Danske Bank (DANSKE) AGM 2014 summary

Opening remarks and agenda

• AGM webcast live for the first time; the chair confirmed the meeting was duly convened and quorate after reviewing notice and statutory requirements.

• Agenda covered the Board’s report, annual report and profit allocation, director elections, auditor appointment, Articles amendments, own-share authority, remuneration, and shareholder proposals.

Financial performance review

• FY2013 net profit rose 51% to DKK 7.1bn from DKK 4.7bn; income fell 12% to DKK 40bn, expenses declined 1%, and impairments fell 45%.

• ROE reached 5%, up 1.4 percentage points, mainly on lower impairments, but remained below ambitions and Nordic peers.

• Core Tier 1 ratio was 14.7%, versus 14.5% in 2012 and 8.1% in 2008; total capital ratio was 21.4%, versus 13.0% in 2008.

• Profit before tax increased in Personal Banking and Business Banking and fell in Corporates & Institutions; Danske Capital assets under management rose 6% to DKK 727bn.

• FY2014 net profit forecast was DKK 9bn–DKK 12bn, with income above 2013, expenses targeted at DKK 23bn, and impairments expected in line with 2013.

Board and executive committee updates

• Thomas F. Borgen became CEO in 2013 after a decision to accelerate strategy execution; strategy remained unchanged, with implementation pace increased.

• Glenn Söderholm joined the Executive Board on 1 November 2013; Jim Ditmore was appointed COO, due to join on 21 April 2014; Robert Endersby was to leave at year-end 2014.

• Niels B. Christiansen did not seek re-election; Rolv Erik Ryssdal was proposed as successor. Employee representatives Kirsten Ebbe Brich and Steen Lund Olsen were elected for four-year terms.

• Ryssdal was presented as Schibsted Media Group CEO, with experience in consumer businesses, digital models, and transformation.