Last checked at 12 Aug 2009 07:30
Sampo / Half-yearly Results 12.08.2009 08:30 Dissemination of a UK Regulatory Announcement, transmitted byDGAP - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.--------------------------------------------------------------------------- SAMPO PLC INTERIM REPORT 12 August 2009, at 9:30 am SAMPO GROUP'S RESULTS FOR JANUARY - JUNE 2009 NET ASSET VALUE BOOSTED BY THE STOCK MARKET SURGE Sampo Group's profit before taxes for the first half of 2009 amounted to EUR 433million (422). Earnings per share amounted to EUR 0.61 (0.60). Earnings per share, including the change in the fair value reserve, increased significantly to EUR 3.33 (-0.90). - Strong stock market development and tightening of credit spreads were reflected in asset values and Sampo Group's net asset value per share increased to EUR 10.87 (8.28). The fair value reserve on the Group level improved by more than EUR 1.5 billion from the end of 2008 and was EUR -836 million (-2,364). In July, mainly due to the continued rise in Nordea's share price, the fair value reserve had further increased by more than EUR 1 billion. - Profit before taxes in P&C insurance increased to EUR 308 million (182) and the combined ratio remained stable at 92.5 per cent (92.4). General economic conditions slowed down premium growth and with fixed currency rates premiums remained at previous year's level. - Profit before taxes in life insurance was EUR 52 million (91). Mandatum Life'sdomestic premium income continued to grow strongly in contrast to the Finnish life insurance market in general. Market share in domestic unit-linked insurancegrew to 28.3 per cent (20.1). - The segment 'Holding' reported a profit before taxes of EUR 52 million (148). The profit contains EUR 80 million of dividends (130) received from Nordea in April 2009. - On 10 August 2009 Sampo Group held 747,491,440 Nordea shares and owned 18.5 per cent of company's total capital. Average price paid per share amounted to EUR 6.34. Nordea's closing price on 10 August 2009 was EUR 6.71. --------------------------------------------------------------------------------| KEY FIGURES | 1-6 | 1-6 | Change | Q2 | Q2 | Change |--------------------------------------------------------------------------------| EURm | 2009 | 2008 | % | 2009 | 2008 | % |--------------------------------------------------------------------------------| Profit before taxes | 433 | 422 | 3 | 264 | 279 | -6 |--------------------------------------------------------------------------------| P&C insurance | 308 | 182 | 69 | 164 | 118 | 39 |--------------------------------------------------------------------------------| Life insurance | 52 | 91 | -43 | 26 | 27 | -6 |--------------------------------------------------------------------------------| Holding | 52 | 148 | -65 | 74 | 134 | -45 |--------------------------------------------------------------------------------| Profit for the period | 345 | 346 | 0 | 217 | 241 | -10 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | Change | | | Change |--------------------------------------------------------------------------------| Earnings per share, EUR | 0.61 | 0.60 | 0.01 | 0.38 | 0.42 | -0.04 |--------------------------------------------------------------------------------| EPS (incl. change in | 3.33 | -0.90 | 4.23 | 3.45 | -0.51 | 3.96 || FVR) EUR | | | | | | |--------------------------------------------------------------------------------| NAV per share, EUR *) | 10.87 | 8.28 | 2.59 | - | - | - |--------------------------------------------------------------------------------| Average number of staff | 7,436 | 6,937 | 499 | - | - | - || (FTE) | | | | | | |--------------------------------------------------------------------------------| Group solvency ratio, % | 675.7 | 433.6 | 242.1 | - | - | - || *) | | | | | | |--------------------------------------------------------------------------------| RoE, % | 69.5 | -14.5 | 84.0 | - | - | - |-------------------------------------------------------------------------------- *) comparison figure from 31.12.2008 The figures in this report are not audited. Income statement items are compared on a year-on-year basis whereas comparison figures for balance sheet items are from 31 December 2008 unless otherwise stated. SECOND QUARTER 2009 IN BRIEF For the second quarter of 2009 Sampo Group reported a profit before taxes of EUR264 million (279). Earnings per share were EUR 0.38 (0.42). Taking the change inthe fair value reserve into account earnings per share surged to EUR 3.45 (-0.51). Net asset value per share increased in the second quarter of 2009 by EUR 2.70 although the company paid a dividend of EUR 0.80 per share in April 2009. The change in the fair value reserve on the Group level amounted to EUR 1,724 million. P&C insurance reported a profit before taxes of EUR 164 million (118) for the second quarter. The combined ratio amounted to 90.7 per cent (90.9). Premium income decreased to EUR 848 million (923) as a result of weak Swedish and Norwegian kronas. Profit before taxes for Sampo Group's life insurance operations amounted to EUR 26 million (27). Solvency capital strengthened significantly due to improving investment markets and the solvency ratio rose to 11.6 per cent from 7.1 per cent at the end of March 2009. Premiums written increased to EUR 188 million (110). Segment 'Holding' reported a profit before taxes of EUR 74 million (134) in the second quarter including the dividend of EUR 80 million (130) received from the Nordea in April 2009. BUSINESS AREAS P&C insurance If P&C is the leading property and casualty insurance company in the Nordic region, with insurance operations that also encompass the Baltic countries and Russia. The P&C insurance group's parent company, If P&C Insurance Holding Ltd, is located in Sweden, and the If subsidiaries provide insurance solutions and services in Finland, Sweden, Norway, Denmark, the Baltic countries and Russia. If's operations are divided into four business areas: Private, Commercial, Industrial and Baltic & Russia. --------------------------------------------------------------------------------| KEY FIGURES | 1-6 | 1-6 | Change | Q2 | Q2 | Change |--------------------------------------------------------------------------------| EURm | 2009 | 2008 | % | 2009 | 2008 | % |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Premiums | 2,174 | 2,352 | -8 | 848 | 923 | -8 |--------------------------------------------------------------------------------| Net income from | 191 | 50 | 281 | 90 | 39 | 132 || investments | | | | | | |--------------------------------------------------------------------------------| Other operating | 11 | 14 | -21 | 5 | 6 | -7 || income | | | | | | |--------------------------------------------------------------------------------| Claims incurred | -1,234 | -1,317 | -6 | -604 | -647 | -7 |--------------------------------------------------------------------------------| Change in insurance | -378 | -440 | -14 | 57 | 39 | 46 || liabilities | | | | | | |--------------------------------------------------------------------------------| Staff costs | -220 | -227 | -3 | -114 | -116 | -2 |--------------------------------------------------------------------------------| Other expenses | -220 | -238 | -7 | -110 | -118 | -7 |--------------------------------------------------------------------------------| Finance costs | -15 | -14 | 8 | -8 | -7 | 8 |--------------------------------------------------------------------------------| Profit before taxes | 308 | 182 | 69 | 164 | 118 | 39 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | Change | | | Change |--------------------------------------------------------------------------------| Combined ratio, % | 92.5 | 92.4 | 0.1 | 90.7 | 90.9 | -0.2 |--------------------------------------------------------------------------------| Risk ratio, % | 68.7 | 68.9 | -0.2 | 66.7 | 67.2 | -0.5 |--------------------------------------------------------------------------------| Cost ratio, % | 23.8 | 23.5 | 0.3 | 24.0 | 23.6 | 0.4 |--------------------------------------------------------------------------------| Expense ratio, % | 17.3 | 17.1 | 0.2 | 17.4 | 17.2 | 0.2 |--------------------------------------------------------------------------------| Return on equity, % | 47.0 | -4.8 | 51.8 | | | |--------------------------------------------------------------------------------| Average number of | 6,916 | 6,484 | 432 | | | || staff | | | | | | || (FTE) | | | | | | |-------------------------------------------------------------------------------- Profit before taxes for P&C insurance for the first half of 2009 increased significantly to EUR 308 million (182). Technical result was EUR 241 million (261). The decrease is due to the weakening of Swedish krona. Of the technical result, business area Private accounted for 50 per cent, Commercial for 27 per cent, Industrial for 16 per cent and Baltic and Russia for 5 per cent. Insurancemargin (technical result in relation to net premiums earned) was 13.4 per cent (13.5). Return on equity (RoE) at market values improved to 47.0 per cent (-4.8). Fair value reserve at the end of June 2009 was EUR -235 million (-414). Combined ratio for the first half of 2009 was 92.5 per cent (92.4). Large claimsdevelopment was benign contrary to frequency claims which increased both in number and in average size. Combined ratio improved significantly in business area Industrial and was 90.3 per cent (96.8). In other business areas combined ratios weakened slightly with Private at 92.5 per cent (91.4), Commercial at 94.5 per cent (94.1) and Baltic and Russia at 89.7 per cent (83.0). Combined ratio in Norway improved to 93.7 per cent (95.3). Combined ratios for all other countries deteriorated slightly with Sweden at 94.1 per cent (93.4), Finland at 88.6 per cent (86.8) and Denmark at 96.5 per cent (95.9). Gross written premiums decreased to EUR 2,337 million (2,550). With fixed currency rates the premiums were flat compared to first half of 2008. The notable change in the average exchange rate of the Swedish and Norwegian currencies against euro in the first half of 2009 compared to the same period inthe previous year is reflected also in the growth figures of e.g. claims and technical result in euros. Cost ratio weakened to 23.8 per cent (23.5). Cost ratio deteriorated in all business areas except Commercial. The consolidation of Russian business contributed 0.2 percentage points to the weakening. Claims incurred decreased by 6 per cent to EUR 1,234 million (1,317). Risk ratioimproved slightly to 68.7 per cent (68.9). EUR 44 million (61) was released fromthe technical reserves relating to prior year claims. Reserve ratio was 174 percent (177) of net premiums written and 247 per cent (250) of claims paid. Net income from investments more than tripled to EUR 191 million (50) in the first half of 2009. On 30 June 2009 total investment assets amounted to EUR 9.8 billion (9.0), of which 92 per cent (95) was invested in fixed income instruments, 7 per cent (5) in equity and 1 per cent (1) in other assets. Investment return at market values for the first half of 2009 was 5.0 per cent (-1.6). At the end of June 2009 the duration for interest bearing assets was 3.2years (3.1). On 30 June 2009 solvency capital amounted to EUR 2,619 million (2,221). Solvencyratio (solvency capital in relation to net premiums written) was 74 per cent (66). Life insurance Mandatum Life Group consists of Mandatum Life, a wholly-owned subsidiary of Sampo plc, operating in Finland, and its subsidiary Sampo Life Insurance Baltic SE, which has the form of a European company and is headquartered in Estonia. Itoperates in the other Baltic countries through branches. --------------------------------------------------------------------------------| KEY FIGURES | 1-6 | 1-6 | Change | Q2 | Q2 | Change |--------------------------------------------------------------------------------| EURm | 2009 | 2008 | % | 2009 | 2008 | % |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Premiums | 332 | 233 | 42 | 188 | 110 | 72 |--------------------------------------------------------------------------------| Net income from | 251 | 16 | 1,459 | 201 | 58 | 249 || investments | | | | | | |--------------------------------------------------------------------------------| Claims incurred | -312 | -412 | -24 | -125 | -179 | -30 |--------------------------------------------------------------------------------| Change in liabilities | -177 | 297 | - | -222 | 58 | - || for | | | | | | || inv. and ins. | | | | | | || contracts | | | | | | |--------------------------------------------------------------------------------| Staff costs | -13 | -12 | 8 | -7 | -6 | 4 |--------------------------------------------------------------------------------| Other expenses | -24 | -25 | -3 | -9 | -11 | -21 |--------------------------------------------------------------------------------| Finance costs | -4 | -6 | -27 | -2 | -2 | -25 |--------------------------------------------------------------------------------| Profit before taxes | 52 | 91 | -43 | 26 | 27 | -6 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | Change | | | |--------------------------------------------------------------------------------| Expense ratio, % | 121 | 117 | 4 | | | |--------------------------------------------------------------------------------| Return on equity, % | 95.7 | -35.7 | 131.4 | | | |--------------------------------------------------------------------------------| Average number of | 465 | 409 | 56 | | | || staff (FTE) | | | | | | |-------------------------------------------------------------------------------- Profit before taxes in life insurance for the first half of 2009 was EUR 52 million (91). Net investment income, excluding income on unit-linked contracts, amounted to EUR 132 million (193). Net income from unit-linked investments was EUR 119 million (-177). Fair value reserve strengthened by EUR 124 million from the end of the year and was EUR -67 million (-192) on 30 June 2009. The annualized return on equity (RoE) in life insurance was 95.7 per cent (-35.7). Excluding the assets of EUR 1.9 billion (1.6) covering unit-linked liabilities, Mandatum Life Group's investment assets amounted to EUR 4.8 billion (4.7) at market values on 30 June 2009. Fixed income covered 76 per cent (78), equity 15 per cent (12), private equity 4 per cent (5), real estate 3 per cent (3) and other instruments 2 per cent (2) of the total assets. Return on investments at market values for the first half of 2009 was 6.2 per cent (-1.1). At the end of June 2009 the duration of fixed income assets was 4.0years (3.6). Mandatum Life Group's expense ratio was 121 per cent (117). The expense ratio was burdened by investments to new proprietary sales channels. Mandatum Life Group's solvency capital clearly exceeds regulatory requirements and amounted to EUR 568 million (384) on 30 June 2009. Solvency ratio was 11.6 per cent (7.9). Total technical reserves were EUR 6.3 billion (6.1), from which unit-linked reserves accounted for EUR 1.9 billion (1.6). The share of unit-linked reserves of total technical reserves was 30 per cent (25). Mandatum Life Group's premium income on own account for the first half of 2009 was EUR 332 million (233). Growth in sales was based on success in the focal areas - corporate business and HNWI. Unit-linked premiums increased to EUR 241 million (149) and the share of unit-linked premiums was 73 per cent of total premiums (62). Mandatum Life's market share measured by premium income in unit-linked insurancein Finland rose to 28.3 per cent (20.1). The overall market share was 23.4 per cent (16.0). Premium income from the Baltic operations decreased to EUR 19 million (20). Market share in the Baltic countries increased to 15 per cent (13)and unit-linked market share to 25 per cent (20). Holding Sampo plc controls its subsidiaries engaged in P&C and life insurance. In addition Sampo plc held on 30 June 2009 approximately 18 per cent of the share capital of Nordea, the largest bank in the Nordic countries. --------------------------------------------------------------------------------| KEY FIGURES | 1-6 | 1-6 | Change | Q2 | Q2 | Change |--------------------------------------------------------------------------------| EURm | 2009 | 2008 | % | 2009 | 2008 | % |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Net investment | 86 | 179 | -52 | 92 | 151 | -39 || income | | | | | | |--------------------------------------------------------------------------------| Other operating | 6 | 2 | 263 | 4 | 0 | - || income | | | | | | |--------------------------------------------------------------------------------| Staff costs | -6 | -7 | -13 | -4 | -4 | -4 |--------------------------------------------------------------------------------| Other expenses | -11 | -8 | 30 | -5 | -4 | 22 |--------------------------------------------------------------------------------| Finance costs | -23 | -18 | 25 | -14 | -9 | 52 |--------------------------------------------------------------------------------| Profit before taxes | 52 | 148 | -65 | 74 | 134 | -45 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | Change | | | |--------------------------------------------------------------------------------| Average number of | 55 | 53 | 2 | | | || staff (FTE) | | | | | | |-------------------------------------------------------------------------------- Holding segment reported a profit before taxes of EUR 52 million (148) for the first half of 2009. The profit contains EUR 80 million (130) in dividends received from Nordea in April 2009 and a loss of EUR -19 million due to Sampo plc selling its holding in Topdanmark to its fully-owned subsidiary If P&C Insurance Holding Ltd in the first quarter of the year. The loss is eliminated in the consolidated Group accounts. The fair value reserve strengthened by EUR 1,319 million to EUR -521 million (-1,840) in the second quarter. The assets on Sampo plc's balance sheet on 30 June 2009 comprise investment assets of EUR 4.2 billion (2.8), of which liquidity reserve in short-term fixed income instruments covered 3 per cent (39) and equities 97 per cent (61). The largest equity holding was Nordea Bank, the market value of which amounted to EUR 4.1 billion. All in all Sampo plc has invested EUR 4.6 billion in Nordea andon 30 June 2009 held 726,251,991 Nordea shares corresponding to a holding of 18 per cent. Sampo plc's assets also include holdings in subsidiaries for EUR 2.4 billion (2.4). In early April 2009 Sampo announced a debt exchange offer in respect of EUR 600 million subordinated note which was to be exchanged for new Euro Denominated Senior Fixed Rate Notes. Concurrently, Sampo issued additional notes for cash which will be fungible with the new notes. Notes were issued under the Euro Medium Term Note Programme established in March 2009. On 30 June 2009 Sampo plc's balance sheet liabilities include a senior bond of EUR 756 million and EUR 293 million of outstanding CPs issued under its domesticCP programme. After the exchange offer EUR 37 million of the subordinated note remains on the balance sheet. In addition Sampo plc signed a EUR 200 million revolving credit facility in April 2009. The facility is undrawn. DEVELOPMENTS IN THE SECOND QUARTER OF 2009 Annual General Meeting of 2009 The Annual General Meeting held on 7 April 2009 decided to distribute a dividendof EUR 0.80 per share for 2008. The dividend was paid on 21 April 2009. The Annual General Meeting adopted the financial accounts for 2008 and discharged the Board of Directors and the Group CEO and President from liability for the financial year. The Annual General Meeting decided to elect eight members to the Board. The following seven members were re-elected to the Board of Directors: Tom Berglund,Anne Brunila, Eira Palin-Lehtinen, Jukka Pekkarinen, Christoffer Taxell, Matti Vuoria and Bjorn Wahlroos. Veli-Matti Mattila was elected as new Board member. At its organisational meeting, the Board elected Bjorn Wahlroos as Chairman. Thefollowing members were elected to the Nomination and Compensation Committee: Bjorn Wahlroos (Chairman), Matti Vuoria (Vice Chairman), Christoffer Taxell, Anne Brunila and Eira Palin-Lehtinen. Christoffer Taxell (Chairman), Tom Berglund (Vice Chairman), Jukka Pekkarinen and Veli-Matti Mattila were elected to the Audit Committee. The Board of Directors has assessed the independence of its members based on theFinnish Corporate Governance Code and concluded that Berglund, Brunila, Mattila,Palin-Lehtinen, Pekkarinen and Taxell are non-executive members independent of the company and its major shareholders. Based on the Board's assessment, Wahlroos and Vuoria are not independent of the company. The Annual General Meeting decided to pay the following fees to the members of the Board of Directors until the close of the 2010 Annual General Meeting: the Chairman of the Board will be paid EUR 160,000 per year, the Vice Chairman EUR 100,000 per year and the other members EUR 80,000 per year. After deduction of taxes and similar payments, 50 per cent of the Board members' annual compensation will be paid in Sampo A shares and the rest in cash. Board members employed by the company will not be paid a separate fee for Board work during the validity of the employment or service relationship. Ernst & Young Oy was elected as Auditor. The Annual General Meeting decided thatthe company's Auditor will be paid on the basis of reasonable invoicing. The Annual General Meeting authorised the Board to acquire in one or several lots a maximum of 50,000,000 Sampo A shares. Shares can be repurchased in other proportion than the shareholders' proportional shareholdings (private repurchase). The share price will be no higher than the highest price paid for Sampo shares in public trading at the time of purchase. The authorisation will be valid until the close of the next Annual General Meeting, nevertheless not more than 18 months after AGM's decision. The Annual General Meeting decided to reduce the share premium account and the reserve fund on the company's Balance Sheet on 31 December 2008 by transferring all the funds in the share premium account and reserve fund on the Balance Sheeton 31 December 2008 to the invested unrestricted equity. Administration Kari Stadigh started as Group CEO and President of Sampo Group on 8 April 2009 in accordance with the nomination by Sampo's Board of Directors on 5 November 2008. Stadigh's predecessor Bjorn Wahlroos was elected Chairman of the Sampo Board on 7 April 2009. On 6 May 2009 Sampo Group's Board of Directors decided that the Group MD Committee's composition will be following: Kari Stadigh (chairman), Ilona Ervasti-Vaintola, Peter Johansson, Patrick Lapvetelaeinen, Torbjorn Magnusson, Petri Niemisvirta and Ricard Wennerklint. Shares and share capital On 30 June 2009 Sampo plc had 561,372,390 shares, divided into 560,172,390 A shares and 1,200,000 B shares. Sampo plc's share capital amounted to EUR 98 million (98) on 30 June 2009. During the first half of 2009 Sampo plc did not repurchase its own shares and on30 June 2009 it did not hold any of its own shares. The other Group companies held no shares in the parent company. Staff The number of full-time equivalent staff decreased in the first half of 2009 to 7,361 employees on 30 June 2009 from 7,458 employees on 31.12.2008. In P&C insurance the number of staff decreased mainly in the Baltic and Russian operations. Approximately 93 per cent of the staff worked in P&C insurance, 6 per cent in life insurance and 1 per cent in the holding company. Geographically, 29 per cent worked in Finland, 26 per cent in Sweden, 22 per cent in Norway and 23 per cent in the Baltic countries and Russia, Denmark and other countries. The average number of employees during the first half of 2009 was 7,436 compared with 6,946 in the same period previous year. Management incentive schemes The management incentive schemes in Sampo Group are of two types; long-term management incentive schemes and a share-based incentive scheme. No payments based on these schemes were made in the first half of 2009. Ratings All the main ratings for Sampo Group companies remained unchanged in the second quarter of 2009. --------------------------------------------------------------------------------| Rated company | Moody's | Standard and Poor's |--------------------------------------------------------------------------------| | Rating | Outlook | Rating | Outlook |--------------------------------------------------------------------------------| Sampo plc | Baa2 | Stable | Not rated | - |--------------------------------------------------------------------------------| If P&C Insurance Ltd | A2 | Stable | A | Stable || (Sweden) | | | | |--------------------------------------------------------------------------------| If P&C Insurance Company | A2 | Stable | A | Stable || Ltd | | | | || (Finland) | | | | |-------------------------------------------------------------------------------- Internal dividends If P&C Insurance Holding Ltd paid a dividend of SEK 1,100 million (EUR 104 million) to the parent company Sampo plc in May 2009. Group solvency The Group solvency is based on adjusted solvency calculation method for insurance groups according to the Decree of the Ministry of Social Affairs and Health (1106/2000), Chapter 7.1 ?. The adjusted solvency is determined on the basis of the Group financial statements as permitted by the Insurance Supervisory Authority. The Group's solvency ratio (own funds in relation to minimum requirements for own funds) on 30 June 2009 was 675.7 per cent (433.6). --------------------------------------------------------------------------------| SAMPO GROUP SOLVENCY | 30 June 2009 | 31 December 2008 |--------------------------------------------------------------------------------| EURm | | |--------------------------------------------------------------------------------| Group capital | 6,090 | 4,631 |--------------------------------------------------------------------------------| Sectoral items | 575 | 391 |--------------------------------------------------------------------------------| Intangibles and other deductibles | -1,140 | -1,571 |--------------------------------------------------------------------------------| Group's own funds, total | 5,525 | 3,452 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Minimum requirements for own | 818 | 796 || funds, total | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group solvency | 4,707 | 2,656 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group solvency ratio | | |--------------------------------------------------------------------------------| (Own funds % of minimum | 675.7 | 433.6 || requirements) | | |-------------------------------------------------------------------------------- In Sampo Group risks are assessed and aggregated internally using an economic capital framework, which quantifies the amount of capital required to protect the economic solvency over a one year time horizon. The economic capital tied up in Group's operations on 30 June 2009 was EUR 2,657million (1,959) at 99.5 per cent's confidence level. The upcoming Solvency II regulations will use a confidence level of 99.5 per cent. The change in the economic capital required was based on the increase of the Nordea holding. Nordea is treated in the calculation as an equity investment. Developments after the end of reporting period If P&C Insurance Holding Ltd finalized the project of combining its Baltic subsidiaries into one company on 1 July 2009. The new company, If P&C Insurance AS, operates in all the Baltic countries and has its domicile in Estonia and branches in Latvia and Lithuania. On 17 July 2009 Mandatum Life sold its Topdanmark shares to If P&C. All Topdanmark shares owned by Sampo Group are now held by If P&C. The holding amounts to 1,889,076 shares corresponding to 11.25 per cent of Topdanmark's share capital. The transaction has no impact on profits. OUTLOOK FOR THE REST OF 2009 Conditions in the investment markets improved significantly in the second quarter of 2009. A clear change of sentiment seems to have taken place in the market as the global economy is beginning to pull out of the recession. Despite the encouraging signs, the recession is not quite over yet. Recovery will take its time, as will the build up of confidence in securities markets. As markets improve, volatility will remain high however, injecting a measure of uncertaintyinto any forecast for the immediate future. Sampo Group's result for 2009 will largely depend on the earnings of the P&C insurance operation, although improving asset values will reflect on valuations of Sampo Group's investment assets and the returns achieved. The reported profitis expected to remain on a good level. The macroeconomic situation will have a small negative impact on premium growth in P&C insurance and the insurance technical result of If P&C is not expected tosuffer in 2009 from the economic downturn. If P&C is expected to reach a combined ratio of 91 - 94 per cent, well below its long-term target of 95 per cent. Mandatum Life's reported profit is expected to remain stable. The marked-to-market result is to a very large extent dependent on investment markets and it is impossible to reliably estimate it for 2009. Holding segment's profit for full-year 2009 consists mostly of the EUR 80 million dividends received from Nordea in April 2009. With the current asset composition the Holding segment will report a loss in the second of half of 2009due to finance and other costs but the effect will be small in the Group context. Sampo plc may increase its holding in Nordea further provided that market conditions remain favourable and start consolidating the holding with equity method once reaching 20 per cent. SAMPO PLC Board of Directors For more information, please contact: Peter Johansson, Group CFO, tel. +358 10 516 0010 Jarmo Salonen, Head of Investor Relations and Group Communications, tel. +358 10516 0030 Maria Silander, Press Officer, tel. +358 10 516 0031 Sampo will arrange a Finnish-language press conference (Savoy, Etelaeesplanadi 14, Helsinki), at 12:30 pm Finnish time. An English-language telephone conference for investors and analysts on the second quarter results will be heldat 4 pm Finnish time (2 pm UK time). Please call +44?207 162 0025 (UK/European) or +1 334 323 6201 (North American). Password: SAMPO. The telephone conference can also be followed from a direct transmission on the Internet at www.sampo.com/ir. A recorded version will later be available at the same address. In addition, a webcast of Group CEO and President Kari Stadigh's review of developments in the second quarter of 2009 and supplementary information are available at www.sampo.com/ir. Sampo will publish the third quarter 2009 interim report on 4 November 2009. DISTRIBUTION: NASDAQ OMX Helsinki The principal media Financial Supervisory Authority www.sampo.com --------------------------------------------------------------------------------| GROUP FINANCIAL REVIEW | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| FINANCIAL HIGHLIGHTS | | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| GROUP | | | |--------------------------------------------------------------------------------| Profit before taxes | EURm | 433 | 422 |--------------------------------------------------------------------------------| Return on equity (at fair value) | % | 69,5 | -14,5 |--------------------------------------------------------------------------------| Return on assets (at fair value) | % | 19,9 | -2,5 |--------------------------------------------------------------------------------| Equity/assets ratio | % | 25,6 | 26,6 |--------------------------------------------------------------------------------| Group solvency (1)) | EURm | 4 707 | 5 151 |--------------------------------------------------------------------------------| Group solvency ratio | % | 675,7 | 682,8 |--------------------------------------------------------------------------------| Average number of staff | | 7 436 | 6 937 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| PROPERTY & CASUALTY INSURANCE | | | |--------------------------------------------------------------------------------| Premiums written before reinsurers' | EURm | 2 337 | 2 550 || share | | | |--------------------------------------------------------------------------------| Premiums earned | EURm | 1 796 | 1 912 |--------------------------------------------------------------------------------| Profit before taxes | EURm | 308 | 182 |--------------------------------------------------------------------------------| Return on equity (at current value) | % | 47,0 | -4,8 |--------------------------------------------------------------------------------| Risk ratio (2)) | % | 68,7 | 68,9 |--------------------------------------------------------------------------------| Cost ratio (2)) | % | 23,8 | 23,5 |--------------------------------------------------------------------------------| Loss ratio (2)) | % | 76,9 | 76,8 |--------------------------------------------------------------------------------| Loss ratio excl. unwinding of discount | % | 75,2 | 75,3 || (3)) | | | |--------------------------------------------------------------------------------| Expense ratio (2)) | % | 17,3 | 17,1 |--------------------------------------------------------------------------------| Combined ratio | % | 94,1 | 94,0 |--------------------------------------------------------------------------------| Combined ratio excl. unwinding of | % | 92,5 | 92,4 || discount | | | |--------------------------------------------------------------------------------| Average number of staff | | 6 916 | 6 484 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| LIFE INSURANCE | | | |--------------------------------------------------------------------------------| Premiums written before reinsurers' | EURm | 338 | 239 || share | | | |--------------------------------------------------------------------------------| Profit before taxes | EURm | 52 | 91 |--------------------------------------------------------------------------------| Return on equity (at current value) | % | 95,7 | -35,7 |--------------------------------------------------------------------------------| Expense ratio | % | 121,4 | 117,1 |--------------------------------------------------------------------------------| Average number of staff | | 465 | 400 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| HOLDING | | | |--------------------------------------------------------------------------------| Profit before taxes | EURm | 52 | 148 |--------------------------------------------------------------------------------| Average number of staff | | 55 | 53 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| PER SHARE KEY FIGURES | | | |--------------------------------------------------------------------------------| Earnings per share | EUR | 0,61 | 0,60 |--------------------------------------------------------------------------------| Earnings per share, incl. change in | | | || fair value | | | |--------------------------------------------------------------------------------| reserve | EUR | 3,33 | -0,90 |--------------------------------------------------------------------------------| Capital and reserves per share | EUR | 10,85 | 11,33 |--------------------------------------------------------------------------------| Net asset value per share | EUR | 10,87 | 11,36 |--------------------------------------------------------------------------------| Adjusted share price, high | EUR | 15,03 | 19,30 |--------------------------------------------------------------------------------| Adjusted share price, low | EUR | 8,63 | 14,80 |--------------------------------------------------------------------------------| Market capitalisation | EURm | 7 550 | 9 178 |-------------------------------------------------------------------------------- (1)) The Group solvency is based on adjusted solvency calculations for insurance groups according to the Decree of the Ministry of Social Affairs and Health (1106/2000), Chapter 7.1 ?. The adjusted solvency is determined on the basis of the Group financial statements as permitted by the Insurance Supervisory Authority (Financial Supervisory Authority from 1 Jan. 2009). (2)) The key figures for P&C Insurance are based on activity based costs and cannot, therefore, be calculated directly from the consolidated income statement. The result analysis of P&C insurance is presented in note 13. In calculating the per share key figures, the number of shares used at the balance sheet date and as the average number of shares during the period was 561,372,390. In calculating the key figures, the tax corresponding to the result for the accounting period has been taken into account. The valuation differences of investment property and held-to-maturity debt securities have been taken into account in return on assets, return on equity, equity/assets ratio and net assetvalue per share. Additionally, the change in fair value reserve has been taken into account in return on assets and return on equity. A deferred tax liability has been deducted from the valuation differences. The key figures for the insurance business have been calculated in accordance with the decree issued by the Ministry of Finance and the specifying regulationsand instructions of the Insurance Supervisory Authority (Financial Supervisory Authority from 1 Jan. 2009). --------------------------------------------------------------------------------| CALCULATION OF KEY FIGURES | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Return on equity (fair values), % | |--------------------------------------------------------------------------------| + profit before taxes | |--------------------------------------------------------------------------------| + change in fair value reserve | |--------------------------------------------------------------------------------| + change in valuation differences on investments | |--------------------------------------------------------------------------------| - tax (incl. change in deferred tax relating to valuation | x 100 % || differences on investments) | |--------------------------------------------------------------------------------| + total equity | |--------------------------------------------------------------------------------| + valuation differences on investments after deduction of | || deferred tax | |--------------------------------------------------------------------------------| (average of values 1 Jan. and the end of reporting period) | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Return on assets (at fair values), % | |--------------------------------------------------------------------------------| + operating profit | |--------------------------------------------------------------------------------| + interest and other financial charges | |--------------------------------------------------------------------------------| + calculated interest on technical provisions | |--------------------------------------------------------------------------------| + change in fair value reserve | |--------------------------------------------------------------------------------| + change in valuation differences on investments | x 100 % |--------------------------------------------------------------------------------| + balance sheet total | |--------------------------------------------------------------------------------| - technical provisions relating to unit-linked insurance | |--------------------------------------------------------------------------------| + valuation differences on investments | |--------------------------------------------------------------------------------| (average of values on 1 Jan. and the end of the reporting | || period) | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity/assets ratio (at fair values), % | |--------------------------------------------------------------------------------| + total equity | |--------------------------------------------------------------------------------| + valuation differences on investments after deduction of | x 100 % || deferred tax | |--------------------------------------------------------------------------------| + balance sheet total | |--------------------------------------------------------------------------------| + valuation differences on investments | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Risk ratio for P&C Insurance, % | |--------------------------------------------------------------------------------| + claims incurred | |--------------------------------------------------------------------------------| - claims settlement expenses | x 100 % |--------------------------------------------------------------------------------| insurance premiums earned | |--------------------------------------------------------------------------------| | |--------------------------------------------------------------------------------| Cost ratio for P&C Insurance, % | |--------------------------------------------------------------------------------| + operating expenses | |--------------------------------------------------------------------------------| + claims settlement expenses | x 100 % |--------------------------------------------------------------------------------| insurance premiums earned | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Loss ratio for P&C Insurance, % | |--------------------------------------------------------------------------------| claims incurred | x 100 % |--------------------------------------------------------------------------------| insurance premiums earned | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Expense ratio for P&C Insurance, % | |--------------------------------------------------------------------------------| operating expenses | x 100 % |--------------------------------------------------------------------------------| insurance premiums earned | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Combined ratio for P&C Insurance, % | |--------------------------------------------------------------------------------| Loss ratio + expense ratio | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Expense ratio for life insurance, % | |--------------------------------------------------------------------------------| + operating expenses before change in deferred acquisition | || costs | |--------------------------------------------------------------------------------| + claims settlement expenses | x 100 % |--------------------------------------------------------------------------------| expense charges | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Per share key figures | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Earnings per share | |--------------------------------------------------------------------------------| profit for the financial period attributable to the parent | |--------------------------------------------------------------------------------| company's equity holders | |--------------------------------------------------------------------------------| adjusted average number of shares | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity per share | |--------------------------------------------------------------------------------| equity attributable to the parent company's equity holders | |--------------------------------------------------------------------------------| adjusted number of shares at the balance sheet date | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Net asset value per share | |--------------------------------------------------------------------------------| + equity attributable to the parent company's equity holders | |--------------------------------------------------------------------------------| + valuation differences after the deduction of deferred taxes | |--------------------------------------------------------------------------------| adjusted number of shares at balance sheet date | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Market capitalisation | |--------------------------------------------------------------------------------| number of shares at the balance sheet date | |--------------------------------------------------------------------------------| x closing share price at the balance sheet date | |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| GROUP QUARTERLY INCOME | | | | | || STATEMENT | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | 4-6/20 | 1-3/20 | 10-12/ | 7-9/200 | 4-6/200 || | 09 | 09 | 2008 | 8 | 8 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Insurance premiums written | 1 036 | 1 470 | 872 | 892 | 1 033 |--------------------------------------------------------------------------------| Net income from investments | 384 | 165 | -6 | 37 | 247 |--------------------------------------------------------------------------------| Other operating income | 5 | 3 | 11 | 5 | 1 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims incurred | -729 | -818 | -761 | -865 | -825 |--------------------------------------------------------------------------------| Change in liabilities for | -165 | -390 | 367 | 443 | 97 || insurance and investment | | | | | || contracts | | | | | |--------------------------------------------------------------------------------| Staff costs | -125 | -115 | -120 | -127 | -127 |--------------------------------------------------------------------------------| Other operating expenses | -122 | -129 | -140 | -127 | -130 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Finance costs | -21 | -17 | -16 | -17 | -16 |--------------------------------------------------------------------------------| Share of associates' | 0 | 0 | 0 | 0 | 0 || profit/loss | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit for the period before | 264 | 169 | 206 | 242 | 279 || taxes | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Taxes | -46 | -42 | -53 | -67 | -39 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit for the period | 217 | 127 | 153 | 175 | 241 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other comprehensive income | | | | | || for the period | | | | | |--------------------------------------------------------------------------------| Exchange differences on | 17 | 10 | -186 | -54 | -9 || translating foreign | | | | | || operations | | | | | |--------------------------------------------------------------------------------| Available-for-sale financial | 1 875 | -247 | -1 396 | -36 | -729 || assets | | | | | |--------------------------------------------------------------------------------| Cash flow hedges | -8 | 8 | 15 | - | - |--------------------------------------------------------------------------------| Income tax relating to | -143 | 42 | -99 | 13 | 194 || components of other | | | | | || comprehensive income | | | | | |--------------------------------------------------------------------------------| Other comprehensive income | 1 741 | -186 | -1 665 | -77 | -544 || for the period, net of tax | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL COMPREHENSIVE INCOME | 1 959 | -59 | -1 512 | 98 | -304 || FOR THE PERIOD, NET OF TAX | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | 217 | 127 | 153 | 175 | 241 |--------------------------------------------------------------------------------| Non-controlling interests | 0 | 0 | 0 | 0 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total comprehensive income | | | | | || attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | 1 958 | -59 | -1 512 | 98 | -304 |--------------------------------------------------------------------------------| Non-controlling interests | 0 | 0 | 0 | 0 | 0 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| CONSOLIDATED COMPREHENSIVE INCOME STATEMENT | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | Note | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Insurance premiums written | 1 | 2 506 | 2 585 |--------------------------------------------------------------------------------| Net income from investments | 2 | 549 | 244 |--------------------------------------------------------------------------------| Other operating income | | 8 | 7 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims incurred | 3 | -1 546 | -1 729 |--------------------------------------------------------------------------------| Change in liabilities for insurance and | | -555 | -143 || investment contracts | | | |--------------------------------------------------------------------------------| Staff costs | 4 | -240 | -246 |--------------------------------------------------------------------------------| Other operating expenses | | -250 | -265 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Finance costs | | -38 | -33 |--------------------------------------------------------------------------------| Share of associates' profit/loss | | 0 | 2 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit before taxes | | 433 | 422 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Taxes | | -88 | -76 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit for the period | | 345 | 346 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other comprehensive income for the | | | || period | | | |--------------------------------------------------------------------------------| Exchange differences | | 28 | -9 |--------------------------------------------------------------------------------| Available-for-sale financial assets | | 1 628 | -1 170 |--------------------------------------------------------------------------------| Cash flow hedges | | -1 | - |--------------------------------------------------------------------------------| Income tax relating to components of | | -101 | 308 || other comprehensive income | | | |--------------------------------------------------------------------------------| Other comprehensive income for the | | 1 555 | -870 || period, net of tax | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL COMPREHENSIVE INCOME FOR THE | | 1 900 | -524 || PERIOD | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit attributable to | | | |--------------------------------------------------------------------------------| Owners of the parent | | 345 | 346 |--------------------------------------------------------------------------------| Non-controlling interests | | 0 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total comprehensive income attributable | | | || to | | | |--------------------------------------------------------------------------------| Owners of the parent | | 1 900 | -524 |--------------------------------------------------------------------------------| Non-controlling interests | | 0 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Basic earnings per share (eur) | | 0,61 | 0,60 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| CONSOLIDATED BALANCE SHEET | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | Note | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Assets | | | |--------------------------------------------------------------------------------| Property, plant and equipment | | 36 | 38 |--------------------------------------------------------------------------------| Investment property | | 126 | 138 |--------------------------------------------------------------------------------| Intangible assets | 5 | 662 | 663 |--------------------------------------------------------------------------------| Investments in associates | | 5 | 5 |--------------------------------------------------------------------------------| Financial assets | 6, 7 | 18 459 | 16 139 |--------------------------------------------------------------------------------| Investments related to unit-linked | 8 | 1 905 | 1 637 || insurance contracts | | | |--------------------------------------------------------------------------------| Tax assets | | 82 | 156 |--------------------------------------------------------------------------------| Reinsurers' share of insurance | | 474 | 436 || liabilities | | | |--------------------------------------------------------------------------------| Other assets | | 1 594 | 1 473 |--------------------------------------------------------------------------------| Cash and cash equivalents | | 506 | 465 |--------------------------------------------------------------------------------| Total assets | | 23 850 | 21 149 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Liabilities | | | |--------------------------------------------------------------------------------| Liabilities for insurance and | 9 | 12 986 | 12 375 || investment contracts | | | |--------------------------------------------------------------------------------| Liabilities for unit-linked insurance | 10 | 1 903 | 1 637 || and investment contracts | | | |--------------------------------------------------------------------------------| Financial liabilities | 11 | 1 602 | 1 269 |--------------------------------------------------------------------------------| Tax liabilities | | 422 | 379 |--------------------------------------------------------------------------------| Provisions | | 21 | 26 |--------------------------------------------------------------------------------| Employee benefits | | 95 | 92 |--------------------------------------------------------------------------------| Other liabilities | | 730 | 739 |--------------------------------------------------------------------------------| Total liabilities | | 17 759 | 16 517 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity | | | |--------------------------------------------------------------------------------| Share capital | | 98 | 98 |--------------------------------------------------------------------------------| Reserves | | 1 530 | 1 531 |--------------------------------------------------------------------------------| Retained earnings | | 5 519 | 5 614 |--------------------------------------------------------------------------------| Other components of equity | | -1 057 | -2 612 |--------------------------------------------------------------------------------| Equity attributable to owners of the | | 6 090 | 4 631 || parent | | | |--------------------------------------------------------------------------------| Non-controlling interests | | 0 | 0 |--------------------------------------------------------------------------------| Total equity | | 6 090 | 4 631 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total equity and liabilities | | 23 850 | 21 149 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| STATEMENTS | | | | | | | | | || OF CHANGES | | | | | | | | | || IN EQUITY, | | | | | | | | | || IFRS | | | | | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | Sh | Shar | Leg | Invest | Retai | Transl | Avail | Cash | Tota || | ar | e | al | ed | ned | ation | able- | flow | l || | e | prem | res | unrest | earni | of | for-s | hedg | || | ca | ium | erv | ricted | ngs | foreig | ale | es** | || | pi | acco | e | equity | | n | finan | ) | || | ta | unt | | | | operat | cial | | || | l | | | | | ions | asset | | || | | | | | | | s*) | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity at | 98 | 1 | 370 | | 5 862 | -74 | 317 | - | 7 || 1 Jan. | | 160 | | | | | | | 733 || 2008 | | | | | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Changes in | | | | | | | | | || equity | | | | | | | | | |--------------------------------------------------------------------------------| Share-base | | | | | 1 | | | | 1 || d payments | | | | | | | | | |--------------------------------------------------------------------------------| Acquisitio | | | | | -45 | | | | -45 || n of | | | | | | | | | || treasury | | | | | | | | | || shares | | | | | | | | | |--------------------------------------------------------------------------------| Recognitio | | | | | 3 | | | | || n of | | | | | | | | | || undrawn | | | | | | | | | || dividends | | | | | | | | | |--------------------------------------------------------------------------------| Dividends | | | | | -686 | | | | |--------------------------------------------------------------------------------| Total | | | | 346 | -9 | -861 | - | -524 || comprehensive | | | | | | | | || income for the | | | | | | | | || period | | | | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity at | 98 | 1 | 370 | | 5 481 | -83 | -544 | - | 6 || 30 June | | 160 | | | | | | | 482 || 2008 | | | | | | | | | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity at | 98 | 1 | 370 | 0 | 5 614 | -249 | -2 | 11 | 4 || Jan. 2009 | | 161 | | | | | 375 | | 631 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Changes in | | | | | | | | | || equity | | | | | | | | | |--------------------------------------------------------------------------------| Transfers | | -1 | -36 | 1 527 | | | | | -1 || between | | 161 | 6 | | | | | | || equity | | | | | | | | | |--------------------------------------------------------------------------------| Share-base | | | | | -2 | | | | -2 || d payments | | | | | | | | | |--------------------------------------------------------------------------------| Recognitio | | | | | 11 | | | | 11 || n of | | | | | | | | | || undrawn | | | | | | | | | || dividends | | | | | | | | | |--------------------------------------------------------------------------------| Dividends | | | | | -449 | | | | -449 |--------------------------------------------------------------------------------| Total | | | | 345 | 28 | 1 528 | 0 | 1 || comprehensive | | | | | | | | 900 || income for the | | | | | | | | || period | | | | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity at | 98 | 0 | 4 | 1 527 | 5 519 | -221 | -847 | 11 | 6 || 30 June | | | | | | | | | 090 || 2009 | | | | | | | | | |-------------------------------------------------------------------------------- *) The amount recognised in equity from available-for-sale financial assets for the period totalled EURm 1,466 (-855). The amount transferred to p/l amounted toEURm 61 (-6). **) The amount recognised in equity from cash flow hedges for the period totalled EURm -0 (-). The amount included in the translation, available-for-sale and cash flow hedge reserves represent other comprehensive income for each component, net of tax. --------------------------------------------------------------------------------| STATEMENT OF CASH FLOWS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Cash and cash equivalent at the beginning of | 499 | 971 || the period | | |--------------------------------------------------------------------------------| Cash flow from/used in operating activities | 1 168 | 498 |--------------------------------------------------------------------------------| Cash flow from/used in investing activities | -1 205 | -103 |--------------------------------------------------------------------------------| Cash flow from/used in financing activities | 42 | -722 |--------------------------------------------------------------------------------| Dividends paid | -443 | -678 |--------------------------------------------------------------------------------| Acquisition of own shares | - | -45 |--------------------------------------------------------------------------------| Increase of liabilities | 487 | - |--------------------------------------------------------------------------------| Decrease of liabilities | -1 | - |--------------------------------------------------------------------------------| Cash and cash equivalent at the end of the | 504 | 644 || period | | |-------------------------------------------------------------------------------- The cash flow statement reports cash flows during the period classified by operating, investing and financing activities. Cash flows are reported by using the indirect method. Cash flows from operating activities derive primarily from the principal revenue-producing activities. Cash flows from investments in subsidiaries and associated undertakings and those from investments in intangible assets and property, plant and equipment are presented in investing activities. Financing activities include cash flows resulting from changes in equity and borrowings in order to conduct the business. Cash and cash equivalents consist of cash at bank and in hand and short-term deposits (under 3months). NOTES ACCOUNTING POLICIES Sampo Group's consolidated financial statements are prepared in accordance with the International Financial Reporting Standards (IFRS) adopted by the EU. The interim financial statements are presented in accordance with IAS 34 Interim Financial Reporting. In preparing the interim financial statements, the same accounting policies and methods of computation are applied as in the financial statements for 2008. Sampo adopted various new or revised standards and interpretations at the beginning of the year 2009. These standards and interpretations are explained inSampos accounting policies for the financial year 2008. The financial statementsare available on Sampo's website at www.sampo.com/ir. The revised IAS 1 Presentation of Financial Statements changed the presentation of the income statement and the statement of changes in equity, and the used terminology. Only the transactions with the owners and potential changes in accounting policies as well as error corrections are presented in the statement of changes in equity.Non-owner transactions are presented in the statement of comprehensive income. These transactions show only as a totalsum in the statement of changes in equity. IFRS 8 Operating Segments changed the segment reporting by requiring the reported segment information to be based on the information reported to the management, and to comply with those accounting policies. The adoption of the standard did not have a material effect on Sampo's segment reporting, as the segment information published previously has already been based on the Group's internal reporting structure. --------------------------------------------------------------------------------| CONSOLIDATED INCOME | | | | | || STATEMENT BY SEGMENT FOR | | | | | || SIX MONTHS ENDED 30 JUNE | | | | | || 2009 | | | | | |--------------------------------------------------------------------------------| EURm | P&C | Life | Holding | Elimina | Group || | insuranc | insuran | | -tion | || | e | ce | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Insurance premius written | 2 174 | 332 | - | - | 2 506 |--------------------------------------------------------------------------------| Net income from | 191 | 251 | 86 | 20 | 549 || investments | | | | | |--------------------------------------------------------------------------------| Other operating income | 11 | 0 | 6 | -9 | 8 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims incurred | -1 234 | -312 | - | - | -1 546 |--------------------------------------------------------------------------------| Change in liabilities for | -378 | -177 | - | - | -555 || insurance and investment | | | | | || contracts | | | | | |--------------------------------------------------------------------------------| Staff costs | -220 | -13 | -6 | - | -240 |--------------------------------------------------------------------------------| Other operating expenses | -220 | -24 | -11 | 5 | -250 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Finance costs | -15 | -4 | -23 | 4 | -38 |--------------------------------------------------------------------------------| Share of associates' | 0 | 0 | - | - | 0 || profit/loss | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit before taxes | 308 | 52 | 52 | 20 | 433 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Taxes | | | | | -88 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit for the period | | | | | 345 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other comprehensive income | | | | | || for the period | | | | | |--------------------------------------------------------------------------------| Exchange differences | | | | | 28 |--------------------------------------------------------------------------------| Available-for-sale | | | | | 1 628 || financial assets | | | | | |--------------------------------------------------------------------------------| Cash flow hedges | | | | | -1 |--------------------------------------------------------------------------------| Income tax relating to | | | | | -101 || components of other | | | | | || comprehensive income | | | | | |--------------------------------------------------------------------------------| Other comprehensive income | | | | | 1 555 || for the period, net of tax | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL COMPREHENSIVE INCOME | | | | | 1 900 || FOR THE PERIOD | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | | | | | 345 |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total comprehensive income | | | | | || attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | | | | | 1 900 |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| CONSOLIDATED INCOME | | | | | || STATEMENT BY SEGMENT FOR | | | | | || SIX MONTHS ENDED 30 JUNE | | | | | || 2008 | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | P&C | Life | Holding | Elimina | Group || | insuranc | insuran | | -tion | || | e | ce | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Insurance premius written | 2 352 | 233 | - | - | 2 585 |--------------------------------------------------------------------------------| Net income from | 50 | 16 | 179 | -1 | 244 || investments | | | | | |--------------------------------------------------------------------------------| Other operating income | 14 | 0 | 2 | -9 | 7 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims incurred | -1 317 | -412 | - | - | -1 729 |--------------------------------------------------------------------------------| Change in liabilities for | -440 | 297 | - | - | -143 || insurance and investment | | | | | || contracts | | | | | |--------------------------------------------------------------------------------| Staff costs | -227 | -12 | -7 | - | -246 |--------------------------------------------------------------------------------| Other operating expenses | -238 | -25 | -8 | 6 | -265 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Finance costs | -14 | -6 | -18 | 5 | -33 |--------------------------------------------------------------------------------| Share of associates' | 1 | 0 | 0 | - | 2 || profit/loss | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit before taxes | 182 | 91 | 148 | 1 | 422 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Taxes | | | | | -76 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit for the period | | | | | 346 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other comprehensive income | | | | | || for the period | | | | | |--------------------------------------------------------------------------------| Exchange differences | | | | | -9 |--------------------------------------------------------------------------------| Available-for-sale | | | | | -1 170 || financial assets | | | | | |--------------------------------------------------------------------------------| Cash flow hedges | | | | | - |--------------------------------------------------------------------------------| Income tax relating to | | | | | 308 || components of other | | | | | || comprehensive income | | | | | |--------------------------------------------------------------------------------| Other comprehensive income | | | | | -870 || for the period, net of tax | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL COMPREHENSIVE INCOME | | | | | -524 || FOR THE PERIOD | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Profit attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | | | | | 346 |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total comprehensive income | | | | | || attributable to | | | | | |--------------------------------------------------------------------------------| Owners of the parent | | | | | -524 |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| CONSOLIDATED BALANCE SHEET | | | | | || BY SEGMENT AT 30 JUNE 2009 | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | P&C | Life | Holding | Elimina | Group || | insuran | insuranc | | -tion | || | ce | e | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Assets | | | | | |--------------------------------------------------------------------------------| Property, plant and | 25 | 5 | 5 | - | 36 || equipment | | | | | |--------------------------------------------------------------------------------| Investment property | 28 | 88 | 10 | - | 126 |--------------------------------------------------------------------------------| Intangible assets | 494 | 167 | 0 | - | 662 |--------------------------------------------------------------------------------| Investments in associates | 3 | 2 | 0 | - | 5 |--------------------------------------------------------------------------------| Financial assets | 9 505 | 4 754 | 6 708 | -2 507 | 18 459 |--------------------------------------------------------------------------------| Investments related to | - | 1 905 | - | - | 1 905 || unit-linked insurance | | | | | || contracts | | | | | |--------------------------------------------------------------------------------| Tax assets | 74 | - | 8 | 0 | 82 |--------------------------------------------------------------------------------| Reinsurers' share of | 470 | 4 | - | - | 474 || insurance liabilities | | | | | |--------------------------------------------------------------------------------| Other assets | 1 440 | 130 | 52 | -27 | 1 594 |--------------------------------------------------------------------------------| Cash and cash equivalents | 418 | 64 | 24 | - | 506 |--------------------------------------------------------------------------------| Total assets | 12 457 | 7 121 | 6 806 | -2 535 | 23 850 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Liabilities | | | | | |--------------------------------------------------------------------------------| Liabilities for insurance | 8 551 | 4 436 | - | - | 12 986 || and investment contracts | | | | | |--------------------------------------------------------------------------------| Liabilities for | - | 1 903 | - | - | 1 903 || unit-linked insurance and | | | | | || investment contracts | | | | | |--------------------------------------------------------------------------------| Financial liabilities | 531 | 112 | 1 093 | -135 | 1 602 |--------------------------------------------------------------------------------| Tax liabilities | 375 | 47 | - | - | 422 |--------------------------------------------------------------------------------| Provisions | 21 | - | - | - | 21 |--------------------------------------------------------------------------------| Employee benefits | 95 | - | - | - | 95 |--------------------------------------------------------------------------------| Other liabilities | 633 | 58 | 67 | -27 | 730 |--------------------------------------------------------------------------------| Total liabilities | 10 205 | 6 556 | 1 161 | -162 | 17 759 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity | | | | | |--------------------------------------------------------------------------------| Share capital | | | | | 98 |--------------------------------------------------------------------------------| Reserves | | | | | 1 530 |--------------------------------------------------------------------------------| Retained earnings | | | | | 5 519 |--------------------------------------------------------------------------------| Other components of equity | | | | | -1 057 |--------------------------------------------------------------------------------| Equity attributable to | | | | | 6 090 || owners of the parent | | | | | |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |--------------------------------------------------------------------------------| Total equity | | | | | 6 090 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total equity and | | | | | 23 850 || liabilities | | | | | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| CONSOLIDATED BALANCE SHEET | | | | | || BY SEGMENT AT 31 DECEMBER | | | | | || 2008 | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| EURm | P&C | Life | Holding | Elimina | Group || | insuran | insuranc | | -tion | || | ce | e | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Assets | | | | | |--------------------------------------------------------------------------------| Property, plant and | 27 | 5 | 5 | - | 38 || equipment | | | | | |--------------------------------------------------------------------------------| Investment property | 28 | 100 | 10 | - | 138 |--------------------------------------------------------------------------------| Intangible assets | 495 | 167 | 0 | - | 663 |--------------------------------------------------------------------------------| Investments in associates | 3 | 2 | 0 | - | 5 |--------------------------------------------------------------------------------| Financial assets | 8 874 | 4 503 | 5 260 | -2 498 | 16 139 |--------------------------------------------------------------------------------| Investments related to | - | 1 637 | - | - | 1 637 || unit-linked insurance | | | | | || contracts | | | | | |--------------------------------------------------------------------------------| Tax assets | 144 | 8 | 4 | 0 | 156 |--------------------------------------------------------------------------------| Reinsurers' share of | 431 | 4 | - | - | 436 || insurance liabilities | | | | | |--------------------------------------------------------------------------------| Other assets | 1 176 | 270 | 54 | -27 | 1 473 |--------------------------------------------------------------------------------| Cash and cash equivalents | 259 | 171 | 35 | - | 465 |--------------------------------------------------------------------------------| Total assets | 11 437 | 6 868 | 5 368 | -2 525 | 21 149 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Liabilities | | | | | |--------------------------------------------------------------------------------| Liabilities for insurance | 7 889 | 4 487 | - | - | 12 375 || and investment contracts | | | | | |--------------------------------------------------------------------------------| Liabilities for | - | 1 637 | - | - | 1 637 || unit-linked insurance and | | | | | || investment contracts | | | | | |--------------------------------------------------------------------------------| Financial liabilities | 686 | 104 | 604 | -125 | 1 269 |--------------------------------------------------------------------------------| Tax liabilities | 379 | - | - | - | 379 |--------------------------------------------------------------------------------| Provisions | 26 | - | - | - | 26 |--------------------------------------------------------------------------------| Employee benefits | 92 | - | - | - | 92 |--------------------------------------------------------------------------------| Other liabilities | 444 | 242 | 80 | -27 | 739 |--------------------------------------------------------------------------------| Total liabilities | 9 516 | 6 469 | 686 | -152 | 16 517 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Equity | | | | | |--------------------------------------------------------------------------------| Share capital | | | | | 98 |--------------------------------------------------------------------------------| Reserves | | | | | 1 531 |--------------------------------------------------------------------------------| Retained earnings | | | | | 5 614 |--------------------------------------------------------------------------------| Other components of equity | | | | | -2 512 |--------------------------------------------------------------------------------| Equity attributable to | | | | | 4 631 || owners of the parent | | | | | |--------------------------------------------------------------------------------| Non-controlling interests | | | | | 0 |--------------------------------------------------------------------------------| Total equity | | | | | 4 631 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total equity and | | | | | 21 149 || liabilities | | | | | |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| OTHER NOTES | | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 1 INSURANCE PREMIUMS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |--------------------------------------------------------------------------------| Premiums from insurance contracts | | |--------------------------------------------------------------------------------| Premiums written, direct insurance | 2 270 | 2 485 |--------------------------------------------------------------------------------| Premiums written, assumed reinsurance | 68 | 65 |--------------------------------------------------------------------------------| Premiums written, gross | 2 337 | 2 550 |--------------------------------------------------------------------------------| Ceded reinsurance premiums written | -163 | -198 |--------------------------------------------------------------------------------| P&C Insurance, total | 2 174 | 2 352 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Change in unearned premium provision | -438 | -514 |--------------------------------------------------------------------------------| Reinsurers' share | 60 | 74 |--------------------------------------------------------------------------------| Premiums earned for P&C Insurance, total | 1 796 | 1 912 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |--------------------------------------------------------------------------------| Premiums from insurance contracts | | |--------------------------------------------------------------------------------| Premiums from contracts with discretionary | 94 | 88 || participation feature | | |--------------------------------------------------------------------------------| Premiums from unit-linked contracts | 113 | 135 |--------------------------------------------------------------------------------| Premiums from other contracts | 2 | 2 |--------------------------------------------------------------------------------| Insurance contracts, total | 210 | 225 |--------------------------------------------------------------------------------| Assumed reinsurance | 0 | 0 |--------------------------------------------------------------------------------| Premiums from investment contracts | | |--------------------------------------------------------------------------------| Premiums from contracts with discretionary | 0 | 0 || participation feature | | |--------------------------------------------------------------------------------| Premiums from unit-linked contracts | 128 | 14 |--------------------------------------------------------------------------------| Investment contracts, total | 128 | 14 |--------------------------------------------------------------------------------| Reinsurers' shares | -6 | -6 |--------------------------------------------------------------------------------| Life insurance, total | 332 | 233 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Single and regular premiums from direct | | || insurance | | |--------------------------------------------------------------------------------| Regular premiums, insurance contracts | 163 | 185 |--------------------------------------------------------------------------------| Single premiums, insurance contracts | 46 | 40 |--------------------------------------------------------------------------------| Single premiums, investment contracts | 128 | 14 |--------------------------------------------------------------------------------| Total | 337 | 239 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | 2 506 | 2 585 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 2 NET INCOME FROM INVESTMENTS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C Insurance | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |--------------------------------------------------------------------------------| Financial assets | | |--------------------------------------------------------------------------------| Derivative financial instruments | 43 | -50 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Financial assets designated as at fair value | | || through p/l | | |--------------------------------------------------------------------------------| Debt securities | 15 | 65 |--------------------------------------------------------------------------------| Equity securities | 6 | -114 |--------------------------------------------------------------------------------| Total | 21 | -49 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Loans and receivables | 8 | 17 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Financial asset available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 164 | 135 |--------------------------------------------------------------------------------| Equity securities | -10 | 31 |--------------------------------------------------------------------------------| Total | 154 | 166 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total financial assets | 226 | 86 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Income from other assets | 0 | 1 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Fee and commission expense | -4 | -5 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Expense on other than financial liabilities | -1 | -1 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Effect of discounting annuities | -30 | -30 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance, total | 191 | 50 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |--------------------------------------------------------------------------------| Financial assets | | |--------------------------------------------------------------------------------| Derivative financial instruments | 36 | 47 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Financial assets designated as at fair value | | || through p/l | | |--------------------------------------------------------------------------------| Debt securities | 3 | -2 |--------------------------------------------------------------------------------| Equity securities | 0 | -1 |--------------------------------------------------------------------------------| Total | 3 | -3 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Investments related to unit-linked contracts | | |--------------------------------------------------------------------------------| Debt securities | 6 | -2 |--------------------------------------------------------------------------------| Equity securities | 113 | -175 |--------------------------------------------------------------------------------| Total | 119 | -177 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Investment securities held-to-maturity | | |--------------------------------------------------------------------------------| Debt securities | 0 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Loans and receivables | 2 | -2 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Financial asset available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 92 | 58 |--------------------------------------------------------------------------------| Equity securities | -19 | 84 |--------------------------------------------------------------------------------| Total | 72 | 142 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Total income from financial assets | 233 | 7 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other assets | 18 | 4 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Fee and commission income, net | 0 | 6 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance, total | 251 | 16 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |--------------------------------------------------------------------------------| Financial assets | | |--------------------------------------------------------------------------------| Derivative financial instruments | 1 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Loans and other receivables | 1 | 6 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Financial assets available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 14 | 42 |--------------------------------------------------------------------------------| Equity securities | 62 | 136 |--------------------------------------------------------------------------------| Total | 76 | 178 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other assets | 8 | -5 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Fee expense | 0 | - |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding, total | 86 | 179 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Elimination items between segments | 20 | -1 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | 549 | 244 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 3 CLAIMS INCURRED | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims paid | -1 217 | -1 319 |--------------------------------------------------------------------------------| Reinsurers' share | 54 | 71 |--------------------------------------------------------------------------------| Claims paid, net | -1 163 | -1 248 |--------------------------------------------------------------------------------| Change in provision for claims outstanding | -36 | -78 |--------------------------------------------------------------------------------| Reinsurers' share | -35 | 10 |--------------------------------------------------------------------------------| P&C Insurance total | -1 234 | -1 317 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Claims paid | -277 | -312 |--------------------------------------------------------------------------------| Reinsurers' share | 4 | 4 |--------------------------------------------------------------------------------| Claims paid, net | -274 | -308 |--------------------------------------------------------------------------------| Change in provision for claims outstanding | -38 | -104 |--------------------------------------------------------------------------------| Reinsurers' share | 0 | 0 |--------------------------------------------------------------------------------| Life insurance, total | -312 | -412 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | -1 546 | -1 729 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 4 STAFF COSTS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Wages and salaries | -160 | -161 |--------------------------------------------------------------------------------| Granted equity-settled share options | 0 | 0 |--------------------------------------------------------------------------------| Granted cash-settled share options | 0 | -2 |--------------------------------------------------------------------------------| Pension costs | -31 | -31 |--------------------------------------------------------------------------------| Other social security costs | -29 | -32 |--------------------------------------------------------------------------------| P&C insurance, total | -220 | -227 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Wages and salaries | -11 | -10 |--------------------------------------------------------------------------------| Granted equity-settled share options | 0 | 0 |--------------------------------------------------------------------------------| Granted cash-settled share options | 0 | 0 |--------------------------------------------------------------------------------| Pension costs | -2 | -2 |--------------------------------------------------------------------------------| Other social security costs | -1 | -1 |--------------------------------------------------------------------------------| Life insurance, total | -13 | -12 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Wages and salaries | -4 | -4 |--------------------------------------------------------------------------------| Granted equity-settled share options | 0 | -1 |--------------------------------------------------------------------------------| Granted cash-settled share options | 0 | -1 |--------------------------------------------------------------------------------| Pension costs | -1 | -1 |--------------------------------------------------------------------------------| Other social security costs | 0 | 0 |--------------------------------------------------------------------------------| Holding, total | -6 | -7 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | -240 | -246 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| 5 INTANGIBLE ASSETS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Goodwill | 481 | 479 |--------------------------------------------------------------------------------| Customer relations | 9 | 13 |--------------------------------------------------------------------------------| Other intangible assets | 5 | 4 |--------------------------------------------------------------------------------| P&C Insurance, total | 494 | 495 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Goodwill | 153 | 153 |--------------------------------------------------------------------------------| Other intangible assets | 14 | 14 |--------------------------------------------------------------------------------| Life insurance, total | 167 | 167 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other intangible assets | 0 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | 662 | 663 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 6 FINANCIAL ASSETS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 147 | 362 |--------------------------------------------------------------------------------| Financial assets designated as at fair value | | || through p/l | | |--------------------------------------------------------------------------------| Debt securities | 188 | 333 |--------------------------------------------------------------------------------| Equity securities | 23 | 22 |--------------------------------------------------------------------------------| Total | 212 | 355 |--------------------------------------------------------------------------------| Loans and receivables | | |--------------------------------------------------------------------------------| Loans | 1 | 0 |--------------------------------------------------------------------------------| Deposits with ceding undertakings | 1 | 1 |--------------------------------------------------------------------------------| Total | 2 | 1 |--------------------------------------------------------------------------------| Financial assets available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 8 404 | 7 671 |--------------------------------------------------------------------------------| Equity securities | 740 | 484 |--------------------------------------------------------------------------------| Total | 9 144 | 8 155 |--------------------------------------------------------------------------------| P&C insurance, total | 9 505 | 8 874 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 107 | 108 |--------------------------------------------------------------------------------| Financial assets designated as at fair value | | || through p/l | | |--------------------------------------------------------------------------------| Debt securities | 39 | 40 |--------------------------------------------------------------------------------| Equity securities | 3 | 1 |--------------------------------------------------------------------------------| Total | 42 | 41 |--------------------------------------------------------------------------------| Investments held-to-maturity | | |--------------------------------------------------------------------------------| Debt securities | 0 | 1 |--------------------------------------------------------------------------------| Loans and receivables | | |--------------------------------------------------------------------------------| Loans | 14 | 4 |--------------------------------------------------------------------------------| Deposits with ceding undertakings | 1 | 2 |--------------------------------------------------------------------------------| Total | 15 | 5 |--------------------------------------------------------------------------------| Financial assets available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 3 391 | 3 173 |--------------------------------------------------------------------------------| Equity securities *) | 1 199 | 1 175 |--------------------------------------------------------------------------------| Total | 4 591 | 4 348 |--------------------------------------------------------------------------------| Life insurance, total | 4 754 | 4 503 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| *) of which investments in interest funds | 150 | 213 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 1 | 0 |--------------------------------------------------------------------------------| Loans and receivables | | |--------------------------------------------------------------------------------| Deposits | 1 | 1 |--------------------------------------------------------------------------------| Financial assets available-for-sale | | |--------------------------------------------------------------------------------| Debt securities | 210 | 1 184 |--------------------------------------------------------------------------------| Equity securities | 4 127 | 1 705 |--------------------------------------------------------------------------------| Total | 4 337 | 2 890 |--------------------------------------------------------------------------------| Investments in subsidiaries | 2 370 | 2 370 |--------------------------------------------------------------------------------| Holding, total | 6 708 | 5 260 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Elimination items between segments | -2 507 | -2 498 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | 18 459 | 16 139 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| 7 DERIVATIVE FINANCIAL | | | | | | || INSTRUMENTS | | | | | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | | 6/200 | | | 12/200 | || | | 9 | | | 8 | |--------------------------------------------------------------------------------| | | Fair | Fair | | Fair | Fair || | | value | value | | value | value |--------------------------------------------------------------------------------| | Contr | Asset | Liabili | Contra | Assets | Liabili || | act/ | s | ties | ct/ | | ties || | notio | | | notion | | || | nal | | | al | | || | amoun | | | amount | | || | t | | | | | |--------------------------------------------------------------------------------| Derivatives held for | | | | | | || trading | | | | | | |--------------------------------------------------------------------------------| Interest rate | 826 | 26 | 8 | 78 | 19 | 4 || derivatives | | | | | | |--------------------------------------------------------------------------------| Foreign exchange | 3 881 | 121 | 88 | 4 977 | 343 | 247 || derivatives | | | | | | |--------------------------------------------------------------------------------| Equity derivatives | 1 | - | 0 | 0 | 0 | 0 |--------------------------------------------------------------------------------| Total | 4 707 | 147 | 96 | 5 055 | 362 | 251 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivatives held for | | | | | | || hedging | | | | | | |--------------------------------------------------------------------------------| Fair value hedges | 98 | - | 0 | - | - | - |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C Insurance, total | 4 805 | 147 | 96 | 5 055 | 362 | 251 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | 6/200 | | | 12/200 | || | | 9 | | | 8 | |--------------------------------------------------------------------------------| | | Fair | Fair | | Fair | Fair || | | value | value | | value | value |--------------------------------------------------------------------------------| | Contr | Asset | Liabili | Contra | Assets | Liabili || | act/ | s | ties | ct/ | | ties || | notio | | | notion | | || | nal | | | al | | || | amoun | | | amount | | || | t | | | | | |--------------------------------------------------------------------------------| Derivatives held for | | | | | | || trading | | | | | | |--------------------------------------------------------------------------------| Interest rate | 2 641 | 81 | 7 | 1 062 | 58 | 0 || derivatives | | | | | | |--------------------------------------------------------------------------------| Foreign exchange | 545 | 6 | 5 | 704 | 17 | 4 || derivatives | | | | | | |--------------------------------------------------------------------------------| Equity derivatives | 20 | 0 | - | - | - | - |--------------------------------------------------------------------------------| Total | 3 206 | 87 | 12 | 1 766 | 75 | 4 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivatives held for | | | | | | || hedging | | | | | | |--------------------------------------------------------------------------------| Cash flow hedges | 365 | 15 | - | 829 | 15 | - |--------------------------------------------------------------------------------| Fair value hedges | 175 | 5 | - | 226 | 18 | - |--------------------------------------------------------------------------------| Total | 539 | 20 | - | 1 055 | 33 | - |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance, total | 3 746 | 107 | 12 | 2 821 | 108 | 4 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | | 6/200 | | | 12/200 | || | | 9 | | | 8 | |--------------------------------------------------------------------------------| | | Fair | Fair | | Fair | Fair || | | value | value | | value | value |--------------------------------------------------------------------------------| | Contr | Asset | Liabili | Contra | Assets | Liabili || | act/ | s | ties | ct/ | | ties || | notio | | | notion | | || | nal | | | al | | || | amoun | | | amount | | || | t | | | | | |--------------------------------------------------------------------------------| Derivatives held for | | | | | | || trading | | | | | | |--------------------------------------------------------------------------------| Interest rate | 10 | - | 0 | - | - | - || derivatives | | | | | | |--------------------------------------------------------------------------------| Equity derivatives | 5 | 0 | 1 | - | - | - |--------------------------------------------------------------------------------| Foreign exchange | - | - | - | 70 | 0 | 0 || derivatives | | | | | | |--------------------------------------------------------------------------------| Other | 10 | 0 | 0 | - | - | - |--------------------------------------------------------------------------------| Total | 25 | 1 | 1 | 70 | 0 | 0 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| 8 INVESTMENTS RELATED TO UNIT-LINKED INSURANCE | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Financial assets as at fair value through p/l | | |--------------------------------------------------------------------------------| Debt securities | 247 | 121 |--------------------------------------------------------------------------------| Equity securities | 1 607 | 1 477 |--------------------------------------------------------------------------------| Loans and receivables | 47 | 38 |--------------------------------------------------------------------------------| Derivatives | 4 | 1 |--------------------------------------------------------------------------------| Life insurance, total | 1 905 | 1 637 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 9 LIABILITIES FOR INSURANCE AND INVESTMENT | | || CONTRACTS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Insurance contracts | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 2 016 | 1 521 |--------------------------------------------------------------------------------| Provision for claims outstanding | 6 535 | 6 367 |--------------------------------------------------------------------------------| P&C Insurance, total | 8 551 | 7 889 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Reinsurers' share | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 115 | 54 |--------------------------------------------------------------------------------| Provision for claims outstanding | 355 | 377 |--------------------------------------------------------------------------------| P&C Insurance, total | 470 | 431 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Insurance contracts | | |--------------------------------------------------------------------------------| Liabilities for contracts with DPF | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 2 553 | 2 629 |--------------------------------------------------------------------------------| Provision for claims outstanding | 1 815 | 1 777 |--------------------------------------------------------------------------------| Total | 4 368 | 4 406 |--------------------------------------------------------------------------------| Liabilities for contracts without DPF | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 13 | 13 |--------------------------------------------------------------------------------| Provision for claims outstanding | 0 | 0 |--------------------------------------------------------------------------------| Total | 13 | 13 |--------------------------------------------------------------------------------| Total | 4 381 | 4 419 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Assumed reinsurance | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 2 | 2 |--------------------------------------------------------------------------------| Provision for claims outstanding | 2 | 2 |--------------------------------------------------------------------------------| Total | 4 | 4 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Insurance contracts, total | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 2 568 | 2 644 |--------------------------------------------------------------------------------| Provision for claims outstanding | 1 817 | 1 779 |--------------------------------------------------------------------------------| Total | 4 385 | 4 423 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Investment contracts | | |--------------------------------------------------------------------------------| Liabilities for contracts with DPF | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 51 | 63 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Liabilities for insurance and investment | | || contracts, total | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 2 618 | 2 707 |--------------------------------------------------------------------------------| Provision for claims outstanding | 1 817 | 1 779 |--------------------------------------------------------------------------------| Life insurance, total | 4 436 | 4 487 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Recoverable from reinsurers | | |--------------------------------------------------------------------------------| Provision for unearned premiums | 0 | 0 |--------------------------------------------------------------------------------| Provision for claims outstanding | 4 | 4 |--------------------------------------------------------------------------------| Life insurance, total | 4 | 4 |-------------------------------------------------------------------------------- Investment contracts do not include a provision for claims outstanding. Liability adequacy test does not give rise to supplementary claims. Exemption allowed in IFRS 4 Insurance contracts has been applied to investment contracts with DPF or contracts with a right to trade-off for an investment contract with DPF. These investment contracts have been valued like insurance contracts. --------------------------------------------------------------------------------| Group, total | 12 986 | 12 375 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 10 LIABILITIES FROM UNIT-LINKED INSURANCE AND | | || INVESTMENT CONTRACTS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Unit-linked insurance contracts | 1 672 | 1 538 |--------------------------------------------------------------------------------| Unit-linked investment contracts | 231 | 99 |--------------------------------------------------------------------------------| Life insurance, total | 1 903 | 1 637 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| 11 FINANCIAL LIABILITIES | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 96 | 251 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Subordinated debt securities | | |--------------------------------------------------------------------------------| Subordinated loans | 435 | 435 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance, total | 531 | 686 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 12 | 4 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Subordinated debt securities | | |--------------------------------------------------------------------------------| Subordinated loans | 100 | 100 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance, total | 112 | 104 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Derivative financial instruments (Note 7) | 1 | 0 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Debt securities in issue | | |--------------------------------------------------------------------------------| Commercial papers | 293 | - |--------------------------------------------------------------------------------| Bonds | 756 | - |--------------------------------------------------------------------------------| Total | 1 049 | - |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Subordinated debt securities | | |--------------------------------------------------------------------------------| Debentures | 37 | 597 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other | | |--------------------------------------------------------------------------------| Other | 6 | 6 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding, total | 1 093 | 604 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Elimination items between segments | -135 | -125 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Group, total | 1 602 | 1 269 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 12 CONTINGENT LIABILITIES AND COMMITMENTS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| P&C insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Off-balance sheet items | | |--------------------------------------------------------------------------------| Guarantees | 20 | 39 |--------------------------------------------------------------------------------| Other irrevocable commitments | 86 | 75 |--------------------------------------------------------------------------------| Total | 105 | 114 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| Assets pledged as | | | | || collateral for liabilities | | | | || or contingent liabilities | | | | |--------------------------------------------------------------------------------| | 6/2009 | 6/2009 | 12/2008 | 12/2008 |--------------------------------------------------------------------------------| Assets pledged as | Assets | Liabilities | Assets | Liabilities || collateral | pledged | / commit- | pledged | / commit- || | | ments | | ments |--------------------------------------------------------------------------------| Cash at balances at central | 9 | 7 | 9 | 8 || banks | | | | |--------------------------------------------------------------------------------| Investments | | | | |--------------------------------------------------------------------------------| - Investment securities | 126 | 106 | 127 | 108 |--------------------------------------------------------------------------------| Total | 135 | 114 | 136 | 117 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| Non-cancellable operating leases | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Minimum lease payments | | |--------------------------------------------------------------------------------| not later than one year | 31 | 32 |--------------------------------------------------------------------------------| later than one year and not later than five years | 85 | 89 |--------------------------------------------------------------------------------| later than five years | 84 | 90 |--------------------------------------------------------------------------------| Total | 200 | 212 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Life insurance | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Off-balance sheet items | | |--------------------------------------------------------------------------------| Fund commitments | 298 | 302 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Other commitments | | |--------------------------------------------------------------------------------| Acquisition of IT-software | 3 | 3 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Non-cancellable operating leases | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Minimum lease payments | | |--------------------------------------------------------------------------------| not later than one year | 2 | 2 |--------------------------------------------------------------------------------| later than one year and not later than five years | 7 | 7 |--------------------------------------------------------------------------------| later than five years | 2 | 3 |--------------------------------------------------------------------------------| Total | 10 | 11 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| Holding | | |--------------------------------------------------------------------------------| | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Off-balance sheet items | | |--------------------------------------------------------------------------------| Fund commitments | 5 | 4 |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| Assets pledged as | | | | || collateral for liabilities | | | | || or contingent liabilities | | | | |--------------------------------------------------------------------------------| | 6/2009 | 6/2009 | 12/2008 | 12/2008 |--------------------------------------------------------------------------------| Assets pledged as | Assets | Liabilities | Assets | Liabilities || collateral | pledged | / commit- | pledged | / commit- || | | ments | | ments |--------------------------------------------------------------------------------| Investments | | | | |--------------------------------------------------------------------------------| - Mortgaged collateral | 15 | 6 | 15 | 6 || notes | | | | |-------------------------------------------------------------------------------- --------------------------------------------------------------------------------| Non-cancellable operating leases | 6/2009 | 12/2008 |--------------------------------------------------------------------------------| Minimum lease payments | | |--------------------------------------------------------------------------------| not later than one year | 2 | 3 |--------------------------------------------------------------------------------| later than one year and not later than five years | 3 | 4 |--------------------------------------------------------------------------------| later than five years | 2 | 3 |--------------------------------------------------------------------------------| Total | 8 | 9 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 13 RESULT ANALYSIS OF P&C INSURANCE BUSINESS | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Premiums earned | 1 796 | 1 912 |--------------------------------------------------------------------------------| Claims incurred | -1 350 | -1 439 |--------------------------------------------------------------------------------| Operating expenses | -311 | -328 |--------------------------------------------------------------------------------| Other technical income and expenses | 1 | 3 |--------------------------------------------------------------------------------| Allocated investment return transferred from the | 105 | 113 || non-technical account | | |--------------------------------------------------------------------------------| Technical result | 241 | 261 |--------------------------------------------------------------------------------| Investment result | 206 | 66 |--------------------------------------------------------------------------------| Allocated investment return transferred to the | -135 | -142 || technical account | | |--------------------------------------------------------------------------------| Other income and expenses | -3 | -3 |--------------------------------------------------------------------------------| Operating result | 308 | 182 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| 14 SAMPO PLC'S INCOME STATEMENT AND BALANCE SHEET | | || (FAS) | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------| INCOME STATEMENT | | |--------------------------------------------------------------------------------| | 1-6/2009 | 1-6/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Other operating income | 7 | 3 |--------------------------------------------------------------------------------| Staff expenses | -6 | -6 |--------------------------------------------------------------------------------| Depreciation and impairment | 0 | 0 |--------------------------------------------------------------------------------| Other operating expenses | -11 | -8 |--------------------------------------------------------------------------------| Operating profit | -11 | -12 |--------------------------------------------------------------------------------| Finance income and expenses | 167 | 362 |--------------------------------------------------------------------------------| Profit before appropriations and income taxes | 157 | 350 |--------------------------------------------------------------------------------| Income taxes | 4 | -5 |--------------------------------------------------------------------------------| Profit for the financial period | 161 | 345 |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| BALANCE SHEET | 6/2009 | 12/2008 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| ASSETS | | |--------------------------------------------------------------------------------| Non-current assets | | |--------------------------------------------------------------------------------| Intangible assets | 1 | 1 |--------------------------------------------------------------------------------| Property, plant and equipment | 4 | 4 |--------------------------------------------------------------------------------| Investments | | |--------------------------------------------------------------------------------| Shares in Group companies | 2 370 | 2 370 |--------------------------------------------------------------------------------| Receivables from Group companies | 120 | 122 |--------------------------------------------------------------------------------| Shares in participating undertakings | - | 0 |--------------------------------------------------------------------------------| Other shares and participations | 4 132 | 1 710 |--------------------------------------------------------------------------------| Other receivables | 90 | 1 062 |--------------------------------------------------------------------------------| Receivables | 59 | 59 |--------------------------------------------------------------------------------| Cash and cash equivalents | 24 | 35 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL ASSETS | 6 800 | 5 364 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| LIABILITIES | | |--------------------------------------------------------------------------------| Equity | | |--------------------------------------------------------------------------------| Share capital | 98 | 98 |--------------------------------------------------------------------------------| Share premium account | - | 1 160 |--------------------------------------------------------------------------------| Legal reserve | - | 366 |--------------------------------------------------------------------------------| Fair value reserve | -521 | -1 759 |--------------------------------------------------------------------------------| Other reserves | 1 799 | 273 |--------------------------------------------------------------------------------| Retained earnings | 4 110 | 3 993 |--------------------------------------------------------------------------------| Profit for the year | 161 | 555 |--------------------------------------------------------------------------------| Total equity | 5 647 | 4 686 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| Liabilities | | |--------------------------------------------------------------------------------| Long-term | 793 | 597 |--------------------------------------------------------------------------------| Short-term | 360 | 81 |--------------------------------------------------------------------------------| Total liabilities | 1 153 | 678 |----------------------------------------------------------------------------------------------------------------------------------------------------------------| TOTAL LIABILITIES | 6 800 | 5 364 |-------------------------------------------------------------------------------- News Source: NASDAQ OMX 12.08.2009 DGAP's Distribution Services include Regulatory Announcements,Financial/Corporate News and Press Releases.Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------------- Language: EnglishCompany: Sampo FinlandPhone: Fax: E-mail: Internet: ISIN: FI0009003305Category Code: IRLSE Ticker: 0HAGSequence Number: 237Time of Receipt: Aug 12, 2009 08:30:03 End of Announcement DGAP News-Service ---------------------------------------------------------------------------UK-Regulatory-announcement transmitted by DGAP - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.