Company Presentation
Business overview AGENDA Unipol - Fondiaria-SAI Integration Plan* 1Q13 Results *Extract from presentation of 20th December 2012
ABOUT US Unipol Group operates as a leader in the Italian insurance market It ranks 1 st among the Non-life insurance group with written premium * of 10.6 bn (and a market share around 30%), following the acquisition of Fondiaria-SAI control in 2012 It ranks among the leaders in the Italian traditional market of Life business (ranking 5 th ) with written premium * of 6.2 bn (and a market share of 8%). Leader in Italian Insurance Pension Funds market, AUM 3.4 bn It covers more than 14 million of clients It manages assets for over 45 bn It also operates in the banking sector It has a multichannel strategy through: Insurance agencies (around 4,500 in Italy** - o/w 1,507 Unipol and 2,986 Fondiaria-SAI - and 111 in Serbia) Bancassurance distribution agreements (about 4,500 bank branches) Property banking branches (around 300 Unipol Banca branches) Direct channel (telephone/internet) and company agreements (e.g.in the health business) Unipol is listed on the Italian Stock Exchange with: Unipol ordinary and Unipol preference (shares of the parent company Unipol Gruppo Finanziario S.p.A.), Premafin ordinary, Fondiaria-SAI ordinary, Fondiaria-SAI saving A, Fondiaria-SAI saving B, Milano Assicurazioni ordinary e Milano Assicurazioni saving shares. Since its establishment (in 1963), its controlling shareholders are the leading Italian consumers, services and workers cooperatives. Trade unions and self-employment orgnizations also own a stake in the Group. *Pro-forma figures ** without considering Antitrust disposal 3
SHAREHOLDING STRUCTURE HOLMO* 24.54% Cooperatives 71.03% JP MORGAN 1.05% FINSOE 50.75% ordinary shares P&V Group 3.38% MARKET 49.25% ordinary shares UNIPOL GRUPPO FINANZIARIO UNIPOL GRUPPO FINANZIARIO: share capital 443.993.991 ordinary shares 273.479.493 preference shares 717.473.484 total shares *Owned by companies belonging to the cooperative area 4
COMPANY STRUCTURE Previous structure Current structure Final structure 1 Listed Unipol Gruppo Finanziario 1 Listed Unipol Gruppo Finanziario 1 Listed Unipol Gruppo Finanziario 2 Unipol Assicurazioni Listed Linear Premafin Unisalute Unipol Banca Arca.. Unipol Assicurazioni Linear Unisalute Unipol Banca Arca. 2 Premafin Listed 2 Listed 63% ord.cap. Linear Unisalute Unipol Banca Arca 3 Listed Fondiaria- SAI UnipolSai 3 4 Listed Listed Milano Fondiaria- SAI Other equity stakes 4 Listed Milano Other equity stakes Unipol Assicurazioni Fondiaria- SAI Premafin Milano 5
RANKING: INSURANCE GROUP bn Italian market 2012 1 Europe 2011 2 Total premium Non-life premium Total premium Non-life premium Generali 20.1 Unipol 10.6 Allianz 58.8 Allianz 29.7 Unipol 15.9 Generali 7.6 Generali 53.1 AXA 21.9 Poste 10.6 Allianz 4.4 AXA 51.7 Generali 17.9 ISP 10.2 Reale Mutua 2.0 Aviva 29.7 Achmea 16.1 Allianz 9.5 AXA 1.8 CNP 25.4 Unipol 11.1 Mediolanum 8.0 Cattolica 1.7 Credit Agricole 22.4 UVIT 10.4 Cattolica 3.5 Zurich 1.5 Zurich 20.7 Groupama 10.2 Zurich 3.1 Groupama 1.3 Achmea 18.8 CZ 8.2 Axa 3.1 Vittoria 0.9 Credit Mutuelle 15.6 Covea 8.0 BNP Paribas 3.1 Sara 0.6 Groupama 15.5 Aviva 7.3 Aviva 2.9 Carige 0.6 Unipol 15.4 Sferen 6.9 1. Before Antitrust disposal; the Italian market doesn t consider cross border premiums 2. Including: Austria, France, Germany, Italy, Netherlands, United Kingdom, Spain, Switzerland. Source: Ania, local countries insurance associations, AXCO 6
DIRECT INSURANCE INCOME bn FY11 FY12 17.6 16.8* 6.2 10.9 10.1 6.2 3.8 6.8 6.7 3.7 2.5 11.4 2.5 10.6 4.3 7.1 4.2 6.4 Unipol Group stand alone Fondiaria-SAI consolidated Unipol Group pro-forma Unipol Group stand alone Fondiaria-SAI consolidated Unipol Group pro-forma Non-life premiums Life premiums *The 2012 Unipol Financial statement includes only the second half figures of Fondiaria-SAI, therefore the reported direct insurance income is 11.8 bn 7
NON-LIFE BUSINESS DIRECT PREMIUM INCOME m Motor 4,224 1,700 2,524 FY12 Non - Motor -2.5% -0.6% -3.8% 59.8% 17.8% 10.2% 7.9% 4.4% Unipol Group stand alone MV Accident/Health Fire/Property General TPL Other Unipol Ass.ni Unisalute Linear Arca Income by company 233 220 117 3,654 +10.0% +9.5% -22.9% -3.0% +4.5% (excl. agencies being restruct.) Fondiaria-SAI consolidated 6,417 2,210 4,207-9.0% -8.1% -9.5% 65.6% 9.1% 12.5% 7.5% MV Accident/Health Fire/Property General TPL Income by company Fondiaria-SAI Milano Ass.ni 2,455 Liguria Ass.ni SIAT 205 113-13.4% -21.4% 3,468-8.5% -7.7% FY12 5.3% Other Other companies 177-22.2% 8
LIFE BUSINESS DIRECT INCOME m Index/Unit linked 97 (-61.4%) +1.8% 3.8% 10.8% Unipol Group stand alone Capitalization 272 (-14.1%) Unipol Ass.ni Income by company 1,969 +7.7% 2,521 50.8% 34.6% Arca 551-14.7% FY12 Traditional 1,281 (-14.3%) Pension funds 871 (+111.2%) Linear Life 0.9 n.s. Fondiaria-SAI consolidated Index/Unit linked 1,152 (-43.6%) 31.5% Fondiaria-SAI Income by company 827-20.7% 3,655 FY12-4.0% Traditional 2,213 (+56%) 60.5% 7.0% 0.9% Capitalization 256 (-16.5%) Pension Funds 34 (-12.9%) Milano Ass.ni PopVita + LawLife Other companies 130 367-5.4% 2,331-33.7% +6.9% 9
2012 SALES NETWORK Unipol Group stand alone Fondiaria-SAI consolidated Unipol Group* 21 29 33 3 65 54 94 281 134 10 520 275 13 801 119 409 282 401 121 217 42 338 108 150 106 52 247 91 353 143 23 39 62 145 37 239 77 384 114 10 30 40 98 79 139 159 237 167 38 129 31 14 54 84 238 45 138 101 211 312 agencies: 1,507 agencies: 2,986 agencies: 4,493 * Before Antitrust disposal 10
THE NEW UNIPOL AGENTS' FRAME AGREEMENT Traditional agents' commission scheme Model already implemented in Unipol Commissions + rappel 12.0% 11.5% Illustrative 11.0% Commissions + rappel 17% 12% 7% Illustrative P&C 30% 60% 90% Agency Loss Ratio 30% 60% 90% Agency Loss Ratio Incentives linked to new GWP volumes Underlying profitability is not a driver Strong link between commission, claims and technical results Agent as first risk underwriter of the company Life Commisions linked to new GWP production No links between rappels and product type Commissions based on net premia collection 1 Incentives based on type of products underwritten Limited focus on profitability Partnership between agents and insurance: shared objectives of profitablity and sustainability 1. Net balance between new production and surrenders/ maturities 11
FINANCIAL INVESTMENTS AND BANKING BUSINESS bn FINANCIAL INVESTMENTS m BANKING BUSINESS: UNIPOL BANCA cash 2.0 (4.4%) TOTAL 44.4bn* Breakdown by asset equity and funds 1.9 (4.4%) Direct deposits third parties Unipol Group securitisation 9,356 9,685 +3.5% 455 289-36.6% 1,302 1,288-1.1% 7,599 8,108 +6.7% FY11 FY12 Lending customers securitised 10,026 10.112 +0.9% bonds 40.5 (91.2%) 2,759 2,557-7.3% FY12 figures 7,266 7,555 +4.0% FY11 FY12 * Insurance investments managed by Unipol Group, mark to market, excluding class D, debt securities issued by group s companies, RE funds, Premafin S.p.A., DDOR and Lawrence Life 12
CONSOLIDATED RESULT FY12 m Unipol Group - stand alone consolidated result Fondiaria-SAI - consolidated result 296 81 6 3-116 269 Non-Life business Life business Banking business RE Holding Other busin. + Cons. adj. Cons. Net result -439-50 -230-80 -799 Non-Life business Life business RE Other businesses Cons. Net result Unipol Group consolidated result SECTORS NON-LIFE LIFE BANKING RE HOLDING/ OTHER BUSIN./ CONS. ADJUST. CONSOLIDATED NET RESULT Unipol Group 2012 stand alone result 296 81 6 3-116 269*** Premafin consolidated result (2H12)* -490-88 -19-209 -83-889 Sub-total -194-7 -13-206 -199-620 Affected by 1.636 m of gross one-off effects: (808 m previous years reserves strenghtening, 294 m property write-down, 260 m goodwill impairment, 188 m financial instruments impairment, 86 m receivables write-down on Im.Co/Sinergia) Fair value of acquired assets and liabilities (IFRS 3)** 766 84 14 190 36 1,089 Unipol Group 2012 reported result 571 77 1-16 -163 469*** * Result reclassified according to the new sectors identified by UGF ** Relating to 2H12 *** Before restatement: Unipol Group stand alone 241 m and Unipol Group reported 441 m. Result affected by extraordinary accounting effect 13
FOCUS ON: UNIPOL GROUP STAND ALONE 2012 RESULTS AND 2010-2012 BUSINESS PLAN TARGETS m 2009 2012 2012 Business Plan Targets 2010-2012 [b] Non-Life combined ratio (direct business) 108.0% 94.2% (91.9% excl. earthquake) 97.5% Non-Life net profit - 639m 296m 162m Life net profit - 56m 81m 71m Banking area net profit - 24m 6m 45m Consolidated net profit - 769m 269m 225m Solvency ratio 1.4x (S I) 1.4x (S II) [a] 1.6x (S I) 1.8x (S II) [a] 1.4x (S I) 1.5x (S II) [a] a) Solvency ratio calculated using the Internal Model and partly the Standard Formula, according to the technical requirements of QIS5. b) Targets revised following amendment to IRAP rate (see press release of 4 August 2011) Excluding 2012 capital increase (2.1x including capital increase) 14
Business overview AGENDA Unipol - Fondiaria-SAI Integration Plan* 1Q13 results *Extract from presentation of 20th December 2012
KEY HIGHLIGHTS OF THE UNIPOLSAI* PLAN Financial and capital strength to support the Industrial Plan implementation Capital strengthening with the merger thanks to Unipol Assicurazioni excess capital A turnaround and consolidation operation between insurance companies with low execution risk ~350 m of yearly synergies Focus on the industrial management of the business and on the technical - operating excellence 93% CoR A new leader, with stronger profitability and financial robustness 814 m net income Solvency I ~ 1.8x 1 UnipolSai is the name of the company resulting from the merger among Unipol Assicurazioni, Premafin, Fondiaria-SAI and Milano Assicurazioni 16
UNIPOLSAI SHAREHOLDERS STRUCTURE % ord. shares % savings shares A % savings shares B % total capital UGF 63.00% 63.79% 63.09% Total shares Final structure Ex Premafin Ex Fonsai 0.85% 25.46% 100.00% 21.51% 0.73% 24.92% Ex Milano 10.69% 14.70% 11.26% Total 100.00% 100.00% 100.00% 100.00% 1. Ordinary shares - Based on the valuation methods used, the following assumptions were made for the exchange ratios: 0.050 ordinary shares Fondiaria-SAI for each Premafin share ; 0.339 ordinary shares Fondiaria-SAI for each Milano Assicurazioni share; 1.497 ordinary shares Fondiaria-SAI for each Unipol Assicurazioni shares. Milano saving shares: Milano's shareholders will be offered Fondiaria SAI preferred shares B with the following ratio: 0.549 new Fondiaria-SAI preferred shares B for each Milano Assicurazioni preferred shares. 17
ANTITRUST PRESCRIPTIONS Antitrust prescriptions Hypothesis of impact on Unipol Gruppo Finanziario business plan Assets disposal Hypothesis to divest a division/ company of the New Group, for a total amount of 1.7 bn of GWP Mainly Motor TPL Currently pending an appeal to the TAR 1 aimed at re-evaluating part of the Antitrust prescriptions Assumed a disposal of ~2.8 bn of P&C technical reserve ~1.2 bn of Life reserves Part of respective operating costs Credit / debits of insurance nature Potential capital gains from assets divestiture prudentially not reflected in the business plan Equity stakes and debt Sales of equity stakes Generali already sold Mediobanca (3.83% stake) Reduction of subordinated debts towards Mediobanca from 1.45 bn to 1.1 bn 250 m to be paid back Disposal of 100 m debt included in the company division 1 Administrative court 18
TARGET SYNERGIES Yearly integration synergies, at steady state (Impact on 2015 pre-tax profit, m) Target on operating costs in line with other transactions (Reduction as % of post merger combined entity costs) M ~69 ~349 1 29% ~100 2 24% 3 21% 4 17% ~180 Unipol SAI 5 17% 17% 6 14% 7 11% 8 11% 9 10% 10 9% Italian Transactions International Transactions Average: ~16% Operating costs P&C UW and Claims Productivity and ALM 1 Total 0 5 10 15 20 25 30 % Cost Reduction One-off integration costs, cumulative 2013-15, equal to ~302 m 1 Asset & Liability Management Source: Unipol analysis, analysts reports, press announcements 19
UNIPOLSAI P&C. EVOLUTION OF PROFITABILITY -11.8 pp Combined ratio (%) 104.8 93.0 Total Loss Ratio (%) o/w 88.2% motor 67.6% non motor 80.2-12.6 pp 67.6 o/w 72% motor 60.3% non motor 2011-2.1 pp 2015 Current Loss ratio (%) 69.4 67.3 2011 2015 +0.8 pp Expense ratio 1 (%) 24.6 25.4 2011 2015 1 Includes OTI 20
2015 CONSOLIDATED TARGETS P&L and key indicators 2011 Combined Pro forma UnipolSai 2015 Unipol Group 2011 Combined Pro forma 2015 P&C GWP ( bn) Gross combined ratio 1 (%) Net combined ratio 2 (%) Net technical result ( m) Investments yield 3 Technical reserves ( bn) Gross profit 4 ( m) 10.8 104.8% 106.6% -732 <0 19.3-1,530 8.9 93.0% 94.3% 504 4.2% 14.7 982 11.4 104.2% n.d. -699 n.d. 20.0-1,478 9.6 93.0% n.d. 544 4.2% 15.5 1,061 Life GWP ( bn) Gross profit/ Reserves (bps) Life reserves ( bn) Gross profit ( m) 5.6 <0 36.7-224 6.7 76 34.7 262 6.2-39.9-168 7.4 79 38.6 301 Total 5 Net profit ( m) -1,126 814-1,130 852 Equity 6 ( bn) ROTE 7 Solvency I 8 Dividend payout 2.8 n.d. n.s. 0 5.2 16.9% ~180% ~60-80% 5.4 n.s. n.s. 0 7.8 15% ~180% ~60-80% 1. Direct Labour CoR (includes OTI). 2. Includes reinsurance. 3. Total income, excludes real estate investments. 4.Includes IAS adjustments and intercompany adjustments. 5. Includes real estate and diversified businesses. Pre-minorities net profit. 6. Pre-minorities. 7.Return on Tangible Equity (net profit on pre-minorities equity without goodwill). 8. After capital increase of 600 Eur/mln of UGF in Unipol Assicurazioni, post statutory adjustments Note: Average tax rate ~35% Combined entity figures include transaction effects on the balance sheet 21
Business overview AGENDA Unipol - Fondiaria-SAI Integration Plan* 1Q13 Results *Extract from presentation of 20th December 2012
UNIPOL GROUP: CONSOLIDATED RESULT BY BUSINESS SECTOR m 1Q12* before Premafin Group acquisition 1Q13 Non-life Life Banking R.E. Holding Other busin. + Cons. adj. Cons. Net result Non-life Life Banking R.E. Holding Other busin. + Cons. adj. Cons. Net result 74 27 3-0 -16 88 153 74-13 -3-76 135 No integration costs in 1Q13 and no reserves strenghtening Note: after tax and before minorities results * Figures recalculated vs the1q12 approved by the BoD of 10 May 2012 following the restatement of the 2011 comparative data included in 2012 Consolidated Financial Statement. The original net results by segment were: Non-life +68, Life +16, Banking +3, Holding and Other -16, Total 71. 23
UNIPOL GROUP: DIRECT INSURANCE INCOME m 1Q12 1Q13 4,161 4,485 +7.8% 1,452 2,036 +40.2% 2,507 2,629 +4.9% 1,654 872 1,856 +12.2% 1,188 +36.1% 580 2,709 848 +46.3% 2,449-9.6% 1,075 1,635 1,008-6.2% 1,441-11.8% Unipol Group stand alone Fondiaria-SAI consolidated Unipol Group pro-forma Unipol Group stand alone Fondiaria-SAI consolidated Unipol Group Non-life premiums Life premiums 24
UNIPOL GROUP: NON-LIFE DIRECT PREMIUM INCOME m Motor Non Motor 2,709 983 2,449 933-9.6% -5.0% 15.0% Motor Accident & Health 1,726 1,516-12.2% 61.9% 10.7% 6.8% Property General TPL 1Q12 pro-forma 1Q13 5.6% Other Income by company (traditional Unipol Group) Income by company (Fondiaria-SAI cons.) Unipol Ass.ni Unisalute 103 823-6.8% -3.3% -6.2% Fondiaria - SAI Milano Ass.ni Liguria 50 556 758-10.6% -14.3% -20.1% -11.8% Linear 55 +0.2% Siat 33 +22.1% Arca 27-10.2% Other companies 44-8.4% o/w ca. 3 pp (estimate) due to MV TPL premiums accounting changes after elimination of tacit renewal 25
UNIPOL GROUP: NON-LIFE - COMBINED RATIO (DIRECT BUSINESS) Combined ratio Expense ratio 100.6% 93.2% 93.6% 89.4% 15.5% 15.1% 15.2% 16.0% 7.1% 7.0% 24.1% 7.7% 8.2% 22.9% 97.8% 15.3% 7.1% 92.0% 15.5% 7.9% 23.4% Loss ratio* 71.1% 65.2% 78.0% 70.7% 75.4% 68.6% 1Q12 1Q13 1Q12 1Q13 1Q12 pro-forma Unipol Group stand alone Fondiaria -SAI consolidated 1Q13 Unipol Group Loss Ratio Other operating expenses/premiums Commissions/premiums * Including OTI/premiums 26
NON-LIFE MV TPL TECHNICAL INDICATORS 1Q13 Unipol Assicurazioni S.p.A. Fondiaria-SAI S.p.A. Milano Assicurazioni S.p.A. Var vs 1Q12 Var vs 1Q12 Var vs 1Q12 Total portfolio o/w: Retail Fleets -3.4% -3.5% -1.8% -10.1% -7.1% -40.6% -6.7% -6.8% -4.9% Portfolio average premium -1.0% -1.2% -2.0% No. of claims reported (followed up passive claims) -11.8% -16.6% -15.4% Claims settlement speed (current year managed claims) -1.2 p.p. +0.8 p.p. +1.3 p.p. Frequency -0.8 p.p. -0.6 p.p. -0.8 p.p. 27
UNIPOL GROUP: LIFE DIRECT INCOME m +40.2% 34.6% Index/Unit linked: 705 (+134.3%) 1,452 1Q12 pro-forma 2,036 1Q13 45.6% Traditional: 928 (+6.6%) 6.5% 13.3% Capitalization: 271 (+133.6%) Pension Funds: 132 (-20.1%) o/w 130 m for retirement policy Income by company (traditional Unipol Group) Income by company (Fondiaria-SAI cons.) Unipol Ass.ni 567 +33.9% Fondiaria-SAI Milano Ass.ni 81 215 +9.1% -4.2% Arca Vita +AVI 281 +80.0% +46.3% PopVita + LawLife 854 +51.2% +36.1% Linear Life 0,0 n.s. Other companies 38 +44.8% 28
UNIPOL BANCA GROUP m Direct Deposits* third parties Unipol Group securitisation 9,685 9,695** 289 498 1,288 1,110 8,108 8,087 +0.1% +72.6% -13.8% -0.3% Lending indicators Net non-performing loans NPL coverage ratio Indicators Unipol Banca Gr. 2,040 Net non-performing loans/loans 20.2% 20.3% FY12 Unipol Group*** 1,937 19.4% 24.3% Unipol Banca Gr. 2,114 21.0% 21.1% 1Q13 Unipol Group*** 1,952 19.7% 27.2% FY12 1Q13 Bad&doubtful loans coverage ratio 31.9% 36.9% 32.1% 40.0% Total loans coverage ratio 5.3% 6.2% 5.7% 7.2% Lending Capital indicators FY12 1Q13 customers 10,112 securitised 10,053-0.6% Tier 1 ratio (= Core Tier 1 ratio) Total capital ratio 8.4% 14.5% 8.1% 14.0% 3,284 3,232-1.6% Economic indicators 1Q12 1Q13 Interest income 47 51 6,828 6,822-0.1% Non-interest income Gross operating income 52 100 37 88 FY12 1Q13 Cost/Income ratio 66.5% Gross result 10 70.9% -16**** Net result 3-15 * Management figures ** Accounting figure 9,952 m (+0.4%) including collateralized deposits c/o Cassa Compensazione e Garanzia (258 m). *** Including UGF S.p.A. provisions **** Management figure including assets under disposal 29
UNIPOL GROUP: FINANCIAL INVESTMENTS 1Q13* bn INVESTMENTS 45.1 bn Breakdown by asset Cash: 1.8 (4.0%) Equity and Funds: 2.0 (4.5%) Bonds: 41.3 (91.5%) Government: Spain Ireland Portugal 2.2% Government: Italy 72.0% BOND PORTFOLIO 41.3 bn Government: Others 3.9% Corporate 5% Financials 17% m AFS RESERVE TREND** 301 Government (78% on tot. Bonds) 252 125 69 49 56 FY12 1Q13 Spread Btp/Bund 318 Equity Bonds 345 * Insurance investments managed by Unipol Group, mark to market, excluding class D, debt securities issued by group s companies, DDOR and Lawrence Life ** Break-up based on in-house estimates 30
SOLVENCY I* AS AT 31 MARCH 2013 bn UNIPOL GROUP Fondiaria-SAI Consolidated Solvency Milano Assicurazioni Consolidated Solvency 7.0 4.4 1.6x 2.4 2.2 2.6 1.1x 0.9 0.8 1.2x 0.3 0.2 Available capital Solvency requirements Excess capital * After IVASS Ruling no. 43 31
FONDIARIA-SAI AND MILANO ASSICURAZIONI KEY CONSOLIDATED RESULTS m Fondiaria-SAI 1Q12 1Q13 var. % Premium income (local GAAP) 2,506.9 2,628.8 4.9% Non-Life business 1,634.6 1,441.2-11.8% MV 1,101.6 931.1-15.5% Non-MV 533.0 510.1-4.3% Life business (inc. financial contracts) 872.4 1,187.7 36.1% Milano Assicurazioni 1Q12 1Q13 var. % Premium income (local GAAP) 816.8 706.2-13.5% Non-Life business 729.1 620.9-14.8% MV 513.9 425.3-17.2% Non-MV 215.2 195.5-9.1% Life business (inc. Financial contracts) 87.7 85.3-2.7% Loss Ratio (direct business) 78.0% 70.7% -7.3 p.p. o/w Other technical items 6.4% 3.8% -2.6 p.p. Expense Ratio (direct business) 22.6% 22.9% +0.3 p.p. Combined Ratio (direct business) 100.6% 93.6% -7.0 p.p. Consolidated pre-tax result 53.3 195.0 n.s. Non-Life business 9.2 132.8 n.s. Life business 59.8 78.2 30.8% RE -5.7-6.1 7.0% Other businesses -10.0-9.9-1.0% Inter-segment eliminations 0.0 0.0 0.0% Pre-minorities net result 29.1 99.4 n.s. Post-minorities net result 29.9 77.1 n.s. FY12 1Q13 var. % Total Shareholders' equity 2,762.7 2,733.6-1.1% Group Shareholders' equity 2,115.7 2,133.4 0.8% o/w AFS Reserve 257.6 195.2-24.2%. Solvency Ratio 1.1x 1.1x 0.0x Loss Ratio (direct business) 77.8% 72.3% -5.5 p.p. o/w Other technical items 5.9% 4.0% -2.0 p.p. Expense Ratio (direct business) 21.2% 22.6% 1.4 p.p. Combined Ratio (direct business) 99.0% 94.8% -4.1 p.p. Consolidated pre-tax result -5.8 82.7 n.s. Non-Life business -22.6 62.8 n.s. Life business 18.7 22.3 19.0% RE -1.4-1.4-2.0% Other businesses -0.6-1.0 n.s. Inter-segment eliminations 0.0 0.0 0.0% Pre-minorities net result -18.0 46.7 n.s. Post-minorities net result -17.9 46.7 n.s. FY12 1Q13 var. % Total Shareholders' equity 1,039.2 1,051.8 1.2% Group Shareholders' equity 1,037.9 1,050.4 1.2% o/w AFS Reserve 106.7 71.7-32.8%. Solvency Ratio 1.2x 1.2x -0.1x 32
DISCLAIMER: RESULTS FY12 Vs. FY12 RESTATED In a communication dated 17 April 2013, Consob requested Unipol Gruppo Finanziario S.p.A. to issue a press release stating the reasons for which the Company s Board of Directors decided not to accept the correction to the classification and valuation of structured securities even in the 2011 consolidated financial statements, as adopted for the 2012 consolidated financial statements. In reference to such communication, Unipol, citing and confirming in full what had already been extensively illustrated in the press release issued on 27 December 2012, also supported by opinions received from authoritative experts in the field, in regard of not sharing the assumptions based on which the same Consob, with Decision No. 18429 of 21 December 2012, considered the consolidated financial statements of Unipol as at 31 December 2011 non-compliant with IAS / IFRS, in relation to the recording mode of certain structured securities, reiterates herein that the errors stated above, though they be such, cannot be considered significant within the meaning of IAS 8, paragraph 42 because: (i) the impact of the errors stated above on the value of the assets as at 31 December 2011 only amounts to 0.017%, i.e. a variation of 7 m out of a total of 39,570.9 m; and (ii) considering the above negligible impact, it is not believed that the same are suitable to influence the economic decisions of users of the consolidated financial statements. As a result of the foregoing, the Company s Board of Directors, given the negligible relevance of the accounting impact arising from retroactive application of the changes already adopted in 2012 in the reporting of certain structured securities, decided, as an additional precaution, (i) to restate the comparative figures for financial year 2011 to align them with those reported in the supplemental information published on 27 December 2012 and (ii) consequently, to approve the consolidated financial statements of Unipol as at 31 December 2012 which include the restatement of the comparative figures of the 2011 consolidated financial statements. The restatement of the 2011 comparative data resulted in changes to some items of the 2012 consolidated income statement and, in particular, an increase in Revenues and Income equal to 43 m out of overall Revenues and Income amounting to 14,614 m, equal to 0.29%. As a result thereof, there was an increase of 28 m in consolidated profits for the year 2012, net of the fiscal effect, therefore bringing the consolidated net profit to 469 m compared to the consolidated net profit of 441 m as reported on 21 March this year. This presentation shows all the figures resulting form this restatement. Anyway, to be thorough, the next table shows FY12 figures as they were released on the 21 March 2013 ( FY12 ) and those descending form the restatement ( FY12 restated ) Net reults by sector Unipol Group stand alone Unipol Group consolidated FY12 FY12 restated FY12 FY12 restated Non -Life business 289 296 565 571 Life business 59 81 55 77 Banking business 6 6 1 1 Real Estate 3 3-16 -16 Holding+other business+cons.adj. -116-116 -163-163 Consolidated result 241 269 441 469 33
DISCLAIMER This presentation contains information relating to forecasts of figures, results and events which reflect the current management outlook but these could differ from what actually happens owing to events, risks and market factors that it is presently impossible either to know or to predict. Maurizio Castellina, Giuseppe Nassi and Massimo Dalfelli, Senior Executives responsible for drawing up the corporate accounts of Unipol Gruppo Finanziario S.p.A., of Premafin S.p.A. and of Fondiaria-SAI S.p.A. and Milano Assicurazioni S.p.A. respectively declare, in accordance with Article 154-bis, para 2, of the Consolidated Finance Act, that the accounting information reported in this presentation corresponds to the figures in the documents, books and accounting records. 34
INVESTOR RELATIONS CONTACTS Group IRO Adriano Donati Tel +39 051 507 7063 Unipol Contacts Eleonora Roncuzzi Tel +39 051 507 7063 Silvia Tonioli Tel +39 051 507 2371 Laura Marrone Tel +39 051 507 2183 Fondiaria-SAI/Milano Contacts Giancarlo Lana Tel +39 011 66 57 642 Floriana Amari Tel +39 02 64 02 25 74 investorrelations@fondiaria-sai.it investor.relations@unipol.it 35