Generali Group 2012 First Half Results

Generali Group
2012 First-Half Results

Milan, March xxx, 2, 2012
August 2010
March 2006

Agenda 2

I. 1H 2012 results overview Page 3

II. Group Financials Page 5

III. Final remarks Page 26

IV. Backup Page 28

Assicurazioni Generali Group – 1H 2012 results

Agenda 3

I. 1H 2012 results overview
1H 2012 results at a glance

Following the announcement of the sale of related stake, Migdal qualified as a non-current asset held for sale and discontinued operations.

Therefore, in this presentation, Migdal is excluded from all 1H12 figures, except as follows: net income; shareholders' equity; and the
regulatory Solvency 1 margin. Except where specified, prior year figures have not been adjusted.

Like for like comparisons are adjusted for the disposal of Migdal. See definition in the related section in the back-up.


I. OVERVIEW

1H 2012 results at a glance 4

Operating result (Euro m) Combined ratio (%)
Nat Cat impact
-0.1%(1) +0.6%pts.
CoR without
Nat Cat impact

96.5 97.1
2,408 2,343 0.3 2.4

96.2 -1.5%pts. 94.7

1H11 1H12 1H11 1H12

(1) On like for like basis

Net result (Euro m) Solvency I ratio (%)

+4.5% +13%pts.

842 130
806 117

1H11 1H12 FY11 1H12


Agenda 5

II. Group Financials
Profit & loss review

Life, P&C and financial segment profitability

Balance sheet and capital


II. GROUP FINANCIALS

Revenue development by segment 6

Gross written premiums (Euro m) (Euro m)

Like for
1H11 1H12
like ∆

+2.0%(2)
Gross written
35,853 35,648 +2.0%
35,853 premiums
35,648

Life(1) 23,842 23,230 +0.4%

1H11 1H12
P&C 12,011 12,418 +5.2%

(1) Including investment contracts (Euro 1,637 m in 1H12, 1,530 m in 1H11)



Operating result by segment 7

1H12 total operating result (Euro m)
Like for like 
Life 1,651
operating result 1,663 +3.1%

P&C 755 Nat Cat impact 1H12 Euro 255 m
operating result Nat Cat impact 1H11 Euro 33 m -5.9%
799

Financial services 211
operating result +2.4%
211

Operating holding -148
expenses
+1.1%
-147
Consolidation -126
adjustments
+6.6%
-118

Total 2,343 -0.1%
operating result 2,408

1H12
1H11



Focus on non operating result 8

(Euro m) Non operating investment income (Euro m)

Like for
1H11 1H12
like 
179 12

(286)
(470)
(7)
Non operating
(470) (286) -40.8%
investment income

1H11 1H12

(1)
Non operating
(330) (329) -0.1%
holding expenses
Δ Euro m
Net Net Fair Value
Net other realised impair- thr. P&L
Non operating (158) (161) +1.9% gains ments
expenses
1H12 (18) (300) 32

Total 1H11 (11) (479) 19
Non operating (957) (776) -20.1%
result Δ(2) -5.9% -37.4% +121.5%

(1) Including interest expenses on financial debt (2) On like for like basis



From operating result to net result 9

(Euro m) Net income (Euro m)
1H11 1H12 

Total operating result 2,408 2,343 -0.1%(1)

Non operating result (957) (776) -20.1%(1)

+4.5%
Consolidated result before 1,451 1,568 +13.9%(1)
taxes and minorities

Income taxes (481) (582) +21.0%
806 842

Result for discontinued (1) 27.1 n.m
operations

Minorities (163) (171) +4.7% 1H11 1H12

Net result 806 842 +4.5%



Agenda 10






Life business development 11

Gross written premiums (Euro m) Net technical reserves(2) (Euro bn)

+0.4%(1) +1.1%
316.6 304.9
301.5 0.9 2.4
58.3 47.9 50.3
15.1
23,842 23,230 Δ
258.3 253.6 254.5

1H11 1H12 FY11 Change FY11R Traditional Unit 1H12
in scope Linked
Traditional Unit linked

Net inflows by country (Euro m)
Country 1H11 1H12
 Italy: in 1H12 the impact from one-off
Italy 362 (603) outflows related to corporate policies was
about Euro 1.2 bn
France 629 (1,688)
 France: 1H12 negative trend is linked to
Germany 2,158 2,118 Group’s decision to reduce exposure to large
CEE 215 215 premium contracts, whose profitability is not
in line with required standards
RoE 733 (841)
 Spain: during 2Q12 it was decided not to
RoW 722 420 renew a large Group contract, for about Euro
TOTAL 4,818 (378) 1.6 bn, which was not profitable enough
(2) Including liabilities related to investment contracts


Life profitability - Operating result 12

Resilient life operating profitability despite challenging financial environment

Life Operating Result by driver(1)
Like for 1H11 1,663
(Euro m) 1H11 1H12 like 
Tech.
(104)
M
Technical Margin 3,093 2,988 +0.8%
Inv.R (55)
Investment Result 1,206 1,151 +2.9%
Exp. 147
Expenses (2,636) (2,489) +0.3%
1H12 1,651
Operating Result 1,663 1,651 +3.1%

Life operating
ratio on 0.53% 0.54%
Investments

(1) For the definitions refer to the related section in the backup



Life investment strategy and yields(1) 13

Life segment own investments(1) (%)
 Confirmed strategic reduction of cross-border exposure to EU
Euro 249.3 bn Euro 258.6 bn peripheral sovereign debt
 Preference for domestic sovereign bonds for matching local
2.4% 2.4% liabilities
6.8% 4.6%
3.8%  Reallocation of liquidity buffer previously increased to face
3.9%
4.9% market volatility
5.3% Other
8.4%  Strong level of profitability confirmed despite economic
8.6%
Cash & cash environment
equivalent  Management of duration risk in a very low yield environment
34.0% Real estate
34.1%

Equity Current Fixed Equity Real
return(1) income Estate(2)
Other fixed
income
Corporate
38.9% 41.9% bonds 1H11 1H12 1H11 1H12 1H11 1H12
Government
bonds
Euro m 4,812 4,671 418 299 330 349

FY11 1H12 % 2.2 2.2 2.3 2.3 3.5 3.6
(1) For the definitions refer to the related section in the backup. Starting from 1Q12, assets and liabilities of Group’s Israeli companies have been classified as “held for
sale” and are therefore excluded. Comparative figures have been restated accordingly.
(2) Real estate current returns are gross of related expenses



Life new business value and profitability 14

Resilient NBV at Euro 493 m (down 2.0% from 1H11), as a result of:
 moderate contraction of APE (-4.8%), more marked in Italy and Germany
 significant improvement of NBM (up by 1.2%pts. from year-end 2011 to 21.6%), thanks to more
favourable business mix and product features (average guarantee in Eurozone further decreases from
1.5% at year-end to 1.2% at half-year)

(Euro m) APE Margins on APE NBV

Historical Like for Historical Like for
1H11 1H12 1H11 FY11 1H12 1H11 1H12
 like   like 

Italy 863 790 -8.5% -8.5% 20.9% 21.8% 23.8% 180 188 +4.1% +4.1%

France 532 581 +9.3% +9.3% 14.1% 13.7% 12.5% 75 73 -2.7% -2.7%

Germany 488 400 -17.9% -17.9% 17.3% 18.3% 20.7% 84 83 -1.5% -1.5%

CEE 81 74 -8.1% -3.2% 31.1% 35.8% 35.0% 25 26 +3.4% +9.1%

RoE 325 322 -1.0% -1.2% 26.4% 20.4% 24.9% 86 80 -6.5% -6.7%

RoW 224 112 -50.0% +1.2% 33.4% 28.8% 38.2% 75 43 -42.8% -19.8%

Total 2,513 2,280 -9.3% - 4.8% 20.9% 20.4% 21.6% 525 493 -6.2% -2.0%



P&C gross written premiums 15

 Significant growth driven by Personal Non-Motor and Commercial
 Positive development of Motor in Germany and Spain, Italy still benefiting from pricing measures of
the last two years
 Commercial still under competitive pressure in Italy and Spain, while CEE overperforming

Gross written premiums (Euro m)
Like for like
(Euro m) 1H11 1H12 
+5.2%(1)
Italy 3,614 3,582 -0.9%

12,011 12,418 France 2,184 2,240 +2.6%

Germany 1,855 1,987 +7.1%

CEE 1,176 1,228 +8.2%

RoE 2,451 2,579 +4.3%

1H11 1H12 RoW 732 802 +46.2%

Total 12,011 12,418 +5.2%



P&C profitability - Operating result 16

P&C operating result hit by nat cat development

P&C Operating Result by driver(1)
Like for 1H11 799
(Euro m)
1H11 1H12 like 
Tech.R (58)
Technical Result 330 272 -21.0% Inv.R (17)
Investment Result 577 560 -1.3% Other 31

Other (108) (77) -29.4% 1H12 755

Operating Result 799 755 -5.9%

P&C operating ratio on
2.22% 2.11%
Investments
(1) For the definitions refer to the related section in the backup



P&C profitability – Net combined ratio (1/2) 17

Combined ratio (%) Combined ratio by country (%)

+0.6%pts.
1H11 1H12 ∆
96.5 0.0 0.6 97.1
Italy 97.2% 99.7%(1) +2.6%pts.

27.6 27.6
France 98.5% 98.4% -0.1%pts.

Germany 95.3% 95.8% +0.5%pts.

69.5 CEE 88.2% 87.5% -0.7%pts.
68.9

RoE 96.4% 96.1% -0.3%pts.

1H11  Expense  Loss 1H12
ratio ratio RoW 102.4% 96.9% -5.5%pts.

Loss ratio Expense ratio
Total 96.5% 97.1%(2) +0.6%pts.
(1) Excluding Nat Cat impact 1H12 Combined Ratio was 94.0%(1H11 97.2%)
(2) Excluding Nat Cat impact 1H12 Combined Ratio was 94.7% (1H11 96.2%)



P&C profitability – Net combined ratio (2/2) 18

Loss ratio (%) Reserving ratio (%)
+0.6%pts -2.2%pts (1)

68.9 -0.8 +2.1 -0.7 69.5

280.6% 276.3%

Current NAT Prior
1H11 year(1) CAT years 1H12

1H12 70.6 2.4 -3.5 69.5 1H11 1H12
1H11 71.4 0.3 -2.9 68.9

(1) Excluding natural catastrophes (1) On an annualized basis
Expense ratio (%)

27.6 +0.0%pts 27.6  Current year Loss Ratio confirms good
quality of pricing and underwriting
5.9 -0.1 +0.1 5.8
 Severe Nat Cat impact mainly due to the
Emilia earthquake, although properly
mitigated by reinsurance
21.7 Δ%pts 21.8 Acq. costs
Adm. costs
 Confirmed positive prior years
development and prudent reserving policy

1H11 Δ Admin Δ Acq. 1H12

Assicurazioni Generali Group – FY 2009 results


P&C investment strategy and yields(1) 19

P&C segment own investments(1) (%)
 Confirmed de-risking strategy with limited impact on
Euro 34.4 bn Euro 35.5 bn
current return of the portfolio
1.7% 1.7%
7.2%  Slight increase of government bond exposure within
10.0%
Fixed Income instruments
15.0% Other
15.8%
 Preference for short term and low capital intensive
8.0% Cash & cash
equivalent corporate bonds
9.1%
9.4% Real estate
8.6%

Equity Current Fixed income Equity Real
28.0% return(1) Estate(2)
26.8% Other fixed income

Corporate bonds
1H11 1H12 1H11 1H12 1H11 1H12
Government bonds
28.0% 30.7%

Euro m 425 469 72 54 257 222

FY11 1H12 % 1.8 2.0 1.8 1.8 4.3 4.1

(1) For the definitions refer to the related section in the backup. Starting from 1Q12, assets and liabilities of Group’s Israeli companies have been classified as “held for
sale” and are therefore excluded. Comparative figures have been restated accordingly.
(2) Real estate current returns are gross of related expenses


Financial segment 20

Operating result (Euro m) Net fees and commissions (Euro m)

+2.4%(1) -3.2%(2)

449 415
211 211

1H11 1H12 1H11 1H12

(1) On like for like basis (2) On like for like basis

Third party AUM(3) (Euro bn) Cost/income ratio (%)

+7.6%(4) -1.1%pts

88.2 90.7
68.5 67.4

FY11 1H12 1H11 1H12

(3) Including only third party AUM related to financial segment companies


Agenda 21






IFRS Shareholders’ equity roll forward 22

(Euro m)

+12.1%

1,335 842 73 17,359
15,486 (63) (311) (2)

Shareholders’ Δ in AFS 1H 2012 Δ Currency Δ Cash Flow Dividend Other Shareholders’
Equity FY11 Reserve Net Result Translation Hedge Equity 1H12
Reserve Reserve

Change in AFS reserve (Euro m)

1,316 35

(821)

(2,156) (16)
AFS Reserve Impact Equity Impact Bond Other AFS Reserve
FY11 Investments Investments 1H12



Solvency I according to Italian regulation 23

(Euro bn)

Required margin Available margin

117% Main drivers of change 130%

Available margin
 Consolidated result: + 1.0 23.5
20.8  Financial markets and other elements: + 1.2
17.8 18.1
 Cap on locally admitted unrealized
gains on real estate: + 0.5

Required Margin + 0.3

FY11 1H12



Group Embedded Value roll-forward 24

(Euro m)

Out of which -1.5 bn due to the
decrease in interest rates

1,700
22,431 22,213
(1,608) (311)

Robust return on embedded value,
mainly driven by positive combined ratio
at 97.1% and Life NBV of Euro 493 m

EV FY11 Normalised EV Investment and Tax Cash Dividend EV 1H12
earnings Variances

Return on Embedded Value Group Embedded Value
Group EV 1H12

15.2% Normalised RoEV (1) 0.8% RoEV (1) €14.4 Group EV per share

(1) For the definitions refer to the related section within the backup



Economic Solvency 25

 Economic Solvency Ratio based on Group Internal Model calibrated on 1year VAR at 99.95% confidence level
 The ratio based on a 99.5% confidence level (consistent with a BBB rating) would be about 151% at 1H12

Economic Solvency Ratio
(Euro bn) FY11 1H12

ESR = 124%(1) ESR = 121%
29.0 28.3

23.2 23.4

Group Group
AC AC
Group Group
RAC 99,5% RAC 99,5%
Conf. Level Conf. Level
Group Group
RAC 18.0 RAC 18.7
ESR 159% ESR 151%

Available Group Available Group
Capital Risk Capital Capital Risk Capital
(1) ESR FY11 = AC FY11 (net of dividend 2011 equal to Euro 0.3 bn) divided by Risk Capital FY11


Agenda 26

III. Final Remarks


III. FINAL REMARKS

Final remarks 27

Excellent underlying P&C performance excluding Nat Cat events

Robust Life profitability in a challenging market environment

Resilient investment return notwithstanding de-risking action

Outlook of 2012 Operating Result confirmed


Agenda 28

IV. Backup
P&L
Balance sheet
Life
Definitions


Agenda 29

IV. Backup
P&L
Balance sheet
Life
Definitions


IV. BACK UP

1H12 Total gross written premiums 30

(Euro m) Total gross written premiums Gross life written premiums(1) Gross P&C written premiums
Country YoY Weight on YoY Weight on YoY Weight on
GWP % increase total GWP GWP % increase total GWP GWP % increase total GWP
(2) (2) (2)

Italy 9,650 -2.7% 27.1% 6,069 -3.8% 26.1% 3,582 -0.9% 28.8%

France 7,705 +3.0% 21.6% 5,465 +3.2% 23.5% 2,240 2.6% 18.0%

Germany 8,514 -0.8% 23.9% 6,527 -3.0% 28.1% 1,987 7.1% 16.0%

CEE 2,070 +7.0% 5.8% 842 +5.2% 3.6% 1,228 8.2% 9.9%

RoE 5,560 +6.2% 15.6% 2,981 +8.0% 12.8% 2,579 4.3% 20.8%

Of which:

Spain 1,333 +2.3% 3.7% 535 +0.8% 2.3% 797 3.3% 6.4%

Austria 1,353 -3.7% 3.8% 565 -10.5% 2.4% 787 1.9% 6.3%

Switzerland 1,041 +5.2% 2.9% 559 +6.6% 2.4% 482 3.6% 3.9%

RoW 2,148 +20.6% 6.0% 1,346 +8.6% 5.8% 802 46.2% 6.5%

Total 35,648 +2.0% 100.0% 23,230 +0.4% 100.0% 12,418 5.2% 100.0%
(1) Including investment contracts
(2) On like for like basis with constant exchange rates


IV. BACK UP

1H12 Life premiums by country and business line(1) 31

Savings and Unit/Index
(Euro m) pension Protection linked Total
YoY % YoY % YoY % YoY %
GDP increase(2) GDP increase(2) GDP increase(2) GDP increase(2)
Italy 5,537 - 3.8% 128 + 4.6% 261 - 12.7% 5,925 - 4.0%

France 4,237 + 16.0% 697 - 0.4% 412 - 51.0% 5,347 + 2.9%

Germany 2,810 - 8.1% 2,020 + 1.8% 1,697 + 0.5% 6,526 - 3.0%

CEE 516 + 2.9% 117 + 9.1% 209 + 9.1% 842 + 5.2%

RoE 1,079 - 3.5% 483 + 12.2% 1,405 + 17.2% 2,967 + 8.0%

Of which:

Spain 410 + 2.6% 121 - 2.7% 4 - 38.2% 535 + 0.8%

Austria 295 - 20.7% 127 + 2.6% 133 + 2.5% 555 - 11.3%

Switzerland 103 + 42.2% 63 + 12.7% 393 - 0.7% 559 + 6.6%

RoW 565 + 6.9% 343 + 17.4% 16 - 21.0% 924 + 9.9%

Total Life gross 14,743 + 0.9% 3,788 + 4.1% 4,000 - 5.7% 22,532 + 0.2
direct premiums


IV. BACK UP

1H12 P&C premiums by country and business line 32

Accident/
(1)
(Euro m) Motor Personal Commercial Health Total
YoY % YoY % YoY % YoY % YoY %
GDP increase(2) GDP increase(2) GDP increase(2) GDP increase(2) GDP increase(2)
Italy 1,701 - 0.4% 435 + 2.7% 816 - 1.9% 577 - 5.3% 3,530 - 1.2%

France 584 - 2.9% 796 + 8.7% 482 + 3.3% 244 + 0.4% 2,107 + 3.0%

Germany 821 + 7.3% 711 + 4.9% 188 + 10.0% 265 + 10.4% 1,984 + 7.1%

CEE 493 - 5.7% 176 + 4.4% 318 + 11.2% 215 + 62.1% 1,201 + 8.0%

RoE 923 + 4.2% 552 + 5.0% 602 - 0.2% 426 + 7.7% 2,503 + 3.8%

Of which:

Spain 206 + 10.6% 215 + 9.9% 247 - 7.6% 112 + 0.8% 780 +2.6%

Austria 306 + 1.5% 167 + 2.8% 224 + 1.7% 78 + 2.4% 775 +1.9%

Switzerland 237 + 3.7% 110 - 2.3% 2 - 7.1% 130 + 8.6% 479 +3.4%

RoW 443 + 24.8% 8 + 1.0% 223 + 94.0% 75 + 70.9% 749 + 43.5%

Total P&C gross 4,964 + 2.6% 2,678 + 5.6% 2,630 + 6.3% 1,802 + 8.3% 12,074 +4.9%
direct premiums
(1) Including fleets


IV. BACK UP

1H12 technical ratios 33

Life - Expense ratio (%) P&C - Combined ratio (%)

96.5 97.1
Expense
ratio 27.6 27.6

Loss
11.0 10.9 68.9 69.5
ratio

1H11 1H12 1H11 1H12

Total - Expense ratio (%)

16.1 16.2

1H11 1H12


IV. BACK UP

1H12 combined ratio reconciliation 34

(Euro m)
A Net earned premiums (net of consolidation adjustments) 10,564.8

B Consolidated net insurance benefits and claims 7,338.8

Consolidated acquisition costs 2,307.9

Consolidated administration costs 652.0
Non insurance related administration costs(1) 39.4
Insurance related consolidated administration costs 612.5

C Total acquisition and insurance related administration costs 2,920.4

B/A Loss ratio 69.5%
C/A Expense ratio 27.6%
(B+C)/A Combined ratio 97.1%

D Other technical items 33.8

A-B-C-D Technical result 271.7
(1) Administration expenses related to service companies, real estates and other companies not belonging to P&C segment


IV. BACK UP

1H12 technical ratios by country 35

(%) ITA FRA GER CEE RoE SPA AUT SWI RoW Consolidated
P&C Loss ratio

1H12 78.5 71.6 67.5 50.3 67.3 64.9 67.0 70.7 58.1 69.5
1H11 75.0 71.3 66.3 54.7 67.9 66.6 67.2 70.5 65.3 68.9
P&C Expense ratio

1H12 21.2 26.8 28.3 37.2 28.9 27.9 28.3 26.1 38.9 27.6
1H11 22.1 27.1 29.1 33.5 28.5 26.8 28.4 26.4 37.1 27.6
P&C Combined ratio

1H12 99.7 98.4 95.8 87.5 96.1 92.9 95.3 96.8 96.9 97.1
1H11 97.2 98.5 95.3 88.2 96.4 93.5 95.6 96.9 102.4 96.5

Life expense ratio by country
1H12 10.0 8.3 12.0 19.8 12.1 4.6 15.1 19.4 15.5 10.9
1H11 9.7 8.2 12.1 18.9 12.6 4.5 13.5 19.9 16.0 11.0


IV. BACK UP

Focus on operating result 36

Operating result by country(1) (Euro m) Operating result breakdown(1) (Euro m)

Like for
1H11 1H12 like ∆
Italy 994 971 -2.4%
971
France 451 466 +3.4% 110
119
Germany 326 315 -3.2%

CEE 256 263 +2.8%
466 454
RoE 478 454 -5.1% 129 315 263
64
742
26 184
RoW 167 147 +40.5% 12
127 147
337 157
207 40
Operating result(1) 2,673 2,617 +0.3% 162 108
94
Op. holding expenses -147 -148 +1.1% Italy France Germany CEE RoE RoW

Consolidation Adj. -118 -126 +6.6%
Life P&C Financial
Total operating 2,408 2,343 -0.1%
result
(1) Operating result = operating result of life, P&C and financial segments, before holding expenses and consolidation adjustments


IV. BACK UP

Life operating result 37

Operating result (Euro m) Operating result by country (Euro m)
1H11 1H12 Like for
like 

+3.1% Italy 747 742 -0.7%

France 314 337 +7.5%

1,663 1,651 Germany 157 162 +3.0%

CEE 100 94 -6.2%

RoE 217 207 -4.8%

Of which:

Spain 51 52 +1.2%

Austria 29 30 +3.8%

Switzerland 66 60 -8.5%

RoW 128 109 +64.6%
1H11 1H12
Total 1,663 1,651 +3.1%


IV. BACK UP

Life net inflows by country 38

Country (Euro m) 1H11 1H12 Like for like Δ

Italy 362 (602) - 266.3%

France 629 (1,688) - 368.5%

Germany 2,158 2,118 - 1.9%

CEE 215 215 + 4.0%

RoE 733 (841) - 216.9%

Of which:

Spain (115) (1,661) - 1,338.5%

Austria 116 38 - 67.0%

Switzerland 199 311 + 48.3%

RoW 722 420 + 16.5%

TOTAL 4,818 (378) - 108.7%


IV. BACK UP

P&C operating result 39

Operating result (Euro m) Operating result by country (Euro m)
1H11 1H12 Like for
like 

-5.9% Italy 185 119 -35.7%

France 137 129 -6.0%
799
755 Germany 142 127 -10.5%

CEE 142 157 +10.2%

RoE 172 184 +6.5%

Of which:

Spain 80 84 +4.4%

Austria 55 52 -4.4%

Switzerland 22 23 +5.8%

RoW 20 40 +67.7%
1H11 1H12
Total 799 755 -5.9%


IV. BACK UP

Other operating and non operating expenses by segment 40

(Euro m) Life Non Life Financial

1H11 1H12 1H11 1H12 1H11 1H12

Total net operating expenses (49.9) (27.9) (131.5) (103.0) (10.5) (46.8)

Restructuring costs (3.2) (2.7) (28.9) (14.6) (5.9) (4.6)

Other net non operating expenses(1) (61.4) (65.8) (37.2) (56.1) (18.0) (10.1)

Total net non operating expenses (64.5) (68.5) (66.1) (70.7) (23.9) (14.6)

(1) Other non operating expenses include mainly amortization of VOBA


IV. BACK UP

Focus on impairments(1) 41

(Euro m) Life P&C Financial Total
Net impairments 1H11 1H12 1H11 1H12 1H11 1H12 1H11 1H12

Equity instruments 147 457 66 96 1 3 214 555

Fixed income 934 (2) 129 12 2 7 1,066 17

Real estate 5 19 0 5 0 0 5 24

Other investments(2) 317 7 104 65 (1) 9 419 81

Total net impairments 1,404 480 299 179 2 18 1,704 677

Of which

Operating net
1,222 362 0 0 3 15 1,225 378
impairments
Non operating net
181 118 299 179 (1) 3 479 300
impairments
(1) Net of reverse impairments
(2) Including subsidiaries and associated companies


IV. BACK UP

Focus on realised gains(1) 42

(Euro m) Life P&C Financial Total
1H11 1H12 1H11 1H12 1H11 1H12 1H11 1H12

Net realized gains on Equities 451 85 31 (28) 1 0 510 57
Realised gains 813 305 102 47 3 0 945 353
Realised losses (362) (220) (71) (75) (2) 0 (435) (295)
Net realized gains on Fixed Income 447 178 11 4 2 0 461 183
Realised gains 620 1,853 52 81 3 1 677 1,935
Realised losses (173) (1,675) (40) (77) (1) (1) (216) (1,753)
Net realized gains on Real Estate 8 66 41 68 0 0 49 134
Realised gains 21 70 41 72 0 0 62 142
Realised losses (13) (4) 0 (4) 0 0 (14) (7)
Net realized gains on Other(2) 17 6 (39) 21 0 (1) (22) 26
Realised gains 43 6 0 21 0 1 44 29
Realised losses (26) (1) (39) 0 0 (2) (66) (3)
Total net realized gains 923 335 45 66 3 (1) 998 400
Operating net realized gains 979 418 0 0 3 0 1,008 418
Non operating net realized gains (55) (82) 45 66 0 (2) (11) (18)
(1) Excluding financial instruments at fair value through profit and loss
(2) Including subsidiaries and associated companies


IV. BACK UP

Focus on non operating items: interest expenses on financial debt 43

Interest expenses on financial debt (Euro m) Total financial debt (Euro m)

12,425 12,124
12.3% 8.7%
319 327

51.8% 54.5%
1H11 1H12

Average cost & maturity of financial debt (%) 35.9% 36.8%

1H11 1H12 1H11 1H12
Average cost (%) 5.39% 5.40%
Senior Sub/Hybrid Other

Average maturity (years) 6.25 5.41


IV. BACK UP

Reclassified P&L account 44

Total
(Euro m) 1H11 1H12
Total Operating result 2,408 2,343
Net earned premiums 32,072 31,650
Net insurance benefits and claims (29,289) (30,995)
Acquisition and administration costs (5,835) (5,767)
Net fee and commission income and net income from financial service activities 478 395
Operating income from other financial instruments 5,661 5,665
Operating income from financial instruments at fair value through profit or loss (331) 1,727
of which net income from fin. assets and liabilities where the risk is borne by the policyholders (556) 1,293
Operating holding expenses (147) (148)
Net other operating expenses (200) (184)
Non-operating result (957) (776)
Non-operating income from other financial instruments (489) (318)
Non-operating income from financial instruments at fair value through profit or loss 2 32
Non-operating holding expenses (330) (329)
Interest expenses on financial debt (319) (327)
Other non-operating holding expenses (11) (2)
Net other non-operating expenses (141) (161)
Earnings before taxes 1,451 1,568
Income taxes (481) (582)
Result from discontinued operations (1) 27
Consolidated result of the period 969 1,012
Result of the period attributable to minority interests (163) (171)
Result of the period 806 842

IV. BACK UP

Reclassified P&L account by segment - 1H11 45

Unallocated
holding Consolidation
(Euro m) Life Non life Financial(1) expenses adjustments Total
Total Operating result 1,663 799 211 (147) (118) 2,408
Net earned premiums 21,764 10,308 - - - 32,072

Net insurance benefits and claims (22,175) (7,099) - - (15) (29,289)
of which var. of provisions related to unit linked business 626 - - - - 626

Acquisition and administration costs (2,527) (2,856) (453) - - (5,835)
Net fee and commission income and net income
from financial service activities 89 - 449 - (61) 478

Operating income from other fin. Instruments 4,979 563 153 - (34) 5,661
Operating income from fin. Instruments at fair
value through profit or loss (417) 14 72 - - (331)
of which net income from fin.assets and liabilities where
the risk is borne by the policyholders (556) - - - - (556)

Operating holding expenses - - - (147) - (147)

Net other operating expenses (50) (132) (11) - (8) (200)

Non-operating result (301) (301) (23) (330) (3) (957)
Non-operating income from other fin.instr. (236) (254) 1 - - (489)
Non-operating income from fin. instr.at fair value
through profit or loss - 2 - - - 2

Non-operating holding expenses - - - (330) - (330)

Net other non-operating expenses (65) (49) (24) - (3) (141)

Earnings before taxes 1,362 498 188 (477) (121) 1,451
(1) Not reclassified according to the new layout based on operating margins and presented in the Consolidated Report


IV. BACK UP

Reclassified P&L account by segment - 1H12 46

Unallocated
holding Consolidation
(Euro m) Life Non life Financial(1) expenses adjustments Total
Total Operating result 1,651 755 211 (148) (126) 2,343
Net earned premiums 21,085 10,565 - - - 31,650

Net insurance benefits and claims (23,656) (7,339) - - - (30,995)
of which var. of provisions related to unit linked business (1,212) - - - - (1,212)

Acquisition and administration costs (2,415) (2,928) (424) - - (5,767)
Net fee and commission income and net income from
financial service activities 47 - 415 - (66) 395

Operating income from other fin. Instruments 4,986 536 195 - (53) 5,665
Operating income from fin. Instruments at fair value
through profit or loss 1,632 23 72 - - 1,727
of which net income from fin.assets and liabilities where the
risk is borne by the policyholders 1,293 - - - - 1,293

Operating holding expenses - - - (148) - (148)

Net other operating expenses (28) (103) (47) - (7) (184)

Non-operating result (269) (152) (19) (329) (7) (776)
Non-operating income from other fin.instr. (200) (113) (4) - - (318)
Non-operating income from fin. instr.at fair value
through profit or loss - 32 - - - 32

Non-operating holding expenses - - - (329) - (329)

Net other non-operating expenses (69) (71) (15) - (7) (161)

Earnings before taxes 1,382 603 192 (477) (132) 1,568
(1) Not reclassified according to the new layout based on operating margins and presented in the Consolidated Report


IV. BACK UP

Focus on 2Q12 results 47

(Euro m) 2Q12/
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
2Q11

Life premiums(1) 12,340 11,503 10,543 12,009 12,815 10,415 -6.6%(2)

P&C premiums 6,792 5,219 4,931 5,823 6,999 5,419 +5.9%(2)
Total premiums 19,131 16,722 15,474 17,832 19,814 15,834 -2.7%(2)

Life net inflows 2,819 1,999 1,678 (651) 760 (1,138) -162.8%(2)

Combined ratio % 96.1% 96.9% 96.7% 96.4% 95.4% 98.8% (3) +1.9% pts.

Life operating result 881 782 315 564 819 832 +11.4%(2)
P&C operating result 393 406 405 357 411 344 -15.3%(2)
Financial operating
115 96 68 63 126 85 -9.3%(2)
result
Operating holding
(133) (132) (96) (155) (126) (148) +12.4%(2)
expenses and cons. adj.
Total operating result 1,256 1,153 692 827 1,230 1,113 +2.1%(2)

Net result 616 190 20 31 567 274 +44.5%
(3) 94.8% excluding CAT

Agenda 48

IV. Backup
P&L
Balance sheet
Life
Definitions


IV. BACK UP

Consolidated balance sheet 49

(Euro bn) FY11 1H12 (Euro bn) FY11 1H12

Shareholders’ Equity
Intangible assets 10.4 10.0 (Group share) 15.5 17.4

Minority interests 2.6 2.7
Investments 346.7 350.4
Shareholders’ Equity 18.1 20.1

Cash 25.6 20.3

Operating debt 46.9 50.5
Other credits 11.3 13.4
Financial debt 12.2 12.1

Tangible assets 4.9 4.9 Technical reserves 325.0 318.6

Payables and other
provisions 9.0 10.2
Other assets (1) 24.2 38.2 Other liabilities 11.8 25.8

Total Liabilities and
Total Assets 423.1 437.3 Shareholders’ Equity 423.1 437.3

(1) Including reinsurance amounts of technical reserve, deferred tax assets, deferred acquisition costs and other assets


IV. BACK UP

1H12 Assets under management 50

Total
Euro 459.2 bn

Third parties AUM
92.0

Unit Linked
50.2

Available for sale Loans
Fixed income Other
60.8% 22.2% 3.9%
instruments
Real Estate 80.3%
4.1% Real Estate
4.8%
Group 317.0
participations Equity
0.6% 5.1%
Held to maturity Cash & equival.
Fin. Instr. at fair 2.4% 6.0%
value thr. P&L Cash & equival.
3.9% 6.0% “Own Investments”(1)

(1) For definitions refer to the related section in the backup


IV. BACK UP

1H12 own investments at amortized cost and fair value(1) 51

Total
Euro 317.0 bn
19.0
Fixed income instruments
90.3%
Of which bonds 86.2%

205.0
Equity
7.9% Fixed income instruments
74.6%
Other Of which bonds 51.8%
1.8%
Of which loans 22.8%
Real estate
13.9%

Cash & equivalents Other
93.0 9.5%
Investments at amortized cost
Investments at fair value Subs, ass. & JVs
2.1%
(1) Excluding unit linked and third parties


IV. BACK UP

1H12 book value and market value of own investments(1) 52

(Euro m) Life P&C Financial Total(2)

Asset classes BV MV BV MV BV MV BV MV

Equity 12,656 12,656 2,840 2,840 603 603 16,099 16,099

Fixed income
218,147 220,743 24,166 24,155 14,631 14,834 254,532 257,319
instruments
Government 108,427 109,481 10,890 10,941 5,194 5,135 124,512 125,556
Corporate 88,079 89,423 9,939 9,881 2,764 2,741 100,321 101,582
Other fixed income 21,641 21,839 3,337 3,333 6,672 6,959 29,700 30,181

Real estate 9,757 12,327 5,340 8,252 24 38 15,121 20,616

(1) Excluding unit linked and third parties
(2) Net of consolidation adjustments


IV. BACK UP

Quality of 1H12 fixed income portfolio 53

Fixed income portfolio composition: Euro 254.5 bn
By issuer (Euro bn)
Average bond portfolio
21.7 3.3 29.7 duration (years) Life P&C
6.7
88.0 9.9 100.3

2.8 Government 7.4 5.9
108.4 10.9 124.5
5.2

Life P&C Financials Total Corporate 5.3 3.3

Government Corporate Other fixed income

Bond portfolio by rating (%)
Current Comprehensive
% return return

2.8%
Life 2.2 5.3
31.1% 10.8% 40.3% 14.1%
1.0%

P&C 2.0 4.3
AAA AA A BBB NIG NR


IV. BACK UP

Focus on 1H12 government bond portfolio 54

Government bonds: Euro 124.5, 48.9% of total fixed income portfolio
Of which
Split by rating (Euro bn) Total Split by country (Euro bn) Total domestic

AAA 39.1 Italy 53.6 46.6

AA 16.3 Germany 10.6 8.1

A 57.2 France 21.6 16.7

BBB 8.9 CEE 7.9 5.6

Not investment grade 2.8 RoE 23.8 7.7

Not rated 0.3 RoW 7.0 3.2

Split by accounting treatment Weight on own investments
108.4 10.9 5.2

58%
14.4% 69%
82%
85.6%

42%
31%
18%

Amortized cost Fair Value Life P&C Financial
(1) Domestic exposure to Italian government bonds as at 31.12.2011 erroneously reported in the 2011 year-end results presentation has been restated to Euro 37.7 bn
(published: Euro 39.8 bn).


IV. BACK UP

Peripheral government bond portfolio: focus on country exposure 55

Italian government bonds(1): Euro 53.6 bn Spanish government bonds(2): Euro 5.4 bn

3.4 2.6 0.9 0.2

Italy
1.0 Spain
Germany Germany
France 0.8 France
RoE RoE
46.6 3.4

Portuguese government bonds: Euro 1.3 bn Irish government bonds: Euro 1.5 bn

0.1 0.0 0.0
Italy 0.2 Italy
Germany Germany
0.5
France 0.4 France
RoE RoE
0.7 0.9

(1) Domestic and German exposures to Italian government bonds as at 31.12.2011 erroneously reported in the 2011 year-end results presentation have been restated
respectively to Euro 37,7 bn (published: Euro 39,8 bn) and Euro 4,2 bn (published: Euro 2,1 bn).
(2) Including Spanish autonomous regions for Euro 0.7 bn (at 31/12/2011 the total Spanish exposure amounted to Euro 6.3 bn, including Euro 0.8 bn related to autonomous
regions)

IV. BACK UP

Focus on 1H12 corporate bond portfolio 56

Corporate bonds: Euro 100.3 bn, 39.4% of total fixed income portfolio

Split by rating (Euro bn) Total Split by industry (Euro bn) Life P&C
Financials 31.1 4.5
AAA 30.7 Covered bonds 28.9 2.3
AA 7.9 Utilities 6.1 0.6
A 33.4 ABS 2.2 0.4
BBB 22.8 Telecom 4.0 0.7
Not investment grade 3.6 Industrial 6.7 0.5
Not rated 1.9 Other 9.1 1.0

Split by accounting treatment Weight on own investments
88.1 9.9 2.8

30.2% 66%
69.8% 72%
91%

34% 28%
9%
Amortized cost Fair Value
Life P&C Financial


IV. BACK UP

Focus on 1H12 covered and financial corporate bond portfolios 57

Covered bonds(1): Euro 32.7 bn

Split by rating (Euro bn) Total Split by country (Euro bn) Total
AAA 25.3 Italy 1.2
AA 1.8 Germany 9.6
A 3.9 France 7.6
BBB 1.5 CEE 0.7
Not investment grade 0.1 RoE 13.0
Not rated 0.0 RoW 0.6

Financial corporate bonds(1): Euro 36.1 bn

Split by rating (Euro bn) Total Split by country (Euro bn) Total
AAA 2.7 Italy 5.3
AA 2.3 Germany 5.9
A 17.8 France 5.1
BBB 10.6 CEE 1.0
Not investment grade 2.3 RoE 12.3
Not rated 0.4 RoW 6.6
(1) Including life, P&C and financial segment investments

Generali Group 2012 First Half Results

Generali Group 2012 First Half Results

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Generali Group 2012 First Half Results