La Mondiale · • La Mondiale has higher-than-domestic-peers' premium derived from unit-linked...

1

La Mondiale FULL YEAR 2016 EARNINGS

April 2017

2

Cautionary note

Certain statements contained herein may be forward-looking statements including, but not limited to, statements that are predictions of or indicate future events, trends, plans or objectives. Undue reliance should not be placed on such statements because, by their nature, they are subject to known and unknown risks and uncertainties and can be affected by other factors that could cause actual results and La Mondiale’s plan and objectives to differ materially from those expressed or implied in the forward looking statements. Please refer to “La Mondiale Rapport Financier 2016” for a description of certain important factors, risks and uncertainties that may affect La Mondiale’s business and/or results of operations. La Mondiale undertakes no obligation to publicly update or revise any of these forward-looking statements, whether to reflect new information, future events or circumstances or otherwise.

Unless otherwise specified, financial statements are calculated in accordance with IFRS as adopted by the European Union.

All Solvency 2 figures related to FY 2016 are estimated.

La Mondiale FY 2016 earnings

3

Contents

Key figures page 6

Business activity page 12

Financial performance page 18

Invested assets page 23

Appendix page 40


Highlights page 4

Solvency and Capital page 30

4

Highlights

AG2R LA MONDIALE and CNP Assurances, two leading personal insurance providers in France, signed in December 2015 a partnership in the field of private pensions to become the leading company retirement savings provider. The partnership has taken effect the 1st of April 2016 and results in a 40% investment by CNP Assurances in Arial Assurance, a subsidiary of AG2R LA MONDIALE dedicated to company retirement savings. The corporate governance of this joint venture, renamed ARIAL CNP ASSURANCES, will be balanced between both Groups.

January 2017, 19th, La Mondiale has launched issuance of a new subordinated debt denominated in USD. The 20th of January 2017, La Mondiale issued $ 530 millions (€499 mn) Reset Subordinated Notes from investors European and Asian countries, both institutional and Banks.


La Mondiale long term ratings A- / stable

• AG2R LA MONDIALE has a diversified product offer backed by multi-branch approach;

• La Mondiale (AG2R LA MONDIALE’s core entity) has a strong brand and leading positions in high-net-worth individual savings, self-employed, and group pension contract segments;

• La Mondiale has higher-than-domestic-peers' premium derived from unit-linked life policies;

• Integration of Réunica provides the group a position as the No. 3 health insurance provider and No. 2 provider for long-term care in France;

• AG2R has begun to reduce the high loss ratios in group protection through portfolio restructuring and prices increases;

• The group’s more cautious risk management is helping to build buffers to mitigate the impact of low interest rates (lower appetite for volume growth and strengthened policyholder bonus reserves).

On nov 18, 2016 Standard & Poor’s maintained its long-term counterparty credit and financial strength ratings on SGAM AG2R LA MONDIALE at A-. The stable outlook on AG2R LA MONDIALE's subgroups (AG2R Réunica Prévoyance and La Mondiale) indicates S&P expect both entities to become a full prudentially regulated group under Solvency 2 and maintain group-wide consolidated capital adequacy.

A-, outlook stable

La Mondiale FY 2016 earnings 5

KEY FIGURES

AG2R LA MONDIALE’s organisation

Partial solidarity up to 30% of each entity’s Equity

Savings and

Pensions

Protection and

Health

2016 premiums: €6.5bn 2016 premiums: €3.5bn 2016 premiums: €18.1bn

La Mondiale: €1.6bn

La Mondiale Partenaire: €2.2bn

La Mondiale Europartner: €2.1bn

Arial CNP assurances: €0.7bn

AG2R Réunica Prévoyance

Arpege Prévoyance

ViaSanté Mutuelle

Réunica Mutuelle

Prima

AG.Mut

AG2R Retraite Agirc

AG2R Retraite Arrco

Servicing on behalf

of the public pension system

for employees

LA MONDIALE

Common sharing of resources

A Group collecting €28.1bn premium in 2016

SGAM with €5.7bn equity and 213% S2 ratio as of 12/31/2016

SGAM AG2R LA MONDIALE

Mandatory Additional

Pension

Scheme


La Mondiale: Company overview • Founded in 1905

• French Mutual Life Insurance Company

• Strong positions on private wealth management market, Group and Self Employed Retirement Plans

• Multi channel distribution networks

• Long record of sustained growth

• Accessing capital markets since 1989

• Strong risk management and well diversified asset allocation

• La Mondiale and AG2R Réunica Prévoyance are member of a mutual insurance group through a Société de Groupe d’Assurance Mutuelle (Sgam). Within this framework, all members are committed with each others to a financial solidarity (30%).


60%*

100%

100%

30%

* consolidated through use of the equity method as of 1st of April 2016

financial

solidarity

up to


9

FY 2016 Summary


Steered decrease of premiums

€ 6.6 billions

(-2.6%)

Premiums UL / GA mix above the market

29% / 71%

High level of policyholder surplus

reserve

3.36% of reserves as of 31/12/2016

Strong FY2016 La Mondiale net income

€ 288 millions

Increase of La Mondiale group’s

equity capital

€ 3.5 billions (+13%)

La Mondiale (solo) S2 ratio

256%

(143% excluding transitional rules)


S2 ratio

213% (131% excluding transitional

rules)

10

FY 2016 Key figures (1/2)


(1) Financing debt / total IFRS equity

(2) On technical provisions

In € million FY 2014 FY 2015 FY 2016FY16 /

FY15

Premiums 7,870 6,790 6,611 -2.6%

Net Income 260 251 288 +15.0%

Total Equity 3,341 3,114 3,508 +12.7%

Gearing Ratio (1) 34.6% 37.0% 34.1% -3 pts

Technical Provisions 67,582 72,615 76,329 +5.1%

Total Balance Sheet 85,294 88,719 94,242 +6.2%

Number of employees 2,817 2,848 2,878 +1.1%

Solvency 2 ratio 248% 256% +8 pts

Solvency 2 ratio

excl. transitional rules (2) 135% 143% +8 pts

Solvency 2 ratio 196% 213% +17 pts

Solvency 2 ratio

excl. transitional rules (2) 120% 131% +11 ptsS

GA

MLA

MO

ND

IA

LE

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0

50

100

150

200

250

300

350

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

397%

313%

132%

233%204%

175%

389%

341%

540%

452%

141% 141% 132% 129% 130% 130%

136% 130% 126% 126%

248% 256%

135% 143%

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Regulatory S1 Ratio

Core S1 Ratio

S2 Ratio

S2 Ratio (excl. trans. rules)

Group’s equity capital (in € million) Net results (in € million)

Technical reserves (in € million) Solvency Ratio La Mondiale Standalone


FY 2016 Key figures (2/2)

11

BUSINESS ACTIVITY

13

Business activity

Premiums : -2.6% compared to FY 2015 especially due to : a steered decline of G/A savings (-4.2%) a strong UL/GA mix (stable compared to 2015) an increase of pensions premiums (+5.6%)

Lapse : stability of the ratio compared to FY 2015 ; 1 point below the French market* Net inflows : -10% compared to FY 2015 with a steady UL/GA mix

G/A 80% 71% 71% UL 20% 29% 29%

G/A 72% 39% 42% UL 28% 61% 58%

Insurance lapse ratio

Premiums (in € mn)

Net inflows (including arbitrages, in € mn)

La Mondiale FY 2016 earnings * France (Source : Fédération Française de l’Assurance)

7,870

6,790 6,611

5,780

4,753 4,497

1,899 1,855 1,960

FY 2014 FY 2015 FY 2016

Total

Savings

Pension

6.2% 6.2% 5.9%

FY 2014 FY 2015 FY 2016

3,898

2,448 2,198 2,798

966 924 1,101

1,482 1,274

FY 2014 FY 2015 FY 2016

Net Inflows

General account

Unit Linked

0

10

20

30

40

50

60

70

80

90Unit Linked

General account

14

Core businesses’ financial structure

Technical reserves : global growth by +5.1% General account : +4.2% Unit linked : +7.4%

Outperformance in general account (market*: +2.1%) ; unit linked in line (market*: +7.8%) In 2016 UL liabilities represent 30% of total liabilities (compared to 23% for the market*) New Business : decline by -2.5% compared to FY 2015, especially in savings (-4.5%). Strong increase (+10%) in group and individual pension.

Technical reserves by products €76.3bn

Outstanding technical reserves €76.3bn

New business breakdown (APE) €491mn

La Mondiale FY 2016 earnings * France + Luxembourg (Source : Fédération Française de l’Assurance and Commissariat aux assurances Luxembourg)

Retail Savings6%

Private Wealth Management

55%

Group Pension24%

Individual Pension

13%

Protection2%

Retail Savings2%

Private Wealth Management

63%

Group Pension12%

Individual Pension

22%

Protection1%

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

50,000

20062007200820092010201120122013201420152016

15

Private wealth and retail savings Premiums (in €mn)

Technical reserves (in €mn) La Mondiale premiums growth vs Market

Premiums : growth by -5.4% Private wealth management savings : -5.4% Retail savings : -5.7%

61% through domestic partnerships, 24% via international partnerships, 7% via brokers and 8% via direct distribution channel In a low interest rates environment, controlled decrease of premiums especially in private wealth management savings for G/A contracts Technical reserves : CAGR** of 7.3% since 2006

Index base 100 = 2008


** CAGR : Compound Annual Growth Rate

* France + Luxembourg (Source : Fédération Française de l’Assurance and Commissariat aux assurances Luxembourg)

80

100

120

140

160

180

200

2008 2009 2010 2011 2012 2013 2014 2015 2016

La Mondiale Life Market *

5,479 4,408 4,171

301

345 325

5,780

4,753 4,497

FY 2014 FY 2015 FY 2016

Private Wealth Management Retail Savings

0

2,000

4,000

6,000

8,000

10,000

12,000

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

16

Individual retirement plans

Premiums : growth by +1.5% in 2016 Slight underperformance in Self employed retirement plans -0,5% (French market* estimated -0,1%) with strong UL/GA mix (22%, +2 points compared to 2015) Outperformance in Popular retirement savings plan (PERP) +16% (French market estimated +6%)

Technical reserves :

Increase by +9.0% in 2016 CAGR of 12.4% since 2006

Market shares :

#1 in 2016 (#2 in 2015)

Self employed retirement plans market share in 2016

French Market Total estimated premiums :

2.7 €bn


Premiums (in €mn)

Technical reserves (in €mn)

* France (Source : Fédération Française de l’Assurance)

19.6%

19.6%

14.9%9.9%

5.6%

4.5%

3.5%

22.4%

Generali

#1La Mondiale

Axa

Swiss Life

Aviva

Groupama

BNP Paribas

Others

825 869 882

FY 2014 FY 2015 FY 2016

0

4,000

8,000

12,000

16,000

20,000

20062007200820092010201120122013201420152016

22.0%

17.9%

10.9%8.2%

6.5%

5.0%

4.7%

24.8%

Axa

#2La Mondiale

PredicaBNP Paribas Cardif

Generali

Sogecap

CNP

Others

17

Group supplementary pension

Group supplementary pension market share in 2015**

French Market Total estimated premiums :

€5.6bn


Premiums (in €mn)

Technical reserves (in €mn)

***

Premiums : Growth by +9.3% in 2016 High increase of UL/GA mix (+4 points compared to 2015) Outperformance of the French market (+6% estimated in 2016)

Technical reserves :

Increase by +5.5% in 2016 CAGR of 6.7% since 2006

* France (Source : Fédération Française de l’Assurance) ** 2016 non available *** without L.441

1,074 987

1,078

FY 2014 FY 2015 FY 2016

FINANCIAL PERFORMANCE

8.9%

4.7%

12.2%

19.4%

11.1%13.9%

8.1%9.0%

8.4% 9.3%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

19

Earnings and profitability

2016 net result : €288mn

Growth of the consolidated net result

Increase of policyholder surplus reserve (€203mn) Over the average net result of the past 7 years

Cumulated net results of €2,366mn since 2006, despite two financial crisis

2016 return on equity : 9.3%

Return on equity


Consolidated net results (in €mn)

Group’s equity capital (in €mn)

0

50

100

150

200

250

300

350

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0

500

1,000

1,500

2,000

2,500

3,000

3,500

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

20

Savings and pensions investment spreads

+247 bps +155 bps

Inforce business New business in 2016

Very low long term guaranteed rate, in line with financial market conditions

• Buffer of €1.3bn above minimum guaranteed rate

• Average reserves of €52.6bn

2.20% net of fees

* Weighted average based on statutory accounts


1.57%

0.21% 0.02%

Yield on Savings and Pensions fixed income assets

Savings and Pensions average guaranteed rate (1st year & 2nd year)

Savings and Pensions average guaranteed rate (after 2nd year)

3.32%

0.84%

1.36%

Profit-sharing

Savings and Pensions average guaranteed rate (mandatory)

Yield on total Savings and Pensions asset base*

21

Low average guaranteed rates


The average guaranteed rate decrease from 0.94% in 2015 to 0.84% in 2016.

€ bn

Liabilities with a gross guaranteed rate above 3.5%

35% 9%

2.1%

1.8%

1.5%

1.3%

0.84%

0

10

20

30

40

50

60

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0% guaranteed

btw 0% and 1%

btw 1% and 2.5%

btw 2.5% and 3.5%

btw 3.5% and 4.5%

higher than 4.5%

Average guaranteedrate

22

Significant loss absorption mechanism in its life contracts

* Savings and Pensions surplus reserve La Mondiale FY 2016 earnings

Consolidated Policyholder Surplus Reserves* Profit sharing (based on La Mondiale statutory accounts)

French life insurance savings have loss absorption mechanism that gives flexibility to manage policyholders yield through the cycle without impacting company profit

Policyholder Surplus Reserves

(PSR)

Net AssetIncome

& Technical

Profit

Profit Distributed to policyholders

Undistributed profit

Guarantee

Company result

Net AssetIncome

& Technical

Profit

Guarantee

Company result

Year N+1Year NYear N+2

Policyholder

Company

Policyholder Surplus Reserves

(PSR)


Profit Distributed to policyholders

Policyholder Surplus

Reserves(PSR)

Policyholder

Year N-1


Company

95% 95%

103%

98%100%

97% 96% 96% 97%99%

109%

91%

100%

94%92%

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

0.3 0.2

0.2 0.4 0.4 0.7 0.7

0.8

1.5 1.7 1.13%

0.58%0.73%

1.20%0.95%

1.75%1.58%

1.76%

3.09%3.36%

0.00%

1.00%

2.00%

3.00%

4.00%

0.0

0.5

1.0

1.5

2.0

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Profit-sharing reserve in % of insurance liabilities

INVESTED ASSETS

Bonds (*)€ 58.1 bn

85%Equities€ 5.7 bn

8%

Properties€ 2.8 bn

4%

Others€ 1.5 bn

2%

General account assets

€ 68.1 bn75%

Unit linked assets

€ 22.8 bn 25%

24

Assets : global growth by +6.6%

General account : +6.6% Unit linked : + 6.9%

Assets under management have grown significantly over the last decade at an average annual growth rate of +10% since 2006 Bonds represent 83% of General account in 2016 vs 72% in 2006

General account assets allocation €68.1bn

Outstanding assets €90.9bn

Historical asset allocation General Account


FY 2016 asset allocation

(*)including repo (sale and repurchase agreement)

0 bn

5 bn

10 bn

15 bn

20 bn

25 bn

30 bn

35 bn

40 bn

45 bn

50 bn

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

Property

Equity

Bonds

25 La Mondiale FY 2016 earnings

FY 2016 cash flow allocation

87%

3%10%

Bonds

Properties

Equity

Investments in 2016 Bonds Investments by rating

Bonds : 15% of investments in sovereign bonds, 33% in financials bonds and 33% in corporate bonds Properties : mostly in Paris and Paris region’s offices

AAA 8%

AA 29%

A 43%

BBB 16%

Below invest. grade 0%

Non rated 3%

AAA14%

AA+4%

AA26%

AA-12%

A+7%

A10%

A-9%

BBB+11%

Others7%

26

Total Bond exposure is at €53.1bn (excluding mutual funds and repo) Limited exposure to risky investments with as less than 18% of the investments currently rated BBB+ or below An estimated 15-year liabilities duration is a key strategic element of our asset management policy

FY 2016 bonds allocation Credit Exposure by Credit Rating

Portfolio by maturity band Credit Exposure by Issuer Type


A 26%

BBB 15%

AA 42%

AAA 14%

Sovereign28%

Guaranteed government

bonds3%

Supra / Agencies

9%Covered bonds11%

Senior Financials

16%

Sub Financials

6%

Other corporates

27%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0%

< 1 year > 1 year to3 years

> 3 to 5years

> 5 to 7years

> 7 to 10years

> 10 to 30years

France67%

Peripheral15%

Belgium10%

Austria3%

Others5%

27

FY 2016 bonds allocation – Sovereign exposure Sovereign bond exposure

Peripheral countries exposure Unrealised capital gains (in €mn)

Total Sovereign exposure is at €14.9bn Sovereign exposure is less than 28% of total bonds exposure Peripheral countries exposure is 15% of this sovereign bucket, hence only 4.1% of the total investments


Spain48%

Ireland24%

Italy21%

Portugal7%

Greece0%

1,985

2,382

2015 2016

0.0% 5.0% 10.0% 15.0% 20.0% 25.0%

Technology

Local Government.

TMT

Commodities

Services

Oil and Gas

Health

Industry

Financial Instit.

Consumer Goods

La Mondiale Equity

DJ Stoxx 50

28

FY 2016 equity investment allocation

Total Equities exposure is €5.7bn, including €1.2bn through mutual funds 2016 performance at 6.5%, after 7.6% performance in 2015. An Equity portfolio well diversified by geography and sector A focus on large liquid Equity stocks traded on the main exchange markets


Equity investment performance

Geographical breakdown (excl. mutual funds)

Breakdown by sector

France60%

U.K.9%

Germany9%

Switzerland11%

Other11%

60

70

80

90

100

110

120

130

140

150

160

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

La Mondiale Equity DJ Stoxx 50 (incl. dividends)

96%

2%

2%

Paris and Parisregion's offices

Other offices in France

Paris and Parisregion's homes

29

FY 2016 property allocation Geographic breakdown

(market value)

Annual revenue (€ per sq.m)

Total Property exposure is at €2.8bn (fair value : €4.0bn) La Mondiale property assets represent 483,300 sq.m. and are mainly offices located in the center of or in Western Paris, i.e. only Prime Real Estate Rental yields largely outperforms the fixed income markets even though they have been trending slightly downwards recently From 2015, La Mondiale property performance outperforms the IPD index due to the successful development and restructuration strategy driven before.


Total performance

-5.0%

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

La Mondiale Property

IPD (french market)

0

50

100

150

200

250

300

350

400

450

500

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

SOLVENCY AND CAPITAL

31 La Mondiale FY 2016 earnings

2016 Solvency Key Figures

(1) Including debt issued in January 2017 (2) On technical provisions Solvency 2 figures related to FY 2016 are estimated.

Strong net results

Policyholder profit distribution policy

Steered G/A net inflows

Improved Collective Health/Protection

recurring loss ratio

Decrease of long term interest rates

Loss of margin in Individual Health

due to regulatory changes

Main favorable actions Main unfavorable drivers

FY 2015 FY 2016FY16 /

FY152016

(1)

Solvency 2 ratio 248% 256% +8 pts 271%

Solvency 2 ratio

excl. transitional rules (2) 135% 143% +8 pts 158%

Solvency 2 ratio 196% 213% +17 pts 223%

Solvency 2 ratio

excl. transitional rules (2) 120% 131% +11 pts 141%

SG

AM

LA

MO

ND

IA

LE

(so

lo)

196%

120%

186%

123%

213%

131%

223%

141%

Solvency 2 ratio Solvency 2 ratio - excl. transitional rules*

FY 2015

HY 2016

FY 2016

2016proforma


Solvency 2 – Sgam SCR coverage ratio

The 2016 year end Solvency 2 ratio of SGAM AG2R LA MONDIALE is 2.2 times the regulatory minimum (213%). Excluding transitional rules*, the ratio is 131% : +11 points compared to 2015. Including the $530 millions debt issued in January 2017, the core Solvency 2 ratio reaches 141%.

* On technical provisions. Solvency 2 figures related to FY 2016 are estimated.

32

+10 pts

+11 pts

9,88110,629

6,0466,504

5,039 4,983

2015 2016

Eligible own funds

Eligible own funds -excl. transitionalrules*

SCR


Solvency 2 – Sgam SCR coverage ratio

196% 213%

120% 131%

33

223%

141%

+10 points including

debt issued in

January 2017

+10 pts

* On technical provisions. Solvency 2 figures related to FY 2016 are estimated.

As of 12/31/2016, excluding transitional rules* : the part of Tier 1 (unrestricted and restricted) in Own Funds

represents 98%

Eligible Tier 1 Own Funds covers 209% of SCR

AG2R LA MONDIALE Solvency 2 dynamics


AG2R LA MONDIALE intends to reach a target of 150% with the Standard Formula* by 2020.

* excluding technical reserves transitional rules 34

Issuance of dated subordinated notes (done in January 2017) Issuance of large envelope of Mutual Certificates Steered G/A net inflows and increase of UL/GA mix Lower the minimum guaranteed rate on savings/pension new premiums Decrease of the expense ratio within 3 years Improved Health/Protection loss ratio Optimized asset allocation

Main actions to reach the target

125%129%

129%

137%141%

145%

153%

166%

120%

131%

150%

196%

220%

0

0,2

0,4

0,6

0,8

1

1,2

100%

120%

140%

160%

180%

200%

220%

2008 2009 2010 2011 2012 2013 2014 2015within S1

2015within S2

2016 2020 2032end of transitional period

2016 S2 ratio including transitionnal measures

Core S1 ratio

Impact oftechnical

transitional rule

S2 ratio

Actual future impact of technicaltransitionnal rule will be the addition of amortized initial € amount of transition

to the actual future € SCR

141%

7,833

8,693

4,2734,864

3,159 3,401

2015 2016

Eligible own funds

Eligible own funds -excl. transitionalrules*

SCR


Solvency 2 – La Mondiale SCR coverage ratio (solo)

The 2016 year end Solvency 2 ratio of La Mondiale is more than 2.5 times the regulatory minimum (256%). Excluding transitional rules*, the ratio is 143% : +8 points compared to 2015 despite a difficult financial environment (in particular ultra-low rates…). Surplus capital from €1.1bn at FY 2015 to €1.5bn at FY 2016. Including the $530 millions debt issued in January 2017, the core Solvency 2 ratio reaches 158%.

248%

256%

135% 143%

* On technical provisions 35

271%

158%

+15 points including

debt issued in

January 2017

+15 pts

25%

25%16%

32%

2%

Interest rate risk Equity risk

Property risk Spread risk

Currency risk

73%

4%

17%

0% 6%

Market risk

Counterparty default risk

Life underwriting risk

Health underwriting risk

Operational risk


Solvency 2 – La Mondiale breakdown of SCR (solo)

SCR (as of 12/31/2016)

Breakdown of market risk

36

14% of diversification

benefit (1)

(1) Diversification benefit = (sum of net SCR excluding Operational risk SCR - net BSCR) / sum of net SCR excluding Operational risk SCR

3,114

3,508

+288

+92 +12 +2

2015 FY 2016net income

Fair valueadjustment

Mutualcertificates

Otherimpacts

2016

FY 2016 Equity (La Mondiale consolidated)

Equity(in € mn)

+ €394mn Equity +12.7% compared to FY 2015 FY 2016 net result € +288mn Fair value adjustment € +92mn Due to the decrease of long term rates Mutual certificates € +12mn Other impacts € +2mn


Equity sensitivities (in € mn)

-249

+278

-78

Interest rate

+100 bps

Interest rate

-100 bps

Equities-20%

37

38

Subordinated redemption profile

Maturity breakdown


Subordinated Financial debt at FY2016 : €1,736mn

€ 191 millions of EUR dated debt with a 1st call option in 2024, Tier2 until 2026

€ 569 millions of perpetual debt denominated in USD, with a 1st call option in 2019, restricted T1 until 2026 Fully hedged until 2019

€ 768 millions of EUR perpetual debt, with a 1st call option in 2025, restricted Tier1 until 2026, Tier2 after

€ 207 millions of other EUR perpetual debts, mostly outstanding amounts remaining from past liability management operations, Restricted Tier1 until 2026

Operations in 2017 In January 2017 20th, La Mondiale issued $ 530 millions (€499mn) Reset Subordinated Notes, with a 1st call option in 2027.

569

768

197

499

10

191

2017 […] 2019 […] 2024 2025 2026 2027 […] Perpetual

Dated subordinated notes

Undated subordinated notes

39

Price evolution of main bond issues


Despite recent adverse conditions, still good performances for recent issuances

90

95

100

105

110

115

120

125

Apr-13 Oct-13 Apr-14 Oct-14 Apr-15 Oct-15 Apr-16 Oct-16 Apr-17

TSR EUR 2044XS0919410828

PERP USD 2019XS0919401751

PERP EUR 2025XS1155697243

TSR USD 2047XS1556395710

APPENDIX

41

Overview of La Mondiale Balance sheet (consolidated, IFRS)


€mio

TOTAL ASSETS 85,294 88,719 94,242 +6.2%

Intangible assets 51 68 63 -7.1%

ow. Goodwill 40 56 54 -3.0%

Insurance investments 62,895 63,898 68,086 +6.6%

Unit Linked investments 19,276 21,360 22,829 +6.9%

Others assets 2,857 3,096 2,801 -9.5%

Cash and cash equivalent 215 298 462 +55.2%

€mio

TOTAL LIABILITIES 85,294 88,719 94,242 +6.2%

Equity Group Share 2,971 3,104 3,498 +12.7%

Minority Interests 370 9 10 +0.7%

Total Equity 3,341 3,114 3,508 +12.7%

Financing debt 1,543 1,599 1,590 -0.6%

Insurance and financial liabilities 74,346 77,685 82,224 +5.8%

Other liabilities 6,065 6,321 6,920 +9.5%

FY 2014

FY 2016

FY 2016

%Change

FY 2016/

FY 2015

FY 2014

%Change

FY 2016/

FY 2015

FY 2015

FY 2015

42

Overview of La Mondiale P&L account (consolidated, IFRS)


€mio

Revenue 7,870 6,790 6,611 -2.6%

Financial Products 2,473 3,431 2,381 -30.6%

Others 1,959 798 839 +5.2%

Current operating income 12,302 11,018 9,831 -10.8%

Current operating expenses -11,918 -10,653 -9,470 -11.1%

Operating Income 384 365 360 -1.2%

CONSOLIDATED NET RESULT 260 251 288 +15.0%

o.w Group share 234 251 288 +15.1%

o.w Minority Interest 26 0 0 -99.4%

FY 2014 FY 2016

%Change

FY 2016/

FY 2015

FY 2015

43

Management

André Renaudin

Chief Executive Officer

David Simon

Deputy Chief Executive Officer

(Finances, Investments, Risks)

La Mondiale 104-110, boulevard Haussmann, 75008 Paris - France

Investor Relations - Contact: [email protected]

http://www.ag2rlamondiale.fr

Contact details

Hélène Denis

Chief Financial & Risk Officer

[email protected]

+33 1 76 60 87 38

Jean-Louis Charles

Chief Investment Officer

[email protected]

+33 1 76 60 99 91

mailto:[email protected]

http://www.ag2rlamondiale.fr/

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