Novo Nordisk A/S (NVO) | Analysis of Investments

Investment Accounting Policy

Available-for-sale financial assets

Available-for-sale financial assets consist of equity investments and marketable securities and are included in Other financial assets unless Management intends to dispose of the investment within 12 months of the end of the reporting period. If that is the case, the current part is included as Other receivables and prepayments.

Unrealised gains and losses arising from changes in the fair value of financial assets classified as available for sale are recognised in Other comprehensive income. When financial assets classified as available for sale are sold or impaired, the accumulated fair value adjustments are included in the Income statement.

The fair values of quoted investments (including bonds) are based on current bid prices at the end of the reporting period. Financial assets for which no active market exists are carried at cost if no reliable valuation model can be applied.

Source: Novo Nordisk A/S, Annual Report

Adjustment to Net Income (Loss): Mark to Market Available-for-sale Securities

Novo Nordisk A/S, adjustment to Net Profit For The Year

	12 months ended	Dec 31, 2011	Dec 31, 2010	Dec 31, 2009	Dec 31, 2008	Dec 31, 2007
	Net profit for the year (as reported)
	Add: Deferred gains (losses) on equity investments
	Net profit for the year (adjusted)

Adjusted Ratios: Mark to Market Available-for-sale Securities (Summary)

Novo Nordisk A/S, adjusted ratios

		Dec 31, 2011	Dec 31, 2010	Dec 31, 2009	Dec 31, 2008	Dec 31, 2007
	Net Profit Margin
	Reported net profit margin	%	%	%	%	%
	Adjusted net profit margin	%	%	%	%	%
	Return on Equity (ROE)
	Reported ROE	%	%	%	%	%
	Adjusted ROE	%	%	%	%	%
	Return on Assets (ROA)
	Reported ROA	%	%	%	%	%
	Adjusted ROA	%	%	%	%	%

Adjusted Net Profit Margin

		Dec 31, 2011	Dec 31, 2010	Dec 31, 2009	Dec 31, 2008	Dec 31, 2007
	As Reported
	Net profit for the year (USD $ in millions, translated from DKK kr)
	Sales (USD $ in millions, translated from DKK kr)
	Net profit margin1	%	%	%	%	%
	Adjusted: Mark to Market Available-for-sale Securities
	Adjusted net profit for the year (USD $ in millions, translated from DKK kr)
	Sales (USD $ in millions, translated from DKK kr)
	Adjusted net profit margin2	%	%	%	%	%

2011 Calculations

Adjusted Return On Equity (ROE)

		Dec 31, 2011	Dec 31, 2010	Dec 31, 2009	Dec 31, 2008	Dec 31, 2007
	As Reported
	Net profit for the year (USD $ in millions, translated from DKK kr)
	Equity (USD $ in millions, translated from DKK kr)
	ROE1	%	%	%	%	%
	Adjusted: Mark to Market Available-for-sale Securities
	Adjusted net profit for the year (USD $ in millions, translated from DKK kr)
	Equity (USD $ in millions, translated from DKK kr)
	Adjusted ROE2	%	%	%	%	%

2011 Calculations

Adjusted Return On Assets (ROA)

		Dec 31, 2011	Dec 31, 2010	Dec 31, 2009	Dec 31, 2008	Dec 31, 2007
	As Reported
	Net profit for the year (USD $ in millions, translated from DKK kr)
	Total assets (USD $ in millions, translated from DKK kr)
	ROA1	%	%	%	%	%
	Adjusted: Mark to Market Available-for-sale Securities
	Adjusted net profit for the year (USD $ in millions, translated from DKK kr)
	Total assets (USD $ in millions, translated from DKK kr)
	Adjusted ROA2	%	%	%	%	%

2011 Calculations