SPAREBANKEN VEST BOLIGKREDITT AS INVESTOR PRESENTATION - MAY 2016

Transcription

1 SPAREBANKEN VEST BOLIGKREDITT AS INVESTOR PRESENTATION - MAY 2016

2 EXECUTIVE SUMMARY Norwegian economy Moderate growth in Norway. Growth in business investments and petroleum investments will be lower in the years ahead. A continued low oil price will enhance further downturn in petroleum investments Capacity utilisation in the mainland economy has edged down, but is still expected to be close to normal level House prices have edged down, but no expectation of steep downturn Excellent financial position of the Norwegian government with large budget surplus and the government pension fund accounting over 200% of GDP Western Norwegian economy An important business region in Norway with the most diversified industrial structure including oil and gas industry, metal industry, engineering, fish farming, fisheries, shipping and tourist industry Unemployment in Western Norway is rising Still good activity in the housing market Sparebanken Vest The third largest savings bank in Norway with a strong market position in Western Norway High capitalisation; Capital ratio of 17.0 % - Core Tier 1 ratio of 13.8 % at 31 March 2016 Rated A1 (negative) by Moody s and A- (stable) by Fitch Strong asset quality 75% lending to retail customers, of which 95% is residential mortgages Sparebanken Vest Boligkreditt AS 100% owned and dedicated covered bond subsidiary of Sparebanken Vest Cover pool consisting of 100% prime Norwegian residential mortgages High quality cover pool reflected by the weighted average LTV of 56.1% Covered bonds rated Aaa by Moody s with five notches leeway Strong legal framework for covered bonds in Norway with LTV limit of 75% for residential mortgages Good position in the well-functioning domestic covered bond market which mitigates refinancing risk Besides many domestic issuances, also six benchmark covered bonds issues in EUR-market 2

3 NORWEGIAN ECONOMY

4 KEY INDICATORS OF THE NORWEGIAN ECONOMY E 2017E 2018E Mainland GDP 2.2 % 1.00 % 0.80 % 1.50 % 2.30 % Private Consumption 2.4 % 2.10 % 1.20 % 2.00 % 2,30 % Real private investments -0,5 % -2 % 3 % 4 % 4 % Oil investments -1.7 % -15 % -12 % -7 % -2 % Exports Mainland 3.4% 5 % 2 % 2 % 4 % Sovereign Wealth Fund / GDP n.a. n.a. n.a. Core inflation 2.4 % 2.75 % 3.00 % 2.30 % 1.80 % Key-Policy rate (Level) 1.5 % 0.95 % 0.45 % 0.10 % 0.20 % Unemployment, LFS (Level) 3.5 % 4.4 % 5 % 5.3 % 5 % GDP growth, Mainland, Norway* Investments in the petroleum sector (act/est)* Source:* Macrobond/Sparebanken Vest 4

5 VARIETY OF EMPLOYMENT IN HORDALAND - JOBS ARE SPREAD ACROSS A WIDE RANGE OF INDUSTRIES Employees per industry in Hordaland Hordaland s exports (value)* % 2 % 0 % % % % 8 % 8 % 6 % 6 % 5 % 5 % 5 % 31 % NOK 56 BN 51 % % 3 % 3 % 2 % 2 % 1 % 0 % Fuels Manufactured goods except food, beverages and tobacco Fish Crude materials except fuels Other foods, beverages and tobacco ~15% of Norway s exports; mostly oil, manufactured goods and fish Source: SSB, Employed persons, by region and industry division (by SSB definition), per 4th quarter 2014 Note that the numbers does not account for indirect exposure between different industries *Exports are defined as mainland exports 5

6 UNEMPLOYMENT AND HOUSE PRICES Unemployment House prices 5,0 4,5 4,0 3,5 Prosent 3,0 2,5 Index 2,0 1,5 1,0 0, Norway Sogn & Fjordane Hordaland Rogaland Kilde: Macrobond/Sparebanken Vest 6

7 OIL PRICE STABILIZED ON A NEW LOW LEVEL? - TROUGH WAS REACHED LATE JANUARY 7

8 NORWEGIAN SHOCK ABSORBERS Exchange rate Government surplus Oil-fund mechanism Stabile inflation expectations Monetary policy Reduction in tax-payment / increase in benefits Flexible labour-market More resilient banks

9 NORWEGIAN BUDGET BREAK-EVEN OIL PRICE IS ZERO! - PETROLEUM FUND MECHANISM AND BUDGET FISCAL POLICY RULE Petroleum revenues and return on investment Non-oil revenues National Budget «structural non oil deficit» Transfer to finance non-oil budget deficit Fiscal rule (real return on the fund over time, estimated at 4%) Government Pension Fund Global NOK billion 9

10 ACTIVITY IN IMPORTANT INDUSTRIES DECLINES Growth in petroleum investments %, Norway Residential investment as share of GDP, Norway des 2012 des 2013 des 2014 des 2015 des Norway, Norges Bank Kilde: Source: Macrobond/Sparebanken Makrobond/Sparebanken Vest Vest Source: Makrobond/Sparebanken Vest 10

11 GENUINE FINANCIAL POSITION Government primary balance % of GDP, OECD estimate Sovereign wealth fund exceeding 500bn Percent Percent Source: Makrobond/Sparebanken Vest Source: Kilde: Makrobond/Sparebanken Vest Strong primary balance backed by high income from the oil production Government Pension Fund Foreign (Oil Fund) is among the worlds largest sovereign wealth funds Expected long-term return on the pension fund can be channelled to the government budget EUR/NOK at :

12 ECONOMY AMONG HOUSEHOLDS - HIGH SAVINGS RATE STRENGTHEN THE HOUSEHOLD BALANCE SHEET Household savings rate Household interest and debt burden Kilde: Source: Makrobond/Sparebanken Macrobond/Sparebanken Vest Vest Prosent Household Interest Burden, HS Household Debt Ratio, VS Prosent Kilde: Source: Makrobond/Sparebanken Macrobond/Sparebanken Vest Vest Savings rate expected to be around 9% in 2016 Best social security benefits support for unemployed people in the world - according to OECD survey 12

13 NORWEGIAN HOUSING MARKET KEY FEATURES Home ownership Social benefit system Tax incentives Personal liability Mortgage lending in Norway Among the highest in the world - around 80% of households own their own home Buy-to-let market is very limited in Norway Best social security benefits for unemployed people in the world (according to OECD) On average unemployment benefit approx. 62% of previous salary Unemployment benefits paid for minimum of 104 weeks All interest expenses are tax deductible in Norway Low effective real estate tax - i.e. approx pct. of market value Capital gain on a dwelling is tax-free after one year of occupancy by the owner Borrowers personally liable for their debt - also after foreclosure/forced sale Strong incentive to service debt reflected in low arrears Transparent and reliable information about borrowers available to the lenders 95% of residential mortgage loans granted by banks Typical maturity years Around 90% of residential mortgages variable rate loans Banks allowed to increase interest rates with a six weeks notice to the borrower No sub-prime market in Norway 13

14 HOUSE PRICES - HOUSE PRICES IN NORWAY HAVE INCREASED SINCE 2008 Fundamental factors drive house prices Lower income expectations in Rogaland Immigration and demographic changes drives up demand for housing in other major cities New dwellings too low to match the increased demand for houses Continued low interest rates are important factors for price increases Index Source: NEF Price Statistics 14

15 LONG TERM OVERVIEW OF HOUSE PRICES - HIGH ECONOMIC GROWTH CONDUCIVE TO RISING HOUSE PRICES House prices deflated with CPI growth, 2000 = 100 House prices deflated with gross national disposable income per capita, 2000 = Norway Sweden Sweden Norway 175 Index 175 USA 175 Index Index 150 Denmark 150 Index 150 Denmark Source: Kilde: Source: Macrobond/Sparebanken Makrobond/Sparebanken Vest Vest 75 USA Source: Kilde: Source: Macrobond/Sparebanken Makrobond/Sparebanken Vest Vest House prices in Norway correlate highly with increase in wages and disposable income Source: OECD, Statistics Norway and Norges Bank 15

16 SPAREBANKEN VEST

17 OVERVIEW OF SPAREBANKEN VEST Sparebanken Vest in brief Established in listed on Oslo Stock Exchange since Norway s second oldest and third largest savings bank Operating in Western Norway - the most diversified and wealthiest region in the country NOK 156 bn in total assets with over 260,000 retail customers and 10,000 corporate customers Focused on the retail market (75% of total lending) and small & medium sized enterprises (SME s). Low risk profile and well diversified corporate portfolio The bank offers a broad spectrum of financial services incl. insurance, stock brokerage and real estate brokerage. Ratings: A1 (negative) by Moody s A- (stable) by Fitch Ratings FY 2014 and FY 2015 NOK million Total assets 147,070 Net loans 118,643 Deposits (retail and corporate) 66,448 Equity 9,094 Net interest margin 1.68% ROE (annualised) 13.7% Operating profit after write-downs and before tax 1,493 Loan losses and write-downs on loans 410 NOK million Total assets 156,534 Net loans 126,853 Deposits (retail and corporate) 63,041 Equity 9,704 Net interest margin 1.53% ROE (annualised) 11.2% Operating profit after write-downs and before tax 1055 Loan losses and write-downs on loans 104 Source: Sparebanken Vest 17

18 COMPANY STRUCTURE - SUBSIDIARIES AND ASSOCIATED COMPANIES Sparebanken Vest Moody s: A1 (negative) Fitch: A- (stable) Fully owned subsidiaries Associated Companies Eiendomsmegler Vest AS (real estate brooker) Sparebanken Vest Eiendom AS Sparebanken Vest Boligkreditt AS Aaa* Norne Securities 47.6% Frende Forsikring (life and non-life Insurances) 39.7% Brage Finans (leasing) 49.9% Verd Boligkreditt 40% * Covered bonds issued rated Aaa by Moody s 18

19 COOPERATION ON INSURANCE, LEASING AND BROKERAGE - STRONG RETAIL DISTRIBUTION PLATFORM THROUGH 14 INDEPENDENT SAVINGS BANKS Sparebanken Sør, Spareskillingsbanken, Flekkefjord Sparebank, Søgne & Greipstad Sparebank, Lillesand Sparebank Sparebanken Vest, Fana Sparebank, Haugesund Sparebank, Skudenes & Aakra Sparebank, Voss Sparebank, Luster Sparebank, Etne Sparebank, Sparebanken Sogn og Fjordane Sparebanken Øst Helgeland Sparebank All branches in Sparebanken Vest offer the customers personal insurance, while life insurance and compulsory occupational pension schemes are being offered to corporate clients Frende Insurance has taken a good share of the insurance market in the market areas of the owners Norne Securities creating platform for distribution of stock broking and corporate finance 19

20 KEY DEVELOPMENTS INCREASED NET INTEREST POSITIV MARGIN DEVELOPMENT IN THE COPORATE MARKET AND GROWTH IN LINE WITH TARGET LOW LOSSES AND CAPITAL ACCUMULATION ACCORDING TO PLAN IMPLEMENTATION OF NEW ORGANISATION ON SCHEDULE 20

21 KEY DEVELOPMENTS IN THE FIRST QUARTER PROFIT PERFORMANCE PROFIT PERFORMANCE EXCL. FINANCIAL INSTRUMENTS* PRE-TAX OPERATING PROFIT GOOD RETURN ON EQUITY NOK 322 MILL. (407 Mill.) 8.8% (13.6%) NOK 357 MILL. (357 Mill.) 9.8% (11.9%) LOW WRITE-DOWNS NOK 26 MILL. (39) CAPITAL ACCUMULATION ACCORDING TO PLAN 13.8% (12.3%) * Gain of NOK 50 mill. first quarter 2015, loss of NOK 35 mill. first quarter 2016

22 PRE-TAX PROFIT Pre-tax profit Pre-tax profit excl. financial instruments* Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 * Eliminated financial instruments 22

23 RETURN ON EQUITY - STABLE ROE FROM THE FOURTH QUARTER Return on equity Return on equity excl. financial instruments* 13,6 11,1 10,7 11,9 % 11,3 % 10,4 % 9,8 % 9,8 % 8,9 8,8 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 * Eliminated financial instruments and gain/loss on basis swaps 23

24 PROFIT AND BOOK VALUE OF EQUITY CERTIFICATES - NOT COMPARABLE FIGURES ISSUE OF EQUITY CERTIFICATES Q Profit per equity certificate Book equity per equity certificate 1,88 1,59 1,54 56,5 58,1 59,4 1,31 45,6 45,5 0,99 Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q1 15 Q2 15 Q3 15 Q4 15 Q

25 MARGIN DEVELOPMENT - BETTER LENDING MARGINS IN THE CORPORATE MARKET, INCREASING MARGINS ON DEPOSITS Lending Deposits 3,09 2,36 2,84 2,92 2,83 2,03 2,07 2,01 3,04 1,90 (0,06) 0,05 (0,06) 0,01 (0,09) 0,15 0,02 0,21 0,15 (0,47) Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Q1-15 Q2-15 Q3-15 Q4-15 Q1-16 Retail Corporate Retail Corporate 25

26 STRENGTHENING OF THE RETAIL MARKET - GROWTH WITHIN TARGET IN Q1, LOW GROWTH IN THE CORPORATE MARKET THE PAST THREE YEARS Retail market Lending NOK 99.4 billion Corporate market Lending NOK 31.7 billion 7.9 % 3.1 % 1% 0.5 % Q1 Growth lending Av.Growth last three years Q1 Growth lending Av.Growth last three years 26

27 INCREASED NET INTEREST - RELATIVE IMPROVEMENT BY 5 POINTS FROM Q Development in net interest and credit commission income 700 3,5 % ,0 % NOKm ,63% 1,59% 1,53% 1,46% 1,51% 2,5 % 2,0 % 1,5 % 1,0 % Per capital unit % p.a ,5 % 0 Q Q Q Q Q Net interest income and credit commisions (NOKm) Net interest income and credit commisions per capital unit (% p.a.) 0,0 % 27

28 STRONG POSITION IN RETAIL MARKET - MORE THAN 70% OF THE PORTFOLIO IN HORDALAND Loan portfolio Total loanbook by geographic area 8 % 5 % 24 % 16 % 24% 76 % 71 % 76% BM CM PM RM Hordaland Rogaland Sogn og Fjordane Øvrig Other

29 GROSS LENDING RETAIL MARKET - 94% WITHIN LTV RATIO OF 70%, 74% OF THE PORTFOLIO IN HORDALAND LOANS BROKEN DOWN BY LTV RATIO BROKEN DOWN BY REGION 94.3 % 74% 14% 4.2 % 1.4 % 7% 5% 0% LTV <= 70 % % LTV > 85 % HORDALAND ROGALAND SOGN OG RESTEN OFAV UTLAND ABROAD FJORDANE NORWAY NORGE 29

30 BREAKDOWN IN LENDING, CORPORATE MARKET - GROWTH IN DESIRED SEGMENT, COMMITMENTS BELOW NOK 150 MILL. By volume* Breakdown by sector 15,8 17,1 4 % 5 % 1 % 0 % REAL ESTATE 2 % BUILDING AND CONSTRUCTION AGRICULTURE AND FORESTRY SERVICE 7,1 7,8 16 % 39 % WHOLESALE AND RETAIL TRADE SHIPPING 4,7 4,3 5 % ENERGY 8 % INDUSTRY 1: : : 150m-> 9 % 11 % HOTELS AND RESTAURANTS OTHER FINANCIALS Q1 15 Q1 16 PUBLIC SERVICES * Measured by commitments Breakdown by sector refers to gross lending 30

31 LIMITED LENDING TO THE OFFSHORE SEGMENT - INCLUDING SEISMIC SECTOR AND CONSTRUCTION Loans to the corporate market NOK 31 billion Comments Shipping/Offshore Offshore; Total exposure NOK 1.4 bill., 1.1 % of total lending Construction: 7 vessels and gross loans of NOK 963 mill. PSV: 2 vessels and gross loans of NOK 169 mill. Commercial Real Estate Shipping; Seismic sector: 5 vessels and gross loans of NOK 115 mill. LTV: Average LTV 64 % on updated valuations Largest commitments are on contracts 31

32 CAPITAL ADEQUACY Basel 1 floor* IRB * 20,0 % 18,0 % 16,0 % 14,0 % 12,0 % 15,7 % 15,6 % 15,3 % 1,9 % 1,8 % 16,9 % 17,0 % 2,0 % 1,9 % 1,9 % 1,3 % 1,3 % 1,4 % 1,4 % 1,3 % 20,0 % 18,0 % 16,0 % 14,0 % 12,0 % 16,3 % 16,7 % 16,4 % 2,1 % 2,1 % 2,0 % 1,4 % 1,4 % 1,4 % 18,6 % 19,3 % 2,0 % 2,1 % 1,4 % 1,5 % 10,0 % 10,0 % 8,0 % 6,0 % 12,3 % 12,3 % 12,2 % 13,7 % 13,8 % 8,0 % 6,0 % 12,8 % 13,2 % 13,0 % 15,1 % 15,7 % 4,0 % 4,0 % 2,0 % 2,0 % 0,0 % 2015 Q Q Q Q Q1 Total Capital 15,7 % 15,6 % 15,3 % 16,9 % 17,0 % Additional Capital (Tier 2) 2,0 % 1,9 % 1,9 % 1,9 % 1,8 % Hybrid Capital (Tier 1) 1,4 % 1,4 % 1,3 % 1,3 % 1,3 % Core Tier 1 Capital 12,3 % 12,3 % 12,2 % 13,7 % 13,8 % 0,0 % 2015 Q Q Q Q Q1 Total Capital 16,3 % 16,7 % 16,4 % 18,6 % 19,3 % Additional Capital (Tier 2) 2,1 % 2,1 % 2,0 % 2,0 % 2,1 % Hybrid Capital (Tier 1) 1,4 % 1,4 % 1,4 % 1,4 % 1,5 % Core Tier 1 Capital 12,8 % 13,2 % 13,0 % 15,1 % 15,7 % * The quarterly figures include 80% of the accumulated profit after tax, with the exception of the fourth quarter. 32

33 CAPITAL PLANNING - ON SCHEDULE IN RELATION TO TARGET OF 14.5% CORE TIER 1 CAPITAL BY THE END OF 2016 Core Tier 1 capital taking into account Basel I floor Assumptions (ICAAP ) 14,5 13,7 13,8 Increased lending margins CM Growth: Retail market 5.0% Corporate market 2.5% Annual expected loss cost of bp of gross lending (NOK mill.) Continued capital accumulation in 2016 and potential increased distribution capacity in 2017 Q4 15 Q1 16 Q2 16 Q3 15 Q4 16 Potential for Visa gain and change in pension scheme 33

34 OUTLOOK Strong competition Reorganisation according to plan MEASURES Pressure on lending margin in the retail market Repricing in the corporate market makes a positive contribution Flat cost development in 2016 and 2017 Capital accumulation according to plan Evaluation of the pension scheme in 2016 Loss level in 2016 of NOK million Normalisation of dividend level

35 SPAREBANKEN VEST BOLIGKREDITT AS

36 EXECUTIVE SUMMARY SPAREBANKEN VEST BOLIGKREDITT AS Wholly owned subsidiary of Sparebanken Vest - and a dedicated covered bond company Revolving credit facility provided by Sparebanken Vest to cover payment obligations in the cover pool for a rolling 12 month period less amounts already disbursed under the facility Loans transferred to Boligkreditt as true sale on a non-recourse basis Cover pool 100% prime, Norwegian residential mortgages FSA appointed investigator: Deloitte Covered bonds rated Aaa by Moody s five notches leeway Approval from the Norwegian FSA to report capital according to IRB methods Loans transferred to the cover pool at 31 March 2016: NOK 54.9 billion (EUR 5.8 billion) Covered bonds issued at 31 March 2016: NOK 56.0 billion* (EUR 6.0 billion) Pre-tax result Q1 2016: NOK million (NOK million Q1 2015) Tier 1 capital ratio at 31 March 2016 : 13.0% (23.5% IRB) Total capital ratio at 31 March 2016 transitional regime: 15.1% ( 27.3% IRB) Risk weight for mortgages is 40% for Norwegian banks and covered bond companies. EUR/NOK at : *Hedged outstanding bonds amounts to NOK 51.6 billion (EUR 5.3 billion) 36

37 ELIGIBILITY CRITERIA FOR THE COVER POOL Customer criteria Credit criteria Collateral Type of properties Type of products Employed retail clients and independent self employed individuals Resident in Norway No negative credit history Probability of default max 1.25% Not in arrears Not delinquent 31 days or loss write-down Max LTV 75% Recent valuations Quarterly valuation from independent AVM provider Primary residences Cooperative housing loans No holiday homes Principal repayment loans Revolving credits (flexi-loans) Fixed and variable rate loans Source: Sparebanken Vest Boligkreditt 37

38 COVER POOL (1/2) Cover pool as of Total cover pool NOK 58.2 bn Total loan balance (mortgages) NOK 54.9 bn Average loan balance NOK 1,215,000 No. of loans 45,122 No of properties 40,092 WA seasoning (in months) 42 WA remaining terms (in months) 278 WA indexed LTV (limit) 56.1% WA indexed LTV (drawn amount) 53.8% Variable rates 89.4% Defaults (Basel) NOK 22.3 m OC level (eligible)* 12.7% OC level if house prices drop 20% 6.4 % Distribution according to LTV (indexed) 40,0 % 37,8 % 35,0 % 30,0 % 25,0 % 20,0 % 16,8 % 16,9 % 15,0 % 11,8 % 14,0 % 10,0 % 5,0 % 0,0 % 2,6 % 100% prime Norwegian residential mortgages 6.4% substitute assets in the cover pool 99.95% performing loans Moody s TPI of High CB rated Aaa with leeway of five notches** Moody s minimum OC-requirement: 0.5% Cover Pool Collateral Score: 5.0% *Based on hedged value of bonds **Sparebanken Vest is rated A1 (negative outlook) 38

39 COVER POOL (2/2) Geographic distribution Development in arrears and indexed LTV 1,0 % 75% 70% 0,8 % 65% Rest of Norway (4.6%) 0,6 % 0,4 % 0,2 % 60% 55% 50% 45% 40% 35% LTV (RA) Sogn & Fjordane (5.9%) 0,0 % Q4 08 Q2 09 Q4 09 Q2 10 Q4 10 Q2 11 Q4 11 Q2 12 Q4 12 Q2 13 Q4 13 Q2 14 Q4 14 Q2 15 Q % Hordaland (76.2%) Rogaland (13.3%) Properties mainly located in the market area of Sparebanken Vest in Western Norway Western Norway has the most diversified industrial structure Low arrears LTVs calculated based on limit of flexible credit mortgages (i.e. undrawn portion included) 39

40 AMORTISATION OF MORTGAGES VS. COVERED BOND MATURITIES NOK 2.5 bn mature in the remainder of 2016 The maturity profile of CBs matches real amortisation in mortgage portfolio in the cover pool * Refers to prepayment level of 2.5% per month, which is the long term average observed in the cover pool 40

41 RISK MANAGEMENT - LOW RISK LEVEL Credit risk Credit risk framework is set out in separate document stating which loans can be bought Board resolution required for any change in credit risk framework Framework requirements: maximum risk level (PD), type of property, objective documented LTV threshold and customer requirements Credit risk managed by IRB standards Market risk Currency risk 100% hedged by swaps, open limit of MNOK 5 Interest rate risk hedged by swaps if any, limit of MNOK 20 (based on 1% parallel shift in yield curves) No investments/placements in risky assets; Norwegian government or high quality fixed income securities (so far only rated Norwegian covered bonds investments) Liquidity risk The law requires positive cash flow from the cover pool to cover bond holders Soft bullet structure on all covered bonds issued Note Purchase Agreement with parent securing that Boligkreditt will be able to meet the next 12 months of maturities at all times 41

42 SUMMARY OF SPAREBANKEN VEST BOLIGKREDITT Cover pool consisting of prime residential mortgages in Norway Strength of the cover pool reflected in the low average LTV and high granularity Strict underwriting and eligibility criteria for transfers to Sparebanken Vest Boligkreditt Covered bonds rated Aaa by Moodys - with «leeway» of five notches Solid financial position of Sparebanken Vest and strong market position in Western Norway Strong legal framework for covered bonds in Norway including strict LTV limits, supervision by the Norwegian FSA, requirement for an independent inspector, and prudent liquidity, currency and interest rate risk management Strong credit culture of the Norwegian households, supported by low unemployment, sound financial position and generous social benefit system (the best in the OECD) Still relative strong performance of the Norwegian economy compared to most European economies 42

43 CONTACT DETAILS AND WEB-SITES Egil Mokleiv, Managing Director/CEO, Sparebanken Vest Boligkreditt AS Mobile: Fredrik Skarsvåg, Head of Operations/COO, Sparebanken Vest Boligkreditt AS Mobile: AS Web-site for Sparebanken Vest: Web-site for Sparebanken Vest Boligkreditt AS: Web-site for the Norwegian Covered Bonds Market: 43

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