Glossary

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Acquisition of own shares	Repurchase of shares issued by Danske Bank.
Acquisition/sale of business units	Incoming and outgoing payments on acquisition and disposal of shares and the like in subsidiary and associated undertakings.
Acquisition/sale of intangible assets	Acquisition of intangible assets, including the purchase and development of software.
Acquisition/sale of own shares	Repurchase and sale of shares issued by Danske Bank.
Acquisition/sale of tangible assets	Acquisition and sale of tangible assets, including domicile property.
Adjusted shareholders' equity	Shareholders' equity adjusted to reflect the changes to the accounting policies applied by Danica Pension.
Adjustment for non-liquid items in the income statement	Items on the income statement not reflecting incoming or outgoing payments.
Adjustment of minority interests	Adjustment of that portion of the Group's shareholders' equity that is owned by minority shareholders of subsidiaries.
Allocated capital (business segments)	Allocated capital at the end of the period defined as a proportionate share of the shareholders' equity.
Allocated capital (avg.) (business areas)	Equals as of Q12007 5.5% (previously 6.5%) of the average risk-weighted items of the individual business area calculated in accordance with the rules of the Danish Financial Supervisory Authority.
Allocated capital (avg.) (Danica Pension)	The allocated capital equals the amount that Danske Bank, according to the rules of the Danish Financial Supervisory Authority, must deduct from its capital base to allow for its ownership of Danica Pension. In addition, as of Q12007 5.5% (previously 6.5%) of the risk-weighted items attributable to the activities of Danica is added.
Amortisation and depreciation	Amortisation, depreciation and impairment of intangible and tangible assets.
Amortisation of intangible assets	Operating expenses attributable to amortisation and write-downs of intangible assets.
Assets held for sale	Assets held for sale consist of tangible assets, except investment property and lease assets which, according to a publicly announced plan, are expected to be sold within twelve months.
Assets under management (DKr bn)	The market value of all assets under management at Danske Capital.
Assets under insurance contracts	Assets allocated to policyholders.
Assets under pooled schemes and unit-linked investment contracts	Investment contracts under pooled schemes (at Danske Bank) and unit-linked schemes (at Danica Pension).
Attributable to minority interests	Portion of the net profit for the year not distributed to Danske Bank's shareholders.

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Bank loans and advances	Loans and advances, excluding mortgage loans, where the counterparty is neither a credit institution nor a central bank.
Book value per share, DKr	The accounting value of the net assets (shareholders' equity) divided by the number of shares outstanding at the end of the period.
Buyback of own shares	Incoming and outgoing payments in connection with share buy-backs.

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Capital base less statutory deductions	Total core capital less statutory deductions and supplementary capital less statutory deductions.
Capital reduction	Cancellation of own shares bought back under a share repurchase programme.
Cash and cash equivalents, beginning of the period	Cash and cash equivalents, beginning of period.
Cash and cash equivalents, end of the period	Cash and cash equivalents, end of period.
Cash flow from financing activities	Incoming and outgoing payments in connection with changes in the size and composition of shareholders' equity and subordinated debt.
Cash flow from investing activities	Incoming and outgoing payments in connection with the acquisition and disposal of fixed assets and other investments.
Cash flow from operating capital	Operating capital consists of the assets and liabilities of operating activities.
Cash flow from operations	Incoming and outgoing payments from the company's main operations and from other activities not included in investing or financing activities.
Cash in hand and demand deposits with central banks	Cash and cash equivalents held with central banks.
Change in cash and cash equivalents	Total incoming and outgoing payments during the period.
Changes in subordinated debt and hybrid core capital	Incoming and outgoing payments on the issue or redemption of subordinated debt.
Core (tier 1) capital	Total core capital and hybrid core capital less intangible assets, deferred tax assets and revaluation reserves.
Core (tier 1) capital, excl. hybrid core capital	Total core capital less primary statutory deductions.
Core (tier 1) capital ratio, %	Core capital, less statutory deductions, as a percentage of risk-weighted items.
Core (tier 1) capital ratio, excl. hybrid core capital, %	Core capital, excluding hybrid core capital, as a percentage of risk-weighted items.
Cost/income ratio, %	Operating expenses divided by total income.
Cost/income ratio, excluding amortisation of intangible assets, %	Operating expenses, excluding amortisation of intangible assets, divided by total income.
Cost/income ratio, excluding total integration expenses, %	Operating expenses, excluding total integration expenses, divided by total income.
Credit loss expenses	Effect on the income statement of impairment losses on loans and advances.
Current tax assets	Outstanding tax assets due to too large tax payments.
Current tax liabilities	Outstanding tax liabilities due to insufficient tax payments.

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Deferred tax (Acquisition of subsidiary undertakings)	Deferred tax attributable to identifiable intangible assets.
Deferred tax assets (balance sheet)	Temporarily deferred tax assets to be settled in the future.
Deferred tax assets (capital base and solvency ratio)	Danske Bank Group's intangible assets, excluding the intangible assets of Danica Pension.
Deferred tax liabilities	Temporarily deferred tax liabilities to be settled in the future.
Deposits	Deposits where the counterparty is neither a credit institution nor a central bank.
Deposits, excluding repo deposits	Customer deposits at the end of the period, excluding repo deposits.
Deposits, end of period	Customer deposits, including deposits made in pooled schemes, with the business area at the end of the period.
Dividends paid	Dividends paid by the Group during the accounting period.
Diluted net profit for the period per share, DKr	The Danske Bank Group's net profit for the period per share adjusted for the effect of diluted shares.
Due from credit institutions and central banks	Loans where the counterparty is a credit institution or a central bank.

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Fee expenses	Fee expenses not included in net interest income.
Fee income	Fee income and expenses not included in net interest income.
Financial investment securities	Securities held with a long-term investment horizon.
Financing result	Net result of Danica's interest on allocated capital and Danske Bank's financing costs for its ownership of Danica Pension.
Foreign currency translation reserve	The foreign currency translation reserve covers differences as a result of the translation to Danish kroner of the financial results of and net investments in foreign units from their functional currencies. Furthermore, the reserve includes exchange rate adjustments of financial liabilities to hedge net investments in foreign units.
Foreign unit hedges	Exchange rate adjustments in connection with foreign currency translation of hedging instruments covering the foreign exchange risk of investments in foreign units.
Full-time-equivalent staff, end of period	The total number of staff expressed on a fulltime basis as opposed to headcount.
Full-time-equivalent staff (avg.)	The total number of staff expressed on a full-time basis as opposed to headcount.

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Goodwill (Acquisition of subsidiary undertakings)	Premium paid for other items than identifiable intangible assets and deferred tax.
Gross premiums	Gross premiums are the premiums paid by customers for insurance contracts, excluding reinsurance premiums.
Guarantees, etc.	The principal of guarantees which are not recognised on the balance sheet.

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Holdings in associated undertakings	Associated undertakings are undertakings in which Danske Bank has a significant but not a controlling interest.
Hybrid core capital	Subordinated debt included in the core capital to calculate solvency.

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Income from associated undertakings	Net profit on associated undertakings in which the Group has holdings and significant influence on but not control over.
Income from equity investments	Income from associated undertakings and profit on sale of associated and subsidiary undertakings.
Issued mortgage bonds	Bonds issued by Realkredit Danmark.
Institutional banking	Business with financial institutions in London and New York.
Insurance result on unit-linked and personal injury business	This item includes the operating result of Danica Pension I, which is in charge of the unit-linked activities in Denmark and Norway. It also includes the profit on the activities of Forsikringsselskabet Danica, Forenede Gruppeliv and the Norwegian subsidiaries. These activities concentrate on health care insurance, critical illness insurance and various types of risk insurance.
Intangible assets	Includes, goodwill on acquisition and capitalised development costs, etc.
Integration expenses	Operating expenses attributable to the integration activities of the business area.
Interest expense	Interest expenses plus accrued fee expenses.
Interest income	Interest income plus accrued origination fees and other interest-like fees.
Internal interest income	Interest income from other business segments.
Investment portfolio	Strategic investments in foreign currency and fixed-income assets and in listed and unlisted shares.
Investment property	Properties other than domicile properties.
Return on investments	Return on assets allocated to the shareholders' equity of Danica Pension and equity's share of the return on investments realised by Forsikringsselskabet Danica, Danica Pension I and the two Norwegian companies. Finally, the return on investments realised by the health and personal injury business of Danica Pension I is also included in this item.
Investment securities	Securities held with a longterm investment horizon.
Irrevocable loan commitments	The principal of irrevocable loan commitments not recognised on the balance sheet.

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Liabilities held for sale	Liabilities held for sale consist of liabilities that for part of disposal groups that are expected to be sold within twelve months.
Liabilities under insurance contracts	The aggregate technical provisions and obligations allocated to policyholders.
Loans and advances (Balance Sheet)	Loans and advances where the counterparty is neither a credit institution nor a central bank.
Loans and advances, end of period	Loans and advances extended by the business area at the end of the period.
Loans and advances, excluding reverse transactions (Business segments)	Loans and advances at the end of the period, excluding reverse transactions.

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Minority interests (balance sheet)	Portion of shareholders' equity attributable to minority interests.
Minority interests (highlights/income statement)	Portion of the net profit for the period not distributed to Danske Bank's shareholders.
Minority interests (capital base and solvency ratio)	Share of the associated undertakings' net assets not in the possession of the Danske Bank Group.
Mortgage loans	Loans financed by the issue of mortgage bonds.

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Net assets (excl. the items below)	Market value of the net assets of Sampo Bank group.
Net assets acquired (Acquisition of subsidiary undertakings)	Net assets acquired at the purchase of Sampo Bank Group.
Net fee income (highlights)	Received and paid fees not included in net interest income. Does not include fees of Danske Markets and Danica Pension.
Net fee income (business areas/income statement)	Received and paid fees not included in net interest income.
Net gains not recognised in the income statement	Net income from items charged directly against shareholders' equity.
Net profit for the period	The Danske Bank Group's profit after tax for the period.
Net income as % p.a. of allocated capital	Profit on insurance activities calculated as a percentage of the capital requirement for Danica Pension stipulated by the Danish Financial Supervisory Authority.
Net income from insurance business (highlights)	Net profit of the business area Danica Pension.
Net income from insurance business (Danica Pension)	The Bank's net profit on the operations of the business area Danica Pension.
Net income from insurance business (business segments)	The Danske Bank Group's total income from the business area Danica Pension.
Net insurance benefits	Payments to customers on retirement, surrender, death, etc.
Net interest income (highlights)	Interest income less interest expenses plus accrued origination fees and other interestlike fees. Does not include net interest of the business areas Danske Markets and Danica Pension.
Net interest income (business segments/income statement)	Interest income less interest expenses plus accrued origination fees and other interest-like fees.
Net interest income (business areas)	Interest income less interest expenses plus accrued origination fees and other interest-like fees.
Net premiums	Customers' contributions to pension policies.
Net profit for the period as % of average shareholders' equity	The Danske Bank Group's net profit for the period divided by the Group's average net assets for the period.
Net profit for the period per share, DKr	The Danske Bank Group's net profit for the period divided by the average number of shares outstanding in the period.
Net trading income (business segments)	Income of the business area Danske Markets and securities and foreign exchange income, interest and dividend on securities held by other business areas.
Net trading income (business areas)	Securities and foreign exchange income in the business area.
Net trading income (highlights)	Income of the business area Danske Markets and securities and foreign exchange income, interest and dividends on securities held by the other business areas, excluding Danica Pension.
Net trading income (income statement)	Income of the business area Danske Markets and securities and foreign exchange income, interest and dividend on securities held by other business areas.
Nordania	The result of the activities of Nordania.
Not included in trading portfolio	End of period value of risk-weighted assets and off-balance-sheet items not included in the trading portfolio.

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Operating expenses (highlights)	Staff costs, administrative expenses, amortisation, depreciation and write-downs. Does not include operating expenses of the business area Danica Pension.
Operating expenses (business areas)	Staff costs, administrative expenses, amortisation, depreciation and write-downs.
Other (capital base and solvency ratio)	Other statutory deductions.
Other assets (business segments)	Other assets at the end of the period, excluding loans and advances.
Other assets (balance sheet)	Other assets, including interest and fees due to the Bank, that do not belong to other types of asset.
Other assets (highlights)	Includes amounts due from credit institutions and deposits with central banks, investment and domicile properties, tax assets, assets in pooled schemes and unit-linked investment contracts and interest and commissions due to the Bank.
Other deductions	Deductions for shares in other credit and finance companies.
Other income	Profit on the sale of properties and other tangible assets, etc.
Other income (Other banking activities)	Primarily rent and lease payments.
Other income (highlights)	Rent and lease payments, gains on the sale of properties and other tangible assets, etc. Does not include other income in the business areas Danske Markets og Danica Pension.
Other income (business segments)	Profit on the sale of properties and other tangible assets, the net profit for the period of associated undertakings, etc.
Other issued bonds	Issued bonds, excluding bonds issued by Realkredit Danmark.
Other liabilities (business segments)	Other liabilities at the end of the period, excluding deposits.
Other liabilities (highlights)	Includes liabilities in pooled schemes and unit-linked investment contracts, tax liabilities and interest and commissions due.
Other liabilities (balance sheet)	Other liabilities, including interest and commissions due, that do not belong to other types of liability.
Other liabilities (guarantees and other liabilities)	The principal of other commitments not recognised on the balance sheet.
Other operating expenses	Consists of other staff costs and administrative expenses and other write-offs and impairment charges.
Others (other areas)	Includes profit on the sale of real property, etc.
Own shares	Effect of the elimination of own shares.

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Postponed risk allowance	Consists of postponed risk allowances that may be fully or partly booked as income when the realised result from insurance activities leaves sufficient room.
Premiums, insurance contracts	This item includes premiums paid by customers for insurance contracts, excluding reinsurance premiums.
Premiums, investment contracts	This items includes customers' premiums for investment contracts. The accounting treatment of investment contracts and insurance contracts is not the same; investment contracts are treated as financial contracts which means that premiums and benefits are recognised in the balance sheet, whereas premiums and benefits under insurance contracts are recognised in the income statement.
Pre-tax profit as % p.a. of allocated capital (avg.) (business segments)	Profit before tax as % p.a. of allocated capital, corresponding to 5.5% of the average risk-weighted assets of the business area.
Pre-tax profit as % p.a. of allocated cap. (ROE) (business areas)	The business area’s profit before tax as % p.a. of the allocated capital, corresponding to 5.5% of the average risk-weighted assets of the business area.
Profit before credit loss expenses (business areas)	Income less expenses in the business area.
Profit before credit loss expenses (highlights)	Net income of the Danske Bank Group before credit loss expenses.
Profit before credit loss expenses as % p.a. of allocated capital (business areas)	The business area’s profit before credit loss expenses as % p.a. of the allocated capital, corresponding to 5.5% of the average risk-weighted assets of the business area.
Profit before tax (highlights/income statement)	The Danske Bank Group's profit before tax.
Profit before tax (business areas)	Income less credit losses and other expenses in the business area.
Profit before tax in local currency	The profit before tax of the business area expressed in local currency.
Profit brought forward	Accumulated profit brought forward from previous years.
Profit for the period	The Danske Bank Group's profit after tax for the period.
Profit on sale of associated and subsidiary undertakings	Danske Bank's share of the profit on sale of associated and subsidiary undertakings.
Proposed dividends (Balance Sheet)	The Board of Director's proposal for dividends for the year submitted to the general meeting is included as a separate reserve in shareholder's equity. The dividends are recognised as a liability when the general meeting has adopted the proposal.
Proprietary trading	Short-term strategic investments.

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Repo (deposits)	In connection with repo transactions, which consist of a sale of securities to be repurchased at a later date, the securities remain on the balance sheet and are subject to interest payment and value adjustment.
Repo (Loans and advances)	Purchases of securities to be resold at a later date, called reverse repo transactions, are included as loans and advances secured by the securities in question.
Revaluation of real property	Revaluation reserves for domicile property.
Risk-weighted items (avg.)	Average value of assets and off-balance-sheet items calculated in accordance with the capital adequacy rules of the Danish Financial Supervisory Authority.
Risk-weighted items, end of period, DKr bn	The value at the end of the period of assets and off-balance sheet items in accordance with the capital adequacy rules of the Danish Financial Supervisory Authority.

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Sale of own shares	Sale of shares issued by Danske Bank.
Share-based payment	Incentive programme aimed at maintaining focus on the Group's value creation and at maintaining key staff.
Shareholders' equity	The net assets of the Danske Bank Group.
Shareholders of the Parent Company (balance sheet)	Portion of the shareholders' equity attributable to parent company shareholders.
Shareholders of the Parent Company (income statement)	Portion of the net profit for the period distributed to Danske Bank's shareholders.
Share capital	The share capital of the Danske Bank Group.
Share price, end of period, DKr	The price of Danske Bank shares at the end of the period.
Solvency ratio, %	Core capital as a percentage of risk-weighted items.
Solvency ratio, excl. net profit for the period, %	Core capital as a percentage of risk-weighted items.
Staff costs and administrative expenses	This item comprises salaries, bonuses, expenses for share-based payment, holiday allowances, jubilee bonuses, pension costs and other consideration.
Statutory deduction for insurance subsidiaries	Deduction for the capital requirement of Danica Pension.
Subordinated debt	Subordinated debt consists of liabilities in the form of subordinated loan capital and hybrid core capital which, in case of the Bank's voluntary or compulsory windingup, will not be repaid until after the claims of ordinary creditors have been met. Subordinated debt is included in the capital base in accordance with the Danish Financial Business Act.
Subordinated debt, excluding hybrid core capital	Subordinated debt other than hybrid core capital.

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Tangible assets	Domicile properties, machinery and equipment, leasehold improvements, etc.
Tax	Tax on the profit for the period.
Tax on entries on shareholders' equity	Tax effect of items charged directly against shareholders' equity.
Technical provisions (avg.)	This item includes life insurance provisions and collective bonus potential of Danica Pension. The risk allowance is calculated on the basis of these provisions.
Total assets	The aggregate assets of the Danske Bank Group.
Total income (highlights)	The aggregate income of the Danske Bank Group.
Total income (capital movements)	Total income on shareholders' equity.
Total liabilities (business segments)	Aggregate liabilities and shareholders' equity of the Danske Bank Group at the end of the period.
Total liabilities (balance sheet)	Total liabilities of the Danske Bank Group.
Total liabilities and equity	The aggregate of the liabilities and shareholders' equity of the Danske Bank Group.
Total risk allowance	The aggregate amount of the three items above. However, the allowance is payable to the Bank only if the so-called realised result leaves room for the allowance (see the Danica White Paper).
Total risk-weighted items	End of period value of risk-weighted assets and off-balance-sheet items calculated in accordance with the capital adequacy rules of the Danish Financial Supervisory Authority.
Trading activities	Trading in foreign currency, shares and fixed-income assets, and management of short-term liquidity.
Trading portfolio assets	Securities with a shortterm investment horizon and derivatives with a positive market value.
Trading portfolio liabilities	Derivatives with a negative market value, reimbursement obligation, etc.
Translation of foreign units	Exchange rate adjustments in connection with foreign currency translation of accounting figures of the Group's foreign units.

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Unit-linked business	Part of the premium paid by customers covers disability insurance. The result includes technical interest on provisions.