Decisions and statement by Skandia's board concerning special
investigative report

Skandia's board hereby acknowledges that the investigators have
completed their assignment.

The investigative report reveals a number of improprieties that have
existed at Skandia: A few persons in Skandia's former senior management
have broken rules, ignored board decisions and deceived their
principals. They have acted in violation of the morals and propriety
that form the foundation of acceptable company management. They have
conducted acts that are unsuitable, unethical, and in some cases
probably illegal. They have mismanaged their positions and abused the
confidence instilled in them by Skandia's customers, employees, board
and owners. They have hurt Skandia and Skandia's reputation.

The blame for this - and the damage that has been caused - rests heavily
with those who have committed the acts. Management of a company is based
on trust and on the judgement of those entrusted with the assignment.
The investigators note that no company can entirely defend itself from a
management that systematically abuses the trust and lacks the judgement
required by its assignment.

At the same time, there have been shortcomings in auditing and other
monitoring and control systems. Skandia's current board has therefore
taken action to improve these, to create clear ethical guidelines, and
to follow up these and install a management team in the company with
integrity and competence. The investigators confirm in their report that
the path taken and the measures implemented are adequate.

Comments in detail to the investigation

The investigators' report is divided into three main sections. The
Board's comments below follow this structure.





Transactions between the parent company and Skandia Liv

*    Like Skandia Liv's own independent investigation, the investigation
has not found any substance to claims that Skandia has improperly
profited at Skandia Liv's expense. There are no legal grounds for
compensating Skandia Liv, and no compensation will be paid, with the
exception of SEK 2.5 million pertaining to convertibles in an unlisted
company.

*    The Board notes in particular that, with respect to the most
heavily debated transactions - the sale of the Trasket property and of
Skandia Asset Management - the investigators have determined that the
parent company has not profited at Skandia Liv's expense. The
investigators also note that the agreements made are in line with the
going rate in the market.

*    Skandia's board shares the investigation's conclusion that the
board work at Skandia Liv was sub-standard up until summer 2002. The
person primarily responsible for this is Skandia Liv's chairman at the
time, Jan Carendi.

*    Skandia's board will make sure that the investigation's
recommendations concerning the Board's review of transactions between
Skandia and Skandia Liv are carried out.

*    The Board has taken the initiative to draft a special set of
owners' instructions for Skandia Liv.

*    The Board has also made a decision in principle that different
auditors shall be appointed for Skandia and Skandia Liv.

Embedded value principles

*    The investigation has no specific criticism regarding the
principles of embedded value accounting, however, it feels that this
method has had an overly dominant role in the financial reporting. The
fact that Skandia's embedded value calculations have been too
conservative rather than too aggressive has been confirmed by the
international actuarial firm Tillinghast - Towers Perrin in a recently
performed analysis of Skandia's accounting.

*    The investigation's concrete recommendations concerning embedded
value will be carried out.

Benefits to senior executives

*    The investigation rightfully criticizes the design, execution and
outcome of Skandia's incentive programmes 1997-2000. Added to this, the
departure from same of the decisions made on incentive programmes gives
rise to claims from Skandia.

*    Skandia's board tightened up Skandia's compensation policy and
programmes in many respects in 2000 and 2001. In June 2003 the current
board adopted an entirely new compensation policy that contains detailed
guidelines for fixed and variable salary, incentive programmes, pensions
and severance pay. The Board notes that the investigation finds that
this policy amply meets the demands that can and should be made on a
company of Skandia's size.

*    In spring 2003 Skandia and Skandia Liv adopted a very strict set of
rules for the granting of rental apartments to employees. In no case may
apartments be granted to family members or closely related persons.

*    The Board feels it is important to once again assert that none of
the shortcomings regarding benefits, incentive programmes or costs for
residential apartments have hurt savers in Skandia Liv.


Measures in response to the report

In response to the report, Skandia's board has decided on the following
measures:

*    To direct claims for damages against Lars-Eric Petersson, Ulf Spang
and Ola Ramstedt. The Board has assigned Attorney Otto Rydbeck with the
additional task of more precisely specifying these claims and of
representing Skandia.

*    To formally dismiss Lars-Eric Petersson and Ulf Spang. This entails
the cancellation of the agreements made with them in connection with
their departure from Skandia. No further termination salary/severance
pay will be paid out.

*    To investigate in which cases reclamation can be directed against
persons who have received money from incentive programmes, despite the
fact that they had knowledge that such payments were unauthorized.

*    To investigate Skandia's opportunities to direct claims for damages
for mismanagement of  board duties at Skandia Liv, primarily against
Skandia Liv's former chairman Jan Carendi. Any damages awarded will be
credited to Skandia Liv.

*    To submit the investigative report to the Office of the Public
Prosecutor for any actions that it may find necessary and to assist the
prosecutor's office in its investigation. The details that have been
discovered surrounding the renovation of residential apartments for Lars-
Eric Petersson, Ulf Spang, Ola Ramstedt and members of their families
have already been submitted to the public prosecutor's office.

*    To request a correction of Skandia's tax returns to the extent
benefits have been reported in amounts that are too low; this applies
primarily to the premature withdrawal from Ulf Spang's direct pension
agreement.

*    To strengthen Skandia's internal audit function.

*    To submit the report to the Committee for the Authorization of
Public Accountants, for consideration of the auditors' liability.

*    To recommend that Skandia's nominating committee open up Skandia's
external auditing services to a new request for tenders.

*    Within Skandia's internal organization, to investigate any
outstanding information, claims and rumours about previous conditions at
Skandia that have been submitted by the investigators, in order to
either dismiss or elucidate these, and to take further action if
warranted.

Conclusion

At Skandia's 2003 annual general meeting the newly elected board was
given a clear mandate:

To secure Skandia's position and future opportunities. Previous
improprieties were to be thoroughly investigated and rectified in order
to restore the company's good ethics and reputation. Existing
strategies, plans and policies were to be reviewed in order to be
changed or confirmed.

In order to fulfil this assignment, the Annual General Meeting elected a
board composed of persons with previous board experience at Skandia as
well as persons who were new to the company.

Since the Board's election on 15 April this year, the business strategy
has been confirmed. Markets and products have been analysed, and an
action programme that will ensure profitability, cash flow, cost-
efficiency and sound growth has been worked out. New or strengthened
guidelines for auditing work, corporate governance, compensation, risk
control and ethics have been adopted and will be closely monitored . New
management has been installed. In addition, the independent
investigation has been completed.

A new phase is now beginning for Skandia. The measures decided on will
be executed. At the same time, the business strategy and action
programmes will be carried out. This is a long-term undertaking that
will put high demands on Skandia's owners, board and management.

Against this background and after consulting with same of Skandia's
major Swedish institutional shareholders, the Board has decided to
summon an extraordinary general meeting. This will give Skandia's owners
an opportunity to appoint the board and the auditors they feel are best-
suited for the continued work moving forward.

Skandia's chairman, Bengt Braun, has notified the owners and the Board
that he will not consider re-election and that consequently, in view of
the time-consuming, long-term effort that is now required, he finds it
natural to leave his assignment with immediate effect. Bjorn Bjornsson
has been appointed by the Board as the new chairman.

During the time up until the extraordinary general meeting, Skandia's
current board will perform its duties with undiminished strength and in
an unchanged direction.

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Skandia's chairman, Bjorn Bjornsson, and former chairman, Bengt Braun,
will be on hand to answer questions regarding the board's decision and
conclusions, at Skandia, Sveavagen 44, 1 p.m.

The extraordinary general meeting is scheduled to be held on 28 January
2004.

The investigative report referred to herein is available in its entirety
at www. skandia.com.