Munchener Ruckversicherungs-Gesellschaft AG · XETR:MUV2

Munchener Ruckversicherungs-Gesellschaft — Munich Re — H1 2008 Earnings Presentation

68 slides from Munchener Ruckversicherungs-Gesellschaft's earnings presentation, Aug 6, 2008

  1. Slide 1: Quarterly financial statements as at 30.6.2008

    Munich Re Group Quarterly financial statements as at 30.6.2008 Telephone conference with analysts and investors Nikolaus von Bomhard Jörg Schneider 6 August 2008

  2. Slide 2: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction 2 Financial reporting Q1–2 2008 Munich Re Group in total 5 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment 15 Primary insurance segment 19 Reinsurance renewals July 2008 25 Financial strength and

  3. Slide 3: Introduction: Summary

    Introduction Munich Re Group Summary €1.4bn of earnings in first half of 2008; robust result in challenging capital market environment Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Diversification and sophisticated asset-liability management are cornerstones of ou

  4. Slide 4: Impact of weak stock markets: why guidance changed

    Introduction Impact of weak stock markets Why did we change our profit guidance? Updated profit REVISED FROM €3.0–3.4bn TO well above €2bn guidance External view STOCK MARKET ADUSTED EXPECTED HIT ON DOWNTURN EQUITY SHAREHOLDERS' SHAREHOLDERS' DJ EURO STOXX x GEARING x EQUITY = EQUITY Munich Re Group

  5. Slide 5: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital effi

  6. Slide 6: Overview Q1–2 2008

    Financial reporting Q1–2 2008 – Munich Re Group in total Overview Q1–2 2008 Satisfactory result impacted by capital markets GROUP REINSURANCE PRIMARY INSURANCE Gross premiums written Combined ratio property-casualty Combined ratio property-casualty1 €m % % Q1–2 Q1–2 Q1–2 18,928 98.4 93.3 2007 2007 2

  7. Slide 7: Investment result

    Financial reporting Q1–2 2008 – Munich Re Group in total Investment result Significant impact of impairments and lower net gain on disposals Q2 2008 Return1 €m Regular income 2,294 5.4% –181 –0.4% Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Other income/expenses

  8. Slide 8: Major driver 1 – Write-downs/write-ups of investments

    Financial reporting Q1–2 2008 – Munich Re Group in total Investment result – Major driver 1 – Write-downs/write-ups of investments Impairments of equities partly offset by derivatives €m Q1–2 2008 Q1–2 2007 Change Afs fixed-interest –30 0 –30 Afs non-fixed-interest –2,163 47 –2,210 Derivatives 1,128

  9. Slide 9: Major driver 2 – Gains/losses on disposal of investments

    Financial reporting Q1–2 2008 – Munich Re Group in total Investment result – Major driver 2 – Gains/losses on the disposal of investments Lower gains on disposal €m Q1–2 2008 Q1–2 2007 Change Afs fixed-interest 226 –274 500 Afs non-fixed-interest 137 1,753 –1,616 Derivatives 455 –23 478 Loans –3 –7

  10. Slide 10: Investments: impact on unrealised gains/losses

    Financial reporting Q1–2 2008 – Munich Re Group in total Investments Impact on unrealised gains/losses on shareholders' equity Decrease of investments by 5.6% to €166.2bn compared to end of 2007 (€176.2bn) Development afs fixed-interest securities1 Development afs non-fixed-interest securities1 €m €

  11. Slide 11: Equity

    Financial reporting Q1–2 2008 – Munich Re Group in total Equity Impacted by capital market as well as dividend and share buy-back €m Q1–2 Q2 Equity 25,458 31.12.2007 Consolidated result 1,406 621 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Changes Dividend –1,11

  12. Slide 12: Derisking of equities

    Financial reporting Q1–2 2008 – Munich Re Group in total Derisking of equities Ongoing reduction of exposure to equity markets DJ Euro Stoxx Insurance Equity-backing ratio1 Gross of derivatives After taking derivatives into account Munich Re Group – Quarterly financial statements as at 30.6.2008 – 0

  13. Slide 13: Visible impact of derisking

    Financial reporting Q1–2 2008 – Munich Re Group in total Visible impact of derisking Cost of capital substantially reduced Beta factor Munich Re and industry Investment risks 2.2  Lowered equity gearing 2.0  Reduced concentration risks Significantly 1.8 reduced to Munich Re Group – Quarterly finan

  14. Slide 14: Operating and consolidated result

    Financial reporting Q1–2 2008 – Munich Re Group in total Operating and consolidated result Satisfactory underwriting influenced by declining investment result €m Q1–2 2007 ERGO dividend1 Q1–2 2008 Operating result Consolidated result Reinsurance 579 401 life and health 690 551 1,838 1,521 Munich Re

  15. Slide 15: Agenda

    Agenda Analysts' conference 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital efficienc

  16. Slide 16: Reinsurance highlights

    Financial reporting Q1–2 2008 – Reinsurance segment Highlights Selective underwriting Gross premiums written Investment result1 €m €m Q1–2 Q1–2 10,993 2,648 2007 2007 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Q1–2 Q1–2 10,683 2,734 2008 2008 Organic growth and

  17. Slide 17: Reinsurance premium development

    Financial reporting Q1–2 2008 – Reinsurance segment Premium development Decline driven by currency developments €m Gross premiums  Decline mainly due to written Q1–2 2007 10,993 currency developments, esp. Foreign-exchange driven by US$ effects –921  Acquisition Midland Divestment/ 349 (€166m) and

  18. Slide 18: Combined ratio – Property-casualty

    Financial reporting Q1–2 2008 – Reinsurance segment Combined ratio – Property-casualty Favourable combined ratio after normal claims level in Q2 % Loss ratio Thereof NatCat 1 Thereof man-made Expense ratio 2007 96.4 67.9 5.0 4.9 28.5 Q2 2007 94.9 62.9 3.6 –1.3 32.0 Q2 2008 95.4 67.7 2.5 3.7 27.7 Mun

  19. Slide 19: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital effi

  20. Slide 20: Primary insurance highlights Q1–2 2008

    Financial reporting Q1–2 2008 – Primary insurance segment Highlights Q1–2 2008 Satisfactory result in difficult financial markets Gross premiums written Investment result €m €m Q1–2 Q1–2 8,813 3,336 2007 2007 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Q1–2 Q1–2

  21. Slide 21: Primary insurance premium development

    Financial reporting Q1–2 2008 – Primary insurance segment Premium development Organic growth in property-casualty and health €m Gross premiums 8,813  Organic growth in Eastern written Q1–2 2007 European business (esp. Foreign-exchange motor and engineering) –41 effects Divestment/  Organic growth

  22. Slide 22: New business (statutory premiums)

    Financial reporting Q1–2 2008 – Primary insurance segment New business (Statutory premiums) ERGO new business life insurance Total business Comments Single Regular Germany €m Total premium premium APE1  Increase in regular premiums mainly Q1–2 due to fourth Riester stage 824 542 282 336 2007 Munich

  23. Slide 23: New business: increasing investment-type products

    Financial reporting Q1–2 2008 – Primary insurance segment New business (Statutory premiums) Increasing proportion of investment-type products Unit-linked/investment-type products1 Premium mix of total book1 New business, APE % €m ~206 Premiums (investment-type) IFRS premiums (uncons.) Munich Re Grou

  24. Slide 24: Combined ratio – Property-casualty

    Financial reporting Q1–2 2008 – Primary insurance segment Combined ratio – Property-casualty Excellent combined ratio despite storms Emma and Hilal % Loss ratio1 Expense ratio1 2007 93.4 58.6 34.8 Q2 2007 85.1 53.1 32.0 Q2 2008 92.9 60.8 32.1 Munich Re Group – Quarterly financial statements as at 30

  25. Slide 25: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital effi

  26. Slide 26: July renewals: commitment to active cycle management

    Financial reporting Q1–2 2008 – Reinsurance renewals July 2008 July renewals Commitment to active cycle management Split of renewed portfolio (approx. 10% of total treaty book) Outcome by line of business by region % Marine 5 Europe 8 Credit 6  Premium decrease of Latin 12 8.7% reflecting Munich Re

  27. Slide 27: Active cycle management

    Financial reporting Q1–2 2008 – Reinsurance renewals July 2008 July renewals Commitment to active cycle management Active cycle management Declining unprofitable business Optimisation of profitable business  Strict cancellation of business of inadequately  Proportional business: Providing underwri

  28. Slide 28: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital effi

  29. Slide 29: Financial strength

    Financial strength and capital efficiency Financial strength Capitalisation still at very strong level 31.12.07  €34.3bn available financial resources against €16.5bn economic risk capital requirements1 30.6.08  Shareholders' equity down by €4.0bn to €21.5bn Munich Re Group – Quarterly financial s

  30. Slide 30: Optimisation potential influenced by local GAAP balance sheet

    Financial strength and capital efficiency Optimisation potential influenced by local GAAP balance sheet Unequal development of capital position from 2003 to 2007 MUNICH RE GROUP MUNICH RE GROUP MUNICH RE AG Economic equity IFRS equity HGB (local GAAP) equity €bn €bn €bn 29.4 +12.1 Munich Re Group –

  31. Slide 31: Economic buffers protect shareholders from large loss events

    Financial strength and capital efficiency Optimisation potential influenced by local GAAP balance sheet Economic buffers protect shareholders from large loss events MUNICH RE AG HGB (local GAAP) view €bn 29.8 Economic buffers Different degree of availability for economic buffers 25.3 Equity Equalisa

  32. Slide 32: Agenda

    Agenda Analysts' conference Q1–2 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group in total Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Reinsurance segment Primary insurance segment Reinsurance renewals July 2008 Financial strength and capital effi

  33. Slide 33: Updated guidance for consolidated result in 2008

    Outlook Updated guidance for consolidated result in 2008 Guidance for 2008  Consolidated result well above €2.0bn (RoRaC well above 10%), below previously envisaged range of €3.0–3.4bn  Gross premiums written expected to be unchanged in the range of €36.0–37.5bn Munich Re Group – Quarterly financi

  34. Slide 34: Agenda

    Agenda Analysts' conference 2008 Introduction Financial reporting Q1–2 2008 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Capitalisation Renewals July 2008 Outlook Backup 34

  35. Slide 35: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 35

  36. Slide 36: Highlights Q2 2008 stand-alone: Group in total

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Group in total GROUP REINSURANCE PRIMARY INSURANCE Gross premiums written Combined ratio property-casualty Combined ratio property-casualty1 €m % % Q2 Q2 Q2 8,908 94.9 85.1 2007 2007 2007 Munich Re Group – Quarterly financial state

  37. Slide 37: Highlights Q2 2008: Reinsurance

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Reinsurance Gross premiums written Investment result1 €m €m Q2 Q2 5,173 1,324 2007 2007 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Q2 Q2 5,191 1,734 2008 2008 Combined ratio – Property-casualt

  38. Slide 38: Man-made and NatCat losses above 5-year average

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Both man-made and NatCat losses significantly above 5-year average Q1–2 2008 Q2 20084 €m Man-made Natural catastrophes €m Man-made Natural catastrophes Q1–2 Q2 279 279 112 112 20041 20041 Munich Re Group – Quarterly financial state

  39. Slide 39: Highlights Q2 2008: Primary insurance

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Primary insurance Gross premiums written Investment result €m €m Q2 Q2 4,055 1,373 2007 2007 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 Q2 Q2 4,168 893 2008 2008 Combined ratio – Property-casu

  40. Slide 40: Other income and expenses

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Other income and expenses Q1–2 2007 Q1–2 2008 €m €m Other income: €1,019m Other income: €1,662m Other expenses: –€1,143m Other expenses: –€1,761m FX income/expenses FX income/expenses Munich Re Group – Quarterly financial statement

  41. Slide 41: Adverse foreign exchange rate developments

    Backup: Financial reporting Q1–2 2008 Highlights Q2 2008 stand-alone Adverse foreign exchange rate developments Currency split Exchange rates % of total premium volume reinsurance Balance sheet Income statement (period end) (average) 30 June 30 June Q2 Q2 Munich Re Group – Quarterly financial statem

  42. Slide 42: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 42

  43. Slide 43: Investments: well-balanced portfolio mix

    Backup: Financial reporting Q1–2 2008 Investments Well-balanced portfolio mix Investment structure by asset classes (market values) Land and Loans Fixed-interest Shares, equity funds and Miscellaneous1 buildings securities participating interests €m % Munich Re Group – Quarterly financial statements

  44. Slide 44: Significant reduction of asset exposure

    Backup: Financial reporting Q1–2 2008 Investments Significant reduction of asset exposure Equity gearing1 Extended view2 % as at end of period % as at end of period 178 114 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 90 90 110 87 72 71 51 36 2002 2003 2004 2005

  45. Slide 45: Careful expansion into products with good quality

    Backup: Financial reporting Q1–2 2008 Investments Careful expansion into products with good quality Fixed-interest portfolio1 Government/ Structured products2 Semi-government 5% (4) 42% (47) Thereof 12% inflation-linked bonds Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 Augu

  46. Slide 46: Structured products split by ratings and region

    Backup: Financial reporting Q1–2 2008 Investments Structured products split by ratings and region1 – Total exposure €6.7bn Structured product portfolio (ABS/MBS/CDO ..) €m AAA AA A BBB <BBB NR USA Europe Total ABS 714 7 26 2 0 4 632 121 753 Consumer-related ABS2 Corporate-related ABS3 213 0 108 4 0

  47. Slide 47: Effects of changes in value of equities and derivatives

    Backup: Financial reporting Q1–2 2008 Investments Effects of changes in value of equities and equity-based derivatives Strict application of IFRS accounting principles Equity-based derivatives (held for trading) Equities (available for sale) All changes in value are All changes in value are recognis

  48. Slide 48: Effects of changes in value of equities (contd.)

    Backup: Financial reporting Q1–2 2008 Investments Effects of changes in value of equities and equity-based derivatives (contd.) Special Case 2: Write-down of shares owing to significant or sustained impairment  Shares are considered to be subject to impairment if fair value falls below average hist

  49. Slide 49: Accounting mismatch

    Backup: Financial reporting Q1–2 2008 Investments "Accounting mismatch" Accounting mismatch IFRS accounting afs (through balance sheet) IFRS Illustrative Change in equity Reduction in equity, (gross of RfB1, taxes) Reduction of deferred RfB1, market value deferred taxes and minority interests IFRS (

  50. Slide 50: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 50

  51. Slide 51: Unrealised gains/losses and off-balance-sheet reserves

    Backup: Financial reporting Q1–2 2008 On- and off-balance-sheet reserves Unrealised gains/losses on securities (afs) and off-balance sheet reserves €m Land and buildings1 1,135 At equity2 400 Other (mainly loans)2 –2,180 Off-balance-sheet Munich Re Group – Quarterly financial statements as at 30.6.2

  52. Slide 52: On- and off-balance-sheet reserves split by asset classes

    Backup: Financial reporting Q1–2 2008 On- and off-balance-sheet reserves Split by asset classes 31.12.2007 30.6.2008 €m Other investments Other investments Land and Miscellaneous Loans (fixed-interest) (non-fixed-interest) buildings1 122 112 Munich Re Group – Quarterly financial statements as at 30.

  53. Slide 53: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 53

  54. Slide 54: July renewals: volume decrease through cycle management

    Backup: Financial reporting Q1–2 2008 Renewals July 2008 July: Volume decrease as a consequence of strict cycle management % 100 –21.7 78.3 –2.5 15.5 91.3  Approx. 10% of total treaty property-casualty €m 1,147 249 898 –29 178 1,047 business was up for renewal  8.7% volume reduction Munich Re Grou

  55. Slide 55: Renewals July 2008: Property

    Backup: Financial reporting Q1–2 2008 Renewals July 2008 Property % 100 –25.0 75.0 –1.5 18.8 92.3  Stable price mainly driven by price increase €m 616 154 462 –9 116 569 in proportional Australian business  Prices in XL falling more Munich Re Group – Quarterly financial statements as at 30.6.2008

  56. Slide 56: Renewals July 2008: Casualty

    Backup: Financial reporting Q1–2 2008 Renewals July 2008 Casualty % 100 –20.2 79.8 –4.3 12.6 88.1  Mainly US-based business (77%) €m 405 82 323 –18 51 357  Premium reductions to approx. 1/3 in proportional and to 2/3 Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008

  57. Slide 57: YTD: new business priced to support return targets

    Backup: Financial reporting Q1–2 2008 Renewals July 2008 YTD: New business priced to support Group return targets % 100 –15.0 85.0 3.6 11.5 100.1  Approx. 95% of total treaty property-casualty €m 10,405 1,562 8,843 373 1,197 10,413 business included  Premium volume remains constant with a Munich R

  58. Slide 58: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 58

  59. Slide 59: Quarterly figures: Munich Re Group

    Backup: Financial reporting Q1–2 2008 Quarterly figures Munich Re Group €m Q1 20071 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Gross premiums written 10,020 8,908 9,148 9,186 9,844 9,013 Investment result 3,161 2,485 1,990 1,636 1,687 1,576 10,887 Munich Re Group – Quarterly financial statements as at

  60. Slide 60: Quarterly figures: Reinsurance life and health

    Backup: Financial reporting Q1–2 2008 Quarterly figures Reinsurance segment – Life and health €m Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Gross premiums written 1,791 1,867 1,866 1,775 1,678 1,715 Investment result 417 410 361 344 374 470 Munich Re Group – Quarterly financial statements as at

  61. Slide 61: Quarterly figures: Reinsurance property-casualty

    Backup: Financial reporting Q1–2 2008 Quarterly figures Reinsurance segment – Property-casualty €m Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Gross premiums written 4,029 3,306 3,610 3,279 3,814 3,476 Investment result 907 914 502 472 626 1,264 Munich Re Group – Quarterly financial statements a

  62. Slide 62: Quarterly figures: Primary insurance life and health

    Backup: Financial reporting Q1–2 2008 Quarterly figures Primary insurance segment – Life and health €m Q1 20071 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Gross premiums written 2,855 2,810 2,726 3,256 2,857 2,801 Investment result 1,668 1,256 1,100 808 607 740 Munich Re Group – Quarterly financial sta

  63. Slide 63: Quarterly figures: Primary insurance property-casualty

    Backup: Financial reporting Q1–2 2008 Quarterly figures Primary insurance segment – Property-casualty €m Q1 2007 Q2 2007 Q3 2007 Q4 2007 Q1 2008 Q2 2008 Gross premiums written 1,903 1,245 1,281 1,210 1,946 1,367 Investment result 295 117 76 245 109 153 Munich Re Group – Quarterly financial statement

  64. Slide 64: Backup agenda

    Agenda Backup Highlights Q2 2008 stand-alone Investments Munich Re Group – Quarterly financial statements as at 30.6.2008 – 06 August 2008 On- and off-balance-sheet reserves Renewals July 2008 Quarterly figures Shareholder information 64

  65. Slide 65: Shares in circulation decreased due to buy-back

    Backup: Financial reporting Q1–2 2008 Shareholder information Shares in circulation decreased due to buy-back programme Development of shares in circulation Acquisition of own Retirement of own m shares 31.12.2007 shares in Q1–2 2008 shares in Q1–2 2008 30.06.2008 Shares in circulation 207.8 –6.6 –

  66. Slide 66: Financial calendar

    Appendix Shareholder information Financial calendar 7 October 2008 Investors' Day on life reinsurance, London 7 November 2008 Interim report as at 30 September 2008 Balance sheet press conference for 2008 financial statements (preliminary figures) 3 March 2009 Analysts' conference, Munich Munich Re

  67. Slide 67: For information please contact

    Appendix Shareholder information For information please contact Sascha Bibert Ralf Kleinschroth Head of Investor & Rating Agency Relations Tel.: +49 (89) 38 91-45 59 Tel.: +49 (89) 38 91-39 10 E-mail: rkleinschroth@munichre.com E-mail: sbibert@munichre.com Munich Re Group – Quarterly financial state

  68. Slide 68: Disclaimer

    Appendix Shareholder information Disclaimer This presentation contains forward-looking statements that are based on current assumptions and forecasts of the management of Munich Re. Known and unknown risks, uncertainties and other factors could lead to material differences between the forward-lookin

Munich Re — H1 2008 Earnings Presentation on 6ix