UK - Financial giant Prudential has said its brand unification will not be expanded to include fund manager arm M&G in the near future.
The comments come as Prudential revealed plans last week to move to a single brand for its pensions business Scottish Amicable in the UK, which is being absorbed into the brand.
Prudential’s chief executive of UK and European insurance operations Mark Wood said: “Our focus will be on delivering profitable growth by providing good value and secure savings, pensions and investment products to our customers.”
Wood refused to be drawn on the vexed question of whether M&G would come under his executive powers, and simply stated “that is for others to know”.
The UK head – who was appointed in June this year – enforced the strong Prudential and said: “Prudential has an outstanding brand in the UK and when combined with our financial strength, I believe that we are extremely well placed for the future.”
Prudential will slash staff numbers by 2,100 by the end of 2003 with around 1,000 coming from compulsory redundancies in the central back office and support areas of the business.
*In a separate statement Prudential announced the sale its UK personal business to Credit Suisse subsidiary Winterthur Life – reinforcing its decision to move its core business to medium and long term investment business.
Winterthur is set to pay the insurer around £810m for these purchases which will give Prudential a substantial war-chest for expansion into new markets.
Prudential aims to make savings of over £175m from 2004 in implementing these measures.
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