NETHERLANDS/BELGIUM - Dutch/Belgian financial group Fortis has told investors to expect a 7% dip in net profit for 2001, compared to 2000's company high of EUR2,768m.
The firm blamed weak financial markets and badly hit insurance operations for the fall.
Last year, Fortis carried out a review of its credit and investment portfolios which confirmed the need for higher provisions particularly with regard to its US insurance activities.
As a result, it is expected that the net operating profit for 2001 will be around 5% lower than in 2000 at EUR2,355m.
Fortis has put aside a further EUR195m for restructuring of those units that caught the brunt of last year’s volatile climate, including provisions for early retirement in The Netherlands and Belgium. The provision will be charged to the non-operating items.
The annual results will be presented on March 13, 2002.
By Madhu Kalia
Mark Evans has been appointed as a director at Independent Trustee Services (ITS) to lead trustee appointments in London.
The Pension Protection Fund (PPF) is consulting on changes to the actuarial assumptions it uses in valuations in a bid to better reflect the bulk annuity market, with schemes set to move into surplus on aggregate.
Private sector defined benefit (DB) schemes were 96.3% funded on a Pension Protection Fund (PPF) compensation basis at the end of July, according to the lifeboat fund's monthly index.
Conduent has completed the sale of its actuarial and human resource consulting business to private equity investor, H.I.G. Capital.