DVB Group posts solid start to 2009

DVB Group reported total income during the first quarter of 2009, of EUR 63.3 million (down 0.6%). New Transport Finance business totalled EUR 1.12 billion during the first quarter (Q1 2008: EUR1.17 billion), with 39 new transactions. The average interest margin on new business reached an all-time high of 344 basispoints (Q1 2008: 161 basispoints). Even though this was a very positive development, it could not fully compensate for higher funding costs and, in particular, the significant impact of distortions on the money market, as a result of which DVB incurred additional expenses of EUR 17.3 million. Due to these factors, net interest income declined by a marked 28.7%, to EUR 30.1 million (Q1 2008: EUR 42.2 million). Allowance for credit losses showed a net EUR 0.4 million release (Q1 2008: net release of EUR 7.4 million). Accordingly, net interest income after allowance for credit losses fell to EUR 30.5 million, down 38.5%.