EANS-Adhoc: Vienna Insurance Group with Group Embedded Value, Solvency II ratio and final result for 2016 as well as adjustments to the 2015 result

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Disclosed inside information pursuant to article 17 Market Abuse Regulation
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The issuer is solely responsible for the content of this announcement.
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annual result/Adjustments to the 2015 result
19.04.2017

- Group Embedded Value further increased
- Solvency II ratio stable at 195 per cent as of 31 December 2016
- Profit (before taxes) confirmed unchanged at EUR 407 million in 2016
- Adjustments in accordance with IAS 8 lead to goodwill impairments in
2015 of approx. EUR 90 million

Group Embedded Value reaches about EUR 6 billion Embedded Value is
calculated according to international standards as the net asset
value of Vienna Insurance Group plus the present value of expected
future profits from existing life and health insurance policies. This
has been certified by KPMG Austria GmbH.

The sustainability of Vienna Insurance Group's insurance business is
reflected by the increase in the Group Embedded Value (after taxes),
growing to about EUR 6 billion as of 31 December 2016 (adjusted value
for 2015: EUR 5.7 billion). The new business margin once again
reached a high international standard of 6.1 percent in the CEE
region. The 2.0 per cent new business margin in Austria was a clear
improvement compared to the previous year.

Solvency II ratio unchanged at 195 percent The Solvency II ratio
calculated at the level of the listed VIG Group was 195 per cent at
the end of 2016. This already includes the call and repayment of
around EUR 256 million for the two supplementary capital bonds as of
12 January 2017. VIG's solvency therefore remains at an excellent
level.

Result Vienna Insurance Group will publish its Group Annual Report
for the 2016 financial year tomorrow. The auditor has certified the
previously published profit before taxes of EUR 406.73 million. Due
to changes in the goodwill recognised in Romania, Croatia, Hungary
and Albania/Kosovo, the Group shareholders' equity was adjusted by
around EUR 90 million. Profit before taxes in the 2015 financial year
declined by the same amount. The adjustment is based on an error
notification by the Austrian Financial Reporting Enforcement Panel
(AFREP). According to AFREP, the method that VIG used to determine
the interest rate for calculating the value in use of the cash
generating units (CGUs) was not IFRS-compliant because VIG used a
peer group financing structure that did not verifiably reflect the
asset-specific risk of the CGUs.

Dividend The resolution proposals for the Annual General Meeting on
12 May 2017 include the previously announced dividend of EUR 0.80 per
share that has, in the meantime, also been confirmed by the
Supervisory Board.

The following securities of VIG are admitted for trading on a
regulated market:

Issue title ISIN Trading segment
Aktie AT0000908504 Vienna and Prague Stock
Exchange, Official Market
VIG nachrang. Anl. 15 AT0000A1D5E1 Luxembourg Stock Exchange,
Second Regulated Market
VIG nachrang. Schuldv.13-43 AT0000A12GN0 Vienna Stock Exchange, Second
Regulated Market
Wr.Staedt. Hybridkap-Anl. 08 AT0000A09SA8 Vienna Stock Exchange, Second
Regulated Market

Further inquiry note:
VIENNA INSURANCE GROUP AG
Wiener Versicherung Gruppe
1010 Wien, Schottenring 30

Nina Higatzberger
Head of Investor Relations
Tel.: +43 (0)50 390-21920
Fax: +43 (0)50 390 99-21920
E-Mail: nina.higatzberger@vig.com

end of announcement euro adhoc
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issuer: Vienna Insurance Group Wiener Versicherung Gruppe
Schottenring 30
A-1010 Wien
phone: +43(0)50 390-21919
FAX: +43(0)50 390 99-23303
mail: investor.relations@vig.com
WWW: www.vig.com
sector: Insurance
ISIN: AT0000908504
indexes: WBI, ATX Prime, ATX
stockmarkets: official market: Wien, stock market: Prague Stock Exchange
language: English

Original-Content von: Vienna Insurance Group Wiener Versicherung Gruppe, übermittelt durch news aktuell