News Feed Item

Aegon Delivers Strong Q2 2014 Results

THE HAGUE, The Netherlands, August 14, 2014 /PRNewswire/ --

Revenue-generating investments exceed EUR 500 billion for the first time 

  • Solid business growth driving higher underlying earnings before tax 
  • Underlying earnings up 7% to EUR 514 million, driven by growth, improved operational performance and higher equity markets; partly offset by unfavorable mortality experience and exchange rate movements
  • Fair value items loss of EUR 263 million, mainly due to hedging programs and model updates
  • Net income up 43% to EUR 343 million, resulting mainly from higher realized gains
  • Return on equity increases to 8.8%, or 9.6% excluding capital allocated to run-off businesses

  • Profitable sales growth generated by expanding distribution and product innovation  
  • Gross deposits up 3% to EUR 13.0 billion, driven by pensions and variable annuities in US; record net deposits of EUR 6.1 billion
  • Life sales down 2% to EUR 511 million; growth in Asia, US and Spain offset by UK and Netherlands
  • Accident and health and general insurance sales 36% higher to EUR 252 million, driven by US
  • Higher margins drive 9% increase of market consistent value of new business to EUR 221 million

  • Continued strong capital position and cash flows supporting dividend 
  • Holding excess capital and solvency ratio both stable at EUR 1.7 billion and 211% respectively
  • Operational free cash flows of EUR 370 million, including market impacts and one-time items of
    EUR 51 million
  • Interim dividend of EUR 0.11 per share

Statement of Alex Wynaendts, CEO 

"We are pleased with the strong results that Aegon has delivered, as we build on the positive momentum achieved in previous quarters.

"We are continuing to offer innovative new products to our customers and expand our distribution - indeed we will soon be extending our successful partnership in Spain with Banco Santander to Portugal. Ever more customers are choosing Aegon, and placing their trust in our products and services to secure their financial future. As a result, our revenue-generating investments now exceed EUR 500 billion for the first time in the company's history.

"Our strong financial base is underlined by our healthy cash flows and capital position, and we are therefore pleased to announce an interim dividend of 11 eurocents per share."

    Key performance indicators

                                                     Q2    Q1         Q2      YTD   YTD
    amounts in EUR millions b)              Notes  2014  2014    %  2013  %  2014  2013  %

    Underlying earnings before tax              1   514   498    3   481  7 1,012   945  7
    Net income                                      343   392 (12)   240 43   735   464 58
    Sales                                       2 2,066 2,086  (1) 1,975  5 4,152 3,713 12
    Market consistent value of new business     3   221   223  (1)   202  9   444   434  2
    Return on equity                            4  8.8%  8.4%    5  8.0% 10  8.6%  7.6% 13


  • Successful strategic partnership with Banco Santander in Spain extended to Portugal 
  • Individual Savings & Retirement and Employer Solutions & Pensions divisions in the United States to be combined into a new division, Investments & Retirement 
  • Third annual global Aegon Retirement Readiness Survey raised awareness of the need to prepare for retirement and promoted the Aegon brand 

Aegon's ambition
Aegon continues to pursue its strategic aim to be a leader in all of its chosen markets, supported by four strategic objectives embedded in all Aegon businesses: Optimize portfolio; Deliver operational excellence; Enhance customer loyalty; and Empower employees. These provide the strategic framework for the company's ambition to become the most-recommended life insurance and pension provider by customers and business partners, as well as the most-preferred employer in the sector.

Optimize portfolio
In July, Aegon signed a 25-year agreement to distribute both protection and general insurance products through Banco Santander's network of branches in Portugal. Banco Santander Totta is one of Portugal's leading banks with more than 600 branches and over 2 million customers, and this new agreement builds on the successful start of Aegon's partnership with Banco Santander in Spain in 2013. Under the terms of the agreement, Aegon will acquire a 51% stake in Banco Santander Totta's insurance activities.

In the Netherlands, Aegon has acquired the remaining 50% stake in the online car insurance broker Onna-Onna, which has over 30,000 customers. The company focuses on female drivers, and in recent years has established a reputation for exceptional customer service. Full ownership of Onna-Onna demonstrates Aegon's commitment to utilizing innovative technology to improve the customer experience.

Deliver operational excellence 

Aegon's focus on operational excellence is about identifying the most efficient and effective way to use the group's resources. This often results in cost savings that can either lead to an absolute reduction of expenses or be invested back into the business to improve the customer experience and fuel growth. On other occasions, the result is a new structure that improves cooperation and innovation.

In the United States, Aegon will combine its Individual Savings & Retirement division and its Employer Solutions & Pensions division into one group called Transamerica Investments & Retirement. The new structure will improve the coordination of distribution efforts, and supports Aegon's strategy to provide products that address customers' needs at every stage of their financial journey - from buying a house and starting a family, to retirement and elderly care.

Transamerica Retirement Solutions was recently recognized as a "Best in Class" retirement plan provider by plan sponsors in Chatham Partners' 2013 Client Satisfaction Analysis. Transamerica was ranked as a top retirement plan provider for participant services, participant statements, participant website, voice response system, and helping to fulfill fiduciary responsibilities. Overall, Transamerica Retirement Solutions received 165 "Best in Class" designations.

Enhance customer loyalty 

An essential element of Aegon's strategy is getting closer to its customers by increasing innovation at all levels of the organization. Creating an ever more customer-centric culture will enable Aegon to continue growing by better anticipating and responding to changing markets and customer behaviors.

Aegon released the results of its third annual global Retirement Readiness Survey. This annual survey is based on responses from over 16,000 people in 15 countries - from China and Brazil, to the United Kingdom and United States - about how they view retirement and how they are preparing for it. The results from the 2014 survey not only underlined the clear concerns people have about their retirement, but also that many are not taking the right steps to prepare for the future. The survey attracted considerable media attention across the world helping to raise awareness, and supporting Aegon's purpose of helping people take responsibility for their financial future.

Transamerica launched the Your Client is Now a Family program, a 'digital toolkit' that includes videos, fast facts and eGuides to help financial advisors provide higher-quality advice and stay relevant in the age of instant information and online advice. The site was developed as a means to help advisors develop stronger relationships with customers by understanding the unique needs of each generation of a customer's family.

Empower employees
Aegon's ambition is to become the most-preferred employer in its sector. For this reason, Aegon is implementing a range of processes and programs that enable employees to better understand how they are contributing to the company's strategy and to recognize individual and team efforts that directly support its four strategic objectives.

It is important that Aegon reflects the societies in which it operates, both in terms of understanding customers and attracting and retaining the highest-caliber employees. Aegon has joined Workplace Pride, an international non-profit organization that promotes Lesbian, Gay, Bisexual and Transgender (LGBT) inclusion. The decision has proven popular with employees, and follows the creation of 'Aegon Proud', Aegon's online community that supports LGBT employees.

    Financial overview c)

    EUR millions             Notes Q2 2014 Q1 2014     % Q2 2013    % YTD 2014 YTD 2013   %

    Underlying earnings before tax
    Americas                           331     302    10     341  (3)      633      648  (2)
    The Netherlands                    131     129     2     102   29      259      216   20
    United Kingdom                      32      27    17      24   33       58       45   32
    New Markets                         62      61     2      49   27      123      109   13
    Holding and other                 (41)    (21)  (97)    (35) (19)     (62)     (73)   14
    Underlying earnings before tax     514     498     3     481    7    1,012      945    7

    Fair value items                 (263)   (116) (126)   (286)    8    (379)    (565)   33
    Realized gains /
    (losses) on investments            198     110    79      81  142      308      193   59
    Net impairments                    (3)     (8)    59    (57)   95     (11)     (75)   86
    Other income / (charges)          (14)     (6) (132)      27    -     (20)       23    -
    Run-off businesses                 (1)      14     -      15    -       13        5  188
    Income before tax                  432     492  (12)     261   66      924      526   76
    Income tax                        (88)   (100)    12    (21)    -    (189)     (62)    -
    Net income                         343     392  (12)     240   43      735      464   58

    Net income / (loss) attributable to:
    Equity holders of Aegon N.V.       343     392  (12)     239   43      735      463   59
    Non-controlling interests            -       -     -       1    -        -        1    -

    Net underlying earnings            382     370     3     367    4      752      705    7

    Commissions and expenses         1,471   1,427     3   1,528   (4)   2,898    2,951  (2)
    of which operating expenses  9     810     779     4     829   (2)   1,589    1,619  (2)

    New life sales
    Life single premiums             1,247   1,062    17   1,652 (25)    2,309    3,143 (27)
    Life recurring
    premiums annualized                386     353     9     355    9      739      705    5
    Total recurring plus 1/10 single   511     459    11     520  (2)      970    1,019  (5)

    New life sales
    Americas                    10     125     116     8     124    1      241      234    3
    The Netherlands                     37      32    16      48 (23)       69       88 (21)
    United Kingdom                     278     249    11     292  (5)      527      578  (9)
    New markets                 10      71      62    14      56   26      133      119   11
    Total recurring plus 1/10 single   511     459    11     520  (2)      970    1,019  (5)

    New premium production
    accident and health insurance      235     261  (10)     173   36      497      398   25
    New premium production
    general insurance                   17      17   (2)      14   20       35       28   24

    Gross deposits (on and off balance)
    Americas                    10   8,524   8,507     -   6,417   33   17,032   13,405   27
    The Netherlands                    591     486    22     327   81    1,077      731   47
    United Kingdom                      70      53    32      71    1      124      120    4
    New markets                 10   3,844   4,428  (13)   5,855 (34)    8,272    8,418  (2)
    Total gross deposits            13,029  13,475   (3)  12,670    3   26,504   22,674   17

    Net deposits (on and off balance)
    Americas                    10   3,237   1,978    64   1,185  173    5,215    2,798   86
    The Netherlands                    271      38     -      85    -      309     (49)    -
    United Kingdom                      38      28    37      53 (29)       66       93 (30)
    New markets                 10   2,687 (2,927)     -   2,233   20    (240)    2,378    -
    Total net deposits
    excluding run-off businesses     6,233   (883)     -   3,556   75    5,350    5,220    2
    Run-off businesses               (163)   (619)    74   (644)   75    (782)  (1,717)   54
    Total net deposits / (outflows)  6,070 (1,502)     -   2,912  108    4,568    3,503   30

    Revenue-generating investments

                                                            Jun.    Mar.          Dec.
                                                             30,     31,           31,
                                                           2014    2014     %    2013    %
    Revenue-generating investments (total)              503,413 481,624     5 475,285    6
    Investments general account                         142,278 138,567     3 135,409    5
    Investments for account of policyholders            174,590 167,903     4 165,032    6
    Off balance sheet investments third parties         186,545 175,154     7 174,843    7


Underlying earnings before tax
Aegon's underlying earnings before tax in the second quarter of 2014 increased 7% compared to the second quarter of 2013 to EUR 514 million. The main drivers of the increase were strong net deposits in previous periods and higher equity markets in the Americas (EUR 24 million), higher margins and investment income in the Netherlands (EUR 31 million) and improved persistency in the United Kingdom (EUR 12 million). These more than offset unfavorable mortality in the Americas
(EUR 15 million) and the impact of unfavorable currency exchange rates (EUR 15 million).

Underlying earnings from the Americas declined 3% compared to the second quarter of 2013 to EUR 331 million. In US dollar, underlying earnings increased 2%. Higher earnings from growth in variable annuity, mutual fund and pension balances, resulting from both financial markets and net inflows, more than offset unfavorable mortality and lower earnings from fixed annuities. Compared to the previous year, the unfavorable mortality result in the second quarter was largely attributable to lower reinsurance recoveries. Aegon expects to update its mortality assumptions in the United States as part of the annual assumption review during the third quarter. This includes supplementing the company's own emerging mortality experience with the results of recent old-age industry studies, which is expected to result in more conservative mortality assumptions.

In the Netherlands, underlying earnings increased 29% to EUR 131 million. This was mainly driven by improved earnings from Non-life, higher investment income and improved margins on savings.

Underlying earnings from Aegon's operations in the United Kingdom were up 33% to EUR 32 million in the second quarter of 2014, which was mainly the result of improved persistency. Aegon expects technology expenses to increase in the second half of 2014, compared to the first half, as most of the key projects that are being undertaken reach implementation stage.

Underlying earnings from New Markets increased 27% to EUR 62 million, primarily driven by higher earnings from Central & Eastern Europe and Asia.

Total holding costs increased 19% to EUR 41 million. This was primarily the result of higher net interest costs following a debt issuance and the reclassification of a perpetual security to short-term debt from the date the call became irrevocable to the actual call date on June 15, 2014.

Net income
Net income increased to EUR 343 million due to growth of underlying earnings, higher realized gains on investments and lower impairments.

Fair value items
The results from fair value items amounted to a loss of EUR 263 million. The loss was mainly driven by the hedging programs in the United States, and model updates in the Netherlands. Aegon will implement further model updates in the third quarter of 2014.

Realized gains on investments
Realized gains on investments increased to EUR 198 million, and were primarily related to de-risking in the United Kingdom, gains on the sale of private equity investments in the Netherlands and the receipt of capital distributions on a previously impaired equity investment in the Americas.

Net impairment charges
Impairments improved to EUR 3 million and were mainly related to the foreign currency residential mortgage portfolio in Hungary due to legislation changes. The Hungarian government has indicated that it will introduce further legislation to reduce foreign currency mortgage debt, which could result in additional impairments. The improved level of impairments compared to last year was the result of the favorable credit environment in the United States, where impairments remained low and were more than offset by recoveries.

Other charges
Other charges amounted to EUR 14 million and were primarily related to restructuring costs in the United Kingdom and a fine related to past sales practices of accident insurance products.

Run-off businesses
The results of run-off businesses amounted to a loss of EUR 1 million as earnings in the second quarter were impacted by higher reinsurance claims.

Income tax
Income tax amounted to EUR 88 million in the second quarter. The effective tax rate on underlying earnings was 26%. The effective tax rate on income before tax was 20%, driven by tax exempt income in the United States and in the Netherlands.

Return on equity
Return on equity increased to 8.8% for the second quarter of 2014, driven by higher net underlying earnings and lower interest expenses resulting from deleveraging. Return on equity for Aegon's ongoing businesses, excluding equity allocated to Aegon's run-off businesses, amounted to 9.6% over the same period.

Operating expenses
In the second quarter, operating expenses declined 2% to EUR 810 million, mainly as a result of lower restructuring expenses and favorable currency effects.

In the second quarter of 2014, Aegon's total sales were up 5% to EUR 2.1 billion. Gross deposits increased 3%, as higher gross deposits in the variable annuity and retirement business in the United States more than offset lower deposits at Aegon Asset Management. Net deposits, excluding run-off businesses, were up 75% to EUR 6.2 billion, mainly resulting from a particularly strong quarter for the retirement business in the United States.

New premium production for accident and health insurance increased 36% to EUR 235 million, mainly due to several portfolio acquisitions, which were the result of new distribution agreements in the United States.

New life sales declined 2%, as higher sales of universal life products in the United States were more than offset by adverse currency movements and lower pension production in both the Netherlands and the United Kingdom. For the latter the second quarter of 2013 was a particularly strong quarter due to the introduction of the Retail Distribution Review.

Market consistent value of new business
The market consistent value of new business amounted to EUR 221 million, 9% higher than in the second quarter of 2013. Strong sales growth and higher interest rates in the United States and the growth of Dutch mortgage production were partly offset by the effect of re-pricing of the variable annuity product offering.

Revenue-generating investments
Revenue-generating investments increased 5% during the second quarter of 2014 to EUR 503 billion, driven by net inflows and positive market movements, crossing the half trillion euro mark for the first time in the company's history.

Capital management
Shareholders' equity increased EUR 1.2 billion compared to the end of the first quarter of 2014 to EUR 20.3 billion at June 30, 2014. This was mainly driven by the effect of lower interest rates, resulting in higher revaluation reserves. The revaluation reserves increased by EUR 1.1 billion to EUR 5.4 billion. Aegon's shareholders' equity, excluding revaluation reserves and defined benefit plan remeasurements, amounted to EUR 15.9 billion - or EUR 7.53 per common share at the end of the second quarter.

The gross leverage ratio further improved to 31.2% in the second quarter, driven by debt refinancing and higher shareholders' equity. Excess capital in the holding remained stable at EUR 1.7 billion, as dividends paid to the holding were offset by the payment of the final dividend for 2013, debt refinancing, which reduced outstanding debt by EUR 80 million, interest payments and operating expenses.

On June 30, 2014, Aegon's Insurance Group Directive (IGD) ratio amounted to 211%, stable compared to the end of the first quarter. Earnings generated in the quarter and the benefit from a new redundant reserves financing solution in the United States, were offset by the payment of the final dividend for 2013 and the impact of declining interest rates. The capital in excess of the S&P AA threshold in the United States remained stable at USD 0.8 billion, as dividends paid to the holding were offset by earnings generated in the second quarter of 2014 and a new redundant reserves financing solution. The IGD ratio in the Netherlands, excluding Aegon Bank, remained stable at ~240%, as earnings generated in the second quarter were offset by the negative impact of model updates. The Pillar I ratio in the United Kingdom, including the with-profit fund, declined from ~150% to ~145%, as the negative impact of de-risking and business transformation costs more than offset earnings generated during the quarter.

Effective as of June 15, 2014, Aegon redeemed perpetual capital securities with a coupon of 7.25% issued in 2007 and a principal amount of USD 1,050 million, equal to approximately EUR 780 million. This transaction was largely financed by the issuance of EUR 700 million subordinated notes with a coupon of 4% on April 25.

As a result of the call and the new issuance, Aegon's fixed charge cover is expected to increase approximately 0.7 times on an annualized basis, which supports reaching Aegon's fixed charge cover target of 6 to 8 times by the end of 2014. Although underlying earnings before tax will be negatively impacted by EUR 28 million on an annualized basis, total interest expenses will be approximately EUR 27 million lower as a result of these capital management transactions. The interest cost on the newly issued notes is accounted for in underlying earnings while the interest on the perpetual capital securities was recorded directly in equity.

Operational free cash flows
Operational free cash flows were EUR 370 million in the second quarter of 2014. Excluding one-time items of EUR 76 million and market impacts of EUR (25) million, operational free cash flows amounted to EUR 319 million. The one-time items were primarily related to the benefit from the new redundant reserves financing solution in the United States of approximately EUR 220 million, which more than offset model updates in the Netherlands and the impact of de-risking in the United Kingdom. The market impacts during the second quarter were mainly the result of lower interest rates, and were partly offset by the positive impact of narrowing credit spreads.

Interim dividend
The 2014 interim dividend amounts to EUR 0.11 per common share. The interim dividend will be paid in cash or stock at the election of the shareholder. The value of the stock dividend will be approximately equal to the cash dividend. Aegon will neutralize the dilutive effect of the stock dividend on earnings per share.

Aegon's shares will be quoted ex-dividend on August 21, 2014. The record date is August 25, 2014. The election period for shareholders will run from August 27 up to and including September 12, 2014. The stock fraction will be based on the average share price on Euronext Amsterdam from September 8 through September 12, 2014. The stock dividend ratio will be announced on September 17, 2014 and the dividend will be payable as of September 19, 2014.

    Financial overview, Q2 2014 geographically c)
                                                      The  United     New activities &
    EUR millions                     Americas Netherlands Kingdom Markets eliminations Total

    Underlying earnings before
    tax by line of business
    Life                                  128          78      26      19            -   251
    Individual savings
    and retirement products               134           -       -       -            -   135
    Pensions                               67          45       5       3            -   120
    Non-life                                -           3       -       9            -    12
    Distribution                            -           3       -       -            -     3
    Asset Management                        -           -       -      25            -    25
    Other                                   -           -       -       -         (41)  (41)
    Share in underlying earnings
    before tax of associates                1           1       1       6            -     9
    Underlying earnings before tax        331         131      32      62         (41)   514

    Fair value items                    (118)       (132)    (13)       1            - (263)
    Realized gains /
    (losses) on investments                51          47      97       2            -   198
    Net impairments                        15         (3)       -    (15)            -   (3)
    Other income / (charges)             (11)         (5)       2       1          (1)  (14)
    Run-off businesses                    (1)           -       -       -            -   (1)
    Income before tax                     268          39     117      51         (43)   432
    Income tax                           (51)         (7)    (27)    (16)           13  (88)
    Net income                            216          32      90      35         (29)   343

    Net underlying earnings               232         101      33      44         (28)   382

    Employee numbers

                                                                       Jun. 30,    Dec. 31,
                                                                          2014        2013
    Employees                                                           27,730      26,891
    of which agents                                                      5,244       4,753
    of which Aegon's share of employees
    in joint ventures and associates                                     1,482       1,462

Full version press release
Use this link for the full version of the press release: http://www.aegon.com/en/Home/Investors/News-presentations/Press-Releases/2014/Earnings-Q2-2014/


The Hague - August 14, 2014 


The conference call presentation is available on aegon.com as of 7.30 a.m. CET.


Aegon's Q2 2014 Financial Supplement and Condensed Consolidated Interim Financial Statements
are available on aegon.com.

Conference call including Q&A 

9:00 a.m. CET

Audio webcast on aegon.com

Dial-in numbers 

United States: +1-212-444-0481
United Kingdom: +44-203-427-1900
The Netherlands: +31-20-716-8296

Two hours after the conference call, a replay will be available on aegon.com

Aegon's roots go back more than 150 years - to the first half of the nineteenth century. Since then, Aegon has grown into an international company, with businesses in more than 25 countries in the Americas, Europe and Asia. Today, Aegon is one of the world's leading financial services organizations, providing life insurance, pensions and asset management. Aegon's purpose is to help people take responsibility for their financial future. More information: aegon.com.


Cautionary note regarding non-IFRS measures 

This document includes the following non-IFRS financial measures: underlying earnings before tax, income tax, income before tax and market consistent value of new business. These non-IFRS measures are calculated by consolidating on a proportionate basis Aegon's joint ventures and associated companies. The reconciliation of these measures, except for market consistent value of new business, to the most comparable IFRS measure is provided in note 3 'Segment information' of Aegon's Condensed Consolidated Interim Financial Statements. Market consistent value of new business is not based on IFRS, which are used to report Aegon's primary financial statements and should not be viewed as a substitute for IFRS financial measures. Aegon may define and calculate market consistent value of new business differently than other companies. Aegon believes that its non-IFRS measures, together with the IFRS information, provide meaningful information about the underlying operating results of Aegon's business including insight into the financial measures that senior management uses in managing the business.

Local currencies and constant currency exchange rates 

This document contains certain information about Aegon's results, financial condition and revenue generating investments presented in USD for the Americas and GBP for the United Kingdom, because those businesses operate and are managed primarily in those currencies. Certain comparative information presented on a constant currency basis eliminates the effects of changes in currency exchange rates. None of this information is a substitute for or superior to financial information about Aegon presented in EUR, which is the currency of Aegon's primary financial statements.

Forward-looking statements 

The statements contained in this document that are not historical facts are forward-looking statements as defined in the US Private Securities Litigation Reform Act of 1995. The following are words that identify such forward-looking statements: aim, believe, estimate, target, intend, may, expect, anticipate, predict, project, counting on, plan, continue, want, forecast, goal, should, would, is confident, will, and similar expressions as they relate to Aegon. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Aegon undertakes no obligation to publicly update or revise any forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which merely reflect company expectations at the time of writing. Actual results may differ materially from expectations conveyed in forward-looking statements due to changes caused by various risks and uncertainties. Such risks and uncertainties include but are not limited to the following:

  • Changes in general economic conditions, particularly in the United States, the Netherlands and the United Kingdom;
  • Changes in the performance of financial markets, including emerging markets, such as with regard to:
  • The frequency and severity of defaults by issuers in Aegon's fixed income investment portfolios;
  • The effects of corporate bankruptcies and/or accounting restatements on the financial markets and the resulting decline in the value of equity and debt securities Aegon holds; and
  • The effects of declining creditworthiness of certain private sector securities and the resulting decline in the value of sovereign exposure that Aegon holds;
  • Changes in the performance of Aegon's investment portfolio and decline in ratings of Aegon's counterparties;
  • Consequences of a potential (partial) break-up of the euro or the potential independence of Scotland from the United Kingdom;
  • The frequency and severity of insured loss events;
  • Changes affecting longevity, mortality, morbidity, persistence and other factors that may impact the profitability of Aegon's insurance products;
  • Reinsurers to whom Aegon has ceded significant underwriting risks may fail to meet their obligations;
  • Changes affecting interest rate levels and continuing low or rapidly changing interest rate levels;
  • Changes affecting currency exchange rates, in particular the EUR/USD and EUR/GBP exchange rates;
  • Changes in the availability of, and costs associated with, liquidity sources such as bank and capital markets funding, as well as conditions in the credit markets in general such as changes in borrower and counterparty creditworthiness;
  • Increasing levels of competition in the United States, the Netherlands, the United Kingdom and emerging markets;
  • Changes in laws and regulations, particularly those affecting Aegon's operations, ability to hire and retain key personnel, the products Aegon sells, and the attractiveness of certain products to its consumers;
  • Regulatory changes relating to the insurance industry in the jurisdictions in which Aegon operates;
  • Changes in customer behavior and public opinion in general related to, among other things, the type of products also Aegon sells, including legal, regulatory or commercial necessity to meet changing customer expectations;
  • Acts of God, acts of terrorism, acts of war and pandemics;
  • Changes in the policies of central banks and/or governments;
  • Lowering of one or more of Aegon's debt ratings issued by recognized rating organizations and the adverse impact such action may have on Aegon's ability to raise capital and on its liquidity and financial condition;
  • Lowering of one or more of insurer financial strength ratings of Aegon's insurance subsidiaries and the adverse impact such action may have on the premium writings, policy retention, profitability and liquidity of its insurance subsidiaries;
  • The effect of the European Union's Solvency II requirements and other regulations in other jurisdictions affecting the capital Aegon is required to maintain;
  • Litigation or regulatory action that could require Aegon to pay significant damages or change the way Aegon does business;
  • As Aegon's operations support complex transactions and are highly dependent on the proper functioning of information technology, a computer system failure or security breach may disrupt Aegon's business, damage its reputation and adversely affect its results of operations, financial condition and cash flows;
  • Customer responsiveness to both new products and distribution channels;
  • Competitive, legal, regulatory, or tax changes that affect profitability, the distribution cost of or demand for Aegon's products;
  • Changes in accounting regulations and policies or a change by Aegon in applying such regulations and policies, voluntarily or otherwise, may affect Aegon's reported results and shareholders' equity;
  • The impact of acquisitions and divestitures, restructurings, product withdrawals and other unusual items, including Aegon's ability to integrate acquisitions and to obtain the anticipated results and synergies from acquisitions;
  • Catastrophic events, either manmade or by nature, could result in material losses and significantly interrupt Aegon's business; and
  • Aegon's failure to achieve anticipated levels of earnings or operational efficiencies as well as other cost saving and excess capital and leverage ratio management initiatives.

Further details of potential risks and uncertainties affecting Aegon are described in its filings with the Netherlands Authority for the Financial Markets and the US Securities and Exchange Commission, including the Annual Report. These forward-looking statements speak only as of the date of this document. Except as required by any applicable law or regulation, Aegon expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Aegon's expectations with regard thereto or any change in events, conditions or circumstances on which any such statement is based.

Media relations    
Robin Boon    
[email protected]    

Investor relations
Willem van den Berg
[email protected]


More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Digital transformation has increased the pace of business creating a productivity divide between the technology haves and have nots. Managing financial information on spreadsheets and piecing together insight from numerous disconnected systems is no longer an option. Rapid market changes and aggressive competition are motivating business leaders to reevaluate legacy technology investments in search of modern technologies to achieve greater agility, reduced costs and organizational efficiencies. ...
Disruption, Innovation, Artificial Intelligence and Machine Learning, Leadership and Management hear these words all day every day... lofty goals but how do we make it real? Add to that, that simply put, people don't like change. But what if we could implement and utilize these enterprise tools in a fast and "Non-Disruptive" way, enabling us to glean insights about our business, identify and reduce exposure, risk and liability, and secure business continuity?
"We host and fully manage cloud data services, whether we store, the data, move the data, or run analytics on the data," stated Kamal Shannak, Senior Development Manager, Cloud Data Services, IBM, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York City, NY.
DXWorldEXPO LLC announced today that Telecom Reseller has been named "Media Sponsor" of CloudEXPO | DXWorldEXPO 2018 New York, which will take place on November 11-13, 2018 in New York City, NY. Telecom Reseller reports on Unified Communications, UCaaS, BPaaS for enterprise and SMBs. They report extensively on both customer premises based solutions such as IP-PBX as well as cloud based and hosted platforms.
Enterprises are striving to become digital businesses for differentiated innovation and customer-centricity. Traditionally, they focused on digitizing processes and paper workflow. To be a disruptor and compete against new players, they need to gain insight into business data and innovate at scale. Cloud and cognitive technologies can help them leverage hidden data in SAP/ERP systems to fuel their businesses to accelerate digital transformation success.
Enterprise architects are increasingly adopting multi-cloud strategies as they seek to utilize existing data center assets, leverage the advantages of cloud computing and avoid cloud vendor lock-in. This requires a globally aware traffic management strategy that can monitor infrastructure health across data centers and end-user experience globally, while responding to control changes and system specification at the speed of today’s DevOps teams. In his session at 20th Cloud Expo, Josh Gray, Chie...
Digital Transformation: Preparing Cloud & IoT Security for the Age of Artificial Intelligence. As automation and artificial intelligence (AI) power solution development and delivery, many businesses need to build backend cloud capabilities. Well-poised organizations, marketing smart devices with AI and BlockChain capabilities prepare to refine compliance and regulatory capabilities in 2018. Volumes of health, financial, technical and privacy data, along with tightening compliance requirements by...
Transformation Abstract Encryption and privacy in the cloud is a daunting yet essential task for both security practitioners and application developers, especially as applications continue moving to the cloud at an exponential rate. What are some best practices and processes for enterprises to follow that balance both security and ease of use requirements? What technologies are available to empower enterprises with code, data and key protection from cloud providers, system administrators, inside...
"Calligo is a cloud service provider with data privacy at the heart of what we do. We are a typical Infrastructure as a Service cloud provider but it's been designed around data privacy," explained Julian Box, CEO and co-founder of Calligo, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
We are seeing a major migration of enterprises applications to the cloud. As cloud and business use of real time applications accelerate, legacy networks are no longer able to architecturally support cloud adoption and deliver the performance and security required by highly distributed enterprises. These outdated solutions have become more costly and complicated to implement, install, manage, and maintain.SD-WAN offers unlimited capabilities for accessing the benefits of the cloud and Internet. ...
Discussions of cloud computing have evolved in recent years from a focus on specific types of cloud, to a world of hybrid cloud, and to a world dominated by the APIs that make today's multi-cloud environments and hybrid clouds possible. In this Power Panel at 17th Cloud Expo, moderated by Conference Chair Roger Strukhoff, panelists addressed the importance of customers being able to use the specific technologies they need, through environments and ecosystems that expose their APIs to make true ...
Containers and Kubernetes allow for code portability across on-premise VMs, bare metal, or multiple cloud provider environments. Yet, despite this portability promise, developers may include configuration and application definitions that constrain or even eliminate application portability. In this session we'll describe best practices for "configuration as code" in a Kubernetes environment. We will demonstrate how a properly constructed containerized app can be deployed to both Amazon and Azure ...
Business professionals no longer wonder if they'll migrate to the cloud; it's now a matter of when. The cloud environment has proved to be a major force in transitioning to an agile business model that enables quick decisions and fast implementation that solidify customer relationships. And when the cloud is combined with the power of cognitive computing, it drives innovation and transformation that achieves astounding competitive advantage.
DXWorldEXPO LLC announced today that "IoT Now" was named media sponsor of CloudEXPO | DXWorldEXPO 2018 New York, which will take place on November 11-13, 2018 in New York City, NY. IoT Now explores the evolving opportunities and challenges facing CSPs, and it passes on some lessons learned from those who have taken the first steps in next-gen IoT services.
"Space Monkey by Vivent Smart Home is a product that is a distributed cloud-based edge storage network. Vivent Smart Home, our parent company, is a smart home provider that places a lot of hard drives across homes in North America," explained JT Olds, Director of Engineering, and Brandon Crowfeather, Product Manager, at Vivint Smart Home, in this SYS-CON.tv interview at @ThingsExpo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.