April 7, 2006 On 3 April 2006, the Board Directors of the Athens Stock Exchange decided to place the Company in the supervisory trading category because the value of its net equity as at 31/12/2005 felt below the 50% threshold compare to the value of its share capital (article 47 of Law 2190/1920). It is stressed that the reduction in the net equity was created mainly due to the negative adjustments of Euro 22.6 mil. coming from the first-time adoption of IFRS, especially IFRS 4 concerning insurance reserves.
As it is mentioned in detail in the notes to the 2005 annual financial statements (note 2.1), the Company does not face a going-concern issue. The typical issue of article 47 of Law 2190/1920 is under review and will be addressed in the upcoming Shareholders' Ordinary General Meeting. In any case, the principle shareholder, Emporiki Bank, intents to support the Company should the need arises.
PHOENIX METROLIFE EMPORIKI S.A., continues the implementation of its restructuring plan so as to maintain its leading position and to contribute significantly to the development of the Greek Insurance industry, as it does since 1928.
