THE HAGUE, The Netherlands,
November 12, 2015 /PRNewswire/ --
- Underlying earnings impacted by
changes to actuarial assumptions
- Underlying earnings amount to EUR 436
million, impacted by actuarial assumption changes
- Other charges of EUR 950 million
driven by book loss on sale of Canadian activities and model
updates
- Net loss of EUR 524 million
- Return on equity of 6.8%, or 8.1% excluding assumption
changes
- Fee-based deposit businesses continue sales
growth
- Sustained deposit growth in US retirement plan, asset
management and Dutch retail savings;
27% increase in gross deposits to EUR 19.4
billion and 20% higher net deposits of EUR 4.3 billion
- New life insurance sales amount to EUR
435 million mainly due to lower pension sales in NL and
UK
- Accident & health and general insurance sales amount to
EUR 230 million
- Market consistent value of new business of EUR 125 million impacted by low interest
rates
- Solid capital position and cash
flows
- Operational free cash flows excluding market impacts and
one-time items of EUR 350
million
- Holding excess capital increases to EUR
1.8 billion; gross leverage ratio of 28.8%
- Solvency I ratio increases to 225% as a result of divestments
and one-time adjustments
Statement of Alex Wynaendts, CEO
"During the third quarter of the year, Aegon's earnings were
impacted by assumption changes, our ongoing model refinement
program, and the anticipated book loss on the sale of our
low-return business in Canada. At
the same time, sales for the quarter remained strong, particularly
in our fast-growing US retirement plan and asset management
businesses.
"We are pleased to have strengthened our position in one of our
key growth areas, becoming a top ten provider in the US retirement
sector through the acquisition of Mercer's defined contribution
record-keeping business. This strategic development demonstrates
our determination to grow and diversify our customer base and
expand our offering of attractive fee-based retirement
solutions.
"The progress we have recently made in preparing for Solvency II
gives us confidence that we are well-positioned to operate
successfully in this new regulatory framework. We remain committed
to delivering value to customers and shareholders alike, and look
forward to sharing our plans in this respect at our upcoming
Analyst & Investor Conference in January."
Key performance indicators
YTD YTD
amounts in
EUR millions b) Notes Q3 2015 Q2 2015 % Q3 2014 % 2015 2014 %
Underlying earnings
before tax 1 436 549 (21) 291 * 1,453 1,303 *
Net income / (loss) (524) 350 - 52 - 142 787 (82)
Sales 2 2,604 2,442 7 2,333 12 7,796 6,485 20
Market consistent
value of new business 3 125 183 (31) 192 (35) 448 636 (30)
Return on equity 4 6.8% 8.2% (18) 4.9% * 7.3% 7.3% *
STRATEGIC HIGHLIGHTS
- Acquisition of Mercer's US defined
contribution record-keeping business
- Highest-ever score obtained in the Dow Jones
Sustainability Indices
- UK launches new Retiready Stability fund
- Aegon number one insurer in 2015 Best
Employer's list in the
Netherlands
Aegon's ambition
Aegon's aim to be a leader in all of its chosen markets is
supported by four strategic objectives embedded in all Aegon
businesses: Optimize portfolio, Deliver operational excellence,
Enhance customer loyalty, and Empower employees. These provide the
strategic framework for the company's ambition to become the
most-recommended life insurance and pension provider by customers
and business partners, as well as the most-preferred employer in
the sector.
Optimize portfolio
On September 25, Aegon announced
the acquisition of Mercer's US defined contribution record-keeping
business. Mercer is widely recognized for its best-in-class
solutions in the large corporate benefits administration market.
The transaction complements Transamerica's current service
offering, which has experienced success and growth in the large
markets with a primary focus on the not-for-profit segment. The
number of retirement plan participants serviced by Transamerica
will increase by 917,000 to approximately 5 million, and assets
under administration will increase by USD 71
billion to approximately USD 216
billion[1]. In addition, Transamerica will also
become the preferred defined contribution record-keeping provider
for Mercer's total benefit outsourcing and total retirement
outsourcing clients. The transaction is anticipated to be closed in
the fourth quarter of 2015.
On September 2, Aegon completed
the sale of Clark Consulting Group - its Bank-Owned Life Insurance
(BOLI) distribution and servicing unit in the United States - to Greenspoint Capital and
the Newport Group, following regulatory approval. The agreement to
sell Clark Consulting for USD 177.5
million (EUR 160 million) was
announced on July 10, 2015. Clark
Consulting was a distinct entity within the BOLI/COLI insurance
business that is currently in run-off.
On November 3, an agreement was
reached to sell certain assets of Transamerica Financial Advisors,
Inc. to Signator, a John Hancock
affiliate. Transamerica Financial Advisors is a full-service,
independent broker-dealer and registered investment advisor with
around 1,100 advisors and 90 employees. John Hancock is an independent broker-dealer and
unit of Manulife Financial Corporation. It is anticipated that the
transaction will close in the second quarter of 2016, subject to
regulatory approvals. Terms of the transaction were not
disclosed.
Deliver operational excellence
Aegon received its highest-ever score in the Dow Jones
Sustainability Indices, underlining the progress made in becoming a
more sustainable company. Aegon scored 83 points in the 2015
Indices, compared with an average of 48 for the insurance industry
as a whole. In addition to being Aegon's highest-ever score, the
company also outperformed 94% of its peers in the sector.
In the UK, Aegon enhanced its digital life insurance solution,
Simply Life, making it even more accessible and attractive to a
wider number of clients. The process, which already has a very high
immediate acceptance rate of over 80%, will introduce manual
underwriting if an online decision is unavailable. Simply Life is a
life only protection product that covers up to GBP 500,000 for customers aged between 18 and 49
with healthy lifestyles. Simply Life offers both customers and
advisors a quick and easy-to-use product to meet protection
needs.
Enhance customer loyalty
In support of Aegon's purpose to help people take responsibility
for their financial future, Aegon teamed up with the National
Financial Educators Council to launch the Transamerica Financial
Educators Academy. With the goal to promote greater personal
financial knowledge in the United
States by teaching the basics of successful money
management, the Academy offers an effective process for individuals
to become certified to teach others in their communities. This
enables them to help others improve their financial outlook and
become more confident about their financial future.
In the UK, Aegon launched 'Retiready Stability', a new fund for
pension customers on its platform that broadens the range of
available investments. This gives investors the choice of five
funds, ranging from low to higher risk. The new option is a very
low risk fund, and is designed for investors seeking to preserve
their pension savings, typically before taking retirement
income.
In Spain, Aegon launched a new
independent broker service, Aegon Activos. The new brokerage will
provide customers with access to over 30 carefully selected mutual
funds and pension plans, offered by 20 national and international
fund managers, life insurance and savings companies. The launch of
Aegon Activos reflects Aegon's commitment to provide personalized
advice in planning and financial protection, with high added value
in terms of funds. In addition, it enables Aegon to expand its
product offering in line with the company's multichannel strategy,
which provides customers with a portfolio of diversified services
tailored to their individual savings and investment needs.
Aegon Bank in the Netherlands
entered into a partnership with Germany's leading online peer-to-peer loan
marketplace, auxmoney. The partnership between auxmoney and Aegon
Bank grew out of Aegon's December
2014 venture investment in the company. In addition to the
equity stake Aegon already owns in the company, Aegon Bank has
committed to provide EUR 150 million
funding for loans on the auxmoney platform. Its platform provides a
unique solution to connect and facilitate retail-focused loans
directly between borrowers and lenders. Aegon's investment on
auxmoney's lending platform is a strategic move, as crowd lending
marketplaces are becoming increasingly popular with investors.
Empower employees
In the Netherlands, Aegon was
named 1st among insurance companies and 25th
overall in the list for companies with over 1,000 employees in the
2015 Best Employer List, conducted by Effectory and Intermediair.
The research for Best Employer in the
Netherlands is the biggest and best-known of its kind. Over
200,000 employees judge more than 300 employers based in
the Netherlands. These high
rankings underline the progress Aegon has made in becoming a
preferred employer.
Global Systemically Important Insurer
The Financial Stability Board announced on November 3, 2015, that it has designated Aegon as
one of a group of nine global systemically important insurers
(G-SII). Aegon will continue to engage with supervisors in the
upcoming consultations on both the methodology applied to determine
the systemic level of insurance companies and on the definition of
non-traditional insurance and non-insurance activities. In the
meantime, Aegon will work closely with the regulatory authorities
to comply with the G-SII framework once it is finalized.
Financial overview
EUR millions Notes Q3 2015 Q2 2015 % Q3 2014 % YTD 2015 YTD 2014 %
Underlying
earnings before tax
Americas 243 358 (32) 134 81 891 767 16
The Netherlands 135 136 (1) 127 6 402 386 4
United Kingdom 27 34 (21) 28 (2) 100 86 16
New Markets 69 62 12 40 74 183 163 12
Holding and other (38) (41) 8 (37) (3) (122) (99) (22)
Underlying
earnings before tax 436 549 (21) 291 50 1,453 1,303 12
Fair value items (103) (293) 65 (296) 65 (554) (675) 18
Realized gains /
(losses) on investments 36 134 (73) 85 (58) 288 392 (27)
Net impairments (12) 7 - 5 - (15) (6) (158)
Other income / (charges) (950) (11) - (29) - (961) (49) -
Run-off businesses 28 3 - (31) - 38 (18) -
Income before tax (565) 389 - 23 - 249 947 (74)
Income tax 41 (39) - 29 43 (107) (160) 33
Net income / (loss) (524) 350 - 52 - 142 787 (82)
Net income / (loss)
attributable to:
Equity holders
of Aegon N.V. (524) 350 - 52 - 141 787 (82)
Non-controlling
interests 0 0 (45) 0 (33) 0 0 -
Net underlying earnings 355 433 (18) 235 51 1,132 987 15
Commissions and
expenses 1,510 1,761 (14) 1,398 8 4,984 4,296 16
of which
operating expenses 9 912 923 (1) 826 10 2,737 2,415 13
New life sales
Life single premiums 1,165 1,062 10 1,806 (35) 3,649 4,115 (11)
Life recurring
premiums annualized 319 411 (23) 372 (14) 1,139 1,111 3
Total recurring
plus 1/10 single 435 518 (16) 552 (21) 1,504 1,522 (1)
New life sales
Americas 10 148 158 (6) 141 5 447 382 17
The Netherlands 24 25 (1) 99 (75) 87 169 (49)
United Kingdom 194 263 (26) 250 (22) 726 777 (7)
New Markets 10 68 72 (5) 61 11 245 194 26
Total recurring
plus 1/10 single 435 518 (16) 552 (21) 1,504 1,522 (1)
New premium production
accident and
health insurance 212 228 (7) 241 (12) 747 737 1
New premium production
general insurance 18 20 (11) 16 10 59 51 18
Gross deposits
(on and off balance)
Americas 10 7,868 9,069 (13) 7,053 12 28,488 24,085 18
The Netherlands 1,000 1,116 (10) 716 40 3,679 1,793 105
United Kingdom 71 88 (20) 90 (21) 239 214 12
New Markets 10 10,455 6,496 61 7,382 42 22,449 15,655 43
Total gross deposits 19,394 16,769 16 15,242 27 54,855 41,746 31
Net deposits
(on and off balance)
Americas 10 711 1,913 (63) 457 55 7,028 5,672 24
The Netherlands 230 355 (35) 338 (32) 1,381 647 113
United Kingdom 39 54 (27) 57 (31) 135 123 11
New Markets 10 3,564 975 - 2,945 21 6,814 2,706 152
Total net deposits
excluding run-off
businesses 4,544 3,296 38 3,797 20 15,358 9,147 68
Run-off businesses (294) (111) (166) (265) (11) (618) (1,047) 41
Total net deposits
/ (outflows) 4,250 3,185 33 3,532 20 14,741 8,100 82
Revenue-generating investments
Sep. 30, Jun. 30, Dec. 31,
2015 2015 % 2014 %
Revenue-generating investments (total) 635,458 645,017 (1) 558,328 14
Investments general account 160,830 158,956 1 153,653 5
Investments for account of policyholders 193,562 205,903 (6) 191,467 1
Off balance sheet investments third parties 281,066 280,158 - 213,208 32
OPERATIONAL HIGHLIGHTS
Assumption changes and model updates
Aegon reviews its assumptions in the Americas and Asia annually in the third quarter, which
resulted in adjustment to its actuarial and economic assumptions.
In addition, as part of an ongoing commitment to deliver
operational excellence, the company reviews and enhances its models
where necessary. These assumption changes and model updates on
balance accounted for charges of EUR 204
million in the third quarter of 2015. The actuarial
assumption changes reduced underlying earnings by
EUR 96 million, the economic
assumption changes positively impacted fair value items by
EUR 101 million and charges for model
updates amounted to EUR 209 million.
As of this quarter, model updates are included in Other charges and
are no longer included in underlying earnings.
Underlying earnings before tax
Aegon's underlying earnings before tax in the third quarter of 2015
were EUR 436 million, including
charges for actuarial assumption changes of EUR 96 million. Excluding assumption changes and
model updates, earnings increased 4%. Favorable currency movements
and positive mortality experience in the
United States more than offset the reduction in recurring
earnings resulting from the assumption changes and model updates
implemented in the United States
and Asia, lower earnings from
fixed annuities and the impact of divestments.
Underlying earnings from the Americas were EUR 243 million and included charges for
actuarial assumption changes of EUR 96
million. Lower charges for assumption changes, the absence
of model updates and the stronger US dollar more than offset the
recurring impact of the actuarial assumption changes implemented
this quarter, lower fixed annuity earnings and the divestment of
Canada.
In the Netherlands, underlying
earnings increased 6% to EUR 135
million, driven by higher investment income and lower
funding costs.
Underlying earnings from Aegon's operations in the United Kingdom were stable in the third
quarter of 2015 at EUR 27 million, as
favorable currency movements were offset by adverse market
movements and lower fees.
Underlying earnings from New Markets were up 74% to EUR 69 million. This increase was driven by
higher asset management and performance fees, favorable one-time
items, mainly related to higher than anticipated investment yields,
and the absence of assumption changes and model updates.
Total holding costs remained stable at EUR 38 million.
Net income
The net loss amounted to EUR 524
million, primarily caused by the EUR
751 million book loss from the sale of the Canadian
business.
Fair value items
The loss from fair value items amounted to EUR 103 million. This loss was mainly driven by
hedging programs in the United
States, primarily the result of ineffectiveness of the macro
equity hedge program. This more than offset the positive impact of
EUR 101 million from assumption
changes, which were related to adjustments to the discount rate of
variable annuity liabilities.
Realized gains on investments
Realized gains on investments declined to EUR 36 million and were driven by normal trading
activity in the Netherlands.
Impairment charges
Gross impairments remained low as a result of the favorable credit
environment and amounted to
EUR 12 million in the third quarter
of 2015.
Other charges
Other charges amounted to EUR 950
million. These were primarily due to the book loss on the
divestment of the Canadian insurance business of EUR 751 million. In addition, the ongoing model
review resulted in charges of EUR 209
million, mainly related to the universal life business in
the United States.
Run-off businesses
Earnings from run-off businesses increased to EUR 28 million, due to favorable mortality and
lapse experience.
Income tax
Income tax amounted to a positive EUR 41
million in the third quarter, driven by tax credits in
especially the United States. The
effective tax rate on underlying earnings was 19%.
Return on equity
Return on equity was 6.8% in the third quarter of 2015. Return on
equity excluding the charges for actuarial assumption updates in
the United Stated and Asia
amounted to 8.1% over the same period.
Operating expenses
In the third quarter, operating expenses increased by 10% to
EUR 912 million. This was driven by a
stronger US dollar and higher defined benefit expenses, which was
the result of lower interest rates. At constant currencies, the
increase was 1%.
Sales
Aegon's total sales increased 12% to EUR 2.6
billion in the third quarter of 2015, the result of a
stronger US dollar, higher asset management deposits and increased
indexed universal life sales. Gross deposits increased 27%, driven
by higher deposits in Aegon Asset Management and strong growth in
bank deposits in the Netherlands.
Net deposits, excluding run-off businesses, increased to
EUR 4.5 billion due to higher net
inflows in Aegon Asset Management. New life sales were down 21% to
EUR 435 million, as higher indexed
universal life sales in the United
States and favorable currency movements were more than
offset by the impact of the withdrawal of the universal life
secondary guarantee product in the United
States and lower pension sales in the Netherlands and United Kingdom. New premium production for
accident & health and general insurance declined to
EUR 230 million, as the effect of a
stronger US dollar was more than offset by fewer portfolio
acquisitions in the United
States.
Market consistent value of new business
The market consistent value of new business amounted to
EUR 125 million. The positive effect
of the stronger US dollar and product adjustments in the United States were more than offset by the
negative impact of lower life sales and interest rates.
Revenue-generating investments
Revenue-generating investments declined by 1% during the third
quarter of 2015 to EUR 635 billion.
This was due to unfavorable market movements resulting from lower
equity markets, which more than offset net inflows.
Capital management
Shareholders' equity declined by EUR 1.0
billion during the third quarter and amounted to
EUR 24.1 billion on September 30, 2015. Revaluation reserves
increased slightly by EUR 0.1 billion to EUR
7.4 billion. Aegon's shareholders' equity, excluding
revaluation reserves and defined benefit plan remeasurements,
declined to EUR 18.2 billion - or
EUR 8.57 per common share - at the
end of the third quarter. This was caused by the loss generated in
the quarter and the payment of the 2015 interim dividend.
The gross financial leverage ratio increased to 28.8% in the
third quarter, driven by the book loss on the divestment of
Canada. Aegon has earmarked the
CAD 600 million proceeds of this
divestment to redeem the USD 500
million 4.625% senior bond, due in December 2015. Excess capital in the holding
increased to EUR 1.8 billion.
Dividends of EUR 0.5 billion paid to
the holding by the United States,
resulting from the divestments of Canada and Clark Consulting, were partly
offset by the payment of the 2015 interim dividend, interest
payments and operating expenses.
Aegon's Insurance Group Directive (IGD) solvency ratio increased
to 225% in the third quarter as a result of divestments, earnings
generated in the quarter and one-time adjustments. The capital in
excess of the S&P AA threshold in the
United States declined to USD 0.6
billion, due to negative market impacts on hedges and
one-time items resulting from the assumption changes and model
updates. In the Netherlands, the
IGD ratio, excluding Aegon Bank, moved up significantly to ~250%,
driven mainly by a higher valuation of mortgages in the general
account. The Pillar I ratio in the United
Kingdom, including the with-profit fund, increased to ~140%,
due to earnings generated in the quarter and positive market
impacts.
Cash flows
Operational free cash flows excluding market impacts and one-time
items amounted to
EUR 350 million in the third quarter
of 2015. The charges from one-time items of EUR 243 million were primarily related to the
assumption changes and model updates. Positive market impacts
amounted to EUR 131 million as a
higher valuation of mortgages in the general account in
the Netherlands more than offset
hedging losses on variable annuities in the United States. Operational free cash flows
including market impacts and one-time items amounted to
EUR 238 million for the quarter.
Financial overview, Q3 2015 geographically
Holding,
other
The United New activities &
EUR millions Americas Netherlands Kingdom Markets eliminations Total
Underlying earnings before
tax by line of business
Life 90 81 14 27 - 211
Individual savings and
retirement products 70 - - (3) - 67
Pensions 83 47 13 3 - 145
Non-life - 1 - 3 - 4
Asset Management - - - 40 - 40
Other - 6 - - (38) (32)
Underlying earnings before tax 243 135 27 69 (38) 436
Fair value items (146) (1) 34 7 3 (103)
Realized gains / (losses)
on investments 2 32 1 1 - 36
Net impairments (5) (6) - (1) - (12)
Other income / (charges) (909) - 3 (43) - (950)
Run-off businesses 28 - - - - 28
Income before tax (789) 160 65 34 (35) (565)
Income tax 73 (34) (4) (8) 13 41
Net income / (loss) (716) 126 62 26 (22) (524)
Net underlying earnings 205 104 24 46 (25) 355
Employee numbers
Sep. 30, Jun. 30, Dec. 31,
2015 2015 2014
Employees 28,675 28,241 28,602
of which agents 5,642 5,207 5,713
of which Aegon's share of employees in
joint ventures and associates 1,694 1,694 1,614
Full version press release
Use this link for the full version of the press release.
ADDITIONAL INFORMATION
The Hague -
November 12, 2015
Presentation
The conference call presentation is available on aegon.com as of
7.30 a.m. CET.
Supplements
Aegon's Q3 2015 Financial Supplement and Condensed Consolidated
Interim Financial Statements
are available on aegon.com.
Conference call including Q&A
9:00 a.m. CET
Audio webcast on aegon.com
Dial-in numbers
United States: +1 646 254
3362
United Kingdom: +44 203 427
1919
The Netherlands: +31 20 716
8256
Passcode: 7116860
Two hours after the conference call, a replay will be available
on aegon.com.
DISCLAIMERS
Cautionary note regarding non-IFRS measures
This document includes the following non-IFRS financial
measures: underlying earnings before tax, income tax, income before
tax and market consistent value of new business. These non-IFRS
measures are calculated by consolidating on a proportionate basis
Aegon's joint ventures and associated companies. The reconciliation
of these measures, except for market consistent value of new
business, to the most comparable IFRS measure is provided in note 3
'Segment information' of Aegon's Condensed Consolidated Interim
Financial Statements. Market consistent value of new business is
not based on IFRS, which are used to report Aegon's primary
financial statements and should not be viewed as a substitute for
IFRS financial measures. Aegon may define and calculate market
consistent value of new business differently than other companies.
Aegon believes that these non-IFRS measures, together with the IFRS
information, provide meaningful information about the underlying
operating results of Aegon's business including insight into the
financial measures that senior management uses in managing the
business. In addition, return on equity is a ratio using a non-GAAP
measure and is calculated by dividing the net underlying earnings
after cost of leverage by the average shareholders' equity
excluding the preferred shares, the revaluation reserve and the
reserves related to defined benefit plans.
Local currencies and constant currency exchange
rates
This document contains certain information about Aegon's
results, financial condition and revenue generating investments
presented in USD for the Americas and GBP for the United Kingdom, because those businesses
operate and are managed primarily in those currencies. Certain
comparative information presented on a constant currency basis
eliminates the effects of changes in currency exchange rates. None
of this information is a substitute for or superior to financial
information about Aegon presented in EUR, which is the currency of
Aegon's primary financial statements.
Forward-looking statements
The statements contained in this document 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 Aegon. These statements are not guarantees of future
performance and involve risks, uncertainties and assumptions that
are difficult to predict. Aegon undertakes 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 Aegon's
fixed income investment portfolios;
- 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 Aegon holds; and
- The effects of declining creditworthiness of certain private
sector securities and the resulting decline in the value of
sovereign exposure that Aegon holds;
- Changes in the performance of Aegon's investment portfolio and
decline in ratings of Aegon's counterparties;
- Consequences of a potential (partial) break-up of the
euro;
- The frequency and severity of insured loss events;
- Changes affecting longevity, mortality, morbidity, persistence
and other factors that may impact the profitability of Aegon's
insurance products;
- Reinsurers to whom Aegon has ceded significant underwriting
risks may fail to meet their obligations;
- 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;
- Changes in the availability of, and costs associated with,
liquidity sources such as bank and capital markets funding, as well
as conditions in the credit markets in general such as changes in
borrower and counterparty creditworthiness;
- Increasing levels of competition in the United States, the Netherlands, the United Kingdom and emerging markets;
- Changes in laws and regulations, particularly those affecting
Aegon's operations, ability to hire and retain key personnel, the
products Aegon sells, and the attractiveness of certain products to
its consumers;
- Regulatory changes relating to the insurance industry in the
jurisdictions in which Aegon operates;
- Changes in customer behavior and public opinion in general
related to, among other things, the type of products also Aegon
sells, including legal, regulatory or commercial necessity to meet
changing customer expectations;
- Acts of God, acts of terrorism, acts of war and pandemics;
- Changes in the policies of central banks and/or
governments;
- Lowering of one or more of Aegon's debt ratings issued by
recognized rating organizations and the adverse impact such action
may have on Aegon's ability to raise capital and on its liquidity
and financial condition;
- Lowering of one or more of insurer financial strength ratings
of Aegon's insurance subsidiaries and the adverse impact such
action may have on the premium writings, policy retention,
profitability and liquidity of its insurance subsidiaries;
- The effect of the European Union's Solvency II requirements and
other regulations in other jurisdictions affecting the capital
Aegon is required to maintain;
- Litigation or regulatory action that could require Aegon to pay
significant damages or change the way Aegon does business;
- As Aegon's operations support complex transactions and are
highly dependent on the proper functioning of information
technology, a computer system failure or security breach may
disrupt Aegon's business, damage its reputation and adversely
affect its results of operations, financial condition and cash
flows;
- Customer responsiveness to both new products and distribution
channels;
- Competitive, legal, regulatory, or tax changes that affect
profitability, the distribution cost of or demand for Aegon's
products;
- Changes in accounting regulations and policies or a change by
Aegon in applying such regulations and policies, voluntarily or
otherwise, may affect Aegon's reported results and shareholders'
equity;
- The impact of acquisitions and divestitures, restructurings,
product withdrawals and other unusual items, including Aegon's
ability to integrate acquisitions and to obtain the anticipated
results and synergies from acquisitions;
- Catastrophic events, either manmade or by nature, could result
in material losses and significantly interrupt Aegon's business;
and
- Aegon's failure to achieve anticipated levels of earnings or
operational efficiencies as well as other cost saving and excess
capital and leverage ratio management initiatives.
Further details of potential risks and uncertainties affecting
Aegon are described in its filings with the Netherlands Authority
for the Financial Markets and the US Securities and Exchange
Commission, including the Annual Report. These forward-looking
statements speak only as of the date of this document. Except as
required by any applicable law or regulation, Aegon 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 Aegon's expectations with regard
thereto or any change in events, conditions or circumstances on
which any such statement is based.
--------------------------------------------------
[1] Pro forma data as of August 31,
2015 and as communicated at time of announcement
Media relations
Debora de Laaf
+31(0)70-344-8730
gcc@aegon.com
Investor relations
Willem van den Berg
+31(0)70-344-8305
ir@aegon.com
PRN NLD
SOURCE Aegon N.V.