AEGON Sells Dutch Funeral Insurance Business
February 02 2010 - 2:00AM
PR Newswire (US)
THE HAGUE, The Netherlands, February 2 /PRNewswire-FirstCall/ --
AEGON announces the sale of its funeral insurance business in the
Netherlands to Dutch investment firm Egeria for an amount of EUR
212 million. The sale is the result of AEGON's ongoing portfolio
review of its businesses, as announced in June 2008. The sale of
its subsidiary AEGON NabestaandenZorg will have a positive effect
on AEGON's excess capital position. The purpose of the sale is in
line with AEGON's strategy to ensure greater focus to its portfolio
of products in the Netherlands. "We continue to look at our
businesses to ensure that they are a good fit with our strategy,"
said Marco Keim, the member of AEGON's Management Board responsible
for the Netherlands. "Our objective is to have an effective range
of products so that we can meet our customers' needs in the best
way possible. Above all, we want to focus on what our customers
want in the key areas life and non-life insurance, pensions,
savings and investments. Furthermore, we are pleased that the
employees of AEGON NabestaandenZorg will be in good hands." Under
the agreement, the nineteen employees affected by the sale will
retain their jobs, as well as maintain similar employment
conditions. The company will continue its operations under the name
'AXENT'. AEGON's sale of its funeral insurance business will not in
any way affect the company's current policyholders. "Given AEGON
NabestaandenZorg's excellent team, we have every confidence that we
can build on the solid foundation they have established," said Hans
Croes, General Manager of AXENT. "We are convinced of the
opportunities to further develop AXENT as a leading market player.
AXENT is an independent, decisive and flexible organization, and we
will continue to create value for our policyholders, employees and
intermediaries. Simplicity and transparency remain our focus and
preoccupation." In 2009, AEGON's funeral insurance business
generated approximately EUR 70 million*) in gross written premiums.
The sale agreement is subject to the consultation of AEGON's
Central Works Council, in addition to the approvals of the relevant
regulatory authorities. *) Unaudited About AEGON As an
international life insurance, pension and investment company based
in The Hague, AEGON has businesses in over twenty markets in the
Americas, Europe and Asia. AEGON companies employ approximately
29,000 people and have over 40 million customers across the globe.
Key figures - EUR Q3 2009 Full year 2008 Underlying earnings before
tax 351 million 1.6 billion New life sales 484 million 2.6 billion
Gross deposits 6.8 billion 40.8 billion Revenue generating
investments (end of period) 354 billion 332 billion Forward-looking
statements The statements contained in this press release that are
not historical facts are forward-looking statements as defined in
the US Private Securities Litigation Reform Act of 1995. The
following are words that identify such forward-looking statements:
aim, believe, estimate, target, intend, may, expect, anticipate,
predict, project, counting on, plan, continue, want, forecast,
goal, should, would, is confident, will, and similar expressions as
they relate to our company. These statements are not guarantees of
future performance and involve risks, uncertainties and assumptions
that are difficult to predict. We undertake no obligation to
publicly update or revise any forward-looking statements. Readers
are cautioned not to place undue reliance on these forward-looking
statements, which merely reflect company expectations at the time
of writing. Actual results may differ materially from expectations
conveyed in forward-looking statements due to changes caused by
various risks and uncertainties. Such risks and uncertainties
include but are not limited to the following: - Changes in general
economic conditions, particularly in the United States, the
Netherlands and the United Kingdom; - Changes in the performance of
financial markets, including emerging markets, such as with regard
to: - The frequency and severity of defaults by issuers in our
fixed income investment portfolios; and - The effects of corporate
bankruptcies and/or accounting restatements on the financial
markets and the resulting decline in the value of equity and debt
securities we hold; - The frequency and severity of insured loss
events; - Changes affecting mortality, morbidity and other factors
that may impact the profitability of our insurance products; -
Changes affecting interest rate levels and continuing low or
rapidly changing interest rate levels; - Changes affecting currency
exchange rates, in particular the EUR/USD and EUR/GBP exchange
rates; - Increasing levels of competition in the United States, the
Netherlands, the United Kingdom and emerging markets; - Changes in
laws and regulations, particularly those affecting our operations,
the products we sell, and the attractiveness of certain products to
our consumers; - Regulatory changes relating to the insurance
industry in the jurisdictions in which we operate; - Acts of God,
acts of terrorism, acts of war and pandemics; - Effects of
deliberations of the European Commission regarding the aid we
received from the Dutch State in December 2008; - Changes in the
policies of central banks and/or governments; - Lowering of one or
more of our debt ratings issued by recognized rating organizations
and the adverse impact such action may have on our ability to raise
capital and on our liquidity and financial condition; - Lowering of
one or more of insurer financial strength ratings of our insurance
subsidiaries and the adverse impact such action may have on the
premium writings, policy retention, profitability of its insurance
subsidiaries and liquidity; - Litigation or regulatory action that
could require us to pay significant damages or change the way we do
business; - Customer responsiveness to both new products and
distribution channels; - Competitive, legal, regulatory, or tax
changes that affect the distribution cost of or demand for our
products; - The impact of acquisitions and divestitures,
restructurings, product withdrawals and other unusual items,
including our ability to integrate acquisitions and to obtain the
anticipated results and synergies from acquisitions; - Our failure
to achieve anticipated levels of earnings or operational
efficiencies as well as other cost saving initiatives; and - The
impact our adoption of the International Financial Reporting
Standards may have on our reported financial results and financial
condition. Further details of potential risks and uncertainties
affecting the company are described in the company's filings with
Euronext Amsterdam and the US Securities and Exchange Commission,
including the Annual Report on Form 20-F. These forward-looking
statements speak only as of the date of this document. Except as
required by any applicable law or regulation, the company expressly
disclaims any obligation or undertaking to release publicly any
updates or revisions to any forward-looking statements contained
herein to reflect any change in the company's expectations with
regard thereto or any change in events, conditions or circumstances
on which any such statement is based. Contact information Media
relations AEGON N.V. Dick Schiethart +31(0)70-344-8821 AEGON The
Netherlands Debora de Laaf +31(0)70-344-8730 Investor relations
Gerbrand Nijman +31(0)70-344-8305 +1877-548-9668 - toll free USA
only http://www.aegon.com/ PRN NLD DATASOURCE: AEGON N.V. CONTACT:
Media relations: AEGON N.V., Dick Schiethart, +31(0)70-344-8821, ;
AEGON The Netherlands, Debora de Laaf, +31(0)70-344-8730, ;
Investor relations, Gerbrand Nijman, +31(0)70-344-8305,
+1877-548-9668 - toll free USA only,
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