Article date: 8 October 2004
Norwich Union Life, Aviva plc’s UK life business, isholding a seminar today for investors and analysts commencing at10.30am UK time.
The seminar will be hosted by Gary Withers, chief executive ofNorwich Union Life and his management team.
The key points from the seminar are:
The UK long-term savings market is forecast to grow by around 8%compound from the end of 2004 to the end of 2007, but with thegrowth accelerating in 2006 and 2007.
Norwich Union Life is well placed to grow both sales and valuein this period with an emphasis in the near-term on extracting ahigher return from the business.
- Targeting an increase in internal rate of return (IRR) onnew business to 15% by 2007 (1H04: 12%)
- Estimated gross annualised cost savings of £130 million by2007 (from 2003 cost base) from re-modelling the businessincluding previously announced offshoring and outsourcingplans.
- Market share
- Scope to increase market share to 15-20% (1H04: 12%) in themedium term, but the focus will be profitable growth on ourterms.
- Highest awareness and most trusted in the UK lifesector.
- Top three position in all major productcategories.
- Strongest distribution network in the UK life sector
- Over 14% market share in the IFA sector
- Exclusive bancassurance relationship with The Royal Bank ofScotland Group and 19 building societies
- Retail relationship with Tesco
- Very well placed for new distribution models.
The presentation slides will be available at http://www.aviva.com/index.asp?PageID=46&year=&filter=business from10.30am UK time on Friday 8 October 2004.
A recording of the seminar will be available at http://www.aviva.com/index.asp?PageID=46&year=&filter=businessfrom midday Monday 11 October 2004.
Analysts / Investors:
Steve Riley, investor relations director +44 (0)20 7662 8115
James Matthews, head of investor relations +44 (0)20 7662 2137
Hayley Stimpson, director of external affairs +44 (0)20 76627544
Sue Winston, head of group media relations +44 (0)20 7662 8221
Notes to editors:
- Aviva is one of the leading providers of life and pensions toEurope with substantial positions in other markets around theworld, making it the world’s fifth-largest insurance groupbased on gross world-wide premiums
- Aviva’s principal business activities are long-termsavings, fund management and general insurance, with world-widepremium income and retail investment sales from continuingoperations of £30 billion and assets under management of more than£240 billion
- The Aviva media centre at www.aviva.com/media includesimages, company and product information and a news releasearchive.