New financial targets
Swedbank’s Board of Directors decided in early 2011 to introduce a profitability target and a capitalisation target as well as to amend the bank’s dividend policy.
The return on equity shall amount to 15 per cent. For 2010, the return was 8.1 per cent.
Our priorities in 2010 were to reduce risks in the bank, adapt operations to lower business volumes and take a comprehensive approach to responsibilities, governance and control.
Our priorities in 2011 shifts focus from crisis management to optimi-
sing operating effectiveness. We shall also grow in prioritised areas.
Prior to 2010 we expected a gradually rising profit trend. In fact, we now see that profit for the full-year was stronger than anticipated, largely thanks to the recovery in the Baltic countries, which resulted in significantly lower credit impairments.
CEO Michael Wolf summarises the year.