9M results 2011

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Information about 9M results 2011
Finance

Published on March 12, 2014

Author: Ageas

Source: slideshare.net

9MPeriodic Financial Information

109 November 2011 I  Insurance net result affected by financial turmoil**, Intrinsic performance remains solid  Group net loss at EUR 534 mio  Strong balance sheet despite impairments Highlights 9M 2011*  Excl. negative impact financial turmoil net result at EUR 406 mio, +22%  Incl. turmoil at EUR 209 mio negative (vs.EUR 334 mio)  Group combined ratio at 101.2%, vs.104.5%  Inflows at EUR 12.9 bn, -6%  Funds under management at EUR 70.2 bn, stable  General Account net loss at EUR 325 mio  EUR 258 mio legacy related charges  Fortis Bank Tier 1 fair value at 80% of par  Insurance solvency ratio resilient at 210%, Group solvency at 270%  Shareholders’ equity at EUR 3.15 per share * All 9M11 data are compared to the 9M 10 figures unless otherwise stated ** Financial turmoil defined as the impact of the impairments on equities and fixed income after tax, non-controlling interests and profit sharing

209 November 2011 I 615 334 (209) 406 9M 10 9M 11 646 312 (325) 334 (209) (534) 9M 10 9M 11 9M 10 FY 10 H1 11 9M 11 Impairment charges cloud the insurance performance Balance sheet remains strong & stable Solid Insurance result In EUR bn In EUR mio Strong Insurance solvency*, not impacted by impairments S-E exposure further reduced In EUR bn* Combined ratio stable on H1 Group : General Account volatile Insurance General Account 226% 227% 208% 2.89 3.153.19 FY 10 H1 11 9M 11 Shareholders’ equity up In EUR per share 5.5 3.6 12.9 FY 09 H1 11 9M 11 * at amortized cost, after non-controlling interests FY 10 H1 11 9M 11 101.2%101.2%107.3% 210% * Based on regulator’s view Reported Ins result Adjusted Insurance result Impairments Greece & equities

309 November 2011 I Overview impact impairments on net result Situation as per 30 September 2011 Greek bonds Equities Total EUR mio H1 Q3 9M H1 Q3 9M H1 Q3 9M Belgium Life (117) (332) (449) (19) (67) (86) (136) (399) (535) Non-Life (8) (13) (21) (2) (7) (9) (10) (20) (30) Total (125) (345) (470) (21) (74) (95) (146) (419) (565) UK Life Non-Life Total CEU Life (25) (7) (32) (7) (11) (17) (31) (18) (49) Non-Life (0) (0) (1) 0 0 0 (0) (0) (1) Total (25) (8) (33) (7) (11) (17) (32) (18) (50) Asia Life Non-Life Total Ageas Life (142) (339) (481) (26) (78) (103) (168) (417) (584) Non-Life (8) (14) (22) (2) (7) (9) (10) (21) (31) Total (150) (353) (503) (28) (85) (112) (177) (438) (615) Impairments * * Consolidated entities

409 November 2011 I Key financials 9M 2011 * Based on average number of outstanding shares ** Adjusted for the reclassification of Fortis Luxembourg Vie and Ageas Deutschland to “Assets & Liabilties Held for Sale” 10/03/2010 I page 4 Eur mio 9M 11 9M 10  Q3 11 Q3 10 Q2 11 Gross inflows (EUR bn) 12.9 13.7 (6%) 3.9 4.1 4.2 Net profit Insurance (209) 334 (163%) (320) 153 (24) Belgium (331) 205 (261%) (354) 117 (59) UK 62 16 299% 31 7 4 Continental Europe (12) 27 (143%) (15) 10 (14) Asia 72 86 (16%) 18 19 24 Net profit General Account (325) 312 (204%) (155) 37 118 Net profit attributable Group (534) 646 (183%) (475) 191 95 Funds under management (EUR bn)** 70.2 70.1 0% 70.8 Net shareholders' equity 7,930 9,649 (18%) 7,477 Belgium 2,730 3,508 (22%) 2,234 UK 941 609 55% 859 Continental Europe 862 1,004 (14%) 774 Asia 1,549 1,515 2% 1,398 General Account 1,847 3,013 (39%) 2,213 Net equity per share (EUR) 3.15 3.90 (19%) 2.89 Earnings per share (EUR) * (0.21) 0.26 (181%) * Net cash (EUR bn) 0.8 2.3 (65%) 2.0

509 November 2011 I Eur mio 9M 11 9M 10 9M 11 9M 10 9M 11 9M 10 Belgium 75% 3,305 3,824 1,293 1,231 4,598 5,055 United Kingdom 100% 36 19 1,523 821 1,559 840 Continental Europe 1,692 2,790 394 325 2,086 3,115 Consolidated entities 1,692 2,790 328 325 2,020 3,115 Portugal 51% 864 1,364 180 175 1,044 1,539 France 100% 229 290 0 0 229 290 Luxembourg 50% 568 1,051 0 0 568 1,051 Ukraine 100% 0 2 0 0 0 2 Germany 100% 31 32 0 0 31 32 Turkey 100% 0 51 0 0 0 51 Italy 25% 0 0 148 150 148 150 Non-consolidated partnerships 0 0 66 0 66 0 Turkey (Aksigorta) 31% 0 0 66 0 66 0 Asia 4,178 4,340 463 385 4,641 4,725 Consolidated entities 248 237 0 0 248 237 Hong Kong 100% 248 237 0 0 248 237 Non-consolidated partnerships 3,930 4,103 463 385 4,393 4,488 Malaysia 31% 435 577 368 303 803 880 Thailand 31%/13% 701 529 95 82 796 611 China 25% 2,700 2,897 0 0 2,700 2,897 India 26% 94 100 0 0 94 100 Total 9,211 10,973 3,673 2,763 12,884 13,736 Life Non-Life Total Detailed overview inflows 9M 2011 By segment/ country/business

609 November 2011 I Lower Life inflows, Non-Life up across all segments Total inflows at EUR 12.9 bn, -6%; Non-Life up 33% Asia* : Life : EUR 4.2 bn, -4%  Increased focus on regular premiums  Banks across Asia focus on liquidity & growing deposit base Non-Life : EUR 0.5 bn, +21%  +20% growth in Malaysia Continental Europe* : Life : EUR 1.7 bn, -38%  Portugal, -37% due to macro-economic environment  Luxembourg, -46%, due to lower benefit FoS regulation Non-Life : EUR 0.4 bn, +21%  Portugal : further up in Healthcare driven by strong Médis brand  Italy : slightly down continuing focus on profitability  Turkey : included since August 11, EUR 66 mio in 2 months Belgium : Life : EUR 3.3 bn, -14%  Strong competition from banks in savings  Lower appetite for unit-linked products Non-Life : EUR 1.3 bn, +5%  Growth outperforms the market  Mix of portfolio growth & tariff increases UK : Non-Life : EUR 1.5bn, +86%  Tesco Underwriting : EUR 579 mio YTD  Ageas Insurance : Inflows +15%  Household +29%; Commercial lines +13% Life : EUR 36 mio, +89%  Increasing market share of Ageas Protect Other : EUR 207 mio, +71%  Rias, KFFS & Castle Cover drive growth * incl. Non-controlling interests at 100%

709 November 2011 I Insurance Life underlying resilient, Non-Life strongly improved Net loss of EUR 209 mio (vs. EUR 334 mio positive)  Negative impact financial turmoil of EUR 615 mio, impacting mainly Belgium & Continental Europe, incl. EUR 503 mio impairment charge on Greek bonds (EUR 353 mio in Q3) Life at EUR 288 mio negative (vs. EUR 283 mio positive)  Impairment Greek bonds & equities of EUR 584 mio  Belgium & Continental Europe hit by impairments; Belgium includes EUR 15 mio for newly introduced State contribution; Non-Life at EUR 57 mio (vs. EUR 41 mio)  Impairment Greek bonds & equities of EUR 31 mio hitting mainly Belgium  Strong performance in UK & Asia : EUR 53 mio net contribution  Total 9M 11 adverse weather related costs of EUR 30 mio of which EUR 12 mio in Q3 11; Other at EUR 23 mio (vs. EUR 9 mio)  KFIS & Castle Cover contribution of EUR 6.6 mio  EUR 7 mio amortisation costs on intangible assets & EUR 1 million acquisition and financing costs Castle Cover earlier this year. EUR mio 9M 11 9M 10 Gross inflow 8,425 9,248 Operating costs 628 588 Technical result 257 374 Operating margin (316) 360 Profit before tax (340) 583 Net profit after tax & non- controlling interests (209) 333 Life FUM (EUR bn)* 70.2 70.1 * Adjusted for the reclassification of Fortis Luxembourg Vie & Ageas Deutschland to ‘Assets and Liabilities held for sale’

809 November 2011 I 248 244 2,309 2,075 488 223 780 763 3,824 3,305 9M 10 9M 11 359 362 396 420 370 399 106 113 1,231 1,293 9M 10 9M 11 (14%) Life In EUR mio Non-Life In EUR mio  Unit-Linked Savings Traditional Other Fire Accident & Health Motor  +5% Group Life Belgium Continued lower inflows in Life, while Non-Life inflows confirm positive trend Individual Life  YTD down to EUR 2.5 bn vs. EUR 3.0 bn in 2010, due to lower sales in Unit-Linked and savings products  Bank channel at EUR 2.0 bn YTD, well below last year’s levels (EUR 2.5 bn) due to competition from banking products  Broker channel at EUR 0.5 bn YTD, -11%, similar trends bank channel Group Life  At EUR 0.8 bn YTD, -2%, due to timing differences Funds under Management  Stable at EUR 48.6 bn vs. end of June 2011  Non UL-linked funds up to EUR 42.6 bn; UL funds down to EUR 6.0 bn, -7% Property and Casualty (Fire, Motor & others)  Inflows up 5%, all product lines contributing well, especially Fire (+8%) and Motor (+6%)  Growth driven by a combination of tariff increases and portfolio growth Accident & Health  Health Care +1% driven by new production & medical indexation impact

909 November 2011 I Belgium Impairments cloud Life performance; Intrinsic performance Non-Life on track 10/03/2010 I page 9 Net profit at EUR 331 mio negative (vs. EUR 205 mio)  9M 11 impairment charge on Greece & equities of EUR 565 mio of which EUR 419 mio in Q3  9M 11net profit excluding impairments on Greek sovereigns at EUR 139 mio  Positive evolution Non-Life performance confirmed despite adverse weather impact August storms in Fire Strong IFRS Solvency ratio at 176 % Life at EUR 329 mio negative (vs. EUR 186 mio)  9M 11 impairment charge on Greece & equities of EUR 535 mio of which EUR 398 mio in Q3  Life FUM at EUR 48.6 bn, +2% vs. 2010, stable vs. end of June Non-Life at EUR 2 mio negative (vs. EUR 19 mio)  9M 11 impairment charge on Greece & equities of EUR 30 mio of which EUR 21 mio in Q3  Net impact adverse weather events of August of EUR 12 mio; 9M 11 impact of EUR 18 mio  Further improvement Motor and strong performance Health; Fire withheld by impact August storms EUR mio 9M 11 9M 10 Gross inflow 4,598 5,055 Operating costs 343 329 Technical result 198 284 Operating margin (364) 223 Profit before tax (495) 378 Net profit after tax & non- controlling interests (331) 205 Life FUM (EUR bn) 48.6 47.9

1009 November 2011 I 61.6 63.6 64.9 66.5 37.4 36.7 35.9 99.0% 100.3% 100.8% 103.1% 107.4% 105.6% 103.3% 71.0 69.366.3 36.4 36.836.336.8 2006 2007 2008 2009 2010 9M 10 9M 11 Combined ratio AG Insurance FY 06 – 9M 11 Belgium, combined ratio improved on last year Improvement thanks to sound technical performance in Motor and Liability Expense ratioClaims ratio Strong Motor and Health performance  Excluding Workmen’s Compensation, Combined Ratio at 100.3% YTD vs.102.5%  Motor segment further improved to 94.9% YTD (Q3 11 at 91.4%)  Fire combined ratio at 111.5% YTD with August storms as main factor explaining a Q3 combined ratio of 119.7%  Solid claims result in Health (combined ratio at 96.1%)  Workmen’s Compensation remains high at 128.0%; Q3 11 at 122.8%. Weak performance still related to exceptional high number of deceased and permanent disability claims. Corrective set of measures taken  Non-Life implements new tariff increases as of 1st January 2012, including a Natural Catastrophe tariff increase representing a premium growth of 6% in the Fire portfolio  Motor : review of material damage offer implemented as from January 2011 is paying off  Workmen's Compensation: on going corrective measures including a new tariff structure and pruning of portfolio

1109 November 2011 I 821 1,523 840 1,559 36 19 9M 10 9M 11 52 56 445 982207 352 118 133 821 1,523 9M 10 9M 11 Motor United Kingdom Inflow levels substantially increased Non-Life Life Other Property Accident & Health +85% +86% Total In EUR mio Non-Life In EUR mio * including other income Life  Successful roll out of its proposition across the IFA market (7.8% market share)  Launch of new distribution partnerships  175,000 customers, up 69% on Q3 2010 Non-Life  Up 85%, driven by successful launch of Tesco Underwriting partnership & organic growth in both Commercial and Personal lines  Within Personal lines, Household +29%; Private car and Travel slightly up (excl. Tesco)  Commercial lines +13%, growth resulting from expanding product range via brokers  Partnership with Tesco Bank started underwriting as of mid October 2010; Inflows of EUR 680 mio & 1.4 mio customers in year 1 Other Insurance (including Retail)  YTD total income of EUR 207 mio up 71%;  Acquisition Castle Cover late March 2011 will further strengthen Retail capability & add together with KFIS an extra 1 mio customers

1209 November 2011 I United Kingdom Better overall financial performance despite exceptional claims in Household 10/03/2010 I page 12 Net result at EUR 62 mio (vs. EUR 16 mio)  Improved performance overall but especially in private Motor  Robust return from Retail activities Life at EUR -1.3 mio (vs. EUR -2.8 mio)  Continued progress in roll-out of protection business; 7.8% market share among IFAs end Q3 Non-Life at EUR 40 mio (vs. EUR 9 mio)  Improved Motor result through positive impact of management actions  9M 11 impact adverse weather events of EUR 12 mio, related to adverse weather events end 2010  Other Insurance at EUR 23 mio (vs. EUR 9 mio)  Strong commission income and partnership growth  KFFS & Castle Cover contributed EUR 6.6 mio, including EUR 7 mio amortisation of intangible assets & acquisition and financing costs Castle Cover earlier this year EUR mio 9M 11 9M 10 Gross inflow 1,559 840 Operating costs 119 85 Technical result 43 (1) Operating margin 48 2 Profit before tax 90 19 Net profit after tax & non- controlling interests 62 16

1309 November 2011 I UK, continued improvement confirmed Continental Europe and Asia remain below 100% Expense ratioClaims ratio Combined ratio UK FY 06 – 9M 11 UK : continued positive impact from corrective measures  Improved overall combined ratio at 99.9% including Tesco Underwriting  Motor : Selected tariff increases in 2010 in line with underlying risk led to an improved combined ratio (98.2% vs 106.9% at 9M 10)  Household : combined ratio at 100.4%, PY loss ratio of 5.8%; continued improvement quarter on quarter (Q1 11 121.9%; H1 11 104.4%; 9M 10 98.9%).  Travel : combined ratio for 9M 11 (106.3%) improved from 9M10 (122.0%) due to management actions over the last 12 months and Volcanic ash event in 2010  Continental Europe: 97.5% vs. 99.0% (9M10)  Portugal : combined ratio at 93.3% vs 90.5% in 9M10  Italy : first impact of implemented corrective measures noticeable  Asia : 93.0% vs 96.2% (9M10) 70.2 79.7 73.1 28.2 27.7 28.8 27.7 28.0 29.5 26.4 98.4% 107.4% 101.9% 108.1% 109.5% 104.9% 99.9% 73.5 80.4 75.481.5 2006 2007 2008 2009 2010 9M 10 9M 11

1409 November 2011 I 174 185 77 107 45 5730 44326 394 9M 10 9M 11 194 162 1,086 276 1,418 1,161 93 92 2,791 1,691 9M 10 9M 11   Life  Portugal, -37% : Difficult economic environment continues, inflow level evolution in line with Portuguese market. Remains domestic market leader based on FuM with 26% share  Luxembourg, -46% : related to lower sales of FOS (Freedom of Services) product benefiting less from European Savings Directive but also in line with market  France, -21% : decrease due to disappearance distribution network Fortis Banque France & worsening market  Unit-linked business sales EUR 1.2 bn, Savings products at EUR 0.3 bn Funds under Management  At EUR 14.1 bn vs. EUR 23.1 bn end 10; Luxembourg & Germany reclassified into ‘Held for Sale’  FuM down 7%, following lower inflows & negative market value adjustment Non-Life  GWP up 23% year-to-date, thanks to first time inclusion Turkey (EUR 66 mio)  Portugal : +3% thanks to strong performance Healthcare (Médis), in a stagnating market amidst economic uncertainty  Italy :almost unchanged with last year, focus on increasing profitability in Motor remains; +23% Accident & Health Motor Unit-Linked Savings Traditional Group (-38%) Other Fire Life In EUR mio Non-Life In EUR mio Continental Europe Inflows impacted by adverse evolution financial markets

1509 November 2011 I Continental Europe Net profit impacted by impairments; underlying performance remains strong, particularly in Non-Life 10/03/2010 I page 15 Net result at EUR 12 mio negative (vs. EUR 27 mio positive) Life at EUR 17 mio negative (vs. EUR 22 mio)  9M11 impairment charge on Greek bonds & equities of EUR 50 mio of which EUR 18 mio in Q3  Additional losses realized on sale equities & fixed income  Operating costs further down on continued streamlining insurance portfolio Non-Life at EUR 6 mio (vs. EUR 5 mio)  Operating margin +46% driven by better technical performance & higher financial income  Operating costs +8%  Net result Turkey (AKsigorta) : EUR 1.2 mio (2 months contribution) EUR mio 9M 11 9M 10 Gross inflow 2,020 3,116 Operating costs 140 146 Technical result (4) 76 Operating margin (22) 81 Profit before tax (9) 99 Net profit after tax & non- controlling interests (12) 27 Life FUM (EUR bn)* 14.1 23.2 * Adjusted for the reclassification of Fortis Luxembourg Vie and Ageas Deutschland to “Assets & Liabilities Held for Sale”

1609 November 2011 I ** MAT: Marine Aviation & Transport Asia Stable commercial performance, very close to last year’s record first quarter   Life  Hong Kong, +5%, Solid growth of 23% in new business on APE basis, following improved productivity in agency channel and growth in emerging IFA channel.  China, -7%, Because of new banca regulations and monetary tightening, last year’s single premium campaign was not repeated this year. Good persistency resulted in strongly increased renewal premiums, compensating for the shortfall in single premiums. Regular premium up 29% vs 9M 2010.  Malaysia, -25%, Lower single premiums in wake of monetary tightening. Regular premiums up+4%  Thailand, +33%, Continued strong growth in both bank and agency channel  India, -6%, New business down 29% following regulatory changes. Renewals up 35% Funds under Management  Hong Kong : EUR 1.4 bn,+2% vs. end 10  Incl. partnerships (at 100%): EUR 18.5 bn, +9% vs. end 10 Non-Life  Malaysia, +22%, driven by Motor and Corporate MAT** lines.  Thailand, +17%, across all lines and distribution channels. 179 3,8253,969 217173 133 18 3 Q3 10 Q3 11 251 288 134 176 Q3 10 Q3 11 (4%) Non-Motor* Motor Savings Group Traditional * Non-motor includes Fire, MAT, Accident & Health and other lines Life Non-Life In EUR mio In EUR mio 4,340 4,178 +21% 385 464 Unit-Linked

1709 November 2011 I 10/03/2010 I page 17 EUR mio 9M 11 9M 10 Gross inflow* 248 237 Operating costs 27 28 Technical result 19 16 Operating margin 22 54 Profit before tax* 74 87 Net profit after tax & non- controlling interests* 72 86 Life FUM (EUR bn)** 1.4 1.3 Net profit of EUR 72 mio (vs. EUR 86 mio)  9M10 net profit included EUR 35 mio capital gains on sale of Fortis Centre in Hong Kong; 9M11 net profit includes EUR 10 mio capital gains on disposal of Taiping Pension  Hong Kong : Net profit slightly down on a comparable basis  Non-consolidated partnerships : EUR 61 mio vs. EUR 39 mio, driven by organic growth and non-recurring items Life net profit at EUR 59 mio (vs. EUR 78 mio)  Hong Kong : EUR 19 mio vs. EUR 56 mio;  Excl. last year’s EUR 35 mio capital gain on sale of Fortis Centre, net result is -6%, due to strong new business growth and impacted by adverse markets and currency rates  Non-consolidated partnerships : EUR 49 mio vs. EUR 30 mio;  +60%, driven by EUR 10 mio capital gains from disposal Taiping Pension & organic growth.  Regional costs : stable at EUR 8 mio. Non-Life net profit at EUR 13 mio (vs. EUR 8 mio)  Relates to operations in Malaysia and Thailand.  Both the intrinsic operational performance and technical results remained strong, plus tax recoveries in Malaysia (EUR 3 mio). Asia Net profit significantly up on a comparable basis * Including Inflow (100%) & Profit (Ageas share) from partnerships respectively **** Including partnerships, FUM increased to EUR 18.5 bn

1809 November 2011 I Investment portfolio at fair value on 30 September 11 Equity investments down, other asset classes fairly stable Investment portfolio (EUR 59.5 bn) Fixed Income  No major shifts in composition  90% portfolio rated A or higher, 94% investment grade  Gross unrealized gains amounted to EUR 1.4 bn vs. EUR -0.6 bn end of June Equities  Down to EUR 1.7 bn (vs. EUR 2.6 bn end of June) following divestments and lower fair value  Gross unrealized loss of EUR 24 mio (pre-tax) Real Estate  Gross unrealized gains slightly up to EUR 1.2 bnSovereign bonds 55% Real Estate 7% Equities 3% Corporate bonds 34% Structured Credit Inst 1% Gross unrealized gains on total investment portfolio of EUR 2.6 bn As at 30 September 2011

1909 November 2011 I Government bonds EUR 33.0 bn Corporate bonds EUR 20.1 bn Investment portfolio : Fixed Income at EUR 53.5 bn at fair value Situation as per 30 September 2011  Gross unrealized gains before tax and shadow accounting (UCG) of EUR 0.9 bn vs EUR (0.5) bn end 2010  Disposal of S-E government bonds mainly reinvested in Belgium & The Netherlands  Gross unrealized gains of EUR 0.5 bn  Quality of corporate bond portfolio remains high with 95% investment grade, 84% rated A and 62% rated AA or AAA  Banking/ Other financials : 80% single A or higher; 57% rated AA or higher; no single position > EUR 0.3 bn  Hybrid securities: down to below EUR 0.6 bn* Classified partly as ‘Available for Sale’ and partly as ‘Held to Maturity’ Austria 2.5 Banking 5.0 Other corporates 4.9 Other financials 1.7 Government related 8.5 Greece 0.6 Belgium 14.0 Spain 1.1 Italy 2.0 Germany 2.7 The Netherlands 1.6 Portugal* 1.0 France 4.3 Ireland 0.5 Others 2.7

2009 November 2011 I 3.2 6.2 2.6 2.5 1.7 1.4 1.3 1.2 0.8 2.1 0.8 0.7 0.6 (0.8)(0.2) 1.4 1.3 1.3 FY09 H1 10 H1 11 9M 11 Impairment Greece Italy Spain Portugal Exposure on Southern European sovereigns further reduced …Exposure at amortized cost and after non-controlling interests of EUR 3.6 bn  Exposure on S-E souvereigns at amortized cost , after impairments and non-controlling interests further reduced to EUR 3.6 bn  Additional reduction of primarily Italian & Spanish sovereigns since end June 11 of EUR 1.3 bn  Net exposure (after non-controlling interests) at fair value of EUR 3.2 bn  Additional gross impairment on Greek sovereigns of EUR 754 mio based on fair value in Q3 on entire portfolio  Q3 11 net impact of EUR 353 mio (after profit sharing, tax and non-controlling interests)  9M 11 net impact of EUR 503 mio  Net of impairments, Greek bonds held at 38% of historical/amortized cost. 12.9 5.5 3.6 6.1 In EUR bn

2109 November 2011 I 10/03/2010 I page 21 Equity funds 0.1 Equities 0.8 Mixed funds & others 0.2 Real Estate funds 0.6 Investment portfolio : Equities at EUR 1.7 bn at fair value Situation as per 30 September 2011  Equity investments at amortized cost down to EUR 2.0 bn vs. EUR 2.6 bn end of June (vs. EUR 2.3 bn end 10) due to divestments and lower fair value of equities and equity funds  Limited unrealized loss (EUR 24 mio) vs. EUR 108 mio unrealized gains end of June (vs. EUR 139 mio gain end 10)  Net impairment charge of EUR 112 mio taken in Q3 following declining equity markets Ageas’ impairment policy of equities  If fair value <75% of average purchase price of the particular equity OR  If fair value is consistently below the purchase price during 4 quarters Equity portfolio (EUR 1.7 bn)

2209 November 2011 I General Account Negative net result driven by EUR 258 mio legacy related charges Net loss of EUR 325 mio driven by legacy issues RPN(i) liability at EUR 145 mio  EUR 320 mio positive impact on 9M fair value RPN(I) liability, driven by decreased market price CASHES (from 50% to 33%)  Positive quarterly impact of EUR 438 mio Equity value RPI at EUR 850 mio, down EUR 83 mio  Net 9M result EUR 315 mio negative (EUR 140 mio Ageas’s share)  Revaluation interest rate swaps lead to a EUR 128 mio positive result at RPI at 100%, accounted via equity (EUR 57 mio for Ageas) Call option BNP Paribas shares valued at EUR 361 mio  Down EUR 248 mio vs. FY 10 ( down EUR 333 mio vs. end June) mainly due to lower BNP Paribas share price (EUR 30.05 vs. EUR 47.68) Additional fair value adjustment of EUR 150 mio on Fortis Tier 1 Debt Securities  9M11 impact of EUR 190 mio; Securities valued @ 80% of par accounted under “Loans & receivables” Other items  Net interest margin of EUR 9 mio negative  Operating expenses slightly down to EUR 38 mio EUR mio 9M 11 9M 10 Net interest income (9) (10) Capital gains (130) (224) Result of associates (139) 183 Change in impairments & provisions (0) 1 Total expenses (38) (40) Profit before tax (326) (97) Net profit after tax & non- controlling interests (325) 312 Balance sheet items 9M 11 FY 10 RPI 850 933 Call option BNP Paribas 361 609 RPN(I) (145) (465) Tier 1 760 - Net cash/deposits 827 2,210

2309 November 2011 I General Account Composition of the net result remains very diverse and volatile Net profit Q3 11 : EUR (155) mio In EUR mio (83) (140) (150) (190) (333) (248) 438 320 (27) (67) 9M 11 : EUR (325) mio In EUR mio Other items RPN(i) Tier 1 provision Call option BNPP RPI Sum of legacy issues: EUR (128) mio Sum of legacy issues: EUR (258) mio

2409 November 2011 I Balance sheet value In EUR bn Net result impact In EUR mio Valuation Call option BNP Paribas shares at 30 September 2011 Value down mainly due to lower BNP Paribas share price -6.8%-10.4%Dividend yield +1% +3.75%+11.9%Dividend yield -1% -24.6%-26.3%Implied volatility -5% +25.8%+26.7%Implied volatility +5% 9M 11H1 11Sensitivities Valuation EUR 66.672 5.29% 33% EUR 47.69 FY 10 Strike price/share Dividend yield Volatility BNP share price Model parameters (Black & Scholes) EUR 66.672 4.95% 30% EUR 53.23 H1 11 EUR 66.672 8.76% 49% EUR 30.05 9M 11 85 (248) (271) FY 10 H1 11 9M 11 694 361 609 FY 10 H1 11 9M 11

2509 November 2011 I (118) 273 320 (149) 27 20 FY 10 H1 11 9M 11 Net result impact Balance sheet value In EUR bn In EUR mio Valuation RPN(I) as at 30 September 2011 Fair valuation liability down on lower market price CASHES Valuation 57.8% 410 bps 41% 4.3% EUR 1.87 H1 11 33.2% 685 bps 69% 6.1% EUR 1.31 9M 11 Price CASHES (% of par) Discount rate Share price volatility Dividend yield Ageas’s Share price Assumptions Detailed sensitivity analysis - EUR 97 mioPrice CASHES from 33% 23% + EUR 88 mioPrice CASHES from 33% 43% 9M 11Sensitivities Guarantee Belgian State Value RPN(i) See IFS Q3 2011 Variance Cashes price Higher spreads Other (501) (127) (66) (82)(465) (583) (399) (18) (145) FY 10 H1 11 9M 11

2609 November 2011 I Ageas’s equity Value Net book value assets RPI* In EUR bn In EUR bn In EUR bn In EUR bn Principal & interest collections In EUR mio Fair value - IFRS Valuation items Royal Park Investments as at 30 September 2011 Equity value down on lower marked-to-market value Net result impact – part Ageas In EUR mio Commercial paper Other Senior + Super Senior Principal collections Interest collections* Net book value = Economic recovery value as of 31 December 31 under B-GAAP, 2010 minus Redemptions until September 30, 2011 (57) (140) 131 FY 10 H1 11 9M 11 6.6 6.4 7.0 FY 10 H1 11 9M 11 581 919 169 71 1,709 6521,540 112 1,031 FY 10 H1 11 9M 11 4.3 4.6 2.5 1.8 7.1 6.1 4.6 1.6 6.2 FY 10 H1 11 9M 11 8.8 9.1 10.0 FY 10 H1 11 9M 11 899 850 933 FY 10 H1 11 9M 11 Outstanding debt

2709 November 2011 I Financial implications at 30 September 2011 Discretionary capital Solvency Net cash General Account Net result Ageas acquired Fortis Bank Tier1 Debt Securities 95% of outstanding debt acquired at par, fair value at 80% Background  In 2001, Fortis Bank SA/NV issued a EUR 1 bn subordinated Tier 1 securities* with a support agreement granted by Fortis parents (now Ageas)  Tier 1 securities included incentives to call at first call date (year 10): a 100 bps step- up feature and, via the support agreement, holders could exchange par amount for stock ( ageas shares) if not called Events in 2011  27/28 April: Ageas AGM does not grant authorized shares for the support, only exchange in cash possible  27 May : Non-call Fortis Bank SA/NV  18 August : NBB grants consent to exchange securities for cash  H1 11 : Ageas records EUR 40 mio provision for difference par value versus fair value  26 September : Ageas acquires EUR 953 mio Tier 1 securities which yield at 3m-EURIBOR + 237 bps after first call date; call possible at every quarterly coupon  30 September : Ageas records EUR 150 mio additional charge to reflect estimated fair value Financial instrument accounted at fair value Fair value estimated at +/- 80% of nominal value (incl. illiquidity premium (8%)) Total charge of EUR 190 mio at 30 September 95% of outstanding debt acquired at par, cash out EUR 953 mio Besides P&L charge, not affected Concept replaced by net cash position as of Q3 * 6.5% Redeemable Perpetual Cumulative Coupon Debt Securities

2809 November 2011 I 0.08.28.0Liabilities held for sale0.08.48.2Assets held for sale 17.1 2.2 1.3 0.6 0.5 2.4 1.6 0.3 H1 11 17.1 0.4 0.7 0.9 0.3 2.4 1.6 0.0 2.4 H1 11 9.5 2.5 1.3 0.6 0.7 2.4 1.7 0.5 Q4 10 9.5 0.5 0.6 0.9 0.7 2.4 1.7 0.0 2.7 Q4 10 In EUR bn 0.2RPN(I) 15.9 1.9 1.3 0.2 2.4 1.6 0.3 9M 11 15.9 0.4 0.4 0.9 0.1 2.4 1.6 0.8 1.1 9M 11 Tier 1 debt securities Net equity FRESH Other Provision Dutch State NITSH I, II & Hybrone ST (EMTN ) Liabilities Loan to operating cies Balance sheet total Call option on BNP P shares Royal Park Investments Other Claim ABN AMRO Bank Due from Fortis Bank & AG Ins Cash & Deposits at banks Assets Cash position of the General Account As per Q3 11, discretionary capital concept abandoned 9M 11 evolutions: Net cash at EUR 0.8bn, down on acquisition Tier 1 Debt securities (EUR 1.0bn), acquisition AKSigorta (EUR 0.2bn) dividend payments (EUR 0.1bn) and other (EUR 0.1bn). Q3 11 evolutions: Decrease net cash due to acquisition Tier 1 Debt Securities (EUR 1.0bn), acquisition AKSigorta (EUR 0.2bn) and share buy-back programme (EUR 0.1bn)

2909 November 2011 I (170) 8,247 7,477 7,928 7,477 (358) (320) (155) (92) (197) (157) 126 111 892 0 FY 10NetresultInsurance NetresultG eneralAccount Change unrealized gains Dividend Foreign exchange & O ther H1 11NetresultInsurance NetresultG eneralAccount Change unrealized gains* Buy-back Foreign exchange & O ther 9M 11 FY 10 H1 11 9M 11 EUR 3.19 EUR 2.89 EUR 3.15 Shareholders’ equity / share Shareholders’ equity up to EUR 7.9 bn vs. H1 11 Improved unrealized gains on investment portfolio * including charge related to reclassification of Portuguese sovereigns as ‘Held to Maturity’ Shareholders’ equity by segment  Belgium : EUR 2,730 mio  Continental Europe : EUR 862 mio  United Kingdom : EUR 941 mio  Asia : EUR 1,549 mio  General Account : EUR 1,846 mio

3009 November 2011 I Ageas announced a share buy-back programme on 24 August Ageas currently owns 4.6% of its outstanding shares  Buy-back programme of up to EUR 250 mio of its outstanding shares  Buy-back programme launched as of 24 August  For a period ending 23 February 2012  Independent broker mandated to execute the programme  Shares to be held as treasury shares until further notice  On 30 September, Ageas bought back 69 mio shares (2.62%)  As per 4 November, Ageas acquired 120 mio shares for a total amount of EUR 158 mio (corresponding to 4.6% of the total amount of outstanding shares)

3109 November 2011 I 3.9 2.2 0.8 1.0 1.2 6.9 3.4 2.1 3.4 0.3 0.5 0.4 9.3 0.3 7.2 Total available capital Solvency remains well above required minimum Impact fixed income valuation on Belgium & CE, Tesco inclusion on UK * Under local Asian solvency regulation, different valuation rules apply leading to a solvency ratio for AICA of 468% end of March 11. Required Regulatory minimum Insurance General Ageas Excess capital Account EUR 3.7 bn EUR 2.1 bn EUR 5.9 bn  176% 230% Solvency Ratio Actual / Min Actual / Min Actual / Min Actual / Min Actual / Min Actual Actual / Min Belgium United Continental Asia Insurance General Ageas Kingdom Europe Account * 201% 310% 210% End September 2011 270%  Consolidation adjustments

3209 November 2011 I 7.2 7.2 0.7 3.4 0.9 0.9 7.6 (0.2) (0.9) net impact of stress test on solvency ratio combining theoretical losses on sovereign bonds:  70% on all Greek  50% on all Portuguese & Irish  30% on all Italian & Spanish Total available capital Ageas’s Insurance solvency ratio resilient Buffer unrealized gains can absorb impact severe stress tests Required Minimum Margin (RMM) 210% Solvency Ratio 210% Based on data end of September 11 Actual EUR 3.7 bn excess capital Actual Minimum completely absorbed by buffer of unrealized gains Filters:  EUR 0.7 bn revaluation investment property  (EUR 0.9 bn) revaluation AFS investments  (EUR 0.2 bn) other Insurance total equity Regulatory capital

3309 November 2011 I  Insurance  Net results marked by impairments following recent events in financial markets  Intrinsic performance remains solid  Excluding impairments, performance up vs. last year  Group  Volatility due to accounting impact legacy issues remains  Earlier 2011 result outlook not maintained  Inflows : close to 2010 levels  Result : impact impairments & uncertainty financial markets make it difficult to provide updated 2011 forecast Conclusions

3409 November 2011 I Financial Calendar 2012 30 April Ex-dividend date – Start dividend election period 25 April Annual shareholders’ meeting Brussels 20 February Annual results 2011 26 April Annual shareholders’ meeting Utrecht 14 May 3M results 2012 31 May Payment 2010 dividend 21 May End of dividend election period 6 August 6M results 2012 7 November 9M results 2012

3509 November 2011 I 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.

3609 November 2011 I Investor Relations Tel: E-mail: Website: + 32 2 557 57 34 + 31 30 2525 305 ir@ageas.com www.ageas.com Investor Relations

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