August 31, 2006 In the first six month of 2006 the company showed a profit of Euro 0.23 mil compare to the loss of Euro 3.60 mil reported during last year's respective period. On a consolidated basis profit reached Euro 2.01 mil. versus previous year loss of Euro 3.20 mil.
Premiums have fallen compare to last year mainly due to the continuing corrective actions regarding the restructuring of the Motor (3rd party liability) class of business.
Despite the decrease in premium revenue, the Company showed a significant improvement in the bottom line, compare to last year. This is because the significant increase in the technical result of the Life class of business, arising mainly from increase in interest rates, covered the lower investment income, as well as the 2005 positive effect from the readjustment of the terms and conditions of the investment contracts (DAF). At the same time, during the 2006 first six month, the bottom line improved both due to continuous decrease in operating expenses and the decrease in other provisions.
Τhe Company's net Equity as at 30/06/2006, remains as it was at 31/12/2005, below the 50% threshold compare to the value of its share capital. The main shareholder, EMPORIKI BANK, according to the statement made of the ordinary General Meeting, examines all the alternative corrective actions regarding this issue.
PHOENIX METROLIFE EMPORIKI S.A. continues the implementation of its restructuring plan so as to sustain its leading position and to contribute significantly to the development of the Greek Insurance industry, as it does since 1928.
