Your Partner in Insurance Annual Report 2011 Message of the Chairman and CEO of Ageas Report of the Board of Directors of Ageas Ageas Consolidated Financial Statements ageas SA/NV Company Financial Statements ageas N.V. Company Financial Statements Brussels | Utrecht 14 March 2012 A nnual Report 2011 3 nnual Report 2011 4 A Contents AGEAS at a glance 2011 ................................................................................................................................................................................................. 7 Key events in 2011 .........................................................................................................................................................................................................10 Introduction .....................................................................................................................................................................................................................11 Message of the Chairman and CEO of Ageas .................................................................................................................................................. 13 Message to the shareholders .........................................................................................................................................................................................14 Report of the Board of Directors of Ageas ........................................................................................................................................................ 17 1 Developments and results ................................................................................................................................................................................18 2 Corporate Governance Statement....................................................................................................................................................................24 Ageas Consolidated Financial Statements 2011 .............................................................................................................................................. 45 Consolidated statement of financial position ..................................................................................................................................................................46 Consolidated income statement .....................................................................................................................................................................................47 Consolidated statement of comprehensive income .......................................................................................................................................................48 Consolidated statement of changes in equity.................................................................................................................................................................49 Consolidated cash flow statement ..................................................................................................................................................................................50 General Notes ................................................................................................................................................................................................... 51 1 Legal structure ..................................................................................................................................................................................................52 2 Summary of accounting policies .......................................................................................................................................................................53 3 Acquisitions and disposals ...............................................................................................................................................................................65 4 Shareholders’ equity .........................................................................................................................................................................................69 5 Non-controlling interests ...................................................................................................................................................................................74 6 Earnings per share ...........................................................................................................................................................................................75 7 Risk Management .............................................................................................................................................................................................76 8 Supervision and solvency ...............................................................................................................................................................................105 9 Post-employment benefits, other long-term employee benefits and termination benefits .............................................................................108 10 Employee share option and share purchase plans ........................................................................................................................................116 11 Remuneration of Board of Director members and Executive Committee members ......................................................................................118 12 Audit fees ........................................................................................................................................................................................................125 13 Related parties ...............................................................................................................................................................................................126 14 Information on segments ................................................................................................................................................................................128 Notes to the Consolidated statement of financial position .............................................................................................................................. 141 15 Cash and cash equivalents ............................................................................................................................................................................142 16 Financial investments .....................................................................................................................................................................................143 17 Investment property ........................................................................................................................................................................................149 18 Loans ..............................................................................................................................................................................................................150 19 Investments in associates ..............................................................................................................................................................................153 20 Reinsurance and other receivables ................................................................................................................................................................156 21 Call option BNP Paribas shares .....................................................................................................................................................................157 22 Accrued interest and other assets ..................................................................................................................................................................159 23 Property, plant and equipment .......................................................................................................................................................................160 24 Goodwill and other intangible assets ..............................................................................................................................................................162 25 Liabilities arising from Life insurance contracts ..............................................................................................................................................166 26 Liabilities arising from Life investment contracts ............................................................................................................................................167 27 Liabilities related to unit-linked contracts ........................................................................................................................................................168 A 28 Liabilities arising from Non-life insurance contracts .......................................................................................................................................169 nnual Report 2011 29 Debt certificates ..............................................................................................................................................................................................170 5 30 Subordinated