Landeskreditbank Baden-Württemberg - L-Bank

PROSPECTUS SUMMARY
The following summary should only be read in connection with, and is qualified by, the more detailed
information and financial data presented elsewhere in this prospectus.
L-Bank
L-Bank is the state development bank of Baden-Württemberg, one of the states of Germany. We were
established by statute effective December 1, 1998, as a result of the separation of the state development business
from the commercial banking business of the former Landeskreditbank Baden-Württemberg, whereby all assets
and liabilities of the state development business were transferred to us. We are wholly-owned by Baden-
Württemberg.
We provide funding in support of the numerous development activities of Baden-Württemberg, acting as the
state’s own development bank. Pursuant to our governing law, we carry out our business not as a competitor to,
but as a supportive partner of, private, cooperative and public-sector banks operating in the open market.
As Baden-Württemberg’s state development bank our main responsibilities and activities are:
• the financing, primarily on a subsidized basis, of housing construction, trade, industry, agriculture and
forestry, environmental protection, urban renewal and development projects, as well as improvements to
the state infrastructure in the form of loans, grants, guaranties or equity capital, with special focus on
providing support for small and medium-sized enterprises in Baden-Württemberg; and
• administering the application of funds for a large number of state, federal and European Union financial
aid programs, especially for family benefits.
The government of Baden-Württemberg, the German federal government and other public authorities —
including institutions of the European Union — all fund our activities by way of loans and grants. In addition we
employ own funds.
At December 31, 2004, we had total assets of EUR 47.9 billion. Our net profit for the year ended December
31, 2004 amounted to EUR 101.9 million. The following table shows our total assets as of December 31 of, and
net profit for, each of the years indicated (in millions of EUR):
2004 2003 2002
Total assets ........................................ 47,861 46,225 43,585
Net profit ......................................... 101.9 103.4 86.6
Under our governing law, the State of Baden-Württemberg guaranties all of our obligations in respect of
money borrowed by us, debt obligations issued by us, including the Debt Securities described herein, forward or
future contracts, rights under option agreements, other credits extended to us, as well as credit extended to third
parties that we expressly guaranty. Under this explicit guaranty, if we fail to make any payment of principal or
interest or any other amount required to be paid with respect to the Debt Securities described herein when that
payment is due and payable, Baden-Württemberg will be liable for that payment as and when it becomes due and
payable.
In addition, our governing law provides for certain guaranty and maintenance obligations of Baden-
Württemberg, which are described under “L-Bank—General—Responsibility of Baden-Württemberg—Guaranty
Obligation” and “—Maintenance Obligation.”
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