Erste Bank JPMorgan Merrill Lynch International

The table below sets forth key financial data of BA-CA Versicherung for the period indicated.
December 31, 2007
(in EUR million)
Gross premiums written life . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 538.6
Total gross premiums written . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 544.8
Net earned premiums. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 480.2
Net investment income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 152.7
Profit before taxes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 47.3
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34.9
Total assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,173.4
Shareholders’ equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 110.1
Description of the Target Companies
S-Versicherung Group is an Austrian insurance group, which in 2007 recorded combined gross
premiums written of EUR 1,111.1 million including an assumed full consolidation of the Czech and
Slovakian Target Companies and a combined profits before taxes of more than EUR 34 million. S-
Versicherung was founded in 1985 and has since been the life insurance company of the Erste Bank
Group and the Austrian savings banks. S-Versicherung’s headquarters are located in Austria and it
conducts its main operations in Austria. In the CEE region, the S-Versicherung Group operates in four
other countries through local subsidiaries or minority interests in insurance companies: in the Czech
Republic, Slovakia, Hungary and Croatia. Prior to the acquisition, the Vienna Insurance Group already
held a 10% participation in S-Versicherung through its subsidiary DONAU AG. The premiums
generated by the S-Versicherung Group’s insurance companies in the CEE region during 2007
accounted for 27% of the gross premiums written recorded by the S-Versicherung Group as of
December 31, 2007. The combined profits before taxes of S-Versicherung Group (including Czech
Republic) amount to EUR 34.7 million which includes the dividend for the Czech Target Company
amounting to EUR 5.6 million, which should be deducted from the combined figure to avoid double
counting. This results in profits before taxes of EUR 29.1 million (98% life insurance, 2% non-life
insurance based on gross premiums written). S-Versicherung Group had 478.5 own employees (FTE)
including an assumed full consolidation of the Czech and Slovakian Target Company.
The S-Versicherung Group offers all forms of private and corporate insurance products in the life
and some non-life segments in Austria as well as life insurance products in the CEE region. The S-
Versicherung Group depends to a large extent on the distribution of its respective products through
the Erste Bank Group and the Austrian savings banks. The focus of S-Versicherung Group life
insurance business is – apart from the personal risk insurance / protection products (see below) – on
wealth creation products, which include savings and pension related life insurance products. The
object of these wealth creation products is to provide financial security to the insured. These products
include various forms of life insurance, i.e., endowment insurance, annuity insurance, term life
insurance, state-subsidized and occupational pension plans as well as unit-linked life insurance. In the
field of personal risk insurance, S-Versicherung Group offers classical life insurance and personal
accident insurance. While S-Versicherung Group has its own personal accident insurance products, it
has not developed its own health insurance products but has sold the products of the Vienna
Insurance Group. Credit risk is typically insured by a classical term life insurance.
The S-Versicherung Group operates based on a centralized software system with a high level of
automization in Austria and to a lesser extent in its foreign subsidiaries.
In fiscal years 2007, 2006 and 2005, S-Versicherung’s profit from capital investments and
participations was EUR 278.2 million, EUR 311.5 million and EUR 342.4 million, respectively including
investments from unit-linked products. S-Versicherung’s capital investments totaled EUR 6,750.0 million
as of December 31, 2007, EUR 6,666.6 million as of December 31, 2006 and EUR 6,277.1 million as
of December 31, 2005. These figures exclude the capital investments of unit-linked and index-linked
life insurance, as these are neither a source of revenue nor risk for S-Versicherung. These figures
solely include the data of the Austrian Company and do not include the Target Companies in the
Czech Republic, Hungary, Slovakia and Croatia as well as the figures of the two Romanian Target
Companies (which are not part of the S-Versicherung Group).
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