Aegon Net Profit Falls 2%, Sees Challenging Economic
August 11 2011 - 1:24AM
Dow Jones News
Life insurer Aegon NV (AEG) Thursday reported a 2% drop in
second-quarter net profit, as the weaker dollar and financial
charges at its operations in the Netherlands and the U.K. hurt the
bottom line, adding that the current economic environment poses
serious challenges.
Aegon, which generates the bulk of its earnings in the U.S.
through its Transamerica unit, said net profit fell to EUR403
million from EUR413 million a year ago.
The company, which in June fully repaid the EUR3 billion state
aid it received during the financial crisis, said earnings were hit
by costs to fix administrative problems at its operations in the
U.K., and charges to offset the negative impact of higher life
expectancy in the Netherlands.
The weakening dollar also had a EUR44 million negative
impact.
Chief Executive Alex Wynaendts said the economic environment
poses "considerable challenges." However, he said Aegon's balance
sheet is strong, due to a reduced exposure to equity and credit
markets and a "very limited" exposure to debt-troubled countries in
the euro-zone.
"At the same time, we are restructuring our businesses in our
key markets. These actions...support our confidence in Aegon's
growth prospects going forward," he said.
Aegon shares closed Wednesday at EUR2.97, having lost 44% in the
past three months amid a wider market slump.
- By Maarten van Tartwijk; Dow Jones Newswires; +31 20 571 5201;
maarten.vantartwijk@dowjones.com
Scor (PK) (USOTC:SCRYY)
Historical Stock Chart
From Jun 2024 to Jul 2024
Scor (PK) (USOTC:SCRYY)
Historical Stock Chart
From Jul 2023 to Jul 2024