Eurohold Bulgaria AD

Earnings Release • Oct 17, 2016

Realized sales in September 2016 by the companies in the group of Eurohold

EUROINS INSURANCE GROUP (EIG)

The insurance holding EUROINS INSURANCE GROUP registered a 24.3% growth in premiums (GWP) for September amounted to EUR 23.9 mm compared to EUR 19.2 mm for the same month of 2015. (Table 1.).

Table 1.
EIG	September
	(EUR'000)		Change (%)
	09'2016	09'2015
Euroins Bulgaria	3 541	3 855	-8.1%
Motor Hull	836	761	9.9%
Motor TPL	1 865	1 389	34.3%
Property	202	359	-43.8%
Active reinsurance	-	257	-100.0%
Other	639	1 089	-41.3%
Euroins Romania	18 941	14 636	29.4%
Motor Hull	113	124	-8.7%
Motor TPL	18 178	14 005	29.8%
Property	172	178	-3.6%
Other	478	328	45.8%
Euroins Macedonia	721	692	4.2%
Motor Hull	66	69	-5.7%
Motor TPL	486	499	-2.6%
Property	59	31	92.2%
Other	110	93	18.9%
Euroins (HDI) Ukraine	372	-	-
Motor Hull	82	-	-
Motor TPL	72	-	-
Property	(113)	-	-
Other	331	-	-
Euroins Life	290	12	2369.8%
EIG TOTAL GWP	23 866	19 194	24.34%

Source: EIG

For the first nine months of 2016 the GWP of EUROINS INSURANCE GROUP registered 9.4% growth amounted to EUR 185.6 mm compared to EUR 169.6 mm for January-September 2015, according to preliminary data (Table 2.).

Euroins Bulgaria reported a decline in premiums in the first nine months by above 14%, which is the result of accounted in May'2015 EUR11.6 million from active reinsurance. If

you eliminate the above one-off effect of reinsurance, the direct insurance business of Euroins Bulgaria was increased by 15.9% for the first nine months of 2016.

Euroins Romania registered above 18.6% growth in premiums for the first nine months. Currently, the company focuses on quality and diversification of its insurance portfolio through detailed market segmentation, which significantly reduces the levels of risk taken. For the current year the goal of management is to keep the market position and to improve significantly the financial result.

HDI Ukraine is already part of the group of Euroins Insurance Group (EIG), after Germany-based Talanx Group transferred the 99% of shares of the Ukrainian company to EIG on 12th of August. Effectively from 30th of September, 2016, the name of the company was changed to Euroins Ukraine. For September the GWP of Euroins Ukraine amounted to EUR 372 thousand.

Table 2.

EIG January-September (YTD) (EUR'000) Change (%) 01-09'2016 01-09'2015 Euroins Bulgaria 38 318 44 675 -14.2% Motor Hull 8 576 7 754 10.6% Motor TPL 18 687 12 772 46.3% Property 2 033 3 747 -45.7% Active reinsurance 1 400 12 768 -89.0% Other 7 622 7 635 -0.2% Euroins Romania 139 405 117 527 18.6% Motor Hull 984 1 178 -16.5% Motor TPL 133 445 111 880 19.3% Property 1 485 1 396 6.4% Other 3 491 3 072 13.6% Euroins Macedonia 6 580 6 783 -3.0% Motor Hull 554 540 2.4% Motor TPL 4 384 4 426 -0.9% Property 615 590 4.2% Other 1 027 1 227 -16.2% Euroins (HDI) Ukraine 523 - - Motor Hull 128 - - Motor TPL 142 - - Property (102) - - Other 355 - - Euroins Life 723 661 9.5% EIG TOTAL GWP 185 550 169 646 9.38%

Source: EIG

AVTO UNION

The automotive holding AVTO UNION registered 21.7% growth with total of 269 sales of new PC and LCV for September, 2016 compared to269 units realized in September, 2015. The highest number of sales for the month was realized by Espace Auto (Renault, Dacia) with 95 units, followed by Star Motors (Mazda) with 74 units, Auto Italia (Alfa Romeo, Fiat, Lancia, Maserati) with 50 units, Nissan Sofia (Nissan) - 33 units and Bulvaria (Opel, Chevrolet) with 17 units. (Table 3.)

Table 3.
Avto Union	September
Company	Units	Units	Change (%)
	09'16	09'15
AUTO ITALIA	50	32	56.3%
ALFA ROMEО,FIAT, LANCIA, MASERATI
NISSAN SOFIA	33	18	83.3%
NISSAN
ESPACE AUTO	95	77	23.4%
RENAULT, DACIA
BULVARIA	17	36	-52.8%
OPEL, CHEVROLET
STAR MOTORS	74	58	27.6%
MAZDA
TOTAL	269	221	21.7%
			Source: Avto Union

For the first nine months of 2016 the automotive division of Eurohold registered 0.8% growth with 2816 sales of new PC and LCV compared to 2793 units for January-September 2015, according to preliminary data (Table 4.).

Table 4.
Avto Union	January-September (YTD)
Company	Units	Units	Change (%)
	01-09'16	01-09'15
AUTO ITALIA	339	265	27.9%
ALFA ROMEО,FIAT, LANCIA, MASERATI
NISSAN SOFIA	266	304	-12.5%
NISSAN
ESPACE AUTO	1489	1431	4.1%
RENAULT, DACIA
BULVARIA	212	371	-42.9%
OPEL, CHEVROLET
STAR MOTORS	510	422	20.9%
MAZDA
TOTAL	2816	2793	0.8%

Source: Avto Union