First quarter result 2006 significantly improved

Operating profit (1) is expected to increase to approximately 2.7 billion Euros from 1.9 billion Euros and quarterly net income to approximately 1.8 billion Euros from 1.3 billion Euros (2). Shareholders’ equity at the end of the first quarter 2006 will therefore increase to over 41 billion Euros from 39.5 billion Euros as of 31.12.2005. All segments have contributed to this positive trend.

Due to benign capital markets Allianz has already realized in the first quarter of 2006 a disproportionate part of its capital gains target for the year 2006. Dresdner Bank and parts of the life insurance business have benefited from this positive environment. There has also been an absence of significant claims from natural catastrophes. As in previous years the first quarter is expected to make a disproportionate contribution to the targeted full year result. Allianz further expects to reach net income of 4.9 billion Euros (3) for the business year 2006.

Allianz will publish its full quarterly report on 12 May.


(1) The definition of operating profit was amended in line with European market practice in the first quarter of 2006. The comparable figure for the previous year was amended accordingly (from 1.8 to 1.9 billion Euros).

(2) The quarterly net income originally reported for Q1 2005 of 1.2 billion Euros was adjusted in Q3 2005 in line with retrospectively applicable accounting rules.

(3) Calculation based on a shareholding of 76.3 percent in RAS.

Cautionary note regarding forward-looking statements
Certain of the statements contained herein may be statements of future expectations and other forward-looking statements that are based on management's current views and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. In addition to statements which are forward-looking by reason of context, the words ‘may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, potential, or continue’ and similar expressions identify forward-looking statements. Actual results, performance or events may differ materially from those in such statements due to, without limitation, (i) general economic conditions, including in particular economic conditions in the Allianz Group's core business and core markets, (ii) performance of financial markets, including emerging markets, (iii) the frequency and severity of insured loss events, (iv) mortality and morbidity levels and trends, (v) persistency levels, (vi) the extent of credit defaults, (vii) interest rate levels, (viii) currency exchange rates including the Euro-U.S. dollar exchange rate, (ix) changing levels of competition, (x) changes in laws and regulations, including monetary convergence and the European Monetary Union, (xi) changes in the policies of central banks and/or foreign governments, (xii) the impact of acquisitions, including related integration issues, (xiii) reorganization measures, and (xiv) general competitive factors, in each case on a local, regional, national and/or global basis. Many of these factors may be more likely to occur, or more pronounced, as a result of terrorist activities and their consequences. The matters discussed herein may also involve risks and uncertainties described from time to time in Allianz AG’s filings with the U.S. Securities and Exchange Commission. The company assumes no obligation to update any forward-looking statement.

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The company assumes no obligation to update any information contained herein.