euro adhoc: Generali Holding Vienna AG / Mergers - Acquisitions - Takeovers / Generali enters Bulgaria: Acquisition of 51% in Orel-G Holding

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10.07.2006

Generali enters Bulgaria: Acquisition of 51% in Orel-G Holding

The Orel-G Group is a leading player in the Bulgarian insurance
market, holding top positions in life and health insurance.

Generali Holding Vienna AG has signed an agreement for the
acquisition of a 51% share-holding in Orel-G Holding AD from
Orel-Consult AD. With the entry in Bulgaria, which follows the recent
acquisitions in Serbia, Croatia and Ukraine, Generali has taken a
further step to strengthen and expand its strategic presence in
Central and Eastern Europe, where it now operates in ten countries.

The Orel-G Group closed 2005 with a premium income of approximately
EUR 28 million, recording a strong acceleration of business on a
like-for-like basis with respect to 2004 (+22%). The result was
driven principally by sickness insurance (+ 34% from 2004) and by
life business (+30% from 2004). The Orel-G Group operates in the
Bulgarian market through three companies: Orel AD in the non-life
sector, Orel Life AD in the life, and Zakrila AD in the health
insurance business.

Zakrila AD is by far the dominant player in health insurance, holding
a 60% share of the market thanks to a polyclinic it owns and to
agreements with 270 health institutions across the country. Orel Life
AD, holding a market share of 10%, ranks fourth in Bulgarian life
insurance. Orel AD, on the other hand, focuses on non-life business
with auto insurance representing 64% of its portfolio.

The Orel-G Group’s sales network is evenly distributed across the
country with 87 territorial offices and approximately 8,000 salesmen.
Besides the traditional selling channels, the Orel-G Group can rely
on a series of bancassurance agreements for the distribution of
mainly its life insurance products.

Generali in Central and Eastern Europe

In 2005, the Generali Group ranked fourth among foreign players in
central and eastern Europe, closing the year with a premium income of
EUR 936,8 million, up 22% from the previous year. Currently Generali
has a significant presence in Eastern Europe with approximately 4
million clients, operating in ten countries with a historically known
brand (Hungary 1989, Czech Republic and Romania 1993, Slovenia 1996,
Slovakia 1997, Poland 1999, Croatia 2002, Serbia, Ukraine and
Bulgaria 2006).

end of announcement euro adhoc 10.07.2006 14:30:00
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ots Originaltext: Generali Holding Vienna AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Generali Holding Vienna AG
Josef Hlinka
Tel.: (++43-1) 534 01-1375
Fax: (++43-1) 534 01-1593
mailto:josef.hlinka@generali.at
http://www.generali-holding.at

Branche: Insurance
ISIN: AT0000661350
WKN: 873075
Index: WBI, ATX Prime
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