SEK Interim Report

SEK Interim Report 205 First quarter 205 New lending amounted to Skr 0.8 billion (Q4: Skr 8.6 billion) Net interest revenues amounted to Skr 49 million (Q4: Skr 352 million) Operating profit amounted to Skr 343 million (Q4: Skr 58 million) Net profit amounted to Skr 262 million (Q4: Skr 402 million) Return on equity amounted to 6.4 percent (Q4: 0.6 percent) Operating profit excluding net results of financial transactions amounted to Skr 297 million (Q4: Skr 208 million) The outstanding volume of offers for loans at the end of the period amounted to Skr 95.6 billion (Skr 78.4 billion at year-end ) The Common Equity Tier capital ratio was 7.8 percent at the end of the period (6.9 percent at year-end ) Basic and diluted earnings per share amounted to Skr 66 (Q4: Skr 0) 205 For the period 0/0/5 3/03/5 Download the report at www.sek.se

page 2 of 34 Statement by the CEO Catrin Fransson Lower new lending but higher volume of outstanding offers There was a cautiously positive start to the year for SEK. We have had relatively low new lending volumes, but the volume of offers for credits has been high. This is probably a fairly good reflection of the market for Swedish exporters. Access to financing is good, which was also shown by SEK s Credit Export Trends survey in December. The high volume of offers may indicate an improvement for Swedish exports, as evidenced by the Swedish Institute of Economic Research s slight upward revision of its export forecast in its latest report at the end of March. SEK s own Export credits trend survey also found that companies expected an increase in orders. For SEK, it is gratifying to see that our operating profit excluding net results of financial transactions is higher in the first quarter of 205 than in the same period last year, despite the historically low interest rates. Meanwhile, we actively work with efficiency and we have a good control on costs. We are well prepared to support the Swedish export companies with financing, so that they can secure the export transactions for which they compete. We believe we can promote the Swedish Export Industry even more by assisting more companies than the client base we have today. Today our customer base consists of the 00 largest exporters in Sweden and, based on our complementary role in the market, we believe we can also help slightly smaller companies. Since the st of January, we have established a group that works only with midsize companies. In our efforts to reach out to medium-sized businesses, we have a close cooperation with Swedish banks at both the regional and local level, and of course with EKN. Today, April 28, 205, at the SEK s Annual General Meeting, SEK s owner (the Swedish State) approved the revision of SEK s financial targets and mission objectives for SEK. The financial targets consist of a capital structure target expressed as a Common Equity Tier capital ratio (6%), a profitability target expressed as return on equity (6%) and a dividend target expressed as a percentage of net profit for the year (30%). In addition to targets, all state-owned companies with a social mission to generate some kind of social benefit also have mission objectives. SEK s social mission is to administer the CIRR system in order to support the Swedish export industry, and we will monitor the achievement of this objective through client surveys and through dialogue with our stakeholders. The owner instruction for SEK has also been revised. The revised owner instruction is clearer and more general and at the same time more dynamic, which makes it easier for the company to develop the business in line with changes in the market and customer needs. The owner has also made a sustainability analysis, which among others suggested that SEK should implement further international guidelines and clarify the objective of SEK s efforts to contribute to sustainable development. You can find the targets and the owner instruction on www.sek.se The new owner instruction and the new targets and objectives are both challenging and exciting. This will provide us with a clear framework to further develop our business and create benefits for more customers in cooperation with other state export promotion institutions and commercial banks. Interim Report January March 205

FINANCIAL HIGHLIGHTS page 3 of 34 (if not mentioned otherwise) Jan-Mar 205 Oct-Dec Jan-Mar Jan-Dec Results Net interest revenues 49 45 352,578 Operating profit 343 503 58,629 Net profit 262 387 402,260 After-tax return on equity 6.4% 9.7% 0.6% 8.% Operating profit excl. net results of financial transactions 297 378 208,23 After-tax return on equity excl. net results of financial transactions 2 5.5% 7.2% 4.2% 5.6% Basic and diluted earnings per share (Skr) 3 66 97 0 36 Customer financing New financial transactions with customers 4 0,843 4,33 8,565 57,8 of which corporate lending 2,606 6,0 6,87 23,23 of which end-customer financing 8,237 8,230,694 33,887 Loans, outstanding and undisbursed 5 240,043 234,250 224, 234,250 Volume of outstanding offers of lending 6 95,597 78,372 56,639 78,372 of which binding offers 44,447 50,896 3,4 50,896 of which non-binding offers 5,50 27,476 25,498 27,476 Borrowing New long-term borrowings 7 5,803 7,98 3,066 52,26 Outstanding senior debt 279,262 282,92 277,445 282,92 Outstanding subordinated debt 2,65,945,607,945 Statement of financial position Total assets 324,897 325,66 32,372 325,66 Total liabilities 308,533 309,009 296,876 309,009 Total equity 6,364 6,57 5,496 6,57 Capital adequacy Common Equity Tier capital ratio 8 7.8% 6.9% 6.9% 6.9% Tier capital ratio 8 7.8% 6.9% 6.9% 6.9% Total capital ratio 8 20.3% 9.2% 8.9% 9.2% Leverage ratio 9 4.6% 4.4% 4.4% Internal capital requirement as a percentage of Common Equity Tier capital 0 72.0% 75.% 75.% Net profit, expressed as a percentage per annum of current year s average equity. 2 Net profit, excluding net results of financial transactions, expressed as a percentage per annum of current year s average equity. 3 Net profit divided by average number of shares, which amounts to 3,990,000 for each period. 4 New customer financing includes all new accepted loans, regardless of maturities. 5 Loans include all loans, including loans granted in the form of interest-bearing securities, as well as loans granted by traditional documentation. These measures reflect what management believes to be SEK s real lending. SEK considers these amounts to be useful measurements of SEK s credit/lending volumes. Comments on lending volumes in this report therefore relate to amounts based on this definition (see Note 4). 6 SEK uses a method of providing offers where binding or non-binding offers are offered. Binding offers are included in commitments. 7 New borrowing with maturities exceeding one year. 8 Capital ratios are the quotients of the relevant capital measure and the total risk exposure amount. 9 Common equity Tier capital expressed as a percentage of an exposure measure calculated in accordance with CRR (see Note 0). 0 Internal capital requirement is the result of the company s internal assessment of the capital required to cover its risks (see Note 0). Unless otherwise indicated, amounts in this report are in millions (mn) of Swedish krona (Skr), abbreviated and relate to the group consisting of SEK and its consolidated subsidiaries (the Group or the Consolidated Group ). The international code for the Swedish currency, SEK, is not used in this report in order to avoid confusion with the same three-letter abbreviation, which has been used to denote Aktiebolaget Svensk Exportkredit since the company was founded in 962. Unless otherwise indicated, in matters concerning positions, amounts refer to those at March 3, 205 and in matters concerning flows, the three-month period ended on March 3, 205. Amounts within parentheses refer to December 3, (in matters concerning positions), or the same period (in matters concerning flows) of the preceding year. Aktiebolaget Svensk Exportkredit (SEK) is a Swedish corporation with the identity number 556084-035, and with its registered office in Stockholm, Sweden. SEK is a public company as defined in the Swedish Companies Act. In some instances, under Swedish law, a public company is obligated to add (publ.) to its company name. Interim Report January March 205

page 4 of 34 Business operations Lower lending levels Business reporting During the first quarter of 205, the demand for long-term financing from SEK was relatively low. Our new lending to Swedish exporters and their customers during the first quarter amounted to Skr 0.8 billion (Q4: Skr 8.6 billion). End customer financing amounted to Skr 8.2 billion (Q4: Skr.7 billion) and the aggregate volume of corporate lending amounted to Skr 2.6 billion (Q4: Skr 6.9 billion). The total volume of outstanding and committed undisbursed loans amounted to Skr 240.0 billion at the end of the first quarter of 205, compared with Skr 224. billion for the same period last year. The aggregate amount of outstanding offers at the end of the period was Skr 95.6 billion, (year-end : 78.4 billion). Our customer base currently consists of the 00 largest exporting companies in Sweden. To broaden our client base, since January 205, we have attempted to reach mid-sized companies as well, leveraging our position as a complement to the market. We have focused in particular on those companies that have a turnover of between approximately Skr 500 million and Skr four billion. We see good opportunities to supplement banks offerings for these companies. During the first quarter, a special team worked to create the internal conditions required to fund these companies. We conducted the first transactions and we hope to conduct more of this type of business during the year. New customer financing Jan-Mar 205 Jan-Mar Jan-Dec Skr bn Customer financing of which: End-customer finance 8.2.7 33.9 Corporate lending 2.6 6.9 23.2 Total 0.8 8.6 57. Of which Skr 0.3 billion (Q4: Skr 5.2 billion, year-end : Skr 7.3 billion) had not been disbursed at period end. Skr 0. billion (Q4: Skr 3.5 billion, year-end : Skr 6.9 billion) was attributable to End-customer finance and Skr 0.2 billion (Q4: Skr.7 billion, year-end : Skr 0.4 billion) to Corporate lending. New customer financing by sector End-customer finance 76% (3M4: 63%) Corporate lending 24% (3M4: 37%) New customer financing Skr bn 30 25 SEK s markets for new lending, Jan-Mar 205, SKR 0.8 BIllion (3M4: SKR 8.6 BIllion) 20 5 0 5 Sweden0% (3M4: 30%) Western Europe excl. Sweden 27% (3M4: 24%) Central- and Eastern Europe 0% (3M4: 6%) Asia excl. Japan 7% (3M4: 4%) Middle East/Africa 7% (3M4: 9%) North America 47% (3M4: 3%) Latin America 2% (3M4: 4%) 0 Q Q2 Q3 Q4 Q Q2 Q3 Q4 Q 203 205 Interim Report January March 205

page 5 of 34 Compared to the same period in SEK s funding volumes were lower and amounted to the equivalent of approximately Skr 5.8 billion (Q4: 3. billion). Borrowing during the first quarter of 205 was primarily in the form of structured borrowing in the Japanese market. The reasons for the lower total volumes of funding compared to the same period last year are due to both an ambition to decrease the liquidity portfolio and to the lower volumes in new lending. Repurchase of own debt amounted to Skr 2.2 billion (Q4: Skr 0.8 billion) and debt prepayments to Skr 4.2 billion (Q4: Skr 2.8 billion) over the period. New borrowing Long-term borrowing SEK s markets for new funding, jan-mar 205, SKR 5.8 BIllion (3M4: SKR 3. BIllion) Skr bn 30 25 20 The Nordic Region 0% (3M4: 7%) Non-Nordic Europe 0% (3M4: 25%) Japan 75% (3M4: 7%) Non-Japan Asia 0% (3M4: 5%) North America 25% (3M4: 40%) Latin America 0% (3M4: 6%) 5 0 5 0 Q Q2 Q3 Q4 Q Q2 Q3 Q4 Q 203 205 Interim Report January March 205

page 6 of 34 COMMENTS ON THE CONSOLIDATED FINANCIAL ACCOUNTS First quarter of 205 Operating profit Operating profit amounted to Skr 343 million (Q4: Skr 58 million), a decrease of 34 percent compared to the same period in the previous year. The decrease was mainly attributable to a decrease in net results of financial transactions. Operating profit, excluding net results of financial transactions, amounted to Skr 297 million (Q4: Skr 208 million), an increase of 43 percent compared to the same period in the previous year. The increase was mainly attributable to higher net interest revenues. Net interest revenues Net interest revenues amounted to Skr 49 million (Q4: Skr 352 million), an increase of 9 percent, driven primarily by higher average lending volumes and lower borrowing costs. The lower borrowing costs are a result of improved funding levels partly due to lower financing needs. The positive effects were offset by lower market interest rates and a lower volume of average liquidity investments. The decrease in liquidity investments was made as part of a more efficient use of capital. Interest-bearing assets increased compared to the previous year and amounted on average to Skr 303.6 billion (Q4: Skr 290.4 billion). The amount of total loans increased compared with the first quarter of and amounted on average to Skr 22.7 billion (Q4: Skr 20.3 billion). Liquidity placements amounted on average to Skr 8.9 billion (Q4: Skr 89. billion). Borrowing volume increased slightly to an average of Skr 280.7 billion (Q4: Skr 273.3 billion) compared with the first quarter last year. The average margin on assets, compared to the same period last year, has slightly increased due to the fact that the proportion of loans as part of the interest-bearing assets has increased and the margin of liquidity investments has improved. At the same time the relative funding levels improved. Net results of financial transactions The net results of financial transactions amounted to Skr 46 million (Q4: Skr 30 million). The result was positively impacted by the repurchase of own debt, which was offset by changes in fair value, related to changes in the cross currency basis swap spreads. Operating expenses Operating expenses (which includes personnel expenses, other administrative expenses and depreciation) totaled Skr -22 million (Q4: Skr -29 million), a decrease of 5 percent. The decrease is primarily due to fees. Personnel expenses Personnel expenses totaled Skr -78 million (Q4: Skr 74 million) an increase of 5 percent compared to the same period in the previous year. The increase in personnel expenses was due to a reserve of Skr -5 million (Q4: Skr - million) made during the first quarter to the general personnel incentive system. In the first quarter of no such reserve was made. The outcome of the general personnel incentive system is based on net interest revenues and net commissions less costs, and may not exceed two months salary. For 205, the system covers all permanent employees with the exception of the President, other members of the executive management and employees working in risk- and compliance functions. The amount to be paid decreases if the risk exposure amount exceeds intended levels for the year. Other administrative expenses Other administrative expenses amounted to Skr -34 million (Q4: Skr -44 million), a decrease of 23 percent compared to the same period in the previous year. The decrease in other administrative expenses is mainly due to continued cost control and lower costs for external fees. The latter is partly due to lower costs for legal advice. Depreciation of non-financial assets Depreciation totaled Skr -0 million (Q4: Skr - million), a decrease of 9 percent from the same period in the previous year. Net credit losses Net credit losses for the first quarter of 205 amounted to Skr 2 million (Q4: Skr -4 million). The change is mainly due to the fact that in the corresponding period last year, a provision to the reserve not attributable to a specific counterparty of Skr -20 million was made. Other comprehensive income Other comprehensive income before tax amounted to Skr -70 million (Q4: Skr 33 million). Skr -4 million (Q4: Skr 33 million) of the total was attributable to items to be reclassified to operating profit and Skr -29 million (Q4: Skr 0 million) was attributable to items not to be reclassified to operating profit. For items to be reclassified to operating profit, Skr 9 million (Q4: Skr -3 million) was related to available-for-sale securities and Skr -60 million (Q4: Skr 46 million) was due to other comprehensive income effects related to cash flow hedges. The positive changes in fair value related to available-for-sale securities were primarily due to a decrease in credit spreads on liquidity placements. During the third quarter of, the derivatives designated as hedging instruments in cash flow hedges were terminated for strategic reasons and the hedging designations were discontinued. The previous fair value of the derivatives reported in the hedge reserve will be reclassified to operating profit as the previous hedged interest income is recognized in net interest revenues. The majority of the reserve will be reversed in 207 at the latest. The remaining reserve to be reversed amounted to Skr 45 million before tax. The effect on other comprehensive income during the period related to cash flow hedges was attributable to such reclassification from other comprehensive income to net interest revenues in operating profit. Items not be reclassified to operating profit were related to revaluation of defined benefit pensions. The negative change in fair value was caused by the low discount rate due to low market interest rates. After-tax return on equity After-tax return on equity amounted to 6.4 percent (Q4: 0.6 percent). After-tax return on equity, excluding net results of financial transactions, amounted to 5.5 percent (Q4: 4.2 percent). Statement of Financial Position Statement of Financial Position SEK s total assets amounted to Skr 324.9 billion on March 3, 205 (year-end : Skr 325.2 billion), mainly unchanged. Exchange rate effects related to the strengthening of the US dollar relative to the Swedish krona had a positive impact and was offset by a decrease in liquidity investments. A large part of the lending portfolio is denominated in US dollars. Interim Report January March 205

page 7 of 34 The combined amount of loans outstanding and loans committed though not yet disbursed amounted to Skr 240.0 billion as of March 3, 205 (year-end : Skr 234.3 billion), an increase of 2 percent from year-end. Of the total amount at March 3, 205, Skr 225.2 billion represented outstanding loans, an increase of 3 percent from year-end (year-end : Skr 28.2 billion). Of the total amount of outstanding loans, loans in the S-system amounted to Skr 50.2 billion (year-end : Skr 48.3 billion), representing an increase of 4 percent from year-end. As of March 3, 205, the aggregate amount of outstanding offers amounted to Skr 95.6 billion, an increase of 22 percent since year-end (year-end : Skr 78.4 billion). Skr 84.3 billion (year-end : Skr 74.5 billion) of outstanding offers derived from the S-system. Skr 44.4 billion (year-end : Skr 50.9 billion) of outstanding offers are binding offers and Skr 5.2 billion (year-end : Skr 27.5 billion) are non-binding offers. Binding offers are included in commitments. There has been no change in the composition of SEK s counterparty exposure during the first quarter of 205. Of the total counterparty exposure at March 3, 205, 5 percent (year-end : 5 percent) was to states; 23 percent (year-end : 23 percent) was to companies; 8 percent (year-end : 8 percent) was to multilateral development banks and financial institutions; 6 percent (year-end : 6 percent) was to regional governments; and 2 percent (year-end : 2 percent) was to asset-backed securities. SEK s exposure to derivative counterparties is significantly limited compared to the amount of derivatives reported among SEK s assets because most derivatives are subject to collateral agreements. See the table Capital requirements in accordance with Pillar in Note 0. Liabilities and equity As of March 3, 205, the aggregate volume of available funds and shareholders equity exceeded the aggregate volume of loans outstanding and loans committed at all maturities. As a result, SEK considers all of its outstanding commitments to be covered through maturity. In December, the Swedish parliament decided that the credit facility with the Swedish National Debt Office for 205 should amount to Skr 80 billion and only be available for loans covered by the State s export credit support (CIRR). SEK has not yet utilized the credit facility. Capital adequacy SEK s total capital ratio was 20.3 percent as of March 3, 205 (year-end : 9.2 percent) of which 7.8 percent was related to Tier capital (year-end : 6.9 percent). The Common Equity Tier capital ratio was 7.8 percent (year-end : 6.9 percent). See Note 0 for further information on capital adequacy. Risk factors SEK s future development is based on a number of factors, some of which are difficult to predict and are beyond the company s control. These factors include the following: Changes in general economic business conditions including changes in the competitive situation in one or more financial markets. Changes and volatility in currency exchange rates, interest rates and other market factors affecting the value of SEK s assets and liabilities. Changes in government policy and regulations, as well as in political and social conditions. Environmental and social risks connected to SEK s lending. SEK believes that as of the date of this report none of these factors has been significantly changed since year-end and no new risk factors have developed since that date which are expected to have a material negative impact on the future of the company. For additional information, see also the Risk and Capital Management section in SEK s Annual Report. Events after the reporting period No events with significant impact on the information in this report have occurred after the end of the reporting period. Interim Report January March 205

page 8 of 34 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Note Jan-Mar 205 Oct-Dec Jan-Mar Jan-Dec Interest revenues 766 809 988 3,774 Interest expenses -347-358 -636-2,96 Net interest revenues 49 45 352,578 Net fee and commission expense -2 - - -6 Net results of financial transactions 2 46 25 30 506 Other operating income 0 - - - Total operating income 463 575 66 2,078 Personnel expenses -78-02 -74-33 Other administrative expenses -34-40 -44-66 Depreciations and amortizations of nonfinancial assets -0 - - -43 Total operating expenses -22-53 -29-522 Operating profit before net credit losses 34 422 532,556 Net credit losses 3 2 8-4 73 Operating profit 343 503 58,629 Tax expenses -8-6 -6-369 Net profit 262 387 402,260 Other comprehensive income related to: Items to be reclassified to profit or loss Available-for-sale securities 9-23 -3 26 Derivatives in cash flow hedges -60-69 46 36 Tax on items to be reclassified to profit or loss 9 20-29 -75 Net items to be reclassified to profit or loss -32-72 04 267 Items not to be reclassified to profit or loss Revaluation of defined benefit plans -29-43 0-43 Tax on items not to be reclassified to profit or loss 6 0 0 0 Net items not to be reclassified to profit or loss -23-33 0-33 Total other comprehensive income -55-05 04 234 Total comprehensive income 207 282 506,494 The entire profit is attributable to the shareholder of the Parent Company. Skr Basic and diluted earnings per share 2 66 97 0 36 2 Net profit divided by average number of shares, which amounts to 3,990,000 for each period. Interim Report January March 205

page 9 of 34 CONSOLIDATED STATEMENT OF FINANCIAL POSITION Note March 3, 205 December 3, Assets Cash and cash equivalents 4, 5, 6 3,87 7,099 Treasuries/government bonds 4, 5, 6 259 3,458 Other interest-bearing securities except loans 3, 4, 5, 6 62,93 66,398 Loans in the form of interest-bearing securities 4, 5, 6 5,744 53,40 Loans to credit institutions 3, 4, 5, 6 27,274 25,50 Loans to the public 3, 4, 5, 6 57,0 49,240 Derivatives 5, 6, 7 8,38 6,07 Property, plant, equipment and intangible assets 68 6 Other assets 2,247 2,053 Prepaid expenses and accrued revenues,938 2,090 Total assets 324,897 325,66 Liabilities and equity Borrowing from credit institutions 5, 6 9,424 8,290 Borrowing from the public 5, 6 62 63 Senior securities issued 5, 6 269,776 273,839 Derivatives 5, 6, 7 22,489 8,886 Other liabilities,782 3,054 Accrued expenses and prepaid revenues,99 2,04 Deferred tax liabilities 73 82 Provisions 3 97 Subordinated securities issued 5, 6 2,65,945 Total liabilities 308,533 309,009 Share capital 3,990 3,990 Reserves 37 403 Retained earnings 2,003,764 Total equity 6,364 6,57 Total liabilities and equity 324,897 325,66 Collateral provided etc. Cash collateral under the security agreements for derivative contracts 0,788 9,668 Interest-bearing securities Subject to lending 245 3 Contingent assets and liabilities Guarantee commitments, credits 7 8 Guarantee commitments, other 4,40 4,287 Commitments Committed undisbursed loans 4,802 6,028 Binding offers 44,447 50,896 Interim Report January March 205

page 0 of 34 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY IN SUMMARY Share capital Retained earnings Equity Reserves Hedge Fair value reserve reserve Opening balance of equity January, 4,990 3,990 52 6 0,864 Net profit Jan-Mar, 402 402 Other comprehensive income Jan-Mar, related to: Items to be reclassified to profit or loss Available-for-sale securities 3 3 Derivatives in cash flow hedges 46 46 Tax on items to be reclassified to profit or loss 29 32 3 Items not to be reclassified to profit or loss Revaluation of defined benefit plans 0 0 Tax on items not to be reclassified to profit or loss 0 0 Total other comprehensive income Jan-Mar, 04 4 0 0 Total comprehensive income Jan-Mar, 506 4 0 402 Closing balance of equity March 3, 5,496 3,990 266 26,266 Opening balance of equity January, 4,990 3,990 52 6 0,864 Net profit Jan-Dec,,260,260 Other comprehensive income Jan-Dec, related to: Items to be reclassified to profit or loss Available-for-sale securities 26 26 Derivatives in cash flow hedges 36 36 Tax on items to be reclassified to profit or loss 75 70 5 Items not to be reclassified to profit or loss Revaluation of defined benefit plans 43 43 Tax on items not to be reclassified to profit or loss 0 0 Total other comprehensive income Jan-Dec, 234 246 2 33 Total comprehensive income Jan-Dec,,494 246 2,227 Dividend 327 327 Closing balance of equity December 3, 6,57 3,990 398 5,764 Net profit Jan-Mar, 205 262 262 Other comprehensive income Jan-Mar, 205 related to: Items to be reclassified to profit or loss Available-for-sale securities 9 9 Derivatives in cash flow hedges -60-60 Tax on items to be reclassified to profit or loss 9 4-5 Items not to be reclassified to profit or loss Revaluation of defined benefit plans -29-29 Tax on items not to be reclassified to profit or loss 6 6 Total other comprehensive income Jan-Mar 205-55 -46 4-23 Total comprehensive income Jan-Mar, 205 207-46 4 239 Closing balance of equity March 3, 205 6,364 3,990 352 9 2,003 The entire equity is attributable to the shareholder of the Parent Company. 2 On April 28, 205, the Annual General Meeting did propose a dividend amounting to Skr 378 million. Interim Report January March 205

page of 34 STATEMENT OF CASH FLOWS IN THE CONSOLIDATED GROUP Jan-Mar Jan-Mar Jan-Dec 205 Operating activities Operating profit 343 58,629 Adjustments to convert operating profit to cash flow: Provision for credit losses - net -2 5-89 Depreciation 0 43 Exchange rate differences -3 0-5 Unrealized changes in fair value -29-26 -57 Other 42-7 284 Income tax paid -63-7 -308 Total adjustments to convert operating profit to cash flow -45-332 -32 Disbursements of loans -3,205-3,595-57,495 Repayments of loans 5,255 6,357 65,7 Net change in bonds and securities held 3,496-7,29 0,576 Derivatives relating to loans 58 22 946 Other changes net 89 39 29 Cash flow from operating activities 6,09-3,930 20,724 Investing activities Capital expenditures -6-8 -52 Cash flow from investing activities -6-8 -52 Financing activities Proceeds from issuance of short-term senior debt 80 64 2,929 Proceeds from issuance of long-term senior debt 5,409 2,266 52,387 Repayments of debt -4,649-3,788-67,688 Repurchase and early redemption of own long-term debt -6,4-3,69-25,833 Derivatives relating to debts 5,50-78 6,274 Dividend paid - - -327 Cash flow from financing activities -9,970 4,945-22,258 Net cash flow for the year -3,895,007 -,586 Exchange rate differences on cash and cash equivalents -7-42 348 Cash and cash equivalents at beginning of the period 7,099 8,338 8,337 Cash and cash equivalents at end of the period 2 3,87 9,303 7,099 of which cash at banks 537 436 373 of which cash equivalents 2,650 8,867 6,726 Interest payments received and expenses paid Interest payments received 929 969 4,40 Interest expenses paid 288 720 2,609 2 Cash and cash equivalents include, in this context, cash at banks that can be immediately converted into cash and short-term deposits for which the time to maturity does not exceed three months from trade date. See Note 4. Interim Report January March 205

page 2 of 34 NOTES. Applied accounting principles and impacts from changes in accounting principles 2. Net results of financial transactions 3. Impairment and past-due receivables 4. Loans and liquidity placements 5. Classification of financial assets and liabilities 6. Financial assets and liabilities at fair value 7. Derivatives 8. S-system 9. Segment reporting 0. Capital adequacy. Exposures 2. Transactions with related parties 3. Events after the reporting period All amounts are in Skr million, unless otherwise indicated. All figures concern the Consolidated Group, unless otherwise indicated. Note. Applied accounting principles and impacts from changes in accounting principles This condensed Interim report is presented in accordance with IAS 34, Interim Financial Reporting. The Group s consolidated accounts have been prepared in accordance with the International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB) together with the interpretations from IFRS Interpretations Committee (IFRS IC), and endorsed by the European Union (EU). The accounting also follows the additional standards imposed by the Annual Accounts Act for Credit Institutions and Securities Companies (995:559) and the regulation and general guidelines issued by the Swedish Financial Supervisory Authority, Annual Reports in Credit Institutions and Securities Companies (FFFS 2008:25). In addition to this, the supplementary accounting rules for groups (RFR ) issued by the Swedish Financial Reporting Board have been applied. SEK also follows the state s general guidelines regarding external reporting in accordance with its corporate governance policy and guidelines for state-owned companies. The Parent Company s accounts have been prepared in accordance with the Swedish Annual Accounts Act for Credit Institutions and Securities Companies (995:559) (ÅRKL), and the recommendation RFR 2, Accounting for Legal Entities, issued by the Swedish Financial Reporting Board, as well as the accounting regulations of the Swedish Financial Supervisory Authority (FFFS 2008:25), which means that IFRS has been applied to the extent possible within the framework of ÅRKL. The Parent Company s results and total assets represent more than 95 percent of the operating profit and total assets of the Consolidated Group, so the information about the Consolidated Group in these notes largely reflects the condition of the Parent Company. The Consolidated Group s and the Parent Company s accounting policies, methods of computation and presentation are, in all material aspects, the same as those used for the annual financial statements. Certain amounts reported in prior periods have been reclassified to conform to the current presentation. Changes in accounting standards have not had any impact on accounting during the first quarter of 205. The Interim Report does not include all the disclosures required in the annual financial statements, and should be read in conjunction with the Company s annual financial statements as of December 3,. Future changes to IFRS IFRS 9 Financial instruments covering classification and measurement, impairment and general hedge accounting was adopted by IASB in. The adoption of IFRS 9 is mandatorily effective from January, 208, with early adoption permitted. The standard has not yet been approved by the EU. SEK has started the process of evaluating the potential effect of this standard, but has not yet determined any conclusions regarding the effects on SEK s financial statements, capital adequacy or large exposures. The IASB has also adopted IFRS 5 Revenue from Contracts with Customers applicable from January, 207The standard has not yet been approved by the EU. IFRS 5 is not expected to have any material effects on SEK s financial statements, capital adequacy or large exposures. There are no other IFRS or IFRS IC interpretations that are not yet applicable that would be expected to have a material impact on SEK s financial statements, capital adequacy or large exposures.

Note 2. Net results of financial transactions Jan-Mar 205 Oct-Dec Jan-Mar page 3 of 34 Jan-Dec Net results of financial transactions related to: Derecognition of financial instruments not measured at fair value through profit or loss 2 44 89 47 Financial assets or liabilities at fair value through profit or loss 93 3 59 85,2 Financial instruments under fair-value hedge accounting -33 88 58 203 Ineffectiveness of cash flow hedges that have been reported in the profit or loss 3-0 6 7 Currency exchange effects on all assets and liabilities excl. currency exchange effects related to revaluation at fair value -6-20 -2-36 Total net result of financial transactions 46 25 30 506 During the first quarter SEK adopted new interest rate curves in order to better account for market differences in the pricing of three- and six month flows. The improved methodology resulted in a positive impact on operating income. 2 In April 202, the Swiss company Lehman Brothers Finance AG (in liquidation, with PricewaterhouseCoopers as appointed liquidators) ( LBF ) filed a lawsuit against SEK with the Stockholm District Court. In June, the dispute was finally settled and in September, SEK received certain distributions from other entities in the former Lehman Brothers group, that, in total, affected the net result of financial transactions positively by Skr 37 million. 3 During, derivatives designated as hedging instruments in cash flow hedges were terminated and the hedging designations were discontinued. The close out of the hedging instruments did not affect Net results of financial transactions. SEK s general business model is to hold financial instruments measured at fair value to maturity. The net fair value changes that occur, mainly related to changes in credit spreads on SEK s own debt and basis-spreads, and recognized in net results of financial transactions, which could be significant in a single reporting period, will not affect earnings over time since the changes in the instrument s market value will be zero if it is held to maturity. Realized gains or losses could occur if SEK repurchases own debt or if lending is repaid early and the related hedging instruments are closed prematurely. Note 3. Impairment and past-due receivables Jan-Mar 205 Oct-Dec Jan-Mar Jan-Dec Credit losses, 2, 3-0 -20-30 Reversal of previous write-downs, 2, 3 2 99 6 9 Net impairments and reversals 2 99-4 89 Established losses - -8 - -8 Recovered credit losses 0 0 0 2 Net credit losses 2 8-4 73 of which related to loans 4 29-3 of which related to liquidity placements 4 52-62 Reserve of impairment of financial assets Opening balance -464-543 -757-757 Reserves used to cover write-downs - -2-2 254 Net impairments and reversals 2 99-4 89 Currency effects 5-20 -8 0-50 Closing balance -482-464 -773-464 of which related to loans 4-254 -236-276 -236 of which related to liquidity placements 4-228 -228-497 -228 SEK has previously had two assets in the form of CDOs, which are first-priority-tranches with end-exposure to the U.S. sub-prime market. Underlying assets, concerning one of these CDOs, were liquidated during the period April-June and the final payment for the CDO has been obtained. The provision related to the CDO was dissolved. For the other CDO, part of the provision was reversed in connection with an amortization during the fourth quarter. A reversal of Skr million was recorded in the three-month period in relation to the remaining CDO (Q4: impairment of Skr million for both CDOs). The total provision on the remaining CDO amounted to Skr 208 million (year-end : Skr 89 million). The asset has a gross book value before impairment of Skr 24 million (year-end : Skr 222 million). 2 SEK has had a restructured receivable where final settlement occurred during the fourth quarter,. The result of the final settlement came to a reversal of Skr 46 million, and an established loss of Skr 8 million during the period January December. This reversal is included in reversal of previous write-downs. 3 The amount for the three month period includes a provision of Skr 0 million related to bad debts not linked to a specific counterparty (Q4: Skr 20 million). The result is that the provision for bad debts not linked to a specific counterparty amounts to the total of Skr 240 million (year-end : Skr 240 million). The provision for bad debts not linked to a specific counterparty relates to deterioration in credit quality related to assets not individually reserved for. SEK established the reserve according to a methodology based on both quantitative and qualitative analysis of all exposures accounted for at amortized cost. 4 See Note 4 for definitions. 5 Currency effects are reported within Net results of financial transactions (see further Note 2).

page 4 of 34 Past-due receivables Receivables past due have been recorded to reflect the amounts expected to actually be received at settlement. March 3, 205 December 3, Past-due receivables: Aggregate amount of principal and interest less than, or equal to, 90 days past-due 4 5 Aggregate amount of principal and interest more than 90 days past-due 4 Principal amount not past-due on such receivables 350 44 Of the aggregate amount of principal and interest past due, Skr 0 million (year-end : Skr 0 million) was due for payment more than three but less than, or equal to, six months before the end of the reporting period, Skr 0 million (year-end : Skr million) was due for payment more than six but less than nine months before the end of the reporting period, and Skr 4 million (year-end : Skr 0 million) was due for payment more than nine months before the end of the reporting period. Note 4. Loans and liquidity placements Loans in the form of interest-bearing securities are a part of SEK s total loans. SEK s total loans and liquidity placements are calculated as follows: March 3, 205 December 3, Loans: Loans in the form of interest-bearing securities 5,744 53,40 Loans to credit institutions 27,274 25,50 Loans to the public 57,0 49,240 Less: Cash collateral under the security agreements for derivative contracts -0,788-9,668 Deposits with time to maturity exceeding three months 0 0 Total loans 225,24 28,222 Liquidity placements: Cash and cash equivalents 3,87 7,099 Cash collateral under the security agreements for derivative contracts 0,788 9,668 Deposits with time to maturity exceeding three months 0 0 Treasuries/government bonds 259 3,458 Other interest-bearing securities except loans 62,93 66,398 Total liquidity placements 77,65 86,623 Total interest-bearing assets 302,406 304,845 Cash and cash equivalents include, in this context, cash at banks where amounts can be immediately converted into cash and short-term deposits where the time to maturity does not exceed three months from trade date. Note 5. Classification of financial assets and liabilities Financial assets by accounting category Total Financial assets at fair value through profit or loss Held-fortrading 2 Designated upon initial recognition (FVO) March 3, 205 Derivatives used for hedge accounting Availablefor-sale Loans and receivables Cash and cash equivalents 3,87 - - - - 3,87 Treasuries/government bonds 259 - - - 259 - Other interest-bearing securities except loans 62,93 -,635-54,088 7,208 Loans in the form of interest-bearing securities 5,744 -,033 - - 50,7 Loans to credit institutions 27,274 - - - - 27,274 Loans to the public 57,0 - - - - 57,0 Derivatives 3 8,38 8,352-9,786 - - Total financial assets 320,544 8,352 2,668 9,786 54,347 245,39

page 5 of 34 Financial liabilities by accounting category March 3, 205 Derivatives Financial liabilities at fair used for hedge Other financial Total value through profit or loss accounting liabilities 4 Designated upon initial Held-fortrading recognition (FVO) 5 Borrowing from credit institutions 9,424 - - - 9,424 Borrowing from the public 62 - - - 62 Senior securities issued 6 269,776-77,507-92,269 Derivatives 3 22,489 5,707-6,782 - Subordinated securities issued 2,65 - - - 2,65 Total financial liabilities 303,96 5,707 77,507 6,782 203,920 Financial assets by accounting category Total Financial assets at fair value through profit or loss December 3, Derivatives used for hedge accounting Availablefor-sale Loans and receivables Designated upon initial Held-fortrading recognition (FVO) Cash and cash equivalents 7,099 - - - - 7,099 Treasuries/government bonds 3,458 - - - 3,458 Other interest-bearing securities except loans 66,398 -,670-57,320 7,408 Loans in the form of interest-bearing securities 53,40 -,358 - - 5,782 Loans to credit institutions 25,50 - - - - 25,50 Loans to the public 49,240 - - - - 49,240 Derivatives 3 6,07 9,042-6,975 - - Total financial assets 320,862 9,042 3,028 6,975 60,778 24,039 Financial liabilities by accounting category Financial liabilities at fair value through profit or loss December 3, Derivatives used for hedge Other financial accounting liabilities 4 Total Designated upon initial Held-for- recognition trading 2 (FVO) 5 Borrowing from credit institutions 8,290 - - - 8,290 Borrowing from the public 63 - - - 63 Senior securities issued 6 273,839-82,262-9,577 Derivatives 3 8,886 3,39-5,567 - Subordinated securities issued,945 - - -,945 Total financial liabilities 303,023 3,39 82,262 5,567 20,875 Of loans and receivables, 2 percent (year-end : 9 percent) are subject to fair-value hedge accounting. The remaining 98 percent (year-end : 9 percent) are not subject to hedge accounting and are therefore valued at amortized cost. During the third quarter, the derivatives designated as hedging instruments in cash flow hedges were closed and the hedging designations were discontinued. 2 No assets were classified as held-for-trading other than derivatives held for economic hedging in accordance with IAS39. 3 The derivatives fair value originating from credit risk amounted to Skr -8 million as of March 3, 205. The change for the period January to March 3, 205, amounted to Skr million, which had a negative effect on operating profit. The valuation is made on the counterparty level. 4 Of other financial liabilities, 76 percent (year-end : 7 percent) are subject to fair-value hedge accounting, the remaining 24 percent (year-end : 29 percent) are not subject to hedge accounting and are therefore valued at amortized cost. 5 Accumulated changes in the fair value of financial liabilities attributable to changes in SEK s credit risk amounted to Skr -506 million (year-end : Skr -47 million), which represents a cumulative increase in the book value of liabilities. For the period January to March 3, 205, the credit risk component has increased by Skr 35 million, which increased the value of financial liabilities and affected operating profit negatively. For the period January to March 3,, the credit risk component decreased by Skr 4 million, which decreased the value of financial liabilities and affected operating profit positively. 6 Repayments of long-term debt amounting to approximately Skr -4.7 billion (Q4: Skr -3.8 billion) have been effectuated during the three-month period and SEK s own debt repurchase and early redemption amounted to approximately Skr -6.4 billion (Q4: Skr -3.6 billion).

Note 6. Financial assets and liabilities at fair value page 6 of 34 March 3, 205 Book value Fair value Surplus value (+)/ Deficit value ( ) Cash and cash equivalents 3,87 3,87 0 Treasuries/governments bonds 259 259 0 Other interest-bearing securities except loans 62,93 62,846-85 Loans in the form of interest-bearing securities 5,744 53,078,334 Loans to credit institutions 27,274 27,324 50 Loans to the public 57,0 59,404 2,393 Derivatives 8,38 8,38 0 Total financial assets 320,544 324,236 3,692 Borrowing from credit institutions 9,424 9,467 43 Borrowing from the public 62 62 0 Senior securities issued 269,776 27,46,640 Derivatives 22,489 22,489 0 Subordinated securities issued 2,65 2,80 5 Total financial liabilities 303,96 305,64,698 The surplus value is mainly related to CIRR loans within the S-system. See note 8 for more information regarding the S-system. December 3, Book value Fair value Surplus value (+)/ Deficit value ( ) Cash and cash equivalents 7,099 7,099 0 Treasuries/governments bonds 3,458 3,458 0 Other interest-bearing securities except loans 66,398 66,292-06 Loans in the form of interest-bearing securities 53,40 54,664,524 Loans to credit institutions 25,50 25,533 23 Loans to the public 49,240 5,543 2,303 Derivatives 6,07 6,07 0 Total financial assets 320,862 324,606 3,744 Borrowing from credit institutions 8,290 8,350 60 Borrowing from the public 63 63 0 Senior securities issued 273,839 275,249,40 Derivatives 8,886 8,886 0 Subordinated securities issued,945,937-8 Total financial liabilities 303,023 304,485,462 The surplus value is mainly related to CIRR loans within the S-system. See note 8 for more information regarding the S-system. The best evidence of fair value is quoted prices in an active market. The majority of SEK s financial instruments are not publicly traded, and quoted market values are not readily available. Fair value measurements are categorized using a fair value hierarchy. The financial instruments carried at fair value have been categorized under the three levels of the IFRS fair value hierarchy that reflects the significance of inputs. The categorization of these instruments is based on the lowest level of input that is significant to the fair value measurement in its entirety. SEK uses the following hierarchy for determining and disclosing the fair value of financial instruments based on valuation techniques: Level : quoted (unadjusted) prices in active markets for identical assets or liabilities; Level 2: other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly; and Level 3: techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. SEK recognizes transfers between levels of the fair value hierarchy in the beginning of the reporting period in which the change has occurred. For all classes of financial instruments (assets and liabilities), fair value is established by using internally established valuation models, externally established valuation models, and quotations furnished by external parties. If the market for a financial instrument is not active, fair value is established by using a valuation technique. The objective of using a valuation technique is to establish what the transaction price would have been at the measurement date in an arm s length exchange based on normal business terms and conditions. Valuation techniques include using recent arm s length market transactions between professional, willing parties, if available, reference to the current fair value of another instrument that is substantially the same, discounted cash flow analysis and option pricing models. Periodically, the valuation techniques are calibrated and tested for validity using prices from observable current market transactions in the same instruments or based on any available observable market data. In calculating fair value, SEK seeks to use observable market quotes (market data), where possible, to best reflect the market s view on prices. These market quotes are used, directly or indirectly, in quantitative models for the calculation of fair value. Examples of the indirect use of market data are:

page 7 of 34 the derivation of discount curves from observable market data, which is interpolated to calculate the non-observable data points, and quantitative models, which are used to calculate the fair value of a financial instrument, where the model is calibrated so that available market data can be used to recreate observable market prices on similar instruments. In some cases, due to low liquidity in the market, there is no access to observable market data. In these cases, SEK follows market practice by basing its valuations on: historically observed market data. One example is a valuation depending on the correlation between two exchange rates, where the correlation is determined by time series analysis. similar observable market data. One example is SEK s valuation of the volatility of a stock option whose maturity is longer than the longest option for which observable market quotes are available. In such a case, SEK extrapolates a value based on the observable market quotes for shorter maturities. For observable market data, SEK uses third-party information based on purchased contracts (such as that available from Reuters and Bloomberg). This type of information can be divided into two groups, with the first group consisting of directly observable prices and the second of market data calculated from the observed prices. Examples from the first group are for various currencies and maturities currency rates, stock prices, share index levels, swap prices, future prices, basis spreads and bond prices. The discount curves that SEK uses, which are a cornerstone of valuation at fair value, are constructed from observable market data. Examples from the second group are the standard forms of quotes, such as call options in the foreign exchange market quoted through volatility which is calculated by Black-Scholes model. Further examples from this group are for various currencies and maturities currency volatility, swap volatility, cap/floor volatilities, stock volatility, dividend schedules for equity and credit default swap spreads. SEK continuously ensures the high quality of market data, and in connection with the financial reporting a thorough validation of market data is performed quarterly. For transactions that cannot be valued based on observable market data, the use of non-observable market data is necessary. Examples of non-observable market data are discount curves created using observable market data that are extrapolated to calculate nonobservable interest rates, correlations between different underlying market parameters and volatilities at long maturities. Non-observable market data as SEK s own creditworthiness are assessed by recent transactions of SEK s issues, or if no continuous flow of new transactions exist, spreads against other similar issuers, in those cases when observable prices in the secondary market are not available. Fair value adjustments applied by SEK reflect additional factors that market participants take into account and that are not captured by the valuation model. Management assesses level of fair value adjustments to reflect counterparty risk, SEK s own creditworthiness and unobservable parameters, where relevant. The use of a valuation model demands a validation and thereafter an approval. The validation is conducted by Risk Control to ensure an independent control. The Board s Finance- and Risk Committee makes decisions regarding the approval of (or changes to) the valuation model. In addition, the Finance and Risk Committee approves all models for the valuation of financial instruments at least annually. Analysis of significant unobservable inputs, fair value adjustments and significant changes to the fair value of level-3-instruments are conducted quarterly in an assessment of the reasonableness of the valuation model. The valuation result is analyzed and approved by persons responsible for valuation and accounting, and discussed with the Audit Committee quarterly, in connection with the filing of SEK s interim reports. Determination of fair value of certain types of financial instruments Derivative instruments. Derivative instruments are carried at fair value, and fair value is calculated based upon internally established valuations, external valuation models, quotations furnished by external parties or dealers in such instruments or market quotations. When calculating fair value for derivative instruments, the impact on the fair value of the instrument related to counterparty credit risk is based on publicly quoted prices on credit default swaps of the counterparty, if such prices are available. Issued debt instruments. When calculating the fair value of issued debt instruments, the effect on the fair value of SEK s own credit risk is assessed based on internally established models founded on observations from different markets. The models used include both observable and non-observable parameters for valuation. Issued debt instruments that are hybrid instruments with embedded derivatives. SEK issues debt instruments in many financial markets. A large portion of these are hybrid instruments with embedded derivatives. SEK s policy is to hedge the risks in these instruments using derivatives in order to obtain effective economic hedges. These hybrid debt instruments are classified as financial assets and financial liabilities measured at fair value through profit or loss and therefore the embedded derivatives are not separated. As there are no quoted market prices for these instruments, valuation models are used to calculate fair value. The gross value of these instruments and derivatives which effectively hedge each other requires complex judgments regarding the most appropriate valuation technique, assumptions and estimates. If different valuation models or assumption were used, or if assumptions changed, this could produce different valuation results. Excluding the impact on valuation of credit spreads on SEK s own debt and basis spreads (which can be considerable); such changes in fair value would generally offset each other. Financial assets in fair value hierarchy March 3, 205 Financial assets at fair value through profit or loss Available-for-sale Level Level 2 Level 3 Total Level Level 2 Level 3 Total Cash and cash equivalents - - - - - - - - Treasuries/governments bonds - - - - 259 - - 259 Other interest-bearing securities except loans,25 24 26,636,297 52,79-54,088 Loans in the form of interest-bearing securities 549 484 -,033 - - - - Loans to credit institutions - - - - - - - - Loans to the public - - - - - - - - Derivatives - 4,609 3,529 8,38 - - - - Total financial assets in fair value hierarchy,800 5,27 3,790 20,807,556 52,79-54,347