2. Strong Q3 in Life & Non-Life
Group net result driven by Insurance – Q3 positive on RPN(i)
Shareholders equity up to almost EUR 10 bn
Insurance net profit of EUR 579 mio (+16%) – Q3 EUR 239 mio
Inflow @ 100% of EUR 19.5 bn (+10%) – Q3 EUR 5.7 bn
Non-Life Combined ratio at 99.6% (vs.97.0%) – Q3 at 94.8%
Life Operating margin at 84 bps (vs.80 bps) – Q3 at 82 bps
Life Technical Liabilities at EUR 72.7 bn* (+5% vs. FY 13)
Group net profit of EUR 282 mio (-45%) – Q3 EUR 251 mio
General Account net result of EUR (297) mio – Q3 EUR 12 mio
Shareholders’ equity at EUR 9.9 bn or EUR 44.75 per share - UG/L up to EUR 2.6 bn, EUR 11.28 per share
Insurance solvency at 214%, Group solvency at 206%
Net cash position General Account at EUR 1.5 bn
Main messages
Ageas posts strong 9M Insurance results
Periodic financial Information I 9M 14 Results I 5 November 2014
1
* Consolidated entities only
3. 12 26
9M 13 9M 14
Other Life Non-Life
3 20
55
63
Q3 13 Q3 14
4.5
4.6
9M 13 9M 14
Life Non-Life
3.8 4.2
1.4
1.5
5.3 5.7
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
Net result: Q3 supported by cap
gains & legal settlement in UK
In EUR mio In EUR bn
Non-Life combined ratio: recovering
from floods & storms, solid Q3
Inflow*: strong growth in Asia & CEU
In EUR bn
Total Insurance: Headlines
Strong 9M results – Excellent Q3
Periodic financial Information I 9M 14 Results I 5 November 2014 2
Life Technical liabilities up both in
conso & non conso
Operating margin Guaranteed: strong
margin in Belgium
Operating margin Unit-Linked: lower
fee income in Portugal
In % avg technical liabilities In % avg technical liabilities
311 442
110 156
174
112
497
579
168
239
13.3 14.8
17.8
19.5
97.0% 99.6% 97.3% 94.8% 0.87% 0.98% 0.85% 0.96%
0.47%
0.20%
0.56%
0.22%
* incl. non-consolidated partnerships @ 100%
In % NEP
69.2 72.0 72.7
40.9
41.8 50.0
FY 13 6M 14 9M 14
Conso Non-conso
110.1 113.8
122.7
4. 9M 13 9M 14 9M 13 9M 14
Periodic financial Information I 9M 14 Results I 5 November 2014 3
In EUR mio In EUR bn In EUR bn
Belgium : Headlines
Strong 9M performance, Q3 incl. cap gain on RE transactions
In % avg technical liabilities In % avg technical liabilities
39
9M 13 9M 14
Life Non-Life
68
95
19
33
Q3 13 Q3 14
3.0 2.9
1.4 1.5
4.4 4.4
9M 13 9M 14
Life Non-Life
0.9 0.8
0.4 0.4
1.3 1.3
Q3 13 Q3 14
Q3 13 Q3 14
In % NEP
Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
97.6% 101.9% 97.9% 94.4%
0.40%
0.51%
0.32%
0.44%
0.84% 0.98% 0.85% 0.98%
190
282
57
247
321
87
* incl. non-consolidated partnerships @ 100%
129
53.2 55.5 56.1
FY 13 6M 14 9M 14
Net result: solid Q3 strong Non-Life &
supported by RE (EUR 59 mio)
Inflows stable. Trend similar to
previous quarters
Life Technical liabilities: mostly up
on UG/L
Operating margin Guaranteed:
above target; mainly RE cap gains
Non-Life combined ratio: recovering
from June hailstorm; excellent Q3
Operating margin Unit-Linked:
recovery to 0.32% from a low Q2
5. 9M 13 9M 14
In EUR mio
United Kingdom: Headlines
Continued strong recovery in Q2 & Q3
Periodic financial Information I 9M 14 Results I 5 November 2014
(2) 2
12
26
77
52
87
80
9M 13 9M 14
Life Other Non-Life
Q3 13 Q3 14
96.9% 99.3%
98.0% 96.6%
In EUR bn
In % NEP
In EUR mio
0.1 0.1
1.7 1.7
1.7 1.8
9M 13 9M 14
Life Non-Life
0.0 0.0
0.6 0.6
0.6 0.6
Q3 13 Q3 14
9M 13 9M 14
59
81
Q3 13 Q3 14
181 209
* incl. non-consolidated partnerships @ 100%
(0) 1
3
20
26
29 27
48
Q3 13 Q3 14
4
Net result: Legal settlement (EUR 23 mio)
helps offset weather impact (EUR 36 mio)
Inflows* up 6%, flat excluding FX
Non-Life combined ratio: below 100%
after solid Q2 & Q3
Other Income: incl. legal settlement
6. Net profit declined due to strengthening
reserves in Turkey vs one-off in 9M 13
In EUR mio In EUR bn
Excellent Non-Life combined ratio further
improved in A&H and Motor
227%
Inflows*: strong sales in Luxembourg
In EUR bn
Continental Europe: Headlines
Lower result in Turkey drives net profit CEU down
**
Operating margin Guaranteed: lower U/W
& investment margin
Periodic financial Information I 9M 14 Results I 5 November 2014 5
In % avg technical liabilities
Operating margin Unit-Linked: lower fee
income in Portugal
In % avg technical liabilities
36 35
26
8
63
43
9M 13 9M 14
Life Non-Life
11
7
6
17
5
Q3 13 Q3 14
2.9
3.5
0.8
0.8
3.7
4.3
9M 13 9M 14
Life Non-Life
1.0 1.2
0.2
0.2
1.3
1.5
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
94.5% 90.7%
92.4% 89.3%
0.89% 0.69% 0.79% 0.46%
0.56%
0.11%
0.64%
In % NEP
* incl. non-consolidated partnerships @ 100%
13.9 14.2 14.2
15.0 15.9 16.9
28.9 30.1 31.1
FY 13 6M 14 9M 14
Conso Non-conso
(0.01%)
Life Technical liabilities up 7% driven
by Luxembourg
7. 14
12
9M 13 9M 14
Life Non-Life
14
12
9M 13 9M 14
Life Non-Life
Net result: business growth & good
financial performance
In EUR mio In EUR bn
Non-Life combined ratio improved
reflecting solid underwriting
Inflow growth fuelled by China &
Thailand
Life Technical liabilities up
across all entities
In EUR bn
Asia: Headlines
Strong profits supported by new business growth Life
Periodic financial Information I 9M 14 Results I 5 November 2014 6
**
In % avg technical liabilities In EUR mio
Life operating margin Hong Kong:
up on increased investment margin
Result non-conso partnerships:new
business growth & financial result
7.3
8.4
0.6
0.6
7.9 9.0
9M 13 9M 14
Life Non-Life
1.9 2.1
0.2
2.1 0.2
2.3
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
94.8%
89.9%
95.9%
91.4%
1.41% 1.73%
1.22%
2.20%
87 123
101
135
79 111
93
123
In % NEP
* incl. non-consolidated partnerships @ 100%
30
47
4
4
34
51
Q3 13 Q3 14
31
53
4
4
35
57
Q3 13 Q3 14
2.0 2.1 2.3
25.9
29.6
33.1
27.9
31.7
35.4
FY 13 6M 14 9M 14
Conso Non-conso
8. 9M 13 9M 14
Q3 13 Q3 14
Q3 13 Q3 14
Net result driven by revaluation
RPN(i), positive in Q3
In EUR mio
Accounting value of remaining
legacies
General Account: Headlines
Impacted by revaluation RPN(i) liability & legal provision
Periodic financial Information I 9M 14 Results I 5 November 2014 7
Accounting value put option
In EUR mio
In EUR mio
9M 13 9M 14
1.9
1.6 1.5
FY 13 6M 14 9M 14
(297)
RPN(i): positive in Q3 following
lower price CASHES
Staff & Operating expenses down
Net cash position: decrease driven
by distribution to shareholders
13 14
20 16
33 31
9M 13 9M 14
Staff Operating
In EUR mio
In EUR mio
In EUR bn
(370)
(527) (494)
37 29 30
(130)
(130)
FY 13 6M 14 9M 14
RPN(i) RPI FortisEffect
5 5
8
5
13
10
Q3 13 Q3 14
(124)
(108)
33
1,255 1,282
1,443
FY 13 6M 14 9M 14
15
(127) 12
(114)
9. Strong operational & financial performance in Q3
Shareholders’ equity historically high due to low i-rate environment
Diligent execution of share buy-back
Conclusions: positive trend continued
Periodic financial Information I 9M 14 Results I 5 November 2014
8
10. Annexes
Equity / Solvency
Insurance Activities
Investment portfolio
General Account
General Information
11. Periodic financial Information I 9M 14 Results I 5 November 2014
10
Key financials Strong third quarter driven by operating & financial results
In EUR mio9M 139M 14Q3 13Q3 14Gross inflows17,76719,46610%5,2705,6768% - of which inflows from non-consolidated partnerships9,96311,74818%2,7313,27820% Net result Insurance49757916%16823942% By segment: - Belgium24732130%8712947% - UK8780(8%)294866% - Continental Europe6343(32%)175(68%) - Asia10113534%355762% By type: - Life31144242%11015642% - Non-Life174112(36%)556313% - Other1226119%320579% Net result General Account15(297)-(127)12- Net result Ageas513282(45%)41251511% Earnings per share (in EUR) 2.241.26(44%) FY 139M 14Insurance Solvency207%214% Shareholders' equity8,5259,90016% Net equity per share (in EUR) 37.6544.75Insurance ROE8.3%9.1% Insurance ROE excl.UG/L10.4%11.8%
12. Periodic financial Information I 9M 14 Results I 5 November 2014 11
Shareholders’ equity roll forward
Unrealized gains further up to EUR 2.6 bn or EUR 11.28 per share
In EUR mio
6,206 6,333 6,750
1,939 1,280
2,590
1,655
912
579 560
1,311
121 275
(297)
(308) (157) (63)
(72) (13)
EUR 37.65 EUR 44.75
9,799
8,525
9,900
FY 12 FY 13 Result
Insurance
Result
Gen Acc
Change
UG/L
Dividend Treasury
Shares
IAS 19 Reval
put option
Forex Portugal
Non-Life
Other 9M 14
Insurance
UG/L
Insurance
UG/L
Shareholders’
equity per
segment
Shareholders’
equity per share
FY 13 9M 14 FY 13 9M 14
Belgium 3,676 ► 4,604 Asia 1,592 ► 2,262
UK 1,121 ► 1,298 Insurance 7,613 ► 9,340
Continental Europe 1,224 ► 1,176 General Account 912 ► 560
13. Periodic financial Information I 9M 14 Results I 5 November 2014
12
Tangible net equity High quality capital structure
10/03/2010
I page 12
EUR bnFY 139M 14IFRS Shareholders' Equity8.59.9Unrealised gains real estate 0.60.6Goodwill(0.7)(0.8) VOBA (Value of Business Acquired) (0.3)(0.3) DAC (Deferred Acquisition Cost) (0.9)(0.8) Other(0.4)(0.4) Goodwill, DAC, VOBA related to N-C interests 0.50.425% tax adjustment DAC, VOBA & Other0.30.3IFRS Tangible net equity 7.79.0IFRS Tangible net equity/ IFRS Shareholder's Equity90%91%
14. Periodic financial Information I 9M 14 Results I 5 November 2014 13
Insurance Solvency up on net result & positive currency evolution
General Account down on net result & share buy-back
2.5 2.5
0.4 0.5 0.6 0.6 0.6 0.7
4.0 4.2 4.0 4.2
2.0
2.4
0.5 0.6
1.0 0.7 0.7
1.1
4.3
4.8
0.3 (0.3)
4.6 4.5
4.5
4.9
0.9
1.1
1.6
1.3 1.3
1.8
8.3
9.1
8.6 8.8
FY 139M 14 FY 139M 14 FY 139M 14 FY 139M 14 FY 139M 14 FY 139M 14 FY 13 9M 14
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
Solvency ratio 183% 195% 225% 233% 271% 221% 221% 265% 207% 214% 214% 206%
* Before exptected 2014 dividends payment
*
15. Annexes
Equity / Solvency
Insurance activities
Investment portfolio
General Account
General Information
16. 12 26
9M 13 9M 14
Other Life Non-Life
3 20
55
63
Q3 13 Q3 14
4.5
4.6
9M 13 9M 14
Life Non-Life
3.8 4.2
1.4
1.5
5.3 5.7
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
Net result: Q3 supported by cap
gains & legal settlement in UK
In EUR mio In EUR bn
Non-Life combined ratio: recovering
from floods & storms, solid Q3
Inflow*: strong growth in Asia & CEU
In EUR bn
Total Insurance: Headlines
Strong 9M results – Excellent Q3
Periodic financial Information I 9M 14 Results I 5 November 2014 15
Life Technical liabilities up both in
conso & non conso
Operating margin Guaranteed: strong
margin in Belgium
Operating margin Unit-Linked: lower
fee income in Portugal
In % avg technical liabilities In % avg technical liabilities
311 442
110 156
174
112
497
579
168
239
13.3 14.8
17.8
19.5
97.0% 99.6% 97.3% 94.8% 0.87% 0.98% 0.85% 0.96%
0.47%
0.20%
0.56%
0.22%
* incl. non-consolidated partnerships @ 100%
In % NEP
69.2 72.0 72.7
40.9
41.8 50.0
FY 13 6M 14 9M 14
Conso Non-conso
110.1 113.8
122.7
18. Belgium
UK
CEU
Asia
Total Ageas
Life Non-Life Life Non-Life Life Non-Life Life Non-Life Life Non-Life
Inflow @ Ageas’s part Strong growth in emerging markets, hampered by FX impact
In EUR mio
Periodic financial Information I 9M 14 Results I 5 November 2014
17
2,247 2,181 79 100 1,330 1,511 2,178 2,443 5,834 6,234 1,069 1,096 1,470 1,540 301 338 159 158 2,999 3,132 (1%) 6% 13% 11% 6% 3,316 3,276 1,549 1,640 1,630 1,849 2,337 2,601 8,833 9,366 9M 139M 149M 139M 149M 139M 149M 139M 149M 139M 14
19. Insurance net result
Further up despite negative FX impact, all segments up except UK
Belgium
UK
CEU
Asia
Total Ageas
Life Non-Life
Life Non-Life Other
Life Non-Life
Life Non-Life
Life Non-Life Other
12 26 12 26
190
282
(2)
2
36 35
87
123
311
442
57
39
77 52 26
8
14
12
174
112
247
321
87 80
63
43
101
135
497
579
9M 13 9M 14 9M 13 9M 14 9M 13 9M 14 9M 13 9M 14 9M 13 9M 14
In EUR mio
Periodic financial Information I 9M 14 Results I 5 November 2014 18
20. EUR mio 9M 13 9M 14
Life 29 114
Non-Life 6 14
Total Belgium 35 127
Life
Non-Life 6 4
Other
Total UK 6 4
Life 5 6
Non-Life (0) (0)
Total CEU 5 6
Life 25 36
Non-Life 3 2
Total Asia 28 38
Life 59 155
Non-Life 15 19
Other
Total Ageas 75 175
10/03/2010 I page 19
Overview of net capital gains* on investments
Large impact of net capital gains on net result
Periodic financial Information I 9M 14 Results I 5 November 2014 19
Large cap gain on a real estate transaction in Q3
on top of cap gains on bonds & equities in H1
Cap gains on equities benefiting from favourable
market conditions
* Net capital gains include capital gains, impairment & linked changes in profit sharing, net of tax & @ ageas’s part
21. Periodic financial Information I 9M 14 Results I 5 November 2014 20
Insurance Combined ratio
Strong Q3 pushes 9M combined ratio below 100%
Net earned premium in EUR mio
Combined ratio at 99.6% vs. 97.0%
Benefitting from solid underwriting in Q3
Negative impact storms & floods (Q1 UK & Q2
BE) fading out over the year; 3.1% remaining
All major business lines dropped well below
100% - weak performance in Other lines
Q3 Combined ratio at 94.8% vs. 97.3%
Claims ratio at 64.3% vs. 62.6%
Storms & floods in UK & BE – TPL in BE –
Other lines in BE & CEU
CY claims ratio (68.1% vs. 66.2%)
PY claims ratio fairly stable : release of 3.8%
(vs. 3.6%)
Expense ratio at 35.3% vs. 34.4%
Costs of business development & integration
69.4% 73.2% 69.0% 68.1% 64.3% 62.6% 64.3% 63.4% 59.8%
33.1%
32.8%
31.1% 31.0% 34.0% 34.4% 35.3% 33.9%
35.0%
102.5%
106.0%
100.1% 99.1% 98.3% 97.0% 99.6% 97.3% 94.8%
(6.0%)
(3.7%) (3.5%) (3.1%) (3.8%) (3.6%) (3.8%) (1.9%) (4.0%)
2009 2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
claims ratio expense ratio PY claims ratio
2,497 2,858 3,507 4,178 3,749 2,789 2,857 944 978
23. Insurance Life operating margin per product line
Margins in Guaranteed above target, UL staying behind
Guaranteed: driven by investment margin Unit-linked: decrease driven by one-offs Hong Kong
Average technical liabilities Average technical liabilities
Underwriting margin down in BE & Hong
Kong
Expense & other margin decrease related to
lower fee income in Portugal
Investment margin including large cap gains in BE &
Hong Kong
Underwriting margin impacted by lower risk margin in
BE & Hong Kong
Expense margin stable
Periodic financial Information I 9M 14 Results I 5 November 2014 22
0.44% 0.41% 0.44% 0.43% 0.43% 0.39% 0.40% 0.37%
0.67%
(0.79%)
0.87% 0.83% 0.79% 0.93% 0.81% 0.95%
(0.33%)
(0.36%)
(0.33%)(0.31%)(0.35%)(0.34%) (0.36%)(0.36%)
0.78%
(0.74%)
0.99%0.96%0.87%
0.98%
0.85%
0.96%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
0.07%
0.04%
0.11% 0.13% 0.14% 0.11% 0.14% 0.13%
0.01%
0.01%
(0.02%)
0.01%
0.27%
0.42%
0.37%
0.18%
0.33%
0.08%
0.42%
0.05%
0.35%
0.45%
0.48%
0.28%
0.47%
0.20%
0.56%
0.22%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
50.4 52.3 54.0 55.5 55.4 56.6 55.4 56.6 20.2 12.4 11.8 12.3 12.3 12.6 12.3 12.6
Expense &
Other
Investment
Underwriting
Expense &
Other
Investment
Underwriting
In EUR bn
24. 9M 13 9M 14 9M 13 9M 14
Periodic financial Information I 9M 14 Results I 5 November 2014 23
In EUR mio In EUR bn In EUR bn
Belgium : Headlines
Strong 9M performance, Q3 incl. cap gain on RE transactions
In % avg technical liabilities In % avg technical liabilities
39
9M 13 9M 14
Life Non-Life
68
95
19
33
Q3 13 Q3 14
3.0 2.9
1.4 1.5
4.4 4.4
9M 13 9M 14
Life Non-Life
0.9 0.8
0.4 0.4
1.3 1.3
Q3 13 Q3 14
Q3 13 Q3 14
In % NEP
Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
97.6% 101.9% 97.9% 94.4%
0.40%
0.51%
0.32%
0.44%
0.84% 0.98% 0.85% 0.98%
190
282
57
247
321
87
* incl. non-consolidated partnerships @ 100%
129
53.2 55.5 56.1
FY 13 6M 14 9M 14
Net result: solid Q3 strong Non-Life &
supported by RE (EUR 59 mio)
Inflows stable. Trend similar to
previous quarters
Life Technical liabilities: mostly up
on UG/L
Operating margin Guaranteed:
above target; mainly RE cap gains
Non-Life combined ratio: recovering
from June hailstorm; excellent Q3
Operating margin Unit-Linked:
recovery to 0.32% from a low Q2
25. (3%)
Life
In EUR mio
Non-Life
In EUR mio
Unit-Linked
Guaranteed
Other
Household
Accident & Health
Motor
Periodic financial Information I 9M 14 Results I 5 November 2014 24
Belgium: Inflow @ 100%
Growth in Non-Life fully offset by lower Unit-linked sales
+2%
Life
Guaranteed interest rate in Individual Life for the second quarter in
a row reduced to 1% as from 01/09/14
Inflow in Guaranteed products grew slightly over the first nine
months of the year, but fully offset by a drop in unit linked due to
low customer appetite.
Non-Life
GWP up 2%: increased in both Bank & Broker channels & across
all product lines - higher growth compared to peers
Household (+3%): higher volume & tariff increases
Motor (+2%): driven by volume & tariff increases
Other (+8%): mainly driven by tariff increase in Legal Assistance
(VAT on lawyer fees since 2013)
Accident & Health (+1%) - Stable
2,562 2,587
434 320
2,996 2,907
9M 13 9M 14
392 394
441 451
461 474
131 142
1,425 1,461
9M 13 9M 14
26. 64.1% 68.7% 64.3% 62.7% 63.2% 60.8% 64.0% 61.5%
56.7%
36.8%
36.4%
36.8% 36.8% 36.7% 36.8%
37.9%
36.4%
37.8%
100.9%
105.1%
101.1% 99.5% 99.9% 97.6%
101.9%
97.9%
94.4%
(8.0%)
(6.6%) (7.3%)
(4.5%) (3.6%) (4.2%) (3.8%) (0.9%) (2.9%)
2009 2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
claims ratio expense ratio PY claims ratio
Periodic financial Information I 9M 14 Results I 5 November 2014 25
Belgium: Combined ratio
Excellent Q3; 9M impacted by hailstorms & Third party liability
Net earned premium in EUR mio
Combined ratio at 101.9% vs. 97.6%
9M negative impact June hailstorm of 3.8%
Weak performance in TPL (both for CY & PY) .
Q3 Combined ratio at 94.4% vs. 97.9%
Solid operating results in Household. Combined
ratio at 91.8% vs. 93.8%, better CY & PY claims
ratio
Motor at 93.6% vs. 95.3%: Excellent Q3, mainly
driven by lower CY claims ratio (decrease ≈ 4%)
Other lines at 109.4% vs. 131.7%: weak
performance mostly driven by poor results in TPL
Claims ratio at 64.0% vs. 60.8%
CY ratio (67.8% vs. 65.0%). Deterioration driven
by climatic events & TPL- H1 events
PY ratio (- 3.8% vs. -4.2%), deterioration related
to TPL offset by improvements in other branches
Expense ratio at 37.9% vs. 36.8% increased
slightly mainly in Accident & Health
1,469 1,541 1,601 1,698 1,785 1,323 1,347 451 457
28. 0.03%
(0.05%)
0.04% 0.04% 0.05% (0.01%)
0.10%
0.01%
0.64%
0.50% 0.44%
0.38% 0.39%
0.33%
0.40%
0.40%
0.66%
0.45%0.47%0.41% 0.44%
0.32%
0.51%
0.40%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
0.28% 0.32% 0.32% 0.32% 0.35% 0.30% 0.34% 0.26%
0.57%
(0.80%)
0.93% 0.88% 0.81% 0.99% 0.83% 1.04%
(0.21%)
(0.30%)
(0.29%)(0.31%)(0.32%)(0.31%) (0.32%)(0.33%)
0.64%
(0.78%)
0.96%0.89%0.84%
0.98%
0.85%
0.98%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
Belgium Life operating margin per product line
Guaranteed: solid operating margin,
above target
Unit-linked: drop due to shift towards structured UL
Avg techn liabilities Avg techn liabilities
Periodic financial Information I 9M 14 Results I 5 November 2014 27
Operating margin recovered to 0.32% from a low
0.27% in H1
Underwriting margin down: products with lower
margins due to lower customer appetite for open UL
Average Technical Liabilities increased slightly
Operating result up 20% driven by higher cap gains partly
offset by lower underwriting result (high risk result in 9M 13)
& investment margin (excl. cap gains)
Operating margin rose to 0.98% driven by cap gains
Investment margin solid @ 0.99% (vs 0.81%)
Average Technical Liabilities up 6% mainly explained by
impacts of UG/L & acquisition Fidea (EUR 0.5 bn)
40.7 42.9 44.9 46.4 46.3 47.4 46.3 47.4 6.0 5.6 5.2 5.4 5.4 5.6 5.4 5.6
Expense &
Other
Investment
Underwriting Expense &
Other
Underwriting
In EUR bn
29. 9M 13 9M 14
In EUR mio
United Kingdom: Headlines
Continued strong recovery in Q2 & Q3
Periodic financial Information I 9M 14 Results I 5 November 2014
(2) 2
12
26
77
52
87
80
9M 13 9M 14
Life Other Non-Life
Q3 13 Q3 14
96.9% 99.3%
98.0% 96.6%
In EUR bn
In % NEP
In EUR mio
0.1 0.1
1.7 1.7
1.7 1.8
9M 13 9M 14
Life Non-Life
0.0 0.0
0.6 0.6
0.6 0.6
Q3 13 Q3 14
9M 13 9M 14
59
81
Q3 13 Q3 14
181 209
* incl. non-consolidated partnerships @ 100%
(0) 1
3
20
26
29 27
48
Q3 13 Q3 14
28
Net result: Legal settlement (EUR 23 mio)
helps offset weather impact (EUR 36 mio)
Inflows* up 6%, flat excluding FX
Non-Life combined ratio: below 100%
after solid Q2 & Q3
Other Income: incl. legal settlement
30. Motor
Non-Life
Life
Other
Household
Accident & Health
Total
In EUR mio
Non-Life
In EUR mio
5%
6%
Periodic financial Information I 9M 14 Results I 5 November 2014 29
Life
Up 26%, +21% at constant FX
New business APE up 16%, as new products launched
Non-Life (including TU)
Up 5%, flat at constant FX.
Motor up 5%, flat at constant FX, due to volumes increase offset by
lower premiums
Household up 2%, but down in GBP as TU continue to maintain
pricing discipline.
Accident & Health down 13% due to exit of scheme
Other lines (including Commercial & Special Risks) up 11%. Primarily
from growth in special risks.
Other Insurance (including Retail)
YTD total income of EUR 209 mio, up 16% including a positive
contribution from a legal settlement of EUR 24 mio,
United Kingdom: Inflow @ 100%
Inflow up 6% but flat at constant FX
66 58
1,090 1,150
362
371
151
168
1,669
1,746
9M 13 9M 14
1,669 1,746
79
100
1,748
1,846
9M 13 9M 14
31. Periodic financial Information I 9M 14 Results I 5 November 2014 30
United Kingdom: Combined ratio
Below 100% reflecting excellent Q3 & Q2 offsetting weather in Q1
Net earned premium in EUR mio
834 948 1,524 2,083 1,562 1,168 1,200 393 418
Combined ratio at 99.3% vs. 96.9%
Strong Q3 in Motor & Household leading to Q3
combined ratio of 96.6%
Impact of Q1 storms & floods diminishes
Claims ratio at 65.5% vs. 64.2%
Claims ratio Weather impact reduced to 3.1%.
CY ratio (69.2% vs. 67.9%) primarily due to
adverse weather in Q1
PY ratio: (release of 3.7% vs. 3.2%) broadly in
line with 9M 13
Expense ratio at 33.8% vs. 32.7%
Increased expense ratio due to higher
commissions arising from greater business
through MGAs & DAs
Integration costs recorded in Other
80.4% 81.5%
74.6% 73.3%
65.6% 64.2% 65.5% 65.7% 63.2%
27.7% 28.0%
25.3% 26.5%
32.2% 32.7% 33.8% 32.3% 33.4%
108.1%109.5%
99.9% 99.8% 97.8% 96.9% 99.3% 98.0% 96.6%
(3.5%)
(1.1%) 0.1% (2.1%) (4.0%) (3.2%) (3.7%) (2.9%)
(5.4%)
2009 2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
claims ratio expense ratio PY claims ratio
32. 83.5%
97.9%
87.7%
78.1% 76.2% 78.1%
66.3%
26.2%
24.0%
23.2%
28.2% 34.3% 34.3%
37.2%
109.7%
121.9%
110.9% 106.3% 110.5%
112.4%
103.5%
2009 2010 2011 2012 2013 9M 13 9M 14
88.9% 82.9% 79.2% 77.2% 71.9% 72.8% 73.9%
22.8%
23.3%
19.5% 21.3% 25.0% 26.1% 25.5%
111.7%
106.2%
98.7% 98.5% 96.9% 98.9% 99.4%
2009 2010 2011 2012 2013 9M 13 9M 14
61.2%
77.4%
61.4% 62.3%
51.4% 44.1% 51.9%
38.0%
38.2%
35.3% 36.7%
42.4%
42.1%
43.2%
99.2%
115.6%
96.7% 99.0%
93.8%
86.2%
95.1%
2009 2010 2011 2012 2013 9M 13 9M 14
66.0% 75.1% 71.6% 67.7% 59.7% 57.4% 51.8%
38.1%
30.4% 39.3% 42.1%
44.5% 43.9% 53.8%
104.1% 105.5% 110.9% 109.8%
104.2% 101.3% 105.6%
2009 2010 2011 2012 2013 9M 13 9M 14
United Kingdom: Combined ratio per product line
Weather impact on loss ratio diluted by strong underlying results
Periodic financial Information I 9M 14 Results I 5 November 2014 31
53 58 65 57 79 59 55 524 532 949 1,420 907 676 709
187 248 366 434 374 279 299 69 110 143 173 202 153 136
NEP NEP
NEP NEP
not restated not restated
not restated not restated
Accident & Health: Cleansing the book has improved Motor: broadly in line with 9M 13
loss ratio
Household: adverse weather impact Q1 Other: expense ratio impacted by integration costs
33. Net profit declined due to strengthening
reserves in Turkey vs one-off in 9M 13
In EUR mio
In EUR bn
Excellent Non-Life combined ratio further
improved in all lines except Other
227%
Inflows*: strong sales in Luxembourg
In EUR bn
Continental Europe: Headlines
Lower result in Turkey drives net profit CEU down
**
Operating margin Guaranteed: lower U/W
& investment margin
Periodic financial Information I 9M 14 Results I 5 November 2014 32
In % avg technical liabilities
Operating margin Unit-Linked: lower fee
income in Portugal
In % avg technical liabilities
36 35
26
8
63
43
9M 13 9M 14
Life Non-Life
11 7
6
(2)
17
5
Q3 13 Q3 14
2.9
3.5
0.8
0.8
3.7
4.3
9M 13 9M 14
Life Non-Life
1.0 1.2
0.2
0.2
1.3
1.5
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
94.5% 90.7%
92.4% 89.3%
0.89% 0.69% 0.79% 0.46%
0.56%
0.11%
0.64%
In % NEP
* incl. non-consolidated partnerships @ 100%
13.9 14.2 14.2
15.0 15.9 16.9
28.9 30.1 31.1
FY 13 6M 14 9M 14
Conso Non-conso
(0.01%)
Life Technical liabilities up 7% driven
by Luxembourg
34. Accident & Health
Motor
Unit-Linked
Guaranteed
+21%
Other
Household
Life
In EUR mio
Non-Life
In EUR mio
Continental Europe: Inflow @ 100% Growth driven by Luxembourg
+1%
Periodic financial Information I 9M 14 Results I 5 November 2014
33
Life
Consolidated inflow down 10%
Portugal: -13% as higher volumes in saving products could not compensate the slow down in UL sales (still 43% of total inflow)
France: +3% vs. 9M 13 thanks to broker network sales
Luxembourg +49%, inflows climbed thanks to large Wealth business contracts concluded in Italy
Technical liabilities
End of period technical liabilities: up 7% Non-Life
GWP consolidated entities up 5%
Portugal +5% outperforming local markets in A&H & growing in Fire & Motor
Italy +5%, better commercial performance in bank channel in all product lines, particularly Household & Consumer protection business
Turkey (Aksigorta) nearly flat, up 18% at constant FX: regaining momentum in Motor despite intense competition
A&H and Motor remain the major business lines in the portfolio
1,333
2,210
1,538
1,265
2,871
3,475
9M 13
9M 14
242
247
286
273
144
148
129
145
801
813
9M 13
9M 14
35. Periodic financial Information I 9M 14 Results I 5 November 2014 34
Continental Europe: Combined ratio
Substantially better than group target
Net earned premium in EUR mio
* Scope: only consolidated companies: 2009 Portugal; as from 2010 Portugal & Italy
62.4%
71.0% 66.4% 63.6% 63.7% 65.0% 61.3% 62.4% 59.9%
27.6%
30.3%
30.3%
29.8% 30.0% 29.5%
29.4% 30.0%
29.4%
90.0%
101.3%
96.7%
93.4% 93.7% 94.5%
90.7% 92.4%
89.3%
(1.3%)
1.9%
(2.0%) (2.5%) (4.0%)
(2.4%) (3.9%) (2.5%) (2.9%)
2009 2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
claims ratio expense ratio PY claims ratio
194 369 382 397 403 299 310 100 103
Combined ratio at 90.7% vs. 94.5%
Combined ratio further improved vs. last year
mainly due to improved ratio’s in A&H, Motor
& Household
Combined ratio Turkey increased to due to
strengthening reserves for bodily injury
claims (EUR 10 mio) driven by observed
increases in severity & frequency
Q3 Combined ratio at 89.3% vs. 92.4%
Improving in all product lines except Other,
both in Italy & Portugal
Claims ratio at 61.3% vs. 65.0%
Improvement mainly in Motor & Household
PY ratio: 3.9% release vs. 2.4% driven by
positive reserve developments notably in
Motor
Expense ratio at 29.4% vs. 29.5%
Expense ratio in line with last year
37. Continental Europe Life operating margin per product line
Guaranteed: better underwriting offset
by lower investment margin
Unit-linked: decreasing expense & other
margin
Avg techn liabilities Avg techn liabilities
Periodic financial Information I 9M 14 Results I 5 November 2014 36
1.25%
1.00%
1.18% 1.06% 0.91% 0.94% 0.89%
1.07%
0.84%
(0.75%)
0.69%
0.68% 0.83% 0.63% 0.80% 0.41%
(0.93%)
(1.08%)
(0.85%)(0.83%)(0.85%)(0.88%) (0.93%)(1.02%)
1.16%
(0.83%)
1.02%
0.91%0.89%
0.69%
0.79%
0.46%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
0.01% 0.02% 0.02% 0.01%
0.01%
0.01% 0.01%
0.01%
0.18%
0.55%
0.41%
0.51% 0.54%
0.11%
0.62%
(0.03%)
0.20%
0.56%
0.44%
0.47% 0.56%
0.11%
0.64%
(0.01%)
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
8.7 8.3 7.8 7.6 7.7 7.6 7.7 7.6 13.9 6.4 6.1 6.3 6.3 6.2 6.3 6.2
Investment margin below last year due to
impairments
Higher underwriting margin YTD thanks to strong
technical performance in traditional business
Expenses & other margin in line
Decrease expense & other margin related to lower
fee income in the old Portuguese book
Expense &
Other
Investment
Underwriting
Expense &
Other
Investment
Underwriting
In EUR bn
38. 14
12
9M 13 9M 14
Life Non-Life
14
12
9M 13 9M 14
Life Non-Life
Net result: business growth, Q3
mainly driven by China
In EUR mio In EUR bn
Non-Life combined ratio improved
reflecting solid underwriting
Inflow growth fuelled by China &
Thailand
Life Technical liabilities up
across all entities
In EUR bn
Asia: Headlines
Strong profits supported by new business growth Life
Periodic financial Information I 9M 14 Results I 5 November 2014 37
**
In % avg technical liabilities In EUR mio
Life operating margin Hong Kong:
up on increased investment margin
Result non-conso
partnerships:new business growth
7.3
8.4
0.6
0.6
7.9 9.0
9M 13 9M 14
Life Non-Life
1.9 2.1
0.2
2.1 0.2
2.3
Q3 13 Q3 14
9M 13 9M 14 Q3 13 Q3 14 9M 13 9M 14 Q3 13 Q3 14
94.8%
89.9%
95.9%
91.4%
1.41% 1.73%
1.23%
2.20%
87 123
101
135
79 111
93
123
In % NEP
* incl. non-consolidated partnerships @ 100%
30
47
4
4
34
51
Q3 13 Q3 14
31
53
4
4
35
57
Q3 13 Q3 14
2.0 2.1 2.3
25.9
29.6
33.1
27.9
31.7
35.4
FY 13 6M 14 9M 14
Conso Non-conso
39. 257
266
79
77
54
58
208
199
598
600
9M 13
9M 14
7,090
8,126
237
237
7,327
8,363
9M 13
9M 14
+14%
Fire
Motor
Guaranteed
Life
Non-Life
In EUR mio
In EUR mio
Unit-Linked
Asia: Inflow @ 100% Strong growth new business, boosted by sales campaigns & channel development
Accident & Health
Other
Periodic financial Information I 9M 14 Results I 5 November 2014
38
Life
Hong Kong, +3% in local currency, New business impacted by new regulations on sales investment linked products
China, +18%, New business up 12% after successful campaigns; agency new business up 19% thanks to expansion agency force & successful sales campaigns; from Q2 on more focus on regular premium (+33%)
Malaysia, -14%, New business premiums down following transition in distribution strategy of both bank & agency channel from single premium sales towards more sustainable regular premium (up 28%)
Thailand, +16% (+27% at constant FX), New business premiums up 20%; strong performance in both bank & the agency channel
India, -7%, Inflow down due to negative FX impact
Technical liabilities – end-of-period
Hong Kong : EUR 2.3 bn, up 19%
Including non-consolidated JVs @ 100%: EUR 35.4bn, up 27%
Non-Life
Malaysia, -2% (+5% at constant FX), Growth in all business lines except in Marine, Aviation & Transport
Thailand, +6% (+16 at constant FX) with Motor as main contributor
40. Hong Kong Life operating margin per product line
Increased investment result
Guaranteed: improving expense &
investment margin
Unit-linked: pressure on margin from new business
growth
Periodic financial Information I 9M 14 Results I 5 November 2014 39
Avg techn liabilities Avg techn liabilities
Underwriting margin deteriorated due to lower
persistency
Expense & Other margin benefiting from higher fee
income & economies of scale
Underwriting margin slightly decreased due to worse
claims experience by better surrenders & reinsurance
margin
Investment margin improved following higher realised
capital gains
Expense & Other margin: lower recruitment &
acquisition costs
(0.15%)
(0.71%)
(0.15%)
(0.32%)(0.55%)(0.61%) (0.53%)
(0.93%)
3.62%
(0.57%)
(0.11%)
0.27% 0.03% 0.42% 0.06%
0.93%
1.30%
3.52%
2.52%
4.19%
2.65%
2.76%
2.16%
3.04%
4.77%
2.24%
2.26%
4.14%
2.13%
2.57%
1.63%
2.92%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
1.0 1.1 1.3 1.3 1.3 1.4 1.3 1.4
3.11%
1.75% 2.13% 2.15% 2.27% 1.94%
1.79%
2.08%
0.21% 0.14%
(2.40%)
(3.21%)
(0.95%)
(5.01%)
(2.52%)
(2.04%)
(1.65%)(2.03%)
0.70%
(1.47%)
1.18%
(2.86%)
(0.25%) 0.11% 0.28% 0.79%
2010 2011 2012 2013 9M 13 9M 14 Q3 13 Q3 14
0.3 0.4 0.5 0.6 0.6 0.7 0.6 0.7
Expense &
Other
Investment
Underwriting
Expense &
Other
Investment
Underwriting
In EUR bn
41. Annexes
Equity / Solvency
Insurance Activities
Investment portfolio
General Account
General Information
42. Periodic financial Information I 9M 14 Results I 5 November 2014 41
In EUR bn
* All assets at fair value except the ‘Held to Maturity’ assets; loans & real estate which are valued at amortized costs
Treasury bills
0.2
Sovereign
bonds 34.3
Sovereign
bonds 36.6
Corporate
bonds 23.8
Corporate
bonds 25.9
Structured
0.4
Structured
Loans 5.8 0.4
Equities 3.2 Loans 6.0
Equities 3.5
Real Estate 4.6
Real Estate 4.7
Cash 2.2
Cash 2.3
74.3
79.6
FY 13 9M 14
Asset mix
Asset mix stable
Increased market value in bonds because of lower interest
rates & spreads
Assets UK Protect (EUR 0.6 bn) taken out of investment
portfolio & accounted as Held for Sale
Gross unrealized gains/losses on Available for Sale
Total portfolio: up to EUR 8.8 bn (EUR 4.0 bn FY 13),
driven by UG/L on fixed income
Fixed income: at EUR 7.3 bn (EUR 3.5 bn FY 13)
Sovereigns at EUR 5.2 bn (vs. EUR 2.3 bn)
Corporates at EUR 2.1 bn (vs. EUR 1.2 bn)
Equities: stable at EUR 0.5 bn
Gross UG/L on Real Estate: stable at EUR 1.3 bn (EUR
1.3 bn FY 13) notwithstanding some important realized capital
gains; - not reflected in shareholders’ equity
EUR 1.9 bn unrealized gains/losses on Held to Maturity
- not reflected in shareholders’ equity
Investment portfolio
Unrealized gains fixed income up because of lower interest rates & spreads
43. Belgium
18.4
Belgium
18.8
France 5.1 France 5.9
3.4
4.1
Austria 2.6
1.1 Austria 2.8
1.2
0.7
Others 3.0 0.5
Others 3.3
34.3
36.6
FY 13 9M 14
In EUR bn
Sovereign bond portfolio*
Sovereign & Corporate bond portfolio
Value fixed income portfolio impacted by evolution unrealized gains
Periodic financial Information I 9M 14 Results I 5 November 2014 42
Corporate bond portfolio*
Banking 5.3 Banking 5.1
Other
financials 1.7
Other
financials 1.8
Non
Financials
10.1
Non
Financials
12.3
Government
related 6.7
Government
related 6.7
23.8
25.9
FY 13 9M 14
* All assets at fair value except the ‘Held to Maturity’ assets; loans & real estate which are valued at amortized costs
The Netherlands
The Netherlands
Germany
Germany
Southern Europe
Southern Europe
Gross UG/L at EUR 5.2 bn (vs. EUR 2.3 bn)
94% investment grade; 87% rated A or higher
Allocation to Belgium @ amortized cost down EUR 0.8 bn
due to redemption & sales
Maturity sovereign bond portfolio unchanged & close to
maturity liabilities , limited interest rate sensitivity
Gross UG/L at EUR 2.1 bn (vs. EUR 1.2 bn)
Priority to investment grade industrials has led to
increased share within corporate bond portfolio of
48% (vs. 42% FY 13)
Credit quality remains very good with 95% investment
grade; 68% rated A or higher
44. In EUR bn
Loan portfolio (customers + banks)*
Loan & Equity portfolio
More loans with guarantee
Loans to
banks 1.6 Loans to
banks 1.1
RE 0.2
RE 0.2 Infrastructure
0.1 Infrastructure
0.1
Mortgages 1.5
Mortgages 1.5
Other 2.4 Other 3.1
5.8 6.0
FY 13 9M 14
Increase in other: long term lending to social housing
agencies in Belgium benefiting from explicit guarantee by
the region & Dutch municipalities a or government-guaranteed
agencies
Periodic financial Information I 9M 14 Results I 5 November 2014 43
Equity portfolio*
Gross UG/L stable at EUR 0.5 bn
Equities 1.7
Equities 2.0
Equity funds
0.1
Equity funds
0.2
RE funds 0.7
RE funds 0.7
Mixed funds
& others 0.7
Mixed funds
& others 0.6
3.2
3.5
FY 13 9M 14
* All assets at fair value except the ‘Held to Maturity’ assets; loans & real estate which are valued at amortized costs
45. Periodic financial Information I 9M 14 Results I 5 November 2014 44
Real estate portfolio
UG/L stable notwithstanding realized cap gains
10/03/2010
Gross UG/L stable at EUR 1.3 bn (not reflected in shareholders’
equity but contributing to available capital for solvency
calculation)
In PR 18/07/2014 AG Real Estate announced sale of 39% stake
in Interparking for EUR 376 mio
– car parks in asset mix will go down to 15% (vs.25%)
– no P&L impact
– shareholders’ equity up ≈ EUR 120 mio
Investment
Offices 1.5
Investment
Offices 1.6
Car Parks
1.0
Car Parks
1.0
Investment
Retail 1.4
Investment
Retail 1.4
0.4 0.3
0.3 0.4
4.6 4.7
FY 13 9M 14
In EUR bn
Real Estate portfolio*
* All assets at fair value except the ‘Held to Maturity’ assets, loans & real estate which are valued at amortized costs
Investment Warehouses
RE Development
Investment
Warehouses
RE Development
46. Annexes
Equity / Solvency
Insurance Activities
Investment portfolio
General Account
General Information
47. 9M 13 9M 14
Q3 13 Q3 14
Q3 13 Q3 14
Net result driven by revaluation
RPN(i), positive in Q3
In EUR mio
Accounting value of remaining
legacies
General Account: Headlines
Impacted by revaluation RPN(i) liability & legal provision
Periodic financial Information I 9M 14 Results I 5 November 2014 46
Accounting value put option
In EUR mio
In EUR mio
9M 13 9M 14
1.9
1.6 1.5
FY 13 6M 14 9M 14
(297)
RPN(i): positive in Q3 following
lower price CASHES
Staff & Operating expenses down
Net cash position: decrease driven
by distribution to shareholders
13 14
20 16
33 31
9M 13 9M 14
Staff Operating
In EUR mio
In EUR mio
In EUR bn
(370)
(527) (494)
37 29 30
(130)
(130)
FY 13 6M 14 9M 14
RPN(i) RPI FortisEffect
5 5
8
5
13
10
Q3 13 Q3 14
(124)
(108)
33
1,255 1,282
1,443
FY 13 6M 14 9M 14
15
(127) 12
(114)
48. 1,913
1,517
(309)
(159)
(7) (85)
(9) (126)
385 (8-7)
FY 13 dividend share
buy-back
CASHES
& FRESH
investment
in liquid
assets
upstream capital
restructuring
M&A other 9M 14
Periodic financial Information I 9M 14 Results I 5 November 2014 47
Net cash position General Account at EUR 1.5 bn
Incoming cash partly returned to shareholders, partly invested in business
EUR 126 mio invested in acquisition of remaining 49% in Portuguese Non-Life activities
EUR 1.4 dividend par share paid out in May 2014
– paid dividend & holding costs compensated by dividend upstream from operating companies on FY basis
EUR 159 mio share buy-back executed in 9M 14, EUR 125 mio from 2013 SBB, EUR 34 mio from 2014 SBB
– total of EUR 147 mio as per 01/11/2014
Around EUR 140 mio of liquid assets with original maturity longer than 1 year are not included in net cash position
In EUR bn
49. Periodic financial Information I 6M 14 Results I 6 August 2014
48
Status on various legal procedures
Timing & (financial) outcome remains hard to estimate 2014 expected next steps
Brussels Commercial Court re Sep/Oct 2008 transactions (Modrikamen) – interim judgement on procedural matters expected – pleadings on the merits in 2015
February 11 Claim re FRESH hybrid instrument dismissed by Brussels Court
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
Ageas initiator
Against Ageas
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 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 ...
December 13 Supreme Court rejects appeal against judgement Ondernemingskamer re mismanagement mainly in favour of plaintiffs
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
February 14 Trade & Industry Appeals Tribunal renders final judgment on AFM II in favour of Ageas
2014
March 14 T&I A Tribunal rejects appeal in AFM I
July 14 Amsterdam Court of Appeal judges partly in favour of plaintiffs; appeal filed before Supreme Court
50. Legal proceedings Managed in interest of shareholders
Administrative proceedings
NL: AFM fine imposed 05/02/10 re price sensitive info June 08
NL: AFM fine imposed 19/08/10 re price sensitive information Sep 07
Final judgement 04/03/2014; appeal rejected
Final judgement 14/02/2014 in favour of Ageas
BE: FSMA re communication in Q2 2008
Appeal filed before Court of Appeal
Criminal procedure
Brussels – several alleged crimes June 2007 – April 2008
Public prosecutor requests referral of 7 individuals; additional investigation ongoing
Enterprise Court (Ondernemingskamer) At request of VEB re 2007-2008
Final judgement 06/12/13 re mismanagement, mainly in favour plaintiffs
Civil Lawsuits
A’dam - VEB re alleged miscommunication 2007-08 against Ageas, former directors/executives & banks
A’dam - Stichting FortisEffect, against Dutch State & Ageas
Proceedings ongoing
Appeal judgement 28/07/14 partly in favour of plaintiffs; Supreme appeal filed
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 ongoing; at present unclear whether both actions will be joined
Arnhem - Mr.Bos, re alleged miscommunication 2007 - 08
Appeal ongoing before Arnhem Court of Appeal
Brussels - Modrikamen, re Sep/Oct 2008 transactions
Brussels & Utrecht – Various lawsuits initiated by shareholders re alleged miscommunication 2007 – 08
Judgement procedural matters expected; Pleadings merits H1 2015
Proceedings ongoing
Deminor: interim judgment procedural matters 28/04/2014
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
Other litigation
Brussels/Paris – RBS re alleged indemnity in context of ABN AMRO take- over
Proceedings before Brussels court & ICC arbitration in Paris initiated in April 2014
Periodic financial Information I 6M 14 Results I 6 August 2014
49
Situation 1 November 2014
51. Periodic financial Information I 6M 14 Results I 6 August 2014
50
Main characteristics Hybrids Leverage optimized at holding level and at AG Insurance
In EUR mio
Ageas
Ageasfinlux
Fresh
Ageas Hybrid Financing
Hybrone
Fixed-to- Floating Rate Callable
Fixed Rate Reset Perpetual Subordinated Loans
Direct issue FBB, 2004
CASHES
%
3m EUR + 135 bps
5.125%
5.25%
6.75%
4.625%
3m EUR +200 bps
Amount outstanding
1,250
336
450
550 USD
1,000
1,110
ISIN
XS0147484074
XS0257650019
BE6261254013
BE6251340780
BE0119806116
BE0933899800
Call date
Undated, strike 315.0 mandatory 472.5
Jun 16 Step up to 3M Euribor +200 bps
Jun 24 Step up to 3M Euribor +413 bps
Mar 19 Step up to 6yr USD swap + 533 bps
Oct 14 Step up to 3M Euribor+170 bps
Undated, strike 239.4, mandatory 359.1
Other
On lent to AG Insurance
Subscribed by Ageas & BNP Paribas Fortis
Public issue
No stock settlement feature
Coupon served by FBB, trigger ACSM linked to Ageas dividend
Market Price (30/09/14)
66.63
101.49
100.00
108.75
100.48
77.06
;75
Fortis Bank (now BNP Paribas)
AG Insurance (Belgium)
52. Annexes
Equity / Solvency
Insurance Activities
Investment portfolio
General Account
General Information
53. Cancellation bought back shares + new buy back
Periodic financial Information I 9M 14 Results I 5 November 2014
52
Total number of outstanding shares 1% of outstanding shares (2.5 mio) cancelled at AGM 30 April 2014
Cancellation bought back shares situation 31/12/2013situation 01/11/2014Total Issued Shares233,486,113230,996,192Shares not entitled to dividend and voting right 11,648,17615,230,1841. TREASURY SHARESShare buy-back 2,489,9216,218,429FRESH3,968,2543,968,254Other treasury shares546,097399,5972. CASHES4,643,9044,643,904Shares entitled to dividend and voting rights221,837,937215,766,008
54. Periodic financial Information I 9M 14 Results I 5 November 2014 53
Shareholders structure
Based on number of shares as at 1 November 2014
Based upon press release 3 November 2014
Based upon the number of shares mentioned in the notification received 6 May 2013
Based upon the number of shares mentioned in the notification received 2 June 2014
Based upon the number of shares mentioned in the notification received 5 August 2014
Based upon the number of shares mentioned in the notification received 22 July 2013
Based upon the number of shares mentioned in the notification received 20 August 2012
Estimate by
Estimate by
Ageas
4.58%
Ping An
BlackRock, Inc.
Schroders
Franklin Mutual
Advisers
Norges Bank Identified retail
investors
16%
Identified
institutional
investors
41%
Other investors
19%
55. Periodic financial Information I 6M 14 Results I 6 August 2014
54
Financial calendar 2014 - 2015
12 February Annual results 2013
8 May 3M 2015 results
29 April Ordinary & Extraordinary shareholders’ meeting - Brussels
6 May Ex date
6 March Annual report 2013
8 May Payment 2014 dividend
5 August 6M 2015 results
4 November
9M 2015 results
6 August 6M 2014 results
5 November 9M 2014 results
56. Periodic financial Information I 9M 14 Results I 5 November 2014
55
Rating Improved rating for Portuguese entities
S&PMOODY'SFITCHOperating AG Insurance (Belgium)A- / positiveA2 / stable*A+ / stableentitiesLast change20/12/1322/08/1429/05/13Millenniumbcp Ageas Occidental Vida (Portugal)BB / stableBBB- / positiveLast change16/05/1416/04/14Millenniumbcp Ageas Occidental (Portugal)BBB / stableBBB / positiveLast change31/07/1429/09/14Millenniumbcp Ageas Médis (Portugal)BBB / stableBBB / positiveLast change31/07/1429/09/14Ageas Insurance Co. (Asia)Baa1 / stableA / stableLast change16/01/1326/03/13Muang Thai LifeBBB+ / stableBBB+ / stableLast change29/12/1016/12/10Etiqa Insurance Berhad (Malaysia)A / stableLast change26/09/11Holdingageas SA/NVLong-termBBB- / A-3 Baa3 / P-3 *BBB+ / F2OutlookpositivenegativestableLast change20/12/1322/08/1424/01/14* Ageas has requested in early 2009 that this rating should be withdrawn. Ageas no longer participates in Moody's credit rating process. Ageas does not provide, for purposes of Moody's rating, access to the books, records and other relevant internal documents of these rated entities.
57. Periodic financial Information I 9M 14 Results I 5 November 2014
56
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.
58. Periodic financial Information I 9M 14 Results I 5 November 2014
57
Investor Relations
Tel: E-mail: Website:
+ 32 2 557 57 34 ir@ageas.com www.ageas.com
Investor Relations