Financial Express (Holdings) Limited (“we”, “our”, “us” and derivatives) are committed to protecting and respecting your privacy. This Privacy Policy, together with our Terms of Use, sets out the basis on which any personal data that we collect from you, or that you provide to us, will be processed by us relating to your use of any of the below websites (“sites”).


For the purposes of the Data Protection Act 1998, the data controller is Trustnet Limited of 2nd Floor, Golden House, 30 Great Pulteney Street, London, W1F 9NN. Our nominated representative for the purpose of this Act is Kirsty Witter.


We collect information about you when you register with us or use any of our websites / services. Part of the registration process may include entering personal details & details of your investments.

We may collect information about your computer, including where available your operating system, browser version, domain name and IP address and details of the website that you came from, in order to improve this site.

You confirm that all information you supply is accurate.


In order to provide personalised services to and analyse site traffic, we may use a cookie file which is stored on your browser or the hard drive of your computer. Some of the cookies we use are essential for the sites to operate and may be used to deliver you different content, depending on the type of investor you are.

You can block cookies by activating the setting on your browser which allows you to refuse the setting of all or some cookies. However, if you use your browser settings to block all cookies (including essential cookies) you may not be able to access all or part of our sites. Unless you have adjusted your browser setting so that it will refuse cookies, our system will issue cookies as soon as you visit our sites.


We store and use information you provide as follows:

  • to present content effectively;
  • to provide you with information, products or services that you request from us or which may interest you, tailored to your specific interests, where you have consented to be contacted for such purposes;
  • to carry out our obligations arising from any contracts between you and us;
  • to enable you to participate in interactive features of our service, when you choose to do so;
  • to notify you about changes to our service;
  • to improve our content by tracking group information that describes the habits, usage, patterns and demographics of our customers.

We may also send you emails to provide information and keep you up to date with developments on our sites. It is our policy to have instructions on how to unsubscribe so that you will not receive any future e-mails. You can change your e-mail address at any time.

In order to provide support on the usage of our tools, our support team need access to all information provided in relation to the tool.

We will not disclose your name, email address or postal address or any data that could identify you to any third party without first receiving your permission.

However, you agree that we may disclose to any regulatory authority to which we are subject and to any investment exchange on which we may deal or to its related clearing house (or to investigators, inspectors or agents appointed by them), or to any person empowered to require such information by or under any legal enactment, any information they may request or require relating to you, or if relevant, any of your clients.

You agree that we may pass on information obtained under Money Laundering legislation as we consider necessary to comply with reporting requirements under such legislation.


We want to ensure that the personal information we hold about you is accurate and up to date. You may ask us to correct or remove information that is inaccurate.

You have the right under data protection legislation to access information held about you. If you wish to receive a copy of any personal information we hold, please write to us at 3rd Floor, Hollywood House, Church Street East, Woking, GU21 6HJ. Any access request may be subject to a fee of £10 to meet our costs in providing you with details of the information we hold about you.


The data that we collect from you may be transferred to, and stored at, a destination outside the European Economic Area (“EEA”). It may be processed by staff operating outside the EEA who work for us or for one of our suppliers. Such staff may be engaged in, amongst other things, the provision of support services. By submitting your personal data, you agree to this transfer, storing and processing. We will take all steps reasonably necessary, including the use of encryption, to ensure that your data is treated securely and in accordance with this privacy policy.

Unfortunately, the transmission of information via the internet is not completely secure. Although we will do our best to protect your personal data, we cannot guarantee the security of your data transmitted to our sites; any transmission is at your own risk. You will not hold us responsible for any breach of security unless we have been negligent or in wilful default.


Any changes we make to our privacy policy in the future will be posted on this page and, where appropriate, notified to you by e-mail.


Our sites contain links to other websites. If you follow a link to any of these websites, please note that these websites have their own privacy policies and that we do not accept any responsibility or liability for these policies. Please check these policies before you submit any personal data to these websites.


If you want more information or have any questions or comments relating to our privacy policy please email [email protected] in the first instance.

 Information  X 
Enter a valid email address

Aviva PLC (AV.)

  Print      Mail a friend       Annual reports

Friday 21 December, 2012

Aviva PLC

Aviva to sell Aviva USA for US$1.8 billion

RNS Number : 1410U
Aviva PLC
21 December 2012


The following amendment has been made to the 'Aviva to sell Aviva USA for US$1.8 billion' announcement released on 21/12/12 at 10.04 under RNS No 1303U.

The Announcement did not have the footnotes which have now been included. 

All other details remain unchanged.

The full amended text is shown below.




21 December 2012




Aviva plc ("Aviva") announces that it has agreed to sell Aviva USA Corporation, its US life and annuities business and related asset management operations ("Aviva USA"), to Athene Holding Ltd ("Athene"), for US$1.8 billion (£1.1 billion)1.  Aviva will retain the North American asset management activities of Aviva Investors that are focused on third parties, and Aviva plc assets outside of the USA.2


The transaction represents significant further progress in narrowing the group's focus on businesses and markets where Aviva enjoys leadership positions and is able to generate attractive returns with a high probability of success. The transaction will increase Aviva's pro forma economic capital surplus coverage ratio by 17 percentage points to 165%3 (or the economic capital surplus by approximately £1.1 billion) placing the group within its target range of 160-175% of required capital (FY11: 130%). The sale will reduce the group's credit risk exposure by approximately 25%, and also reduce the sensitivity of the group's economic capital results to credit spread movements by approximately 30%4.


John McFarlane, chairman of Aviva plc, said:


"The sale of Aviva USA is an important step forward in the delivery of our strategic plan. It considerably strengthens Aviva's financial position, increases group liquidity and improves our economic capital surplus whilst also reducing its volatility.

"The disposal of the US business, combined with the recent settlement with Bankia, represents a successful end to the year and sets us up well for 2013."


Aviva will receive sale proceeds of US$1.55 billion (£1.0 billion) in cash, after the repayment of external debt. Of this, an amount of up to $250 million may be received in the form of an interest-bearing vendor loan, repayable in cash within 12 months of completion. Cash proceeds will increase central group liquidity and will be used for general corporate purposes.


The transaction values Aviva USA at 7.9x 2011 US GAAP earnings5 and 0.6x US Statutory Capital 

Surplus at 30 June 2012. Had the transaction occurred at 30 September 2012, Aviva's IFRS net assets would have reduced by £2.3 billion to £9.3 billion, IFRS NAV per share would have reduced from 397p to 318p
, and MCEV NAV would have increased by £0.2 billion.

Aviva USA generated an IFRS operating profit6 of £223 million in 2011 and held £3.2 billion IFRS
net assets
7 and £39 billion IFRS total assets as at 30 June 2012.

Athene Holding is a life insurance holding company focused principally on the retirement market and whose business, through its subsidiaries, is focused primarily on issuing and reinsuring fixed and equity indexed annuities.

Completion, which is subject to regulatory approvals, is expected in 2013.

Goldman, Sachs & Co. and Morgan Stanley and Co. International plc acted as financial advisers to Aviva.






Nigel Prideaux                                                                         +44 (0)20 7662 0215

Andrew Reid                                                                           +44 (0)20 7662 3131




Charles Barrows                                                                     +44 (0)20 7662 8115


Notes to editors:


Impact of this transaction

·     The group's pro forma IGD solvency surplus would have decreased by £0.3 billion had the sale taken place on 30 September, however this is offset by a £0.4 billion increase on the transfer of Aseval to Bankia, announced on 18 December 2012. Taking into account both these transactions the group's pro forma IGD solvency ratio would have been 172% compared to 165% at 30 September 2012.

·     Had the transaction occurred at 30 September 2012, the accounting loss on sale would have been £1.2 billion.

·     The accounting loss on sale reflects the excess of Aviva USA IFRS NAV over the proceeds received, offset by certain unrealised gains which are required to be recognised in the group income statement upon sale. Previously these gains had been recognised in equity only.


About Aviva USA

·     Aviva USA is a provider of indexed life insurance and indexed annuities with more than 930,000 customers and employs 1,800 people.

·     In July 2006, Aviva acquired AmerUs Group Co for $69 per share in cash, valuing AmerUs at approximately $2.9 billion (£1.6 billion), Aviva also assumed approximately $700 million (£400 million) of AmerUs debt and preferred stock. 

·     Aviva USA is headquartered in West Des Moines, Iowa and has offices in Topeka, Kansas and Melville, New York.

·     Aviva USA's CEO is Christopher Littlefield, and CFO is Brenda Cushing.


About Aviva Investors North America

·     Aviva Investors is the global asset management business of Aviva.

·     As of 30 September 2012, Aviva Investors North America had $82 billion in assets under management and 247 employees in Chicago, New York, Boston, Louisville and Toronto.


About Aviva

·     Aviva provides 43 million customers with insurance, savings and investment products.

·     We are the UK's largest insurer and one of Europe's leading providers of life and general insurance.

·     We combine strong life insurance, general insurance and asset management businesses under one powerful brand.

·     We are committed to serving our customers well in order to build a stronger, sustainable business, which makes a positive contribution to society, and for which our people are proud to work.

·     The Aviva media centre at includes images, company and product information and a news release archive

·    For broadcast-standard video, please visit   Follow us on twitter: 

1 Headline price equates to cash payment of $1,550m plus retirement of an external loan financing agreement of $257m. Total US dollar headline price is converted to pounds sterling at £1/$1.62.

2 The US-based asset management operations of Aviva Investors, which manage the funds of Aviva USA, will form part of the transaction. Following the acquisition by Athene Holding, the associated funds will be transferred to Athene Holding. The asset management operations of Aviva USA had assets under management of £38 billion at 30 June 2012.

3 The estimated pro forma economic capital position as at 30 September 2012 includes the impact of the transfer of Aseval to Bankia, announced on 18 December 2012. The term 'economic capital' does not imply capital as required by regulators or other third parties.

4 Based on the Group's 30 September 2012 economic capital credit risk exposures.

5 Adjusted for loan interest to Aviva

6 Pre-tax and after adjusting for the perimeter of the transaction, which includes the retention of Aviva Investors' US-based third party asset management business by Aviva.

7 £3.2bn represents the net assets of the business including the shareholder loan.

This information is provided by RNS
The company news service from the London Stock Exchange

a d v e r t i s e m e n t