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UNIQA Insurance Group AG / UNIQA launches investment programme of approximately EUR 500 million and expects significantly reduced results due tosaid investments and challenging conditions in 2016

Published: January 18, 2016; 14:01 · (Vindobona)

UNIQA is on track to achieve its best result in the company's history in 2015; significantly better than in 2014 * 2016: launch of the largest investment and innovation programme in the company's history amounting to around EUR500 million.

UNIQA Insurance Group AG / UNIQA launches investment programme of approximately EUR 500 million and expects significantly reduced results due tosaid investments and challenging conditions in 2016 / Picture: © Vindobona

 

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Strategic management decisions
18.01.2016

UNIQA launches investment programme of approximately EUR500 million and
expects significantly reduced results due to said investments and challenging
conditions in 2016

* UNIQA is on track to achieve its best result in the company's history in
2015; significantly better than in 2014 * 2016: launch of the largest
investment and innovation programme in the company's history amounting to
around EUR500 million

* Digital transformation is driving innovation and new business models
* Significantly reduced earnings forecast for 2016 due to investments and

challenging conditions * Intention to continue sustainably progressive
dividend policy with annually increasing dividend per share up to 2020

UNIQA Insurance Group AG (UNIQA) continues to remain on track. The details
of the preliminary annual results for 2015 will be released at the beginning of
March. Currently UNIQA has a strong equity base reporting an economic capital
ratio according to Solvency II (EIOPA standard formula) of over 180 per cent,
and high operating profitability.

Based on this solid foundation, UNIQA's management board has today decided
with its supervisory board approval to launch the extensive investment
programme in 2016 in order to align processes and products with customer
requirements and expectations that are being transformed by the digital
revolution. This largest investment programme in the company's history will be
spread over several years and comprises a total volume of around EUR500
million. The investments, a considerable portion of which are to be made in
2016, will primarily be employed for the redesign of the business model and the
modernisation of IT systems that this requires. The innovation programme
therefore lays the foundation for UNIQA to successfully continue on its planned
growth trajectory under radically different conditions in the future.

A considerable portion of these future investments will take effect in 2016
and therefore influence the earnings forecast for the 2016 financial year. In
combination with the persistently difficult conditions, such as the
still-moderate economic outlook, ongoing low interest rates, decreasing
investment income and political uncertainty in individual markets, UNIQA
expects - dependant on the investment programme's implementation -
significantly reduced earnings in the 2016 financial year compared to 2015's
strong earnings.

UNIQA intends to continue its since 2012 consistently implemented
progressive dividend policy with annual increases of the distribution per share
despite the considerable future investments and challenging economic
environment provided that the capital ratio remains solid.

Forward-looking statements This press release contains statements referring
to the future development of the UNIQA Group. These statements present
estimates which were reached on the basis of all of the information available
to us at the present time. If the assumptions on which they are based do not
occur, the actual results may deviate from the results currently expected. As a
result, no liability is accepted for this information.

The following UNIQA securities are admitted for trading on a regulated
market:

Issue: ISIN: Trading segment:

Share AT0000821103 Vienna Stock Exchange Official trading UNIQA subord. bond
13-43 XS0808635436 Luxembourg Stock Exchange Regulated Market UNIQA subord.
bond 15-46 XS1117293107 Vienna Stock Exchange Second Regulated Market

Further inquiry note:
UNIQA Insurance Group AG
Norbert Heller
Tel.: +43 (01) 211 75-3414
mailto:norbert.heller@uniqa.at

end of announcement euro adhoc
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issuer: UNIQA Insurance Group AG
Untere Donaustraße 21
A-1029 Wien
phone: 01/211 75-0
mail: investor.relations@uniqa.at
WWW: http://www.uniqagroup.com
sector: Insurance
ISIN: AT0000821103
indexes: WBI, ATX Prime, ATX
stockmarkets: official market: Wien
language: English

Digital press kit: http://www.ots.at/pressemappe/220/aom

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