Supplementary Financial Information Sampo Group January-December 2010
Disclaimer This presentation may contain forward-looking statements that reflect management s current views with respect to certain future events and potential financial performance. Although Sampo believes that the expectations reflected in such forward looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly, results could differ materially from those set out in the forward-looking statements as a result of various factors. Important factors that may cause such a difference for Sampo include, but are not limited to: (i) the macroeconomic development, (ii) change in the competitive climate and (iii) developments in capital markets. This presentation does not imply that Sampo has undertaken to revise these forward-looking statements, beyond what is required by applicable law or applicable stock exchange regulations if and when circumstances arise that will lead to changes compared to the date when these statements were provided. 2
KEY FINANCIAL FIGURES 3
Sampo Group s results EURm 1 500 1 250 1 000 750 500 250 0 Profit before taxes and net profit 825 641 1 320 2009 2010 1 104 Profit before taxes by quarters EURm 400 334 338 361 350 300 287 264 242 250 206 192 200 199 169 150 100 50 0 Pre-tax profit Net profit 4
Sampo Group profit before taxes January-December 2010 EURm 1 500 1 200 2009 2010 1 320 900 600 644 707 523 825 300 0-300 121 142 36-48 P&C Life Nordea Holding Sampo Group *) 5 *) excl. Nordea
Profit before taxes and comprehensive income 2009 and 2010 EURm 3 500 3 000 2 500 Profit before taxes Comprehensive income 3 423 2 000 1 500 1 000 500 0 644 1 127 707 943 121 495 142 332 523 571 825 1 320 1 807 2009 2010 2009 2010 2009 2010 2009 2010 P&C Life Nordea Sampo Group 6
Earnings per share EUR EPS and Comprehensive result EPS EUR Reported EPS by quarter 7,00 6,00 5,00 5,88 0,60 0,40 0,44 0,48 0,51 0,54 4,00 3,00 2,00 1,00 1,14 1,97 3,22 0,20 0,26 0,00 2009 2010 0,00 Q4/09 Q1/10 Q2/10 Q3/10 Q4/10 EPS (reported) EPS (comprehensive result) 7
Total dividends 2000-2010 EURm 1 000 800 600 400 889 417 831 339 693 694 449 561 645 200 194 113 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 *) *) proposed dividend 8
Sampo Group s equity, EURm 7 613 296 5 689 8 886 736 6 521 Fair value reserve Retained earnings Invested unrestricted equity Restricted capital 1 527 1 527 102 102 31 Dec 2009 31 Dec 2010 9
Sampo Group s net asset value per share EUR 18,00 17,79 15,00 13,49 14,63 12,00 9,00 6,00 5,97 7,67 9,21 8,28 3,00 0,00 2004 2005 2006 2007 2008 2009 2010 10
Net asset value by quarters December 2009 - December 2010 EURm 10 000 8 000 8 214 588 9 046 814 8 139 279 9 284 851 9 984 1 087 6 000 Other items Nordea at FV./. Group BV 4 000 7 613 8 219 7 847 8 422 8 886 Group equity 2 000-11
Sampo Group s net asset value 31 December 2010 EURm 10 000 Nordea at FV 1 087 415 8 000 6 000 5 688 9 984 4 000 1 079 2 000 2 545 0 P&C insurance Life insurance Nordea Sampo plc & eliminations Sampo Group 12
Return on equity in Sampo Group s business areas 2010 100 % 75 % P&C insurance Life insurance Sampo Group 97,6% 50 % 25 % 0 % -25 % 24,1% 39,0% 28,4% 22,0% 30,0% 22,6% 19,2% 9,1% 52,6% -0,8% -32,4% 53,2% 55,7% 39,8% 36,2% 21,8% 26,3% 23,9% 24,8% Target P&C and Life >17.5% -50 % -68,8% -75 % 2005 2006 2007 2008 2009 2010 Average 13
Fair value reserve by segment EURm 12/2010 12/2009 12/2008 P&C insurance 315.1 104.5-413.8 Life insurance 436.4 210.0-191.6 Holding -0.4-3.4-1,759.3 Sampo Group**) 736.4 295.6-2,363.5 *) *) Nordea not included in FVR as of 2009 **) Eliminations included and figures after tax 14
Fair value reserve development by segment and asset class, 31 December 2010 EURm Fixed income Equity Derivat. held for trading Deferred taxes FVR net P&C insurance 100.1 327.2-112.1 315.1 Life insurance 136.1 450.0 3.6-153.3 436.4 Holding 0.7-1.3 0.1-0.4 Sampo Group*) 237.5 755.2 3.6-259.9 736.4 *) Eliminations included and figures after tax 15
Sampo plc s ownership structure, 31 January 2011 Foreign and nominee registered owners 48,6% Solidium* 14,1% Other domestic owners % 23,1% Varma Mutual Pension 8,5% Ilmarinen Mutual Pension 2,5% Björn Wahlroos 2,1% Kaleva Mutual Insurance 1,1% * Entirely owned by the Finnish State 16
Sampo Group staff, 31 December 2010 *) Sampo Group staff *) 31 December 2010 31 December 2009 P&C INSURANCE 6,305 6,583 Finland 1,722 1,763 Sweden 1,843 1,880 Norway 1,506 1,587 Baltics, Russia, Denmark and other 1,234 1,353 LIFE INSURANCE 488 452 Finland 377 350 Baltics and other 111 102 HOLDING 51 52 Sampo plc (Finland) 51 52 TOTAL SAMPO GROUP 6,844 7,087 *) Full-time equivalents 17
CAPITAL POSITION 18
Group capital and minimum requirement 31.12.2010 EURm 12 000 10 000 1 711 2 388 Group solvency ratio 167% Basel II 187% 8 000 645 6 000 4 000 8 886 7 564 30 30 Sampo plc 2 000 0 3 529 3 042 232 232 735 735 Nordea Life P&C 19
Sampo Group Economic Capital Reporting principles Definitions Economic capital (EC) is used as an internal measure of capital required for measurable risks the Group is exposed to EC is defined as the amount of capital to protect the solvency over a one year time horizon with a probability of 99.5 per cent EC at company level EC is calculated in IF P&C and Mandatum Life using a set of calculation methods, which have been developed for the specific needs of each company In IF P&C and Mandatum Life EC accounts for market, credit, insurance and operational risks, as well as the diversification effect between these risks EC figure calculated and reported by Nordea is used in Sampo-Group reporting. Because Nordeas reported figures are expressed at 99.97% confidence level they are converted by Sampo into 99.5% confidence level EC at Group Level Correlations between companies risks are assessed and diversification effect is calculated Group wide EC is sum of Companies EC and their diversification effect 20
Group economic capital and solvency, 31 December 2010 EURm 9 000 7 500 If s subloan not included in adjusted Group capital 81 Liability side adjustment, If and Mandatum Life 8 521 876 6 000 4 500 3 000 1 500 0 1 381 1 119 2 454 673 4 281 7 564 P&C Life Nordea Diversific. Group EC Adj. group solv. capital 21
P&C insurance economic capital split by risk type, 31 December 2010 EURm 3 500 2 500 3 670 81 633 Subord. loans *) Liability side adjustment **) 1 500 500 583 1 046 14 186 448 1 381 2 956-500 Insurance risk Market risk Credit risk Operat. risk Diversific. Total Adj. solv. capital *) Part of If s subordinated loans not included in the current regulatory capital **) Discount effect less risk margin 22
Life insurance economic capital split by risk type, 31 December 2010 EURm 1 750 1 589 1 500 1 250 134 20 274 244 Liability side adjustment 1 000 750 500 933 1 119 1 345 250 0 305-250 23
Sampo Group economic capital 12/2009 12/2010 EURm 4 500 12/2009 4 281 3 000 3/2010 6/2010 9/2010 12/2010 2 454 3 783 4 024 4 131 4 189 1 500 0 1 185 1 293 1 310 1 295 1 381 930 996 1 002 1 026 1 119 2 203 2 311 2 410 2 478 P&C Life Sampo plc (Nordea stake) Sampo Group (incl. diversification effect) 24
Sampo Group s economic capital split by risk type, 31 December 2010 Operational risk 11 % Market risk 39 % Insurance risk 12 % Credit risk 38 % 25
INVESTMENTS 26
Sampo Group's investment allocation, 31 December 2010 Total EUR 18.3 billion Real Estate 1 % Other 3 % Equities 18 % Bonds 69 % Money Market 9 % Investments of Sampo plc, Mandatum Life and If P&C 27
Sampo Group asset allocation Total Group (EURm) 17,755 16,979 17,784 18,301 14,000 12,000 11,339 11,188 11,770 11,661 10,000 8,000 6,000 5,657 5,547 5,781 5,957 4,000 2,000 0 If P&C Mandatum Life 759 Sampo Plc If P&C Mandatum Life 245 Sampo Plc If P&C Mandatum Life 233 Sampo Plc If P&C Mandatum Life 683 Sampo Plc 03/10 06/10 09/10 12/10 Money Market 7% 14% 84% 7% 13% 66% 9% 14% 62% 5% 10% 85% Bonds 80% 53% 9% 80% 51% 15% 78% 50% 20% 80% 51% 9% Equity 12% 25% 2% 12% 25% 7% 12% 27% 8% 14% 28% 3% Private Equity 0% 4% 2% 0% 4% 8% 0% 4% 8% 0% 4% 2% Other 0% 5% 2% 1% 6% 3% 1% 5% 3% 1% 6% 1% 28
Investment returns, January-December 2010 Yield-% EURm ML If Plc Total ML If Plc Total Fixed Equities 5.4 % 4.9 % 6.1 % 5.0 % 194 471 22 688 (31) (77) 22.0 % 23.2 % 4.4 % 22.5 % 303 315 1 619 (62) (73) Other 9.8 % 11.1 % 8.7 % 10.1 % 49 36 3 87 Total (incl. FX net result) *) 11.1 % 7.4 % 13.8 % 8.7 % 615 821 52 1,520 *) incl. FX result and therefore differs from the sum of asset classes (realized gains and losses in parenthesis) 29
Fixed income investment allocation Sampo Group, 31 December 2010 Total EUR 14.2 billion US 6 % Other 1 % Europe Money Market 6 % Scandinavia Money Market 5 % Scandinavia 61 % Europe 20 % 30
Fixed income investment allocation by sector Sampo Group, 31 December 2010 Total EUR 14.2 billion Corporate 29 % Money Market 12 % Banks 23 % Government 9 % Covered Bonds 26 % 31
Government debt investment allocation by country Sampo Group, 31 December 2010 Total EUR 1.3 billion Norway 7 % Netherlands Belgium 1 % 3 % Denmark 6 % France 10 % Sweden 40 % Finland 14 % USA 18 % 32
Bank investment allocation by country Sampo Group, 31 December 2010 Total EUR 8.7 billion France 2 % United States 2 % Denmark 5 % Norway 11 % Estonia Germany 1 % 1 % Switzerland 1 % Netherlands 1 % Finland 14 % Sweden 60 % 33
Sampo Group Bank investments by country and investment class Covered bonds Money market Long-term senior debt Long-term subord.debt Total % Sweden 3,123 730 816 566 5,235 60% Finland 63 868 138 130 1,199 14% Norway 254 485 264 1,004 11% Denmark 75 206 134 415 5% United States 190 9 199 2% France 80 95 21 196 2% Estonia 108 0 108 1% Germany 61 44 105 1% Switzerland 96 96 1% Netherlands 3 51 54 1% United Kingdom 20 17 37 0% Austria 32 1 33 0% Russia 17 17 0% Luxembourg 10 10 0% Belgium 5 4 10 0% Italy 4 4 0% Ireland 4 4 0% Czech Republic 2 2 0% Latvia 1 1 0% Total 3,700 1,729 2,153 1,147 8,728 100% 34
Equity investment allocation by geography Sampo Group, 31 December 2010 Total EUR 3.4 billion Japan 2 % Far East 11 % Latin America 3 % North America 10 % Scandinavia 35 % East Europe 5 % Western Europe 12 % Finland 22 % 35
Sensitivity of Group investments to market risks on 31 December 2010 EURm If P&C Mandatum Life Sampo plc Sampo Group Equities -10% -165-169 -2-335 +10% 165 169 2 335 Interest rates -100 bps 177 115 2 293 +100 bps -168-113 -2-283 Alternative -10% -11-62 -2-75 +10% 11 62 2 75 Currency -5% 2 (SEK) 44 (EUR) 2(EUR) - +5% -2 (SEK) -44 (EUR) -2(EUR) - The changes of interest rates have a strong effect to the reinvestment risk of the insurance companies. The sensitivities include the effects of derivative positions, but do not capture indirect effects, like the impact of the changes of the discount rates in the value in force. All sensitivities are before taxes. The scenario definitions assume an uniform movement of the whole underlying market. 36
P&C INSURANCE 37
P&C insurance profit before taxes and comprehensive income, 2005 2010 EURm 1 500 1 200 900 600 300 800 730 Other comprehensive income items Exchange differences Profit before taxes Profit for the period 534 549 644 1 127 943 518 211 123 707 214 485 518 0-300 -267 *) 2005 2006 2007 2008 2009 2010 *) incl. exchange differences EUR 248 m 38
If P&C result by quarters Profit and loss account, EURm Q4/10 Q3/10 Q2/10 Q1/10 Q4/09 Premiums earned 992 981 972 949 931 Claims incurred -740-723 -708-772 -692 Operating expenses -176-168 -167-160 -172 Other technical income and expenses 0 0 0 0-1 Allocated investment return transferred from the non-technical account 32 39 46 51 45 Technical result 109 129 143 68 114 Investment result 153 111 127 125 117 Allocated investment return transferred to the non-technical account -46-54 -60-66 -61 Other income and expenses -27-1 -2-2 -1 Operating result 188 186 208 125 168 39
If P&C s combined ratio development % 100 80 100,9 26,6 92,6 90,5 89,9 90,6 91,8 92,1 92,8 25,6 24,3 24,0 23,7 23,7 24,1 23,7 Long-term CoR target < 95% 60 40 74,3 67,0 66,2 65,9 66,9 68,1 68,0 69,1 20 0 2003 2004 2005 2006 2007 2008 2009 2010 Risk ratio Cost ratio 40
If P&C s investments, 31 December 2010 Investment allocation Total EUR 11.7bn AFS investments Unrealized gains before taxes Equity 14 % Private Equity 0,2 % Real Estate 0,7 % Money Market 5 % Bonds 80 % EURm 500 250 0-250 -500-46 19-27 -112-137 -249-178 -216-394 -568-257 -635-330 -176-325 -149-311 -305-31 69 37 70 71 142 180 142 322 170 47 217 199 185 384 100 327 427 Total Equities Bonds -750 Duration 1.72 years Fixed income running yield 3.9 % 41
If P&C mark-to-market investment returns Fixed income running yield Q3/09 Q1/09 Q1/10 Q2/10 Q3/10 Q410 4.0 4.1 3.9 3.9 3.7 3.9% 15 % 13 % 12,4% 10 % 8 % 5 % 3 % 4,3% 5,8% 4,4% 2,6% 7,4% 0 % -3 % -5 % -3,1% 2004 2005 2006 2007 2008 2009 2010 42
Breakdown of gross written premiums in If P&C Total EUR 4,189 million by business area by country 591 122 122 374 1 240 2 239 886 1 496 1 314 Private Commercial Industrial Baltic and Russia Norway Sweden Finland Denmark Baltic and Russia 43
If GWP change by business area 2010 vs. 2009, % IF GROUP -3,2% 1,3% 7,8% PRIVATE -1,1% 3,8% 10,0% COMMERCIAL -1,8% 0,8% 9,2% INDUSTRIAL -7,7% -2,5% 2,7% BALTIC AND RUSSIA -23,5% -15,5% -14,9% -30,0% -20,0% -10,0% 0,0% 10,0% Growth in SEK Growth in EUR Growth excluding currency effects 44
If P&C s technical result by business area 2010 EURm 500 400 65 (72) 15(22) 6(5) 300 127 (143) 200 449 (488) 100 0 236 (246 in 2009) Private Commercial Industrial Baltic & Russia Other Group 45
If P&C - key figures by business area Q4/2010 PRIVATE Combined ratio COMMERCIAL Combined ratio 92,5% 93,0% 92,9% 92,4% 92,6% 93,5% 91,2% 94,2% 2009 2010 Q4/09 Q4/10 HIGHLIGHTS GWP increased slightly, NPE by 5.1% Combined ratio improved by 0.5 %-points compared to Q4 last year KEY FIGURES GWP: EUR 528 m (518) NPE: EUR 539 m (513) Technical result: EUR 58 m (60) Risk ratio: 66.9% (68.6%) Cost ratio: 25.5% (24.3%) Insurance margin: 10.8% (11.7%) 2009 2010 Q4/09 Q4/10 HIGHLIGHTS Risk ratio deteriorated by 5.1 %-points compared to Q4/09 due to the severe winter Cost ratio improved by 2 %-points GWP went up by 8% (in euros) KEY FIGURES GWP: EUR 213 m (198) NPE: EUR 299 m (283) Technical result: EUR 25 m (37) Risk ratio: 71.0% (65.9%) Cost ratio: 23.2% (25.2%) Insurance margin: 8.5% (13.3%) 46
If P&C - key figures by business area Q4/2010 INDUSTRIAL Combined ratio BALTIC AND RUSSIA Combined ratio 99,6% 97,5% 90,7% 90,6% 89,9% 85,2% 91,7% 93,4% 2009 2010 Q4/09 Q4/10 2009 2010 Q4/09 Q4/10 HIGHLIGHTS GWP increased by 20.4% in euro compared to Q4 last year Combined ratio improved by 4.7 %-points from Q4/09 KEY FIGURES GWP: EUR 64 m (53) NPE: EUR 107 m (101) Technical result: EUR 20 m (17) Risk ratio: 66.1% (69.7%) Cost ratio: 19.1% (20.3%) Insurance margin: 18.9% (16.7%) HIGHLIGHTS Combined ratio improved by 2.1%-points due to strong improvement of risk ratio, offset partly by deterioration in cost ratio Premiums decreased slightly KEY FIGURES GWP: EUR 28 m (30) NPE: EUR 30 m (36) Technical result EUR 2 m (3) Risk ratio: 56.5% (61.9%) Cost ratio: 41.0% (37.7%) Insurance margin: 6.9% (7.6%) 47
If P&C s technical result by country 2010 EURm 500 9 (37) 15(22) 6(5) 400 90 (118) 300 200 150 (128) 449 (488) 100 0 179 (177 in 2009) Norway Sweden Finland Denmark Baltic & Russia Other Group 48
If P&C - key figures by country Q4/2010 Combined ratio Combined ratio 92,0% 92,1% 83,4% 88,6% 95,2% 93,3% 96,9% 89,4% 2009 2010 Q4/09 Q4/10 2009 2010 Q4/09 Q4/10 NORWAY GWP: EUR 316 m (313) NPE: EUR 357 m (347) Technical result: EUR 54 m (74) Risk ratio: 65.8% (61.4%) Cost ratio: 22.8% (22.0%) Insurance margin: 15.0% (21.5%) SWEDEN GWP: EUR 296 m (277) NPE: EUR 298 m (272) Technical result: EUR 47 m (27) Risk ratio: 64.6% (73.5%) Cost ratio: 24.8% (23.4%) Insurance margin: 15.8% (9.9%) Combined ratio Combined ratio 88,5% 90,4% 98,6% 95,8% 93,7% 101,4% 96,7% 108,4% 2009 2010 Q4/09 Q4/10 2009 2010 Q4/09 Q4/10 FINLAND GWP: EUR 122 m (112) NPE: EUR 207 m (201) Technical result: EUR 8 m (7) Risk ratio: 72.5% (71.5%) Cost ratio: 23.3% (27.1%) Insurance margin: 3.8% (3.3%) DENMARK GWP: EUR 71 m (68) NPE: EUR 83 m (77) Technical result: EUR -5 m (6) Risk ratio: 79,9% (67.9%) Cost ratio: 28.5% (28.9%) Insurance margin: -5.5% (8.4%) 49
If P&C s solvency capital EURm 31 December 2010 31 December 2009 Shareholders equity 2,545 2,199 Subordinated notes 414 414 Deferred tax assets and liabilities, net 414 330 Solvency capital 3,373 2,943 50
Solvency capital & solvency ratio for If P&C EURm % 100 % 3 000 2 000 70 % 88 % 74 % 71 % 66 % 77 % 79 % 80 % 60 % 54 % 40 % 1 000 20 % 0 2003 2004 2005 2006 2007 2008 2009 2010 0 % Solvency capital (lhs) Solvency ratio (rhs) 51
If P&C s reserve strength 300 % 250 % 200 % 245 % 246 % 254 % 257 % 240 % 240 % 236 % 150 % 100 % 135 % 192 % 144 % 152 % 161 % 166 % 170 % 172 % 173 % 50 % 0 % 2003 2004 2005 2006 2007 2008 2009 2010 Reserves/NWP Reserves/Claims paid 52
If P&C - key figures by quarter Q410 Q310 Q210 Q110 Q409 Q309 Q209 Q109 Q408 Premiums earned, net (EURm) Technical result (EURm) 974 981 972 949 931 916 904 892 924 106 129 143 68 114 133 136 105 129 Risk ratio (%) 67.7 67.2 66.5 74.8 67.6 66.9 66.7 70.7 67.4 Cost ratio (%) 24.6 23.5 23.4 23.5 25.0 24.0 24.0 23.5 24.5 Expense ratio (%) 17.8 17.0 17.2 16.9 18.5 17.3 17.4 17.2 18.2 Combined ratio (%) 92.3 90.6 89.9 98.2 92.7 90.9 90.7 94.2 91.9 Insurance margin (%) 10.9 13.3 14.7 7.2 12.2 14.6 15.0 11.8 14.0 53
LIFE INSURANCE 54
Mandatum Life Group s profit before tax and comprehensive income 2006-2010 EURm 500 Profit before taxes Comprehensive income 495 250 295 286 342 80 140 121 142 332 0-250 -500-378 2006 2007 2008 2009 2010 55
Life Insurance profit by components 2005-2010 EURm 2010 2009 2008 2007 2006 2005 Investment result 101 103 107 320 249 199 Expense result** 8 5 7 16 14 11 Risk result 23 14 16 17 8 9 Others 10-0 10-11 24 15 Profit before taxes 142 121 140 342 295 234 Change in the market value of investments 306 536-651 -234 91 211 Profit at market values before taxes 448 658-511 108 386 444 **result of unit-linked business EUR 1.5 m 56
Mandatum Life Group s expense ratio 2006-2010 % 120 110 101,9 101,0 111,3 109,3 110,4 100 90 80 81,3 80,6 89,6 91,8 90,1 70 60 2006 2007 2008 2009 2010 Total expense ratio Incl. kick backs 57
Mandatum Life breakdown of premiums written & insurance savings Premiums written, EURm 1-12/2010 *) 3 Insurance savings, EURm 12/2010 21 19 202 197 Unit-linked life Unit-linked pension 1 173 Unit-linked capital redemption 66 58 135 Unit-linked Baltic Other life Other pension 3 793 1 070 454 Other capital redemption Other Baltic 334 729 146 *) differs from P/L due to eliminations within Life group 58
Mandatum Life - Net premiums EURm 1 200 1 111 1 000 800 600 649 660 618 529 803 400 200 0 2005 2006 2007 2008 2009 2010 59
Mandatum Life s market share in Finland % 30 25 20 15 25,5 17,9 20,8 19,5 25,2 22,4 21,5 20,4 19,8 19,3 27,9 28,2 24,8 22,0 10 All products 5 Unit-linked 0 2004 2005 2006 2007 2008 2009 2010 60
Mandatum Life technical reserves traditional vs. unit-linked EURm 6 000 607 884 1 262 1 752 2 071 1 637 2 359 3 124 4 000 2 000 4 652 4 626 4 738 4 695 4 621 4 487 4 431 4 410 0 2003 2004 2005 2006 2007 2008 2009 2010 Guaranteed interest rates Unit-linked 61
Result of Mandatum Life s unit-linked business EURm 2010 2009 2008 2007 2006 2005 Total expense loadings, premiums 7.5 7.0 6.8 8.6 8.4 7.8 Total expense loadings, savings 28.1 17.1 16.9 16.1 12.5 9.3 Fee and commission income 16.0 12.0 15.2 16.8 15.4 7.3 Income total 51.6 36.1 38.8 41.5 36.3 24.4 Commissions -13.1-10.5-14.3-18.6-17.8-13.6 Other acquisition costs -15.0-14.0-11.0-7.9-5.4-5.3 Other operating expenses -21.4-15.7-11.8-8.0-6.4-6.9 Expenses total -49.4-40.3-37.1-34.5-29.6-25.8 Expense result 2.2-4.2 1.7 7.0 6.7-1.3 Return on minimum solvency margin 0.3 0.3 0.9 0.8 0.5 0.2 Other items -0.5 0.7-0.7-1.8 0.4 0.4 Result before taxes 2.0-3.2 1.8 5.9 7.6-0.7 Taxes -0.5 0.8-0.5-1.5-2.0-0.2 Result after taxes 1.5-2.4 1.3 4.4 5.6-0.5 62
Mandatum Life s investments, 31 December 2010 Equity 28 % Private Equity 4 % Investment allocation Total EUR 6.0bn Hedge Funds 3 % Real Estate 3 % Money Market 10 % Bonds 51 % EURm 800 500 200-100 -400 391 429 AFS investments Unrealized gains before taxes 255 287 136 180 19-67 -48-242 -63-291 -275-354 Equities Bonds -126-105 181 61 120 272 143 130 417 343 253 164 188 155 485 318 167 *) 586 450 136 Duration 2.67years Fixed income running yield 5.2% 63 *)excl. hedging derivatives
Mandatum Life MTM Investment returns 2003-2010 Fixed income running yield Q3/09 Q4/09 Q1/10 Q2/10 Q3/10 Q410 6.2 5.4 5.3 5.0 4.9 5.2% 20 % 16,8% 15 % 10 % 9,5% 8,3% 12,0% 9,7% 11,1% 5 % 5,0% 0 % -5 % -10 % -7,8% 2003 2004 2005 2006 2007 2008 2009 2010 64
Solvency of Mandatum Life Group, EURm 2010 2009 Solvency capital Capital and reserves 1070 738 Dividend payment 0 0 Subordinated capital 100 100 Unrealised gains 17 15 Deferred taxes from Fair Value Reserve 153 74 Deferred taxes on profit brought forward 11 17 Other items -12-14 Total 1,339 930 Technical provisions Technical provisions on own account 7,530 6,786-75% of t/p in unit linked insurance -2,343-1,769 Total 5,187 5,017 Solvency ratio % of technical reserves 25.8 18.5 65
Mandatum Life s solvency ratio 30 % 25 % 25,8% 21,3% 20,1% 20 % 17,8% 17,7% 16,5% 18,5% 15 % 10 % 7,9% 5 % 0 % 2003 2004 2005 2006 2007 2008 2009 2010 66
HOLDING 67
Holding segment profit before taxes 2010 EURm 600 500 400 2009 2010 523 474 300 200 100 0-100 -200 122 76 Income -28-24 Operating costs -58-100 36 Finance costs Nordea Profit before taxes 68
Dividends received by Sampo plc in 2005-2010 EURm 1 600 1 400 1 200 1 000 800 600 400 200-1 406 75 300 754 35 490 200 511 1 031 141 130 100 519 200 249 181 Banking*) Mandatum Life If 744 568 204 80 488 540 2005 2006 2007 2008 2009 2010 *) Sampo Bank 2005-2006 Nordea 2007-2010 69
Sampo plc balance sheet 31 December 2010, EURm Assets total 8,553 Liabilities total 8,553 Liquidity 570 CPs issued 576 Investment assets 40 LT senior debt 1,156 Real estate 4 Private placements 82 Private equity 16 Bonds issued 944 Other investments 20 Pension insurance loans 130 Subordinated loans 145 Subordinated debt 0 Equity holdings 7,674 Capital 6,696 Subsidiaries (If, ML) 2,370 Undistributable capital 98 Associated (Nordea) 5,304 Distributable capital 6,598 Other assets 124 Other liabilities 126 70
NORDEA 71
Change in Sampo s Nordea ownership EURm 1 000 900 18,2% 19,8% 20,1% 20,3% 20,5% 20,5% 20,5% 21,3% 800 700 600 500 400 300 200 100 0 0,4% 1,7% 44 3,1% 81 3,7% 97 7,6% 196 9,6% 250 10,3% 267 10,3% 267 11,1% 288 12,2% 318 15,5% 402 734 800 809 818 830 830 830 860 72
Nordea s book value on Sampo Group consolidated balance sheet 31.12.2010 Nordea in Sampo s B/S EURm Acquisition price 5,303.6 Share of Nordea s net profit (2,663) 547.0 Depreciation -33.0 Deferred tax 8.7 Dividends -204.5 Share of Nordea s other comprehensive income (EUR 372m) 76.4 Share of Nordea s other changes in equity (EUR 91m) 18.6 Share of Nordea s goodwill change( EUR 139m) -28.6 Total 5,688.3 EUR 6.85/share 73
Sampo s Nordea stake fair value reserve/valuation differences *) 12/2008 12/2010 EURm MTM in FVR Valuation differences 1 500 1 000 500 0-500 -1 000-1 500-2 000-2 500-3 000-1 759-1 840-521 381 588 814 279 851 1 087 12/08 3/09 6/09 9/09 12/09 3/10 6/10 9/10 12/10 *) Valuation differences = Nordea MTM./. consolidation value 74
OUTLOOK 75
Sampo Group s outlook for the rest of 2011 Growth in the global economy is expected to pick up momentum and deleveraging to continue as markets prove their resilience and adaptiveness. The European debt crisis, if properly managed, is expected to abate gradually. All in all the economic landscape in 2011 is expected to be fairly benign. Sampo Group is expected to report a good result for 2011. P&C and life insurance operations are expected to report good and stable results and the contribution to profit of associated company Nordea Bank is anticipated to remain strong. The continuing rise of short term interest rates will also further strengthen Sampo Group s profits. If P&C is expected to reach its long-term combined ratio target of below 95 per cent in 2011. Profit is expected to remain very good. Nordea s contribution to the Group s profit is expected to be significant. Mandatum Life s profitability is expected to remain good although it is highly dependent on capital market developments. 76
Appendix 77
Sampo Group income statement by quarters Q4/09-Q4/10 EURm Q4/10 Q3/10 Q2/10 Q1/10 Q4/09 Insurance premiums written 1,127 1,007 1,198 1,764 1,077 Net income from investments 346 310 163 363 259 Other operating income 11 6 6 3 6 Claims incurred -886-855 -874-918 -792 Change in liab. for insurance and investment contracts -62 25 26-759 -61 Staff costs -133-135 -124-135 -134 Other operating expenses -162-125 -139-121 -130 Finance costs -33-35 -29-35 -25 Share of associates' profit/loss 152 140 106 124 0 Profit for the period before taxes 361 338 334 287 199 Taxes -59-55 -62-41 -51 Profit for the period 302 284 273 245 148 78
P&C insurance income statement by quarters Q4/09-Q4/10 EURm Q4/10 Q3/10 Q2/10 Q1/10 Q4/09 Insurance premiums written 843 784 942 1,416 787 Net income from investments 146 104 120 117 110 Other operating income 7 6 6 5 6 Claims incurred -672-660 -647-710 -630 Change in liab. for insurance and investment contracts 148 197 30-467 144 Staff costs -120-123 -113-122 -123 Other operating expenses -156-115 -123-108 -118 Finance costs -8-7 -7-7 -8 Share of associates' profit/loss 0 0 0 0 0 Profit for the period before taxes 188 186 208 125 168 Taxes -50-52 -54-33 -43 Profit for the period 138 134 154 92 125 79
Life insurance income statement by quarters Q4/09-Q4/10 EURm Q4/10 Q3/10 Q2/10 Q1/10 Q4/09 Insurance premiums written 284 223 256 348 289 Net income from investments 205 195 31 214 133 Other operating income 0 0 0 0 0 Claims incurred -214-195 -227-208 -162 Change in liab. for insurance and investment contracts -210-172 -4-292 -205 Staff costs -10-8 -8-9 -9 Other operating expenses -12-10 -14-14 -9 Finance costs -2-2 -2-2 -2 Share of associates' profit/loss 0 0 0 0 0 Profit for the period before taxes 42 31 33 36 36 Taxes -12-8 -8-8 -9 Profit for the period 29 24 24 27 27 80
Holding income statement by quarters Q4/09-Q4/10 EURm Q4/10 Q3/10 Q2/10 Q1/10 Q4/09 Insurance premiums written - - - - - Net income from investments 3 9 15 34 17 Other operating income 5 4 4 4 4 Claims incurred - - - - - Change in liab. for insurance and investment contracts - - - - - Staff costs -3-3 -3-4 -3 Other operating expenses -3-2 -3-3 -4 Finance costs -22-26 -22-30 -19 Share of associates' profit/loss 152 140 106 124 - Profit for the period before taxes 132 121 96 126-5 Taxes 3 5 1-1 2 Profit for the period 135 126 96 126-3 81