Q1 2008 results

Comment by the CEO
The first quarter of 2008 gave us reason to be positive but included challenges as well. On the positive side, Swedbank’s core business with households and corporations continued growing strongly in all markets. We are also pleased to see that the gradual slowdown in the Baltic countries has continued at the pace we had expected.
Among the challenges were the international credit markets, where the price of risk continued to rise. Developments have to some extent affected the valuation of the bank’s assets and, as a result, its earnings. The relatively small changes in Swedbank’s case are unrealized, and when markets normalize this should have a correspondingly positive impact. A slowdown in merger and acquisition activity in Sweden and Norway during the first quarter resulted in lower commission income. However, the prospects of higher activity in the remainder of the year are considered positive.