Nordea divests its minority holding in International Moscow Bank

The transaction is subject, inter alia, to regulatory approvals from relevant authorities and is expected to be completed in the third quarter of 2006. The consideration to be received by Nordea in connection with the sale is USD 395 m. This will result in a tax-free capital gain of approx. EUR 200 m that will be recognised when completion takes place. Nordea's consolidated profit from IMB for the first six months of 2006 is expected to be approx. EUR 25 m.

The ownership in IMB has been a good financial investment to date, providing Nordea with a growing stream of revenues. However, the disposal of shares in IMB will provide a substantial capital gain from what is essentially a financial investment, while at the same time giving Nordea the flexibility to pursue other opportunities in Russia, says Tom Ruud, Head of Corporate and Institutional Banking.

Nordea is committed to expanding its presence in the growing Russian market by way of establishing a fully controlled operation in order to support the business of its corporate customers in Russia and to capture the growth opportunities in the Russian corporate and retail segments. As a result, Nordea intends to pursue a strategy for growth in the Russian market, either by way of obtaining its own banking licence or by acquiring a small to medium-sized Russian bank.

During the transition period, Nordea's customers doing business in Russia will continue the relationship with IMB and benefit from the same services as before.