Unipol — Interim / Quarterly Report 2017

Nov 10, 2017

9M17 CONSOLIDATED RESULTS UNIPOL AND UNIPOLSAI

Bologna, 10 November 2017

• •

The figures outlined in this document:

• include the effects of the restructuring of the banking business, approved by the Boards of Directors of Unipol and UnipolSai on 28 July 2017;
• do not include the effects of the streamlining of the Group insurance business as approved by the Boards of Unipol and UnipolSai on 29 June 2017, which is expected to be completed by the end of the current financial year, subject to IVASS authorizations.

PART1 CONSOLIDATED RESULTS

	9M16	9M17	9M17 a normalized
Consolidated pre-tax result	640	-292	733
Non-Life	470	539	539
Life	279	288	288
Banking	3	-941	4
Holding and other	-112	-178	-98
Consolidated net result	439	-229	551
Group net result	261	-377	374

	9M16	9M17	9M17 a normalized
Consolidated pre-tax result	605	601	707
Non-Life	381	369	455
Life	252	251	271
Other	-28	-19	-19
Consolidated net result	427	430	536
Group net result	409	405	511

^a Figures restated excluding the impact of the restructuring of the Group banking sector

PART 2 NON-LIFE INSURANCE BUSINESS

Charles Comments

Premiums by company	9M16	9M17
UnipolSai (group)	5,141	5,109
Linear	109	127
UniSalute	265	275
Arca	76	79
Unipol	5,590	5,590

Premiums by company	9M16	9M17
UnipolSai S.p.A.	4,951	4,870
Other companies	190	239
UnipolSai	5,141	5,109

Combined ratio net of reinsurance: operating expenses/earned premiums after reinsurance+claims charges/earned premiums after reinsurance

	9M16	9M17
Premium income	450	481
MV	124	138
Accident & Health	293	306
Other	32	37
CoR direct business	85.0%	85.6%
Expense ratio	17.1%	17.0%
Loss ratio (incl. OTI)	68.0%	68.6%
IAS net result	57	59

PART₂ LIFE. INSURANCE BUSINESS

Contraction Contraction

On the 29 June 2017, the BoD of UnipolSai approved the termination of the agreement with Banco BPM and the exercising of the put option on its stake in Popolare Vita

UnipolSai 3,899 2,674

60%

PART 3 BANKING BUSINESS

Gross operating income

2 -710 Net result

9M16 9M17

Unipol CET1 ratio ^b

CET1 ratio

Unipol Banca CET1 ratio

* The banking business is comprised of Unipol Banca, its subsidiaries and UnipolSai Investimenti SGR – Operating figures

^a 9M17 net of loans to the parent company

^bCET 1 ratio at Unipol level. CET 1 ratio at Finsoe level is equal to 13.5%

	FY16					9M17
	net loans	gross loans	coverage ratio		net loans	gross loans	coverage ratio
Bad loans (Sofferenze)	1,127	2,651	57%		596	2,969	80%
Unlikely to pay	767	958	20%		443	740	40%
Past due	145	151	3%		91	108	16%
Total NPEs	2,040	3,760	46%		1,131	3,816	70%

* The banking business is comprised of Unipol Banca, its subsidiaries and UnipolSai Investimenti SGR – Operating figures Including provisions made by Unipol S.p.A.

PART₄ INVESTMENTS

Contraction Contraction

INVESTMENTS $16$

FINANCIAL INVESTMENT YIELDS

UNIPOL

UNIPOLSAI

	9M17						9M17
		Non-Life		Life				Total			Non-Life		Life		Total
	€m	Yield%	€m	Yield%	€m	Yield%		€m	Yield%	€m	Yield%	€m	Yield%
Coupons and dividends	340	3.4%	999	3.4%	1,342	3.4%	Coupons and dividends	323	3.5%	848	3.5%	1,172	3.5%
Realized and unrealized gains/losses	108	1.1%	58	0.2%	167	0.4%	Realized and unrealized gains/losses	106	1.2%	64	0.3%	170	0.5%
Total	449	4.5%	1,057	3.6%	1,509	3.8%	Total	429	4.7%	913	3.8%	1,342	4.0%

^a No. 73 deeds as at 30 September 2017. b Including exchange variation and operations on RE funds and associated SPV Operating figures

PART 5 SOLVENCY

€bn

€bn

PART 6 APPENDIX

France of Britain

RANTA

	9M16	9M17	9M17 a normalized
Consolidated net result	439	-229	551
Group net result	261	-377	374
Premium income direct business	11,142	8,785
o/w Non-Life	5,590	5,590
o/w Life	5,552	3,195
Combined Ratio	95.0%	96.4%
	FY16	9M17	9M17 normalized

Total equity 8,134 7,480 8,260

Shareholder's equity 5,649 5,266 6,016

	9M16	9M17	9M17 a normalized
Consolidated net result	427	430	536
Group net result	409	405	511
Premium income direct business	9,040	7,783
o/w Non-Life	5,141	5,109
o/w Life	3,899	2,674
Combined Ratio	96.0%	97.3%
	FY16	9M17	9M17 normalized
Total equity	6,535	6,653	6,759
Shareholder's equity	6,156	6,338	6,444

^a Figures restated excluding the impacts of the restructuring of the Group banking sector

Restructuring of the banking business Streamlining of the insurance business

^aIncluding the shares held by Unipol Finance and Unipol Investment

^b O/w 27.49% is the subject of a put option granted by Unipol to UnipolSai and of a call option granted by UnipolSai to Unipol.

DISCLAIMER

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Maurizio Castellina, Senior Executive responsible for drawing up the corporate accounts of Unipol S.p.A. and Unipol Sai Assicurazioni S.p.A., declares, in accordance with Article 154-bis, para 2, of the 'Consolidated Finance Act', that the accounting information reported in this document corresponds to the document contents, books and accounting records.

This document has been prepared by Unipol S.p.A. and by UnipolSai Assicurazioni S.p.A. solely for information purposes in the context of the presentation of their 9M17 results. The content of this document does not constitute a recommendation in relation to any financial instruments issued by the companies of the Unipol Group, nor it constitutes or forms part of any offer or invitation to sell, or any solicitation to purchase any financial instruments issued by the companies of the Unipol Group, nor it may be relied upon for any investment decision by its addressees. Unless otherwise specified all the figures reported in this presentation are on a consolidated basis.

INVESTOR RELATIONS CONTACTS

Adriano Donati Head of Investor Relations Tel +39 051 507 7063

investor.relations@unipol.it investor.relations@unipolsai.it

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Giancarlo Lana	Tel +39 011 66 57 088
Fleonora Roncuzzi	Tel +39 051 507 7063
Carlo Latini	Tel +39 051 507 6333
Giuseppe Giuliani	Tel +39 051 507 7218
Silvia Tonioli	Tel +39 051 507 2371