DnB NORD Information Incorporated in the Registration document by a Reference

ANNUAL PROSPECTUS. Section 46. Material events in the issuer’s activities. On 13 January 2005, the issued 3-year term bonds with par value of 50 million with fixed 3.25 interest rate. The issue of bonds was fully distributed on 2 March 2005. These bonds were included into the Bond list of Vilnius Securities Exchange. 2 June 2005, in order to enhance close co-operation between NORD/LB Lietuva and NORD/LB Latvia, Mr. Rudolf Franz Karges and Mr. Gundras Andžans were elected as the members of the boards of the associated . On 21 June 2005, the biggest shareholder of the Bank – Norddeutsche Girozentrale (NORD/LB) – signed a partnership agreement with Norwegian financial services group DnB NOR Bank ASA on establishment of joint bank in North-Eastern Europe. It was announced that Bank “NORD/LB Lietuva” joins this international banking group. 21 June 2005: international agency “Fitch Ratings” approved the ratings granted to the Bank: long-term borrowing rating A-, short-term borrowing rating F2, individual rating D/E, support rating 1, borrowing rating outlook remained stable. On 29 July 2005, Mr. Dr. Hinrich Holm resigned the office of a member of the Board, and continued his career in NORD/LB bank in . 8 September 2005: Amended Articles of Association of the Bank were registered in the Register of Legal Entities, under which the authorised capital of the Bank was increased from 195,116,795 Lt to 234,110,020 Litas. The authorised registered capital is subdivided into 2,464,316 ordinary registered shares. A share with par value of 95 Litas was sold for 180 Litas. On 14 November 2005, the Bank was informed that the Bank’s largest shareholder NORD/LB on 11 November 2005 transferred 2,294,643 ordinary registered shares (93.11% of the authorised capital of the Bank) of the Bank to company registered in Denmark NORD/LB Holding A/S, 100% of which is owned by NORD/LB. On 10 November 2005, the Board of the Bank of Lithuania gave the consent to NORD/LB Holding A/S for acquisition of the qualified share of the authorised capital and (or) voting rights of the Bank. On 1 December 2005, the Board of the Bank, taking into consideration a suggestion of the Bank's Council, elected Board member Werner Schilli as the chair of the Bank's Board and appointed him to the post of the President of the Bank from 31 December 2005. The Council of the Bank dismissed chair of the Bank's Board Thomas S.Buerkle from 30 December 2005, as he was appointed to head a branch of German Bank NORD/LB in New York, USA from 1 January 2006. On 8 December 2005, the Bank was informed that the biggest shareholder of the Bank – company registered in Denmark NORD/LB Holding A/S – changed its name into Bank DnB NORD A/S, which on 6 December 2006 was issued a license by the Danish Financial Market Supervision Authority for carrying out financial institution's activities in Denmark. On 22 December 2005, the Bank was informed that on 20 December 2005 German Bank NORD/LB transferred 51% of shares of a bank registered in Denmark Bank DnB NORD A/S, which grants 51% of votes in a general meeting of shareholders of the bank Bank DnB NORD A/S, to Norwegian bank DnB NOR Bank ASA. Thus, the Norwegian bank DnB NOR Bank ASA acquired indirect control of AB bank NORD/LB Lietuva, since the bank registered DnB NORDLB Information Incorporated by a Reference 1 in Denmark Bank DnB NORD A/S owned 93.11% of shares of AB bankas ”NORD/LB Lietuva” granting 93.11% of votes in a general meeting of shareholders of AB bankas “NORD/LB Lietuva”.

SEMI-ANNUAL PROSPECTUS. Section 16. Material events in the issuer’s activities.

- On 6 February 2006, upon evaluation of the progress and operating efficiency of the Bank in 2005, the international rating agency “Fitch Ratings” improved individual rating of the Bank up to D, long-term borrowing rating A- outlook from stable to positive, and confirmed short-term borrowing rating F2 and support rating 1. - On 23 March 2006, an ordinary general meeting of shareholders of the Bank was held and adopted the following resolutions: (summary of shareholders’ resolutions) To approve the Bank’s Board report on the operations of the Bank in 2005; To approval the Bank’s financial statements for 2005; To approve the following distribution of accumulated profits of the Bank: to assign 2,896 million Lt for the formation of mandatory reserve, 49.29 million Lt – for increase of the authorised capital of the Bank, 5.73 million Lt – to carry over to the next fiscal year; To increase the authorised capital of the Bank by 49,286,320 Lt (from 234,110,020 Lt to 283,396,340 Lt) from retained earnings of the Bank. The authorised capital is increased by increasing the par value of previously issued shares by 20 Lt each (from 95 Lt to 115 Lt); To elect the Supervisory board of the Bank and determine its term of office; To change the name of the Bank from Joint stock company bankas “NORD/LB Lietuva” to AB DnB NORD bankas and approve the amended Articles of Association of the Bank. - On 23 March 2006, the Supervisory board of the Bank elected members to the Board for the term of office of four years, and the Board appointed the President and his Deputies. - On 12 May 2006, the amended Articles of Association of the Bank were registered in the Register of Legal Entities, which provided for as follows: 1. Authorised capital of the Bank amounts to 283,396,340 (two hundred eighty three million three hundred ninety six thousand three hundred and forty) Litas. The authorised capital is subdivided into 2,464,316 (two million four hundred sixty four thousand three hundred and sixteen) ordinary registered shares with par value of 115 Litas each; 2. The name of the Bank is AB DnB NORD bankas; 3. The Supervisory board of the Bank consists of seven members; 4. The Board of the Bank consists of six members; 5. The Bank can form general reserves to cover impairment losses of assets. - On 12 May 2006, the names of the Bank and subsidiaries of the Bank were changed. Name of the Bank – Joint stock company Bank “NORD/LB Lietuva” was changed into AB DnB NORD bankas, names of the subsidiaries of the Bank were changed from UAB “NORD/LB lizingas” into UAB DnB NORD lizingas, and from UAB “NORD/LB investicijų valdymas” into UAB DnB NORD investicijų valdymas. - On 10 July 2006, an extraordinary meeting of shareholders of the Bank was held, which decided to increase the authorised capital of the Bank from additional contributions of the DnB NORDLB Information Incorporated by a Reference 2 shareholders up to 311,735,905 Litas, by issuing 246,431 ordinary registered shares. The par value of a share is 115 Lt, the price of the issue - 350 Lt. Material events related to placement of bonds: - On 9 March 2006, the Securities Commission approved 250,000,000 Lt program of Bank’s bonds linked to indices of securities or commodities - From January till June 2006, the Bank placed 14 issues of bonds linked to indices of securities for the total par value of 188.2 million Litas. At the end of June the Bank held 54% of the Lithuanian market and became the leader in issue of index-linked bonds in 2006, in Lithuania.

ANNUAL PROSPECTUS. Section 26. Production (services) characteristics The Bank carries out commercial banking activities (Activity type according to the Classifier of the types of economic activities - 65.12.10). The Bank provides the following services: 1) acceptance of deposits and other repayable funds; 2) lending (including mortgages); 3) money transfers; 4.) issue of payment cards and other payment means and (or) operations with them; 5) financial leasing; 6) provision of financial warranties and financial guarantees; 7) conclusion of transactions on the account of the Bank or Bank's client in money market instruments (cheques, bills of exchange, certificates of deposits, etc.), foreign currency, futures and options, foreign exchange and interest rate swaps, public offering securities, precious metals; 8) investment services; 9) financial intermediation (agent’s activities); 10) money management; 11) provision of information and consulting on loan granting and payment; 12) rental of safe boxes; 13) currency exchange (in cash); 14) storage and administration of pecuniary funds; 15) consulting of companies on capital structure, production strategy and related issues, as well as consulting and services related with company reorganisation, restructurisation and acquisition; 16) provision of services related to securities issues; 17) issue and management of electronic money; 18) clearing of payments between credit institutions; 19) administration of investment funds or investment companies with variable capital.

Information about the operations of the Issuer by main fields of activity is presented below:

DnB NORDLB Information Incorporated by a Reference 3 Retail banking The Bank provides the following services to individual customers: bank accounts in Litas and foreign currencies, accumulative deposits in Litas and foreign currencies, term deposits in Litas and foreign currencies, universal deposits in Litas and foreign currencies, mortgages, consumer loans, private loans, local and international transfers, payment cards of international organisations MasterCard and VISA, acceptance of bank and traveller’s cheques (American Express, Thomas Cook, Swiss Bankers), currency exchange, cash operations, rental of individual safe boxes, financial brokerage services, electronic banking services, financial leasing and insurance services, pension funds, sale of life insurance is planned for this year. Active operation and ever-increasing confidence in the Bank among the customers brought about significant growth of residents’ deposits. In the course of 2005, the term deposits of residents at par value increased by 108 million Lt (19% rise), demand deposits at par value – by 277 million Lt (84%). In the end of December 2005, the individual customers’ deposits at nominal value amounted to 1286 million Lt, or 385 million Lt more than in 2004 (43%).

million Lt Individual customers’ money 31-12-2003 31-12-2004 31-12-2005 (at par value) Demand deposits 233 330 607 Term deposits 518 571 679 Demand deposits (%) 31.07 36.63 83.94 Term deposits (%) 68.93 63.37 18.91

Individual customers’ loan portfolio increased by 59.2 % in the course of 2005 (mortgage volumes increased by 1.4 times, consumption loans – 2 times) and in the end of December 2005 they reached 1.497 million Lt at the par value.

million Lt Individual customers’ loans 2003-12-31 2004-12-31 2005-12-31 (at par value) Consumption loans 116 243 487 Mortgages 407 697 1010 Consumption loans (%) 22.2 25.8 100.4 Mortgages (%) 77.8 74.2 44.9

In 2005, the Bank introduced new and developed the following existing services: improved the procedures for issuing mortgages and private loans; introduced a new credit product for the market – express consumer loan with insurance;

DnB NORDLB Information Incorporated by a Reference 4 signed an agreement with the Ministry of Finance of the Republic of Lithuania on “Granting of mortgages supported by state”; signed amended agreement with UAB Būsto paskolų draudimas; introduced a new saving product to the market – universal deposit; issued informative publication on the stages and plan of actions for taking out a mortgage; increased value added for customers taking out mortgages: renewed agreements with partners involved in the mortgage programme “+100 friends” and supplemented lists of participants; organised sales promotion campaigns for products intended for retail customers.

In 2005, a lot of attention was focused on the optimization of the Bank’s branch network by establishing customer service sub-branches in locations favourable for business and closing unpromising sub-branches operating in markets with limited possibilities. This reorganisation resulted in establishment of a new customer service sub-branch in Panevėžys, 2 new sub-branches in Kaunas and closure of 3 inefficient sub-branches. 3 customer service sub-branches in Klaipėda, Kaunas and Alytus were moved to new premises in the locations that are more favourable for business, a customer service sub- branch in Klaipėda (Akropolis shopping centre) was reorganised in accordance with the bank’s sub-branch establishment standards. Customers’ service and working conditions were improved in 9 more customer service sub-branches in the largest cities of the country. These changes in the Bank’s branch network will enable to enhance its functionality and to improve general quality of the Bank's branch network.

Payment cards and ATM network In 2005, the ATM network was updated and further developed. In the course of a year, 6 new automatic teller machines were installed (5 of which by the new, reorganised sub- branches), locations of 3 ATMs were changed by moving them to sites more favourable for business, 5 ATM were removed (3 worn-out ATM and 2 ATM planned to be moved to a better location in the early 2006). In the end of 2005, the Bank had 138 automatic teller machines in operation. By the end of 2005, the Bank had issued 297 thousand payment cards. The Bank held 9.61% share of the total Lithuanian payment card market (4th place). During the year, turnover of cards increased by 40.4% or 451.4 million Lt (up to 1,568.9 million. Lt). Turnover of debit cards amounted to 1,531 million Lt; credit cards – 37.9 million Lt. In 2005, the Bank issued VISA chip cards and new joint Visa electron NORD/LB-Maxima and Visa Classic NORD/LB-Maxima cards, introduced payment card insurance service “Safe card” and enhanced functionality of the cards distributed by the Bank.

Small and medium business Small and medium business financing was one of the priorities of the Bank in 2005. During 2005, 2.900 accounts of small and medium business entities were opened in the Bank. During the reporting period, the balance of SME loans at the par value increased by 210.2 million Lt, or 76.1%, while balances of deposits of small and medium enterprises at the par value increased by 117.5 million Lt, or 21.1%.

DnB NORDLB Information Incorporated by a Reference 5 Growth in the portfolios of small and medium business loans and deposits was impacted by the following: successful improvement and introduction of new products by the Bank: distribution of standard products (loan, credit line, overdraft) to SME; creation of SME services package and granting of loyal customer’s status; improvement of SME rating system. The Bank focuses a lot of attention on business start-ups – special service package was applied to these companies. In 2005, the Bank actively co-operated with UAB “Investicijų garantijų fondas“ and UAB „Žemės paskolų garantijos fondas” and was one of the most active credit institutions granting loans to SME covered by the guarantees of the above- mentioned funds. Small and medium business lending is planned to remain one of the most important business development segments of the Bank.

Corporate banking On 31 December 2005, the funds held by the economic entities in the Bank amounted to 1,237 million Lt, and were 241 million Lt higher than in the same period last year. Due to economic growth, need of working capital and investments as well as successful fulfilment of the state and municipal budgets the highest growth was recorded in demand deposits of economic entities.

million Lt Funds of economic entities 31-12-2003 31-12-2004 31-12-2005 Demand deposits 623 865 1078 Term deposits 140 131 159 Demand deposits (%) 81.7 86.8 87.1 Term deposits (%) 18.3 13.2 12.9

In the course of 2005, the corporate customers’ loan portfolio increased by 46.4% and amounted to 2,275,419 million Lt. The biggest growth in the loan portfolio was observed in the most rapidly growing and related business segments – construction (205% rise), real estate and lease (138%) and hotels, restaurants (85%). Growth of loans granted to agricultural and processing industry segments is mostly related with more active financing from the European Union structural funds. Growth of other segments is related with the general economic growth of the country. Structure of the loan portfolio according to fields of economic activity (thousand Lt): Economic activity 31-12-2003 31-12-2004 31-12-2005 Agriculture, hunting, forestry 123,230 140,030 219,215 Processing industry 341,743 475,747 616,267 Public utilities 98,439 142,141 197,614

DnB NORDLB Information Incorporated by a Reference 6 Economic activity 31-12-2003 31-12-2004 31-12-2005 Construction 37,007 82,843 252,331 Trade 187,575 320,324 410,569 Transport 58,019 48,746 52,548 Real estate, lease 65,324 128,193 304,985 Public administration and compulsory socia 80,997 84,263 91,921 insurance Hotels, restaurants 28,501 34,290 63,501 Health and social work 21,432 62,899 15,665 Other economic activities 38,964 34,583 50,803 Total 1,081,231 1,554,059 2,275,419

Corporate customers are offered loans for working capital and investments, investment products, trade financing services, financial leasing services, salary transfer to payment card accounts, foreign exchnage and other services.

Private banking In 2005, private banking was oriented towards very important individual customers, by developing financial services provided and solutions meeting their individual needs. In the pursuit of this target, the Bank invested into training and qualification improvement of Bank’s employees serving very important customers. The key principle of private banking of the Bank is individual attitude to a customer, clarification of customer’s needs and provision of the most optimum products and services enabling customers to adopt the most efficient and financially beneficial solutions.

Partners of the Bank The Bank actively co-operates with the companies involved in real estate, construction, consulting and other fields of activities. The co-operation is based on recommendation of the Bank as a trustworthy partner by a partner to his customers. In the reporting year, the Bank signed co-operation agreements with as many as 30 successful and reputed companies. The partners are entitled to sell the following Bank’s products and services indirectly: mortgages, consumption loans to natural persons, bank accounts and investment loans to small and medium enterprises. In 2006, the Bank plans active development of partners’ network as well as increasing numbers and volumes of Bank’s products and services sold through them. The main attention will be focused on housing market.

Virtual banking In 2005, a new-generation virtual banking system was installed, which enabled significant enhancement and further development of INTERNET LINE’s attractiveness and functionality. The Bank’s customers were offered relevant service of salary credit to DnB NORDLB Information Incorporated by a Reference 7 payment card accounts, more thorough information about available banking products and the solutions for its management. In 2005 the number of users of “NORD/LB Lietuva” virtual banking increased almost by 2 times – up to 120 thousand people. If compared with 2005, market share held by "NORD/LB Lietuva" in internet banking market increased by 2.1%. Correspondingly, the quantity of transactions carried out via electronic channels increase up to 72% in the course of a year. Bank’s activities in the capital and money markets Under low interest rates sustained in the market, the role of the capital market in attracting financial resources for the Bank was increasing. In March 2005, the Bank issued fixed interest rate bonds with 50 million Lt par value, and in November the Bank announced two bond programmes according to which bonds for the total value of up to 250 million Litas are planned to be issued. Under one of the programmes (programme of 80 million Lt bonds linked to indices of securities or commodities), in December 2005, the Bank placed 3 million EUR bonds linked to share price index of 50 biggest European companies'- Dow Jones Euro STOXX 50. In the late 2005, the total par value of bonds issued by the Bank amounted to 455.6 million Lt.

Investment banking In 2005 the Bank has strengthened its positions in the field of investment services for companies and investors. The Bank remained one of the market leaders in trading fixed income securities and financial brokerage services to institutional investors, at the same time attracting a growing number of retail customers. Important step in the field of servicing corporate customers was successful participation in placement of APB Apranga bonds with par value of 20 million Lt. In the field of , the Bank expanded both the range of services and markets, in which customers are serviced. In 2005, the Bank officially launched its activities in Latvia and Estonia. During the first half of 2005, contacts were established with Scandinavian investment banks, which allowed to reach investors in those countries. The Bank also made a successful entry into the private and public partnership market, which is fostered by strengthening domestic private capital, changing priorities of investors and correspondingly adjusted legal base. In 2005, the Bank advised its customers in development of a financial plan of the first Lithuanian transport infrastructure concession project and organised financing of this project by arranging a 25-year loan – the first loan of such term that was granted to private business entity. In order to ensure better satisfaction of short-term investment needs of business entities, the Bank focused on more complex financial instruments, which have higher value added. In 2005, the Bank introduced the system of automatic investment into overnight deposits and money market fund (SWEEP) as well as the scheme for investing account balances into the instruments bearing floating interest rate.

The main financial indicators describing activities of the Bank and their calculation is provided below: 31-12-2003 31-12-2004 31-12-2005 Return on assets, ROA, % 0.71 0.69 1.06 ROA = (Net Profit : Assets) x 100% Return on equity, ROE, % 9.30 10.5 18.4 ROA = (Net Profit : Equity) x

DnB NORDLB Information Incorporated by a Reference 8 100% Bank’s equity per share, Lt 94.27 103.8 134.3 = Shareholders’ Equity : Number of shares Earnings per share, Lt 8.31 9.57 20.25 = Net Profit : Number o shares Note: ROA and ROE ratios are calculated using the average values of assets and equity. The Bank’s equity per share and earnings per share are calculated according to the equity value at the end of the year.

SEMI-ANNUAL PROSPECTUS. Section 14. Explanatory note to 2006 I half financial statements The Bank maintains financial accounting and draws up financial statements according to the accounting policy approved by the Board of the Bank (Resolution No. 11-07 of 7 March 2006). Accounting policy was developed in accordance with the principles and regulations of accounting and drawing up financial statement established in the laws of the Republic of Lithuania, resolutions of the Government of the Republic of Lithuania, resolutions of the Bank of Lithuania and International Financial Reporting Standards.

Principles of consolidation, names and addresses of consolidated companies The Bank draws up financial statements for an independent legal entity and consolidated financial statements of the whole group (Group) of companies controlled by the Bank. Consolidation of financial statements of subsidiaries starts on the date, on which the Bank acquires control, and terminates on the date, when control is lost. Investments in subsidiaries are accounted for at acquisition costs, i.e. income from investment are recognised only for that part, which is received by the Bank as distribution of accumulated profit (earned after the acquisition date). Amounts received from subsidiaries and exceeding such profit distribution are accounted for as reduction in value of investment. In preparation of consolidated financial statements, full consolidation method is applied: Full consolidation means full (100%) consolidation of financial statements of the Bank and credit institutions or companies controlled by the Bank by adding up the amounts of assets, liabilities, equity, incomes, expenses, profit and loss of the financial statements and eliminating amounts of intercompany assets, liabilities, equity, income, expenses, profit and loss. The following companies are consolidated according to the full consolidation method: UAB DnB NORD lizingas (J. Basanavičiaus g. 2006 Vilnius) – as of 30 06 2006, as of 31 12 2005 and as of 30 06 2005. UAB DnB NORD investicijų valdymas (J. Basanavičiaus g. -2600 Vilnius) – as of 30 06 2006, as of 31 12 2005 and as of 30 06 2005.

Material changes that took place since the end of the last financial year, their causes, other relevant information

Consolidated financial result DnB NORDLB Information Incorporated by a Reference 9 Group’s financial result for 6 months of 2006 – net profit of 36.3 million Lt. During 6 months of 2006, the Group earned 167.5 million Lt income, i.e. 44.0% more than in 6 months of 2005. The major comparative share in the Group’s income was made of interest income. During 6 months of 2006, the Group earned 127.3 million Lt of interest income, 52.3% more of than during the first half year of 2005. During 6 months of 2006, the Group earned 106.1 million Lt interest on loans, which accounted for 83.3% of the total interest income, while in 6 months of 2005, this interest on loans constituted 82.4.% of the total interest income. During six months of 2006, the Group earned 4.0 million Lt interest income on loans issued to credit institutions and financial institutions and on funds held in credit institutions. That is 1.1 million Lt more than in 6 months of 2005. During 6 months of 2006, the Group’s interest income on debt securities amounted to 7.0 million Lt, i.e. 22.2% more than in the same period in 2005. During the six months of 2006, the Group incurred 54.2 million Lt of interest expenses. Interest paid for deposits and other repayable funds accounted for 29.0% of interest expenses. Share of the above-mentioned expenses in the period of 6 months of 2006 was 6.9% lower than in 6 months of 2005. Net interest income earned during 6 months of 2006 amounted to 73.1 million Lt. During six months of 2006, the Group earned 28.0 million Lt service and commission income, which accounted for 16.7% of the Group’s total income. During the first half of 2005, service and commission income accounted for 19.8% of the total income. During six months of 2006, the Group earned 6.5 million Lt gain on foreign exchange operations, which accounted for 3.9% of the total income. During the same period in 2005, gain on foreign exchange operations accounted for 4.3% of the total income. Operating expenses accounted for 65.4% in non-interest expenses of the Group for 6 months of 2006, while in 6 months of 2005, operating expenses accounted for 63.3% of non-interest expenses. The ratio between the operating expenses (operating expenses, other expenses and amortisation) and net interest, service and commission income for 6 months of 2006 amounted to 68.0%, while during the same period in 2005 it was 82.0%.

Borrowed and own funds As of 30 June 2006 the Group’s assets amounted to 6,578 million Lt. During 6 months, assets increased by 25%. In the last three years, the borrowed and own funds of the Group were growing. In the first half of 2006, the Group had 5918 million Lt of borrowed and own funds on average. The main source of borrowed funds of the Group is individual persons’ deposits and the funds of economic entities. During 6 months of 2006, the value of deposits increased by 297.8 million Lt, or 11.3% As of 30 June 2006 the deposits amounted to 2,922 million Lt. During 6 months of 2006, the value of individual persons’ deposits increased by 72.4 million Lt, or 5.6% and as of 30 June 2006 they amounted to 1,365.4 million Lt. The funds of economic entities held in the Group amounted to 1,485.2 million Lt as of 30 June 2006 and accounted for 52.1% of all deposits. Since the beginning of the year, the funds of economic entities increased by 20.2%. Liabilities to the banks and other financial institutions amounted to 2,451 million Lt as of 30 June 2006, and accounted for 37.3% of borrowed and own funds. In comparison to 31

DnB NORDLB Information Incorporated by a Reference 10 December 2005, the share of these liabilities in the Group’s structure of borrowed and own funds increased by 5.3%. The balance of subordinated loans amounted to 155.3 million Lt as of 30 June 2006. AS of 30 June 2006 the shareholders’ equity of the Group amounted to 361.6 million Lt. During 6 months of 2006, the shareholders’ equity of the Group increased by 30.7 million Lt, or 9.3%. Shareholders’ equity accounted for 5.5% of borrowed and own funds as of 30 June 2006.

Use of borrowed and own funds The balance of income-generating assets on 30 June 2006, compared to the same balance as at the end of 2005 increased by about 27% and amounted to 6,068 million Lt. Income- generating assets accounted for 92.3% of the Group's total assets. The value of commercial loans increased by 1,092 million Lt, or 29.1% during 6 months of 2006. As of 30 June 2006, the balance of investment securities amounted to 394 million Lt, including treasury bills of 13.7 million Lt. During 6 months of 2006 the portfolio of investment securities decreased by about 15%. As of 30 June 2006 the balance of the Group’s funds held in credit and financial institutions amounted to 400.5 million Lt, i.e. 70% more than in the beginning of the year. Balance of cash and funds held in the Bank of Lithuania amounted to 329.8 million Lt as of 30 June 2006, and accounted for about 5% of total assets, i.e. 1.4% lower than in the end of 2005. As of 30 June 2006 the balance of non-current assets (at book value) amounted to 106.4 million Lt. Compared to the balance of non-current assets as of 31 December 2005, it increased by 4.4 million Lt. As of 30 June 2006, non-current assets of the Group accounted for 1.6% of the total assets (1.9% as of 31 December 2005).

DnB NORDLB Information Incorporated by a Reference 11