Bruno Pfister, Group CEO, comments: “Swiss Life has performed well in the first three quarters of 2010. We are happy with the premium growth in our units, which we have achieved despite the challenging market conditions and record low interest rates. And we are well on track with the measures to increase the company's efficiency and power, implemented as part of our MILESTONE programme.”
Strong premium growth in the first nine months of 2010
In the first nine months of 2010, the Swiss Life Group increased its premium income in local currency by 20% to CHF 15.9 billion. Overall, premiums rose by 17% to CHF 3.6 billion, compared to the third quarter of 2009. Premium income during the first nine months in Switzerland reached the prior-year’s level of CHF 6.3 billion. In France, premiums climbed by 15% to CHF 4.1 billion and, in Germany, by 7% to CHF 1.5 billion in the first nine months of 2010. The Insurance Other segment recorded an increase to CHF 4.1 billion (+99%) during the same period, mainly due to the consistent excellent performance of Private Placement Life Insurance (PPLI).
Implementation of MILESTONE proceeding to plan
The measures introduced as part of our MILESTONE fitness programme to increase profitability and strengthen the balance sheet are producing measurable results. “We will continue to focus on the disciplined execution of initiatives to achieve sustainable operational progress,” comments Thomas Buess, Group CFO. “In relation to strengthening the balance sheet and cost management in particular, a large number of the measures have already been implemented.”
Sustained improvement in AWD’s results continues
Between January and September 2010, AWD generated profit from operations (EBIT) of EUR 28.8 million. Sales revenues also grew by 2% to EUR 388 million. The number of advisors remained stable at around 5300, compared to the same period the previous year.
Sound investment result and further increase in Group solvency
The net investment return on the insurance portfolio developed positively in line with expectations and stands at 2.75% (not annualised). The Group solvency ratio, calculated on the basis of the IFRS balance sheet in accordance with Solvency I, came to 185% on 30 September 2010 (175% on 30 June 2010). Swiss Life is comfortably meeting the Swiss Solvency Test (SST) requirements, even in the low interest rate environment: At the end of the third quarter, the SST solvency ratio determined on the basis of Swiss Life’s internal model stood at well above 100%.
Today’s telephone conference for financial analysts and investors
The Group CFO, Thomas Buess, will hold a telephone conference for financial analysts and investors in English at 10 a.m. (CET). Please dial in ten minutes before the conference begins.
Dial-in number for continental Europe +41 91 610 56 00
Dial-in number for the UK +44 203 059 58 62
Dial-in number for the USA +1 (1) 866 291 41 66
The Swiss Life Group is one of Europe's leading providers of life insurance and pension solutions. In Switzerland, France and Germany, the Group offers individuals and corporations comprehensive advice and a broad range of products through its own sales force as well as brokers and banks. Swiss Life provides international corporations with employee benefits solutions from a single source, and is one of the global leaders in structured life and pension products for international high net worth individuals.
The AWD Group has been part of the Swiss Life Group since 2008. Hanover-based AWD is one of the leading European financial services providers in the medium- and high-income client segments and offers its clients personal and holistic financial planning in eight countries.
Swiss Life Holding Ltd, registered in Zurich, was founded in 1857 as Schweizerische Rentenanstalt. The shares of Swiss Life Holding Ltd are listed on the SIX Swiss Exchange (SLHN). The Swiss Life Group employs a staff of around 8200.
This publication contains specific forward-looking statements, e.g. statements including terms like “believe”, “assume”, “expect” or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other important factors which may result in a substantial divergence between the actual results, financial situation, development, performance or expectations of Swiss Life and those explicitly or implicitly presumed in these statements. Against the background of these uncertainties, readers are cautioned that these statements are only projections and that no undue reliance should be placed on such forward-looking statements. Neither Swiss Life nor any of its directors, officers, employees or advisors nor any other person connected or otherwise associated with Swiss Life makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained in this publication. Neither Swiss Life nor any of the aforementioned persons shall have any liability whatsoever for loss howsoever arising, directly or indirectly, from any use of this information. Furthermore, Swiss Life assumes no responsibility to publicly update or alter its forward-looking statements or to adapt them, whether as a result of new information, future events or developments or any other reason.