Gulf Insurance Group — Earnings Release 2011

Oct 19, 2011

AXA Cooperative announces its preliminary financial results for the period ended on September 30, 2011 ( Months) (Continuo 2)

8250 · 19/10/2011 10:09:26 · Announcement #23075 · View on Saudi Exchange

AXA Cooperative announces its preliminary financial results for the period ended on September 30, 2011 ( Months) (Continuo 2)

12.Loss for the third quarter ended September 30, 2011 has decreased compared to same quarter of the previous year. There has been an increased in net earned premium of 42,789 thousand riyals compared to the same period of the previous year. The company achieved better results in accident and liability, motor and marine segments during the quarter which are offset by higher loss ratio in property and health segments during the quarter. The company achieved profits in previous quarter ended June 30, 2010 due higher earned premium compared to current quarter.

Loss for the nine months period ended September 30, 2011 has decreased compared to same period of the previous year which is mainly due to overall increase in operations of the Company. Net earned premium increased by 218,250 thousand riyals. Company achieved better operating results in accident and liability, motor and marine segment, however the profits in these segments offset by losses in property and medical segments.

Emphasis of matter was included by the auditors which drew attention to the note 2 of the financial statements. The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS) and not in accordance with standards issued by the Saudi Organization for Certified Accountants and the Company stresses that there is no financial impact on the financial statements as a result of preparation, in accordance with IFRS. Further attention is drawn to note 1, that the company is in the process of acquiring an insurance portfolio from AXA Insurance (Saudi Arabia) B.S.C (c). The acquisition and the value of such portfolio are subject to SAMA and shareholders approval and shall be effective January 1, 2009. Accordingly, the net results related to such portfolio subsequent to January 1, 2009 will also be transferred to the Company.

The Capital Market Authority and Saudi Exchange take no responsibility for the contents of this disclosure, make no representations as to its accuracy or completeness, and expressly disclaim any liability whatsoever for any loss arising from, or incurred in reliance upon, any part of this disclosure, and the issuer accepts full responsibility for the accuracy of the information contained in it and confirms, having made all reasonable enquiries, that to the best of their knowledge and belief, there are no other facts or information the omission of which would make the disclosure misleading, incomplete or inaccurate.