+ All Categories
Home > Economy & Finance > 6M results 2013

6M results 2013

Date post: 08-May-2015
Category:
Upload: ageas
View: 242 times
Download: 1 times
Share this document with a friend
67
6M Periodical Financial Information 2013 RESULTS
Transcript
Page 1: 6M results 2013

6M Periodical Financial

Information

2013 RESULTS

Page 2: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance Activities

Investment portfolio

General Account

General Information

Page 3: 6M results 2013

Insurance result reports strong second quarter Both Insurance & General Account contributing to Group net result Solvency relatively stable, Shareholders’ equity impacted by UG/L New share buy-back

Insurance net profit of EUR 329 mio (+9%) Inflows @ 100% of EUR 12.5 bn (+16%) Group combined ratio at 97.8% (vs.98.3%) Life Technical Liabilities at EUR 68.7 bn*

Q2 insurance net profit of EUR 172 mio

Group net profit of EUR 472 mio (+55%) General Account net result of EUR 143 mio

Q2 Group net profit of EUR 179 mio Shareholders’ equity at EUR 38.62 per share Insurance solvency at 206%, Group solvency at 226% Net cash position General Account at EUR 2.1 bn

Amount of EUR 200 mio, from 12/08/13 till 05/08/14 On top of 2012 dividend (EUR 1.2/share)

& capital reduction (EUR 1.0/share)

Main messages Ageas’s 6M results reinforce positive trend

Periodic financial Information I 6M 13 Results I 2 August 2013 2 * Consolidated entities only, compared to FY 2012

Page 4: 6M results 2013

205 201

90 1198

9302329

6M 12 6M 13Life Non-Life Other

98.3% 97.8%

6M 12 6M 13

Insurance net result: Better Non-Life compensates stable Life result In EUR mio In EUR mio

Insurance solvency stable Combined ratio: improving CY claims ratio

227%

Shareholders’ equity down on UG/L EUR per share

210% 207% 204% 206%

FY 12 6M 13

42.27 38.62

FY 12 6M 13

Result General Account driven by transaction on RPI & Call Option In EUR mio

302 329

2

143305

472

6M 12 6M 13

Insurance General Account

Headlines Ageas Non-Life performance further improved

3

1.2

2.1

FY 12 6M 13

Net cash: Cash transactions RPI & Call option coming in earlier than expected

Periodic financial Information I 6M 13 Results I 2 August 2013

Page 5: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013

Net cash position General Account at EUR 2.1 bn Up in Q2 on transactions related to RPI & BNPP Call Option

Transactions RPI & BNPP Call option: expected cash inflow almost entirely received, most of remaining proceeds expected in H2 2013 (≈EUR 0.2 bn)

EUR 1.2 per share 2012 dividend paid out in May, upstream from operating companies more than compensating 2012 dividend & 2012 corporate center costs

Expected cash out in December related to capital reduction

4

In EUR bn

6881,216

2,055(68) (77)

(270)

(57)

340

827

144

FY 11 FY 12 buy-back capitalinjection

TPL

paiddividend

upstreamopco's

RPI call option other 6M 13

Page 6: 6M results 2013

Up to EUR 200 mio of its outstanding common stock Buy-back launched as of 12 August 2013 For a period ending at 5 August 2014 Independent broker mandated to execute Through open market purchases on NYSE Euronext Brussels

Shares to be held as treasury shares until formal approval of cancellation No impact on solvency position of Insurance activities

Ageas announces share buy-back 3rd consecutive share buy-back illustrating disciplined capital management

29 June 12 Cancellation bought-back shares effective Ageas holds +/- 1.7% own shares

6 August 12 Ageas announces EUR 200 mio share buy-back

24 August 11 Ageas announces EUR 250 mio share buy-back

24 April 13 Cancellation bought-back shares effective Ageas holds +/- 2.1% own shares

27 April 13 Ageas announces agreement on RPI & BNPP Call Option EUR 1.0 capital reduction

2 August 13 Ageas announces EUR 200 mio share buy-back

Periodic financial Information I 6M 13 Results I 2 August 2013 5

Page 7: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013

Net result: strong operating result In EUR mio In EUR mio

Operating margin Guaranteed products: improved in Q2 13

Non-Life Combined ratio: improved underwriting mainly in Household

Anticipated inflow decrease in Life

227% 210% 207%

Life Technical liabilities stable In EUR bn

Belgium : Headlines Solid operating Q2 in Life & Non-Life

**

111 121

3338

144160

6M 12 6M 13Life Non-Life

2,6422,126

940985

3,5823,111

6M 12 6M 13

Life Non-Life

99.8% 97.5%

6M 12 6M 13

0.85% 0.84%

6M 12 6M 13

Operating costs In EUR mio

(13%)

52.7 52.8

FY 12 6M 13

93 96

145 152

238 248

6M 12 6M 13Life Non-Life

6

in % avg technical liabilities

Page 8: 6M results 2013

Net result: Non-Life performance up In EUR mio In EUR mio

Operating margin Guaranteed products

Inflow up 4.5% at constant FX

In EUR mio

United Kingdom: Headlines Overall Non-Life performance substantially better

7

**

(0) (1)

44 50

895158

6M 12 6M 13

Life Non-Life Other

38 51

1,102 1,101

1,140 1,152

6M 12 6M 13

Life Non-Life

+1%

Operating costs: addition Groupama offset by cost reduction initiatives

Non-Life combined ratio: improved underwriting mainly in Household

98.8% 98.5%

6M 12 6M 13

Other Income down in a competitive market, changing commercial strategy

139122

6M 12 6M 13

15 16

91 117

129114

235 247

6M 12 6M 13

Life Non-Life Other

In EUR mio

(3.78%) (4.07%)

6M 12 6M 13

Periodic financial Information I 6M 13 Results I 2 August 2013

in % avg technical liabilities

Page 9: 6M results 2013

Net profit increase driven by Turkey In EUR mio

In EUR mio

Non-Life Combined ratio: weather conditions Portugal vs. strong 2012

227% 210% 207%

Inflow* increased in nearly all countries

In EUR bn

Continental Europe: Headlines Strong top line performance & increased net profit including positive one-off

**

Operating costs remain stable In EUR mio

25 25

92034

46

6M 12 6M 13Life Non-Life

1,575 1,826

537553

2,112 2,379

6M 12 6M 13Life Non-Life

88.5%

95.5%

6M 12 6M 13

1.11% 0.94%

6M 12 6M 13

Operating margin Guaranteed products: lower risk result vs. exceptional 6M 12

+13%

Periodic financial Information I 6M 13 Results I 2 August 2013 8

Life Technical liabilities*: moderate growth

28.1 28.4

FY 12 6M 13

36 36

37 38

73 74

6M 12 6M 13Life Non-Life

in % avg technical liabilities

* Incl. non-consolidated partnerships @ 100%

Page 10: 6M results 2013

Net result: Excluding one-offs, result fairly stable In EUR mio

In EUR mio

Non-Life Combined ratio in both Thailand & Malaysia

Inflow* fuelled by China & Thailand Life Technical liabilities* further up in non-consolidated entities In EUR bn

Asia: Headlines Pressure on profit in Life from boost in new business, Profitable organic growth in Non-Life

Periodic financial Information I 6M 13 Results I 2 August 2013 9

**

7056

510

7466

6M 12 6M 13

Life Non-Life

100.1%

94.2%

6M 12 6M 13

3,5805,431

402

424

3,981

5,855

6M 12 6M 13Life Non-Life

Result non-consolidated partnerships

6049

510

6559

6M 12 6M 13Life Non-Life

+47%

24.4 28.0

FY 12 6M 13

* Incl. non-consolidated partnerships @ 100%

in % avg technical liabilities In EUR mio

2.00%1.54%

6M 12 6M 13

Life operating margin Hong Kong

Page 11: 6M results 2013

Net result driven by transactions on RPI & Call option In EUR mio In EUR mio

Main elements balance sheet: P&L impact transaction on RPI & Call option mainly in Q1

227% 210% 207%

General Account: Headlines Result & net cash driven by transaction RPI & Call option

Periodic financial Information I 6M 13 Results I 2 August 2013 10

**

Net cash position: cash on transactions partly in

2

143

6M 12 6M 13

1.2

2.1

FY 12 6M 13

In EUR bn

In EUR mio

(165) (171)

234

872

241

FY 12 6M 13RPN(i) Call Option RPI

8 8

15 12

2320

6M 12 6M 13Staff Op & admin

Operating costs further down

In EUR mio

232

42

142

(90)

Q1 Q2RPI Call Option

* Subject to absence of any creditor’s claim

net cash further influenced in H2 2013 by remaining cash RPI transaction coming in

(plus ≈EUR 200 mio) announced EUR 1 capital reduction

(minus ≈EUR 230 mio): 16/09 shareholders’ meeting 10/12 ex-date 13/12 payment date*

announced share buy-back (minus EUR 200 mio)

Page 12: 6M results 2013

Shareholders’ equity / share

Shareholders’ equity Net profit impact offset by lower unrealized gains, dividend payment & put option In EUR mio

6,306 6,341

1,838 1,150

1,6551,350

329 143(759) (72) (270) (254) (74)

EUR 42.27 EUR 38.62

9,7998,840

FY 12 Net resultInsurance

Net resultGen Account

Change UG/L Buy back Dividend Revaluationput option

Forex& other

InsuranceUG/L Insurance

UG/L

Equity per segment FY 12 6M 13 FY 12 6M 13

Belgium 3,974 ► 3,417 Asia 1,837 ► 1,826UK 1,149 ► 1,055 Insurance 8,145 ► 7,491Continental Europe 1,185 ► 1,193 General Account 1,655 ► 1,350

Periodic financial Information I 6M 13 Results I 2 August 2013 11

Page 13: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013 12

Investment portfolio Portfolio slightly down on UG/L in fixed income, increased allocation to equities In EUR bn

* All assets at fair value except the ‘Held to Maturity’ assets & loans which are valued at amortized costs

Sovereign bonds 34.7

Sovereign bonds 34.2

Corporate bonds 25.1

Corporate bonds 24.9

Structured 0.3

Structured 0.4

Loans6.3

Loans6.3

Equities 2.4 Equities 2.8

Real Estate 4.7

Real Estate 4.6

Cash 2.4 Cash 2.375.9 75.5

FY 12 6M 13

Asset mix

Asset mix relatively stable

Increased positions in equities at the expense of cash & sovereigns continued in Q2

4th infrastructure project realised through partnership with Natixis

Gross unrealized gains/losses on Available for Sale

Total portfolio: down to EUR 3.8 bn (EUR 5.4 bn FY 12); exclusively down in fixed income

Fixed income: at EUR 3.6 bn (EUR 5.2 bn FY 12) Sovereigns at EUR 2.3 bn (vs. EUR 3.3 bn) Corporates at EUR 1.3 bn (vs. EUR 1.8 bn)

Equities: stable at EUR 0.2 bn

Real Estate: stable at EUR 1.3 bn - not reflected in equity

EUR 0.9 bn unrealized gains/losses on Held to Maturity not reflected in equity

Page 14: 6M results 2013

Positive takeways well diversified result across all segments

satisfactory Life result despite low i-rate

continued operating progress Non-Life

Attention points ensure performance in all Life activities &

strive for right product mix

remain vigilant for Non-Life market challenges, especially Motor & UK

EUR 200 mio share buy-back

On top of 2012 dividend (EUR 1.2/share) & capital reduction (EUR 1.0/share)

Conclusions : 6M results reinforce positive trend

Periodic financial Information I 6M 13 Results I 2 August 2013 13

Page 15: 6M results 2013

Register now on www.ageas.com/investorsupdate

Page 16: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance Activities

Investment portfolio

General Account

General Information

Page 17: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013 16

Key financials Strong operational performance

EUR mio 6M 12 6M 13 Q2 12 Q1 13 Q2 13

Gross inflows 10,816 12,497 5,165 6,753 5,744 - of which inflows from non-consolidated partnerships 5,111 6,972 2,282 4,008 2,965

Net result Insurance 302 329 148 157 172By segment: - Belgium 144 160 66 80 80 - UK 51 58 34 23 35 - Continental Europe 34 46 16 17 28 - Asia 74 66 31 38 29By type: - Life 205 201 80 108 93 - Non-Life 90 119 63 46 74 - Other 8 9 4 4 5

Net result General Account 2 143 241 136 7Net result Ageas 305 472 389 293 179Earnings per share (in EUR) 1.28 2.05Combined ratio 98.3% 97.8% 94.7% 99.5% 96.1%Life technical liabilities (in EUR bn) * 68.8 68.7Insurance Solvency ** 204% 206%Shareholders' equity ** 9,799 8,840Net equity per share (in EUR) ** 42.27 38.62* Consolidated companies only, Compared with YE 2012** Compared with YE 2012, restated for IAS 19

Page 18: 6M results 2013

Shareholders’ equity / share

Shareholders’ equity Net profit impact offset by lower unrealized gains, dividend payment & put option In EUR mio

6,306 6,341

1,838 1,150

1,6551,350

329 143(759) (72) (270) (254) (74)

EUR 42.27 EUR 38.62

9,7998,840

FY 12 Net resultInsurance

Net resultGen Account

Change UG/L Buy back Dividend Revaluationput option

Forex& other

InsuranceUG/L Insurance

UG/L

Equity per segment FY 12 6M 13 FY 12 6M 13

Belgium 3,974 ► 3,417 Asia 1,837 ► 1,826UK 1,149 ► 1,055 Insurance 8,145 ► 7,491Continental Europe 1,185 ► 1,193 General Account 1,655 ► 1,350

Periodic financial Information I 6M 13 Results I 2 August 2013 17

Page 19: 6M results 2013

Tangible net equity High quality capital structure

10/03/2010 I page 18

EUR bn FY 12 6M 13

IFRS Shareholders' Equity 9.8 8.8Unrealised gains real estate 0.6 0.6Goodwill (0.7) (0.7)VOBA (Value of Business Acquired) (0.4) (0.4)DAC (Deferred Acquisition Cost) (0.9) (0.9)Other (0.4) (0.4)Goodwill, DAC, VOBA related to N-C interests 0.5 0.525% tax adjustment DAC, VOBA & Other 0.3 0.3

IFRS Tangible net equity 8.9 7.9

IFRS Tangible net equity/ IFRS Shareholder's Equity 91% 90%

Periodic financial Information I 6M 13 Results I 2 August 2013 18

Page 20: 6M results 2013

IFRS Solvency Increasing RMM on growth in Asia; Capital General Account down on capital reduction

2.4 2.4

0.5 0.5 0.6 0.6 0.5 0.6

4.0 4.1 4.0 4.1

1.7 1.9

0.6 0.5 0.8 0.9 0.9 0.9

4.1 4.3

1.0 0.8

5.1 5.2

4.14.3

1.1 1.01.4 1.5 1.4 1.5

8.1 8.49.1 9.3

FY 12 6M 13 FY 12 6M 13 FY 12 6M 13 FY 12 6M 13 FY 12 6M 13 FY 12 6M 13 FY 12 6M 13

Belgium UK

CEU Asia

Total Ageas General Account

RMC Excess Capital RMC Excess Capital RMC Excess Capital RMC Excess Capital RMC Excess Capital Available Capital

In EUR bn

Periodic financial Information I 6M 13 Results I 2 August 2013 19

Solvency ratio 173% 180% 220% 213% 243% 253% 268% 243% 204% 206% 229% 226%

* +6% impact of change in dividend pey-out methodology

*

Page 21: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance activities

Investment portfolio

General Account

General Information

Page 22: 6M results 2013

Inflows @ 100% Growth driven by China, Thailand & Portugal

*

* Ageas holds a 50% stake in Tesco Underwriting Periodic financial Information I 6M 13 Results I 2 August 2013 21

EUR mio 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13Belgium 75% 2,642 2,126 940 985 3,582 3,111 United Kingdom 100% 38 51 1,102 1,101 1,140 1,152 0 0 Continental Europe 1,575 1,826 537 553 2,112 2,379

Consolidated entities 546 805 235 232 780 1,037 Portugal 51% 407 605 126 130 533 734 France 100% 138 200 138 200 Italy 25% 109 102 109 102

Non-consolidated JV's 1,029 1,021 302 321 1,332 1,342 Turkey (Aksigorta) 36% 302 321 302 321 Luxembourg (Cardif Lux Vie) 33% 1,029 1,021 1,029 1,021

Asia 3,580 5,431 402 424 3,981 5,855 Consolidated entities 202 225 202 225

Hong Kong 100% 202 225 202 225 Non-consolidated JV's 3,378 5,206 402 424 3,780 5,630

Malaysia 31% 369 373 315 319 684 692 Thailand 31%/15% 589 767 87 105 675 871 China 25% 2,366 4,008 2,366 4,008 India 26% 55 59 55 59 0 0 Total 7,835 9,435 2,980 3,063 10,816 12,497 0 0

Consolidated entities 3,428 3,207 2,277 2,318 5,704 5,525 Non-consolidated partnerships 4,407 6,227 704 745 5,111 6,972

Life Non-Life Total

Page 23: 6M results 2013

Belgium UK

CEU Asia

Total Ageas

Life Non-Life Life Non-Life Life Non-Life Life Non-Life Life Non-Life

Inflows @ Ageas’s part Strong growth in emerging markets, Guaranteed Life sales down following market trend In EUR mio

Periodic financial Information I 6M 13 Results I 2 August 2013 22

1,982 1,595

38 51 689 849 1,101 1,590

3,810 4,085 705

739

909 971 200 207

110

114

1,925 2,032

(13%)

8% 19%

41%

7%

2,687 2,334

948 1,023 889 1,056 1,211

1,704

5,735 6,117

6M 12 6M 13 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13

Page 24: 6M results 2013

Insurance net result Non-Life result up in all segments, Asia Life under pressure of strong inflow growth

Belgium UK

CEU Asia

Total Ageas

Life Non-Life Life Non-Life Other Life Non-Life Life Non-Life Life Non-Life Other

111 121

(0) (1) 25 25 70 56

205 201

33 38

44 50 9 20

5 10

90 119

8 9

8

9

144 160

51 58 34

46

74 66

302 329

6M 12 6M 13 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13

In EUR mio

Periodic financial Information I 6M 13 Results I 2 August 2013 23

Page 25: 6M results 2013

10/03/2010 I page 24

Overview impairments & net capital gains on investments Both cap gains & impairments slightly down compared to 6M12

*

Periodic financial Information I 6M 13 Results I 2 August 2013 24

EUR mio 6M 12 6M 13 6M 12 6M 13 6M 12 6M 13Life 50 35 (54) (17) (4) 18Non-Life 16 7 (4) (2) 13 4

Total Belgium 66 42 (57) (20) 9 22LifeNon-Life 7 4 7 4Other

Total UK 7 4 7 4Life 3 13 (0) (8) 3 5Non-Life 0 (0) 0 (0)

Total CEU 3 13 (0) (8) 3 5Life 17 21 (8) (5) 9 16Non-Life 1 2 (0) 1 2

Total Asia 18 23 (8) (5) 10 18Life 70 69 (62) (30) 9 38Non-Life 25 13 (4) (2) 21 11Other

Total Ageas 95 82 (66) (33) 30 49

Capital gains/losses Impairments & Profit sharing impact Total impact

Page 26: 6M results 2013

25 Periodic financial Information I 6M 13 Results I 2 August 2013

Insurance Lexicon on new margin disclosures as from FY 2012 Life Non-Life + Underwriting

result + Premiums received from policyholders - actual payments made in risk contracts + penalties deducted in case of surrender + reinsurance result

+ Net Underwriting result

+ Net Earned Premium - all evolutions in claims reserves (CY & PY) + technical interest charges on technical liabilities - all expenses (marketing, intermediary, claims

handling & administration) + Expense &

Other result + expense loadings - actual expense charges + other results of technical nature

= Net Underwriting result + Other result + other results of technical nature

+ Investment result + Investment income on assets covering Life technical liabilities (recurring & cap gains)

- what is paid out to policyholders (guaranteed income & profit sharing)

+ Investment result + Investment income on assets covering Non-Life technical liabilities (recur. & cap gains)

- technical interest charges on technical liabilities

= Operating result = Operating result

Average technical liabilities

= average between technical liabilities at the beginning & at the end of each quarter of current year.

Net earned premium + Premiums received from policyholders - premiums covering risks future period - premiums paid to reinsurers

Life margins All Life margins calculated as % of average technical liabilities

Non-Life ratio’s All Non-Life ratio’s calculated in % of Net earned premiums

Combined ratio

Corresponds to 1minus net underwriting result in % of net earned premiums

Page 27: 6M results 2013

Insurance Combined ratio On track to be substantially below 100%

Net earned premium in EUR mio

Periodic financial Information I 6M 13 Results I 2 August 2013 26

Combined ratio at 97.8% vs. 98.3%

Q2 confirms Q1 good operational performance with COR at 96.1%

Household at 91.3% (vs.103.0): benign weather in major markets, impact of corrective measures & tariff increases in Belgium

Accident & Health: at 93.4% (vs.93.6%): strong improvement claims ratio Belgium

Motor at 102.2% (vs. 96.5%): increase combined ratio in all segments

Claims ratio at 64.6% vs. 67.7%

CY claims ratio (67.6% vs. 72.5%) improvement in all product lines, most significant impact in Household

PY claims ratio down to release of 3.0% (vs. 4.8%), reserves strengthening in Motor in all segments

Expense ratio at 33.2% vs. 30.6% 2,497 2,858 3,507 4,178 2,023 2,146 1,034 1,077 1,069

69.4% 73.2% 69.0% 68.1% 67.7% 64.6% 64.1% 66.7% 62.4%

33.1%32.8%

31.1% 31.0% 30.6% 33.2% 30.6%32.8%

33.7%

102.5% 106.0%100.1% 99.1% 98.3% 97.8% 94.7%

99.5% 96.1%

(6.0%)(3.7%) (3.5%) (3.1%) (4.8%) (3.0%) (4.1%) (3.5%) (2.5%)

2009 2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

claims ratio expense ratio PY claims ratio

Page 28: 6M results 2013

Insurance Combined ratio per product line Household strongly improving

Motor: reserves strengthening Accident & Health: good performance confirmed

Other: improvement across all segments

NEP NEP

Household: benign weather in major markets

NEP NEP Periodic financial Information I 6M 13 Results I 2 August 2013 27

609 714 736 763 382 392 1,012 1,134 1,571 2,058 988 1,029

203 261 308 349 163 199673 750 892 1,007 491 526

70.4% 74.3% 71.9% 70.5% 69.2% 67.7%

23.6% 24.8% 25.0% 25.5% 24.4% 25.7%

94.0% 99.1% 96.9% 96.0% 93.6% 93.4%

2009 2010 2011 2012 6M 12 6M 13

79.0% 78.4% 72.0% 73.6% 71.1% 73.5%

29.3% 29.0%25.3% 25.4% 25.4% 28.7%

108.3% 107.4%97.3% 99.0% 96.5% 102.2%

2009 2010 2011 2012 6M 12 6M 13

59.4%75.0%

61.9% 55.6% 61.7%48.3%

43.4%43.2%

41.5% 41.6% 41.3%43.0%

102.8%118.2%

103.4% 97.2% 103.0%91.3%

2009 2010 2011 2012 6M 12 6M 13

51.7% 42.9%67.2% 66.5% 62.0% 55.1%

45.8%41.2%

44.8% 44.9% 43.9% 45.9%

97.5%84.1%

112.0% 111.4% 105.9% 101.0%

2009 2010 2011 2012 6M 12 6M 13

Page 29: 6M results 2013

Insurance Life operating margin per product line Guaranteed: driven by investment margin Unit-linked: all margins improving

Average technical liabilities Average technical liabilities

Expense & other margin decrease related to Asia mainly

Underwriting margin improvement over all segments

Investment margin slightly or almost stable across all segments

۷ improvement in CEU & Asia ۷ only slightly down in Belgium despite low i-rate

Slight deterioration underwriting margin ۷ mainly coming from CEU (lower risk margin) & Asia ۷ improving in Belgium on increasing technical

liabilities

Periodic financial Information I 6M 13 Results I 2 August 2013

0.44% 0.41% 0.44% 0.49% 0.44% 0.36% 0.42% 0.47%

0.67%

(0.79%)

0.87% 0.76% 0.78%

0.42%0.78% 0.79%

(0.33%)

(0.36%)

(0.33%) (0.34%) (0.34%) (0.27%) (0.37%) (0.32%)

0.56%

(0.60%)

0.81% 0.92% 0.88%

0.70%

0.68% 0.93%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

50.4 52.3 54.0 53.5 55.3 53.5 55.2 55.3 20.2 12.4 11.8 11.6 12.1 11.6 12.3 12.1

0.07%0.04%

0.11% 0.12% 0.14%

(0.02%)

0.15% 0.13%0.01%0.01% 0.01%

0.27%0.42%

0.37%0.42%

0.29%

0.17%

0.32%0.25%

0.35%

0.45%0.48%

0.55%

0.43%

0.43%

0.47%0.38%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

28

Page 30: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013

Net result: strong operating result In EUR mio In EUR mio

Operating margin Guaranteed products: improved in Q2 13

Non-Life Combined ratio: improved underwriting mainly in Household

Anticipated inflow decrease in Life

227% 210% 207%

Life Technical liabilities stable In EUR bn

Belgium : Headlines Solid operating Q2 in Life & Non-Life

**

111 121

3338

144160

6M 12 6M 13Life Non-Life

2,6422,126

940985

3,5823,111

6M 12 6M 13

Life Non-Life

99.8% 97.5%

6M 12 6M 13

0.85% 0.84%

6M 12 6M 13

Operating costs In EUR mio

(13%)

52.7 52.8

FY 12 6M 13

93 96

145 152

238 248

6M 12 6M 13Life Non-Life

29

in % avg technical liabilities

Page 31: 6M results 2013

2,4951,775

148

351

2,6422,126

6M 12 6M 13

(20%)

Life In EUR mio

Non-Life In EUR mio

Unit-Linked

Guaranteed

Other

Household

Accident & Health

Motor

Belgium: Inflow @ 100% Anticipated decrease Guaranteed products partly compensated by Non-Life & UL

267 276

294 303

295 31684 91

940 985

6M 12 6M 13

Periodic financial Information I 6M 13 Results I 2 August 2013 30

+5%

Guaranteed Sales of guaranteed products decreased 29% to EUR 1.8 bn

Decrease observed Individual Saving (down 41% to EUR 1,060 mio) & Individual Traditional (down 16% to EUR 132 mio)

Lower volumes due to historically low guaranteed interest rates & impact of Belgian government decision to increase insurance premium tax (from 1.1% to 2%; as at 01/01/2013).

Group Life inflows amounted to a strong EUR 583 mio supported by higher single premiums

Unit-linked Sales Individual Unit-Linked: continued success in Q2, more than

double in 6M 13 (+138% vs. 6M 12). Growth driven by significant offer in closed-end funds Bank channel & increasing customer appetite

Household, Motor, Other GWP increased in Bank & Broker channel & across all product lines,

mainly in Household

Household (+7%): higher volume & tariff increases

Motor (+2.8%): driven by tariff increase, threshold of 1 mio contracts crossed in Q2

Other (+8.4%): mainly driven by tariff increase in Legal Assistance

Accident & Health Accident & Health (+3.4%) supported by good momentum in Health

Care

Page 32: 6M results 2013

Belgium: Combined ratio Strong underwriting result in Household and Accident & Health, weaker in Motor

Net earned premium in EUR mio

Periodic financial Information I 6M 13 Results I 2 August 2013 31

64.1% 68.7% 64.3% 62.7% 63.1% 60.4% 59.0% 62.9% 57.9%

36.8%36.4%

36.8% 36.8% 36.7% 37.1% 36.6%36.8%

37.5%

100.9%105.1% 101.1% 99.5% 99.8% 97.5% 95.6% 99.7%

95.4%

(8.0%) (6.6%) (7.3%) (4.5%)(8.7%)

(5.9%) (7.8%) (6.9%) (5.0%)

2009 2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

claims ratio expense ratio PY claims ratio

1,469 1,541 1,601 1,698 840 872 423 432 440

Combined ratio at 97.5% vs. 99.8%

Strong second quarter ratio at 95.4%

Household (93.0%) confirmed the good Q1 performance reflecting previous corrective measures, rate increases & less weather related claims

Accident & Health at 93.9% vs.95.1%

Motor (104.6%) second quarter mainly impacted by the non-recurring impact of additional reserving for a few large claims.

Claims ratio at 60.4% vs. 63.1%

CY ratio (66.3% vs.71.8%) improvement mainly in Household, but also Accident & Health

PY ratio (5.9% release vs.8.7% release) reserves strengthening in Motor partly offset by higher releases in Other

Expense ratio increased slightly at 37.1%

Page 33: 6M results 2013

Belgium: Combined ratio per product line Improved underwriting performance in Household & Other

Motor: one-off large claims reserves strengthening Acc & Health: few new large claims

Household: effect corrective measures - Q2 at 86.1% Other: strong Q2 at 97.4%

NEP NEP

NEP NEP Periodic financial Information I 6M 13 Results I 2 August 2013 32

68.9% 75.8% 73.8% 73.0% 71.4% 69.7%

22.6%21.9% 23.8% 24.0% 23.7% 24.2%

91.5% 97.7% 97.6% 97.0% 95.1% 93.9%

2009 2010 2011 2012 6M 12 6M 13

68.5% 71.0%58.9% 64.7% 61.3% 67.7%

36.3% 35.7%35.3%

35.8% 36.0%36.9%

104.8% 106.7%94.2% 100.5% 97.3%

104.6%

2009 2010 2011 2012 6M 12 6M 13

60.5%75.6% 63.0% 50.5% 57.2% 47.2%

47.1%47.1%

46.9%46.2%

46.4%45.8%

107.6%122.7%

109.9%96.7% 103.6%

93.0%

2009 2010 2011 2012 6M 12 6M 13

44.9%

10.4%

58.2% 65.9% 62.6% 52.7%

49.2%

50.9%

49.5%48.1% 48.6%

47.5%

94.1%

61.3%

107.7% 114.0% 111.2%100.2%

2009 2010 2011 2012 6M 12 6M 13

424 451 451 480 242 244 465 498 525 540 267 270

453 463 484 530 258 278 127 129 142 149 74 80

Page 34: 6M results 2013

Belgium Life operating margin per product line Guaranteed: strong Q2 Unit-linked: increasing liabilities & lower

expense & other margin

Avg techn liabilities Avg techn liabilities 40.7 42.9 44.9 44.4 46.2 44.4 46.1 46.2 6.0 5.6 5.2 5.2 5.3 5.2 5.3 5.3

0.03%(0.05%) 0.04% 0.02% 0.03% 0.05% 0.02%

0.64%

0.50% 0.44% 0.43% 0.38% 0.44% 0.39%0.36%

0.66%

0.45%0.47%

0.45%0.41%

0.35% 0.44%0.38%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

Expense & other m. Underwriting m.

0.28% 0.32% 0.32% 0.30% 0.35% 0.32% 0.33% 0.37%

0.57%

(0.80%)

0.93% 0.83% 0.80%0.57%

0.78% 0.81%

(0.21%)

(0.30%)

(0.29%) (0.28%) (0.31%) (0.26%) (0.34%) (0.28%)

0.64%

(0.78%)

0.96%0.85% 0.84%

0.62%0.77% 0.91%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

Operating result amounted to EUR 11 mio, down 7% Average Technical Liabilities increased by 4%

Operating result amounted to EUR 194 mio, up 2% on increase of technical liabilities

Operating margin 6M 13 stable on 6M 12 despite continued low i-rate environment

Investment margin Q2 margin up Q-on-Q with dividend, Q2 12 included huge negative impact of impairments

Average Technical Liabilities up 4%, mainly due to last year’s strong intakes

Periodic financial Information I 6M 13 Results I 2 August 2013 33

Page 35: 6M results 2013

Net result: Non-Life performance up In EUR mio In EUR mio

Operating margin Guaranteed products

Inflow up 4.5% at constant FX

In EUR mio

United Kingdom: Headlines Overall Non-Life performance substantially better

34

**

(0) (1)

44 50

895158

6M 12 6M 13

Life Non-Life Other

38 51

1,102 1,101

1,140 1,152

6M 12 6M 13

Life Non-Life

+1%

Operating costs: addition Groupama offset by cost reduction initiatives

Non-Life combined ratio: improved underwriting mainly in Household

98.8% 98.5%

6M 12 6M 13

Other Income down in a competitive market, changing commercial strategy

139122

6M 12 6M 13

15 16

91 117

129114

235 247

6M 12 6M 13

Life Non-Life Other

In EUR mio

(3.78%) (4.07%)

6M 12 6M 13

Periodic financial Information I 6M 13 Results I 2 August 2013

in % avg technical liabilities

Page 36: 6M results 2013

1,102 1,101

38 511,140 1,152

6M 12 6M 13

30 44

758 730

214 23199 96

1,102 1,101

6M 12 6M 13

Motor

Non-Life

Life

Other

Property

Accident & Health

Total In EUR mio

Non-Life In EUR mio

(0.1%)

1%

United Kingdom: Inflow @ 100% Inflow stable, up 4.5% at constant FX

Life Successful roll out of its proposition across the IFA market and

through affinity partnerships developed in 2012

Over 286,000 customers up 27% on same period last year

Non-Life Down 0.1%, growth of 3.3% at constant FX

Motor down 4% mainly due to lower average premiums, following market trend of rate decreases & focus on risk mix improvement

Household up 8% primarily due to the inclusion of Groupama Insurance Company Ltd (GICL)

Accident & Health up 45% due to the inclusion of GICL

Other lines, including Commercial & Special Risks down 4% due to management actions to improve profitability, offset partially by inclusion of GICL

EUR 196 mio Groupama inflow included

Other Insurance (including Retail) YTD total income of EUR 122 mio ,12% below last year.

Periodic financial Information I 6M 13 Results I 2 August 2013 35

Page 37: 6M results 2013

United Kingdom: Combined ratio Below 100% reflecting continued strong performance in Household

Net earned premium in EUR mio

Combined ratio at 98.5%

Combined ratio continued sub 100% performance

Impact Groupama: greater proportion delegated authority schemes with higher expense ratio but lower claims in portfolio

Claims ratio at 67.6%

Claims ratio Reduction across all lines of business with greatest impact in Household due to benign weather

CY ratio (68.4% vs. 74.5%) significant reduction primarily due to benign weather experience in Household

PY ratio: release of 0.8% vs. 1.5% in 6M 12

Expense ratio at 30.9%

Increase from combination of pressure on earned premium in Tesco & addition of Groupama with greater proportion of delegated authority schemes.

Periodic financial Information I 6M 13 Results I 2 August 2013 36

80.4% 81.5% 74.6% 73.3% 73.0% 67.6% 69.6% 69.4% 65.8%

27.7% 28.0%25.3% 26.5% 25.8% 30.9% 26.0% 30.5% 31.2%

108.1% 109.5%99.9% 99.8% 98.8% 98.5% 95.6%

99.9% 97.0%

(3.5%)(1.1%) 0.1% (2.1%) (1.5%) (0.8%) (1.3%) (1.2%) (0.3%)

2009 2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

claims ratio expense ratio PY claims ratio

834 948 1,524 2,083 989 1,075 510 546 529

Page 38: 6M results 2013

United Kingdom: Combined ratio per product line Reduced loss ratios in all products, partially offset by expense ratios

Motor: premium strain on expense ratio (TU)

NEP

Accident & Health: GICL impacting expense ratio

Household: benign weather impact Other: positive impact mgmt actions (AIL) & inclusion of GICL

NEP Periodic financial Information I 6M 13 Results I 2 August 2013 37

83.5%97.9% 87.7% 78.1% 76.3% 72.8%

26.2%24.0%

23.2%28.2% 25.9% 34.1%

109.7%121.9%

110.9% 106.3% 102.2% 106.9%

2009 2010 2011 2012 6M 12 6M 13

88.9% 82.9% 79.2% 77.2% 75.7% 75.1%

22.8% 23.3% 19.5% 21.3% 20.7% 25.6%

111.7% 106.2%98.7% 98.5% 96.4% 100.7%

2009 2010 2011 2012 6M 12 6M 13

53 58 65 57 28 36 524 532 949 1,420 673 710

61.2%77.4%

61.4% 62.3% 67.9%47.4%

38.0%

38.2%

35.3% 36.7% 36.5%

40.2%

99.2%115.6%

96.7% 99.0% 104.4%87.6%

2009 2010 2011 2012 6M 12 6M 13

66.0% 75.1% 71.6% 67.7% 62.9% 59.0%

38.1% 30.4% 39.3% 42.2% 41.4% 44.7%

104.1% 105.5% 110.9% 109.9% 104.3% 103.7%

2009 2010 2011 2012 6M 12 6M 13187 248 366 434 211 225 69 110 143 173 77 105

NEP

NEP

Page 39: 6M results 2013

Net profit increase driven by Turkey In EUR mio

In EUR mio

Non-Life Combined ratio: weather conditions Portugal vs. strong 2012

227% 210% 207%

Inflow* increased in nearly all countries

In EUR bn

Continental Europe: Headlines Strong top line performance & increased net profit including positive one-off

**

Operating costs remain stable In EUR mio

25 25

92034

46

6M 12 6M 13Life Non-Life

1,575 1,826

537553

2,112 2,379

6M 12 6M 13Life Non-Life

88.5%

95.5%

6M 12 6M 13

1.11% 0.94%

6M 12 6M 13

Operating margin Guaranteed products: lower risk result vs. exceptional 6M 12

+13%

Periodic financial Information I 6M 13 Results I 2 August 2013 38

Life Technical liabilities*: moderate growth

28.1 28.4

FY 12 6M 13

36 36

37 38

73 74

6M 12 6M 13Life Non-Life

in % avg technical liabilities

* Incl. non-consolidated partnerships @ 100%

Page 40: 6M results 2013

432 514

421409

853923

6M 12 6M 13

98 98

86 83

45 5646 55

275 292

6M 12 6M 13

Accident & Health

Motor

Unit-Linked

Guaranteed

+16%

Other Household

Life In EUR mio

Non-Life In EUR mio

Continental Europe: Inflow @ 100% Higher Life sales in Portugal & France, Non-Life driven by Turkey

+3%

Life Inflow +16%, including non-controlling interests @ 100%, reflecting

higher sales in Portugal and France

Consolidated inflow up 48%

Portugal: volumes up by 49% driven by the UL business as a result of successful sale campaign in June

France: up by 45% continue to benefit from the 1st quarter UL single premium payment

Technical liabilities End of period technical liabilities: up 4% vs. year-end 2012 technical

ones

Average technical liabilities growth in line with excellent sales performance over last 2 years

Non-Life Inflow + 6%, including non-controlling interests @ 100% driven by

Turkey

GWP consolidated entities in line with last year

Turkey (Aksigorta) at EUR 321 mio

A&H and Motor remain the major business lines in the portfolio. Motor slight decline due to Italy (economic recession leading to further reduction car sales) and Turkey (less MTPL sales due to focus on profitable growth)

Periodic financial Information I 6M 13 Results I 2 August 2013 39

Page 41: 6M results 2013

Continental Europe: Combined ratio Well below group target even with severe winter weather in Portugal

Net earned premium in EUR mio

* Scope: only consolidated companies: 2009 Portugal; as from 2010 Portugal & Italy

Combined ratio at 95.5%

Combined ratio higher than PY mainly due to severe weather impact in Portugal (household) and exceptionally low claims ratio’s last year.

Claims ratio at 66.2%

Claims ratio mainly higher due to mid-January storms in Portugal and higher volume of claims reported

Claims ratio Italy in line with previous quarter but slightly higher than PY

PY ratio: 2.3% release vs. 5.3%

Combined ratio Turkey further improved to 88.6%.from 101.3%

Expense ratio at 29.3%

Expense ratio continued focus on cost containment (LY was influenced by a one off release in Italy), commission ratio slightly up due to product mix

Periodic financial Information I 6M 13 Results I 2 August 2013 40

62.4%71.0% 66.4% 63.6% 61.0% 66.2%

57.4%67.8% 64.7%

27.6%

30.3%30.3% 29.8%

27.5%29.3%

29.3%

28.9% 29.7%

90.0%

101.3%96.7% 93.4%

88.5%95.5%

86.7%96.7% 94.4%

(1.3%)1.9%

(2.0%) (2.5%) (5.3%)(2.3%) (3.2%) (0.9%) (3.7%)

2009 2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

claims ratio expense ratio PY claims ratio

194 369 382 397 194 199 101 99 100

Page 42: 6M results 2013

Continental Europe: Combined ratio per product line Overall combined ratio within expectations (only related to consolidated companies)

Motor: exceptionall strengthening PY reserves (cleaning old claims)

Accident & Health: product mix drives increase commission ratio

Household: impact of weather in Portugal Other: higher commission due to product mix

Periodic financial Information I 6M 13 Results I 2 August 2013 41

70.2% 64.2% 63.5% 63.3% 62.7% 61.7%

25.7% 31.6% 27.8% 28.2% 25.4% 26.3%

95.9% 95.8% 91.3% 91.5% 88.1% 88.0%

2009 2010 2011 2012 6M 12 6M 13132 205 220 226 112 112

65.3%90.5%

71.8% 69.8% 61.5%82.0%

36.7%

27.0%

29.2% 28.1%31.9%

28.2%

102.0%117.5%

101.0% 97.9% 93.4%110.2%

2009 2010 2011 2012 6M 12 6M 1323 104 97 99 48 49

34.9%53.5% 53.7% 51.8% 54.6%

70.6%22.9%

27.7% 34.2% 33.5% 27.8%

36.5%

57.8%

81.2% 87.9% 85.3% 82.4%

107.1%

2009 2010 2011 2012 6M 12 6M 1333 39 42 44 22 23

33.8%

73.3%94.5%

62.8% 53.5% 40.6%

58.6%

39.0%

50.0%

43.3%29.7% 44.4%

92.4%112.3%

144.5%

106.1%

83.2% 85.0%

2009 2010 2011 2012 6M 12 6M 137 21 23 28 12 14

NEP

NEP

NEP

NEP

Page 43: 6M results 2013

Continental Europe Life operating margin per product line

Guaranteed: lower underwriting margin partially offset by higher investment margin

Unit-linked: stable

Avg techn liabilities Avg techn liabilities

Decrease expense & other margin is a./o. related to maturing funds & lower fees resulting from lower inflows.

Investment margin improved vs. PY Although decline in underwriting margin YTD due to higher

claims in the risk business & fewer premiums (change payment frequency), improvement on quarterly basis

Cost containment lead to stable expense margin

1.25% 1.00% 1.18% 1.22%0.91% 1.20%

0.89% 0.93%

0.84%

(0.75%)

0.70% 0.69%0.84%

0.73%0.76% 0.92%

(0.93%)

(1.08%)

(0.85%) (0.80%) (0.81%) (0.87%) (0.76%) (0.86%)

1.16%

(0.83%)

1.02% 1.11% 0.94%1.06%

0.89%0.98%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

8.7 8.3 7.8 7.9 7.7 7.9 7.7 7.7 13.9 6.4 6.1 6.0 6.2 6.0 6.4 6.2

0.01% 0.02% 0.02% 0.02% 0.01% 0.03% 0.01% 0.01%

0.01% 0.01% 0.01% 0.01% 0.01%

0.18%

0.55%0.41%

0.51% 0.51% 0.48% 0.50% 0.51%0.20%

0.56%

0.44%

0.54% 0.53% 0.51% 0.52% 0.53%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13

Expense & other m. Investment m. Underwriting m.

Periodic financial Information I 6M 13 Results I 2 August 2013 42

Page 44: 6M results 2013

Net result: Excluding one-offs, result fairly stable In EUR mio

In EUR mio

Non-Life Combined ratio in both Thailand & Malaysia

Inflow* fuelled by China & Thailand Life Technical liabilities* further up in non-consolidated entities In EUR bn

Asia: Headlines Pressure on profit in Life from boost in new business, Profitable organic growth in Non-Life

Periodic financial Information I 6M 13 Results I 2 August 2013 43

**

7056

510

7466

6M 12 6M 13

Life Non-Life

100.1%

94.2%

6M 12 6M 13

3,5805,431

402

424

3,981

5,855

6M 12 6M 13Life Non-Life

Result non-consolidated partnerships

6049

510

6559

6M 12 6M 13Life Non-Life

+47%

24.4 28.0

FY 12 6M 13

* Incl. non-consolidated partnerships @ 100%

in % avg technical liabilities In EUR mio

2.00%1.54%

6M 12 6M 13

Life operating margin Hong Kong

Page 45: 6M results 2013

152 171 50 56 12 13 188 184

402 424

6M 12 6M 13

3.380

5.253 200

178

3.580

5.431

6M 12 6M 13

+52%

+8%

Fire Motor

Guaranteed

Life

Non-Life In EUR mio

In EUR mio

Unit-Linked

Asia: Inflow @ 100% Strong growth new business, boosted by very successful sales campaigns

Accident & Health

Other

Periodic financial Information I 6M 13 Results I 2 August 2013 44

Life Hong Kong, +12%, Strong 22% APE growth, with both agency & IFA channel

contributing

China, +69%, 48% of inflow from regular business, new business bank channel up 150% after extraordinarily successful campaign; sales agency channel up 134% thanks to expanding number of agents & successful regular business campaign

Malaysia, +1%, New business premiums & renewal premiums stable

Thailand, +30%, New business premiums up 39%; particular strong performance in bank channel

India, +9%, Despite continued difficult regulatory environment, new business up almost 30% in bank channel

Technical liabilities

End-of-period technical liabilities:

Hong Kong : EUR 1.9 bn, up 4%

Including non-consolidated JVs @ 100%: EUR 28.0 bn, up 15%

Average technical liabilities growth in line with excellent sales performance over last 2 years

Non-Life Malaysia, +1%, Growth in high-retention lines Motor & Household, offset by

lower premiums in Marine, Aviation & Transport

Thailand, +21%, Concentrated in Motor business. Household & Personal Accident business also showed good growth

Page 46: 6M results 2013

Hong Kong Life operating margin per product line Improved margin due to organic growth & higher investment income Guaranteed: improving expense & investment margin Unit-linked: pressure on margin from new business growth

Periodic financial Information I 6M 13 Results I 2 August 2013

Avg techn liabilities Avg techn liabilities

Underwriting margin improved following organic growth Expense & Other margin deteriorated in 6M 13 following

new business growth & change in product mix. 6M 12 expense margin included EUR 4 mio positive non-recurring adjustment.

Underwriting margin deteriorated in 6M 13 due to higher reinsurance costs & better persistency

Investment margin improved as result of higher net income from larger bond portfolio & some realised capital gains

Expense & Other margin improved due to organic growth

(0.15%)(0.71%)

(0.15%) (0.42%) (0.57%) (0.91%) (0.82%)(0.33%)

3.62%

(0.57%)

(0.11%)(0.16%)

0.04%

(0.52%)

1.00%

(0.90%)

1.30%

3.52%2.52% 2.66% 2.90% 2.87%

2.73%

3.11%

4.77%

2.24%

2.26% 2.05%2.38% 1.40%

2.92%1.92%

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

→ new calculation methodology

1.0 1.1 1.3 1.2 1.3 1.2 1.3 1.3

3.11%

1.75% 2.14% 2.43% 2.65% 2.38% 2.68% 2.61%

(0.06%) (0.14%)

(2.40%)(3.21%)

(0.95%) (0.57%)

(3.12%)(2.19%) (2.46%)

(3.77%)

0.70%

(1.47%)1.19% 1.86% (0.53%) 0.19% 0.22% (1.30%)

2010 2011 2012 6M 12 6M 13 Q2 12 Q1 13 Q2 13Expense & other m. Investment m. Underwriting m.

→ new calculation methodology

0.3 0.4 0.5 0.4 0.6 0.4 0.6 0.6

45

Page 47: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance Activities

Investment portfolio

General Account

General Information

Page 48: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013 47

Investment portfolio Value of portfolio down on UG/L in fixed income, increased allocation to equities In EUR bn

* All assets at fair value except the ‘Held to Maturity’ assets & loans which are valued at amortized costs

Sovereign bonds 34.7

Sovereign bonds 34.2

Corporate bonds 25.1

Corporate bonds 24.9

Structured 0.3

Structured 0.4

Loans6.3

Loans6.3

Equities 2.4 Equities 2.8

Real Estate 4.7

Real Estate 4.6

Cash 2.4 Cash 2.375.9 75.5

FY 12 6M 13

Asset mix

Asset mix relatively stable

Increased positions in equities at the expense of cash & sovereigns continued in Q2

4th infrastructure project realised through partnership with Natixis

Gross unrealized gains/losses on Available for Sale

Total portfolio: down to EUR 3.8 bn (EUR 5.4 bn FY 12); exclusively down in fixed income

Fixed income: at EUR 3.6 bn (EUR 5.2 bn FY 12) Sovereigns at EUR 2.3 bn (vs. EUR 3.3 bn) Corporates at EUR 1.3 bn (vs. EUR 1.8 bn)

Equities: stable at EUR 0.2 bn

Real Estate: stable at EUR 1.3 bn - not reflected in equity

EUR 0.9 bn unrealized gains/losses on Held to Maturity not reflected in equity

Page 49: 6M results 2013

18.4 18.2

4.8 5.0

3.3 3.42.9 2.71.4 1.20.7 0.53.2 3.1

34.7 34.2

FY 12 6M 13

Others

The Netherlands

Germany

Austria

SE Sovereigns

France

Belgium

In EUR bn

Gross UG/L at EUR 2.3 bn (vs. EUR 3.3 bn) 96% investment grade; 88% rated A or higher Exposure on SE sovereigns at amortized cost, after

impairments & @ Ageas’s part at EUR 2.1 bn; stable on FY 12 Maturity sovereign bond portfolio unchanged & close to

maturity liabilities , limited interest rate sensitivity

Sovereign bond portfolio*

* All assets at fair value except the ‘Held to Maturity’ assets & loans which are valued at amortized costs

Sovereign & Corporate bond portfolio Value fixed income portfolio heavily impacted by evolution unrealized gains

Periodic financial Information I 6M 13 Results I 2 August 2013 48

Gross UG/L at EUR 1.3 bn (vs. EUR 1.8 bn) Priority to investment grade industrials has led

to increased share in corporate bond portfolio over 6M 13 of 40% (vs. 37% FY 12)

Credit quality remains very good with 94% investment grade; 74% rated A or higher

Corporate bond portfolio*

6.1 5.5

1.9 2.0

9.3 9.9

7.8 7.4

25.1 24.9

FY 12 6M 13

Government related

Non Financials

Other financials

Banking

Page 50: 6M results 2013

In EUR bn

* All assets at fair value except the ‘Held to Maturity’ assets & loans which are valued at amortized costs

Loan portfolio (customers + banks)*

Loan & Equity portfolio More loans with region guarantee

2.6 2.3

0.10.10.10.1

1.51.5

2.0 2.3

6.3 6.3

FY 12 6M 13

Other

Mortgages

Infrastructure

Real Estate

Loans to banks

Increase in other: long term loans to regional agencies (Belgium) benefiting from explicit guarantee by the region

Loans to banks down: priority to long-term secured loans

Infrastructure loans: since start collaboration with Natixis 4 projects realized (highway, railroad, prison & airport) for total amount of EUR 0.2 bn (of which EUR 0.1 bn already financed).

Periodic financial Information I 6M 13 Results I 2 August 2013 49

Equity portfolio*

Gross UG/L stable at EUR 0.2 bn

1.2 1.4

0.10.1

0.70.7

0.40.72.4

2.9

FY 12 6M 13

Mixed funds & others

Real Estate funds

Equity funds

Equities

Page 51: 6M results 2013

Real estate portfolio

10/03/2010

Gross UG/L stable at EUR 1.3 bn (not reflected in net equity)

Real Estate exposure mainly in Belgium (+/- 70%)

1.5 1.4

1.1 1.1

1.3 1.4

0.6 0.4

0.3 0.3

4.7 4.6

FY 12 6M 13

InvestmentWarehouses

RE Development

Investment Retail

Car Parks

Investment Offices

In EUR bn

Real Estate portfolio*

Periodic financial Information I 6M 13 Results I 2 August 2013 50 * All assets at fair value except the ‘Held to Maturity’ assets & loans which are valued at amortized costs

Page 52: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance Activities

Investment portfolio

General Account

General Information

Page 53: 6M results 2013

Net result driven by transactions on RPI & Call option In EUR mio In EUR mio

Main elements balance sheet: P&L impact transaction on RPI & Call option mainly in Q1

227% 210% 207%

General Account: Headlines Result & net cash driven by transaction RPI & Call option

Periodic financial Information I 6M 13 Results I 2 August 2013 52

**

Net cash position: cash on transactions partly in

2

143

6M 12 6M 13

1.2

2.1

FY 12 6M 13

In EUR bn

In EUR mio

(165) (171)

234

872

241

FY 12 6M 13RPN(i) Call Option RPI

8 8

15 12

2320

6M 12 6M 13Staff Op & admin

Operating costs further down

In EUR mio

232

42

142

(90)

Q1 Q2RPI Call Option

* Subject to absence of any creditor’s claim

net cash further influenced in H2 2013 by remaining cash RPI transaction coming in

(plus ≈EUR 200 mio) announced EUR 1 capital reduction

(minus ≈EUR 230 mio): 16/09 shareholders’ meeting 10/12 ex-date 13/12 payment date*

announced share buy-back (minus EUR 200 mio)

Page 54: 6M results 2013

143

232

42

(90) (6) (8)(11)

(17)

RPI / Q1 Call option /Q1

RPI / Q2 Reval RPN(i) Staff exp. Op.& admin.exp.

Investment &InterestResult*

GeneralAccount

General Account: components of Net result 6M result driven by Q1 transactions on legacy items In EUR mio

Periodic financial Information I 6M 13 Results I 2 August 2013 53 * Including Interest Margin, Other Expenses & Other Losses (Realised/Unrealised)

Q2 additional profit on RPI resulting from the final settlement, currency effects & review tax position

Non-cash charge of increasing RPN(I) liability partly driven by increasing price CASHES, partly by lower credit spread used for discounting the expected cash flows

Page 55: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013

Net cash position General Account at EUR 2.1 bn Up in Q2 on transactions regarding RPI & BNPP Call Option

Transactions RPI & BNPP Call option: expected cash inflow almost entirely received, most of remaining proceeds expected in H2 2013

EUR 1.2 per share 2012 dividend paid out in May, upstream from operating companies more than compensating 2012 dividend & 2012 corporate center costs

Expected cash out of EUR 0.4 bn in the coming months related to capital reduction & share buy-back

54

6881,216

2,055340

827

144

(≈234)

(68) (77)(270)

(57)(≈200)≈213

FY 11 FY 12 buy-back capitalinjection

TPL

paiddividend

upstreamopco's

RPI calloption

other 6M 13

RPI transaction share buy-back capital reduction

In EUR bn

announced cash movements

Page 56: 6M results 2013

Periodic financial Information I 6M 13 Results I 2 August 2013 55

Net cash equally spent over 3 alternative uses Balanced use of cash since 2009

Invest in Businesses

Organic growth Selective acquisitions Create new partnerships

Return to debtholders Redemption of Debt (EMTN)

Return to shareholders Dividend payment Share buy-back

May 2009 – August 2013:

+/- EUR 1.0 bn +/- EUR 600 mio UK (Tesco, KFIS,

Castle Cover, Groupama) +/- EUR 200 mio CEU (Italy, Turkey) +/- EUR 200 mio Asia (India, HK,

China)

+/- EUR 1.3 bn +/- EUR 900 mio cash dividend over

2009, ’10, ’11 & 2012 EUR 450 mio share buy-backs

finalized early 2012 & 2013

+/- EUR 0.8 bn redemption in EMTN

+/- EUR 0.4 bn EUR 1.0 proceeds of BNP Call

Option & RPI EUR 200 mio share buy-back

announced 02/08/13

Page 57: 6M results 2013

Up to EUR 200 mio of its outstanding common stock Buy-back launched as of 12 August 2013 For a period ending at 5 August 2014 Independent broker mandated to execute Through open market purchases on NYSE Euronext Brussels

Shares to be held as treasury shares until formal approval of cancellation No impact on solvency position of Insurance activities

Ageas announces share buy-back 3rd consecutive share buy-back illustrating disciplined capital management

29 June 12 Cancellation bought-back shares (7.3% of total outstanding) effective

6 August 12 Ageas announces EUR 200 mio share buy-back

24 August 11 Ageas announces EUR 250 mio share buy-back

24 April 13 Cancellation bought-back shares (3.8% of total outstanding) effective

27 April 13 Ageas announces agreement on RPI & BNPP Call Option EUR 1.0 capital reduction

2 August 13 Ageas announces EUR 200 mio share buy-back

Periodic financial Information I 6M 13 Results I 2 August 2013 56

Page 58: 6M results 2013

February 11 Claim re FRESH hybrid instrument dismissed by Brussels Court

Judgments received in various legal procedures No major new elements in 6M 13

Sep- Dec 10 Ageas starts legal procedure against Dutch State & ABN AMRO to obtain compensation in return for conversion MCS (Mandatory Convertible Securities) into Ageas’ shares

Timing and (financial) outcome remains hard to estimate Most civil proceedings still at the stage of first instance Possible decisions 2013:

- Administrative proceedings AFM I (info June 2008) & AFM II (info Sep 2007) - total amount of fines: EUR 864.000

- Dutch Supreme Court re mismanagement (ondernemingskamer) - no direct financial consequences

- Court of Appeal Amsterdam in Stichting FortisEffect case - first instance in favour of Ageas

May 11 - Claim VEB/Deminor

& FortisEffect dismissed by Amsterdam Court

- Rotterdam court confirmed fine AFM I, appeal filed

Initi

ated

by

Age

as

Act

ions

aga

inst

Age

as

February 12 BNP P tender for CASHES & subsequent conversion into Ageas shares – partial settlement of RPN/RPN(I) – call Fortis Bank Tier 1 Debt Securities

February 12 - Rotterdam court

confirmed fine AFM II, appeal filed

- Utrecht court re communication Q2 2008 in favour of plaintiffs, appeal filed

March 12 Brussels Commercial Court rules in favour of Ageas in MCS-case, appeal filed

2011 2012 2009... 2010 ...

April 12 Ondernemingskamer Amsterdam re mismanagement mainly in favour of plaintiffs, appeal filed

June 12 Agreement with ABN AMRO to settle legal proceedings concerning FCC & MCS, closing all outstanding disputes with Dutch State

2013

June 13 Fine imposed by FSMA, appeal filed

Periodic financial Information I 6M 13 Results I 2 August 2013 57

Page 59: 6M results 2013

Legal proceedings Managed in interest of shareholders

Administrative proceedings

AFM fine imposed 05/02/10 re price sensitive info June 08

AFM 2nd fine imposed 19/08/10 re price sensitive information Sep 07

Appeal filed against both before The Hague “College van Beroep voor het bedrijfsleven”; proceedings ongoing

FSMA re communication in Q2 2008 Appeal filed before Court of Appeal

Criminal procedure Public prosecutor requests referral of 7 individuals

Enterprise Court (Ondernemingskamer)

At request of VEB re 2007-2008 Report June 10; Judgment 05/04/12 re mismanagement, mainly in favour plaintiffs. Appeal before Supreme Court

Civil Lawsuits

Amsterdam - VEB re alleged miscommunication 2007-08 against Ageas, former directors/executives & banks

Amsterdam - Stichting FortisEffect, re sale of Dutch activities against Dutch State & Ageas

Proceedings ongoing

Judgement in favour of Ageas; appeal filed by Stichting FortisEffect before Court of Appeal

Utrecht - Stichting Investor Claims Against Fortis re alleged miscommunication 2007-08 against Ageas & 2 financial institutions

Utrecht - 2nd case by Stichting on behalf of certain shareholders for damages from same defendants & certain former directors/executives

Proceedings ongoing

Proceedings initiated in August 2012 ; at present unclear whether both actions will be joined

Arnhem - Mr.Bos, re alleged miscommunication May June 2008 Appeal filed before Arnhem Court of Appeal

Brussels - Modrikamen, re Sep/Oct 2008 transactions

Brussels - Deminor, re alleged miscommunication 2007 - 08 Brussels - Fortis shareholder re 2007 rights issue Brussels – Arnauts, re alleged miscommunication 2007 – 08

Court of Appeal confirmed no competence on Dutch defendants / Pleadings on the merits scheduled H1 2014

Proceedings ongoing Proceedings ongoing Initiated 29 April 2013

Financial instruments

Brussels Court of Appeal - MCS-holders contesting validity of conversion Judgment Brussels court 23/03/12 in favour of Ageas; Appeal by certain MCS-holders; no judgment before 2015

Periodic financial Information I 6M 13 Results I 2 August 2013 58

Situation 30 June 2013

Page 60: 6M results 2013

Main characteristics Hybrids Hybrone partly tendered, NITCH II reimbursed & NITSH II call announced

EUR mio Ageas

Ageasfinlux Fresh

Ageas Hybrid Financing Hybrone

Ageas Hybrid Financing

Nitsh I Direct issue FBB, 2004 CASHES

% 3m EUR + 135 bp 5.125% 8.25% 4.625% 3m EUR +200 bp Amount

outstanding 1,250 336 USD 750 1,000 1,110

ISIN XS0147484074 XS0257650019 XS0346793713 BE0119806116 BE0933899800

Call date Undated exchange,

strike 315.0, mandatory 472.5

Jun/2016 Step up to 3M Euribor +200

Aug/2013 No step up

Oct/2014 Step up to 3M Euribor+170

Undated exchange, strike 239.4, mandatory 359.1

ACSM YES YES YES YES YES

Dividend pusher YES YES YES YES NO

Dividend stopper NO YES YES YES YES

Trigger < 0.5% dividend trigger Liabilities > asset Liabilities > asset <8% CAD <0.5% Dividend

Other 336 on lent to AG Insurance

USD 750 on lent to FBB

No stock settlement feature

Coupon served by FBB, trigger ACSM linked to

Ageas dividend

Market Price (30/06/13) 51.24 96.97 100 97.5 56.17

Fortis Bank (now BNP Paribas)

Periodic financial Information I 6M 13 Results I 2 August 2013 59

PR 03/06/13: call &

redemption announced

Page 61: 6M results 2013

Executive summary

Annexes

Equity / Solvency

Insurance Activities

Investment portfolio

General Account

General Information

Page 62: 6M results 2013

situation 31/12/2011 situation 31/12/2012 situation 01/08/2013

Total Issued Shares 2,623,380,817 243,121,272 233,955,818

Shares not entitled to dividend and voting right 340,160,729 15,886,832 9,627,960

1. TREASURY SHARES Share buy-back 175,163,656 7,056,442 469,705FRESH 39,682,540 3,968,254 3,968,254Other treasury shares 1,250 218,232 546,097

2. CASHES 125,313,283 4,643,904 4,643,904

Shares entitled to dividend and voting rights 2,283,220,088 227,234,440 224,327,858

Total Issued Shares diminished with the 9,635,159 shares acquired through the Buy-back programmeup to 15 February 2013 & cancellation granted at the shareholders' meetings.

Following the reverse stock split the number of shares at 31/12/2011has been divided by 10, effective as at 7 August 2012.

Cancellation bought back shares

Agreement with BNP in February

Periodic financial Information I 6M 13 Results I 2 August 2013 61

Total number of outstanding shares Bought back shares cancelled following approval AGM April 2013

Cancellation bought back shares

Page 63: 6M results 2013

Shareholders structure Based on number of shares as at 01 August 2013

Ageas2.13%

Ping An 5.17%

BlackRock, Inc.5.01%

Franklin Mutual Advisers3.13%

Norges Bank

BNPP & Fortis Bank Identified retail

investors16%

Identified institutional investors

39%

Other investors23%

Ageas Based upon press release 18 February 2013Ping An Based upon the number of shares mentioned in the notification received 6 May 2013

Franklin Mutual Advisers Based upon the number of shares mentioned in the notification received 8 April 2013BlackRock, Inc. Based upon the number of shares mentioned in the notification received 22 July 2013

Norges Bank Based upon the number of shares mentioned in the notification received 20 August 2012BNP P & Fortis Bank Based upon BNP Paribas notification 01 October 2012

Benelux Retail shareholders Estimate byIdentified institutional investors Estimate by

Periodic financial Information I 6M 13 Results I 2 August 2013 62

Page 64: 6M results 2013

2 August 6M 2013 results

6 November 9M 2013 results

Periodic financial Information I 6M 13 Results I 2 August 2013 63

16 September Extraordinary shareholders’ meeting - Brussels

10 December Ex date

13 December Payment capital reduction*

Financial calendar 2013 - 2014 Extraordinary shareholders’ meeting in September re EUR 1 distribution

* Subject to absence of any creditor’s claim

19 February Annual results 2013

14 May 3M 2014 results

30 April Ordinary & Extraordinary shareholders’ meeting - Brussels

5 May Ex date

19 March Annual report 2013

13 May Payment 2013 dividend

6 August 6M 2014 results

5 November 9M 2014 results

Page 65: 6M results 2013

Rating

Periodic financial Information I 6M 13 Results I 2 August 2013 64

S&P MOODY'S FITCH

Operating entities AG Insurance (Belgium)Insurance Financial Strength A- / stable A2 / negative* A+ / stableLast change 05/07/13 26/07/12 29/05/13

Millenniumbcp Ageas (Portugal)Insurance Financial Strength BB / negative BBB- / negativeLast change 10/07/13 09/07/13

Ageas Insurance Co. (Asia)Insurance Financial Strength Baa1 / stable A / stableLast change 16/01/13 26/03/13

Muang Thai LifeInsurance Financial Strength BBB+ / stable BBB+ / stableLast change 29/12/10 16/12/10

Etiqa Insurance Berhad (Malaysia)Insurance Financial Strength A / stableLast change 26/09/11

Holdings ageas SA/NVLong-term BBB- / A-3 Baa3 / P-3 * BBB+ / F2Outlook stable negative stableLast change 05/07/13 26/07/12 14/12/12

Page 66: 6M results 2013

Disclaimer

Certain of the statements contained herein are statements of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. Future actual results, performance or events may differ materially from those in such statements due to, without limitation, (i) general economic conditions, including in particular economic conditions in Ageas’s core markets, (ii) performance of financial markets, (iii) the frequency and severity of insured loss events, (iv) mortality and morbidity levels and trends, (v) persistency levels, (vi) interest rate levels, (vii) currency exchange rates, (viii) increasing levels of competition, (ix) changes in laws and regulations, including monetary convergence and the Economic and Monetary Union, (x) changes in the policies of central banks and/or foreign governments and (xi) general competitive factors, in each case on a global, regional and/or national basis. In addition, the financial information contained in this presentation, including the pro forma information contained herein, is unaudited and is provided for illustrative purposes only. It does not purport to be indicative of what the actual results of operations or financial condition of Ageas and its subsidiaries would have been had these events occurred or transactions been consummated on or as of the dates indicated, nor does it purport to be indicative of the results of operations or financial condition that may be achieved in the future.

Periodic financial Information I 6M 13 Results I 2 August 2013 65

Page 67: 6M results 2013

Investor Relations

Tel: E-mail: Website:

+ 32 2 557 57 34 [email protected] www.ageas.com

Investor Relations

Periodic financial Information I 6M 13 Results I 2 August 2013 66


Recommended