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Consolidated Cash Flow Statement 2008

The reporting on cash flows within the Group is based on IAS 7 "Statement of Cash Flows". In addition, we observed the principles set out in German Accounting Standard No. 2 (DRS 2) of the German Standards Council regarding the preparation of cash flow statements, which were supplemented by the requirements of DRS 2–20 that apply specifically to insurance enterprises. In accordance with the recommendation of the German Standards Council for insurance enterprises, we adopted the indirect method of presentation. The amounts taken into consideration are limited to cash and cash equivalents shown under the balance sheet item "Cash".

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CONSOLIDATED CASH FLOW STATEMENT

Figures in EUR thousand 2008 2007
    1.1.–31.12. 1.1.–31.12.
I. Cash flow from operating activities    
  Net income (loss) (134,984) 838,035
  Appreciation/depreciation 537,578 92,725
  Net realised gains and losses on investments 113,554 (174,311)
  Net realised gains and losses on discontinued operations (92,080)
  Amortisation of investments (8,737) (9,043)
  Changes in funds held (1,735,801) (728,897)
  Net changes in contract deposits 1,645,271 155,984
  Changes in prepaid reinsurance premium (net) 204,187 (71,536)
  Changes in tax assets/provisions for taxes (12,341) (141,612)
  Changes in benefit reserve (net) 399,654 566,914
  Changes in claims reserves (net) 733,112 461,279
  Changes in deferred acquisition costs (136,715) 83,135
  Changes in other technical provisions (35,452) (956)
  Changes in clearing balances (189,891) (161,390)
  Changes in other assets and liabilities (net) 79,418 93,806
  Cash flow from operating activities 1,458,853 912,053
       
II. Cash flow from investing activities    
  Fixed-income securities – held to maturity    
  Maturities 39,245 86,516
  Purchases (43,518)
  Fixed-income securities – loans and receivables    
  Maturities, sales 86,975 129,315
  Purchases (219,451) (490,617)
  Fixed-income securities – available for sale    
  Maturities, sales 10,421,889 5,459,925
  Purchases (12,558,404) (5,624,716)
  Fixed-income securities – at fair value through profit or loss    
  Maturities, sales 34,663 23,602
  Purchases (111,206) (25,001)
  Equity securities – available for sale    
  Sales 2,159,265 1,550,732
  Purchases (1,010,888) (1,880,906)
  Equity securities – at fair value through profit or loss    
  Sales 20,340
  Purchases (13,830)
  Other financial instruments – at fair value through profit or loss    
  Sales 156,010
  Purchases (69,012)
  Other invested assets    
  Sales 19,962 93,616
  Purchases (163,638) (137,436)
  Affiliated companies and participating interests    
  Sales 41,405 591,223
  Purchases (5,543) (1,663)
  Real estate    
  Sales 1
  Purchases (10,076) (166)
  Short-term investments    
  Changes 183,949 (279,507)
  Other changes (net) (29,247) (28,464)
  Cash flow from investing activities (1,034,102) (570,554)
       
III. Cash flow from financing activities    
  Contribution from capital measures 5,908 2,833
  Structural change without loss of control (5,126) (108,157)
  Dividends paid (318,865) (225,978)
  Proceeds from long-term debts 39
  Repayment of long-term debts (630) (10,006)
  Cash flow from financing activities (318,674) (341,308)
       
IV. Exchange rate differences on cash (11,274) (16,545)
  Change in cash and cash equivalents ( I+II+III+IV) 94,803 (16,354)
  Cash and cash equivalents at the beginning of the period 335,422 351,776
  Change in cash and cash equivalents according to cash flow statement 94,803 (16,354)
  Cash and cash equivalents at the end of the period 430,225 335,422
  Income taxes (134,451) (181,816)
  Interest paid (99,203) (163,643)