Preliminary results year ended 31 December 2008
05 March 2009
M13 – Group MCEV analysis of earnings
| 2008 (net of tax and minority interests) | Covered business1 £m A |
Non-covered but related to life business2 £m B |
Total life business3 £m A+B |
Non-covered relating to non-life £m C |
Total non- covered business £m B+C |
Total £m A+B+C |
|---|---|---|---|---|---|---|
| Opening Group MCEV | 18,248 | 2,059 | 20,307 | 881 | 2,940 | 21,188 |
| Opening adjustments | - | - | - | - | - | - |
| Adjusted opening Group MCEV | 18,248 | 2,059 | 20,307 | 881 | 2,940 | 21,188 |
| Operating MCEV earnings | 1,753 | - | 1,753 | 535 | 535 | 2,288 |
| Non-operating MCEV earnings | (8,638) | (53) | (8,691) | (1,229) | (1,282) | (9,920) |
| Total MCEV earnings | (6,885) | (53) | (6,938) | (694) | (747) | (7,632) |
| Other movements in IFRS net equity | - | (28) | (28) | (994) | (1,022) | (1,022) |
| Capital and dividend flows | (63) | - | (63) | (712) | (712) | (775) |
| Foreign exchange variances | 2,702 | 567 | 3,269 | (926) | (359) | 2,343 |
| Acquired/divested businesses | 87 | 94 | 181 | (181) | (87) | - |
| Closing Group MCEV | 14,089 | 2,639 | 16,728 | (2,626) | 13 | 14,102 |
| Preference share capital and direct capital instruments | (1,190) | |||||
| Equity attributable to ordinary shareholders of Aviva plc on an MCEV basis | 12,912 |
| Restated 2007 (net of tax and minority interests) |
Covered business1 £m A |
Non-covered but related to life business2 £m B |
Total life business3 £m A+B |
Non-covered relating to non-life £m C |
Total non- covered business £m B+C |
Total £m A+B+C |
|---|---|---|---|---|---|---|
| Opening Group MCEV | 16,506 | 1,594 | 18,100 | 528 | 2,122 | 18,628 |
| Opening adjustments | – | – | – | – | – | – |
| Adjusted opening Group MCEV | 16,506 | 1,594 | 18,100 | 528 | 2,122 | 18,628 |
| Operating MCEV earnings | 1,567 | – | 1,567 | 309 | 309 | 1,876 |
| Non-operating MCEV earnings | 52 | (33) | 19 | (191) | (224) | (172) |
| Total MCEV earnings | 1,619 | (33) | 1,586 | 118 | 85 | 1,704 |
| Other movements in IFRS net equity | – | 124 | 124 | 316 | 440 | 440 |
| Capital and dividend flows | (829) | – | (829) | 347 | 347 | (482) |
| Foreign exchange variances | 851 | 61 | 912 | (14) | 47 | 898 |
| Acquired/divested businesses | 101 | 313 | 414 | (414) | (101) | – |
| Closing Group MCEV | 18,248 | 2,059 | 20,307 | 881 | 2,940 | 21,188 |
| Preference share capital and direct capital instruments | (1,190) | |||||
| Equity attributable to ordinary shareholders of Aviva plc on an MCEV basis | 19,998 |
- Covered business represents the business that the MCEV calculations cover, as detailed in the Basis of preparation note. The embedded value is presented net of minority interests and tax.
- Non-covered but related to life business represents the adjustments to the MCEV, including goodwill, to calculate the long-term business net assets on an MCEV basis. View an analysis of net assets on an MCEV basis gross of minority interests is provided.
- Net assets for the total life businesses on an MCEV basis presented net of minority interests.
