2003 full year results

Overview

Operating profit of £98 million (2002:£108 million), after significant improvement in the second half of 2003.
Loss on ordinary activities before tax of £864 million (2002 loss: £343 million) following write-downs, amortisation, impairment of goodwill and PVIF and profit on business disposals totalling £889 million (2002: £365 million).
Henderson operating profit £32 million (2002: £54 million), second half up 46% on first half.
Life Services operating profit £81 million (2002: £86 million), second half improved 133% on first half.
Henderson assets under management of £70.6 billion (2002: £68.7 billion).
Life Services' traditional embedded value (TEV) £1,145m, market consistent embedded Value (MCEV) £1,271m at 31 December 2003. At 30 June 2003 they were £845m and £900m respectively.
At 31 December 2003 free asset ratios were Pearl 2.1%, National Provident Life 1.4% and London Life 1.7%, compared to 1.8%, 0.4% and 1.1% respectively at 30 June 2003 and 2.7%, 1.3%, 2.6% at 31 December 2002. Implicit items included in 31 December 2003 totalled £43 million (31/12/02: £580 million).