21st Feb 2008 07:00
Legal & General Group Plc21 February 2008 21 February 2008 Legal & General With-profits Bonus Announcement 2007 Highlights: Total Bonuses declared of £665m - up 12% on 2006 With-profits bond sales increased by 25% in 2007 Investment return of 5% gross for Conventional With-profits Life policyholders1 25 year endowments maturing in March 2008 will hit their target amount with an average surplus of almost 40% Green and amber endowments up to 72% (up from 60% in 2006) 2 Annual bonus for endowments increased from 0.75% to 1.25% on the sum assured Legal & General With-profits Managing Director Mark Gregory said: "With-profits has proved its strengths for policyholders this year in volatileinvestment markets. Endowment customers with maturing policies continue tobenefit from strong returns and 25 year policies maturing in March 2008 willreceive an average surplus of almost 40%. "The increase we have seen in sales this year emphasises the attractions of astrong with-profits provider for investors with a cautious attitude to risk whowant long-term real returns. "Our active approach to managing the fund meant that in 2007 we switched over£3bn between asset classes to deliver strong investment returns for holders. Weare fully committed to with-profits and have structured our business to supportthese products." Legal & General has approximately 800,000 with-profits policyholders andapproximately 29,000 endowments matured in 2007. Notes: 1 Return generated in 2007 on assets backing With-profits policies, statedpre-tax and charges. 2 RAG status based on the re-projection mailings completed in 2007 for policiesmaturing over the next five years compared to RAG status based on the fourthround of re-projection mailings completed in 2006. 25 year savings endowment, male aged 29 at entry, £50pm 1/3/83 to 1/3/08 Maturity value £44,966(7.9% annualised return vs. inflation of 3.3%, real return of 4.4%) 1/3/83 to 1/3/07 Maturity value £42,129(8.1% annualised return vs. inflation of 3.3%, real return of 4.6%) 1/3/82 to 1/3/07 Maturity value £45,399(8.0% annualised return vs. inflation of 3.3%, real return of 4.4%) For further examples of payouts please see full tabular data available from ourMedia Centre at: http://www.legalandgeneralmediacentre.com/ ENDS Notes to Editors About Legal & General Legal & General Assurance Society Limited is authorised and regulated by theFinancialServices Authority. Registered in England No 166055.Registered office: One Coleman Street, London EC2R 5AA. Legal & General is a leading UK risk, savings and investment group. Founded over170 years ago, Legal & General today provides life assurance and other financialprotection products, annuities and long-term savings products including ISAs andpensions. With over £250 billion in funds under management, it is also thelargest investor for UK pension funds. Legal & General has over 5.5 million UKcustomers. Our products are sold through over 30 bank and building societyrelationships, through Independent Financial Advisers and also directly tocustomers. Legal & General Assurance Society Limited, our principal operatingcompany, is one of Europe's top rated life companies for financial strength,with an AA+ rating from Standard & Poor's and Aa1 from Moody's. Enquiries to:Institutional Investors: Jonathan Maddock, Head of Investor Relations 020 3124 2150Nicola Marshall, Investor Relations Manager 020 3124 2151 Media: John Godfrey, Corporate Communications Director 020 3124 2090Anthony Carlisle, Citigate Dewe Rogerson 07973 611888Richard King, Head of Media Relations 020 3124 2095Rebecca Perry, PR Manager 01737 375353 Forward-looking statements: This document may contain certain forward-looking statements with respect tocertain of Legal & General Group Plc's plans and its current goals andexpectations relating to future financial condition, performance and results. Bytheir nature forward-looking statements involve risk and uncertainty becausethey relate to future events and circumstances which are beyond Legal & GeneralGroup Plc's control, including, among others, UK domestic and global economicand business conditions, market related risks such as fluctuations in interestrates and exchange rates, the policies and actions of governmental andregulatory authorities, the impact of competition, the timing impact and otheruncertainties of future mergers or combinations within relevant industries. As aresult, Legal & General Group Plc's actual future condition, performance andresults may differ materially from the plans, goals and expectations set out inLegal & General Group Plc's forward-looking statements. Legal & General GroupPlc does not undertake to update forward-looking statements contained in thisdocument or any other forward-looking statement it may make. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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