SCOR achieves a strong performance with 24% premium growth and a 3% price increase during the June-July P&C renewals

Press Release 24 July 2012 SCOR achieves a strong performance with 24% premium growth and a 3% price increase during the June-July P&C renewals During the June-July renewals, SCOR Global P&C (SGPC) has delivered a strong 24% premium increase at constant exchange rates to EUR 462 million. Prices are up 3% compared to 2011 and conditions have met expectations, thereby helping to improve year-to-date expected technical profitability, which is in line with the objectives of Strong Momentum V1.1. Around 12% of the annual P&C treaty premiums were up for renewal at June-July 2012. The EUR 372 million premiums up for renewal were mainly from Latin America (27% of the total), the US (24%), China (14%) and Australia (10%), split evenly between Specialty Lines (53%) and Treaties (47%). These renewals have benefitted from the Group's excellent franchise and market positions, which have been reinforced by the recent rating upgrades. On a year- to-date basis, prices are up 3%, and the expected operational performance from renewed and newly underwritten business meets all internal profitability targets. * P&C Treaties: premiums are up by 26%to EUR 220 million, with prices increasing by around 3% on average. This is a testimony to the fact that the Group is continuing to broaden and further deepen its franchise on a global scale. The portfolio continues to be actively managed, with around 12% of treaties having been either cancelled or restructured.           o The June-July renewals are particularly important for the Latin American & Caribbean region, with close to half of the area's business up for renewal. This region has witnessed growth of nearly 14%, with improving expected returns thanks to a focused underwriting approach.           o A significant part of Australia and New-Zealand premiums were up for renewal at 1(st) July, representing 20% of P&C Treaty premiums for the period. SGPC's Australian book is down by 17%, mainly due to some large treaties shifting from Proportional to Non-Proportional, but overall prices are up by close to 8% in Asia-Pacific, and the expected underwriting ratio has improved by 3 percentage points.           o Many other areas, which typically do not represent a large proportion of the June-July renewals (Europe, South Africa, Near & Middle East) have witnessed strong growth, concentrated on a few selected large treaties, and benefiting from the recent upgrades to "A+".    · Specialty Line Treaties: premiums are up by 23%to EUR 242 million, with prices increasing on average by around 2%. Key drivers of this growth are:           o Credit & Surety, with premium growth of 28%, led by a significant treaty in China, and positive development in Brazil.           o US CAT, with premium growth of 25%, on the back of price increases of +6%. SGPC continues to re-profile its overall CAT portfolio towards more US exposures for better balance and diversification, and its US CAT book towards large regional and national companies.           o Agriculture business typically represents a significant part of the June-July renewals, much of it from Latin America. However, renewals for this business will actually continue through to August. Trends witnessed so far on the book are favourable. Victor Peignet, CEO of SCOR Global P&C, comments: "These very strong renewals, combining growth with the strict application of our technical profitability criteria, further demonstrate our confidence in the assumptions of Strong Momentum V1.1. In addition to reinforcing its pre-renewal existing positions, SCOR Global P&C has managed to seize interesting opportunities, thereby further reinforcing its strong and global franchise, as witnessed in the 1/1 and 1/4 renewals this year." * *    * Forward-looking statements SCOR does not communicate "profit forecasts" in the sense of Article 2 of (EC) Regulation n°809/2004 of the European Commission. Thus, any forward-.looking statements contained in this communication should not be held as corresponding to such profit forecasts. Information in this communication may include "forward-looking statements", including but not limited to statements that are predictions of or indicate future events, trends, plans or objectives, based on certain assumptions and include any statement which does not directly relate to a historical fact or current fact. Forward-looking statements are typically identified by words or phrases such as, without limitation, "anticipate", "assume", "believe", "continue", "estimate", "expect", "foresee", "intend", "may increase" and "may fluctuate" and similar expressions or by future or conditional verbs such as, without limitations, "will", "should", "would" and "could." Undue reliance should not be placed on such statements, because, by their nature, they are subject to known and unknown risks, uncertainties and other factors, which may cause actual results, on the one hand, to differ from any results expressed or implied by the present communication, on the other hand. Please refer to SCOR's Document de référence filed with the AMF on 8 March 2012 under number D.12-0140 (the "Document de référence"), for a description of certain important factors, risks and uncertainties that may affect the business of the SCOR Group. As a result of the extreme and unprecedented volatility and disruption of the current global financial crisis, SCOR is exposed to significant financial, capital market and other risks, including movements in interest rates, credit spreads, equity prices, and currency movements, changes in rating agency policies or practices, and the lowering or loss of financial strength or other ratings. SCOR Press Release: This announcement is distributed by Thomson Reuters on behalf of Thomson Reuters clients. The owner of this announcement warrants that: (i) the releases contained herein are protected by copyright and other applicable laws; and (ii) they are solely responsible for the content, accuracy and originality of the information contained therein. Source: Scor via Thomson Reuters ONE [HUG#1628763]