STOCKHOLM, Sweden, July 23, 2002 (PRIMEZONE) -- Skandia, June sales SEK 8.9 billion(1):
Sales in June
Sales amounted to SEK 8.9 billion (12.4). Sales in May 2002 totalled SEK 11.1 billion. The lower level of sales compared with May 2002 is attributable to the uncertainty, volatility and continued decline in the world's stock markets, which are leading to lower demand for equity- related products, and exchange rate effects.
New sales of unit linked assurance through June New sales of unit linked assurance decreased by 21% through June compared with the same period in 2001.
Sales through June
Sales amounted to SEK 62.9 billion (75.6). Sales are reported exclusive of paid-in premiums to Skandia Liv, totalling SEK 6.9 billion (7.7). Of total sales, SEK 45.3 billion (51.3) pertains to unit linked assurance, SEK 15.5 billion (20.8) to mutual fund savings products, and SEK 1.3 billion (2.6) to direct sales of funds.
In the USA, sales of variable annuities through June amounted to SEK 17.9 billion (22.2), and sales of mutual funds totalled SEK 6.4 billion (13.5). Sales in the U.K. totalled SEK 21.2 billion (22.6). In Sweden, SkandiaLink's sales amounted to SEK 5.4 billion (6.1). Sales in markets outside the USA, the U.K. and Sweden amounted to SEK 10.4 billion (8.4).
Compared with the average exchange rates that applied for the full-year 2001, sales through June decreased by approximately 2% as a result of exchange rate movements.
According to the sensitivity analysis provided in connection with the interim report for the first quarter of 2002, a 1% increase/decrease in the stock indexes that are relevant for Skandia would affect the result by +/- SEK 188 million. Skandia's 2001 Annual Report, as well as earlier annual reports, includes a risk analysis as well as a sensitivity analysis for the company's business. On 31 July 2002 Skandia will release information on financial effects and their impact on the operating result during the first half of 2002. These financial effects were caused primarily by changes in the financial markets during the period.
The interim report for the second quarter will be released on 8 August 2002.
For further information, please contact:Harry Vos, Head of Investor Relations, tel +46-8-788 3643
Definitions of sales
Sales
Sales pertain to paid-in premiums and deposits in funds from Skandia's customers.
New sales
New sales pertain to single and regular premiums from unit linked contracts entered into in 2002, recalculated to full-year figures. According to industry practice, new sales are defined as regular premiums recalculated to full-year figures plus 1/10 of single premiums during the period.
Sales per month 2002 2001
January 10.6 12.6
February 9.7 11.7
March 10.7 13.6
April 11.9 12.9
May 11.1 12.4
June 8.9 12.4
Subtotal 62.9 75.6
July 10.6
August 9.6
September 8.3
October 9.5
November 9.4
December 10.8
Total 133.8
Comparison figures for 2001 have been recalculated to take into accountthe sale of parts of the mutual fund activities in Skandia AssetManagement to Den norske Bank.
U.K. pertains to businesses domiciled in the U.K. and thus also includes Royal Skandia, the branch offices in Finland and Norway, and sales of Critical Illness insurance in Germany.
Exchange 2002 2002 2002 2001 2001 2001 2001
rates 30 31 31 31 30 31 31
June May Mar. Dec. June May Mar.
SEK
EUR Closing 9.08 9.10 9.04 9.33 9.22 9.13 9.15
rate
EUR Average 9.14 9.16 9.14 9.29 9.08 9.04 9.00
rate
GBP Closing 14.01 14.25 4.75 15.32 15.31 15.29 14.82
rate
GBP Average 14.73 14.85 14.98 15.01 14.69 14.51 14.22
rate
USD Closing 9.19 9.74 10.36 10.58 10.89 10.77 10.39
rate
USD Average 10.18 10.34 10.51 10.43 10.26 10.03 9.74
rate
JPY Closing 0.077 0.078 0.078 0.081 0.087 0.091 0.083
rate
JPY Average 0.079 0.079 0.079 0.086 0.085 0.084 0.083
rate
1) All comparison figures pertain to the corresponding period a year
earlier, unless otherwise indicated.
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