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Investor Presentaiton

SBERBANK 170 YEARS. BY YOUR SIDE Λ financial results 74 Interest income and expense 75 Net fee and commission income 83 Financial result from operations with securities 84 Gains from foreign currency transactions 84 Operating expenses 85 Charge/recovery of provisions for loan impairment 86 GROUP IFRS INCOME STATEMENT ANNUAL REPORT GROUP IFRS INCOME STATEMENT 2011 Net interest income in 2011 grew 17.1% to RUB 561.0 billion (RUB 479.1 billion in 2010), while the Group's net fee and commis- sion income grew 13.8% to RUB 140.6 billion. Administrative and operating expenses are RUB 348.3 billion (RUB 265.9 billion in 2010). RUB million INTEREST INCOME AND EXPENSE Interest income The Group's interest income amounted to RUB 850.6 billion in 2011, up 6.9% from 2010. The increase in interest income was primarily due to the growing amount of interest-earning assets and the rising share of assets, primarily loans, that generate the highest returns. The table below presents the average annual balances of the Group's assets by class of asset and related interest income, and average annual return. 2011 2010 75 Λ Average for the year Interest income Average Average for the return, % ,% year Interest income Average return, % Assets Loans and advances 6,911,213 741,796 10.7 5,622,371 682,010 12.1 to customers Debt securities available for sale 998,108 67,424 6.8 1,226,722 83,219 6.8 Due from other 371,638 6,982 1.9 1979 336,960 8,073 2.4 banks, including correspondent accounts and overnight deposits with other banks Debt investment 400,746 26,799 6.7 167,404 9,101 5.4 securities held to maturity Other debt securities 59,579 3,588 6.0 91,692 5,740 6.3 designated at fair value through profit or loss et profit under IFRS earned by Sberbank Group in 2011 increased to RUB 315.9 billion, up 74% on 2010 (RUB 181.6 billion). Profit before tax is RUB 395.7 billion and RUB 230.1 billion for 2011 and 2010 respectively. The Group's net profit increased in 2011 on the back of higher ope- rating income before provisions for loan impairment (RUB 742.8 billion in 2011 and RUB 649.8 billion in 2010) and the recovery of provision for loan impairment in the amount of RUB 1.2 billion in 2011 against provision charge in the amount of RUB 153.8 billion in 2010. Debt trading securities 65,494 4,035 6.2 87,299 7,503 8.6 Total Provision for loan impairment 8,806,778 (669,842) 850,624 9.7 7,532,447 795,646 (666,048) 10.6 Non-interest-earning 1,126,194 827,401 assets. Total assets 9,263,130 7,693,800 170 YEARS. IT'S JUST THE BEGINNING WWW.SBERBANK.RU financial results
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