30 March 2001 | Translation of the German ad-hoc announcement
Munich Re key provisional figures for 2000: Record profit for the year of EUR 1.75bn / Adjusted to take account of special items, the result for the year rose by 50% / The Board of Management and Supervisory Board anticipate a significantly higher dividend of EUR 1.25 per share / Successful round of renewals 2001 in reinsurance / High level of growth in primary insurance through acquisitions / Once again top ratings from rating agencies
Munich Re announces its key provisional figures in the
company accounts for the business year 2000:
The Munich Re Group – reinsurance, primary insurance, asset management – grew strongly in 2000. Gross premium income rose by 13.5% to EUR 31.1bn. The operating result of the Group (as in the previous year: before taxes, amortization of goodwill and minority interests) went up from EUR 1.8bn to EUR 2.6bn. The profit for the year increased by 54.5% to EUR 1.75bn; earnings per share amount to EUR 9.89, compared with EUR 6.45 last year. Two special items contributed towards substantially boosting the result for the year: the first-time consolidation of the special funds in line with the modified IAS Committee added EUR 180m, and the further lowering of the German corporation tax rate to 25% – after the fall in the previous year – added another EUR 320m. Even after adjustment to take account of these special items, the Group profit for the year was still up by no less than 50%.
Despite a difficult environment, Munich Re AG too was able to further raise its profit for the year. Some EUR 220m is to be taken from the balance sheet profit of EUR 441m to strengthen the reserves. The Supervisory Board and Board of Management will propose to shareholders at the AGM (on 18th July) that a dividend of EUR 1.25 (0.95 in the previous year) per share be paid. This being the eighth increase in dividend in ten years, Munich Re has thus raised the annual dividend amount since 1990 by 550%.
Details on reinsurance, primary insurance, asset management, outlook for 2001 and top ratings from rating agencies are contained in the press release which will be published immediately after this ad hoc announcement.
Munich, 30th March 2001
Munich Reinsurance Company
Board of Management