Netherlands: Delta Lloyd Group reports excellent 2005

Financial

• Increase in result before taxation by 30% to € 568 million, driven by good investment results, continuing cost awareness and favourable developments in General Insurance
• Total gross premium income increases 6% to € 5.7 billion due to organic growth in life insurance
• Equity increases by 36% from € 2.8 billion to € 3.8 billion

Operational

• Strong improvement in profitability of new life business; new business contribution increases by 27% to € 58 million
• Profitability of General sharply improved on the back of good claims management and lower costs
• Mortgage origination increased by 15% in a highly competitive marketInflow new money of Delta Lloyd mutual funds 29% higher at € 1.5 billion, supported by the improved distribution through banks

Strategic

• Continuing low interest rates prompt additional prudence in financial policy Delta Lloyd Group anticipates further improvement of results in 2006

Niek Hoek, chairman Executive Board Delta Lloyd Group: 'Delta Lloyd Group can look back on a highly successful 2005; all activities developed positively. This was despite the very low level of long-term interest rates, which dropped below the level that we have guaranteed to many of our customers. Our customers and stakeholders expect us to protect their long-term interests. By taking structural measures aimed at mitigating the consequences of these low interest rates and making these consequences transparent, we have secured the solidity of our business and hence our customers' future benefit entitlements. This adds further lustre to the good results that we are presenting today.'

Delta Lloyd Group key figures for 2005¹