Swedbank to redeem two subordinated bonds

Press Release February 8, 2010

Swedbank to redeem two subordinated bonds

Swedbank  will redeem two of its outstanding subordinated bonds; the Hybrid Tier
1 subordinated bond (ISIN XS0109209493) in the amount of USD 300 000 000 and the
Lower Tier 2 subordinated bond (ISIN XS0216216845) in the amount of USD 246 550
000. Each redemption will take place on the first available date being March 17,
2010 for the Hybrid Tier 1 bond and April 30, 2010 for the Lower Tier 2 bond.

Swedbank has at this point no intention to replace either of these bonds by
issuing new subordinated instruments. This statement is in line with Swedbank's
previous announcement regarding its view that the continued ability to support
the Bank's balance sheet should be secured by its core Tier 1 capital. 

“The current pricing of subordinated debt relative to other forms of capital, is
not in our view reflecting the benefit given by the market, regulators and
credit agencies for these instruments. We continuously review the Bank's capital
composition, not least considering the upcoming regulatory changes. However, at
this point we do not plan for a new issue of subordinated debt” says Jonas
Erikson, Head of Treasury at Swedbank. 

Finansinspektionen (SFSA) has given its approval to both redemptions. 


For further information please contact:
Thomas Backteman, Head of Corporate Communications, Swedbank, phone:+46 708 311
166

Swedbank's vision is to be the leading financial institution in the markets
where we are present. Swedbank has 9.5 million retail customers and 600,000
corporate customers with 389 branches in Sweden, 235 branches in the Baltic
countries and another 218 branches in Ukraine. The group is also present in
Copenhagen, Helsinki, Kaliningrad, Luxembourg, Moscow, New York, Oslo, Shanghai,
S:t Petersburg and Tokyo. As of September 30 2009 the group had total assets of
SEK 1,815 billion and approximately 20,000 employees. For more information about
Swedbank, please visit www.swedbank.com