zyxwvutsrqponmlkihgfedcbaYWVUTSRQPONMLKJIGFEDCBA Welcome to the - - PowerPoint PPT Presentation

zyxwvutsrqponmlkihgfedcbaYWVUTSRQPONMLKJIGFEDCBA Welcome to the Annual General Meeting of Shareholders AEGON N.V. Welkom op de jaarlijkse Algemene Vergadering van A d lh d AEGON N V Aandeelhouders AEGON N.V.

In order to hear a simultaneous translation into English, we would like to offer you the use of a headset Please choose channel 4 you the use of a headset. Please, choose channel 4. Voor het beluisteren van een simultaanvertaling in het Nederlands kunt u gebruikmaken van een koptelefoon Kies hiervoor kanaal 3 gebruikmaken van een koptelefoon. Kies hiervoor kanaal 3.

Full year 2009 results Full year 2009 results

Jan Nooitgedagt, CFO & Member of the Executive Board

–

Return to profitability in 2009

• Underlying earnings down 26% - a reflection primarily of:

– Lower investment income Reserve strengthening Reserve strengthening – Accelerated amortization of deferred policy acquisition costs

• Return to profitability

Return to profitability

Underlying earnings before tax Net income

(EUR million) (EUR million)

1,573 1,160 (1,082) 204

FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009 Local knowledge. Global power. 3

Robust new life sales demonstrating solid franchise

• New life sales remained strong, despite difficult market conditions
• Gross deposits up 6% - driven by pension deposits and VA business in

Americas and Europe Americas and Europe

• Fixed annuities managed lower
• VNB decreased by 8%

New life sales Gross deposits* Value of new business

(EUR million) (EUR million) (EUR million)

FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009 2,631 2,045 22,371 23,628 837 767 FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009

* Excluding institutional guaranteed products

Local knowledge. Global power. 4

Continued strong deposits

• Gross deposits of EUR 23 6 billion*

Gross deposits of EUR 23.6 billion

• Net deposits of EUR 5.5 billion*

Gross deposits* full year 2009 (EUR millions) Gross deposits* full year 2009 (EUR millions)

11,045 3,377 3,055 3,032 3,117 23,628

Pensions and asset Fixed annuities Variable annuities Savings deposits Retail mutual funds Total management management * Excluding institutional guaranteed products Numbers may not add up due to rounding

Local knowledge. Global power. 5

–

Underlying earnings country units

• Earnings impacted by:

– Lower investment & fee income in all countries Reserve strengthening and accelerated DPAC in US Reserve strengthening and accelerated DPAC in US – Provisions related to improvement of consistency of customer records in UK – Continued growth in Other countries

Americas The Netherlands United Kingdom Other countries (USD million) (USD million) (EUR million) (GBP million) (EUR million) (EUR million) (GBP million) (EUR million)

113 43 93 161 1,573 1,132 378 398 FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009 FY 2008 FY 2009

Local knowledge. Global power. 6

Impairments trending down

• Impairments are trending down, but continue at elevated levels
• Full year US net credit impairments of 120 bps, above the long-term average

Impairments (EUR million)

501 501 407 146 393 386 82 285 102 63 102 355 284 330 64 285 209 325 192 145

Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09

93

■

Americas ■ Rest of the World

Local knowledge. Global power. 7

Limited exposure to peripheral European sovereigns

EUR million

Portugal 58 Greece 92 Ireland 138 Ireland 138 Italy 143 Spain 1,784

Local knowledge. Global power. 8

Shareholders’ equity doubled

• Shareholders' equity doubled in 2009 due to strong improvement in

revaluation reserve

• Shareholders’ equity per common share of

equity per common share of EUR 5 88 at the end of 2009 EUR 5.88 at the end of 2009

• Shareholders

Shareholders’ equity development 2009 (EUR billion)

6.1 12.2

FY 2008 FY 2009 Local knowledge. Global power. 9

AEGON is well prepared for Solvency II

• AEGON supports the principles of Solvency II
• AEGON has been preparing since 2005

– Internal economic capital model more conservative than QIS 4* – Economic pricing embedded in product pricing

• Outcome QIS 5 * remains uncertain

– Outstanding issues well known:

• Use of hybrid capital
• Inclusion of non-EEA regions
• Liquidity premium
• Confident final outcome to be satisfactory for both industry and AEGON

* QIS: Quantative impact study QIS: Quantative impact study Local knowledge. Global power. 10

Managing AEGON as an international group

Local knowledge. Global power. 11

Thank you Dank u wel