 1.3
billion in September and SEK 4.9 billion in October. In view of the
improvement in financial markets, SBAB and SCBC opted not to extend
their participation in the guarantee programme.

The total value of outstanding securities issued in the SBAB Group
was SEK 232.0 billion (198.7).


For further information:
Eva Cederbalk, CEO, SBAB
Telephone: +46-8-614 43 01
Mobile: +46-70-523 23 02
eva.cederbalk@sbab.se

Lena Hedlund, Chief Communication Officer, SBAB
Telephone: +46-8-614 38 49
Mobile: +46-70-858 07 25
lena.hedlund@sbab.se