AB bankas SNORASInvestor Presentation

May 2007

22

Contents

Lithuanian Macroeconomic Snapshot Section 1

Overview of Snoras Group Section 2

Business Profile Section 3

Appendix Section 4

33

Bank Snoras at a GlanceAs at January 1st, 2007 Bank Snoras on a consolidated basis was the fourth largest bank in Lithuania in terms of assets and capital, third largest bank in terms of deposits collected

Bank Snoras is primarily a retail-oriented bank with most extensive and sophisticated retail network in Lithuania; wide customer base; innovative approach towards creativity in products; long history in retail banking in Lithuania and payments cards business as a part

In 2006 Bank Snoras was ranked third in Lithuania as regards the number of payment cards issued and turnover, occupying market share of over 20% of the total payment cards issued by banks in Lithuania

In 2006 The Banker magazine awarded Bank Snoras as The Bank of the Year in Lithuania

Shares of Bank Snoras are listed in the Current List of Vilnius Stock Exchange, market capitalisation of EUR 200 million

Lithuanian Macroeconomic Snapshot

55

Remarkable GrowthSince the entry into the European Union, Lithuania’s prospects are enhanced by further production, trade, financial and institutional linkages with other EU member states

With GDP growing an average 7% YoY, the pace of the economic activity remains brisk, fuelled by EU-related government spending, rapid credit expansion and wage growth

Lithuania’s participation in ERM2 paves the way further for potential membership in the EMU

Inflation is stable, and the country remains firmly on track to adopt the Euro in 2010

Impressive GDP Growth Continues

7.37.57.67.3

10.3

6.9

-2

2

6

10

14

18

2002 2003 2004 2005 2006 F2007

GDP CPI Unemployment

Source: Ministry of Finance of the Republic of Lithuania, March 15, 2007

Source: Eurostat, World Bank, Fitch;5-year averages,:

0.3

1.83.03.33.5

3.94.04.34.34.45.0 4.7

5.9

8.88.0 7.5 7.3

0123456789

10

Chi

na

Latv

ia

Lith

uani

a

Esto

nia

Bah

rain

Thai

land

Slov

akia

Mal

aysi

a

Chi

le

Gre

ece

Saud

i Ara

bia

Hun

gary

S. A

fric

a

Cze

ch R

ep.

Pola

nd

Isra

el

Mal

ta

GD

P G

row

th

Lithuania compares favourably to similarly rated sovereigns

66

Strong Credit MetricsImproving public finances, underpinned by steady reforms in the tax system, municipalities, pension and health sectorsAcceleration in economic restructuring and strengthening of the regulatory framework of the financial systemThe C/A deficit is financed by short-term external borrowing from banksThe bulk of the borrowing comes from the banks’ foreign parents, which mitigates concerns about refinancing risksEducated workforce, EU infrastructural spending, good business climate and strategic location between West and East

Lithuanian key economic indicators2002 2003 2004 2005 2006 F2007

Real GDP Growth (%oya) 6.9 10.3 7.3 7.6 7.5 7.2Inflation (CPI) (% Dec/Dec) -1.0 -1.3 2.9 3.0 4.4 4.5General Government Balance/GDP -1.5 -1.3 -1.5 -0.5 -1.2 -1.2General Government Debt/GDP (%) 22.3 21.2 19.4 18.7 18.4 19.2General Government Debt/Revenue (%) 67.8 66.5 61.1 56.7 55.1 60.6Current Acct. Bal./GDP (%) -5.2 -6.9 -7.7 -6.9 -8.7 -9.1External Debt/Exports [1] 78.0 82.8 82.3 76.3 74.2 72.0External Vulnerability Indicator (%) [2] 162.1 144.9 162.7 212.5 189.1 196.9

[1] Current Account Receipts[2] (Short-Term External Debt + Currently Maturing Long-Term External Debt + Total

Nonresident Deposits Over One Year)/ Official Foreign Exchange ReservesSource: Moody’s Credit Opinion, March 2, 2007, Lithuania Ministry of Finance

Lithuania’s rating development

Apr-96 Apr-97 Apr-98 Apr-99 Apr-00 Apr-01 Apr-02 Apr-03 Apr-04 Apr-05 Apr-06 Apr-07

Moody's S&P Fitch

BB+

BBB-

BBB

BBB+

A-

A

BB

Ba1

Baa3

Baa2

Baa1

A3

A2

Ba2

77

Lithuanian Banking SectorSteady expansion of the banking sector with an annual average growth rate of 40% in the past 3 yearsBorrowing is booming, but as interest rates pick up, it is expected to cool down Gap between loans and deposits is widening and banks are searching for alternative ways of funding

Asset Growth of Banks in Lithuania (annual, %)

31

12

2832

54

0

15

30

45

60

2002 2003 2004 2005 2006Source: Bank of Lithuania

30

4954

40

53

2021

4132

160

20

40

60

80

2003 2004 2005 2006 F2007

Loan Portfolio Deposit Portfolio

Loan & Deposit Growth Dynamics of Banksin Lithuania (annual, %)

Loan & Deposit Portfolios of Banksin Lithuania (EUR billion)

2

4

6

8

10

12

14

2003 2004 2005 2006 F2007

Loan Portfolio Deposit Portfolio

Sources: Bank of Lithuania, SEB Vilniaus Bankas Source: Bank of Lithuania, SEB Vilniaus Bankas

88

Growth Potential in the Banking SectorLow penetration of debt relative to GDP in the economyHousehold credit growth is higher than GDP growthIncomes are growing faster than GDP, although from a low base

Source: Bank data (Audited), EU,Ministry of Finance Lithuania

Source: Statistics Lithuania, Ministry of Finance Lithuania

8.0%

13.1%

19.4% 18.7% 19.3%

18.2%

0

1,000

2,000

3,000

4,000

5,000

2004 2005 2006

EUR

(mn)

0%

5%

10%

15%

20%

25%

Consumer & Other loans Housing loans Household Debt/GDP Government Debt/ GDP

332 368 416 467 505 546

7.3% 7.6% 7.5% 7.2%

5.3%4.5%

10.8%

13.2%

8.8%8.9%8.1%

1.8%

0

150

300

450

600

2004 2005 2006 F2007 F2008 F2009

EUR

0%

2%

4%

6%

8%

10%

12%

14%

Average income/Month GDP Growth Average Income Growth

Income Growth in Lithuania

Low Debt Levels in the EconomySteady Pace of GDP/Head Growth (in EUR)

6,993

6,040

5,276

4,7634,339

3,000

4,000

5,000

6,000

7,000

2002 2003 2004 2005 2006

Source: Statistics Lithuania

Overview of Snoras Group

1010

Competitive Position(Top 5 largest Lithuanian banks by Assets)

Total Assets (EUR million)

1,8942,240

5,0856,128

1,319

0

1,000

2,000

3,000

4,000

5,000

6,000

SEB

Viln

iaus

Ban

kas

Ban

kas

Han

saba

nkas

DnB

NO

RD

Ban

kas

Ban

kas

Snor

as

Sam

po B

anka

s

Capital (EUR million)

Deposits (EUR million)

Profitability (ROE, %)

317

877

1,367

2,7912,940

0

1,000

2,000

3,000

Ban

kas

Han

saba

nkas

SEB

Viln

iaus

Ban

kas

Ban

kas

Snor

as

DnB

NO

RD

Ban

kas

Sam

po B

anka

s

9.9

13.9

20.820.821.4

0

5

10

15

20

Ban

kas

Snor

as

SEB

Viln

iaus

Ban

kas

Ban

kas

Han

saba

nkas

DnB

Nor

dB

anka

s

Sam

poB

anka

s

79

437

346

13792

0

100

200

300

400

500

SEB

Viln

iaus

ban

kas

Ban

kas

Han

saba

nkas

DnB

NO

RD

ban

kas

Ban

kas

Snor

as

Sam

po b

anka

s

Source: Banks data; as of 1st January 2007, consolidated, audited

1111

Management and Shareholdersas of 19th February, 2007

Shareholder Structure Management Board

Other6,25%

R aimo ndas B aranauskas

25.1%

Vladimir A nto no v68,65%

Raimondas Baranauskas Chairman of the Board, President of the Bank, 14 years of industry experience

Naglis Stancikas First Vice President, Deputy Chairman of the Board, 13 years of industry experience

Juozas Lukauskas Deputy Chairman of the Board, 19 years of industry experience

Romasis Vaitekunas Deputy Chairman of the Board, 10 years of industry experience

Zita Selenkoviene Member of the Board, 15 years of industry experience

Zorzas Sarafanovicius Member of the Board, 13 years of industry experience

Ausra Izickiene Member of the Board, 10 years of industry experience

1212

Group Structure

LATVIJASKRAJBANKA AS

Total Assets:EUR 582 million

SNOROLIZINGAS

UABTotal Leasing

portfolio:EUR 61 million

SNOROINVESTICIJU

VALDYMAS UABTotal Assets:

EUR 2.7 million

SNOROTURTO

VALDYMAS UABTotal Assets:

EUR 19.1 million

SNOROFONDU

VALDYMAS UABFunds Under Management:

EUR 0.4 million

VILNIAUSKAPITALOVYSTYMO

PROJEKTAI UABTotal Assets:

EUR 11.6 million

BANK SNORAS ABTotal Assets:

EUR 1,894 million

100%75% 100% 100% 100%100%

1313

Presence in LithuaniaMost modern and sophisticated customer service network in Lithuania10 branches and 6 branch offices216 Minibanks2,191 POS315 ATM (1/3 of the market)873 thousand customers

Number of sales points in Lithuania

Source: Bank data, unconsolidated

216197193177

248276 285

315

0

100

200

300

400

2003 2004 2005 2006

Minibanks ATM's

1414

Minibanks

Principal part of customer service networkImplemented since 1996 and proved to be successfulEach Minibank has one bank officerFull range of banking services24 h ATM inside enables customers to exchange currency, make money transfers within the bank and withdraw cashCross Selling for subsidiariesWindow space is used to promote bank services and new productsEach Minibank is connected to the central computer system of SnorasCheapest way to operate a “branch”

1515

Focus on RetailCustomers (thousand)Total assets (EUR million)

727

873

247

338

503

618

0

200

400

600

800

1000

2001 2002 2003 2004 2005 2006

1,305

1,894

251327

408574

0250500750

1,0001,2501,5001,750

2001 2002 2003 2004 2005 2006

Loan Portfolio Growth (EUR million)

254

369

135157

11785

283

349

3 1 4 2 3 171942

61

108

050

100150200250300350400

2001 2002 2003 2004 2005 2006

Retail Corporates Other

610

852

64 76 100139

399 422

126161

214279

0

200

400

600

800

2001 2002 2003 2004 2005 2006

Retail Corporates

Deposits Growth (EUR million)

Source: Bank Data, consolidated, audited

1616

International Presence

Six representative offices in Brussels, Prague, Tallinn, Riga, Minsk and Kiev

Subsidiary bank in Latvia – LatvijasKrajbanka

1717

StrategyThe Snoras Group aims to expand its market share to become the leading retail banking group in Lithuania and Latvia and to increase its profitability by implementing the following strategy:

expanding and diversifying the range of banking products and services offeredupgraded call centre and improved internet banking site

expanding and strengthening its Baltic and international presenceintroducing and developing of minibanks network in Latvia (Krajbanka) improving of minibanks network in Lithuania

diversifying and strengthening its funding baseincrease customer depositsaccess domestic and international capital markets

Business Profile

1919

Overview of Business Activities

Retail Banking

54%

Corporate Banking

46%

Breakdown of Group Revenues by Activity

INVESTMENT FUND AND

ASSET MANAGEMENT

Total Assets: EUR 31.1 million

SNOROLIZINGAS

UABTotal Leasing

portfolio:EUR 61 million

BANK SNORAS GroupTotal assets:

EUR 1,894 million

BANK SNORASAB

Total Assets:EUR 1,220 million

Operates in Lithuania

Retail banking

Corporate banking

Payment cards

Brokerage

Operates in Latvia

Focus on retail banking

Corporate banking

Asset management

Operates in Lithuania

Retail lending

Co-branded cards

Corporate2%

Individual98%

Breakdown of Customers by type

LATVIJASKRAJBANKA

GROUPTotal Assets:

EUR 582 million

Operates in Lithuania

Investment activities

Assets management activities

2020

Retail BankingMinibanks have been one of the main drivers of the expansion of Snoras customer base over the last 10 yearsFocus on high margin products and avoid market segments with intense price competition

Typical retail loan interest rate is 6-15%Typical retail deposit interest rate is 3-5%

Attracting new customers through product innovationProducts are tailored to the needs of various client segments

Retail Deposits (EUR million)

214279

852

0

200

400

600

800

2003 2004 2005 2006

610

+232Krajbanka acquisition

Retail Loan Portfolio (EUR million)

60108

369

050

100150200250300350

2003 2004 2005 2006

254

+103

Retail Loan Portfolio breakdown by loan typeOther

3%Credit cards19%

Mortgage loans21%

Leasing22%

Consumer loans35%

Krajbanka acquisition

Source: Bank Data, audited, consolidated

2121

Retail Banking – CardsAt the end of 2006, Snoras Group had 890,000 payment cards in circulationThe total payment turnover of these cards in 2006 increased by 27 % up to EUR 1.141 million in comparison with 2005In 2006 the Issuer was ranked third in Lithuania as regards the number of payment cards in circulation and turnoverCo-branded cards (“VP Market”)

Dynamics of Cards Issued

365

499

618

832

731

560542

453

0

150

300

450

600

750

2003 2004 2005 2006

Number of cards (000s) Turnover of cards (EUR million)

Source: Bank Data, unconsolidated

2222

Corporate BankingOffers its corporate customers a full range of financial servicesCorporate loans are generally securedIn 2006, many corporate deposits have been attracted but they are considered highly volatile

Typical interest rate on corporate loans is 4-8%Typical interest rate on corporate deposits is 2-5%

Corporate Deposits (EUR million)

100 124

475

050

100150200250300350400450500

2003 2004 2005 2006

362

+47Krajbanka acquisition

10785

349

0

50

100

150

200

250

300

350

2003 2004 2005 2006

283

+112

Corporate Loan Portfolio (EUR million)

Breakdown of Corporate Loan Portfolio

Source: Bank Data, 31 Dec 2006, audited

Other

Construction

ServicesReal estateAgriculture and food

processing

Manufacturing

Trading enterprises

Financial intermediary

services

Krajbanka acquisition

2323

Loan Portfolio CompositionCustomer loans by sector, 2006 (EUR million) Loan portfolio dynamics

Services, 77

Transport, 10

Real estate , 56

Other, 9

Government and municipalities , 3

Constructions, 35

Agriculture and food processing, 12

Manufacturing, 42

Trading, 45

Financial intermediary services, 79

Individuals, 369

% Trend 2006 2005 2004

Retail ↑ 50.2 47.0 55.5

Financial intermediary services ↓ 10.7 23.8 5.1

Services ↑ 10.4 2.7 1.2

Real estate ← 7.6 4.5 8.2

Trading ← 6.1 7.6 13.5

Manufacturing ← 5.7 5.3 1.7

Constructions ↑ 4.7 0.0 0.0

Agriculture and food processing ↓ 1.6 4.9 4.7

Transport ↓ 1.3 1.0 2.0Other ↓ 1.7 3.2 8.1

Source: Bank Data, 31 Dec 2006, audited, consolidated

2424

Lending Policy and Asset QualityLoan Loss Provisions (EUR million)

4

1113

10

0

5

10

15

20

2003 2004 2005 2006

Strict internal lending policies to keep a diversified portfolioCorporate loans are generally secured and overcollateralisedLoan approval authority is linked to the size of the loan

Loans up to LTL 2 million are approved by the Issuer’s Retail Credit CommitteeLoans up to LTL 10 million are approved by the Issuer’s Credit CommitteeLoans above LTL 10 million are approved by the Management Board

Provisioning policy complies with 39th IFRS standard adopted in Lithuania in December 2005 based on the loss event classification

Source: Bank data, as at 31 Dec 2006, audited consolidated

Loan Portfolio Classification by overdue term

Standard91.4%

Possible loss (31-90 days)

1.7%

Problem (over 91 day)

1.9%Technical

overdue (up to 30 days)

5.1%

2525

Risk ManagementCurrency Structure of Assets and Liabilities (EUR million)

Credit risk monitoring:Individually assessed loans (corporate) – 10-notch rating scaleJointly assessed loans (retail) –scoring system

Non-performing loans are transferred to the central debt collection departmentConservative provisioning policyBasel II principles to be introduced in 2008Value-at-Risk (VaR) to be introducedin H2 2007Market risk management is based on multi-level exposure limits

7932 7

356

184202

289

644

140

462

566

229

399

99

0

100

200

300

400

500

600

On demand <1 month 1-3 months 3-12 months 1-5 years >5 years Undefinedmaturity

AssetsLiabilities

387

135

429

500

335

495

122

311

475498

0

100

200

300

400

500

LTL LVL USD EUR Other

AssetsLiabilities

Maturity Structure of Assets and Liabilities (EUR million)

Source: Bank data, as at 31 Dec 2006,audited consolidated

2626

Balance Sheet

(EUR million) 2003 2004 2005 2006 F2007

138 236

550

1,136

2,594

249

1,849

213

2,420

174

254

540

1,305

164

1,009

5

1,230

76

Cash and balances with the CB 36 63 215

Loans and advances to individuals 60 108 369

Loans and advances to customers 172 194 735

Total Assets 408 574 1,894

Debt securities issued 0.5 - 3

Total Liabilities 350 513 1,793

Due to banks 9 83 259

Customer accounts 314 418 1,367

Total Shareholders’ Equity 58 61 101

Source: Bank Data, consolidated, audited

2727

Income Statement & Key Ratios

(EUR million) 2003 2004 2005 2006 F2007

26.2 66.3

28.8

114.4

39.1

32.6

3.91%

1.45%

23.77%

62.79%

6.69%

12.6

42.4

14.9

13.1

4.08%

1.40%

19.17%

61.17%

Net Interest Income 13.1 20.9

5.81%

42.6

21.9

75.2

22.9

18.9

4.10%

1.18%

21.41%

66.22%

5.33%

Operating Income 26.0 32.9

Profit before tax 3.9 4.1

Net Interest Margin 4.28% 5.52%

Net Income 3.4 3.3

Net Fee & Commission Income 9.5 9.7

ROA 0.93% 0.67%

Equity/Total Assets 14.20% 10.61%

ROE 6.38% 5.56%

Cost/Income Ratio 80.63% 64.76%

Source: Bank Data, consolidated, audited

Funding Strategy

2929

Funding CompositionNon-equity funding composition Funding growth dynamics (EUR million)

0

500

1,000

1,500

2,000

2003 2004 2005 2006

Other liabilities

Subordinated loans

Debt securities issued

Amounts due to credit institutions

Customer deposits

Equity

Objectives:Fund business growthMaintain prudent capital and improve liquidityObtain access to longer tenor and more diversified sources of funding

Other liabilities7.4%

Amounts due to credit

institutions 14.5%

Customer deposits

76.2%

Debt securities issued

0.1%

Subordinated loans1.7%

3030

Capital AdequacyCapital Adequacy Ratios

9.6%

7.7%4.6%4.9%

11.5%10.5%

9.0%

17.2%

0%

4%

8%

12%

16%

20%

2004 2005 2006 F 2007

Tier 1 ratioTotal CAR

On 27 July 2006 the Bank of Lithuania allowed the Bank to include a subordinated loan in amount of EUR 20 million into the Tier 2 capital of the BankIn November 2006, LTL 20 million of preference shares were issued that are eligible for Tier 1 capitalTier 1 capital was strengthened when LTL 54.9 million (EUR 15.9 million) was transferred from reserves to Tier 1 equity41.2 million new shares will be sold by the end of June, which is expected increase the capital by approximately LTL 130 millionLater in 2007, LTL 50 million amount of preference shares will be sold, which will be eligible for Tier 1 capital

in EUR (million) 2003 2004 2005 2006 F2007

Tier 1 capital 40 41 37 46 127

Tier 2 capital 18 20 36 44 46

Total capital 58 61 72 90 174

Risk weighted assets 311 352 753 1,006 1,658

Tier 1 ratio 12.91% 11.53% 4.86% 4.60% 7.7%

Total capital adequacy ratio 18.45% 17.23% 9.60% 8.95% 10.5%

Summary

3232

Investment HighlightsLargest independent and non-Scandinavian owned bank in Lithuania

Fourth largest bank in Lithuania

Outstanding profitability – net interest rate margins averaged 4.76% in the past 4 years

Largest banking distribution network in Lithuania – 216 Minibanks, which are cost efficient and easy to re-locate points of sale

Baltic presence – the Snoras Group’s activities are focussed in Lithuania and in Latvia

Retail-oriented bank – 62% of the deposits and 50% of the loans are with retail clients

Rare investment opportunity – there are no outstanding non-sovereign Eurobonds out of Lithuania

In 2006 The Banker magazine awarded Bank Snoras as The Bank of the Year in Lithuania

Appendix

3434

Share price dynamics (LTL)

0

500

1,000

1,500

2,000

2,500

Jan-03 Jan-04 Jan-05 Jan-06 Jan-07

OMXV Snoras

Change rate (%), January 2nd 2003=100; Sources: OMX group

3535

Management Board

Žoržas Šarafanovičius, Aušra Ižičkienė, Juozas Lukauskas, Raimondas Baranauskas, Romasis Vaitekūnas, Naglis Stancikas, Zita Selenkovienė

3636

The Banker Awards (30th of November 2006, London)

Stephen Timewell (The Banker), Raimondas Baranauskas (CEO, Snoras), Vladimir Antonov (Snoras), Michael Buerk (BBC)

3737

THANK YOU

FOR YOUR ATTENTION!