Allianz has become one of the strategic partners of the global bank HSBC in the property and casualty insurance business. Allianz CEO Michael Diekmann announced this cooperation in Europe, the Middle East and Asia Pacific in his speech at today's Annual General Meeting (AGM) in Munich. "I am confident that a very exciting global business relationship can be created here for both partners," said Diekmann.

Diekmann also announced the introduction of unit-linked annuity insurance policies with explicit benefit guarantees, following the US and Japanese model: "During the course of 2008, we will be introducing this new product family in several of our core European markets, and in Germany this summer." He explained that market analyses had demonstrated that there was a strong demand for this combination of capital market performance and security.

As announced, the board of management of Allianz SE has proposed a dividend increase to 5.50 euros per share to the AGM. "This corresponds to an increase of some 45 percent and highlights the fact that we are confident of strong earnings over the long term," said Diekmann. "As a leading financial services provider, we are concerned to establish our strong position not least with an attractive dividend policy. We want to put this policy into practice with a payout ratio of approximately 31 percent and a dividend yield of more than four percent."

In the German insurance business, the remodeling is taking shape: Diekmann mentioned that the new business model had been introduced in two of the four service areas; also, for the first time there was an integrated customer database, and the call center saved time and money.

"But the path into the new world is stony," Diekmann admitted, mentioning technical problems and backlogs. "Many examples in the history of Allianz demonstrate that long-term success is only possible if you reinvent yourself periodically, even if this process is uncomfortable." He cited the introduction of punch cards in 1923 and the launch of modern data processing systems during the 1970s: "Without the far reaching, painful changes of the time, we would not be number one in Germany today."

He is also sure that Allianz can stay on schedule: "During the coming months, the service areas in the south will be converted to the new structure. This will mean we have completed the restructuring by the close of the fiscal year 2008 as scheduled."

Diekmann expressed general satisfaction with the company's position. The Allianz brand has been strengthened: "In 2009, more than 80 percent of sales will be generated under the Allianz brand." The number of customers worldwide has risen from 60 to more than 80 million in the last five years.

In closing, he told the shareholders: "Your Allianz was extraordinarily successful during the course of 2007, and we are also confident about 2008, despite the setbacks in results experienced during the first quarter. The business model of your company is designed for the long term and we are consistently pursuing our path of placing Allianz in a position to meet the challenges of the future."

As with all content published on this site, these statements are subject to our Forward Looking Statement disclaimer, provided on the right.