Swedbank's Interim report Q2 2014

Swedbank – Interim report January-June 2014 Page 1 of 60
Second quarter 2014
Compared with first quarter 2014
 The result for continuing operations amounted to SEK 4 369m (3 980m)
1)
 Earnings per share for continuing operations amounted to SEK 3.96 (3.62)
before dilution and SEK 3.94 (3.59) after dilution
 The return on equity for continuing operations was 16.6 per cent (14.6)
 The cost/income ratio was 0.47 (0.45), excluding Sparbanken Öresund
0.43
 Net interest income amounted to SEK 5 521m (5 483), excluding
Sparbanken Öresund SEK 5 473m
 Profit before impairments increased by 9 per cent to SEK 5 536m (5 094)
Excluding Sparbanken Öresund it amounted to SEK 5 698m
 Swedbank reported credit impairments of SEK 30m (recoveries 100)
 The Common Equity Tier 1 ratio was 20.9 per cent (18.3 per cent as of 31
December 2013), including use of the advanced internal ratings-based
approach
3)
January-June 2014
Compared with January-June 2013
 The result for the period for continuing operations amounted to SEK
8 349m (7 394)
1)
 Earnings per share for continuing operations amounted to SEK 7.58 (6.73)
before dilution and SEK 7.53 (6.69) after dilution
2)
 The return on equity for continuing operations was 15.5 per cent (14.7)
 The cost/income ratio was 0.46 (0.45), excluding Sparbanken Öresund
0.44
 Net interest income increased by 2 per cent to SEK 11 004m (10 762),
excluding Sparbanken Öresund SEK 10 956m
 Profit before impairments increased by 7 per cent to SEK 10 630m (9 892),
excluding Sparbanken Öresund SEK 10 792m
 Swedbank reported recoveries of SEK 70m (credit impairments 148)
1)
Russia and Ukraine are reported as discontinued operations. The Ukrainian operations were
divested during the second quarter 2013.
2)
Including deduction of preference share dividend, earnings per share for Jan-Jun 2013 were
SEK 3.07 for total operations after dilution. The calculations are specified on page 53.
3)
The Common Equity Tier 1 ratios for 2013 are based on Swedbank’s previous calculations
according to the new regulations.
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
Q2-
2013
Q3-
2013
Q4-
2013
Q1-
2014
Q2-
2014
SEKm
Profit for the quarter, continuing
operations
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
4,0
4,5
5,0
Q2-
2013
Q3-
2013
Q4-
2013
Q1-
2014
Q2-
2014
SEK
Earnings per share after dilution,
continuing operations
0,0
2,0
4,0
6,0
8,0
10,0
12,0
14,0
16,0
18,0
20,0
Q2-
2013
Q3-
2013
Q4-
2013
Q1-
2014
Q2-
2014
%
Return on equity, continuing
operations
14,0
15,0
16,0
17,0
18,0
19,0
20,0
21,0
22,0
Q2-
2013
Q3-
2013
Q4-
2013
Q1-
2014
Q2-
2014
%
Common Equity Tier 1 capital ratio, %,
Basel 3

CEO Comment
The global recovery is continuing, albeit at a slower
pace – the US economy is growing steadily, whereas
growth in Europe is more divided. Economic activity in
Sweden continued to grow during the second quarter,
and in addition to strong domestic demand we saw
signs of increased credit demand in the commercial
sector for the first time in a while.
Higher profit and strong volume growth
Swedbank’s profit for the second quarter was strong.
Lower market interest rates affected net interest income
negatively, while increased lending and deposit volumes
contributed positively. Notably, the quarter saw
increased activity among our corporate customers and
growth in urban areas. Lending volumes rose by nearly
SEK 50bn during the quarter, with Sparbanken Öresund
accounting for just over SEK 16bn. At the same time
increased savings, coupled with a favourable stock
market climate, strengthened the profit.
Swedbank’s acquisition of Sparbanken Öresund was
finalised in May and integration work has begun. In the
near term we are focusing on our new customers and
on capitalising on cost synergies.
The bank’s low risk entails lower funding costs
Swedbank’s Common Equity Tier 1 ratio was 20.9 per
cent at the end of the quarter. In May the Swedish
Financial Supervisory Authority published its proposed
capital requirements, but we need further clarification
before we set a new capital target. It seems
contradictory, however, that Swedbank, which according
to the Swedish Financial Supervisory Authority’s and the
Riksbank’s own stress tests has the lowest aggregate
risks of any major Swedish bank, should have the
highest capital requirement.
The bank's low risk and solid capitalisation were noted
by the ratings agencies Fitch and S&P during the
quarter. Fitch raised its outlook for Swedbank’s credit
rating to positive and S&P upgraded the bank's
individual rating by one notch to A while at the same
time reaffirming Swedbank’s long-term rating of A+. The
bank’s low risk further reduced our funding costs during
the quarter.
New head office will increase customer value
In early June we moved into our new head office in
Sundbyberg. The move supports our aim to be the most
cost-effective bank and offers a new way of working.
The new, open-plan offices invite cooperation and
discussion between employees, which in the long run
will increase customer value.
During the quarter we introduced new solutions that
make daily life a little easier for our customers: card
payments by smartphone (Babs Micro), Swish corporate
for mobile payments between consumers and
businesses, and a spending tracker, “Utgiftskollen”,
which attracted 150 000 customers in its first month.
“Swish” payments between retail customers continue to
grow, with 144 000 new customers during the quarter
and a 90 per cent increase in the number of
transactions. Moreover, we decided to keep the Swish
service free for retail customers.
Swedish housing shortage – more to be done
The political debate leading up to this autumn's
parliamentary election in Sweden has intensified. The
Riksbank’s rate cut puts the burden on legislators and
regulators to take action to slow the growth in household
debt and to build more housing. New construction and
opportunities for increased mobility in the housing
market are key issues for Sweden, especially since a
solution to the severe housing shortage is critical to the
country’s long-term growth prospects.
Requiring homeowners to amortise their mortgages,
which has also been on the agenda, will have a
sustainable, positive effect on our customer finances
and will benefit Sweden in the long term.
Global changes required greater cost efficiencies
Despite our strong profit, the banking sector is in a
tumultuous stage where low interest rates, regulatory
changes, technological developments and increased
competition are making it necessary to quickly adapt,
especially in the Swedish retail market. Cutting costs
through efficiencies when developing our offerings and
ensuring that the underlying processes our customers
rely on when using our services are as automated as
possible is critical in order to create sustainable value
for both our customers and shareholders. Our cost-
savings goals for 2014 remain firm. Costs will be held at
the same level as in 2013, excluding additional costs for
the acquisition of Sparbanken Öresund.
Michael Wolf
President and CEO

Table of contents
Page
Financial summary 4
Overview 6
Market 6
Important events during the quarter 6
Second quarter 2014 compared with first quarter 2014 6
Result 6
January-June 2014 compared with January-June 2013 8
Result 8
Credit and asset quality 9
Stress test – Capital Adequacy Process 2014 10
Funding and liquidity 10
Ratings 10
Capital and capital adequacy 11
Market risk 12
Operational risks 12
Other events 13
Events after 30 June 2014 13
Business segments
Swedish Banking 14
Large Corporates & Institutions 16
Baltic Banking 18
Group Functions & Other 20
Eliminations 22
Product areas 23
Financial information
Group
Income statement, condensed 28
Statement of comprehensive income, condensed 29
Key ratios 30
Balance sheet, condensed 31
Statement of changes in equity, condensed 32
Cash flow statement, condensed 33
Notes 33
Parent company 55
Signatures of the Board of Directors and the President 59
Review report 59
Contact information 60
More detailed information can be found in Swedbank’s fact book, www.swedbank.com/ir, under Financial information and
publications.

Financial summary
Income statement Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Net interest income 5 521 5 483 1 5 409 2 11 004 10 762 2
Net commission income 2 813 2 693 4 2 525 11 5 506 4 913 12
Net gains and losses on financial items at fair value 773 345 296 1 118 853 31
Other income 1 348 799 69 749 80 2 147 1 533 40
Total income 10 455 9 320 12 8 979 16 19 775 18 061 9
Staff costs 2 901 2 437 19 2 391 21 5 338 4 749 12
Other expenses 2 018 1 789 13 1 735 16 3 807 3 420 11
Total expenses 4 919 4 226 16 4 126 19 9 145 8 169 12
Profit before impairments 5 536 5 094 9 4 853 14 10 630 9 892 7
Impairment of intangible assets 1 0 170 -99 1 170 -99
Impairment of tangible assets 69 135 -49 202 -66 204 287 -29
Credit impairments 30 -100 88 -66 -70 148
Operating profit 5 436 5 059 7 4 393 24 10 495 9 287 13
Tax expense 1 063 1 074 -1 913 16 2 137 1 889 13
Profit for the period from continuing operations 4 373 3 985 10 3 480 26 8 358 7 398 13
Profit for the period from discontinued operations, after tax -230 -27 -1 887 -88 -257 -2 277 -89
Profit for the period 4 143 3 958 5 1 593 8 101 5 121 58
Profit for the period attributable to the shareholders of
Swedbank AB 4 139 3 953 5 1 592 8 092 5 117 58
Income statement for the Group excluding Sparbanken
Öresund Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Net gains and losses on financial items at fair value 775 345 296 1 120 853 31
Other income 872 799 9 749 16 1 671 1 533 9
Total income 9 915 9 320 6 8 979 10 19 235 18 061 7
Staff costs 2 461 2 437 1 2 391 3 4 898 4 749 3
Other expenses 1 757 1 789 -2 1 735 1 3 546 3 420 4
Total expenses 4 218 4 226 0 4 126 2 8 444 8 169 3
Impairment of intangible assets 1 0 170 -99 1 170 -99
Tax expense 1 200 1 074 12 913 31 2 274 1 889 20
Swedbank AB 4 167 3 953 5 1 592 8 120 5 117 59
Cost/income ratio 0.43 0.45 0.46 0.00 0.44 0.45

Key ratios and data per share including
Sparbanken Öresund Q2 Q1 Q2 Jan-Jun Jan-Jun
2014 2014 2013 2014 2013
Return on equity, continuing operations, % 16.6 14.6 14.1 15.5 14.7
Return on equity, total operations, % 15.8 14.5 6.5 15.1 10.1
Earnings per share before dilution,
continuing operations, SEK 1)
3.96 3.62 3.16 7.58 6.73
Earnings per share after dilution,
continuing operations, SEK 1)
3.94 3.59 3.15 7.53 6.69
Cost/income ratio 0.47 0.45 0.46 0.46 0.45
Loan/deposit ratio, % 189 195 186 189 186
Common Equity Tier 1 capital ratio, %, Basel 3 2)
20.9 18.3 17.2 20.9 17.2
Tier 1 capital ratio, %, Basel 3 2)
22.1 19.4 18.6 22.1 18.6
Total capital ratio, %, Basel 3 2)
25.3 22.0 19.6 25.3 19.6
Credit impairment ratio, % 0.01 -0.03 0.03 -0.01 0.02
Share of impaired loans, gross, % 0.44 0.45 0.76 0.44 0.76
Total provision ratio for impaired loans, % 56 60 54 56 54
Balance sheet data including Sparbanken Öresund 30 Jun 31 Dec 30 Jun
SEKbn 2014 2013 % 2013 %
Loans to the public 1 323 1 265 5 1 246 6
Deposits and borrowings from the public 697 621 12 673 4
Shareholders' equity 108 110 -2 101 6
Total assets 2 052 1 824 12 1 886 9
Risk exposure amount, Basel 3 2)
407 441 -8 459 -11
1)
Including deduction of the preference share dividend, earnings per share for January-Jun 2013 were SEK 3.07 for total operations after dilution. The
calculations are specified on page 53.
2)
The capital ratios for 2013 are based on Swedbank knowledge of the new regulations at that point in time.
The key ratios are based on profit and shareholders’ equity attributable to shareholders of Swedbank.

Overview
Market
The global economic recovery is continuing, though at a
slower pace. North America and Europe are the
engines, while growth has slowed in most emerging
markets. Growth in China has stabilised, however, and
concerns about a sharp deceleration have diminished.
In the eurozone, the slow recovery is continuing, but
with considerable differences between countries.
The Swedish economy is generating solid growth. The
driver is domestic demand, primarily consumer
spending and construction investment. Exports are
being held in check by weak external demand. During
the first quarter GDP growth was 1.9 per cent. At the
same time recent economic indicators point to a
continued recovery in the Swedish economy.
Due to weak international growth and low resource
utilisation, global inflation is very low. To address the
risk of deflation, monetary policies in Europe and North
America have been highly expansive. The Riksbank and
the European Central Bank (ECB) both recently cut their
benchmark rates, and a further stimulus from the ECB
remains a possibility. Higher growth in the US is
allowing the Federal Reserve (Fed) to continue tapering
its bond buying, which is expected to come to an end
this autumn.
Long-term bond yields fell, mainly in Europe but also in
the US, despite the Fed’s reduced bond purchases. Low
global inflation, geopolitical uncertainty in Ukraine and
the Middle East, and expectations of continued low
interest rates are keeping pressure on yields. US short-
term yields have risen slightly of late, however.
Growth in the Baltic economies slowed during the first
quarter to 3.2 per cent in Lithuania, 2.8 per cent in
Latvia and turned negative in Estonia at -1.4 per cent.
With weak demand in major export markets, domestic
demand is again driving growth, though to varying
degrees. Investment was highest in Lithuania and
moderate in Estonia and Latvia. Household
consumption growth was also slightly faster in Lithuania,
but slowed down in all three countries. Exports started
to recover in Estonia and Latvia but fell in Lithuania in
early 2014 owing to problems in certain sectors. One
threat to growth in the Baltic countries is weaker
economic performance in key export markets, especially
in Finland and Russia. The biggest domestic risk stems
from the labour market. Productivity growth in the Baltic
countries has recently lagged behind wage growth,
especially in Estonia and Latvia, implying a rise in
labour costs. Rapid wage growth has not yet pushed
prices higher, however.
The Stockholm stock exchange (OMXSPI) gained 6 per
cent during the first half-year. The Tallinn stock
exchange (OMXTGI) fell by 1.9 per cent and the Riga
stock exchange (OMXRGI) by 2.6 per cent, while the
Vilnius stock exchange (OMXVGI) gained 11.9 per cent.
Important events during the quarter
During the first quarter Swedbank acquired Sparbanken
Öresund as a way of strengthening its market position in
its home markets. The Swedish Financial Supervisory
Authority approved the acquisition on 16 May and,
having received all the necessary approvals, the
acquisition was finalised on 20 May and the integration
process begun. Sparbanken Öresund affects
Swedbank’s profit as of 21 May to 30 June, as indicated
in the table below and throughout the report. The
financial effects are in line with the analysis conducted
at the time of acquisition, but with adjustments between
certain items. Integration costs in the form of
restructuring costs have been slightly higher than
previously estimated. At the same time greater surplus
values have been identified in the acquired business
and credit quality proved to be higher. As of the third
quarter the acquisition of Sparbanken Öresund will no
longer be shown separately in Swedbank’s financial
reports. Costs associated with the acquisition are
slightly higher than previously estimated and the
Group’s cost objective for 2014 have been adjusted to
SEK 17.7bn. Costs excluding Sparbanken Öresund will
be unchanged compared with 2013, in accordance with
previous guidance.
Impact of Sparbanken
Öresund Running
SEKm business One-offs Total
Net interest income 48 0 48
Net commission income 18 0 18
Net gains and losses on
financial items at fair value -2 0 -2
Other income 15 461 476
Total income 79 461 540
Staff costs 47 393 440
Other expenses 39 222 261
Total expenses 86 615 701
Credit impairments 4 0 4
Tax expense -2 -135 -137
Profit for the period
attributable to the
shareholders of
Swedbank AB -9 -19 -28
On 13 June Swedbank received approval from the
Swedish Financial Supervisory Authority to use the
advanced internal ratings-based (A-IRB) approach for
its corporate exposures in Sweden and Norway. This
reduced the risk exposure amount by SEK 72.9bn,
slightly more than previously estimated.
In early June Swedbank moved into its new head office
in Sundbyberg. The move will reduce costs and the
new, open-plan offices will encourage greater internal
cooperation. This will lead to efficiencies in the
development of new and better offerings for our
customers.
Second quarter 2014
Compared with first quarter 2014
Result
The quarterly result rose by 5 per cent to SEK 4 139m
(3 953). Income and expenses both increased.
Expenses, excluding the acquisition of Sparbanken
Öresund, were stable. Credit impairments were reported
during the quarter, compared with net recoveries during
the first quarter. Profit for continuing operations
amounted to SEK 4 369m (3 980). Discontinued
operations generated a loss of SEK 230m (-27), of
which SEK 223m is a cumulative negative exchange
rate difference that was reclassified to profit and loss
from other comprehensive income and relates to the

winding down of the Russian operations. This does not
affect equity or the 2014 dividend. Remaining equity in
the Russian operations amounts to SEK 212m, with
remaining negative FX differences of SEK 11m as of
30 June.
Profit before impairments increased by 9 per cent to
SEK 5 536m (5 094). Sparbanken Öresund reported a
loss before impairments of SEK 162m, excluding this
Swedbank’s profit increased by 12 per cent. Group
Treasury within Group Functions & Other and Swedish
Banking and Baltic Banking contributed to the increase,
while LC&I’s profit decreased from a high level.
Profit before
impairments
by business segment Q2 Q1 Q2
SEKm 2014 2014 2013
Swedish Banking
excl Sparbanken Öresund 3 198 2 979 2 924
Sparbanken Öresund -161 0 0
Large Corporates &
Institutions 1 141 1 277 1 091
Baltic Banking 975 885 838
Group Functions & Other 383 -5 55
Total excl FX effects 5 536 5 136 4 908
FX effects 0 -42 -55
Total 5 536 5 094 4 853
Credit impairments amounted to SEK 30m (net
recoveries 100). Swedish Banking and LC&I reported
low credit impairments, while Baltic Banking reported
continued net recoveries, albeit lower than in the
previous quarter.
Tangible asset writedowns decreased to SEK 69m (135)
and primarily relate to the writedown of Ektornet’s
property values, the large part of which is attributable to
the US.
The return on equity for continuing operations was
16.6 per cent (14.6). The cost/income ratio was 0.47
(0.45). Excluding Sparbanken Öresund the cost/income
ratio was 0.43.
Income increased by 12 per cent to SEK 10 455m
(9 320). Excluding Sparbanken Öresund income rose by
6 per cent. Sparbanken Öresund accounted for
SEK 540m. Net gains and losses on financial items at
fair value, net commission income and other income all
increased, while net interest income was stable.
Net interest income was stable in all business segments
at SEK 5 521m (5 483). Sparbanken Öresund
contributed SEK 48m. Lower market interest rates
affected Swedish Banking’s net interest income
negatively, while higher lending volumes in Swedish
Banking and LC&I contributed positively. The margin on
corporate lending within LC&I was stable, but increased
slightly in Baltic Banking. Mortgage margins for the
Swedish portfolio as a whole were stable, but increased
slightly at the end of the quarter.
Net commission income rose to SEK 2 813m (2 693).
Sparbanken Öresund accounted for SEK 18m. The
trend for Swedish Banking and Baltic Banking was
positive, while net commission income decreased within
LC&I. The increase in net commission income was
mainly due to higher income from cards and asset
management. Payment commissions increased due to
the reversal of a previous provision of SEK 35m in
Lithuania. Income from Corporate Finance remained
strong and was in line with the previous quarter.
Net gains and losses on financial items at fair value rose
to SEK 773m (345). Group Treasury, which accounted
for the largest increase, benefited from the positive
effects of falling interest rates, and also from lower
covered bond repurchases and a change in valuation of
SEK 80m related to a strategic shareholding. Net gains
and losses on financial items at fair value within LC&I
remained strong, in line with the first quarter. A negative
translation difference of SEK 74m was recognised
during the first quarter in Ektornet within Group
Functions & Other related to the depreciation of the
Ukrainian currency, the hryvnia.
Other income increased by 69 per cent to SEK 1 348m
(799). Sparbanken Öresund accounted for SEK 461m
due to a bargain purchase gain in connection with the
acquisition. During the second quarter one-off income of
SEK 230m was recognised in Share related to
associates for Entercard (see also page 24).
Expenses rose by 16 per cent to SEK 4 919m (4 226).
Expenses attributable to Sparbanken Öresund
amounted to SEK 701m, of which SEK 615m refers to
one-off expenses in connection with the acquisition.
Excluding Sparbanken Öresund expenses were stable
with slightly higher staff costs and marketing expenses.
SEK 57m (79) was expensed during the second quarter
related to the move of the head office to Sundbyberg.
Expense analysis
Group Q2 Q1 Q2
SEKm 2014 2014 2013
Swedish Banking
excl Sparbanken Öresund 2 491 2 443 2 392
Sparbanken Öresund 701 0 0
Large Corporates &
Institutions 804 834 834
Baltic Banking 621 623 628
Group Functions & Other and
eliminations 302 343 309
Total excl FX effects 4 919 4 243 4 163
FX effects 0 -17 -37
Total 4 919 4 226 4 126
The number of full-time employees increased during the
quarter due to the acquisition of Sparbanken Öresund.
Excluding Sparbanken Öresund the number of full-time
employees declined by 36.
The tax expense amounted to SEK 1 063m (1 074),
corresponding to an effective tax rate of 19.6 per cent
(21.2). The first quarter was negatively affected by non-
deductible property writedowns in the US and Ukraine.
The second quarter was positively affected by the
acquisition of Sparbanken Öresund. The bargain
purchase gain is not taxable.

January-June 2014
Compared with January-June 2013
Result
The result for the period increased by 58 per cent to
SEK 8 092m (5 117). Income and expenses both
increased, while credit impairments decreased.
Fluctuations in exchange rates, primarily the
depreciation of the Swedish krona against the euro and
the Lithuanian litas, increased profit by SEK 79m. The
result for continuing operations was SEK 8 349m
(7 394) and for discontinued operations was SEK -257m
(-2 277). During the first half-year 2013 SEK -1 875m
was reclassified to profit or loss from other
comprehensive income related to the sale of the
Ukrainian operations, compared with a corresponding
reclassification of SEK -223m during the first half of this
year for the winding down of the Russian operations.
Profit before impairments increased by 7 per cent to
SEK 10 630m (9 892). Profit increased in all business
segments as a result of higher income. Profit increased
the most in Baltic Banking. Expenses excluding
Sparbanken Öresund increased slightly compared with
the previous year.
Net recoveries of SEK 70m were recognised during the
first half-year 2014, compared with credit impairments of
SEK 148m a year earlier. Baltic Banking reported
recoveries, while Swedish Banking reported minor credit
impairments. Tangible asset writedowns amounted to
SEK 204m (287), a decrease attributable to Ektornet.
Intangible asset writedowns decreased to SEK 1m
(170). During the first half year 2013 internally
developed software was written down by SEK 170m.
Profit before
impairments
by business segment Jan-Jun Jan-Jun ∆
SEKm 2014 2013 SEKm
Swedish Banking
excl Sparbanken Öresund 6 177 5 903 113
Sparbanken Öresund -161 0 0
Large Corporates &
Institutions 2 406 2 165 241
Baltic Banking 1 833 1 565 268
Group Functions & Other 375 345 30
Total excl FX effects 10 630 9 978 652
FX effects 0 -86 86
Total 10 630 9 892 738
The return on equity for continuing operations was 15.5
per cent (14.7). The cost/income ratio was 0.46 (0.45).
Excluding Sparbanken Öresund the cost/income ratio
was 0.44.
Income rose by 9 per cent to SEK 19 775m (18 061).
Sparbanken Öresund’s income amounted to SEK 540m.
All business segments contributed to the higher income.
Stronger commission income contributed the most,
while other income excluding one-off effects decreased.
Changes in exchange rates increased income by
SEK 136m.
Net interest income rose by 2 per cent to SEK 11 004m
(10 762). In Baltic Banking, increased deposit volumes,
higher market interest rates and the repricing of
corporate lending all contributed positively. LC&I
improved the margins on its lending portfolio slightly,
and higher volumes also contributed positively. In
Swedish Banking, net interest income was stable; the
positive effects of the higher lending volumes were
offset by margin pressure on deposits. Fluctuations in
exchange rates increased net interest income by
SEK 72m.
Net commission income rose by 12 per cent to SEK
5 506m (4 913). Higher commission income from asset
management due to a favourable stock market climate
and net inflows contributed the most to the increase.
Corporate finance and loan-related income within LC&I
increased as well.
Net gains and losses on financial items at fair value
increased by 31 per cent to SEK 1 118m (853). Net
gains and losses on financial items at fair value within
Group Treasury in Group Functions & Other improved.
During the first half-year 2014 a change in the value of a
strategic shareholding had a positive effect of SEK 80m.
In 2013 the repurchase of government guaranteed
bonds affected net gains and losses negatively. Net
gains and losses on financial items at fair value within
LC&I improved slightly.
Other income increased by 40 per cent to SEK 2 147m
(1 533). The acquisition of Sparbanken Öresund during
the second quarter 2014 resulted in a bargain purchase
gain of SEK 461m. In Share of the profit or loss of
associates a one-off income of SEK 230m was
recognised for Entercard (see also page 24). Sales
activity within Ektornet was lower during the first half
year than in the previous year since the portfolio is now
significantly smaller. This negatively affected other
income. Expenses increased by 12 per cent to
SEK 9 145m (8 169). Excluding Sparbanken Öresund
expenses rose by 3 per cent. Expenses increased the
most within LC&I. Staff costs within the Group rose as a
result of a higher number of advisors and IT-related staff
as well as salary adjustments. IT development
expenses increased as well. Reduced cash handling
and the outsourcing of ATMs led to lower expenses for
transport and security. During the first half-year 2014
SEK 136m was expensed within Group Functions &
Other for the move of the head office, at the same time
that expenses for Ektornet continued to decrease.
Changes in exchange rates raised expenses by
SEK 51m.
Expense analysis
Group Jan-Jun Jan-Jun ∆
SEKm 2014 2013 SEKm
Swedish Banking
excl Sparbanken Öresund 4 934 4 791 844
Sparbanken Öresund 701 0 0
Large Corporates &
Institutions 1 638 1 557 81
Baltic Banking 1 228 1 241 -13
Group Functions & Other and
eliminations 644 631 13
Total excl FX effects 9 145 8 220 925
FX effects 0 -51 51
Total 9 145 8 169 976
The number of full-time employees increased year-on-
year by 331. Excluding the acquisition of Sparbanken
Öresund, the number of full-time employees decreased
by 117. Baltic Banking reduced the number of full-time

employees by 417. Ektornet (Group Functions & Other)
also reduced its number of employees. IT-related
personnel within Group Functions & Other and the
number of full-time employees within Swedish Banking
and LC&I increased.
The tax expense amounted to SEK 2 137m (1 889),
corresponding to an effective tax rate of 20.4 per cent
(20.3). The first half-year 2014 was negatively affected
by the new policy on profit distributions from the Baltic
operations. This means that about 60 per cent of profits
generated by the Baltic subsidiaries from 2014 and
going forward will be distributed to the parent company,
Swedbank AB. Profit in Estonia is not taxed until its
distribution. This means that deferred tax is already
recognised on the estimated distribution from Estonia,
even though it will not be paid out until the first quarter
2015. At the same time, tax was positively, affected by
approximately the same amount due to the acquisition
of Sparbanken Öresund. Profit posted from the bargain
purchase is not taxable.
Credit and asset quality
The quality of the Group’s credit portfolio remains high.
Lending increased during the quarter, mainly in private
mortgages and corporate lending in Sweden. Conditions
in the bank's home markets were good, with a further
reduction in impaired loans and low credit impairments.
Continued political tensions in Russia and Ukraine did
not affect the credit portfolio. The bank is carefully
monitoring developments and taking preventive steps
closely with customers with business connections in the
region. The Group’s direct credit exposure to Russia
has decreased during the year and as of 30 June was
SEK 0.9bn. The bank has no direct credit exposures to
Ukraine.
Swedbank’s lending increased by SEK 51.3bn or
4.2 per cent during the first half-year to SEK 1 266bn,
of which SEK 4.7bn is due to currency effects. Of the
increase, SEK 47bn related to the second quarter. In
Sweden, mortgage lending rose by SEK 16.7bn.
Corporate lending within Swedish Banking and LC&I
increased by a total of SEK 28.8bn. The highest activity
was in property management and telecoms. The
acquisition of Sparbanken Öresund increased lending
by SEK 16.5bn, of which SEK 5.0bn was private lending
and SEK 11.5bn was corporate lending. In Baltic
Banking, the lending portfolio increased slightly in
Estonia and Latvia, calculated in local currency, while
decreasing slightly in Lithuania.
The average loan-to-value ratio for Swedbank’s
mortgages in Sweden, based on property level, was
62.0 per cent as of 30 June (62.2 as of 31 December).
Households with a loan-to-value ratio of over 75 per
cent represent 16.1 per cent (16.3) of the portfolio. The
average loan-to-value ratio for new mortgages in
Sweden was 70.8 per cent (69.9) in 2014. Of new
mortgages granted in Sweden in the last 12 months,
56.4 per cent have a loan-to-value ratio over 70 per
cent. With respect to new lending in Sweden in the last
12 months, 92 per cent of households with a loan-to-
value ratio over 75 per cent are amortising. For the
Swedish portfolio as a whole, 74 per cent (74) of
households with a loan-to-value ratio over 75 per cent
are amortising. For the mortgage portfolio as a whole,
59 per cent (60) of households are amortising. The
average loan-to-value ratio in Baltic Banking was 79.8
per cent (84.9), while the ratio for new lending was 53.8
per cent in 2014.
Impaired loans fell during the year by SEK 1.2bn to
SEK 6.3bn and correspond to 0.50 per cent (0.55) of
total lending. The average provision ratio for impaired
loans was 37.1 per cent. In addition there is portfolio
provisions for unidentified impaired loans as an added
safety margin, producing a total provision ratio of 56.3
per cent (54). The acquisition of Sparbanken Öresund
increased impaired loans by SEK 0.3bn. In Baltic
Banking, impaired loans fell by SEK 0.2bn to
SEK 4.5bn, mainly due to the winding down of problem
loans from 2008-2009 and improved quality in the loan
portfolio. In Swedish Banking, impaired loans were
unchanged during the first half-year.
The share of Swedish mortgages past due by more than
60 days remained low at 0.08 per cent of the portfolio
(0.09). The share of impaired mortgages in Baltic
Banking fell. The share of mortgages past due by more
than 60 days was 0.6 per cent in Estonia (0.7), 6.8
per cent in Latvia (7.4) and 4.0 per cent in Lithuania
(4.4).
Impaired loans,
SEKm 2014 2014 2013
Swedish Banking 1 522 1 389 1 667
Large Corporates &
Institutions 279 159 1 167
Baltic Banking 4 511 4 700 7 277
Estonia 1 297 1 322 1 835
Latvia 1 837 1 929 3 586
Lithuania 1 377 1 449 1 856
Total 6 312 6 248 10 111
Net recoveries during the first half-year amounted to
SEK 70m (credit impairments of SEK 148m). The
recoveries mainly relate to the Baltic mortgage portfolio
and because several commitments are no longer
classified as impaired owing to continued positive macro
development. Credit impairments in Sweden remained
low. The second quarter included credit impairments of
SEK 30m, mainly related to new provisions for
anticipated credit impairments within Swedish Banking.
Baltic Banking reported continued recoveries, though at
a lower level.
Credit impairments, net
SEKm 2014 2014 2013
Swedish Banking 25 31 36
Large Corporates &
Institutions 21 -30 94
Baltic Banking -16 -101 -43
Estonia -25 -9 -36
Latvia 13 -65 18
Lithuania -4 -27 -25
Group Functions & Other 0 0 1
Total 30 -100 88
Repossessed assets amounted to SEK 1 558m on
30 June, a decrease of SEK 556m since 31 December
2013. Of these repossessed assets, Ektornet accounted
for SEK 1 382m, of which SEK 17m relates to shares
and participations. Ektornet’s property values were
written down by SEK 204m during the first half-year,
mainly related to Ukraine and the US, of which
SEK 66m was in the second quarter. The remaining
repossessed properties in Ukraine amounted to
SEK 122m on 30 June. On the same date the number of

properties, including apartments and suchlike, was 1
140 (1 366), of which 626 were in Latvia (783). For more
information on repossessed assets, see page 35 of the
fact book.
Stress test – Internal Capital Adequacy
Assessment Process 2014
Positive economic development in Swedbank’s home
markets in 2013 improved the starting values for the
scenario analysis within the Internal Capital Adequacy
Assessment Process (ICAAP) for 2014. As a
consequence of this and continued work to improve
credit quality, the results of the scenario analysis
demonstrate that Swedbank’s resilience to severe
circumstances has further improved compared with the
2013 ICAAP.
The selected recession scenario extends over five
years, the first three of which show negative growth and
high unemployment in Sweden, Estonia, Latvia and
Lithuania. The trigger is a deepening crisis in the
European banking sector, which creates uncertainty
about the solvency of major financial institutions.
Sweden is hit especially hard due to its dependency on
exports, and SEK appreciates against EUR. In the Baltic
countries, falling export demand weakens both
investment and consumption.
In the ICAAP scenario, net interest income drops by
7.5 per cent in 2014, mainly due to lower interest rates.
Cumulative credit losses throughout the five-year
scenario amount to SEK 25bn, with losses reaching
their highest, SEK 9bn, in 2015.
Swedbank’s capitalisation is strengthened throughout
the scenario period thanks to continued profits and
because the risk exposure amount is in line with or
lower than the starting point. The improvement does not
take into account measures by Swedbank’s executive
management, which would have further improved the
capitalisation.
Swedbank’s resilience in a stress scenario is confirmed
by both the Swedish Financial Supervisory Authority’s
stress tests and the Riksbank’s most recent stability
report. In the latter Swedbank’s capital ratios are the
least affected among major Swedish banks and it is the
best capitalised bank in terms of both its Common
Equity Tier 1 capital ratio and leverage ratio at the end
of the scenario period.
For more information on Swedbank’s scenario
simulation and its outcome, see page 63 in the fact
book.
Funding and liquidity
During the first half-year 2014 Swedbank issued a total
of SEK 69bn in long-term debt instruments, of which
SEK 49bn related to covered bonds and SEK 20bn to
senior unsecured debt. During the second quarter a
total of SEK 32bn in long-term debt instruments was
issued, including SEK 28bn in covered bonds and SEK
4bn in senior unsecured debt. Of the covered bonds,
SEK 20bn was issued in SEK during the quarter.
Demand for private placements remained high. For the
full-year 2014 Swedbank plans to issue a total of about
SEK 120bn to meet maturing long-term funding with a
nominal value of SEK 103bn. Liquidity over and above
the refinancing need is used in day-to-day management
to repurchase covered bonds.
The average maturity of all capital market funding
arranged through the bank’s short- and long-term
programmes was 29 months on 30 June 2014 (29 as of
31 December 2013). The average maturity of long-term
funding issued during the first half-year was 61 months.
The bank’s short-term funding is mainly used as a cash
management tool, not to finance the bank’s lending to
the public. Demand for Swedbank’s short-term debt
instruments remained high and the outstanding volume
of short-term funding increased by SEK 83bn during the
first half-year to SEK 184bn.
Swedbank left the government guarantee programme in
April 2010 and in May 2014 the last government
guaranteed bonds, issued in 2009, matured.
Swedbank’s liquidity reserve, which is reported in
accordance with the Swedish Bankers’ Association’s
definition and is managed by Group Treasury,
amounted to SEK 281bn on 30 June 2014 (243 as of 31
March). In addition to the liquidity reserve, liquid
securities in other parts of the Group amounted to SEK
52bn (59 as of 31 March). The liquidity reserve and
Liquidity Coverage Ratio (LCR) will fluctuate over time
depending, among other things, on the maturity
structure of the bank’s issued securities. The Group’s
LCR was 123 per cent on 30 June (144 as of 31 March).
Distributed by USD and EUR, LCR was 195 per cent
(312 as of 31 March) and 289 per cent (586 as of 31
March) respectively. In early 2013 the Basel Committee
published a new definition of LCR. According to
Swedbank’s interpretation, LCR would have been 132
per cent as of 30 June (163 as of 31 December).
According to Swedbank’s interpretation of the Basel
Committee’s latest proposed revisions to the definition
from January 2014, the Group’s Net Stable Funding
Ratio (NSFR) was 102 per cent (102 as of 31 March).
The main liquidity measure used by the Board of
Directors and executive management is the so-called
survival horizon, which shows how long the bank could
manage when access to new financing were limited. At
present the bank would survive more than 12 months
with the capital markets completely shut down. This
applies to the Group’s total liquidity as well as liquidity in
USD and EUR.
For more information on the above, see page 67 in the
fact book.
Ratings
On 29 April Standard & Poor's (S&P) revised its outlook
for the ratings of Swedbank and 50 European banks to
negative. The revision was a consequence of the EU
Parliament’s approval of the EU’s Bank Recovery and
Resolution Directive (BRRD). S&P felt the directive
increases the risk that investors in senior uncovered
debt will be forced to absorb losses if a bank incurs
financial problems. At the same time S&P raised
Swedbank’s individual rating, mainly against the
backdrop of the bank’s solid capitalisation. As a direct
result, the rating on Swedbank’s subordinated debt was
raised as well.
On 29 May Moody’s also revised its outlook on
Swedbank and a number of other European banks to
negative due to the BRRD.
Fitch revised its outlook for Swedbank’s rating to
positive on 24 June. The revision was a direct result of

the bank’s credit quality, stable earnings and strong
capitalisation.
Capital and capital adequacy
On 13 June Swedbank received approval from the
Swedish Financial Supervisory Authority to use the
advanced internal ratings-based (A-IRB) approach for
its corporate exposures in Sweden and Norway. This
positively affected the Common Equity Tier 1 ratio by
3.8 percentage points as of 30 June. During the quarter
the acquisition of Sparbanken Öresund was finalised as
well, reducing the Common Equity Tier 1 ratio by 0.8
percentage points. Including these effects, the Common
Equity Tier 1 ratio increased to 20.9 per cent on 30 June
(18.3 per cent on 31 March and 31 December 2013).
Common Equity Tier 1 capital increased by SEK 2.8bn
during the quarter to SEK 84.9bn. The change was
mainly due to the bank’s profit after deducting the
anticipated dividend. The revisions in the recognition of
pensions (IAS 19), effective 2013, create volatility in the
estimated pension liability, which also affects equity
through other comprehensive income. During the
second quarter the calculated pension liability rose by
about SEK 0.3bn, where the falling discount rate
increased the debt, while a revised inflation assumption
reduced it. See the note Statement of comprehensive
income for more information. Other increases in the
Common Equity Tier 1 capital include approximately
SEK 0.5bn due to the approval of A-IRB.
Change in Common Equity Tier 1 capital Basel 3, second
quarter 2014, Swedbank consolidated situation
80.8
84.9
0.3
1.0
4.6
-3.1
82.1
40
45
50
55
60
65
70
75
80
85
90
SEKbn
Increase Decrease
The risk exposure amount (REA) decreased by SEK
42.1bn during the second quarter to SEK 406.7bn on 30
June (448.8 as of 31 March). The REA for credit risks
decreased by SEK 43.5bn. The Swedish Financial
Supervisory Authority’s approval allowing Swedbank to
use A-IRB for corporate exposures reduced the REA by
SEK 72.9bn, while the acquisition of Sparbanken
Öresund and investments in Sparbanken Skåne
increased the REA for credit risks by SEK 14.9bn.
Increased exposures, mainly to corporate customers in
Swedish Banking and LC&I, raised the REA by
SEK 12.3bn. Positive rating migrations, mainly among
corporate customers in Swedish Banking, reduced the
REA by SEK 1.6bn. Fluctuations in exchange rates,
mainly attributable to the Baltic credit portfolio, raised
the REA for credit risks by SEK 0.7bn due to the
depreciation of the Swedish krona against the euro.
Other increases in the REA for credit risks include
reclassifications of exposures and adjustments owing to
the implementation of Basel 3.
The REA for credit valuation adjustment (CVA risk),
which arose in connection with the introduction of Basel
3, decreased by SEK 0.3bn during the second quarter.
The REA for market risks was essentially unchanged.
The REA for currency risks decreased by just over
SEK 1bn, while market risks within LC&I increased by a
corresponding amount. The REA for operational risks
increased by SEK 1.6bn, mainly due to the acquisition
of Sparbanken Öresund.
Change in REA Basel 3, second quarter 2014, Swedbank
consolidated situation
-72.9
16.3
12.3
-1.6 -1.4
0.7
4.7
-0.3
0.1 0.2
440.6
448.8
406.7
360
370
380
390
400
410
420
430
440
450
460
SEKbn
Increase Decrease
Certain aspects of the EU’s new capital adequacy rules
(based on Basel 3), which took effect on 1 January
2014, require introduction on a national basis. The new
Swedish legislation takes effect in August 2014, at
which point the Swedish Financial Supervisory Authority
will be authorised to decide on the final Swedish capital
requirements.
On 8 May the Swedish Financial Supervisory Authority
published a memo on the future capital requirements for
Swedish banks. The memo covered the capital
requirements for systemic risks for Sweden's four major
banks, considerations regarding the countercyclical
capital buffer and raising the risk weight floor for
Swedish mortgages. It also clarified the process for
Pillar 2. In a separate June memo, the Swedish
Financial Supervisory Authority proposed a
countercyclical buffer of 1.0 per cent for Swedish
exposures, which will be applied as of September 2015.
The Swedish Financial Supervisory Authority expects to
decide on the future capital requirements and activation
of the countercyclical buffer this autumn. In the Baltic
countries, no decision has yet been made whether to
activate the countercyclical buffer. Swedbank’s
aggregate countercyclical buffer, based on a
geographical distribution of its exposures, is estimated
at just over 0.7 per cent.
Not until the Swedish Financial Supervisory Authority
has detailed its future capital requirements, including
standardised models and capital requirements for Pillar
2, can the Board of Directors set a capital target.
The Swedish Financial Supervisory Authority’s
regulations adopted in June require companies to

publish their internal assessment of the capital
requirement. Given the proposal on standardised
models for Pillar 2 risks, this will not be introduced
before 1 January 2015, however, and will require
publication as of the first quarter 2015.
The previously announced risk weight floor of 15 per
cent for the Swedish mortgage portfolio within Pillar 2
does not affect the reported capital ratios. Based,
however, on an average risk weight of 4.2 per cent
according to Pillar 1 in Swedbank’s Swedish mortgage
portfolio on 30 June and the Swedish Common Equity
Tier 1 capital requirement of 12 per cent (as of 2015),
Swedbank will have to maintain additional Common
Equity Tier 1 capital of SEK 9.6bn for Swedish
mortgages. This corresponds to 2.4 percentage points
of the Common Equity Tier 1 ratio according to Pillar 1.
In its internal controls, Swedbank allocates capital to its
mortgage business equivalent to the risk weight floor.
The Swedish Financial Supervisory Authority’s intent to
further increase the risk weight floor, to 25 per cent, and
to include the countercyclical buffer in the calculation,
means that Swedbank has to maintain additional
Common Equity Tier 1 capital of SEK 20bn for its
Swedish mortgages, corresponding to 4.9 percentage
points of the Common Equity Tier 1 capital ratio
according to Pillar 1.
Swedbank’s leverage ratio was 4.3 per cent on 30 June
(4.5 per cent on 31 March 2014 and 4.6 per cent on 31
December 2013). The decrease is due to the acquisition
of Sparbanken Öresund and volume increases.
According to the EU’s rules, the measure will be
evaluated by the authorities prior to the possible
introduction of a minimum requirement in 2018.
An announcement in early July detailed how the BRRD
will be implemented in Swedish law from January 2015.
The new directive is complex and extensive, so it is
unlikely that the Swedish law can take effect as early as
1 January 2015. The portions concerning capital and
debt write-downs, “bail-ins”, will not be introduced until
2016. The purpose of the directive is to prevent crisis
situations, improve crisis management and reduce the
risk of taxpayers having to bear the cost of another
banking crisis.
Market risk
The majority of the Group’s market risks are of a
structural or strategic nature and are managed by Group
Treasury. Structural interest rate risks arise when the
maturity of the Group’s assets and liabilities, such as
deposits and lending, do not coincide. The risks are
managed within the given mandates by matching
maturities directly or using various derivatives such as
interest rate swaps. Net interest income sensitivity is
also affected by structural risks in the bank’s deposit
operations, where various products show different
sensitivity to changes in market interest rates. Strategic
currency risks arise primarily through risks tied to
holdings in foreign subsidiaries and their financing.
Market risks also arise in LC&I’s trading operations in
connection with customer transactions and by
maintaining a secondary market for various types of
securities.
Swedbank measures market risks with a Value-at-Risk
(VaR
1)
) model, among other things.
VaR by risk category
30 Jun 31 Dec
SEKm Max Min Average 2014 2013
Interest risk 87 (97) 66 (65) 78(80) 78 66
Currency rate risk 16 (17) 3 (2) 9 (7) 6 10
Stock price risk 12 (9) 1 (2) 4 (5) 3 3
Diversification 0 0 -13 (-16) -10 -13
Total 87 (89) 67 (59) 78 (76) 77 66
Jan-Jun 2014 (2013)
1)
The VaR model was supplemented during the year with new risk
factors, due to which the figures for 2014 are not directly comparable
with those for 2013.
For individual risk types, VaR is complemented by
various risk measures based on sensitivity to changes in
market prices. Risk taking is also monitored with stress
tests. An increase in all market interest rates of one
percentage point as of 30 June 2014 would have
increased the value of the Group’s assets and liabilities,
including derivatives, by SEK 286m (75 as of 31
December 2013). This calculation includes parts of the
bank’s deposits with a duration of two to three years.
The effect on positions in SEK would have been SEK
337m (250), while the value of positions in foreign
currency would have decreased by SEK 51m (-175).
The Group’s net gains and losses on financial items at
fair value would have been reduced by SEK 630m
(-608), with the biggest contributions coming from the
Group’s liquidity portfolio as well as the trading
operations within LC&I.
Operational risks
The number of IT incidents fell year-on-year. The bank’s
customers were affected by two major disruptions to the
Internet Bank and Telephone Bank, however. This is in
addition to brief disruptions in shared ATMs on five
separate occasions, which affected the affiliated banks’
Swedish card customers. All the disruptions were
considered serious and have been reported to the
Swedish Financial Supervisory Authority. Swedbank has
taken action to improve stability and ensure that its
customers are not affected again. The bank’s direct
losses attributable to operational risks remained low.

Other events
During the quarter Swedbank was nominated in the
annual IR Magazine Awards for European companies in
three categories: best Investor Relations (IR) in
Northern Europe, best IR by a CEO (large cap) and best
corporate governance and disclosure policy. Swedbank
CEO Michael Wolf won first prize for best IR by a CEO.
Swedbank also won an award for best IR in Sweden.
On 17 June the Swedish Competition Authority sued the
subsidiary Swedbank Franchise regarding its acquisition
of Svensk Fastighetsförmedling. The Competition
Authority is of the opinion that the acquisition will
impede competition. Swedbank does not share the
Competition Authority’s view of the effects of the
acquisition and feels that the Competition Authority
incorrectly considers franchisees to be subsidiaries of
Swedbank Franchise. Swedbank therefore welcomes an
impartial ruling by the courts. The legal process in the
district court is expected to be completed by 17
December.
Events after 30 June 2014
The Swedish Riksbank cut the repo rate by 0.50 basis
points to 0.25 per cent on 9 July.

Swedish Banking
 Increased corporate and mortgage volumes
 Positive stock market performance and increased fund savings strengthen commission income
 Acquisition of Sparbanken Öresund improves market position in southern Sweden
Income statement
Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Net gains and losses on financial items at fair value 54 50 8 33 64 104 67 55
Share of profit or loss of associates 410 256 60 197 666 401 66
Other income 613 153 170 766 389 97
Total income 6 229 5 422 15 5 316 17 11 651 10 694 9
Staff costs 1 360 919 48 871 56 2 279 1 732 32
Variable staff costs 52 51 2 67 -22 103 115 -10
Other expenses 1 746 1 442 21 1 424 23 3 188 2 884 11
Depreciation/amortisation 34 31 10 30 13 65 60 8
Total expenses 3 192 2 443 31 2 392 33 5 635 4 791 18
Credit impairments 25 31 -19 36 -31 56 91 -38
Tax expense 563 640 -12 623 -10 1 203 1 254 -4
Profit for the period 2 449 2 308 6 2 265 8 4 757 4 558 4
Swedbank AB 2 445 2 304 6 2 264 8 4 749 4 555 4
Non-controlling interests 4 4 0 1 8 3
Return on allocated equity, % 29.7 28.3 27.8 29.0 27.9
Credit impairment ratio, % 0.01 0.01 0.02 0.01 0.02
Loans, SEKbn 987 949 4 919 7 987 919 7
Deposits, SEKbn 401 379 6 378 6 401 378 6
Full-time employees 5 446 4 996 9 4 921 11 5 446 4 921 11
Development January - June
The result for the period amounted to SEK 4 749m
(4 555). Sparbanken Öresund is consolidated in
Swedbank’s accounts from the 21 May; see also page
6. Income and expenses both increased, while credit
impairments were stable.
Impact of Sparbanken
Öresund
Running
business One-offs Total
SEKm
Net interest income 48 0 48
Net commission income 18 0 18
Net gains and losses on
financial items at fair value -2 0 -2
Other income 15 461 476
Total income 79 461 540
Staff costs 47 393 440
Other expenses 39 222 261
Total expenses 86 615 701
Credit impairments 4 0 4
Tax expense -2 -135 -137
Profit for the period
attributable to the
shareholders of
Swedbank AB -9 -19 -28
Net interest income was stable compared with the
previous year. Higher volumes of deposits and lending
largely offset lower deposit margins, which were
adversely affected by declining market interest rates.
Net interest income was also stable compared with the
first quarter. Increased lending margins and slightly
improved mortgage margins at the end of the quarter
were offset by lower deposit margins.
Household deposit volumes increased by SEK 11bn
since the beginning of the year, with volumes from the
acquisition of Sparbanken Öresund accounting for
SEK 8bn. Swedbank’s share of household deposits was
21 per cent at the end of the period (21 per cent as of
31 December 2013). Corporate deposits within Swedish
Banking increased by SEK 5bn since the beginning of
the year, or by 5 per cent. Sparbanken Öresund
accounted for SEK 4bn. Swedbank’s market share,
including corporate deposits within LC&I, was 19 per
cent as of 31 May (18 per cent as of 31 December
2013).
Household mortgage lending volume increased by
SEK 17bn since the beginning of the year, of which
SEK 12bn during the second quarter. Swedbank’s share
of new sales continued to improve during the second
quarter. Its share of net growth, excluding Sparbanken
Öresund, was 22 per cent, compared with 18 per cent in
the first quarter. Swedbank’s share of the total market

was 25 per cent (25 per cent as of 31 December 2013).
Corporate lending volume increased by SEK 26bn since
the beginning of the year, with Sparbanken Öresund
accounting for SEK 11bn. Swedbank’s market share,
including corporate lending within LC&I, was stable at
18 per cent (17 per cent as of 31 December 2013).
Net commission income rose by 10 per cent compared
with the same period in 2013. The increase was mainly
due to higher fund volumes in the wake of stock market
gains and increased net inflows. Swedbank’s market
share in terms of assets under management was 23 per
cent (24 per cent as of 31 December 2013). Increased
lending and guarantee commissions as well as real
estate brokerage and equity trading revenue contributed
as well. Compared with the first quarter, net commission
income rose by 9 per cent mainly due to higher asset
management revenue.
The share of associates’ profit increased due to one-off
income of SEK 230m from the credit card company
Entercard after a distribution partner terminated their
collaboration and recalled their outstanding credit cards.
Other income was positively affected during the second
quarter by the acquisition of Sparbanken Öresund.
During the second quarter of 2014 a bargain purchase
gain of SEK 461m was recognised.
Expenses for the first half-year increased mainly due to
the acquisition of Sparbanken Öresund. Excluding
Sparbanken Öresund they rose by 3 per cent year-on-
year. Staff costs were higher due to an increase in
advisors and higher salary costs. Cash handling
expenses fell. Expenses for the second quarter,
excluding Sparbanken Öresund, were stable. In
connection with the acquisition SEK 591m was
expensed for a restructuring reserve covering, among
other things, system solutions and the divestment of
branches. Total one-off costs from the acquisition were
SEK 615m.
Credit quality remained good. Credit impairments
decreased compared with the previous year and remain
at the same level as in the first quarter. The share of
impaired loans was 0.15 per cent (0.16).
The risk exposure amount was SEK 179bn, a decrease
of SEK 10bn during the quarter. The Swedish Financial
Supervisory Authority’s approval of A-IRB for corporate
exposures reduced the risk exposure amount by
SEK 34bn. The acquisition of Sparbanken Öresund and
investments in Sparbanken Skåne increased the risk
exposure amount by SEK 16bn. Excluding these one-off
effects the risk exposure amount rose by SEK 7bn,
mainly as a result of increased corporate lending.
A number of services with new or improved functions
were launched in the bank's digital channels during the
quarter. One example is Swish for corporates, which
allows small companies, organisations and associations
to manage payment flows between consumers and
companies. A new payment terminal introduced for
small retailers and non-profits, Babs Micro, can accept
card payments without access to a fixed terminal. The
mobile terminal connects wirelessly by mobile phone.
Additional functions have been added to the Mobile
Bank as well, including an expense tracker that makes it
easier for private customers to manage their spending.
Use of Swedbank’s digital channels continues to grow.
The Internet Bank had 3.6 million users as of 30 June,
an increase of 44 000 during the year. The Mobile Bank
had 1.8 million (+204 000) and the iPad Bank had
466 000 (+81 000).
As of 30 June there were 1.4 million Swish users across
Swedish banks, an increase of 641 000 in 2014.
Swedbank and the savings banks’ share was 41.3 per
cent.
Card usage continues to increase. As of 31 May 2014
the total number of card purchases in stores had
increased by 10 per cent, and the aggregate value by 8
per cent, compared with the same period a year earlier.
Sweden is Swedbank’s largest market, with around 4 million private customers and more than 250 000 corporate
customers. This makes it Sweden’s largest bank by number of customers. Through our digital channels (Telephone Bank,
Internet Bank and Mobile Bank) and branches, and with the support of savings banks and franchisees, we are always
available. Swedbank is part of the local community. Our branch managers have the mandate to act in their local
communities. The bank’s presence and engagement are expressed in various ways. A project called “Young Jobs”, which
has created several thousand trainee positions for young people, has played an important part in recent years. Swedbank
has 320 branches in Sweden. The various product areas are described on page 23.

Large Corporates & Institutions
 High lending activity among large corporates
 Continued strong IPO earnings
 Good bond issuance activity
Income statement
SEKm 2014 2014 % 2013 % 2014 2013 %
Net interest income 846 867 -2 851 -1 1 713 1 634 5
Net commission income 496 630 -21 522 -5 1 126 942 20
Net gains and losses on financial items at fair value 575 565 2 503 14 1 140 1 082 5
Other income 28 37 -24 49 -43 65 80 -19
Total income 1 945 2 099 -7 1 925 1 4 044 3 738 8
Staff costs 323 322 0 293 10 645 581 11
Variable staff costs 75 75 0 104 -28 150 192 -22
Other expenses 392 415 -6 427 -8 807 771 5
Depreciation/amortisation 14 22 -36 12 17 36 25 44
Total expenses 804 834 -4 836 -4 1 638 1 569 4
Profit before impairments 1 141 1 265 -10 1 089 5 2 406 2 169 11
Impairment of intangible assets 0 0 56 0 56
Impairment of tangible assets 0 0 0 0 0
Operating profit 1 120 1 295 -14 939 19 2 415 1 945 24
Tax expense 225 292 -23 257 -12 517 473 9
Profit for the period 895 1 003 -11 682 31 1 898 1 472 29
Swedbank AB 895 1 003 -11 682 31 1 898 1 472 29
Loans, SEKbn 157 152 3 151 4 157 151 4
Deposits, SEKbn 98 99 -1 69 42 98 69 42
Full-time employees 1 120 1 094 2 1 032 9 1 120 1 032 9
The result for the period amounted to SEK 1 898m, an
increase of 29 per cent year-on-year. The result was
positively affected by increased lending-related income
as well as income from IPOs and bond issues. The
long-term strategy to strengthen expertise in specific
industrial sectors and improve customer relations in
these areas has produced results in the form of
increased business and new customers during the year.
Net interest income increased by 5 per cent during the
first half-year compared with the same period in 2013.
Higher average lending volumes and origination fees
also contributed to the improvement. Margins in the
lending portfolio improved slightly. Lending volume was
4 per cent higher year-on-year, gaining SEK 6bn. Net
interest income fell by 2 per cent on a quarterly basis to
SEK 846m mainly due to lower origination fees on the
capital market side. Lending volumes increased by
SEK 5bn during the quarter thanks to a higher take-up
rate and higher sales, mainly in the real estate and
telecoms sectors. Lending activity among large
corporates was high due to the refinancing of maturing
loans. The lending margin on the entire loan portfolio
was stable compared with the first quarter, but with
continued pressure on new loan margins. Deposit
volumes were higher than in the same period in 2013
and stable against the previous quarter. The year-on-
year gain is a result of increased business with existing
customers and temporary deposit increases from a few
major customers.
Net commission income rose by 20 per cent to
SEK 1 126m compared with the first half-year 2013. The
current low interest rate environment and high stock
prices have led to increased activity among the bank’s
corporate customers, which increased income from
corporate finance and lending-related commissions.
Swedbank participated in five of nine IPOs in Sweden
during the first half-year, making it one of the two market
leaders. During the second quarter net commission
income fell by 21 per cent to SEK 496m, partly due to
one-off income and high bond-related income in Norway
in the first quarter. Bond issuance and IPO activity was
high as well during the second quarter, with continued
strong earnings. During the second quarter Swedbank
participated as advisor in Recipharm’s and Akelius’
listings on the Swedish stock exchange. Several major
bond issues were completed as well, including for
Hemfosa in Sweden and Harkand in Norway.
Swedbank’s market share for Swedish issues was 18.4
per cent in 2014 (19.4). The corresponding figure in
Norway was 17.6 per cent (16.6). This made Swedbank
the third largest player in Sweden and second largest in
Norway.

increased by 5 per cent to SEK 1 140m compared with
the first half-year 2013. The biggest contributor to the
increase came from bond and fixed income trading,
where customer activity was higher than in the same
period in 2013. Compared with the first quarter net gains
and losses on financial items were stable despite low
volatility in the financial markets, which led to slightly
lower customer activity.
Total expenses increased by 4 per cent to SEK 1 638m
compared with the same period in 2013. Staff costs rose
as a result of wage increases and because of a
conscious effort to expand advisory services for bond
issues and corporate finance. The development of new
products as well as IT investments in the wake of
increased regulatory requirements raised expenses for
IT and IT-related personnel. Compared with the
previous quarter expenses decreased by 4 per cent.
Credit quality in the loan portfolio has remained good.
Net recoveries of SEK 9m were reported during the
quarter, compared with credit impairments of SEK 168m
in the same period in 2013. The share of impaired loans
was 0.11 per cent (0.49).
The risk exposure amount decreased by SEK 32bn
during the quarter to SEK 117bn. The risk exposure
amount for credit risk decreased by SEK 33bn. The
transition to A-IRB for corporate exposures accounted
for SEK 39bn of the decrease. Excluding A-IRB the risk
exposure rose by SEK 6bn, mainly as a result of
increased lending.
Large Corporates & Institutions is responsible for Swedbank’s offering to customers with revenues above SEK 2 billion
and those whose needs are considered complex due to multinational operations or a need for sophisticated financing
solutions. The business segment is also responsible for developing corporate and capital market products for other parts
of the bank and the Swedish savings banks. LC&I works closely with customers, who receive advice on decisions that
create sustainable profits and sustainable growth in the long-term. The business segment has around 1 100 employees at
branches in Sweden, Norway, Estonia, Latvia, Lithuania, Finland, Luxembourg, China and the US.

Baltic Banking
 Solid financial results and good business activity
 High cost efficiency
 No impact from conflict between Russia and Ukraine
Income statement
SEKm 2014 2014 % 2013 % 2014 2013 %
Net interest income 894 874 2 763 17 1 768 1 505 17
Net commission income 522 429 22 445 17 951 833 14
Net gains and losses on financial items at fair value 62 53 17 72 -14 115 134 -14
Other income 118 109 8 98 20 227 188 21
Total income 1 596 1 465 9 1 378 16 3 061 2 660 15
Staff costs 193 187 3 197 -2 380 394 -4
Variable staff costs 19 20 -5 9 39 27 44
Other expenses 374 364 3 355 5 738 696 6
Total expenses 621 607 2 594 5 1 228 1 183 4
Profit before impairments 975 858 14 784 24 1 833 1 477 24
Impairment of tangible assets 3 -5 2 50 -2 6
Credit impairments -16 -101 -84 -43 -63 -117 -113 4
Operating profit 987 964 2 825 20 1 951 1 584 23
Tax expense 158 137 15 67 295 127
Profit for the period 829 827 0 758 9 1 656 1 457 14
Swedbank AB 829 827 0 758 9 1 656 1 457 14
Credit impairment ratio, % -0.06 -0.34 -0.15 -0.20 -0.20
Loans, SEKbn 122 118 3 119 3 122 119 3
Deposits, SEKbn 122 117 4 110 11 122 110 11
Full-time employees 3 822 3 853 -1 4 239 -10 3 822 4 239 -10
Profit for the first half-year amounted to SEK 1 656m
(1 457) and the return on allocated equity reached 15.3
per cent (12.7). The increase was mainly due to higher
income, while expenses and recoveries were about the
same level year-on-year. The ongoing conflict between
Russia and Ukraine has affected profits.
Net interest income increased by 12 per cent in local
currency compared with the first half-year 2013.
Increased deposit volumes, higher Euribor rates and
repricing affected net interest income positively. The
repricing of corporate loans to reflect the higher costs of
capital and regulatory changes will continue throughout
2014. Fluctuations in exchange rates increased net
interest income by SEK 84m. Net interest income in
local currency were more or less unchangedin a
comparison of the first and second quarters.
Lending volumes decreased by 1 per cent in local
currency compared with 31 December 2013. This was
mainly due to portfolio amortisations and lower new
sales during the first quarter. The decrease came from
corporate lending and private mortgages, while
consumer finance increased. Lending portfolios
decreased in Estonia and Latvia, but increased in
Lithuania. During the second quarter the Baltic loan
portfolio increased slightly. Swedbank’s market share
for lending was 29 per cent as of 31 March (28 as of 31
December 2013).
Deposit volumes in local currency were stable during
the first half-year. Deposits increased in Estonia and
Lithuania, but decreased in Latvia as more cash than
usual was deposited in the fourth quarter 2013 ahead of
the country’s euro transition on 1 January 2014.
Swedbank’s market share in deposits was 29 per cent
as of 31 March (28 per cent as of 31 December 2013).
The loan-to-deposit ratio was 99 per cent (100 per cent
as of 31 December 2013).
Net commission income rose by 9 per cent in local
currency compared with the first half-year 2013. The
improvement was mainly due to increased customer
activity, as reflected by higher card related income, as
well as growing asset management volumes following
the stock market’s positive performance. The number of
active customers increased by 40 000 since 30 June
2013 to 2.6 million. During the second quarter one-off
income of SEK 35m was recognised for a previous fine
levied on the Lithuanian operations in the fourth quarter
2012, which was reversed on appeal. Net commission
income was negatively affected by about SEK 40m due
to the euro transition in Latvia, which resulted in fewer
international payments. Compared with the first quarter
net commission income rose by 19 cent in local
currency, mainly due to a one-off income in Lithuania
and seasonally higher card and payment commissions.

decreased by 19 per cent in local currency compared
with the first half-year 2013. The decrease was mainly
due to lower income from the Latvian FX trading
business of SEK 36m as a result of the euro transition.
Other income for the first half-year increased by 16 per
cent in local currency compared with the same period in
2013 due to higher insurance-related income and a VAT
refund on transfer pricing of invoices in Latvia.
Total expenses decreased by 1 per cent in local
currency year-on-year, mainly due to lower expenses for
staff, premises and marketing. The number of full time
employees on 30 June was 10 per cent lower than a
year earlier. At the same time the number of branches
has been reduced by 11 to 174 in the last 12 months, of
which 36 are now cash-smart branches with a focus on
advisory services. The cost-income ratio improved
during the first half-year to 0.40 (0.44).
Net recoveries amounted to SEK 117m, compared with
SEK 113m in the first six months of 2013. All three
countries reported recoveries. Swedbank is taking
preventive measures to help its customers affected by
the current geopolitical situation. No major spillover
effects have been observed as yet on business activity
or our customers’ finances.
Impaired loans continued to decrease in all three
countries during the first half-year to SEK 4.5bn (5.0 as
of 31 December 2013). Credit quality has improved to
such a level that the decrease in impaired loans is
expected to be moderate in 2014 compared with the last
two years.
The risk exposure amount rose by SEK 2bn during the
quarter to SEK 83bn. The whole increase is related to
credit risk, the majority of which is attributable to
increased corporate and FX exposures. At the same
time the Swedish Financial Supervisory Authority’s
approval to update the risk classification models for
retail customers and small businesses contributed to a
reduction in the risk exposure amount.
Lithuania is preparing to adopt the euro on 1 January
2015. A formal decision will be made at the end of July
2014. The likelihood of approval is considered high
since the relevant EU institutions have already
supported Lithuania’s euro adoption. The bank’s
expenses related to the euro transition in Latvia and
Lithuania are estimated at SEK 84m in 2014, of which
SEK 27m has been recognised during the first half-year.
In 2014 Swedbank adopted a new policy on profit
distributions from the Baltic operations, whereby around
60 per cent of earnings generated in the Baltic
subsidiaries as of 2014 will be distributed to the parent
company, Swedbank AB. Profit in Estonia is not taxed
until its distribution, which means that deferred tax is
now recognised on the estimated distribution from
Estonia, even though it will not be paid until the first
quarter 2015. For the first half-year 2014 deferred tax of
SEK 102m has been recognised for future distributions.
In brand reputation surveys in Estonia and Latvia during
the second quarter Swedbank ranked first among
financial institutions and number two among all
companies.
Swedbank is the largest bank by number of customers in Estonia, Latvia and Lithuania, with around 4 million private
customers and more than 250 000 corporate customers. According to surveys, Swedbank is also the most respected
company in the financial sector. Through its digital channels (Telephone Bank, Internet Bank and Mobile Bank) and
branches, the bank is always available. Swedbank is part of the local community. Its local social engagement is
expressed in many ways, with initiatives to promote education, entrepreneurship and social welfare. Swedbank has 50
branches in Estonia, 54 in Latvia and 70 in Lithuania. The various product areas are described on page 23.

Group Functions & Other
Income statement
SEKm 2014 2014 % 2013 % 2014 2013 %
Net interest income 419 424 -1 425 -1 843 921 -8
Net commission income -14 -31 -55 -10 40 -45 -37 22
Net gains and losses on financial items at fair value 82 -323 -312 -241 -430 -44
Share of profit or loss of associates 0 0 0 0 2
Other income 249 322 -23 321 -22 571 621 -8
Total income 736 392 88 424 74 1 128 1 077 5
Staff costs 819 810 1 798 3 1 629 1 585 3
Variable staff costs 60 53 13 52 15 113 123 -8
Other expenses -615 -553 11 -575 7 -1 168 -1 162 -1
Depreciation/amortisation 89 90 -1 93 -4 179 188 -5
Total expenses 353 400 -12 368 -4 753 734 3
Profit before impairments 383 -8 56 375 343 9
Credit impairments 0 0 1 0 2
Operating profit 317 -148 -259 169 -54
Tax expense 117 5 -34 122 35
Profit for the period from continuing operations 200 -153 -225 47 -89
Profit for the period -30 -180 -83 -2 112 -99 -210 -2 366 -91
Swedbank AB -30 -181 -83 -2 112 -99 -211 -2 367 -91
Full-time employees 4 294 4 327 -1 4 159 3 4 294 4 159 3
Income for Group Functions & Other consists of net
interest income and net gains and losses on financial
items, which mainly come from Group Treasury. Other
income primarily consists of revenue from the savings
banks as well as sales revenue and operating income
from Ektornet. Income amounted to SEK 1 128m
(1 077). Net gains and losses on financial items at fair
value within Group Treasury improved due to a
SEK 80m change in the value of a strategic
shareholding. In 2013 an offer to repurchase
government guaranteed bonds negatively affected net
gains and losses. During the first quarter 2014 negative
FX effects of SEK 74m were recognised in Ektornet
related to the depreciation of the Ukrainian hryvnia.
Other income included a property sale in Russia during
the first quarter, which positively affected other income
by SEK 83m. Sales activity within Ektornet has slowed
since the portfolio has already been largely sold off,
which has reduced other income.
Expenses for Group Functions & Other increased by
3 per cent to SEK 753m (734) compared with the same
period in 2013. Excluding the net of services purchased
and sold internally, expenses increased by 5 per cent to
SEK 3 508m (3 340). The increase was mainly due to
one-off expenses of SEK 136m in connection with the
move of the head office and higher IT development
expenses and staff costs. This was partly offset by lower
expenses in Ektornet, where property management
expenses are dropping as the portfolio is divested.
Ektornet’s property values were written down by
SEK 204m (281). The writedowns related to Ukraine
and the US.
Group Products
Swedbank’s product operations, Group Products (GP),
are centralised at the Group level to create a more
responsive and customer-driven product range and an
efficient product organisation. Consisting of around
1 800 employees in Sweden, Estonia, Latvia and
Lithuania, GP is responsible for a large part of
Swedbank’s product areas. It is also tasked with
supporting the business areas by reducing the
complexity of the product range and simplifying sales in
the various distribution channels. The product areas that
GP is responsible for – lending and deposits, payments,
cards, asset management and insurance – are
described in more detail starting on page 23. GP also
comprises the subsidiary Swedbank Franchise AB,
which in turn includes the real estate (Fastighetsbyrån
and Svensk Fastighetsförmedling) and business
brokerages (Företagsförmedling) and a legal service
provider (Juristbyrån).
In GP’s revenue and expense model, revenue from
Swedbank’s customers is posted by each business
segment and GP receives compensation from them to
cover its expenses. GP’s external revenue largely
comes from the savings banks.
Expenses, excluding the net of services purchased and
sold internally, amounted to SEK 1 682m (1 603) for the
first half-year. The cost increase was mainly due to IT
operations and development, marketing and
depreciation/amortisation.

Group Treasury
Group Treasury is responsible for the bank’s funding,
liquidity and capital planning. The Group’s equity is
allocated to each business segment on the basis of
capital adequacy rules and how much capital is needed
based on the bank's Internal Capital Adequacy
Assessment Process (ICAAP). Group Treasury prices
all internal deposit and loan flows in the Group through
internal interest rates, where the most important
parameters are maturity, interest fixing period, currency
and need for liquidity reserves.
Group Treasury’s result over time should be nearly nil,
with the exception of earnings that may arise in debt
and liquidity management within given risk mandates.
Risk hedging by Group Treasury is generally achieved
with financial instruments. The volatility in results over
time is largely due to accounting-based fluctuations in
these hedges.
Net interest income for the first half-year 2014
decreased to SEK 904m (990). The positive effects of
repurchases were greater in 2013. In the second quarter
2013 net interest income was stable.
Net gains and losses on financial items at fair value for
the first half-year 2014 amounted to SEK -166m,
compared with SEK -462m in the same period in the
previous year. The main reason for the negative net
result is the impact of covered bond repurchases, which
have a corresponding positive effect on net interest
income over time. Net gains and losses on financial
items at fair value for the second quarter 2014 was
SEK 81m, compared with SEK -247m for the first
quarter. A change in value related to a strategic
shareholding positively affected net gains and losses on
financial items at fair value by SEK 80m in the second
quarter. The second quarter also benefits from the
positive effects of falling interest rates and lower
negative effects due to lower repurchase volumes
compared with the first quarter.
Russia
The Russian operations are reported since 2013 as
discontinued operations. The result for the first half-year
for discontinued operations was SEK -257m (-2 277). In
the first half-year 2013 the Ukrainian operations were
included in discontinued operations and affected the
result by SEK -2 236m. When the Ukrainian operations
were sold in the second quarter 2013, SEK -1 875m
was reclassified to profit or loss from other
comprehensive income. A corresponding reclassification
of SEK -223m was made during the second quarter
2014 for the winding down of the Russian operations.
Remaining equity in the Russian operations amounts to
SEK 212m, with remaining negative FX differences of
SEK 11m as of 30 June.
Swedbank’s net lending in Russia (including leasing)
amounted to SEK 0.9bn as of 30 June. The lending
portfolio in Russia, mainly consisting of good quality
corporate loans, will decrease as customers amortise
their loans.
Group Functions & Other consists of centralised business support units: Group Products, Group Staffs, and the
remaining operations in Russia. Group staffs, comprise Accounting & Finance (including Group Treasury and
Communication), Risk, IT, Compliance, Public Affairs, HR and Legal, operate across business areas and serve as
strategic and administrative support.

Eliminations
Income statement
SEKm 2014 2014 % 2013 % 2014 2013 %
Net interest income 0 4 2 4 3 33
Net commission income 19 16 19 20 -5 35 37 -5
Net gains and losses on financial items at fair value 0 0 0 0 0
Other income -70 -78 10 -86 19 -148 -148 0
Total income -51 -58 12 -64 -20 -109 -108 -1
Staff costs 0 0 0 0 0
Variable staff costs 0 0 0 0 0
Other expenses -51 -58 12 -64 -20 -109 -108 -1
Depreciation/amortisation 0 0 0 0 0
Total expenses -51 -58 12 -64 -20 -109 -108 -1
Group eliminations mainly consist of eliminations of internal transactions between Group Functions and the other
business segments.

Product areas
Swedbank is a market leader in a number of its product areas, including asset management, cards, payments and
mortgage lending. Responsibility for the product units rests with Group Products (Group Functions & Other), but the
results are reported in several legal units and in the three business segments.
Lending/deposits
Lending products account for about 62 per cent of
Swedbank’s assets on the balance sheet. Swedbank’s
lending operations are concentrated in Sweden,
Estonia, Latvia, Lithuania and Norway.
Swedbank’s total lending to private customers and
corporations amounted to SEK 1 266bn (1 215 as of 31
December 2013). Household lending is the largest part,
with mortgages to private customers and tenant-owner
associations in Sweden accounting for about 57 per
cent. Swedbank’s market share for mortgages in
Sweden is 25 per cent. Over one million customers
obtain their mortgages through Swedbank Mortgage,
and lending is geographically spread throughout the
country.
Swedbank is also a major player in corporate lending in
Sweden, with lending of SEK 359bn and a market share
of 18 per cent as of 30 June (17 per cent as of 31
December 2013). Major sectors in Sweden include
property-related lending, which accounts for
SEK 186bn, and the forestry and agricultural sector,
which accounts for SEK 71bn and where Swedbank has
a dominant position. Swedbank is the largest lender in
the Baltic countries, with market shares of 17-34 per
cent. Estonia accounts for nearly half of Swedbank’s
Baltic loan portfolio, and there Swedbank has a market
share of over 34 per cent. Total lending in the Baltic
countries amounts to SEK 122bn, half of which is to
households and half to companies. Major sectors for
corporate lending in the Baltic countries include
commercial real estate and manufacturing.
Swedbank is also a major player in deposits in its home
markets. Total deposit volumes as of 30 June amounted
to SEK 669bn (599), of which SEK 357bn (341) was to
private customers and SEK 312bn (258) to corporate
customers. Just over 73 per cent of Swedbank’s total
deposit volumes is in Sweden.
For more information on Swedbank’s lending and
deposits, see each business segment.
Payment operations
Swedbank is a leader in payment and cash
management products in its four home markets. Growth
in the payment area is based on economic growth and
on customers’ increasing use of payment means other
than cash.
The payment area is strongly affected by changes in the
operating environment. Rapid technological
developments are creating a challenge in the form of
increased competition, especially from e-commerce
companies. Swedbank is well prepared in this regard in
terms of infrastructure, economies of scale and its long
history of strong consumer protection, an important
factor as e-commerce grows. Over time regulatory
changes will increase competition in selected parts of
the payment area, which will have to be addressed
mainly with cost efficiencies.
A growing share of customers is managing their
payments digitally. Today over 3 million of the bank’s
customers in Sweden and 2.2 million in the Baltic
countries have access to payment services through the
Internet Bank and the Mobile Bank. The number of
transactions through these channels grew by 14.9 per
cent during the first half of 2014 year-on-year. Users of
Mobile BankID, which facilitates online and mobile
payments, are steadily increasing in number and now
number over 1 070 000, compared with 460 000 on 30
June 2013.
Users of Swish, a solution for mobile payments shared
with other Swedish banks, are also increasing and at
the end of the quarter amounted to 1.4 million. The
service will remain free for Swedbank’s private
customers. In June 2014 a commercial version of Swish
was launched to allow small businesses, associations
and organisations to accept payments from individuals.
Payments Jan-Jun Jan-Jun
Income, SEKm 2014 2013 %
Net commission income 491 512 -4
of which Nordic countries 206 271 -24
of which Baltic countries 286 241 19
Net commission income for the first half of 2014 was 4
per cent lower year-on-year. The outsourcing of ATMs
to Bankomat AB reduced the net commission income by
SEK 56m, while a repayment of SEK 35m from the
Lithuanian competition authority increased it. Excluding
these items net commission income was stable. In the
Nordic region the decrease was 3 per cent while it
increased by 4 per cent in the Baltic countries.
Commission income increased due to higher volumes of
domestic payments in the Nordic region (12 per cent)
and the Baltic countries (10 per cent), while commission
expenses were unchanged or lower as a result of
proactive measures to reduce them. Commission
income from international payments increased by 5 per
cent in the Nordic region, but decreased by 19 per cent
in the Baltic countries due to the euro adoption in
Latvia.
Payments Jan-Jun Jan-Jun
Key figures 2014 2013 %
International payments (million) 5.1 4.9 4
of which Sweden 2.3 2.2 5
of which Baltic countries 2.8 2.7 4
Domestic payments (million) 1)
442.1 421.5 5
E-services payments (million) 2)
150.8 89.5 68
Factoring portfolio, SEKm 4 301 4 446 -3
of which Sweden 2 255 2 238 1
of which Baltic countries 2 046 2 208 -7
1)
Domestic payments include salary and mass payments, giro
payments, direct debit payments, internet payments.
2)
E-services payments include e-invoices, bank link payments, mobile
phone top-up transactions, number of signed transactions and ID
transactions through E-ID/BankID.

Card business
Swedbank issues cards to the public and acquires card
payments from merchants in all its home markets as
well as in Denmark and Norway. When one of its cards
is used to pay in a store, Swedbank, as the issuer,
receives a commission from the merchant’s payment
acquirer. Conversely, Swedbank pays a commission to
the card issuer when it acquires card payments from
merchants. The payment acquisition business was
recently expanded to Finland. The credit card
operations in Sweden, Denmark and Norway are
managed by Entercard AB, a joint venture with Barclays
Bank. Swedbank owns 50 per cent of Entercard. Other
card business takes place within the bank. Swedbank’s
aggregate market share for the card business in its
home markets is about 50 per cent.
Swedbank is Europe’s fifth largest card payment
acquirer based on number of transactions. In this
capacity, Swedbank enables retailers to accept payment
through card terminals and online. Revenue mainly
comes from the transaction fees retailers pay for access
to infrastructure, administration, risk hedging and
payment guarantees. As a payment acquirer, Swedbank
incurs expenses for the above-mentioned commissions
to card issuers as well as for operations and service.
Rapidly expanding e-commerce is an important growth
area for Swedbank. For retailers, the bank offers e-
commerce solutions as a complement to other payment
solutions. Swedbank’s payment acquisition volume in e-
commerce has increased by just over 100 per cent
since the first half-year 2013.
In April Swedbank launched Babs Micro, a mobile
based payment terminal that allows small businesses
and associations to accept card payments by mobile
phone without needing access to a fixed terminal.
Swedbank is the eleventh largest debit card issuer in
Europe based on number of transactions. Sweden is
among the countries in the world with the highest levels
of card usage. Nearly 80 per cent of retail purchases are
made by card at the same time that the number of cash
withdrawals through ATMs is decreasing. As a card
issuer, Swedbank generates revenue from cardholders
in the form of annual fees, currency exchange fees and
interest when credit is utilised. Transaction growth for
Swedbank’s cards in Sweden exceeded 10 per cent in
the last year. The percentage of card transactions is
high in Estonia as well (55 per cent), with an annual
growth rate of about 9 per cent. In Latvia and Lithuania,
card usage is lower, but the growth rate is expected to
be higher than in Sweden. In card issuance in the
bank’s home markets the biggest growth opportunities
are in corporate cards, where Swedbank has historically
been weaker and where the large number of small
business customers offers significant potential.
Card related income Jan-Jun Jan-Jun
SEKm 2014 2013 %
Total income, SEKm 1 746 1 437 22
of which Nordics 845 829 2
of which Entercard1)
510 261 95
1)
Swedbank's share of the profit or loss of the associate Entercard.
Total card income increased by 22 per cent year-on-
year. Entercard reported one-off income during the
second quarter after a distribution partner in Norway
terminated their partnership, which positively affected
Sweden’s income by approximately SEK 230m. As a
result, Entercard’s credit volumes decreased by
approximately SEK 25 per cent.
In the Nordic region income was flat. The transaction
volume in payment acquisitions increased by 9 per cent,
while the corresponding increase for bank card
transactions was 11 per cent. The increased transaction
volumes produced higher issuance income, while the
margins in payment acquisitions are under pressure.
In the Baltic countries, card issuance income is growing
thanks to improved margins and increased card usage,
primarily in Latvia and Lithuania.
Jan-Jun Jan-Jun
Key ratios, cards 2014 2013 %
Acquired transactions, million 935 850 10
Acquired volumes, SEKbn 227 208 9
Issued cards, millon 7.7 7.8 -1
of which Nordics 3.9 3.9 0
of which Baltic countries 3.9 3.9 -2
Number of card purchases, million 634 570 11
Asset management business
Asset management operations are conducted through
the Swedbank Robur group in Swedbank’s four home
markets and in Norway. In total, Swedbank Robur offers
around 140 funds as well as discretionary asset
management. Fund assets under management
amounted to SEK 666bn (561) on 30 June, of which the
Swedish operations accounted for SEK 640bn. The
market share in Sweden was 23.1 per cent in terms of
assets under management. Discretionary assets under
management amounted to SEK 297bn (257).
Of the total net inflow to the Swedish fund market, the
majority was to fixed income funds (SEK 48bn) and
mixed funds (SEK 25bn) during the first half-year. Equity
funds reported a positive inflow as of 30 June (SEK 5bn)
after an outflow in the first quarter. The total net inflow to
Swedbank Robur’s funds in Sweden was SEK 13bn,
including SEK 10.7bn during the second quarter. This
includes inflows to fixed income funds (SEK 13.5bn) and
mixed funds (SEK 3.4bn), while equity funds posted a
further outflow of SEK 3.7bn. Swedbank’s market share
of net inflows was 15.5 per cent during the first half-
year. The inflow to discretionary asset management
amounted to SEK 7.4bn during the first half-year.

Asset management Jan-Jun Jan-Jun
Key ratios, SEKbn 2014 2013 %
Total income, SEKm 2 206 1 972 12
Assets under management 666 561 19
of which Sweden 640 541 18
of which Norway 4 2 81
Discretionary asset management 297 257 15
of which Sweden 295 254 16
of which Baltic countries 2 3 -33
Income from asset management products amounted to
SEK 2 206m during the first half-year, an increase of 12
per cent year-on-year. The improvement is mainly due
to the market’s positive development, which increased
average assets under management by 19 per cent.
Compared with the previous quarter income increased
by SEK 62m, mainly due to a positive stock market.
Insurance business
Swedbank has life insurance operations in all its home
markets and non-life operations in the Baltic countries.
Non-life insurance is offered in Sweden through a third-
party solution with the insurance company Tre Kronor.
Insurance products are sold through the distribution
channels of Swedbank and the savings banks.
Premium payments Jan-Jun Jan-Jun
SEKm 2014 2013 %
Sweden 8 892 8 449 5
of which collective occupational
pensions 3 066 2 833 8
of which endowment insurance 4 028 3 984 1
of which occupational pensions 1 086 976 11
of which risk insurance 380 347 9
of which other 333 310 7
Baltic countries 590 489 21
of which life insurance 369 303 22
of which non-life insurance 221 186 19
Sweden
Swedbank’s life insurance company is the seventh
largest in the Swedish market. In terms of premium
payments it has a market share of about 7 per cent.
During the first half-year premium income amounted to
SEK 8.9bn, an increase of 5 per cent year-on-year.
Demand for pension and insurance products will remain
high for the foreseeable future, and currently they
account for the largest inflow of all savings products.
Considering that only 20 per cent of the corporate
customers of Swedbank and the savings banks have an
occupational pension solution from Swedbank
Försäkring, there is significant potential to raise sales
among existing customers. Premium payments from
occupational pensions rose by 11 per cent from the first
half-year 2013, partly because the portfolio increased
and partly because transfers from other insurers rose by
32 per cent.
Portions of the life insurance market (mainly customised
occupational pension solutions) have high margins,
while a large part of new savings will be in low-margin
products. In order to offer competitive services in the
long term, Swedbank has made efficiencies and
automation of internal processes a priority. Swedbank
does not consider the fees charged in parts of the
occupational pension market to be sustainable in the
current low interest rate environment.
From 1 July 2013 Swedbank Försäkring is a company of
choice for the collectively negotiated ITP plan’s 1.5
million private sector employees, one of the fastest
growing areas of the occupational pension market.
Since July 2013 around 11 000 new agreements have
been signed and SEK 376m has been transferred from
other insurers, of which nearly 4 000 policies worth SEK
272m are attributable to the first half-year 2014.
Baltic countries
In Estonia and Lithuania, Swedbank is the largest life
insurance company, with market shares of 37 and 22
per cent respectively. The market share in Latvia is 15
per cent, where the business, in contrast to Estonia and
Lithuania, has been built up without acquiring an
existing insurance portfolio. Swedbank mainly focuses
on risk insurance for existing loan customers in the retail
banking market, where it sees significant opportunities
to promote sound and sustainable finances because of
the limited social safety net in the Baltic countries.
Sales of Swedbank’s savings products increased by 40
per cent year-on-year. The corresponding increase for
risk products was 33 per cent. More new products have
resulted in higher premium income, which amounted to
SEK 369m, up 16 per cent in local currency compared
with the same period in 2013.
The market shares for non-life insurance in Estonia,
Latvia and Lithuania are 14, 3 and 1 per cent
respectively. In non-life insurance, Swedbank mainly
offers solutions for private customers. The largest
product areas are auto and home insurance, which are
offered together with leasing and mortgages as well as
through direct sales. The non-life operations in Lithuania
were not launched until 2011. The market for auto
leasing is small in Lithuania, because of which
Swedbank is primarily focused on increasing its market
share in home insurance. Total premium income for
non-life insurance in the Baltic operations amounted to
SEK 221m during the first half-year, an increase of 13
per cent in local currency compared with the first half of
2013. Increases were reported for every product, but
especially home insurance, where advertising
campaigns and more active sales by bank branches
have led to higher volumes.
Assets under management
Assets under management 30 Jun 31 Dec
SEKbn 2014 2013 %
Sweden 129.1 118.2 9
of which collective occupational
pensions 53.8 47.6 13
of which endowment insurance 52.7 49.6 6
of which occupational pensions 13.7 12.4 10
of which other 8.9 8.6 4
Baltic countries 3.7 3.1 18
of which life insurance 3.7 3.1 18
Assets under management in the Swedish insurance
operations rose by 9 per cent to SEK 129.1bn during the
first half-year, of which SEK 112.6bn relates to unit
linked and deposit insurance. The increase was due to
higher stock prices and a positive net inflow. The net
inflow is usually higher during the first half-year than the
second due to premium payments for contractual

pensions. Assets under management in the Baltic life
insurance company amounted to SEK 3.7bn, an
increase of 10 per cent in local currency. Unit linked
insurance is growing and accounted for SEK 2.4bn. The
traditionally managed portfolio is gradually decreasing
owing to the portfolio’s age and being closed for new
business.
Revenue
Insurance related income Jan-Jun Jan-Jun
SEKm 2014 2013 %
Sweden 718 766 -6
of which life insurance 692 728 -5
of which non-life insurance 25 38 -34
Baltic countries 204 186 9
of which life insurance 96 98 -1
of which non-life insurance 107 89 21
Total insurance related income 922 953 -3
Swedbank’s total insurance related income amounted to
SEK 922m (953). The main reason for the decrease in
Swedish life insurance is that the first half-year 2013
contained a reversal of risk reserves. Part of the risk
insurance premium is continuously allocated to cover
claims, based on future claim assumptions. At the same
time higher assets under management have resulted in
increased income from savings products. The decrease
in Swedish non-life insurance is also due to positive
one-off effects in 2013.
Revenue for the Baltic life business amounted to
SEK 96m, a decrease of 6 per cent in local currency
year-on-year. Part of the reason for the decrease is that
low interest rates have led to higher provisions to cover
guaranteed returns in traditional asset management,
and part is that the dividend to the parent company has
meant lower interest income on the capital. Revenue for
the Baltic non-life business increased due to an
improved risk result, mainly because of a mild and
relatively snow-free winter. The claims ratio for the
period was 53 per cent, compared with 58 per cent in
the same period of 2013.

Financial information - contents
Group Page
Key ratios 30
Notes
Note 1 Accounting policies 33
Note 2 Critical accounting estimates 34
Note 3 Changes in the Group structure 34
Note 4 Operating segments (business areas) 35
Note 5 Net interest income 37
Note 6 Net commission income 38
Note 7 Net gains and losses on financial items at fair value 39
Note 8 Other expenses 40
Note 9 Credit impairments 40
Note 10 Loans 41
Note 11 Impaired loans etc. 42
Note 12 Assets taken over for protection of claims and cancelled leases 42
Note 13 Credit exposures 42
Note 14 Intangible assets 43
Note 15 Amounts owed to credit institutions 44
Note 16 Deposits and borrowings from the public 44
Note 17 Debt securities in issue 44
Note 18 Derivatives 45
Note 19 Financial instruments carried at fair value 45
Note 20 Pledged collateral 48
Note 21 Offsetting financial assets and liabilities 48
Note 22 Capital adequacy consolidated situation 49
Note 23 Risks and uncertainties 50
Note 24 Business combinations 51
Note 25 Discontinued operations 52
Note 26 Related-party transactions 52
Note 27 Swedbank’s share 53
Note 28 Effects of changes in accounting policies 54
Parent company
Capital adequacy 58
More detailed information can be found in Swedbank’s fact book, www.swedbank.com/ir, under Financial information and
publications.

Income statement, condensed
Group Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Interest income 10 461 10 539 -1 11 113 -6 21 000 22 182 -5
Interest expenses -4 940 -5 056 -2 -5 704 -13 -9 996 -11 420 -12
Net interest income (note 5) 5 521 5 483 1 5 409 2 11 004 10 762 2
Commission income 4 060 3 874 5 3 632 12 7 934 7 052 13
Commission expenses -1 247 -1 181 6 -1 107 13 -2 428 -2 139 14
Net commission income (note 6) 2 813 2 693 4 2 525 11 5 506 4 913 12
Net gains and losses on financial items at fair value (note 7) 773 345 296 1 118 853 31
Insurance premiums 471 493 -4 419 12 964 917 5
Insurance provisions -337 -343 -2 -275 23 -680 -580 17
Net insurance 134 150 -11 144 -7 284 337 -16
Share of profit or loss of associates 410 256 60 197 666 403 65
Other income 804 393 408 97 1 197 793 51
Total income 10 455 9 320 12 8 979 16 19 775 18 061 9
Staff costs 2 901 2 437 19 2 391 21 5 338 4 749 12
Other expenses (note 8) 1 846 1 610 15 1 567 18 3 456 3 081 12
Total expenses 4 919 4 226 16 4 126 19 9 145 8 169 12
Impairment of intangible assets (note 14) 1 0 170 -99 1 170 -99
Credit impairments (note 9) 30 -100 88 -66 -70 148
Tax expense 1 063 1 074 -1 913 16 2 137 1 889 13
Profit for the period attributable to the
shareholders of Swedbank AB 4 139 3 953 5 1 592 8 092 5 117 58
of which profit for the period from continuing operations 4 369 3 980 10 3 478 26 8 349 7 394 13
of which profit for the period from discontinued operations -230 -27 -1 886 -88 -257 -2 277 -89
Non-controlling interests 4 5 -20 1 9 4
of which profit for the period from continuing operations 4 5 -20 2 100 9 4
of which profit for the period from discontinued operations 0 0 -1 0 0

Statement of comprehensive income, condensed
SEKm 2014 2014 % 2013 % 2014 2013 %
Profit for the period reported via income statement 4 143 3 958 5 1 593 8 101 5 121 58
Items that will not be reclassified to the income statement 0 0 0 0 0
Remeasurements of defined benefit pension plans 337 -221 1 402 -76 116 2 076
Share related to associates -6 -7 -14 25 -13 9
Income tax -72 50 -312 -77 -22 -457
Total 259 -178 1 115 -77 81 1 628
Items that may be reclassified to the income statement 0 0 0 0 0
Exchange differences, foreign operations 0 0 0 0 0
Gains/losses arising during the period 1 065 157 2 089 -49 1 222 742 65
Reclassification adjustments to income statement,
profit for the period from discontinued operation 508 0 1 875 -73 508 1 875 -73
Hedging of net investments in foreign operations: 0 0 0 0 0
Gains/losses arising during the period -853 -148 -1 644 -48 -1 001 -559 79
Reclassification adjustments to income statement, profit for the
period from discontinued operations -365 0 0 -365 0
Cash flow hedges: 0 0 0 0 0
Gains/losses arising during the period 3 -79 -26 -76 -66 -15
net interest income 4 5 -20 25 -84 9 47 -81
Share of other comprehensive income of associates 1 28 -96 -9 29 -62
Income tax
Income tax 178 54 361 -51 232 125 86
Reclassification adjustments to income statement, profit for the
period from discontinued operations 80 0 0 80 0
Total 621 17 2 671 -77 638 2 102
Other comprehensive income for the period, net of tax 880 -161 3 786 -77 719 3 730 -81
Total comprehensive income for the period 5 023 3 797 32 5 379 -7 8 820 8 851 0
Total comprehensive income attributable to the
shareholders of Swedbank AB 5 019 3 792 32 5 378 -7 8 811 8 847 0
Non-controlling interests 4 5 -20 1 9 4
During the first half-year 2014 income of SEK 81m (1 628) was recognised in other comprehensive income after tax,
including the remeasurements of defined benefit pension plans in associates. During the first half-year market interest
rates fell significantly, because of which the discount rate used to calculate the closing pension obligation was reduced
from 3.44% to 2.87%. Declining interest rates, especially during the second quarter, meant that the inflation assumption
used in the same calculation had to be reassessed. Previously the Riksbank’s inflation target of 2.00% had been used. As
of 1 July 2014 the inflation assumption is instead based on a weighted average of an inflation assumption for each cash
flow’s maturity that the debt represents. For maturities where liquid nominal and index linked government bonds exist, the
inflation assumption is measured as the difference between the nominal and index linked market rate. For the period
beyond the bonds’ maturities, the inflation assumption is gradually adapted to the Riksbank’s inflation target. Taken
together, this led to a reduction in the inflation assumption at mid-year 2014 to 1.50%. Because the inflation assumption
was reduced from 2.00% to 1.50%, the nominal assumption used for annual wage increase was reduced as well, from
4.00% to 3.50%. In addition, the assumed annual increase in the income base amount has been adjusted for historical
outcomes. The revised inflation assumption eliminated nearly the entire negative revaluation effect of about SEK 2 000m
before tax that arose because only the discount rate was reduced. The revaluation of the plan assets had a positive effect
during the first half-year of SEK 208m before tax. The revised assumptions used to determine the size of pension debt as
of 30 June 2014 do not affect the estimated pension cost recognised in profit or loss for 2014.
During the first half-year 2014 a positive exchange difference of SEK 1 222m (742) was recognised for the Group's
foreign net investments in subsidiaries. In addition, an exchange rate difference of SEK 28m for the Group's foreign net
investments in associates is included in Share related to associates. The income from subsidiaries and associates arose
due to the depreciation of the Swedish krona against the euro, the Lithuanian currency (which is correlated with the euro)
and the Norwegian krone. The net income of SEK 1 250m is not taxable. Since the large part of the Group's foreign net
assets is hedged against currency risk, a loss of SEK 1 001m (559) before tax arose related to the hedging instruments.
The Group’s Russian operations have been reported as discontinued operations since 2013. During the second quarter
2014 the majority of the Russian net assets in roubles were discontinued as a result of sales and repayments. As a result,
the cumulative exchange rate differences on the net assets amounting to SEK -508m and the cumulative currency result
for hedging instruments amounting to SEK 365m before tax were reclassified from other comprehensive income to profit
or loss.
The revaluation of defined benefit pension plans and translation of net investments in foreign operations could be volatile
in some periods due to discount rate and exchange rates movements.

Key ratios
SEKm 2014 2014 2013 2014 2013
Earnings per share, continuing operations, SEK1)
3.96 3.62 3.16 7.58 6.73
after dilution1)
3.94 3.59 3.15 7.53 6.69
Earnings per share, discontinued operations, SEK1)
-0.21 -0.02 -1.71 -0.23 -2.07
after dilution1)
-0.21 -0.02 -1.71 -0.23 -2.06
Earnings per share, total operations, SEK1)
3.75 3.60 1.45 7.35 4.66
after dilution1)
3.73 3.57 1.44 7.30 4.63
Equity per share, SEK 97.65 92.97 89.44 97.65 89.44
Return on equity, continuing operations, % 16.6 14.6 14.1 15.5 14.7
Return on equity, total operations, % 15.8 14.5 6.5 15.1 10.1
1)
Including deduction of the preference share dividend, earnings per share for Jan-Jun 2013 were SEK 3.07 for total operations after dilution. The
calculations are specified on page 53.

Balance sheet, condensed
Group 30 Jun 31 Dec 30 Jun
SEKm 2014 2013 % 2013 %
Assets
Cash and balance with central banks 158 671 59 382 199 879 -21
Loans to credit institutions (note 10) 97 869 82 278 19 73 100 34
Loans to the public (note 10) 1 322 785 1 264 910 5 1 245 820 6
Value change of interest hedged item in portfolio hedge 788 62 0 -234 0
Interest-bearing securities 199 288 182 399 9 135 550 47
Financial assets for which customers bear the investment risk 134 553 122 743 10 114 571 17
Shares and participating interests 9 993 7 109 41 4 600
Investments in associates 4 853 3 640 33 3 267 49
Derivatives (note 18) 75 794 64 352 18 71 470 6
Intangible fixed assets (note 14) 13 966 13 658 2 13 485 4
Investment properties 388 685 -43 1 439 -73
Tangible assets 3 102 3 140 -1 3 904 -21
Current tax assets 1 068 895 19 629 70
Deferred tax assets 681 417 63 484 41
Other assets 19 999 9 578 8 319
Prepaid expenses and accrued income 6 694 6 992 -4 7 742 -14
Group of assets classified as held for sale (note 25) 1 251 1 862 -33 2 388 -48
Total assets 2 051 743 1 824 102 12 1 886 413 9
Liabilities and equity
Amounts owed to credit institutions (note 15) 149 863 121 621 23 124 002 21
Deposits and borrowings from the public (note 16) 697 168 620 608 12 672 882 4
Debt securities in issue (note 17) 800 419 726 275 10 744 829 7
Financial liabilities for which customers bear the investment risk 136 843 125 548 9 117 187 17
Derivatives (note 18) 57 129 55 011 4 59 862 -5
Current tax liabilities 641 1 893 -66 635 1
Deferred tax liabilities 2 288 2 383 -4 2 645 -13
Short positions, securities 30 405 17 519 74 15 649 94
Other liabilities 31 205 14 269 18 752 66
Accrued expenses and prepaid income 13 856 14 194 -2 12 676 9
Provisions 5 615 4 698 20 4 931 14
Subordinated liabilities 18 377 10 159 81 10 585 74
Liabilities directly associated with group of assets classified
as held for sale (note 25) 134 219 -39 375 -64
Equity 107 800 109 705 -2 101 403 6
of which non-controlling interests 169 165 2 153 10
of which attributable to shareholders of Swedbank AB 107 631 109 540 -2 101 250 6
Total liabilities and equity 2 051 743 1 824 102 12 1 886 413 9

Statement of changes in equity, condensed
Group Non-controlling Total
SEKm interests equity
Share
capital
Other
contri-
buted
equity1)
Exchange
differences,
subsidiaries
and associates
Hedging of net
investments in
foreign
operations
Cash
flow
hedges
Retained
earnings Total
January-June 2013
Opening balance 1 January 2013 24 904 17 275 -3 848 1 001 -42 63 742 103 032 154 103 186
Dividends 0 0 0 0 0 -10 880 -10 880 -5 -10 885
Share based payments to employees 0 0 0 0 0 212 212 0 212
Deferred tax related to share based payments to
employees 0 0 0 0 0 39 39 0 39
Associates' acquisition of shares in Swedbank AB 0 0 0 0 0 -14 -14 0 -14
Associates' disposal of shares in Swedbank AB 0 0 0 0 0 14 14 0 14
Total comprehensive income for the period 0 0 2 553 -436 -15 6 745 8 847 4 8 851
Closing balance 30 June 2013 24 904 17 275 -1 295 565 -57 59 858 101 250 153 101 403
January-December 2013
Opening balance 1 January 2013 24 904 17 275 -3 848 1 001 -42 63 742 103 032 154 103 186
Dividends 0 0 0 0 0 -10 880 -10 880 -5 -10 885
employees 0 0 0 0 0 83 83 0 83
Associates' acquisition of shares in Swedbank AB 0 0 0 0 0 -14 -14 0 -14
Total comprehensive income for the period 0 0 3 015 -708 -97 14 677 16 887 16 16 903
Closing balance 31 December 2013 24 904 17 275 -833 293 -139 68 040 109 540 165 109 705
January-June 2014
Opening balance 1 January 2014 24 904 17 275 -833 293 -139 68 040 109 540 165 109 705
Dividends 0 0 0 0 0 -11 133 -11 133 -5 -11 138
employees 0 0 0 0 0 14 14 0 14
Associates' acquisition of shares in Swedbank AB 0 0 0 0 0 0 0 0 0
Total comprehensive income for the period 0 0 1 758 -1 068 -52 8 173 8 811 9 8 820
Closing balance 30 June 2014 24 904 17 275 925 -775 -191 65 493 107 631 169 107 800
Shareholders'
equity
1)
Other contributed equity consists mainly of share premiums.

Cash flow statement, condensed
Group Jan-Jun Full-year Jan-Jun
SEKm 2014 2013 2013
Operating activities
Operating profit 10 495 19 355 9 287
Profit for the period from discontinued operations -257 -2 340 -2 277
Adjustments for non-cash items in operating activities -591 -500 -2 403
Taxes paid -3 723 -2 961 -1 736
Increase/decrease in loans to credit institutions -10 831 2 597 11 686
Increase/decrease in loans to the public -37 278 -28 775 -11 219
Increase/decrease in holdings of securities for trading -16 666 -46 814 2 514
Increase/decrease in deposits and borrowings from the public including retail bonds 60 123 37 772 91 668
Increase/decrease in amounts owed to credit institutions 25 461 -1 811 1 216
Increase/decrease in other assets -15 445 32 732 26 750
Increase/decrease in other liabilities 36 535 -35 605 -25 198
Cash flow from operating activities 47 823 -26 350 100 288
Investing activities 0
Business combinations -2 918 -213 0
Business disposals -744 119 0
Acquisitions of and contributions to associates -814 -4 -2
Acquisitions of other fixed assets and strategic financial assets -805 -835 -164
Disposals/maturity of other fixed assets and strategic financial assets 505 2 482 1 082
Cash flow from investing activities -4 776 1 549 916
Financing activities
Issuance of interest-bearing securities 68 812 103 085 68 314
Redemption of interest-bearing securities -91 021 -126 236 -103 194
Issuance of commercial paper etc. 325 725 493 982 255 734
Redemption of commercial paper etc. -236 809 -506 627 -241 597
Dividends paid -11 138 -10 885 -10 885
Cash flow from financing activities 55 569 -46 681 -31 628
Cash flow for the period 98 616 -71 482 69 576
Cash and cash equivalents at the beginning of the period 59 383 130 058 130 058
Exchange rate differences on cash and cash equivalents 672 807 245
Cash and cash equivalents at end of the period 158 671 59 383 199 879
During the first half-year 2014 Sparbanken Öresund AB was acquired for SEK 2 938m. Acquired cash and cash
equivalents amounted to SEK 20m. In connection with the acquisition a number of bank branches were sold to
Sparbanken Skåne AB. The proceeds, together with payment of the net debt assumed by the acquirer, amounted to a
cash disbursement of SEK 913m.
Note 1 Accounting policies
The interim report has been prepared in accordance
with IAS 34, Interim Financial Reporting. The
condensed consolidated financial statements have also
been prepared in accordance with the recommendations
and statements of the Financial Reporting Council, the
Annual Accounts Act for Credit Institutions and
Securities Companies and the directives of the Swedish
Financial Supervisory Authority.
The Parent Company report has been prepared in
accordance with the Annual Accounts Act for Credit
Institutions and Securities Companies, the directives of
the Swedish Financial Supervisory Authority and
recommendation RFR 2 of the Financial Reporting
Council.
The accounting policies applied in the interim report
conform to those applied in the Annual Report for 2013,
which was prepared in accordance with International
Financial Reporting Standards as adopted by the
European Union and interpretations thereof. There have
been no significant changes to the Group’s Accounting
policies set out in the Annual Report for 2013, except for
the adoption of new and revised standards as set out
below.
Consolidated financial statements (IFRS 10)
IFRS 10 replaces the rules on consolidation in IAS 27,
Consolidated and Separate Financial Statements and
SIC 12, Consolidation - Special Purpose Entities. The
new standard established a single definition of control
and requires companies to consolidate the entities it
controls. Control over another entity exists when the
reporting company is capable of managing the other
entity, is exposed or entitled to a variable return and is
able to use its power over the entity to affect the return.
The implementation of IFRS 10 resulted in the
consolidation of an investment fund that was previously
not consolidated. See Note 28 for the impacts of
adoption.

Other IFRS changes
Other new or amended standards or interpretations
which have been adopted did not have a significant
effect on the financial position, results or disclosures of
the Group or the parent company. For more
information, refer to pages 74 and 75 of the Annual
Report for 2013.
Future changes to IFRS
Annual improvements 2010-2012 and 2011-2013
The annual improvements amend the current standards
for presentation, recognition or measurement and other
editorial corrections. The improvements apply to
financial years beginning on or after 1 July 2014 and
have not yet been approved by the EU. Adoption is not
expected to have a significant effect on the Group’s
financial position or results.
Revenue from Contracts with Customers (IFRS 15)
IFRS 15 was issued in May 2014 and establishes the
principles for reporting useful information about the
nature, amount, timing, and uncertainty of revenue and
cash flows arising from a contract with a customer. The
standard introduces a five-step model with the
recognition and measurement requirements and new
disclosures. The standard is applicable from 1 January
2017 and has not yet been approved by the EU. The
financial effects of adoption are still being assessed by
the Group.
Financial instruments (IFRS 9)
The issued phases of IFRS 9 Financial Instruments
relate to the classification and measurement of financial
assets, the requirements on accounting for financial
liabilities, incorporation of the requirements for
derecognition and the general hedge accounting rules.
At the IASB’s February 2014 meeting, it was tentatively
decided that the mandatory effective date will be 1
January 2018. The standard has not been approved by
the EU and there is no current timetable on when this is
expected. The financial effects of adopting IFRS 9 will
be assessed when the standard is finalised.
For more detail on the changes, refer to page 75 of the
Annual Report for 2013.
Effect on capital requirements, etc.
The annual improvements are not expected to materially
affect the Group’s capital requirements, the capital base
or large exposures.
Note 2 Critical accounting estimates
Presentation of consolidated financial statements in
conformity with IFRS requires the executive
management to make judgments and estimates that
affect the recognised amounts for assets, liabilities and
disclosures of contingent assets and liabilities as of the
closing day as well as the recognised income and
expenses during the report period. The executive
management continuously evaluates these judgments
and estimates, including: assessing control over
investment funds; fair value of financial instruments,
provisions for credit impairments; impairment testing of
goodwill, investment properties and owner-occupied
properties, net realisable value of properties recognised
as inventory, deferred taxes, defined benefit pension
provisions and shared-based payment costs. With the
exception of tax for the Estonian subsidiary as outlined
below, there have been no significant changes to the
basis upon which the critical accounting policies and
judgments have been determined compared to 31
December 2013.
Tax
For the parent company’s Estonian subsidiary,
Swedbank AS, income taxation is triggered only if
dividends are paid. The parent company determines the
dividend payment. For profits generated from 1 January
2014, the parent company has introduced a dividend
policy in respect of Swedbank AS that approximately 60
per cent of the profit before tax will be distributed as a
dividend. Hence, a deferred tax liability is recognised on
these profits. For profits generated prior to 1 January
2014, a dividend is still not expected to be paid in the
foreseeable future; therefore the Group continues to not
recognise a deferred tax liability.
Note 3 Changes in the Group structure
External
During the first quarter 2014 the wholly owned Latvian
subsidiary Ektornet Kr. Valdemara was sold. The
company’s principal asset was a property in Moscow.
The proceeds from the sale of the company amounted
to SEK 139m and a capital gain of SEK 83m was
recognised.
On 20 May Swedbank AB acquired all the shares in
Sparbanken Öresund AB for SEK 2 938m. On the same
date, immediately after the share purchase, Sparbanken
Öresund AB sold a number of bank branches to
Sparbanken Skåne AB for SEK 1 847m with no capital
gain or loss. See note 24 Business combination.

Note 4 Operating segments (business areas)
Jan-Jun Large Group
2014 Swedish Corporates & Baltic Functions
SEKm Banking Institutions Banking & Other Eliminations Group
Income statement
Net commission income 3 439 1 126 951 -45 35 5 506
Net gains and losses on financial items at fair value 104 1 140 115 -241 0 1 118
Share of profit or loss of associates 666 0 0 0 0 666
Other income 766 65 227 571 -148 1 481
Total income 11 651 4 044 3 061 1 128 -109 19 775
of which internal income 88 0 0 -240 152 0
Staff costs 2 279 645 380 1 629 0 4 933
Variable staff costs 103 150 39 113 0 405
Other expenses 3 188 807 738 -1 168 -109 3 456
Depreciation/amortisation 65 36 71 179 0 351
Total expenses 5 635 1 638 1 228 753 -109 9 145
Profit before impairments 6 016 2 406 1 833 375 0 10 630
Impairment of intangible assets 0 0 1 0 0 1
Impairment of tangible assets 0 0 -2 206 0 204
Credit impairments 56 -9 -117 0 0 -70
Operating profit 5 960 2 415 1 951 169 0 10 495
Tax expense 1 203 517 295 122 0 2 137
Profit for the period from continuing operations 4 757 1 898 1 656 47 0 8 358
Profit for the period from discontinued
operations, after tax 0 0 0 -257 0 -257
Profit for the period 4 757 1 898 1 656 -210 0 8 101
shareholders of Swedbank AB 4 749 1 898 1 656 -211 0 8 092
Balance sheet, SEKbn
Cash and balances with central banks 0 4 2 153 0 159
Loans to credit institutions 43 278 0 198 -421 98
Loans to the public 987 213 122 1 0 1 323
Bonds and other interest-bearing securities 2 65 1 138 -7 199
Financial assets for which customers bear inv. risk 134 0 2 0 -1 135
Investments in associates 3 0 0 2 0 5
Derivatives 0 88 0 35 -47 76
Total tangible and intangible assets 3 0 11 3 0 17
Other assets 6 7 9 667 -649 40
Total assets 1 178 655 147 1 197 -1 125 2 052
Amounts owed to credit institutions 82 217 0 267 -416 150
Deposits and borrowings from the public 405 123 122 52 -5 697
Debt securities in issue 2 16 1 793 -12 800
Financial liabilities for which customers bear inv. risk 134 0 3 0 0 137
Derivatives 0 84 0 20 -47 57
Other liabilities 519 198 0 13 -645 85
Subordinated liabilities 0 0 0 18 0 18
Total liabilities 1 142 638 126 1 163 -1 125 1 944
Allocated equity 36 17 21 34 0 108
Total liabilities and equity 1 178 655 147 1 197 -1 125 2 052
Key figures
Return on allocated equity, continuing operations, % 29.0 24.8 15.3 0.2 15.5
Return on allocated equity, total operations, % 29.0 24.8 15.3 -1.1 15.1
Credit impairment ratio, % 0.01 -0.01 -0.20 0.00 -0.01
Loans, SEKbn 987 157 122 0 1 266
Deposits, SEKbn 401 98 122 48 669
Risk exposure amount, Basel 3, SEKbn 179 117 83 28 407
Full-time employees 5 446 1 120 3 822 4 294 14 682

Jan-Jun Large Group
2013 Swedish Corporates & Baltic Functions
SEKm Banking Institutions Banking & Other Eliminations Group
Income statement
Net commission income 3 138 942 833 -37 37 4 913
Net gains and losses on financial items at fair value 67 1 082 134 -430 853
Share of profit or loss of associates 401 0 0 2 403
Other income 389 80 188 621 -148 1 130
Total income 10 694 3 738 2 660 1 077 -108 18 061
of which internal income 88 10 2 -297 197
Staff costs 1 732 581 394 1 585 0 4 292
Variable staff costs 115 192 27 123 0 457
Other expenses 2 884 771 696 -1 162 -108 3 081
Depreciation/amortisation 60 25 66 188 339
Total expenses 4 791 1 569 1 183 734 -108 8 169
Profit before impairments 5 903 2 169 1 477 343 9 892
Impairment of tangible assets 0 0 6 281 287
Credit impairments 91 168 -113 2 148
Operating profit 5 812 1 945 1 584 -54 9 287
Tax expense 1 254 473 127 35 1 889
Profit for the period from continuing operations 4 558 1 472 1 457 -89 7 398
Profit for the period from discontinued
operations, after tax 0 0 0 -2 277 -2 277
Profit for the period 4 558 1 472 1 457 -2 366 5 121
shareholders of Swedbank AB 4 555 1 472 1 457 -2 367 5 117
Non-controlling interests 3 0 1 4
Balance sheet, SEKbn
Cash and balances with central banks 0 4 2 194 0 200
Loans to credit institutions 30 311 1 188 -457 73
Loans to the public 919 203 119 5 0 1 246
Bonds and other interest-bearing securities 0 45 1 95 -5 136
Financial assets for which customers bear inv. risk 112 0 2 0 0 114
Investments in associates 2 0 0 1 0 3
Derivatives 0 89 0 27 -45 71
Total tangible and intangible assets 3 0 10 6 0 19
Other assets 7 15 1 691 -690 24
Total assets 1 073 667 136 1 207 -1 197 1 886
Amounts owed to credit institutions 74 196 0 306 -452 124
Deposits and borrowings from the public 378 101 110 89 -5 673
Debt securities in issue 0 15 1 738 -9 745
Financial liabilities for which customers bear inv. risk 115 0 2 0 0 117
Derivatives 0 84 0 21 -45 60
Other liabilities 473 252 1 15 -686 55
Subordinated liabilities 0 0 0 11 0 11
Total liabilities 1 040 648 114 1 180 -1 197 1 785
Allocated equity 33 19 22 27 101
Total liabilities and equity 1 073 667 136 1 207 -1 197 1 886
Key figures
Return on allocated equity, continuing operations, % 27.9 15.6 12.7 -0.7 14.7
Return on allocated equity, total operations, % 27.9 15.6 12.7 -17.9 10.1
Cost/income ratio 0.45 0.42 0.44 0.68 0.00 0.45
Credit impairment ratio, % 0.02 0.14 -0.19 0.01 0.02
Loans, SEKbn 919 151 119 5 1 194
Deposits, SEKbn 378 69 110 85 642
Risk exposure amount, Basel 2, SEKbn 201 133 92 29 455
Full-time employees 4 921 1 032 4 239 4 159 14 351

Operating segments’ accounting policies
The operating segment reporting is based on Swedbank’s accounting policies, organisation and management accounts.
Market-based transfer prices are applied between operating segments, while all expenses within Group Functions are
transfer priced at cost to the operating segments. The net of services purchased and sold internally is recognised as other
expenses in the income statements of the operating segments. Cross-border transfer pricing is applied according to OECD
transfer pricing guidelines.
The Group’s equity attributable to shareholders is allocated to each operating segment taking into account capital adequacy
rules and estimated capital requirements based on the bank’s Internal Capital Adequacy Assessment Process (ICAAP).
The return on equity for the operating segments is based on operating profit less estimated tax and non-controlling interests
in relation to average allocated equity.
Note 5 Net interest income
SEKm 2014 2014 % 2013 % 2014 2013 %
Interest income
Loans to credit institutions 222 200 11 193 15 422 406 4
Loans to the public 9 864 9 821 0 10 377 -5 19 685 20 875 -6
Interest-bearing securities 642 566 13 504 27 1 208 1 026 18
Derivatives -42 -141 -70 129 -183 222
Other 176 171 3 116 52 347 234 48
Total interest income 10 862 10 617 2 11 319 -4 21 479 22 763 -6
of which interest income reported in net gains and losses on
financial items at fair value 401 78 206 95 479 581 -18
Interest income according to income statement 10 461 10 539 -1 11 113 -6 21 000 22 182 -5
Interest expenses
Amounts owed to credit institutions -177 -130 36 -180 -2 -307 -353 -13
Deposits and borrowings from the public -964 -984 -2 -1 278 -25 -1 948 -2 608 -25
of which deposit guarantee fees -138 -144 -4 -149 -7 -282 -287 -2
Debt securities in issue -4 321 -4 480 -4 -4 813 -10 -8 801 -9 651 -9
of which commissions for government
guaranteed funding -12 -19 -37 -39 -69 -31 -88 -65
Subordinated liabilities -201 -141 43 -187 7 -342 -376 -9
Derivatives 670 630 6 626 7 1 300 1 346 -3
Other -144 -143 1 -127 13 -287 -274 5
of which government stabilisation fund fee -133 -132 1 -108 23 -265 -246 8
Total interest expenses -5 137 -5 248 -2 -5 959 -14 -10 385 -11 916 -13
of which interest income reported in net gains and losses on
financial items at fair value -197 -192 3 -255 -23 -389 -496 -22
Interest expense according to income statement -4 940 -5 056 -2 -5 704 -13 -9 996 -11 420 -12
Net interest margin 1.13 1.12 1.12 1.12 1.14

Note 6 Net commission income
SEKm 2014 2014 % 2013 % 2014 2013 %
Commission income
Payment processing 433 434 0 423 2 867 839 3
Card commissions 1 107 984 13 1 029 8 2 091 1 924 9
Service concepts 122 125 -2 108 13 247 216 14
Asset management and custody fees 1 442 1 336 8 1 226 18 2 778 2 463 13
Life insurance 128 124 3 131 -2 252 255 -1
Brokerage and other securities 180 188 -4 128 41 368 290 27
Corporate finance 124 126 -2 90 38 250 133 88
Lending 242 255 -5 248 -2 497 415 20
Guarantees 58 46 26 43 35 104 90 16
Deposits -8 29 15 21 32 -34
Real estate brokerage 83 66 26 49 69 149 80 86
Non-life insurance 21 17 24 17 24 38 45 -16
Other commission income 128 144 -11 125 2 272 270 1
Total commission income 4 060 3 874 5 3 632 12 7 934 7 052 13
Commission expenses
Payment processing -218 -248 -12 -220 -1 -466 -406 15
Card commissions -520 -478 9 -473 10 -998 -873 14
Service concepts -4 -4 0 -4 0 -8 -8 0
Asset management and custody fees -309 -264 17 -216 43 -573 -491 17
Life insurance -61 -53 15 -57 7 -114 -111 3
Brokerage and other securities -85 -75 13 -86 -1 -160 -156 3
Lending and guarantees -11 -14 -21 -17 -35 -25 -28 -11
Other commission expenses -39 -45 -13 -34 15 -84 -66 27
Total commission expenses -1 247 -1 181 6 -1 107 13 -2 428 -2 139 14
Total Net commission income 2 813 2 693 4 2 525 11 5 506 4 913 12

Note 7 Net gains and losses on financial items at fair value
SEKm 2014 2014 % 2013 % 2014 2013 %
Valuation category, fair value through profit or loss
Shares and share related derivatives 185 -36 148 25 149 169 -12
of which dividend 187 109 72 165 13 296 235 26
Interest-bearing securities and interest related derivatives -5 849 -782 8 822 -6 631 7 050
Loans 37 41 -10 -1 377 78 -2 722
Financial liabilities 465 188 -7 455 653 -4 142
Other financial instruments 5 758 840 10 6 598 9
Total fair value through profit or loss 596 251 148 847 364
Hedge accounting
Ineffective part in hedge accounting at fair value -52 9 -17 -43 -22 95
of which hedging instruments 2 755 1 571 75 -3 862 4 326 -7 020
of which hedged items -2 807 -1 562 80 3 845 -4 369 6 998
Ineffective part in hedging of net investments in
foreign operations 8 2 16 -50 10 -36
Total hedge accounting -44 11 -1 -33 -58 -43
Loan receivables at amortised cost 0 0 32 0 58
Financial liabilities valued at amortised cost 36 28 29 -118 64 -131
Trading related interest
Interest income 402 78 209 92 480 581 -17
Interest expense -197 -192 3 -258 -24 -389 -496 -22
Total trading related interest 205 -114 -49 91 85 7
Change in exchange rates -20 169 284 149 535 -72
Total net gains and losses on financial items
at fair value 773 345 296 1 118 853 31
Distribution by business purpose
Financial instruments for trading related business 6 565 1 359 508 7 924 1 121
Financial instruments intended to be held to contractual
maturity -5 792 -1 014 -212 -6 806 -268
Total 773 345 296 1 118 853 31

Note 8 Other expenses
SEKm 2014 2014 % 2013 % 2014 2013 %
Premises and rents 422 364 16 292 45 786 581 35
IT expenses 463 439 5 402 15 902 755 19
Telecommunications and postage 42 42 0 33 27 84 75 12
Advertising, PR and marketing 104 73 42 99 5 177 169 5
Consultants 188 64 79 252 129 95
Compensation to savings banks 180 169 7 162 11 349 332 5
Other purchased services 159 168 -5 153 4 326 312 4
Security transport and alarm systems 19 21 -10 60 -68 41 141 -71
Supplies 26 38 -32 30 -13 64 59 8
Travel 57 53 8 51 12 110 96 15
Entertainment 11 11 0 10 10 22 21 5
Repair/maintenance of inventories 33 29 14 35 -6 62 71 -13
Other expenses 142 139 2 161 -12 281 340 -17
Total other expenses 1 846 1 610 15 1 567 18 3 456 3 081 12
Note 9 Credit impairments
SEKm 2014 2014 % 2013 % 2014 2013 %
Provision for loans individually assessed
as impaired
Provisions 164 47 91 80 211 261 -19
Reversal of previous provisions -68 -103 -34 -132 -48 -171 -190 -10
Provision for homogenous groups of impaired loans, net -101 -90 12 -45 -191 -91
Total -5 -146 -97 -86 -94 -151 -20
Portfolio provisions for loans individually assessed
as not impaired -18 -1 -20 -10 -19 -75 -75
Write-offs
Established losses 351 312 13 807 -57 663 1 341 -51
Utilisation of previous provisions -208 -188 11 -513 -59 -396 -878 -55
Recoveries -78 -76 3 -97 -20 -154 -165 -7
Total 65 48 35 197 -67 113 298 -62
Credit impairments for contingent liabilities and other
credit risk exposures -12 -1 -3 -13 -55 -76

Note 10 Loans
Group 31 Dec 2013 30 Jun 2013
Loans after Loans after Loans after
provisions provisions provisions
Loans before Carrying Carrying Carrying
SEKm provisions Provisions amount amount % amount %
Loans to credit institutions
Banks 69 946 62 69 884 73 218 -5 58 941 19
Repurchase agreements, banks 12 510 0 12 510 5 498 12 338 1
Other credit institutions 9 393 0 9 393 1 342 0
Repurchase agreements, other credit institutions 6 082 0 6 082 2 220 1 821
Loans to credit institutions 97 931 62 97 869 82 278 19 73 100 34
Loans to the public
Private customers 802 653 1 434 801 219 775 762 3 760 911 5
Private, mortgage 675 253 1 055 674 198 656 031 3 643 679 5
Housing cooperatives 92 270 38 92 232 87 135 6 84 223 10
Private,other 35 130 341 34 789 32 596 7 33 009 5
Corporate customers 466 873 2 058 464 815 438 953 6 432 778 7
Agriculture, forestry, fishing 70 732 117 70 615 67 912 4 67 049 5
Manufacturing 39 821 351 39 470 37 676 5 41 053 -4
Public sector and utilities 21 963 43 21 920 21 410 2 20 705 6
Construction 16 403 98 16 305 14 531 12 14 269 14
Retail 30 639 229 30 410 28 816 6 29 912 2
Transportation 12 499 66 12 433 12 190 2 13 588 -9
Shipping and offshore 24 511 149 24 362 25 472 -4 25 836 -6
Hotels and restaurants 6 293 43 6 250 5 937 5 6 086 3
Information and communications 5 801 13 5 788 4 509 28 3 157 83
Finance and insurance 12 132 11 12 121 17 670 -31 17 717 -32
Property management 186 479 485 185 994 165 480 12 156 305 19
Residential properties 50 652 128 50 524 46 248 9 45 018 12
Commercial 79 486 90 79 396 71 814 11 69 689 14
Industrial and Warehouse 33 043 44 32 999 30 054 10 25 614 29
Other 23 298 223 23 075 17 364 33 15 984 44
Professional services 15 597 272 15 325 14 548 5 14 135 8
Other corporate lending 24 003 181 23 822 22 802 4 22 966 4
Loans to the public excluding the Swedish National Debt
Office and repurchase agreements 1 269 526 3 492 1 266 034 1 214 715 4 1 193 689 6
Swedish National Debt Office 2 221 0 2 221 2 257 -2 2 565 -13
Repurchase agreements,
Swedish National Debt Office 68 0 68 11 163 -99 837 -92
Repurchase agreements, public 54 462 0 54 462 36 775 48 48 728 12
Loans to the public 1 326 277 3 492 1 322 785 1 264 910 5 1 245 820 6
Loans to the public and credit institutions 1 424 208 3 554 1 420 654 1 347 188 5 1 318 920 8
30 Jun 2014

Note 11 Impaired loans etc.
SEKm 2014 2013 % 2013 %
Impaired loans, gross 6 312 7 499 -16 10 111 -38
Provisions for individually assessed impaired loans 1 255 1 509 -17 2 188 -43
Provision for homogenous groups of impaired loans 1 088 1 309 -17 1 858 -41
Impaired loans, net 3 969 4 681 -15 6 065 -35
of which private customers 1 989 2 073 -4 2 511 -21
of which corporate customers 1 980 2 608 -24 3 554 -44
Portfolio provisions for loans individually assessed as not impaired 1 211 1 256 -4 1 399 -13
Share of impaired loans, gross, % 0.44 0.55 0.00 0.76 0.00
Share of impaired loans, net, % 0.28 0.35 0.00 0.46 0.00
Provision ratio for impaired loans, % 37 38 0 40 0
Total provision ratio for impaired loans, % 1)
56 54 0 54 0
Past due loans that are not impaired 4 123 4 969 -17 7 071 -42
of which past due 5-30 days 2 780 2 956 -6 4 511 -38
of which past due 31-60 days 1 008 1 059 -5 1 730 -42
of which past due 61 days or more 335 954 -65 830 -60
1)
Total provision i.e. all provisions for claims in relation to impaired loans, gross.
Note 12 Assets taken over for protection of claims and cancelled leases
SEKm 2014 2013 % 2013 %
Buildings and land 1 466 2 010 -27 3 495 -58
Shares and participating interests 19 22 -14 53 -64
Other property taken over 14 19 -26 18 -22
Total assets taken over for protection of claims 1 499 2 051 -27 3 566 -58
Cancelled leases 59 63 -6 97 -39
Total assets taken over for protection of claims
and cancelled leases 1 558 2 114 -26 3 663 -57
of which acquired by Ektornet 1 382 1 856 -26 3 226 -57
Note 13 Credit exposures
SEKm 2014 2013 % 2013 %
Assets
Cash and balances with central banks 158 671 59 382 199 879 -21
Loans to the public 1 322 785 1 264 910 5 1 245 820 6
Derivatives 75 794 64 352 18 71 470 6
Other financial assets 25 195 15 403 64 14 001 80
Total assets 1 879 602 1 668 724 13 1 739 820 8
Contingent liabilities and commitments
Loan guarantees 26 504 21 937 21 23 147 15
Loan commitments 220 344 198 209 11 193 490 14
Total contingent liabilities and commitments 246 848 220 146 12 216 637 14
Total credit exposures 2 126 450 1 888 870 13 1 956 457 9

Note 14 Intangible assets
SEKm 2014 2013 % 2013 %
With indefinite useful life
Goodwill 12 014 11 760 2 11 620 3
Total 12 014 11 760 2 11 620 3
With finite useful life
Customer base 902 856 5 902 0
Internally developed software 377 386 -2 553 -32
Other 673 656 3 410 64
Total 1 952 1 898 3 1 865 5
Total intangible assets 13 966 13 658 2 13 485 4
Jan-Jun Full year Jan-Jun
Goodwill 2014 2013 % 2013 %
Cost
Opening balance 13 701 15 682 15 682
Additions through business combinations 0 19 0
Disposals 0 -2 394 -2 394
Exchange rate differences 333 394 253
Closing balance 14 034 13 701 13 541
Accumulated amortisation and impairments
Opening balance -1 941 -4 230 -4 230
Impairments 0 0 0
Disposals 0 2 394 2 394
Exchange rate differences -79 -105 -85
Closing balance -2 020 -1 941 -1 921
Carrying amount 12 014 11 760 11 620
Impairment testing of intangible assets
Goodwill and other intangible assets are tested for impairment annually or when there are indications that the recoverable
amount of the assets is lower than their carrying amount. The recoverable amount is the higher of fair value less costs to
sell and value in use. Swedbank calculates value in use by estimating an asset’s future cash flows and calculating them
at present value with a discount rate. Estimated cash flows and discount rates are derived from external sources
whenever possible and appropriate, but must in large part be determined based on executive management’s own
assumptions. Executive management also determines whether there is any need for a new test during the year.
The annual test in 2013 did not lead to any impairment. As of 30 June 2014 there were no indications that warranted a
new impairment test of goodwill.
In the second quarter 2013 internally developed software was impaired by SEK 170m.

Note 15 Amounts owed to credit institutions
SEKm 2014 2013 % 2013 %
Amounts owed to credit institutions
Central banks 9 736 7 618 28 6 336 54
Banks 122 984 102 591 20 104 859 17
Other credit institutions 6 578 3 289 100 2 960
Repurchase agreements - banks 9 246 7 873 17 8 106 14
Repurchase agreements - other credit institutions 1 319 250 1 741 -24
Amounts owed to credit institutions 149 863 121 621 23 124 002 21
Note 16 Deposits and borrowings from the public
SEKm 2014 2013 % 2013 %
Deposits from the public
Private customers 357 302 340 533 5 336 056 6
Corporate customers 311 665 258 132 21 305 732 2
Deposits from the public excluding the Swedish National Debt Office
and repurchase agreements 668 967 598 665 12 641 788 4
Swedish National Debt Office 1 3 -67 1 0
Repurchase agreements - Swedish National Debt Office 0 7 829 2 001
Repurchase agreements - public 28 200 14 112 100 29 092 -3
Deposits and borrowings from the public 697 168 620 609 12 672 882 4
Note 17 Debt securities in issue
SEKm 2014 2013 % 2013 %
Commercial paper 183 567 100 170 83 131 952 39
Covered bonds 489 719 510 930 -4 497 183 -2
recalculations according to IFRS 10 0 -1 431 -1 423
Government guaranteed bonds 0 8 578 9 288
Senior unsecured bonds 113 333 92 898 22 92 651 22
Structured retail bonds 13 800 13 699 1 13 755 0
Total debt securities in issue 800 419 726 275 10 744 829 7
Jan-Jun Full-year Jan-Jun
Turnover during the period 2014 2013 % 2013 %
Opening balance 726 275 767 454 -5 767 454 -5
Issued 387 703 597 067 -35 324 048 20
Business combination 2 028 0 0
Repurchased -25 215 -46 476 -46 -37 831 -33
Repaid -302 614 -582 361 -48 -303 470 0
Change in market value 7 431 -2 803 -4 330
Changes in exchange rates 4 811 -5 175 0 381 0
Recalculations according to IFRS 10 0 -1 431 -1 423
Closing balance 800 419 726 275 10 744 829 7

Note 18 Derivatives
The Group trades derivatives in the normal course of business and to hedge certain positions with regard to the value of equities,
interests and currencies.
Group 2014 2013 2014 2013 2014 2013
SEKm < 1 yr. 1-5 yrs. > 5 yrs. 30 Jun 31 Dec 30 Jun 31 Dec 30 Jun 31 Dec
Derivatives in fair value hedges 63 220 273 296 53 833 390 349 391 918 18 063 15 208 315 1 196
Derivatives in portfolio fair value
hedges 24 100 30 000 2 250 56 350 52 850 0 38 1 030 414
Derivatives in cash flow hedges 9 383 13 540 0 22 923 23 748 3 0 2 620 3 115
Derivatives in hedges of net
investment in foreign operations 212 0 0 212 1 510 0 9 2 0
Other derivatives 6 644 542 5 810 384 568 410 13 023 336 14 563 942 62 888 54 245 58 322 55 434
Offset amount 0 0 0 0 0 -5 160 -5 148 -5 160 -5 148
Total 6 741 457 6 127 220 624 493 13 493 170 15 033 968 75 794 64 352 57 129 55 011
of which cleared 1 947 661 2 510 985 64 984 4 523 629 3 090 375 2 187 1 696 2 852 2 364
Nominal amount 30 Jun 2014
Remaining contractual maturity Nominal amount Positive fair value Negative fair value
Note 19 Financial instruments carried at fair value
Group Fair Carrying Fair Carrying
SEKm value amount Difference value amount Difference
Assets
Financial assets covered by IAS 39
Cash and balances with central banks 158 671 158 671 0 59 382 59 382 0
Treasury bills etc. 65 783 65 719 64 56 852 56 814 38
Loans to credit institutions 97 869 97 869 0 82 231 82 278 -47
Loans to the public 1 329 243 1 322 785 6 458 1 270 138 1 264 910 5 228
Value change of interest hedged items in portfolio hedge 788 788 0 62 62 0
Bonds and interest-bearing securities 133 575 133 569 6 125 579 125 585 -6
Financial assets for which the customers bear the
investment risk 134 553 134 553 0 122 743 122 743 0
Shares and participating interest 9 993 9 993 0 7 109 7 109 0
Derivatives 75 794 75 794 0 64 352 64 352 0
Other financial assets 25 195 25 195 0 15 403 15 403 0
Total 2 031 464 2 024 936 6 528 1 803 851 1 798 638 5 213
Investment in associates 4 853 3 640 0
Non-financial assets 21 954 21 824 0
Total 2 051 743 1 824 102
Liabilities
Financial liabilities covered by IAS 39
Amounts owed to credit institutions 149 863 149 863 0 121 621 121 621 0
Deposits and borrowings from the public 697 168 697 168 0 620 571 620 608 -37
Debt securities in issue 806 725 800 419 6 306 732 125 726 275 5 850
Financial liabilities for which the customers bear the investment risk 136 843 136 843 0 125 548 125 548 0
Subordinated liabilities 18 364 18 377 -13 10 072 10 159 -87
Derivatives 57 129 57 129 0 55 011 55 011 0
Short positions securities 30 405 30 405 0 17 519 17 519 0
Other financial liabilities 40 201 40 201 0 24 987 24 987 0
Total 1 936 698 1 930 405 6 293 1 707 454 1 701 728 5 726
Non-financial liabilities 13 538 12 669
Total 1 943 943 1 714 397
30 Jun 2014 31 Dec 2013

Valuation Valuation
Instruments with techniques techniques
quoted market using using non-
Group prices in active observable observable
30 Jun 2014 markets market data market data
SEKm (Level 1) (Level 2) (Level 3) Total
Determination of fair value from quoted market prices or valuation techniques
Assets
Treasury bills etc. 29 604 35 627 0 65 231
Loans to credit institutions 0 18 592 0 18 592
Loans to the public 0 365 248 0 365 248
Bonds and other interest-bearing securities 92 451 39 767 0 132 218
Financial assets for which the customers bear
the investment risk 134 553 0 0 134 553
Shares and participating interests 9 836 80 77 9 993
Derivatives 1 089 74 605 100 75 794
Total 267 533 533 919 177 801 629
Liabilities
Amounts owed to credit institutions 0 10 566 0 10 566
Deposits and borrowings from the public 0 30 726 0 30 726
Debt securities in issue 18 494 24 391 0 42 885
Financial liabilities for which the customers bear
the investment risk 136 843 0 136 843
Derivatives 1 754 55 375 0 57 129
Short positions, securities 30 405 0 30 405
Total 50 653 257 901 0 308 554
The table above contains financial instruments measured at fair value by valuation level. The Group uses various methods to
determine the fair value for financial instruments depending on the degree of observable market data in the valuation and activity
in the market. Activity is continuously evaluated by analysing factors such as trading volumes and differences in bid and ask
prices.
The methods are divided into three different levels:
• Level 1: Unadjusted, quoted price on an active market
• Level 2: Adjusted, quoted price or valuation model with valuation parameters derived from an active market
• Level 3: Valuation model where a majority of valuation parameters are non-observable and based on internal assumptions.
When financial assets and financial liabilities in active markets have market risks that offset each other, an average of bid and
ask prices is used as a basis to determine the fair values of the risk positions that offset each other. For any open net positions,
bid rates are applied for long positions and ask rates for short positions.
The Group has a continuous process whereby financial instruments that indicate a high level of internal estimates or low level of
observable market data are captured. The process determines the way to calculate how the internal assumptions affect the
valuation. In cases where internal assumptions have a material impact on fair value, the financial instrument is reported in level
3. The process also includes an analysis and evaluation based on the quality of the valuation data, if a type of financial
instrument is to be transferred between levels. There were no transfers of financial instruments between valuation levels 1 and 2
during the quarter.
Valuation Valuation
Instruments with techniques techniques
quoted market using using non-
Group prices in an observable observable
31 Dec 2013 active market market data market data
SEKm (Level 1) (Level 2) (Level 3) Total
Determination of fair value from quoted market prices or valuation techniques
Assets
Treasury bills etc. 29 265 26 994 0 56 259
Loans to credit institutions 0 7 718 0 7 718
Loans to the public 0 371 354 0 371 354
Bonds and other interest-bearing securities 92 285 32 347 0 124 632
Financial assets for which the customers bear
Shares and participating interests 6 912 140 57 7 109
Derivatives 93 64 126 133 64 352
Total 251 298 502 679 190 754 167
Liabilities
Amounts owed to credit institutions 0 8 123 0 8 123
Deposits and borrowings from the public 0 24 407 0 24 407
Debt securities in issue 27 950 26 294 0 54 244
Financial liabilities for which the customers bear
Derivatives 762 54 230 19 55 011
Short positions, securities 17 519 0 0 17 519
Total 46 231 238 602 19 284 852

Changes in level 3
Group Debt Equity
SEKm securities instruments Derivatives Total Derivatives
January-June 2014
Opening balance 1 January 2014 0 57 133 190 19
Purchases 0 21 0 21 0
Transferred from Level 2 to Level 3 0 0 34 34 0
Transferred from Level 3 to Level 2 0 0 -98 -98 -25
Gains or losses 0 -1 31 30 6
of which in the income statement, net gains and losses on financial
items at fair value 0 -1 31 30 6
of which changes in unrealised gains or losses
for items held at closing day 0 -1 13 12 0
Closing balance 30 June 2014 0 77 100 177 0
Assets Liabilities
Level 3 primarily contains unlisted equity instruments and illiquid options. The options hedge changes in the market value of
hybrid debt instruments, so-called structured products. The structured products consist of a corresponding option element as well
as a host contract, which in principle is an ordinary interest-bearing bond. When the Group determines the level on which the
financial instruments will be reported, they are measured in their entirety on an individual basis. Since the bond host of the
structured products is essentially the financial instrument’s fair value, the internal assumptions normally used to value the illiquid
option element do not have a material impact on the valuation. The financial instrument is then reported on level 2. Internal
assumptions are of greater importance to individual options that hedge structured products, because of which several are
reported as derivatives on level 3. In general, the Group always hedges market risks that arise in structured products, because of
which differences between the carrying amount of assets and liabilities on level 3 do not reflect differences in the use of internal
assumptions in valuations.
To estimate the sensitivity in the volatility of the illiquid options, two types of shifts have been used. The shifts are based on the
type of product and are considered reasonable changes. A decrease in volatility of 20 per cent would reduce the fair value of all
options in level 3 by approximately SEK 25m. An increase in volatility of 20 per cent would raise the fair value of all options in
level 3 by approximately SEK 30m. The corresponding pair of value changes arises for financial instruments reported in level 2.
Financial instruments are transferred to or from level 3 depending on whether the internal assumptions have changed in
importance to the valuation.
Changes in level 3
Group Debt Equity
SEKm securities instruments Derivatives Total Derivatives
January-June 2013
Opening balance 1 January 2013 342 14 63 419 0
Settlements -342 0 0 -342 0
Transferred from Level 2 to Level 3 0 0 120 120 26
Gains or losses 0 0 -24 -24 -4
of which in the income statement, net gains and losses on financial
items at fair value 0 0 -24 -24 -4
of which changes in unrealised gains or losses
for items held at closing day 0 0 -24 -24 0 -4
Closing balance 30 June 2013 0 14 159 173 0 22
Assets Liabilities

Note 20 Pledged collateral
SEKm 2014 2013 % 2013 %
Loan receivables 752 899 740 215 2 724 664 4
Financial assets pledged for policyholders 129 578 118 627 9 109 954 18
Other assets pledged 60 604 41 376 46 35 885 69
Pledged collateral 943 081 900 218 5 870 503 8
Note 21 Offsetting financial assets and liabilities
The disclosures below refer to reported financial instruments that have been offset in the balance sheet or are subject to legally
binding netting agreements, even when they have not been offset in the balance sheet, as well as to related rights to financial
collateral. As of the closing day these financial instruments related to derivatives, repos (including reverse), security settlement
claims and securities lending.
Group 30 Jun 31 Dec 30 Jun 31 Dec
SEKm 2014 2013 % 2014 2013 %
Financial assets and liabilities, which have been offset or are subject to netting or
similar agreements
Gross amount 153 007 128 021 20 101 718 94 332 8
Offset amount -7 455 -10 454 -29 -7 455 -10 454 -29
Net amounts presented in the balance sheet 145 552 117 567 24 94 263 83 878 12
Related amounts not offset in the balance sheet
Financial instruments, netting arrangements 74 702 59 977 25 74 702 59 977 25
Financial Instruments, collateral 45 476 40 093 13 13 204 14 455 -9
Cash, collateral 17 057 10 757 59 6 356 7 440 -15
Total amount not offset in the balance sheet 137 235 110 827 24 94 262 81 872 15
Net amount 8 317 6 740 23 1 2 006 -100
Assets Liabilities

Note 22 Capital adequacy consolidated situation
Capital adequacy Basel 31) 30 Jun 31 Dec % or 30 Jun % or
SEKm 2014 2013 pp 2013 pp
Common Equity Tier 1 capital 84 898 80 826 5 79 197 7
Tier 1 capital 89 922 86 371 4 85 387 5
Total capital base 102 687 91 026 13 90 164 14
Risk exposure amount 406 674 440 620 -8 459 470 -11
Common Equity Tier 1 capital ratio, %, 20.9 18.3 2.5 17.2 3.7
Tier 1 capital ratio 22.1 19.6 2.5 18.6 3.5
Total capital ratio, % 25.3 20.7 4.6 19.6 5.7
Capital adequacy2) Basel 3 Basel 2 Basel 2
30 Jun 31 Dec 30 Jun
SEKm 2014 2013 2013
Shareholders' equity according to the Group's balance sheet 107 631 109 540 101 250
Non-controlling interests 35 165 153
Anticipated dividend -6 068 -11 100 -5 245
Deconsolidation of insurance companies -1 694 -1 982 -2 285
Associated companies consolidated according to purchase method 0 2 251 2 136
Value changes in own financial liabilities 80 92 81
Cash flow hedges 189 139 58
Goodwill -12 104 -11 198 -11 060
Deferred tax assets -218 -399 -437
Intangible assets -1 674 -1 943 -1 840
Net provisions for reported IRB credit exposures -1 279 -959 -893
Common Equity Tier 1 capital 84 898 84 606 81 918
Tier 1 capital contributions 5 024 5 536 6 027
Shares deducted from Tier 1 capital 0 -1 527 -1 495
Total Tier 1 capital 89 922 88 615 86 450
Tier 2 instrument 12 765 4 643 4 561
Net provisions for reported IRB credit exposures 0 -959 -893
Shares deducted from Tier 2 capital 0 -1 527 -1 495
Total Tier 2 capital 12 765 2 157 2 173
Total capital base 102 687 90 772 88 623
Capital requirement for credit risks, standardised approach 3 797 1 936 2 008
Capital requirement for credit risks, IRB 21 900 28 041 28 283
Capital requirement for credit risk, default fund contribution 3 0 0
Capital requirement for settlement risks 5 3 13
Capital requirement for market risks 1 478 1 688 1 629
Trading book 1 263 1 095 1 040
of which VaR and SVaR 616 530 519
of which risks outside VaR and SVaR 647 565 521
FX risk other operations 215 593 589
Capital requirement for credit value adjustment 607 0 0
Capital requirement for operational risks 4 745 4 486 4 486
Capital requirement 32 535 36 154 36 419
Risk exposure amount credit risks 321 250 374 711 378 637
Risk exposure amount settlement risks 57 40 163
Risk exposure amount market risks 18 475 21 103 20 361
Risk exposure amount credit value adjustment 7 582 0 0
Risk exposure amount operational risks 59 310 56 077 56 077
Risk exposure amount 406 674 451 931 455 238
Common Equity Tier capital 1 ratio, %, 20.9 18.7 18.0
Tier 1 capital ratio, %, 22.1 19.6 19.0
Total capital ratio, %, 25.3 20.1 19.5
Capital adequacy Basel 1 floor 30 Jun 31 Dec % or 30 Jun % or
SEKm 2014 2013 pp 2013 pp
Capital requirement Basel 1 floor 65 853 64 768 2 63 395 4
Own funds Basel 3 adjusted according to rules for Basel 1 floor 103 966 92 690 12 90 409 15
Surplus of capital according to Basel 1 floor 38 113 27 922 36 27 014 41
1)
Figures for 2013 according to Swedbank’s previous calculations under the new framework. From 1 Jan, 2014 according to current regulations (Basel 3).
2)
Reporting as of 30 June 2014 according to current regulation (Basel 3). Comparative figures as of 2013 according to previous regulation (Basel 2).

The consolidated situation for Swedbank as of 30 June
2014 comprised the Swedbank Group with the
exception of insurance companies. The EnterCard
Group was included as well through the proportionate
consolidation method.
Additional periodic information which must be provided
according to Regulation (EU) No 575/2013 of the
European Parliament and of the Council on supervisory
requirements for credit institutions and Implementing
Regulation (EU) No 1423/2014 of the European
Commission can be found on Swedbank’s website
http://www.swedbank.com/investor-relations/risk-and-
capital-adequacy/risk-report/index.htm.
Swedbank
Consolidated situation 1)
Basel 3 Basel 2 Basel 3 Basel 2 Basel 3 Basel 2
Credit risk, IRB 30 Jun 31 Dec 30 Jun 31 Dec 30 Jun 31 Dec
SEKm 2014 2013 2014 2013 2014 2013
Institutional exposures 131 836 121 698 15 13 1 572 1 294
Corporate exposures 418 520 436 375 41 57 13 760 19 752
Retail exposures 897 953 896 994 8 9 5 827 6 226
of which mortgage lending 796 360 825 644 6 6 3 707 3 916
of which other lending 101 593 71 350 26 40 2 120 2 310
Securitisation 854 941 10 11 7 8
Exposures without counterparties 62 310 11 890 15 80 734 761
Total credit risks, IRB 1 511 473 1 467 898 18 24 21 900 28 041
requirement
Exposure
value risk weighting, %
Average Capital
1)
Credit risks
The Internal Ratings-Based Approach (IRBA) is applied
within the Swedish part of Swedbank’s consolidated
situation, including the branch offices in New York and
Oslo but excluding EnterCard, several small
subsidiaries and certain exposure classes such as
exposures to national governments and municipalities.
IRBA is also applied for the majority of Swedbank’s
exposure classes in the Baltic countries.
The standardised approach is applied for exposures,
excluding capital requirements for foreclosure reserves,
which are not calculated according to IRBA.
Market risks
Under current regulations, capital adequacy for market
risks can be based on either a standardised approach or
an internal Value at Risk model, which requires the
approval of the Swedish Financial Supervisory Authority
(SFSA). The parent company has received such
approval and uses its internal VaR model for general
interest rate risks, general and specific share price risks
and currency risks in the trading book. The approval
also covers the operations in the Baltic countries with
respect to general interest rate risks and currency risks
in the trading book. Exchange rates risks outside the
trading book, i.e. in other operations, are mainly of a
structural and strategic nature and are less suited to a
VaR model.
These risks are instead estimated according to the
standardised approach, as per the Group’s internal
approach to managing these risks.
Strategic currency risks mainly arise through risks
associated with holdings in foreign operations.
Credit valuation adjustment
The risk of a credit valuation adjustment is estimated
according to the standardised approach and was added
after the implementation of the new EU regulation
(CRR).
Operational risk
Swedbank calculates operational risk using the
standardised approach. SFSA has stated that
Swedbank meets the qualitative requirements to apply
this method.
Basel 1 floor
The transition rules state that the minimum capital
requirement must not fall below 80 per cent of the
requirement according to the Basel 1 rules. Swedish
authorities have previously announced that this floor will
be eliminated in connection with the introduction of the
new, higher capital requirements under CRR. In March
2014, however, SFSA decided not to eliminate the
Basel 1 floor.
Note 23 Risks and uncertainties
Swedbank’s earnings are affected by changes in
the global marketplace over which it has no control,
including macroeconomic factors such as GDP,
asset prices and unemployment as well as changes
in interest rates, equity prices and exchange rates.
In addition to what is stated in this interim report,
detailed descriptions are provided in Swedbank’s 2013
annual report and in the annual disclosure on risk
management and capital adequacy according to Basel 2
rules, available on www.swedbank.com.

Note 24 Business combination
On 20 May Swedbank AB acquired all the shares in
Sparbanken Öresund AB. On the same date,
immediately after the share purchase, Sparbanken
Öresund AB sold a number of bank branches to
Sparbanken Skåne AB. Because certain assets and
liabilities in the combination were acquired to be
immediately divested, they were classified as held for
sale on the acquisition date.
Group Carrying amount
SEKm in the Group at
acquisition date
20 May 2014
Cash and balances with central banks 20
Loans to credit institutions 4 461
Loans to the public 16 331
Interest-bearing securities 1 973
Shares and participating interests 33
Investments in associates 60
Derivatives 26
Intangible fixed assets 205
Tangible assets 113
Other assets 219
Prepaid expenses and accrued income 134
Group of assets classified as held for sale 10 503
Total assets 34 078
Amounts owed to credit institutions 2 841
Deposits and borrowings from the public 11 596
Debt securities in issue 2 028
Derivatives 49
Deferred tax liabilities 176
Other liabilities 1 363
Subordinated liabilities 947
Liabilities directly associated with group of assets classified as held for sale 11 417
Total liabilities 30 680
Total identifiable net assets 3 398
Acquistion cost, cash 2 938
Bargain purchase, reported as other income 461
The gain recognised on the acquisition was a result of the fact that Swedbank must make extensive changes in the
acquired operations, including the divestment of branches and associated system solutions. For this reason, a
restructuring reserve was established and immediately after the acquisition amounted to SEK 591m.
Group Carrying amount
SEKm in the Group at
acquisition date
20 May 2014
Cash flow
Cash and cash equivalents in the acquired company 20
Acquistion cost, cash -2 938
Net -2 918
Acquired loans, fair value 16 331
Acquired loans, gross contracutal amounts 16 654
Acquired loans, best estimate of the contractual cash 258
flows not expected to be collected
As from the acquisition date the acquired company contributed SEK 78m to income and SEK -9m to profit after tax,
excluding the bargain purchase gain. If the company had been acquired at the beginning of the 2014 financial year,
consolidated income for the first half-year 2014 would have amounted to SEK 20 285m instead of SEK 19 775m. The
Group’s profit after tax would have amounted to SEK 8 099m instead of SEK 8 101m.

Note 25 Discontinued operations
Group
SEKm Russia Ukraine Lithuania Total Russia Ukraine Lithuania Total
Profit from discontinued operations
Income 44 0 139 183 81 22 116 219
Expenses 53 0 134 187 69 65 112 246
Profit before impairments -9 0 5 -4 12 -43 4 -27
Impairments -20 0 0 -20 -56 -2 0 -58
Operating profit -29 0 5 -24 -44 -45 4 -85
Tax expense -10 0 0 -10 0 24 -1 23
Post-tax profit for the period of discontinued
operations -39 0 5 -34 -44 -21 3 -62
Post-tax profit for the period recognised on the
measurement at fair value less sale costs 0 0 0 0 0 -340 0 -340
0 0 0 0 0 0 0 0
Reclassification adjustments to income statement -223 0 0 -223 0 -1 875 0 -1 875
of which exchange differences foreign operations -508 0 0 -508 0 -1 875 0 -1 875
of which hedging of net investments in foreign
operations 365 0 0 365 0 0 0 0
of which income tax -80 0 0 -80 0 0 0 0
Profit for the period from discontinued operations,
after tax -262 0 5 -257 -44 -2 236 3 -2 277
Group of assets classified as held for sale Russia Ukraine Lithuania Total Russia Ukraine Lithuania Total
Loans to the public 915 0 0 915 1 653 0 0 1 653
of which impaired loans, gross 403 0 0 403 387 0 0 387
of which individual provisions -227 0 0 -227 -227 0 0 -227
of which impaired loans, net 176 0 0 176 160 0 0 160
of which portfolio provisions -19 0 0 -19 -40 0 0 -40
Non-current tangible assets 0 0 100 100 5 0 103 108
Other assets 129 0 107 236 496 0 131 627
Total assets 1 044 0 207 1 251 2 154 0 234 2 388
Liabilities directly associated with group of assets
classified as held for sale
Amounts owed to credit institutions 0 0 0 0 79 0 33 112
Other liabilities 59 0 75 134 190 0 73 263
Total liabilities 59 0 75 134 269 0 106 375
Jan-Jun 2014 Jan-Jun 2013
30 June 2014 30 June 2013
During the first quarter 2013 the Group’s Russian operations were classified as discontinued operations. The assets in
these operations have gradually been divested. During the second quarter 2014 the large part of the Group’s foreign net
assets in roubles were paid to Swedbank AB. In connection with the repayment related translation differences, effects of
currency hedges and related taxes were reclassified from other comprehensive income to income statement.

Note 26 Related-party transactions
During the period normal business transactions were executed
between companies in the Group, including other related
companies such as associates. During the second quarter 2014
the former Färs & Frosta Sparbank AB sold its entire holding of
Swedbank shares. The Group’s interest in these shares has
increased equity in the consolidated statements by SEK 166m.
The holding generated a net gain of SEK 50m.
Other significant relations include Swedbank’s pension
funds and Sparinstitutens Pensionskassa SPK, which
safeguard employees’ post-employment benefits. These
related parties use Swedbank for customary banking
services.
Note 27 Swedbank’s share
2014 2013 % 2013 %
SWED A
Share price, SEK 177.20 181.00 -2 153.80 15
Number of outstanding ordinary shares 1 102 253 654 1 099 005 722 0 1 099 005 722 0
Market capitalisation, SEKm 195 319 198 920 -2 169 027 16
Number of outstanding shares 2014 2013 2013
Issued shares
SWED A 1 132 005 722 1 132 005 722 1 132 005 722
Repurchased shares
SWED A -29 752 068 -33 000 000 -33 000 000
Swedbank's share of associates' holding of shares
SWED A -1 599 000 -1 599 000
Number of outstanding shares on the closing day 1 102 253 654 1 097 406 722 1 097 406 722
Earnings per share 2014 2014 2013 2014 2013
Average number of shares
Average number of shares before dilution 1 101 384 228 1 099 162 387 1 097 346 722 1 100 279 445 1 097 356 722
Weighted average number of shares for potential ordinary shares that
incur a dilutive effect due to share-based compensation programme 7 370 491 8 888 554 8 068 879 8 271 614 7 715 503
Average number of shares after dilution 1 108 754 719 1 108 050 941 1 105 415 601 1 108 551 059 1 105 072 225
Profit, SEKm
Profit for the period attributable to shareholders of Swedbank 4 139 3 953 1 592 8 092 5 117
Preference dividends on non-cumulative preference shares declared in
respect of the period 0 0 0 0 1 722
Earnings for the purpose of calculating earnings per share 4 139 3 953 1 592 8 092 3 395
Earnings per share, SEK
Earnings per share before dilution without dividends on non-cumulative
preference shares 3.75 3.60 1.45 7.35 4.66
Earnings per share after dilution without dividends on non-cumulative
preference shares 3.73 3.57 1.44 7.30 4.63
Earnings per share before dilution 1)
3.75 3.60 1.45 7.35 3.09
Earnings per share after dilution 1)
3.73 3.57 1.44 7.30 3.07
Within Swedbank's share-based compensation programme, Swedbank AB has during the first quarter 2014
transferred 3 236 372 shares and during the second quarter 2014 transferred 11 560 shares, at no cost to employees.
1)
When calculating earnings per share according to IAS 33, the non-cumulative preference share dividend is deducted from profit in the period the dividend is declared.
Refers to Jan-June 2013.

Note 28 Effects of changes in accounting policies
Balance sheet, condensed New Previous New Previous
reporting reporting reporting reporting
Group 30 Jun 30 Jun 31 Dec 31 Dec
SEKm 2013 IFRS 10 2013 2013 IFRS 10 2013
Assets
Cash and balance with central banks 199 879 0 199 879 59 382 0 59 382
Loans to credit institutions (note 10) 73 100 0 73 100 82 278 0 82 278
Loans to the public (note 10) 1 245 820 0 1 245 820 1 264 910 0 1 264 910
Value change of interest hedged item in portfolio hedge -234 0 -234 62 0 62
Interest-bearing securities 135 550 0 135 550 182 399 0 182 399
Financial assets for which customers bear the
investment risk 114 571 3 791 110 780 122 743 3 295 119 448
Shares and participating interests 4 600 0 4 600 7 109 0 7 109
Investments in associates 3 267 0 3 267 3 640 0 3 640
Derivatives (note 18) 71 470 0 71 470 64 352 0 64 352
Intangible fixed assets (note 14) 13 485 0 13 485 13 658 0 13 658
Investment properties 1 439 0 1 439 685 0 685
Tangible assets 3 904 0 3 904 3 140 0 3 140
Current tax assets 629 0 629 895 0 895
Deferred tax assets 484 0 484 417 0 417
Other assets 8 319 0 8 319 9 578 0 9 578
Prepaid expenses and accrued income 7 742 0 7 742 6 992 0 6 992
Group of assets classified as held for sale 2 388 0 2 388 1 862 0 1 862
Total assets 1 886 413 3 791 1 882 622 1 824 102 3 295 1 820 807
Liabilities and equity 0
Amounts owed to credit institutions (note 15) 124 002 0 124 002 121 621 0 121 621
Deposits and borrowings from the public (note 16) 672 882 -293 673 175 620 608 -245 620 853
Debt securities in issue (note 17) 744 829 -1 423 746 252 726 275 -1 431 727 706
Financial liabilities for which customers bear the investment
risk 117 187 5 507 111 680 125 548 4 971 120 577
Derivatives (note 18) 59 862 0 59 862 55 011 0 55 011
Current tax liabilities 635 0 635 1 893 0 1 893
Deferred tax liabilities 2 645 0 2 645 2 383 0 2 383
Short positions, securities 15 649 0 15 649 17 519 0 17 519
Other liabilities 18 752 0 18 752 14 269 0 14 269
Accrued expenses and prepaid income 12 676 0 12 676 14 194 0 14 194
Provisions 4 931 0 4 931 4 698 0 4 698
Subordinated liabilities 10 585 0 10 585 10 159 0 10 159
Liabilities directly associated with group of assets classified as
held for sale 375 0 375 219 0 219
Equity 101 403 0 101 403 109 705 0 109 705
of which non-controlling interests 153 0 153 165 0 165
of which attributable to shareholders of Swedbank AB 101 250 0 101 250 109 540 0 109 540
Total liabilities and equity 1 886 413 3 791 1 882 622 1 824 102 3 295 1 820 807
The consolidation of an investment fund has increased financial assets and liabilities where customers bear the
investment risk. Because the investment fund is invested in interest-bearing instruments issued by Swedbank,
outstanding liabilities are reduced as well.
For more information, see note 1 Accounting policies.

Swedbank AB
Income statement, condensed
Parent company Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Interest income 4 560 4 270 7 4 883 -7 8 830 9 974 -11
Interest expenses -2 012 -1 917 5 -2 345 -14 -3 929 -4 662 -16
Net interest income 2 548 2 353 8 2 538 0 4 901 5 312 -8
Dividends received 2 629 5 069 -48 4 591 -43 7 698 4 679 65
Commission income 1 710 1 781 -4 1 588 8 3 491 3 144 11
Commission expenses -389 -402 -3 -373 4 -791 -678 17
Net commission income 1 321 1 379 -4 1 215 9 2 700 2 466 9
Net gains and losses on financial items at fair value 165 629 -74 367 -55 794 793 0
Other income 319 335 -5 341 -6 654 644 2
Total income 6 982 9 765 -28 9 052 -23 16 747 13 894 21
Staff costs 1 953 1 946 0 1 845 6 3 899 3 672 6
Other expenses 1 105 1 068 3 1 008 10 2 173 1 963 11
Total expenses 3 187 3 150 1 2 982 7 6 337 5 894 8
Profit before impairments 3 795 6 615 -43 6 070 -37 10 410 8 000 30
Impairment of financial fixed assets 23 200 -89 1 548 -99 223 1 973 -89
Credit impairments 34 3 114 -70 37 245 -85
Operating profit 3 738 6 412 -42 4 408 -15 10 150 5 782 76
Appropriations -16 -15 7 -5 -31 -2
Tax expense 607 520 17 790 -23 1 127 1 202 -6
Profit for the period 3 147 5 907 -47 3 623 -13 9 054 4 582 98
Statement of comprehensive income, condensed
Parent company Q2 Q1 Q2 Jan-Jun Jan-Jun
SEKm 2014 2014 % 2013 % 2014 2013 %
Profit for the period reported via income statement 3 147 5 907 -47 3 623 -13 9 054 4 582 98
Items that will not be reclassified to the income statement
Remeasurements of defined benefit pension plans -3 0 0 -3 0
Income tax 1 0 0 1 0
Total -2 0 0 -2 0
Items that may be reclassified to the income statement
Cash flow hedges:
Gains/losses arising during the period -5 -4 25 -18 -73 -9 -23 -61
net interest income 4 5 -20 25 -84 9 47 -81
Income tax 0 0 -3 0 -7 0
Total -1 1 4 0 17
Other comprehensive income for the period, net of tax -3 1 4 -2 17
Total comprehensive income for the period 3 144 5 908 -47 3 627 -13 9 052 4 599 97

Balance sheet, condensed
Parent company 30 Jun 31 Dec 30 Jun
SEKm 2014 2013 % 2013 %
Assets
Cash and balance with central banks 151 628 32 439 183 221 -17
Loans to the public 359 495 346 320 4 347 264 4
Shares and participating interests 68 678 63 197 9 60 499 14
Derivatives 88 295 83 323 6 89 051 -1
Other assets 23 525 19 645 20 15 075 56
Total assets 1 282 602 1 100 180 17 1 153 781 11
Liabilities and equity
Amounts owed to credit institutions 186 655 195 096 -4 157 323 19
Deposits and borrowings from the public 561 823 501 294 12 562 222 0
Debt securities in issue 306 451 214 605 43 242 735 26
Derivatives 79 079 74 408 6 78 233 1
Other liabilities and provisions 62 420 34 006 84 37 993 64
Subordinated liabilities 17 352 10 083 72 10 510 65
Untaxed reserves 6 274 6 305 0 6 296 0
Equity 62 548 64 383 -3 58 469 7
Total liabilities and equity 1 282 602 1 100 180 17 1 153 781 11
Pledged collateral 56 619 38 819 46 44 790 26
Other assets pledged 5 244 3 206 64 1 519
Contingent liabilities 521 983 538 949 -3 525 648 -1
Commitments 196 839 180 548 9 169 798 16

Statement of changes in equity, condensed
Parent company
SEKm
Share capital
Share premium
reserve
Statutory
reserve
Cash flow
hedges
Retained
earnings Total
January-June 2013
Opening balance 1 January 2013 24 904 13 206 5 968 -32 20 459 64 505
Dividend -10 880 -10 880
Share based payments to employees 0 212 212
employees 33 33
Total comprehensive income for the period 17 4 582 4 599
Closing balance 30 June 2013 24 904 13 206 5 968 -15 14 406 58 469
January-December 2013
Dividend -10 880 -10 880
Share based payments to employees 418 418
employees 73 73
Closing balance 31 December 2013 24 904 13 206 5 968 -7 20 312 64 383
January-June 2014
Dividend -11 133 -11 133
Share based payments to employees 233 233
employees 13 13
Closing balance 30 June 2014 24 904 13 206 5 968 -7 18 477 62 548
Cash flow statement, condensed
Parent company Jan-Jun Full-year Jan-Jun
SEKm 2014 2013 2013
Cash flow from operating activities 31 187 -39 750 80 925
Cash flow from investing activities 3 083 5 045 5 364
Cash flow from financing activities 84 919 -42 754 -12 966
Cash and cash equivalents at beginning of period 32 439 109 898 109 898
Cash and cash equivalents at end of period 151 628 32 439 183 221

Capital adequacy
Capital adequacy, Parent company1) Basel 3 Basel 2 Basel 2
SEKm 2014 2013 2013
Common Equity Tier 1 capital 59 736 56 147 56 047
Tier 1 capital 64 753 60 188 60 615
Total capital base 77 072 62 748 63 150
Capital requirement 23 563 25 831 26 104
Risk exposure amount 294 541 322 882 326 302
Common Equity Tier 1 ratio, % 20.3 17.4 17.2
Tier 1 capital ratio, % 22.0 18.6 18.6
Total capital adequacy ratio, % 26.2 19.4 19.4
Capital adequacy transition rules Basel 1 floor 2014 2013 % or 2013 % or
SEKm 30 Jun 31 dec pp 30 Jun pp
Capital requirement Basel 1 floor 24 797 25 831 -4 26 104 -5
Own funds Basel 3 according to rules for Basel 1 floor 77 472 63 723 22 64 082 21
Surplus of capital according to Basel 1 floor 52 675 37 892 39 37 978 39
1)

Signatures of the Board of Directors and the President
The Board of Directors and the President certify that the interim report for January-June 2014 provides a fair and accurate
overview of the operations, position and results of the parent company and the Group and describes the significant risks
and uncertainties faced by the parent company and the companies in the Group.
Stockholm, 17 July 2014
Anders Sundström Lars Idermark
Chair Deputy Chair
Ulrika Francke Göran Hedman Anders Igel
Board Member Board Member Board Member
Pia Rudengren Karl-Henrik Sundström Siv Svensson
Maj-Charlotte Wallin Camilla Linder Jimmy Johnsson
Employee Representative Employee Representative
Michael Wolf
President
Review report
Introduction
We have reviewed the interim report for Swedbank AB (publ) for the period 1 January to 30 June 2014. The Board of
Directors and the President are responsible for the preparation and presentation of this year-end report in accordance
with IAS 34 and the Annual Accounts Act for Credit Institutions and Securities Companies. Our responsibility is to express
a conclusion on this interim report based on our review.
Scope of review
We conducted our review in accordance with the International Standard on Review Engagements (ISRE) 2410 Review of
Interim Financial Information performed by the company’s auditors. A review consists of making inquiries, primarily with
persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review
is substantially less in scope than an audit conducted in accordance with ISA and other generally accepted auditing
practices. The procedures performed in a review do not enable us to obtain a level of assurance that would make us
aware of all significant matters that might be identified in an audit. Therefore, the conclusion expressed based on a review
does not give the same level of assurance as a conclusion expressed based on an audit.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the interim report for the Group is
not, in all material aspects, in accordance with IAS 34 and the Annual Accounts Act for Credit Institutions and Securities
Companies and as regards the parent company in accordance the Annual Accounts Act for Credit Institutions and
Securities Companies.
Stockholm, 17 July 2014
Deloitte AB
Svante Forsberg
Authorised Public Accountant

Publication of financial information
The Group’s financial reports can be found on www.swedbank.com/ir or www.swedbank.com
Swedbank will publish financial results on the following dates in 2014:
Interim report for the third quarter 2014 on 21 October 2014
Swedbank will publish financial results on the following dates in 2015:
Year end report 2014 on 28 January 2015
For further information, please contact:
Michael Wolf
President and CEO
Telephone +46 8 585 926 66
Göran Bronner
CFO
Telephone +46 8 585 906 67
Gregori Karamouzis
Head of Investor Relations
Telephone +46 8 585 930 31
+46 72 740 63 38
Cecilia Hernqvist
Head of Communications
Telephone +46 8 585 907 41
Anna Sundblad
Group Press Manager
Telephone +46 8 585 921 07
+46 70 321 39 95
Information on Swedbank’s strategy, values and share is also available on www.swedbank.com
Swedbank AB (publ)
Registration no. 502017-7753
Landsvägen 40
105 34 Stockholm
Telephone +46 8 585 900 00
www.swedbank.com
info@swedbank.se

Swedbank's Interim report Q2 2014

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Swedbank's Interim report Q2 2014