Annual Report 2017 With the customer in mind ageas SA / NV Rue du Marquis 1 bte 7 - Markiesstraat 1 bus 7 1000 Brussels Belgium reporting2017.ageas.com Annual Report 2017Annual ageas-ar2017-Annual_Report.indd 1-3 29/03/18 17:57 ageas-ar2017-Annual_Report.indd 4-6 30/03/18 12:12 Annual Report 2017 Brussels, 6 April 2018 Report of the Board of Directors Consolidated Financial Statements Summarised ageas SA/NV Company Financial Statements 2 Ageas - Annual Report 2017 3 Ageas - Annual Report 2017 Annual Report 2017 Brussels, 6 April 2018 4 Ageas - Annual Report 2017 5 Ageas - Annual Report 2017 CONTENTS Introduction .................................................................................................................................................. 7 Report of the Board of Directors ................................................................................................................................................................ 8 1 General description and strategy of Ageas ................................................................................................................................. 8 2 Developments and results ........................................................................................................................................................... 11 3 Value creation in and for society ................................................................................................................................................ 13 4 Corporate Governance Statement .............................................................................................................................................. 21 AGEAS Consolidated Financial Statements 2017 ...................................................................................... 33 Consolidated statement of financial position .......................................................................................................................................... 34 Consolidated statement of comprehensive income ............................................................................................................................... 36 Consolidated statement of changes in equity ........................................................................................................................................ 37 Consolidated statement of cash flow ...................................................................................................................................................... 38 General Notes ............................................................................................................................................ 39 1 Legal structure .............................................................................................................................................................................. 40 2 Summary of accounting policies ................................................................................................................................................. 41 3 Acquisitions and disposals .......................................................................................................................................................... 52 4 Earnings per share ....................................................................................................................................................................... 56 5 Risk Management ......................................................................................................................................................................... 57 6 Regulatory supervision and solvency ......................................................................................................................................... 91 7 Remuneration and benefits ......................................................................................................................................................... 95 8 Related parties ........................................................................................................................................................................... 111 9 Information on operating segments .......................................................................................................................................... 113 Notes to the Consolidated statement of financial position ....................................................................... 126 10 Cash and cash equivalents ....................................................................................................................................................... 127 11 Financial investments ................................................................................................................................................................. 128 12 Investment property ................................................................................................................................................................... 135 13 Loans ........................................................................................................................................................................................... 137 14 Investments in associates ......................................................................................................................................................... 139 15 Reinsurance and other receivables .......................................................................................................................................... 141 16 Accrued interest and other assets ............................................................................................................................................ 142 17 Property, plant and equipment ................................................................................................................................................. 143 18 Goodwill and other intangible assets ....................................................................................................................................... 145 19 Shareholders’ equity .................................................................................................................................................................. 149 20 Insurance liabilities .................................................................................................................................................................... 154 21 Subordinated liabilities .............................................................................................................................................................. 159 22 Borrowings .................................................................................................................................................................................. 161 23 Deferred tax assets and liabilities ............................................................................................................................................ 163 24 RPN (I) ......................................................................................................................................................................................... 165 25 Accrued interest and other liabilities ........................................................................................................................................ 166 26 Provisions .................................................................................................................................................................................... 168 27 Liabilities related to written put options NCI ............................................................................................................................ 170 28 Non-controlling interest .............................................................................................................................................................. 172 29 Derivatives .................................................................................................................................................................................. 173 30 Commitments .............................................................................................................................................................................. 175 31 Fair value of financial assets and financial liabilities .............................................................................................................. 176 6 Ageas - Annual Report 2017 Notes to the Consolidated Income Statement .......................................................................................... 179 32 Insurance premiums ................................................................................................................................................................... 180 33 Interest, dividend and other investment income ..................................................................................................................... 182 34 Result on sales and revaluations .............................................................................................................................................. 183 35 Investment income related to unit-linked contracts ................................................................................................................ 184 36 Share in result