Good start to the year for Helaba

Frankfurt (ots) -

- Cross Reference: Full press release including figures available
at http://www.presseportal.de/dokumente -

- Quarterly earnings before tax reach EUR 141 million
- Net interest income and net fee and commission income up by more
than 7 per cent
- Earnings forecast for 2015 reconfirmed

Helaba Landesbank Hessen-Thüringen posted Group net profit before
tax of EUR 141 million in the first quarter of 2015. As was expected,
that was slightly lower than the very high earnings figure of EUR 150
million posted in the same period last year. After tax, Group net
profit amounted to EUR 93 million after EUR 102 million in the
comparable period last year.

Net interest income after provisions for losses on loans and
advances rose by EUR 69 million to EUR 333 million, also as a result
of good customer business operations. That was attributable to
increased loans and advances to customers as well as to profitable
new business. Provisions for losses on loans and advances amounted to
EUR 5 million, substantially below the Q1 2014 figure and also below
target. Net fee and commission income increased by EUR 7 million to
EUR 82 million thanks to gratifying customer business with cash
management / payment transactions, asset management, and securities
and deposit business.

Net income from financial instruments measured at fair value
through profit or loss (net trading income plus net income from hedge
accounting and non-trading derivatives) fell from EUR 68 million to
EUR -2.0 million. Volatility in fixed-income and currency markets led
to temporary burdens from conservatively calculated remeasurements.
Net income from customer-oriented capital markets business was good
however.

Net income from financial investments decreased by EUR 16 million
to EUR -11 million owing to an adjustment of EUR 40 million on the
Group's HETA exposure. Other operating income amounted to EUR 47
million (Q1 2014: EUR 42 million). Owing to the implementation of
collective wage agreements, general and administrative expenses grew
only moderately, rising by EUR 4 million to EUR 308 million. Lower
non-personnel operating expenses partially made up for slightly
higher personnel expenses.

Relative to year-end 2014, the Helaba Group's total assets rose by
EUR 13 billion to a good EUR 192 billion, due to exchange rate
factors and to remeasurement gains and losses attributable to low
interest rates. Business volume (including off-balance-sheet lending
business) rose by almost EUR 14 billion to EUR 219 billion.

On the assets side, loans and advances to banks and trading assets
together increased by EUR 9.2 billion as a result of changes in
exchange rates and interest rates. Loans and advances to customers
rose by EUR 2.6 billion to almost EUR 94 billion, with corporate and
real estate customers (EUR 2.2 billion) and public-sector customers
(EUR 0.4 billion) accounting for this portfolio growth. Loans and
advances to private customers remained virtually unchanged. At EUR
4.1 billion, new medium-term and long-term business was well above
the Q1 2014 figure of EUR 3.6 billion.

At 31 March 2015, the Helaba Group's CET1 capital ratio amounted
to 12.7 per cent, after 13.4 per cent at 31 December 2014, mainly
because of higher risk weighted assets in accordance with the CRR/CRD
IV. Owing to changes in interest and exchange rates, risk weighted
assets rose to EUR 56.3 billion compared with EUR 53.8 billion at
year-end 2014. The total equity ratio reached 17.7 per cent. The
leverage ratio amounted to 3.7 per cent. As Hans-Dieter Brenner,
Chairman of the Board of Managing Directors of Helaba, noted: "Given
Helaba's risk profile and customer-led business model, the Bank has a
very satisfactory amount of capital and an extremely comfortable
liquidity position."

The CEO was pleased with the Bank's quarterly earnings: "We got
off to a very good start in 2015. The growth in new business
demonstrates that our customer business operations are on the right
track. Despite a conservative approach to valuations and the accrual
of expenses, we were able to post net profit of EUR 141 million, or
one-quarter of our target figure for 2015. That is a very good
performance. We remain cautiously optimistic as regards our
assessment of the market. In view of the economic forecasts, we
expect operating earnings to remain stable despite persistently low
interest rates. Our earnings forecast remains unchanged: we expect
2015 to be another successful year."

Contact:
Press and Communication
MAIN TOWER
Neue Mainzer Strasse 52-58
60311 Frankfurt am Main
Germany
www.helaba.de
Tel.: +49 (0) 69 / 9132 - 2192

Wolfgang Kuß
E-mail: wolfgang.kuss@helaba.de

Ursula-Brita Krück
E-mail: ursula-brita.krueck@helaba.de