eureko 2006 interim results “strong financial performance sustained ”

EUREKO

1

Eureko 2006 Interim Results

“Strong financial performance sustained ”

“New organisation and management team in place”

Gerard van Olphen

Chief Financial Officer

17 August 2006

EUREKO

www.eureko.net 22006 INTERIM RESULTS 17 AUGUST 2006

Disclaimer

This document contains certain forward-looking statements with respect to certain of the plans and objectives of the Company and its subsidiaries (together the “Group”) and to the Group’s current expectations relating to its future financial condition and performance. The Group may also make forward-looking statements in other written materials. In addition, the Group’s senior management may make forward-looking statements orally to analysts, investors, representatives of the media and others. In particular, among other statements, certain statements with regard to management objectives, trends in results of operations and revenues are forward-looking in nature. These forward looking statements are based on management’s current views, estimates and assumptions about these future events. By their nature, forward-looking statements are subject to certain risks and uncertainty that may cause the Group’s actual results to differ materially from those set forth in the Group’s forward-looking statements. The Company undertakes no obligation to update the forward-looking statement contained in this presentation or any other forward-looking statement made in any form by the Group.

The information contained herein is not an offer of securities for sale in the United States of America or any other country. Eureko B.V. has not registered and will not register any securities under the U.S. Securities Act of 1933, as amended, and securities may not be offered, sold or delivered in the United States of America absent registration or an exemption from registration.

EUREKO


1. Main developments

2. Financial highlights per business line

3. New organisation and management team in place

4. Summary and Outlook

Appendix

Agenda

EUREKO


Development of key financial indicators, June 2006

• Net profit almost doubled to € 669 million, from € 338 million at June 2005

• Profit before tax increased 119% to € 849 million from € 387 million

• Gross written premiums up to € 7,910 million, from € 3,471 million, (+128%)

• Total equity remained stable at € 8.5 billion, compared to December 2005

• Debt leverage slightly increased to 10.9% from 9.6% at December 2005

• Return on adjusted equity satisfactory at 17.7% from 19.2% at June 2005

• Earnings per ordinary share increased by 36% to € 2.28 from € 1.68 at June 2005

• Proposed interim dividend per ordinary share at € 0.31

Notes: All financials are statutory: Interpolis is included in the Balance Sheet for 2005 and 2006 and included in the

Income Statement for 2006. Return on adjusted equity is measured excluding goodwill, hybrid capital and preference

shares

EUREKO


Profit before tax improved 119% …… from € 387 million to € 849 million

170

387

84970

300

1407 10 31

Profit beforeTax H1 2005

Delta Life Delta Non-Life Delta Health Delta Banking DeltaAssociateCompanies

and StrategicInvestments

Delta Holding &Other

Profit beforeTax H1 2006

€ million

Life Non-Life Health Banking Associates Hold./Other Total

2006 H1 348 304 152 5 150 -110 849

2005 H1 48 164 82 12 160 -79 387

Delta 2006 - 2005 300 140 70 -7 -10 -31 462

557

Pro forma profit

before tax includes

Interpolis

EUREKO


Total equity remained stable at € 8.5 billion

8,5188,525 270

669

178499

85

Total equity Dec. 2005 Issue of new shares Net profit 2006 H1 Dividend 2005 incl.dividend on prefs

Revaluations (-270), FXdevelopments & Other

(-85)

Total equity J une 2006

€ million

355

EUREKO


Gross written premiums increased by 128% …… from € 3,471 million to € 7,910 million

3,471

1,314 1,227930

7,910

3,712

2,633

1,565

Life Non-Life Health Total

203%

68%

100%

H1 2006

H1 2005

€ million

1%

16%

7%

7,371

= Pro forma 2005 includes GWP for Interpolis for Life, Non-Life and Health and the former Public Health Funds for Health

0%2,638

1,544

3,189

EUREKO






Appendix

Agenda

EUREKO


Life insurance continues recovery: positive VNB

2,633

1,314

1,324

2005 H1 2006 H1

180

6

2005 H1 2006 H1

Technical results strongly increased resulting from the merger with Interpolis and the release of a provision for low interest rates of € 65 million. Excluding the one-off effects, growth was at 103% from € 56 million to € 115 million

Gross written premiums increased in all countries, but mainly in the Dutch market because of the inclusion of Interpolis. Excluding the contribution from Interpolis, premium growth in The Netherlands remained stable. Achmea re-entered, this Summer, the market for annuities with a value adding product. Besides growth of GWP, Friends First, grew in investment-only contracts, which, under IFRS, do not contribute to the premium collection. Interamerican showed a 2% growth in a competitive market

€ million

1.3%

-3.0%

2005 H1 2006 H1

New business margin increased as a result of the acquisition of Interpolis, selling more profitable products; at Achmea a lower expense ratio; at Achmea and Interamerican lower acquisition costs and more new value creating product launches by Friends First. Improvements also experienced as a result of the adoption of the European Embedded Value Principles

+100%

2,638Pro forma

GWP includes

Interpolis

EUREKO


Non-Life performance remains very strong

614

1,565

930

2005 H1 2006 H1

24.9% 27.0%

62.3% 58.7%

2005 H1 2006 H1

232

163

2005 H1 2006 H1

Technical results improved as a result of the inclusion of Interpolis, but also because of a lower combined ratio and increased investment results

The combined ratio further decreased as a result of lower claims (e.g. increased congestion, more roundabouts), whilst the expense ratio increased due to commissions paid by Interpolis and higher allocated expenses.

Gross written premiums strongly increased in the Dutch market, at Achmea, as a result of the inclusion of Interpolis, a strong commercial campaign, innovative products and a strong product range, despite pricing pressure experienced

85.7%87.2%Expense

Ratio

ClaimsRatio

€ million

+42%

+68%

1,544Pro forma

GWP includes

Interpolis

EUREKO


Health: strong growth in premiums; modest profitability

1,9623,292

1,003

420

224

2005 H1 2006 H1

7163

2005 H1 2006 H1

The technical result increased by € 8 million compared to the first six months of 2005. The inclusion of Interpolis and positive run-off results from the Occupational Health business are largely offset by the investments in the new basic health insurance both in the Netherlands and Slovakia

The combined ratio increased by additional provisioning for the new basic health insurance. With the introduction of the new basic health system, the claims ratio has become less important due to equalisation of claims between insurance companies, as acceptance of insured is legally required. Main drivers for results are expenses per insured and procurement efficiency for health expenses, the claims on supplementary health insurance and occupational health

Gross written premiums increased by the inclusion of the public health insurance funds per 1 January 2006 (new Dutch health insurance system) from € 1,003 million to € 3,292 million for Health insurance. The number of insured increased by 569,000 to 3.5 million across all our distribution channels, mainly brokers, group contracts and the Rabobank channel

Occupational health insurance grew strongly 87% from € 224 million to € 420 million by the inclusion of Interpolis, which gives Achmea a very strong position in this market

87.8% 92.8%

7.7%9.1%

2005 H1 2006 H1

100.5%

3,712

ClaimsRatio

€ million

+203%

13%

96.9%Expense

Ratio

3,189Pro forma GWP incl. Interpolis,

and Public Health Funds

EUREKO


Health Services: fierce price competition and low absenteeism

153131

2005 H1 2006 H1

-7

8

2005 H1 2006 H1

Strong decline of profit before tax as a result of fierce price competition and lower absenteeism (due to low sickness of clients’ employees). Following the completed restructuring at Achmea, last year, Interpolis subsidiary Commit will start a restructuring programme to improve efficiency. The Interamerican Health Clinics in Greece are all profitable in 2006

Revenues increased by inclusion of Interpolis. Fierce price competition and lower absenteeism in The Netherlands, have a negative impact on the revenues

€ million

17%

EUREKO


Banking experiences pressure on margins

7081

2005 H1 2006 H1

12,64913,234

2,3842,082 1,3171,143

2005 H1 2006 H1

5

12

2005 H1 2006 H1

The profit before tax of Achmea Mortgage Bank decreased from € 18 million to € 16 million, as a result of lower production and declining margins. The main decline in profit before tax comes from Staalbankiers due to strong competition. Friends First Finance continues to grow, supported by the economic development within Ireland

The banking credit portfolio slightly decreased by a decrease at the Achmea Mortgage Bank. The mortgage portfolio at the Achmea mortgage bank decreased by -4%. Growth was established at Staalbankiers (+15%), Achmea Retailbank (+29%) and Friends First Finance (+14%)

Net interest margin declined due to smaller portfolio at Achmea Mortgage Bank and pricing pressure on interest margins

€ million

-58%

-1% 16,35016,459

StaalbankiersOther

Achmea Hypotheekbank

-14%

EUREKO


PZU Figures has been based upon Eureko expectation as limited information has been received from PZU

Other The other associates include contribution from MillenniumBCP and F&C and the sale of Friends Provident and Bank Millennium shares

Associate Companies and Strategic Investments

€ million 2005 H1 2006 H1 delta

PZU 133 116 -13%

Other Associates 27 34 26%

Total 160 150 -6%

EUREKO






Appendix

Agenda

EUREKO


Merger Achmea – Interpolis is progressing fast

21 September 2005Signing of merger Achmea – Interpolis

31 October 2005Economic closing of the merger

15 November 2005Legal closing of the merger

8 December 2005Combined strategy memo approved

16 January 2006Assignments of managers for Holding & Service units

13 February 2006Assignments of Dutch Division managers

22 February 2006Press release on expected FTE reduction

20 March 2006New Division structure approved

May 2006Union and Workers Council approval

1 July 2006Appointment of full management teams for Dutch Divisions

17 July 2006Announcement on reducing the Executive Board per 1 October 2006

EUREKO


Management Team in place per 1 October

• On 18 July, Eureko announced the resignation of Kick van der Pol (Vice-Chairman), Gert van Arkel and Margriet Tiemstra from the Eureko Executive Board, as from 1 October 2006

• From 1 October 2006, the Executive Board will consist of:

- Maarten Dijkshoorn (Chairman and CEO)

- Ernst Jansen (Vice-Chairman)

- Willem van Duin

- Huub Hannen

- Gerard van Olphen (CFO)

- Roel Wijmenga

EUREKO






Appendix

Agenda

EUREKO


Summary and Outlook

We have no reason to re-state or qualify earlier assessments, but:• Pricing pressure is expected to impact Gross Written Premiums in the second half of

2006• Health experiences an uncertain market environment• Integration of Achmea and Interpolis is expected to lead to cost reductions

• Strong sustained financial performance• Life insurance continues recovery with a positive Value of New Business• Non-Life insurance performance remains strong• Health insurance shows strong premium growth with modest profitability• Banking experiences pressure on margins• Associates and strategic investments continue to make an important

contribution

• New organisation and management team in place

OUTLOOK

SUMMARY

EUREKO






Appendix

Agenda

EUREKO


Division

Occupational Health

Division

Health

Division

Direct

Division

Bank

Division

Broker

Product Divisions

Channel Divisions

New organisational structure as per 1 July

Eureko

Development

and distribution

of specific

service

concepts via

independent

brokers,

networks &

authorised

agencies

Business partner

for all Rabobank

group units

in non-life,

pensions,

occupational

health and

health

Direct writing

of insurance

and banking

products

Insurance

solutions and

services in the

areas of

absenteeism

prevention,

health and

re-integration

Group and

individual

products that

provide financial

security for the

future

Increase the

emphasis on

international

expansion and

development

outside

The Netherlands

Solutions and

expertise in

the areas of

work, health

and income

protection

Achmea

Division

Pensions

Division

Europe

eureko 2006 interim results “strong financial performance sustained ”

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