DNB - Supervisory Review and Evaluation Process (SREP)

14 Nov 2022 08:52 CET

The Financial Supervisory Authority of Norway ("the FSA") regularly (and usually
each year) carries out a Supervisory Review and Evaluation Process ("SREP"),
where they evaluate the risks and capital needs of DNB. The SREP includes a
decision regarding the Pillar 2 Requirement and the Pillar 2 Guidance, which
comes in addition to the minimum requirements and combined buffer requirements
under Pillar 1. DNB has now received this year's decision from the FSA, which
will apply from 31 December 2022.

The FSA has decided that the Pillar 2 Requirement for DNB (on a group level)
shall be increased from 1.9 to 2.1 % of the total risk exposure amount (TREA).
At least 56.25 % of the requirement shall be met with common equity tier 1
(CET1) capital, while 75 % must be met with tier 1 capital. In contrast, the
current Pillar 2 Requirement must be met with CET1 capital in its entirety. The
new Pillar 2 Requirement will therefore increase the total capital requirement
by 0.2 percentage points, while the CET1 requirement will be reduced by 0.7
percentage points and the tier 1 requirement will be reduced by 0.3 percentage
points.

The Pillar 2 Guidance remains unchanged at 1.5 % of TREA.

For further information, please contact:
Rune Helland, Head of Investor Relations, tel.: (+47) 97 71 32 50

The information in this statement is subject to the disclosure requirements
under Section 5-12 of the Norwegian Securities Trading Act.

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