“Pricing model” is the common term for adviser tools used in the pricing of loans to selected customer groups. These are statistical tools that, using customer data, compute interest margins, the Group’s earnings on the loans applied for or the profitability of these loans. The pricing models build on the information held in the Group about individual customers, and they vary from one segment to another. The Group applies three general models: one for personal customers, one for small business customers and one for large corporate and institutional clients. On the basis of the Group’s required return, the pricing model for personal customers is intended to give advisers a tool with which to determine an indicative price level when considering loan applications. The indicative price level is divided into the following components: funding credit risk premium product premium business-related premiums The business-related premiums depend on the profitability of the customer and also include any premiums for local market conditions. The pricing model for small business customers is used by Danske Bank Denmark. As in the price score model for personal customers, the price is determined on the basis of the Group’s profitability requirement. Other components concern the customer’s current profitability, business volume and customer segment. Finally, a credit risk premium is added. For large corporate and institutional clients, a risk-adjusted return is calculated on the basis of generally accepted principles for risk-adjusted earnings.