ANNUAL REPORT 2014 Brussels 6 March 2015 Report of the Board of Directors Consolidated Financial Statements Summarised ageas SA/NV Company Financial Statements ANNUAL REPORT 2014 | 1 | CONTENTS Introduction ...................................................................................................................................... 5 Report of the Board of directors ......................................................................................................7 1 General description and strategy of Ageas ........................................................................................................................................ 8 2 Developments and results ............................................................................................................................................................... 11 3 Corporate Governance Statement ................................................................................................................................................... 14 AGEAS consolidated financial statements 2014 ............................................................................ 31 Consolidated statement of financial position .................................................................................................................................................. 32 Consolidated income statement ..................................................................................................................................................................... 33 Consolidated statement of comprehensive income ........................................................................................................................................ 34 Consolidated statement of changes in equity ................................................................................................................................................. 35 Consolidated statement of cash flow .............................................................................................................................................................. 36 General Notes ................................................................................................................................ 37 1 Legal structure ................................................................................................................................................................................. 38 2 Summary of accounting policies ...................................................................................................................................................... 39 3 Acquisitions and disposals ............................................................................................................................................................... 50 4 Earnings per share ........................................................................................................................................................................... 53 5 Risk Management ............................................................................................................................................................................ 54 6 Regulatory supervision and solvency .............................................................................................................................................. 92 7 Remuneration and benefits .............................................................................................................................................................. 95 8 Related parties ............................................................................................................................................................................... 111 9 Information on operating segments ............................................................................................................................................... 113 Notes to the Consolidated statement of financial position ......................................................... 125 10 Cash and cash equivalents ............................................................................................................................................................ 126 11 Financial investments..................................................................................................................................................................... 127 12 Investment property ....................................................................................................................................................................... 135 13 Loans.............................................................................................................................................................................................. 137 14 Investments in associates .............................................................................................................................................................. 139 15 Reinsurance and other receivables ............................................................................................................................................... 142 16 Call option BNP Paribas shares ..................................................................................................................................................... 143 17 Accrued interest and other assets ................................................................................................................................................. 144 18 Property, plant and equipment ....................................................................................................................................................... 145 19 Goodwill and other intangible assets ............................................................................................................................................. 147 20 Shareholders’ equity ...................................................................................................................................................................... 152 21 Insurance liabilities ......................................................................................................................................................................... 157 22 Debt certificates ............................................................................................................................................................................. 162 23 Subordinated liabilities ................................................................................................................................................................... 163 24 Borrowings ..................................................................................................................................................................................... 165 25 Current and deferred tax assets and liabilities ............................................................................................................................... 166 26 RPN (I) ........................................................................................................................................................................................... 168 27 Accrued interest and other liabilities .............................................................................................................................................. 169 28 Provisions ....................................................................................................................................................................................... 170 29 Liabilities related to written put options NCI ................................................................................................................................... 171 30 Non-Controlling interests ............................................................................................................................................................... 173 31 Derivatives ..................................................................................................................................................................................... 174 32 Commitments ................................................................................................................................................................................. 176 33 Fair value of financial assets and financial liabilities ..................................................................................................................... 177 | 2 | ANNUAL REPORT 2014 Notes to the Consolidated Income Statement ............................................................................. 179 34 Insurance premiums ....................................................................................................................................................................... 180 35 Interest, dividend and other investment income ............................................................................................................................ 182 36 Result on sales and revaluations ................................................................................................................................................... 183 37 Investment income related to unit-linked contracts.......................................................................................................................