Morrow Bank ASA: Revised decision on Pillar 2 requirement

19 Dec 2024 21:58 CET

Finanstilsynet (the Norwegian Financial Services Authority – NFSA) has on 19
December 2024 informed Morrow Bank ASA (the “Bank”) that the Bank’s Pillar 2
requirement (“P2R”) no longer needs to consist of 100% CET1 capital, as per the
Bank’s latest SREP letter (23 May 2024), but may consist of a minimum of 56.25%
common equity tier 1 (CET1) capital and 75% core capital. Total capital shall
fully cover 100% of P2R. The Bank's P2R remains at 5.4%.

This change implies a relief of approx. 2.4% in the CET1 requirement, which as
of Q3 2024 is equivalent to MNOK 295. The total capital requirement remains
unchanged. As a consequence, the Bank’s return on target equity (ROTE) as of Q3
2024 then increases from 10.1% to 11.7%.

This information is considered to be inside information pursuant to the EU
Market Abuse Regulation article 7 and is subject to the disclosure requirements
pursuant to section 5-12 of the Norwegian Securities Trading Act. This stock
exchange announcement was published by Henning Fagerbakke, Head of Finance,
Morrow Bank ASA, on 19 December 2024 at 21:58 CET.

More information:
Access the news on Oslo Bors NewsWeb site