Disposal groups

Under the item “Assets of disposal groups classified as held for sale” a book amount of EUR 43 million was shown in the Life Primary Insurance segment as at 31 December 2008.

This amount refers primarily to real estate held for sale by Neue Leben Lebensversicherung AG (EUR 27 million) and HDI-Gerling Lebensversicherung AG (EUR 14 million).

The carrying amount of a real estate portfolio – consisting of 16 mixed properties (residential properties, commercial use) in Northern Germany – held by Neue Leben Lebensversicherung AG, which was combined into a disposal group in the fourth quarter of 2008, was written down by EUR 3 million as at the balance sheet date. This real estate, the sale of which has been initiated for 2009, was carried with a book value of EUR 27 million as at 31 December 2008 and classified as “held for sale”.

Under a purchase agreement dated 4 December 2008 HDI-Gerling Lebensversicherung sold land with an office building in Hamburg. The purchase price of EUR 19 million for the property is payable in two installments, the first of which was paid in the first quarter of 2009 in an amount of roughly EUR 4 million. The transfer of beneficial ownership is to take place no later than 31 October 2009 upon payment of the second installment of the purchase price in an amount of EUR 15 million, although the buyer may bring forward the date of payment – and hence also the date of transfer. The transaction is being effected with an eye to the strategic objective of reducing the real estate assets.