OREANDA-NEWS. President and CEO's comments: "In the second quarter, consolidated earnings before tax stood at EUR 100 million. This was a good result, a considerable improvement on the first quarter and the second quarter last year. Consolidated earnings in the second quarter included EUR 13 million more in non-recurring capital gains year-on-year, reported the press-centre of OKO Bank.

In Banking and Investment Services, performance and growth remained strong. The loan and guarantee portfolio grew by 6% in the second quarter. In the last 12 months, the growth was 15%. The risk exposure remained favourable in the first half of the year.

The balance on technical account in Non-life Insurance was higher than the corresponding period last year. Growth in insurance premium revenue and the number of new customers continued to be brisk, boosted by cooperation with OP Bank Group member cooperative banks.

I am confident that the Group will achieve the target of a minimum 10% earnings improvement set for 2007."

April-June 2007
- Earnings before tax stood at EUR 100 million (57).
- Earnings per share at the end of the year stood at EUR 0.36 (0.21), while equity per share was EUR 8,91 (8.65).
- The return on equity was 12,2 per cent (2,1).
- The Group's like-for-like net income increased by 25% and like-for-like expenses by 9%.
- Insurance premium revenue increased by 9% compared with the same period in 2006. The net number of Pohjola's loyal customers increased by 8,400 in April-June.
- The loan and guarantee portfolio of Banking and Investment Services increased by 6%, and during the last 12 months by 15%.
- In Non-life Insurance, the combined ratio was 92,3% (94,4). The combined ratio excluding amortisation on intangible assets arising from the corporate acquisition was 89,3.% (91,6%).
- The Arbitral Tribunal's decision of 2 May 2007 to increase the redemption price payable to Pohjola Group plc's minority shareholders by EUR 1,00 to EUR 14,35 per share was recognised in the second quarter. The decision had no material effect on earnings.

January-June 2007
- Earnings before tax stood at EUR 165 million (126).
- Earnings per share at the end of the year stood at EUR 0,61 (0,47), while equity per share was EUR 12,8 (5,2).
- The Group's like-for-like net income increased by 17% and like-for-like expenses by 4%.
- Insurance premium revenue increased by 9% compared with the same period in 2006. The net number of Pohjola's loyal customers increased by 17,300 in January-June.
- The non-life insurance combined ratio was 97,9% (98,2), while the operating combined ratio was 94,9% (94,8).