Allianz Se · XETR:ALV
Allianz — Debt Investor Presentation (November 2002)
32 slides from Allianz's debt investor presentation, November 2002
Slide 1: Singapore & Hong Kong USD/Euro Subordinated Bond
Paul Achleitner Singapore & Hong Kong USD/Euro Subordinated Bond Investor Presentation, November 2002 The bonds have not been and will not be registered under the U.S. Securities Act of 1933 and include bonds in bearer form that are subject to U.S. tax law requirements. Subject to certain exceptions
Slide 2: Agenda
Agenda I. Group overview 1 II. Our strategy 11 III. Financial strength 16 IV. Transaction overview 22 V. Appendix 26 0211-FI Asien-FIN.ppt 27.11.2002 1
Slide 3: Who are we?
I. Group overview Who are we? * EUR 75.1 bn statutory premiums, thereof 55 % P/C, Worldwide leading insurer presence in more than 70 countries EUR 1,172 bn assets under management, thereof Top 5 global asset manager EUR 620 bn third party Strong distribution in all major Germany: Allianz/Dresdner; F
Slide 4: The world's largest P/C insurer
I. Group overview The world’s largest P/C insurer in % Market share ** Internal Top 5 non-life insurers 2001 growth GPW in EUR bn, 20011) Germany 18.7 5.8 France 12.3 13.6 Italy 15.2 7.5 41 UK 4.5 21.0 33 Spain 6.6 19.1 26 Switzerland 11.4 3.7 22 19 Netherlands 4.9 13.3 Austria 15.1 1.6 Ireland 13.6
Slide 5: Among the top L/H carriers in Europe
I. Group overview Among the top L/H carriers in Europe in % Market share * Internal Top 5 life insurers 2001 growth GPW in EUR bn, 20011) Germany 14.4 - 0.1 Italy 13.5 32.4 48 France 5.5 - 12.5 45 45 Switzerland 5.3 8.0 34 Spain 4.1 22.6 28 Belgium 3.0 - 1.6 Netherlands 1.9 - 11.9 USA < 1.0 31.0 Gro
Slide 6: Top five in global asset management in only four years
I. Group overview Top five in global asset management in only four years The challenge: Integrating several asset management units in a short period of time AuM * 23 30 337 620 1998 1999 2000 2001 + EUR 260 bn ** Closing July 23 + EUR 38 bn ** Closing Jan 31 + EUR 279 bn ** Closing May 5 Integration
Slide 7: Strong position in Asia Pacific (1)
I. Group overview Strong position in Asia Pacific (1) 0211-FI Asien-FIN.ppt 27.11.2002 6
Slide 8: Strong position in Asia Pacific (2)
I. Group overview Strong position in Asia Pacific (2) 1 Presence in 19 markets P/C GPW 1.3 bn EUR 2 Over 8,900 employees 3 Extensive reach through – Subsidiaries L/H – Joint Ventures GPW 1.8 bn EUR – Representative Offices – Shareholdings – Regional Centres AuM 4 Allianz Group’s activities in 9.2 bn
Slide 9: Current figures dominated by exceptional burdens
I. Group overview Current figures dominated by exceptional burdens Exceptional items Impact before tax in Q3 Flood claims EUR -664 m Loss of EUR 2.5 bn after tax Asbestos reserve in 3rd quarter EUR -762 m strengthening leads to deficit of EUR 0.9 bn YTD Impairments EUR -1.7 bn * 0211-FI Asien-FIN.pp
Slide 10: Series of negative events masks considerable improvements in operative business
I. Group overview Series of negative events masks considerable improvements in operative business P/C + Combined ratio decrease to 101.5 % (pre-A&E reserve strengthening, floods) L/H + Strong growth in gross premiums written at 22.1 % Asset Management + Strong net inflow of third party assets of EUR
Slide 11: Positive outlook for 2003
I. Group overview Positive outlook for 2003 2002 one-offs (flood, A&E) No impairments expected after Q1 2003, provided markets are at least flat Combined ratio in 2003 targeted below 100 %: § Further improvements at FFIC, AGR, AGF § Underwriting discipline, expense management § Fast dealing with und
Slide 12: Agenda
Agenda I. Group overview 1 II. Our strategy 11 III. Financial strength 16 IV. Transaction overview 22 V. Appendix 26 0211-FI Asien-FIN.ppt 27.11.2002 11
Slide 13: Our strategy
II. Our strategy Our strategy Our strategic priorities 1. Optimize the economic value-added of our Group, based on risk-adequate capital requirements and sustainable growth targets 2. Capitalize on high-growth market opportunities by leveraging our traditional risk management expertise 3. Build on o
Slide 14: Riester Reform comparable to US ERISA
II. Our strategy Riester Reform comparable to US ERISA Participants in m; assets under management in US$ bn 45 m US $ bn 2000 Active Participants 40 1800 Assets under management 401 (k) 1600 35 1400 30 1200 25 1000 20 800 15 600 10 400 5 200 0 0 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995
Slide 15: European pension opportunities
II. Our strategy European pension opportunities Pension assets (in EUR bn) * 3,300 Other Europe ex UK Germany, France and Italy CAGR: 10 % 55.3 % 1,150 63.1 % CAGR 44.7 % core countries: 36.9 % 12 % 1999 2010E 0211-FI Asien-FIN.ppt *) European Union pension market excluding UK; products with compuls
Slide 16: Promising start on the bank distribution side
II. Our strategy Promising start on the bank distribution side Significant increase in insurance sales through bank channel Life: Premium volume * (in EUR m) Non-life: Annual premiums 148 2.1 2.1 142 2.0 136 x 4.4 x 35.0 115 119 1.7 108 118 107 102 1.3 1.1 0.8 0.7 0.6 34 0.06 0211-FI Asien-FIN.ppt Ø
Slide 17: Agenda
II. Our strategy Agenda I. Group overview 1 II. Our strategy 11 III. Financial strength 16 IV. Transaction overview 22 V. Appendix 26 0211-FI Asien-FIN.ppt 27.11.2002 16
Slide 18: High total liable capital
III. Financial strength High total liable capital (as per 30/09/02) in EUR bn Free RFB ** 3.0 Revaluation reserve * 5.2 Shareholder’s equity Minorities 20.9 8.8 Hybrid capital and subordinated debt 0211-FI Asien-FIN.ppt 10.8 Total: EUR 48.7 bn *) Shareholder’s share plus minorities **) Free reserve
Slide 19: Strong ratings (1)
III. Financial strength Strong ratings (1) Ratings: Standard & Poor’s Moody’s A.M.Best Insurer financial strength AA -- A++ *** Counterparty credit AA ** -- -- -- Senior unsecured debt * AA Aa2 ** A++ *** Subordinated debt * A+ A1 ** -- 0211-FI Asien-FIN.ppt Commercial paper (short term) * A-1+ P-1
Slide 20: Strong ratings (2)
III. Financial strength Strong ratings (2) “Capitalization for the Allianz Group is considered very strong, although it is no longer the extraordinary strength it has traditionally been ... financial flexibility remains very strong ...” S&P 09/10/2002 “Although the published results [of Q3] are disa
Slide 21: Balanced maturity structure of issued bonds
III. Financial strength Balanced maturity structure of issued bonds * (as per 30/09/02, adjusted for new bonds) in EUR m Subordinated Bonds Senior Bonds Total volume outstanding: EUR 12,066 m** Exchangeables 2,642 2,200 2,000 1,767 920 1,632 1,400 New 767 1,075 1,722 900 450 1,000 1,100 New New New
Slide 22: Allianz jumbo eurobond generates strong demand
III. Financial strength Allianz jumbo eurobond generates strong demand § The eurobond was placed on the market in two tranches with a five-year and a ten-year maturity. Both tranches have a fixed coupon. § The investor's return is 4.735 % for the five-year tranche and 5.665 % for the ten-year tranch
Slide 23: Agenda
Agenda I. Group overview 1 II. Our strategy 11 III. Financial strength 16 IV. Transaction overview 22 V. Appendix 26 0211-FI Asien-FIN.ppt 27.11.2002 22
Slide 24: USD/Euro subordinated bond transactions: Overview (1)
IV. Transaction overview USD/Euro subordinated bond transactions: Overview (1) Perpetual subordinated bond Dated subordinated bond Size appr. USD 500 m EUR 500 m + 22 years; Callable after 12 years and Perpetual; Callable after 5 years annually thereafter; Coupon step-up Maturity and quarterly there
Slide 25: USD/Euro subordinated bond transactions: Overview (2)
IV. Transaction overview USD/Euro subordinated bond transactions: Overview (2) Perpetual subordinated bond Dated subordinated bond Pari passu with all other undated subordi- Pari passu with all other dated subordi- Status/Ranking nated obligations; Subordinated in liqui- nated obligations; Subordina
Slide 26: Key investment highlights
IV. Transaction overview Key investment highlights Value drivers 1 A worldwide leading insurer and global asset manager 2 Highly profitable German P/C business 3 Superior position to benefit from continental European pension opportunity 4 Strong market position in emerging markets 0211-FI Asien-FIN.
Slide 27: Agenda
Agenda I. Group overview 1 II. Our strategy 11 III. Financial strength 16 IV. Transaction overview 22 V. Appendix 26 0211-FI Asien-FIN.ppt 27.11.2002 26
Slide 28: Allianz Life Business in Asia Pacific
V. Appendix Allianz Life Business in Asia Pacific Operational Entities § China; AZ Dazhong Life § India; Allianz Bajaj Life § Indonesia; Allianz Life § Korea; France Life § Korea; Allianz First Life § Malaysia; MBA Life § Philippines; Pioneer Allianz § Taiwan; Allianz President Life § Thailand; Alli
Slide 29: Allianz P&C Business in Asia Pacific
V. Appendix Allianz P&C Business in Asia Pacific Operational Entities § Australia; AZ Australia § Brunei; NIC § China; Gen. RepOffice Bejing, RepOffice Shanghai & Guangzhou § China; AZ Insurance Co.- Guangzhou § Hong Kong; Allianz HK § India; Bajaj AZ § Indonesia; AZ Utama § Japan; AZ Japan § Korea;
Slide 30: Financial calendar 2002/2003
V. Appendix Financial calendar 2002/2003 20 March 2003 Financial press conference for the 2002 fiscal year 21 March 2003 Analysts’ meeting on fiscal year 2002 in Munich 24 March 2003 Analysts’ meeting on fiscal year 2002 in London 29 April 2003 Annual General Meeting 2003 16 May 2003 Financial repor
Slide 31: Investor Relations contacts
V. Appendix Investor Relations contacts Oliver Schmidt Tel. +49 (0) 89 3800-3963 Christian Tel. +49 (0) 89 3800-3892 Lamprecht Head of e-mail: e-mail: christian.lamprecht Investor Relations oliver.schmidt@allianz.com @allianz.com Susanne Arheit Tel. +49 (0) 89 3800-3324 Stefan Engelke Tel. +49 (0) 8
Slide 32: Disclaimer
V. Appendix Disclaimer CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS All rights reserved, Copyright 2002 Allianz AG Certain of the statements contained herein may be statements of future expectations and other forward-looking statements that are based on management's current views and assumpt