H1 Interim Report - Forstædernes Bank A/S

1 January 2009 - 30 June 2009

Financial highlights

- Core earnings after impairment losses came to a loss of DKK 1,374m in H1/2009
against a profit of DKK 144m in H1/2008, mainly due to impairment losses of DKK
1,390m in H1/2009 against DKK 95m in H1/2008. 
- The investment portfolio generated a loss of DKK 1m in H1/2009 compared with
a loss of DKK 100m in the same period last year. 
- Forstædernes Bank recorded a loss before tax of DKK 1,375m in H1/2009 against
a profit before tax of DKK 44m in H1/2008. After tax, the loss totalled DKK
1,041m against a profit of DKK 31m in 2008. 

H1/2009 in brief

- Rise in net interest income from business operations.
- Higher costs, mainly resulting from expenditure on the government guarantee
scheme. 
- Total business volume of DKK 56.8bn at end-June 2009, down by DKK 14.3bn
compared with the same time last year and DKK 2.6bn below the level at
end-2008. The decrease chiefly resulted from a market-driven fall in custody
volumes and the reduction of loans and advances due to impairment losses. 
- Deposits increased and loans and advances decreased, thereby reducing the
Bank's deposit deficit. 
- The Bank is in a solid and comfortable liquidity and funding situation, which
is underscored by an excess cover to the tune of DKK 7.3bn, or 220%, relative
to the 10% requirement prescribed by section 152 of the Danish Financial
Business Act. 
- Capital adequacy ratio of 17.0% and capital need set at 15.9% at 30 June 2009.
- By the end of August, the Bank's core capital will be raised by DKK 1.15bn to
DKK 3.9bn through a capital contribution from Nykredit Realkredit A/S. In
addition, the current subordinate loan capital of DKK 0.35bn will be
prematurely redeemed. 

Forstædernes Bank's H1 Interim Report is available at forbank.dk and
nykredit.com. 

Contacts
Peter Engberg Jensen, Chairman, Nykredit - Tel +45 44 55 16 50
Niels Fessel, Managing Director - Tel +45 44 55 30 05