Worldwide long-term savings new business, Nine months to 30 September 2001

25 October, 2001

• Record worldwide long-term new business of £10.4 billion, including life and pension sales up 18%, for nine months to 30 September
• UK life and pension sales up 9% at £5.3 billion (up 26% on an APE basis to £915 million)
• Continental European life and pension sales up 33% to £3.6 billion, representing 39% of total life and pension sales
• Strong sales contribution from our bancassurance agreements in Spain and Italy at £0.9 billion
• Worldwide new business contribution increased by 20% to £399 million
• Worldwide new business margin at 24.6% (full year 2000: 23.9%)

Richard Harvey, Group Chief Executive, commented:

"The Group has made strong progress with record worldwide new business sales of £10.4 billion for the nine months to 30 September, against the backdrop of volatile equity markets and the recent tragic events in the United States.

"In the UK, where we have a total market share of some 11%, we have achieved record new life and pension sales of £5.3 billion. In the new stakeholder pensions market, we have so far achieved a share of over 25% in the important IFA stakeholder market, helped by our brand leadership position.

"Our continental European operations achieved growth of 33% in life and pensions new business. Our bancassurance agreements in both Spain and Italy have produced excellent sales and demonstrate the success of our European strategy. Margins were maintained in our continental European businesses and our excellent multi-distribution capabilities ensure we are well-positioned to make further progress in markets, with significant long-term potential."

Enquiries:

Analysts/Investors:

Mike Biggs, Group Finance Director +44(0)20 7662 2031
Philip Scott, Group Executive Director UK Life +44(0)20 7662 2264
Tony Wyand, Group Executive Director Continental Europe +44(0)20 7662 2285
Steve Riley, Investor Relations Director +44(0)20 7662 8115

Media:
Hayley Stimpson, Director of External Affairs +44(0)20 7662 7544
Alex Child-Villiers, Financial Dynamics +44(0)20 7269 7107

Download the full announcement PDF (68.9KB)

There will be a conference call today for wire services at 7.45 am on +44(0)20 8240 8248. This conference call will be
hosted by Mike Biggs, Group Finance Director.
There will be a conference call today for analysts and investors at 8.30am (UK time) on +44(0)20 8240 8245. This conference
call will be hosted by Mike Biggs, Group Finance Director.
Replay will be available for 2 weeks until 8 November. The dial in number for replay is +44(0)20 8288 4459 and the
pass code 632772.