Lumley General Insurance, a subsidiary of the Australian Group Wesfarmers, ranking amongst the top 20 listed companies in Australia, has successfully developed its credit insurance activity during the last five years with a specialized team of credit insurance professionals. The credit insurance portfolio in Australia and New Zealand is worth seven million Australian dollars (four million euros)

Present in more than 40 countries, Euler Hermes will reinforce through this acquisition its presence in the Pacific area. The group will offer Australian and New Zealand companies from now on its worldwide expertise in credit insurance. Furthermore, its unique database on national and international credit risks, its international presence through its commercial network and its aligned procedures and IT systems will be highly valuable for the credit insurance clients in Australia and New Zealand.

The estimated GDP growth for Australia and New Zealand is five to six percent in 2006 and the two countries proved to have attractive economic environment over the last 20 years.

Together with the new experienced team in the area and thanks to its business model and its financial solidity, recognized through the Standard & Poor’s Rating AA-, Euler Hermes will target to enlarge the importance of the existing portfolio significantly. The volume of the Australian and New Zealand credit insurance market is estimated around 100 million euros.

Euler Hermes is the world-wide leader in credit insurance and one of the leaders in bonding and guarantees. With 5,400 employees in 43 countries, Euler Hermes offers a complete range of services for the management of customer receivables. The group posted a two billion euro turnover in 2005.

Euler Hermes, subsidiary of AGF and a member of Allianz, is listed on Euronext Paris.

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