AmLIFE INSURANCE BERHAD ( P)

Transcription

1 ( P) Unaudited Interim Condensed Financial Statements for the six months period ended 30 September 2013

2 CONTENTS PAGE Unaudited Interim Statement of Financial Position 1 Unaudited Interim Income Statement 2 Unaudited Interim Statement of Comprehensive Income 3 Unaudited Interim Statement of Changes in Equity 4 Unaudited Interim Statement of Cash Flows 5-6 Notes to the Unaudited Interim Financial Statements 7-27

3 UNAUDITED INTERIM STATEMENT OF FINANCIAL POSITION AS AT 30 SEPTEMBER 2013 Note RM'000 RM'000 Assets Property and equipment 37,154 38,563 Investment properties 11 80,165 80,165 Deferred tax asset Intangible assets 38,209 41,418 Investments 12 2,866,415 2,884,988 Reinsurance assets 13 34,890 31,592 Insurance receivables 59,548 44,523 Other receivables 62,787 45,538 Cash and bank balances 7,081 2,594 Total assets 3,186,456 3,169,381 Equity Share capital 200, ,000 Retained profits 266, ,719 Available-for-sale fair value reserves 2,890 5,548 Total equity 469, ,267 Liabilities Insurance contract liabilities 14 2,501,760 2,508,673 Deferred tax liabilities 52,356 48,725 Insurance payables 31,202 28,256 Provision for taxation 1,025 1,282 Other payables 130, ,178 Total liabilities 2,717,213 2,718,114 Total equity and liabilities 3,186,456 3,169,381 The Unaudited Interim Statement of Financial Position of the Company by funds is disclosed in Note 19. The accompanying notes form an integral part of these financial statements. 1

4 UNAUDITED INTERIM INCOME STATEMENT FOR THE SIX MONTHS ENDED 30 SEPTEMBER months 6 months ended ended RM'000 RM'000 Gross earned premiums 250, ,525 Premiums ceded to reinsurers (27,442) (26,898) Net earned premiums 222, ,627 Investment income 70,448 70,975 Realised gains 7,629 17,665 Fair value losses (18,820) (9,633) Fee and commission income 808 1,156 Other operating income/ (expenses) 269 (908) Other revenue 60,334 79,255 Gross benefits and claims (203,318) (223,921) Claims ceded to reinsurers 15,093 10,467 Gross change to contract liabilities 19,437 (12,189) Change in contract liabilities ceded to reinsurers ,304 Net benefits and claims (168,566) (215,339) Fee and commission expenses (28,162) (18,874) Management expenses (52,903) (57,328) Other expenses (81,065) (76,202) Profit/ (loss) before taxation 33,591 (24,659) Taxation (12,712) 2,244 Net profit/(loss) for the period 20,879 (22,415) Earnings per share (sen) Basic and diluted 21 (22) The Unaudited Interim Income Statement of the Company by funds is disclosed in Note 19. The accompanying notes form an integral part of these financial statements. 2

5 UNAUDITED INTERIM STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER months 6 months ended ended RM'000 RM'000 Net profit/(loss) for the period 20,879 (22,415) Other comprehensive loss: Available-for-sale fair value reserves: Net loss arising during the period (5,086) (3,644) Net realised loss transferred to Income Statement 1,542 2,442 (3,544) (1,202) Tax effects thereon (2,658) (902) Total comprehensive income/ (loss) for the period 18,221 (23,317) The accompanying notes form an integral part of these financial statements. 3

6 UNAUDITED INTERIM STATEMENT OF CHANGES IN EQUITY FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER 2013 Share Capital Non-Distributable Available-for-sale Fair Value Reserves Distributable Retained Earnings At 1 April ,000 2,187 3,136 5, , , , ,050 Total comprehensive (loss)/income for the period - (825) (77) (902) (27,117) 4,702 (22,415) (23,317) Executive share scheme (378) (378) (378) At 30 September ,000 1,362 3,059 4, , , , ,355 At 1 April ,000 1,379 4,169 5, , , , ,267 Total comprehensive (loss)/income for the period - (2,001) (657) (2,658) 15,964 4,915 20,879 18,221 Executive share scheme (245) (245) (245) At 30 September ,000 (622) 3,512 2, , , , ,243 Total Equity Nonparticipating Nonparticipating Funds Shareholder's Unallocated Shareholder's Fund Funds Sub-total surplus Fund Sub-total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 *In accordance with the Insurance Act, 1996, the unallocated surplus of the Non-Participating ("Non-Par") fund is only available for distribution to the shareholders upon approval by the Appointed Actuary. There was no transfer of unallocated surplus from Non-Par fund for the current financial period ended 30 September 2013 (30 September 2012: RMNil). The accompanying notes form an integral part of these financial statements. 4

7 UNAUDITED INTERIM STATEMENT OF CASH FLOWS FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER months 6 months ended ended RM'000 RM'000 Profit/(loss) before taxation 33,591 (24,659) Investment income (70,448) (70,975) Realised gains recorded in income statement (7,629) (17,665) Fair value losses recorded in income statement 18,820 9,633 Purchases of FVTPL financial investments (138,688) (188,983) Purchases of AFS financial investments (511,397) (284,053) Maturities of FVTPL financial investments 107,505 2,597 Maturities of AFS financial investments 57,252 95,280 Proceeds from sale of FVTPL financial investments 34, ,704 Proceeds from sale of AFS financial investments 157, ,368 Decrease in LAR (25,775) (111,470) Non-cash items: Accretion of discounts - net 1,412 1,178 Depreciation of property and equipment 2,699 2,696 Amortisation of intangible assets 4,135 2,547 Fair value adjustments 21,151 15,867 Allowance for impairment on insurance receivables 74 7,134 Changes in working capital: Reinsurance assets (3,298) (9,702) Insurance receivables (15,099) (14,732) Other receivables (15,809) (1,214) Insurance contract liabilities (7,995) 28,340 Insurance payables 2,946 (5,349) Other payables (306) (1,617) Cash used in operating activities (354,108) (139,074) 5

8 UNAUDITED INTERIM STATEMENT OF CASH FLOWS (CONT'D.) FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER months 6 months ended ended RM'000 RM'000 Operating activities Cash used in operating activities (354,108) (139,074) Interest received 63,205 64,059 Dividend received 3,367 2,126 Rental received 3,528 4,146 Income tax paid (8,671) (10,189) Net cash flows from operating activities (292,679) (78,932) Investing activities Purchase of property and equipment (1,290) (2,461) Purchase of intangible assets (926) (2,836) Net cash flows from investing activities (2,216) (5,297) Financing activities Employee share based payment transaction (245) (378) Net cash flows from financing activities (245) (378) Net decrease in cash and cash equivalents (295,140) (84,607) Cash and cash equivalents at beginning of period 576, ,857 Cash and cash equivalents at end of period 281, ,250 Cash and cash equivalents comprise: Short term deposits 274, ,502 Cash and bank balances 7,081 8, , ,250 The accompanying notes form an integral part of these financial statements. 6

9 NOTES TO THE UNAUDITED INTERIM FINANCIAL STATEMENTS - 30 SEPTEMBER CORPORATE INFORMATION The principal activities of the Company are the underwriting of life and investment-linked insurance. There have been no significant changes in the nature of the principal activities during the six months period from 1 April 2013 to 30 September The Company is a public limited liability company, incorporated and domiciled in Malaysia. The principal place of business of the Company is located at 9th Floor, Bangunan AmAssurance, No.1 Jalan Lumut, Kuala Lumpur. The immediate holding company is AMAB Holdings Sdn. Bhd, a company incorporated in Malaysia and its ultimate holding company is AMMB Holdings Berhad, a public listed company incorporated in Malaysia. 2. SIGNIFICANT ACCOUNTING POLICIES 2.1 Basis of Preparation The unaudited interim financial statements for the period ended 30 September 2013 are unaudited and have been prepared in accordance with Malaysian Financial Reporting Standard ("MFRS") Interim Financial Reporting, International Financial Reporting Standards ("IFRS") and the requirements of the Companies Act, 1965 in Malaysia. The unaudited interim financial statements of the Company have been prepared under the historical cost basis, unless otherwise stated in the accounting policies. The financial statements are presented in Ringgit Malaysia ("RM"), which is the Company's functional currency, and all values are rounded to the nearest thousand ('RM'000") unless otherwise stated. The unaudited interim financial statements do not include all the information and disclosures required in the annual financial statements, and should be read in conjunction with the Company's audited financial statements for the year ended 31 March The explanatory notes attached to the unaudited interim financial statements provide an explanation of events and transactions that are significant to gain an understanding of the changes in the financial position and performance of the Company since the year ended 31 March As at the reporting date, the Company has met the minimum capital requirements as prescribed by the Risk-Based-Capital ("RBC") Framework issued by Bank Negara Malaysia ("BNM"). 7

10 2. SIGNIFICANT ACCOUNTING POLICIES (CONT'D.) 2.2 Standards effective for financial year ending 31 March 2014 The accounting policies and presentation adopted by the Company for the unaudited interim financial statements are consistent with those adopted by the Company's audited financial statements for the financial year ended 31 March 2013, except for the adoption of the following: MFRS 3 Business Combinations (IFRS 3 Business Combinations issued by IASB in March 2004) MFRS 10 Consolidated Financial Statements MFRS 11 Joint Arrangements MFRS 12 Disclosure of Interests in Other Entities MFRS 13 Fair Value Measurement MFRS 127 Separate Financial Statements (as amended by IASB in May 2011) MFRS 128 Investments in Associates and Joint Ventures (as amended by IASB in May 2011) Amendments to MFRS 7 Disclosures: Offsetting Financial Assets and Financial Liabilities Amendments to MFRS 10, MFRS 11 and MFRS 12: Consolidated Financial Statements, Joint Arrangements and Disclosure of Interests in Other Entities: Transition Guidance Amendments to MFRS 101 Presentation of Items of Other Comprehensive Income Amendments to MFRSs contained in the document entitled Annual Improvements Cycle" The adoption of the revised standards, amendments and interpretations issued by Malaysian Accounting Standards Board ("MASB") which are effective in the current year do not have any material impact to the financial statements of the Company. As at the date of authorisation of these interim financial statements, the revised MFRSs, amendments to MFRSs and IC Interpretations but not yet effective issued by MASB in the current year is not expected to have any material impact on the financial statements of the Company. 3. STATUS OF AUDIT QUALIFICATION The auditor's report on the audited annual financial statements for the financial year ended 31 March 2013 does not contain any qualification. 8

11 4. SEASONALITY OR CYCLICALITY OF OPERATIONS The business of the Company was not materially affected by any seasonal or cyclical factors during the six months period ended 30 September UNUSUAL ITEMS There were no unusual items affecting assets, liabilities, equity, net income or cash flows for the six months period ended 30 September CHANGES IN ESTIMATES There were no changes in basis used for the accounting estimates in respect of amounts reported in prior financial periods that would have a material effect on the unaudited interim financial statements. 7. ISSUANCE OR REPAYMENT OF DEBT AND EQUITY SECURITIES There were no issuance or repayment of debt and equity securities for the six months period ended 30 September DIVIDENDS PAID No dividend has been paid or declared by the Company since the end of the previous financial period. 9. MATERIAL EVENTS SUBSEQUENT TO THE END OF INTERIM PERIOD There were no material events subsequent to the end of the interim reporting that have not been reported in the unaudited interim financial statements for the six months period ended 30 September CHANGES IN THE COMPOSITION OF THE COMPANY There is no change in the composition of the Company from the previous audited financial statements. 9

12 11. INVESTMENT PROPERTIES RM'000 RM'000 At 1 April 80,165 84,715 Addition - - Disposal - - Transfer to property and equipment - (4,750) Fair value adjustments At 30 September/ 31 March 80,165 80,165 Investment properties consist of the following: Leasehold land and buildings 21,870 21,870 Freehold land and buildings 58,295 58,295 80,165 80,165 Investment properties are stated at fair value, which has been determined based on valuations provided by an external independent valuer. The fair value gains are recorded in the income statement. Included in investment properties of the Life Fund are land and building with a total fair value amounting to RM9,200,000 ( : RM9,200,000), for which the title deeds were still in progress of being transferred to the Company at the end of the period ended. 10

13 12. INVESTMENTS Shareholders' Shareholders' Fund Life Fund Unit-linked Total Fund Life Fund Unit-linked Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Malaysian government securities ,224-3,224 Corporate bonds - 1,677,862 20,799 1,698, ,465 1,624,626 19,535 1,784,626 Equity securities - 88,869 38, ,545 1,045 3,787 24,947 29,779 Unit and property trust funds 299,355 18,603 13, ,676-19,270 10,499 29,769 Floating rate negotiable instruments of deposit ,301 23, ,460 68,460 Negotiable instruments of deposit - 51,507-51,507-62,020-62,020 Loans - 210, , , ,955 Deposits with licensed banks 11, ,155 12, , , ,709 26, ,143 Seed capital - Investment-linked funds 7, ,479 7, , ,635 2,439, ,582 2,866, ,052 2,411, ,345 2,884,988 Loans and receivables ("LAR") 11, ,357 12, , , ,664 26, ,098 Available-for-sale financial assets ("AFS") 306, ,743-1,117, , , ,896 Fair value through profit or loss ("FVTPL") - 1,026,098 96,494 1,122,592-1,021, ,441 1,144, ,635 2,439, ,582 2,866, ,052 2,411, ,345 2,884,988 11

14 12. INVESTMENTS (CONT'D.) (a) LAR Shareholders' Shareholders' Fund Life Fund Unit-linked Total Fund Life Fund Unit-linked Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 At amortised cost: Deposits with licensed banks 11, ,155 12, , , ,709 26, ,143 Loans - 210, , , ,955 Malaysian government guaranteed loans - 101, , , ,385 Policy loans - 107, , , ,138 Mortgage loans - 1,032-1, Vehicle loans , ,357 12, , , ,664 26, ,098 At fair value: Deposits with licensed banks 11, ,155 12, , , ,709 26, ,143 Loans - 210, , , ,955 Malaysian government guaranteed loans - 101, , , ,385 Policy loans - 107, , , ,138 Mortgage loans - 1,032-1, Vehicle loans , ,357 12, , , ,664 26, ,098 The carrying values of the LAR are reasonable approximations of fair values due to the insignificant impact of discounting. Included in deposits with licensed banks are short term deposits with maturity periods of less than 3 months amounting to RM274,267,000 ( : RM573,894,000) which have been classified as cash and cash equivalents for the purpose of the statement of cash flows. 12

15 12. INVESTMENTS (CONT'D.) (b) AFS Shareholders' Shareholders' Fund Life Fund Unit-linked Total Fund Life Fund Unit-linked Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 At fair value: Equity securities: Quoted in Malaysia - 86,722-86,722 1,045 1,640-2,685 Unquoted in Malaysia - 2,147-2,147-2,147-2,147 Malaysian government securities ,224-3,224 Corporate bonds: Unquoted in Malaysia - 654, , , , ,732 Unit and property trust funds: Quoted in Malaysia - 13,384-13,384-12,096-12,096 Unquoted in Malaysia 299,355 2, ,362-1,980-1,980 Negotiable instruments of deposit - 51,507-51,507-62,020-62,020 Seed Capital - Investment-linked funds 7, ,479 7, , , ,743-1,117, , , ,896 13

16 12. INVESTMENTS (CONT'D.) (c) FVTPL - Held for trading purposes Shareholders' Shareholders' Fund Life Fund Unit-linked Total Fund Life Fund Unit-linked Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 At fair value: Equity securities: Quoted in Malaysia ,676 38, ,947 24,947 Malaysian government securities Corporate bonds: Unquoted in Malaysia - 1,022,886 20,799 1,043,685-1,016,359 19,535 1,035,894 Floating rate negotiable instruments of deposit ,301 23, ,460 68,460 Unit and property trust funds: - Quoted in Malaysia Unquoted in Malaysia - 3,212 13,129 16,341-3,254 10,236 13,490 Unquoted outside Malaysia ,940-1,940-1,026,098 96,494 1,122,592-1,021, ,441 1,144,994 (d) Fair Value Hierarchy An analysis of the different fair value measurement bases used in the determination of the fair values of investments are further disclosed in Note

17 13. REINSURANCE ASSETS RM'000 RM'000 Reinsurance of insurance contracts (Note 14) 34,890 31,592 This relates to reinsurers' share of insurance contract liabilities. 14. INSURANCE CONTRACT LIABILITIES As at As at Re- Re- Gross insurance Net Gross insurance Net RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Actuarial liabilities 2,190,881 (29,979) 2,160,902 2,202,722 (29,757) 2,172,965 Provision for outstanding claims 143,444 (4,911) 138, ,480 (1,835) 116,645 Unallocated surplus 48,710-48,710 17,909-17,909 Available-for-sale fair value reserve* 11,487-11,487 23,927-23,927 Net asset value attributable to unitholders 107, , , ,635 2,501,760 (34,890) 2,466,870 2,508,673 (31,592) 2,477,081 2,501,760 (34,890) 15

18 14. INSURANCE CONTRACT LIABILITIES (CONT'D.) Gross Reinsurance With DPF Without DPF Total With DPF Without DPF Total Net RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 At 1 April ,185 1,567,488 2,508,673 (800) (30,792) (31,592) 2,477,081 Premiums received 91, , ,330 (977) (26,465) (27,442) 222,888 Liabilities paid for death, maturities, surrenders, benefits and claims (68,507) (134,811) (203,318) ,902 15,093 (188,225) Benefits and claims experience variation - 6,019 6,019-8,399 8,399 14,418 Adjustments due to changes in assumptions: Mortality/morbidity 176 1,280 1,456 - (819) (819) 637 Expenses (15) (1,255) (1,270) (1,270) Lapse and surrender rates (45,560) 5,455 (40,105) - 1,471 1,471 (38,634) Discount rate Net asset value refunded to unitholders - (38,397) (38,397) (38,397) Surplus for the period 30,801-30, ,801 Available-for-sale fair value reserve (13,522) - (13,522) (13,522) Deferred tax effects: Available-for-sale fair value reserve 1,082-1, ,082 At 30 September ,344 1,564,416 2,501,760 (1,586) (33,304) (34,890) 2,466,870 16

19 14. INSURANCE CONTRACT LIABILITIES (CONT'D.) Gross Reinsurance With DPF Without DPF Total With DPF Without DPF Total Net RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 At 1 April ,226 1,465,113 2,376,339 - (32,116) (32,116) 2,344,223 Premiums received 182, , ,731 (1,455) (55,458) (56,913) 404,818 Liabilities paid for death, maturities, surrenders, benefits and claims (131,417) (194,717) (326,134) ,148 25,803 (300,331) Benefits and claims experience variation - 33,697 33,697-25,957 25,957 59,654 Adjustments due to changes in assumptions: Mortality/morbidity (532) (8,631) (9,163) - 6,529 6,529 (2,634) Expenses 2,904 55,580 58, ,484 Lapse and surrender rates 21,965 2,859 24,824 - (500) (500) 24,324 Discount rate 25,282 15,314 40,596 - (352) (352) 40,244 Net asset value refunded to unitholders - (80,854) (80,854) (80,854) Deficit for the year (70,708) - (70,708) (70,708) Available-for-sale fair value reserve (151) - (151) (151) Deferred tax effects: Available-for-sale fair value reserve At 31 March ,185 1,567,488 2,508,673 (800) (30,792) (31,592) 2,477,081 * The Available-for-sale fair value reserve of the Participating fund is treated as part of insurance contract liabilities because it is held in respect of assets backing the insurance contract liabilities of the Participating fund. 17

20 15. CAPITAL COMMITMENTS As of 30 September 2013, capital expenditure approved by Directors but not provided for in the financial statements are as follows: RM'000 RM'000 Authorised and contracted but not provided for: Property and equipment Computer hardware and software 794 1,205 1,407 1, CONTINGENT LIABILITIES RM'000 RM'000 Unsecured: Arising from litigation cases 1,055 - As at end of the period, the Company has a few outstanding litigation claims that may incur potential liabilities for the Company. These outstanding litigation claims arise mainly from disputes on staff industrial relation matters and claims on insurance policies. 17. FAIR VALUE HIERARCHY The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation techniques: Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Level 3: Other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly. Techniques which use inputs which have a significant effect on the recorded fair value that are not based on observable market data. 18

21 17. FAIR VALUE HIERARCHY (CONT'D.) The following tables show an analysis of financial instruments recorded at fair value by level of the fair value hierarchy: Level 1 Level 2 Level 3 Total RM'000 RM'000 RM'000 RM'000 AFS: Equity securities: Quoted in Malaysia 86, ,722 Unquoted in Malaysia - 2,147-2,147 Malaysian government securities Corporate bonds: Unquoted in Malaysia - 654, ,976 Unit and property trust funds: Quoted in Malaysia 13, ,384 Unquoted in Malaysia - 301, ,362 Negotiable instruments of deposit - 51,507-51,507 Seed Capital - Investment-linked funds - 7,479-7, ,106 1,017,471-1,117,577 19

22 (Incorporated In Malaysia) 17. FAIR VALUES HIERARCHY (CONT'D.) Level 1 Level 2 Level 3 Total RM'000 RM'000 RM'000 RM'000 FVTPL - Held for trading purposes: Equity securities: Quoted in Malaysia 38, ,676 Corporate bonds: Unquoted in Malaysia - 1,043,685-1,043,685 Floating rate negotiable instruments deposit - 23,301-23,301 Unit and property trust funds: Quoted in Malaysia Unquoted in Malaysia - 16,341-16,341 Unquoted outside Malaysia ,265 1,083,327-1,122, AFS: Equity securities: Quoted in Malaysia 2, ,685 Unquoted in Malaysia - 2,147-2,147 Malaysian government securities - 3,224-3,224 Corporate bonds: Unquoted in Malaysia - 748, ,732 Unit and property trust funds: Quoted in Malaysia 12, ,096 Unquoted in Malaysia - 1,980-1,980 Negotiable instruments of deposit - 62,020-62,020 Seed Capital - Investment-linked funds - 7,012-7,012 14, , ,896 20

23 (Incorporated In Malaysia) 17. FAIR VALUES HIERARCHY (CONT'D.) Level 1 Level 2 Level 3 Total RM'000 RM'000 RM'000 RM'000 FVTPL - Held for trading purposes: Equity securities: Quoted in Malaysia 24, ,947 Corporate bonds: Unquoted in Malaysia - 1,035,894-1,035,894 Floating rate negotiable instruments deposit - 68,460-68,460 Unit and property trust funds: Quoted in Malaysia Unquoted in Malaysia - 13,490-13,490 Unquoted outside Malaysia - 1,940-1,940 25,210 1,119,784-1,144, REGULATORY CAPITAL REQUIREMENTS The total capital available of the Company as at 30 September 2013, as prescribed under the RBC framework is provided below: RM'000 RM'000 Eligible Tier 1 Capital Share capital (paid up) 200, ,000 Reserves, including retained earnings 613, , , ,951 Tier 2 Capital Eligible reserves 15,329 31,970 Amount deducted from capital (37,382) (40,592) Total capital available 791, ,329 21

24 (Incorporated In Malaysia) 19. INSURANCE FUNDS The Company's activities are organised by funds and segregated into the Shareholders', Life and Investment Linked funds in accordance with the Insurance Act, 1996 and the Insurance Regulations, Unaudited Interim Statement of Financial Position by Funds As at 30 September 2013 Shareholders' Fund Life Fund Unit-Linked Elimination* Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Assets Property and equipment ,154 38, ,154 38,563 Investment properties ,165 80, ,165 80,165 Deferred tax asset Intangible assets ,209 41, ,209 41,418 Investments 318, ,052 2,439,198 2,411, , , ,866,415 2,884,988 Reinsurance assets ,890 31, ,890 31,592 Insurance receivables ,548 44, ,548 44,523 Other receivables 13,046 3,715 48,782 41, ,787 45,538 Cash and bank balances 377 1,123 6,389 1, ,081 2,594 Interfund balances 12,391 15, (12,391) (15,342) - - Total assets 344, ,232 2,744,335 2,690, , ,810 (12,391) (15,342) 3,186,456 3,169,381 22

25 (Incorporated In Malaysia) 19. INSURANCE FUNDS (CONT'D.) Unaudited Interim Statement of Financial Position by Funds As at 30 September 2013 (Cont'd.) Shareholders' Fund Life Fund Unit-Linked Elimination* Total RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Equity Share capital 200, , , ,000 Retained profits 143, , , , , ,719 AFS fair value reserves (622) 1,379 3,512 4, ,890 5,548 Total equity 342, , , , , ,267 Liabilities Insurance contract liabilities - - 2,394,522 2,363, , , ,501,760 2,508,673 Deferred tax liabilities ,242 48, ,356 48,725 Insurance payables ,202 28, ,202 28,256 Provision for taxation 593 1, ,025 1,282 Other payables 1,625 1, , , , , ,178 Interfund balances ,474 11,451 1,917 3,891 (12,391) (15,342) - - Total liabilities 2,218 3,463 2,617,530 2,579, , ,810 (12,391) (15,342) 2,717,213 2,718,114 Total equity and liabilities 344, ,232 2,744,335 2,690, , ,810 (12,391) (15,342) 3,186,456 3,169,381 * Refers to elimination of interfund balances. 23

26 (Incorporated In Malaysia) 19. INSURANCE FUNDS (CONT'D.) Unaudited Interim Income Statement by Funds For the six months ended 30 September 2013 Shareholders' Fund Life Fund Unit-Linked Total 6 months 6 months 6 months 6 months 6 months 6 months 6 months 6 months ended ended ended ended ended ended ended ended RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Gross earned premiums , ,604 16,350 18, , ,525 Premiums ceded to reinsurers - - (27,442) (26,898) - - (27,442) (26,898) Net earned premiums , ,706 16,350 18, , ,627 Investment income 5,878 3,834 63,104 65,437 1,466 1,704 70,448 70,975 Realised gains 1,505 1,328 2,559 13,334 3,565 3,003 7,629 17,665 Fair value gains and losses - - (19,873) (6,852) 1,053 (2,781) (18,820) (9,633) Fee and commission income - - 4,157 5,727 (3,349) (4,571) 808 1,156 Other operating income/ (expenses) (919) (908) Other revenue 7,383 5,162 50,198 76,727 2,753 (2,634) 60,334 79,255 Gross benefits and claims - - (146,178) (123,113) (57,140) (100,808) (203,318) (223,921) Claims ceded to reinsurers ,093 10, ,093 10,467 Gross change to contract liabilities - - (18,960) (96,551) 38,397 84,362 19,437 (12,189) Change in contract liabilities ceded to reinsurers , ,304 Net benefits and claims - - (149,823) (198,893) (18,743) (16,446) (168,566) (215,339) Fee and commission expenses - - (28,162) (18,874) - - (28,162) (18,874) Management expenses (623) (368) (52,205) (56,885) (75) (75) (52,903) (57,328) Other expenses (623) (368) (80,367) (75,759) (75) (75) (81,065) (76,202) 24

27 (Incorporated In Malaysia) 19. INSURANCE FUNDS (CONT'D.) Unaudited Interim Income Statement by Funds For the six months ended 30 September 2013 (Cont'd.) Shareholders' Fund Life Fund Unit-Linked Total 6 months 6 months 6 months 6 months 6 months 6 months 6 months 6 months ended ended ended ended ended ended ended ended RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Profit/(loss) before taxation 6,760 4,794 26,546 (29,219) 285 (234) 33,591 (24,659) Transfer from Revenue Accounts - Life DPF Funds - 1,500 - (1,500) Life Non-DPF Funds 15,964 (27,117) (15,964) 27, Taxation (1,845) (1,592) (10,582) 3,602 (285) 234 (12,712) 2,244 Net profit/(loss) for the period 20,879 (22,415) ,879 (22,415) * The amount transferred from the Life Fund's Revenue Accounts to the Shareholders' Fund's Income Statement is net of tax. 25

28 (Incorporated In Malaysia) 19. INSURANCE FUNDS (CONT'D.) Unaudited Interim Statement of Cash Flows by Funds For the six months ended 30 September 2013 Shareholders' Fund Life Fund Unit-Linked Total 6 months 6 months 6 months 6 months 6 months 6 months 6 months 6 months ended ended ended ended ended ended ended ended RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Net cash flows from: Operating activities (163,230) 27,742 (114,945) (104,469) (14,504) (2,205) (292,679) (78,932) Investing activities - - (2,216) (5,297) - - (2,216) (5,297) Financing activities (245) (378) (245) (378) Net (decrease)/ increase in cash and cash equivalents (163,475) 27,364 (117,161) (109,766) (14,504) (2,205) (295,140) (84,607) Cash and cash equivalents at beginning of period 175,653 41, , ,998 26,911 14, , ,857 Cash and cash equivalents at end of period 12,178 68, , ,232 12,407 12, , ,250 Short term deposits 11,801 68, , ,496 12,092 12, , ,502 Cash and bank balances ,389 8, ,081 8,748 12,178 68, , ,232 12,407 12, , ,250 26

29 (Incorporated In Malaysia) 19. INSURANCE FUNDS (CONT'D.) Unaudited Interim Investment-linked Fund Statement of Financial Position As at 30 September RM'000 RM'000 Assets Investments 108, ,345 Other assets 1, Total assets 109, ,810 Liabilities Other liabilities 2,618 5,175 2,618 5,175 Net assets value of funds 107, ,635 Unaudited Interim Investment-linked Fund Income Statement For the six months ended 30 September months 6 months ended ended RM'000 RM'000 Investment income 1,466 1,704 Realised gains 3,565 3,003 Fair value gains and losses 1,071 (2,770) 6,102 1,937 Fee and commission expenses (3,349) (4,571) Management expenses (75) (75) Profit/(loss) before taxation 2,678 (2,709) Taxation (285) 234 2,393 (2,475) Net creation of units 16,350 18,921 Net cancellation of units (57,140) (100,808) Movement in Net Asset value attributable to unitholders (38,397) (84,362) 27