| Wed 25 Jun 2008, 8:00 | | OML - Old Mutual PLC - US Business Showcase |
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OML
OLOML
OML - Old Mutual PLC - US Business Showcase
OLD MUTUAL PLC
ISIN CODE: GB0007389926
JSE SHARE CODE: OML
NSX SHARE CODE: OLM
ISSUER CODE: OLOML
US Business Showcase
Jim Sutcliffe, Old Mutual Chief Executive, Tom Turpin, Bruce Parker and
other key members of the US senior management team will be giving a series
of presentations today to UK analysts and investors, starting at 12.30pm at
Old Mutual Place, 2 Lambeth Hill, London, EC4V 4GG.
The presentations will outline the US strategy and recent structural
changes, including the appointment of Tom Turpin and Bruce Parker as Chief
Executive Officers of the Asset Management and Life businesses respectively.
They will provide an overview of both businesses, including an explanation
of the multi-boutique operating model in Asset Management and the Life off-
shore operations. They will also cover products, risk management and the
investment process, as well as showcasing the US brand building strategy.
Both the Asset Management and Life businesses in the US are performing well
and continue to make good progress. As we are approaching the half year
end, we are today also providing some guidance on trading for both Old
Mutual`s US businesses for the first half.
In the US Asset Management business, our net client cashflow continues to be
positive, which is pleasing in the current environment. Reflecting the
impact of tougher markets, Adjusted Operating Profits are running at a
little over 10% below the 2007 rate, when we reported $324 million for the
full year.
In the US Life business, sales have continued at roughly the same rate as we
achieved for the full year last year and margins have been comparable.
However, due to the difficult economic operating environment, additional
credit impairments are required and the cost associated with guarantees has
risen. We have therefore decided to strengthen our guarantee reserves, and
accordingly will make allowance for $60-$70 million in the first half.
Despite the impact of this reserve, Adjusted Operating Profits for the first
half will be in a range around 75% of the 2007 rate, when we reported $195
million for the full year. Underlying operating profits for the half are
likely to be in the $130-$140 million range.
A live webcast of the presentations will be available on our website
www.oldmutual.com and the presentations will be available from 12 noon. A
conference call facility is also available for those unable to attend the
presentation. Details are set out below:
Time: 12.30pm UK time
UK dial in: 0500 551 088
US dial-in: +1 866 803 8344
South Africa dial-in: 0800 991 461
Sweden dial-in: +800 0208 0208
Enquiries
Investor Relations
Mary Jackets UK +44 (0)20 7002
7149
Aleida White UK +44 (0)20 7002
7287
Deward Serfontein SA +27 (0)82 810 5672
Media
Matthew UK +44 (0)20 7002
Gregorowski 7133
Nad Pillay SA +27 (0)82 553 7980
Notes to Editors
Old Mutual
Old Mutual plc is an international savings and wealth management company
based in the UK. Originating in South Africa in 1845, the group has a
portfolio of businesses offering asset management, life assurance, banking
and general insurance services in over 40 countries in Europe, the Americas,
Africa and Asia-Pacific. Old Mutual plc is listed on the London Stock
Exchange and the JSE, among others.
In the year ended 31 December 2007, the group reported adjusted operating
profit of GBP1.62 billion (on an IFRS basis) and had GBP279 billion of funds
under management at the year end. The Company has approximately 53,000
employees.
For further information on Old Mutual plc, please visit the corporate
website at www.oldmutual.com
Forward-looking statements
This announcement or presentation may contain certain forward-looking
statements with respect to certain of Old Mutual plc`s plans and its current
goals and expectations relating to its future financial condition,
performance and results. By their nature, all forward-looking statements
involve risk and uncertainty because they relate to future events and
circumstances that are beyond Old Mutual plc`s control, including, among
other things, UK domestic and global economic and business conditions,
market-related risks such as fluctuations in interest rates and exchange
rates, policies and actions of regulatory authorities, the impact of
competition, inflation, deflation, the timing and impact of other
uncertainties or of future acquisitions or combinations within relevant
industries, as well as the impact of tax and other legislation and other
regulations in territories where Old Mutual plc or its affiliates operate.
As a result, Old Mutual plc`s actual future financial condition, performance
and results may differ materially from the plans, goals and expectations set
forth in Old Mutual plc`s forward-looking statements. Old Mutual plc
undertakes no obligation to update any forward-looking statements contained
in this announcement or presentation or any other forward-looking statements
that it may make.
Ref 126/08
25 June 2008
Sponsor
Merrill Lynch
Date: 25/06/2008 08:00:02 Produced by the JSE SENS Department.
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