This research report has been compiled by Swedbank Large Corporates & Institutions, a division of Swedbank AB (publ).

The document is not advisory and is merely intended to serve as information to a limited amount of qualified investors.

The information in this document has been compiled from sources believed to be reliable. We accept however no responsibility for correctness or completeness. It is recommended that recipients of this document supplement the basis for their decision-making with any material that might be considered necessary. Opinions and recommendations obtained in this document represent our present opinions but may change.

Swedbank Large Corporates & Institutions accepts no liability whatsoever for any direct or consequential loss or injury of any kind arising from the use of this document.

Recipients should be aware that Swedbank AB and its subsidiaries from time to time may have positions or holdings in securities of such companies or issuers directly or indirectly referred to herein or may be providing or seeking to provide corporate finance and dept capital markets services to such companies or issuers.

This document must not be published or distributed in the United States or to other countries or persons to which publication or distribution is prohibited.

The material may not be reproduced without the consent of Swedbank Large Corporates & Institutions. Reproduced by Swedbank Large Corporates & Institutions, Swedbank AB (publ), Stockholm 2012.

What our research is based on

Swedbank Macro Research, a unit within Large Corporates & Institutions, bases the research on a variety of aspects and analysis. For example: A fundamental assessment of the cyclical and structural economic, current or expected market sentiment, expected or actual changes in credit rating, and internal or external circumstances affecting the pricing of selected FX and fixed income instruments. Based on the type of investment recommendation, the time horizon can range from short-term up to 12 months.

Recommendation structure

Recommendations in FX and fixed income instruments are done both in the cash market and in derivatives. Recommendations can be expressed in absolute terms, for example attractive price, yield or volatility levels. They can also be expressed in relative terms, for example long positions versus short positions. Regarding the cash market, our recommendations include an entry level and our recommendation updates include profit and often, but not necessarily, exit levels. Regarding recommendations in derivative instruments, our recommendation include suggested entry cost, strike level and maturity. In FX, we will only use options as directional bets and volatility bets with the restriction that we will not sell options on a net basis, i.e. we will only recommend positions that have a fixed maximum loss.

Analyst’s certification

The analyst(s) responsible for the content of this report hereby confirm that notwithstanding the existence of any such potential conflicts of interest referred to herein, the views expressed in this report accurately reflect their personal views about the companies and securities covered. The analyst(s) further confirm not to have been, nor are or will be, receiving direct or indirect compensation in exchange for expressing any of the views or the specific recommendation contained in the report.

Issuer, distribution & recipients

This report by Swedbank LC&I Macro Research is issued by the Swedbank Large Corporates & Institutions business area within Swedbank AB (publ) ("Swedbank"). Swedbank is under the supervision of the Swedish Financial Supervisory Authority (Finansinspektionen) and other financial supervisory bodies where Swedbank and LC&I have branches. Swedbank is a public limited liability company and a member of the stock exchanges in Stockholm, Helsinki, Oslo and Reykjavik, as well as a member of EUREX. This report is distributed by Swedbank’s branches. In no instance is this report altered by the distributor before distribution.

In Estonia this report is distributed by Swedbank AS, which is under the supervision of the Estonian Financial Supervisory Authority (Finantsinspektsioon). In Lithuania this report is distributed by "Swedbank" AB, which is under the supervision of the Securities Commission of the Republic of Lithuania (Lietuvos Respublikos vertybinių popierių komisija).

In Latvia this report is distributed by Swedbank AS, which is under the supervision of The Financial and Capital Market Commission (Finanšu un kapitāla tirgus komisija).

In the United Kingdom this communication is for distribution only to and directed only at “relevant persons”. This communication must not be acted on – or relied on – by persons who are not “relevant persons”. Any investment or investment activity to which this document relates is available only to “relevant persons” and will be engaged in only with “relevant persons”.
By “relevant persons” we mean persons who:

• Have professional experience in matters relating to investments falling within Article 19(5) of the Financial Promotions Order.
• Are persons falling within Article 49(2)(a) to (d) of the Financial Promotion Order (“high net worth companies, unincorporated associations etc”).
• Are persons to whom an invitation or inducement to engage in investment activity (within the meaning of section 21 of the Financial Services and Markets Act 2000) – in connection with the issue or sale of any securities – may otherwise lawfully be communicated or caused to be communicated.

This document is being distributed in the United States by Swedbank AB (publ) and in certain instances by Swedbank Securities U.S. LLC (“Swedbank LLC”), a U.S registered broker dealer, only to major U.S. institutional investors, as defined under Rule 15a-6 promulgated under the US Securities Exchange Act of 1934, as amended, and as interpreted by the staff of the US Securities and Exchange Commission. This investment research is not intended for use by any person or entity that is not a major U.S institutional investor. If you have received a copy of this research and are not a major U.S institutional investor, you are instructed not to read, rely on or reproduce the contents hereof, and to destroy this research or return it to Swedbank AB (publ) or to Swedbank LLC. Analyst(s) preparing this report are employees of Swedbank AB (publ) who are resident outside the United States and are not associated persons or employees of any US registered broker-dealer. Therefore the analyst(s) are not subject to Rule 2711 of the Financial Industry Regulatory Authority (FINRA) or to Regulation AC adopted by the U.S Securities and Exchange Commission (SEC) which among other things, restrict communications with a subject company, public appearances and personal trading in securities by a research analyst.

Any major U.S Institutional investor receiving the report, who wishes to obtain further information or wishing to effect transactions in any securities referred to herein, should do so by contacting a representative of Swedbank LLC. Swedbank LLC is a U.S. broker-dealer registered with the Securities and Exchange Commission and a member of Financial Industry Regulatory Authority and the Securities Investor Protection Corporation. Its address is One Penn Plaza, 15th Fl., New York, NY 10119 and its telephone number is 212-906-0820. For important U.S. disclosures, please reference: http://www.swedbanksecuritiesus.com/disclaimer/index.htm

Limitation of liability

This information has been prepared for information only. Views expressed herein are not intended to be, and should not be viewed as advice or as a personal recommendation. Other than as indicated, this document has been prepared on the basis of publicly available information believed to be reliable. However, no representation or warranty, expressed or implied, is made by Swedbank with respect to the completeness or accuracy of its contents, and it is not to be relied upon as authoritative and should not be taken in substitution for the exercise of reasoned, independent judgment by you.

Be aware that investments in capital markets - such as in this document - carry economic risks and that statements regarding future assessments are comprehended with uncertainty. You are responsible for such risks alone and we recommend that you supplement your decision-making with that material which is assessed to be necessary, including (but not limited to) knowledge of the financial instruments in question and the prevailing requirements as regards trading in financial instruments.

Opinions contained in the report represent the analyst’s present opinion only and may be subject to change. In the event that the analyst’s opinion should change or a new analyst with a different opinion becomes responsible for our coverage of the company, we shall endeavor (but do not undertake) to disseminate any such change, within the constraints of any regulations, applicable laws, internal procedures within Swedbank, or other circumstances. If you are in doubt as to the meaning of the recommendation structure used by Swedbank in its research, please refer to "Recommendation structure".

This research report is produced for general distribution to eligible recipients and Swedbank is not advising nor soliciting any action based upon it. If you are not a client of ours, you are not entitled to this research report. This report is not, and should not be construed as, an offer to sell or as a solicitation of an offer to buy any securities.

To the extent permitted by applicable law, no liability whatsoever is accepted by Swedbank for any direct or consequential loss arising from the use of this report.

Conflicts of interest

The views in this communication may not be objective or independent of the interests of the authors or other Swedbank corporate and institutional banking desks, who may be active participants in the markets, investments or strategies referred to in this material. Swedbank and its respective affiliates, connected companies, employees or clients may have an interest in financial instruments of the type described in this document and/or related financial instruments. Such interests may include dealing in, trading, holding or acting as market-makers or liquidity providers in such instruments and may include providing banking, credit and other financial services to any company or issuers of securities or financial instruments referred herein. Accordingly, information included in or excluded from this material is not independent from the proprietary interests of Swedbank, which may conflict with your interests.

Company specific disclosures & potential conflicts of interest

In view of Swedbank’s position in its markets, you should assume that Swedbank may currently (or may in the coming three months and beyond) be providing or seeking to provide confidential investment banking services to the companies referred to in this report. You should note that it may happen that Swedbank, its directors, its employees or its subsidiary companies at various times have had, or have sought, positions; advisory assignments in connection with corporate finance transactions; investment or merchant banking assignments and/or lending as regards companies and/or financial instruments covered by this report. It may also occur that Swedbank LC&I may act as a sponsor in trading with financial instruments covered by this report.

Planned updates

An investment recommendation for a company that Swedbank LC&I monitor is normally updated when the company has published an interim report. An update is normally made on the day after publication. In certain cases, a recommendation may be updated in the days leading up to the said report. When required, for example if the company has some extraordinary items of news, an investment recommendation may also be updated during the period between the reporting dates.

Reproduction & dissemination

This material may not be reproduced without permission from Swedbank LC&I. This report may not be disseminated to physical or legal persons who are citizens of, or have domicile in, a country in which dissemination is not permitted according to applicable legislation or other decisions.

Reproduced by Swedbank Large Corporates & Institutions, Stockholm 2016.

Address

Swedbank LC&I, Swedbank AB (publ), SE-105 34 Stockholm.
Visiting address: Malmskillnadsgatan 23, 111 57 Stockholm.