Joint ventures

Since 30 September 2010 one company has been included in the consolidated financial statement on a proportionate basis as a joint venture in accordance with IAS 31 “Interests in Joint Ventures”.

In July 2010 Proactiv Holding AG, Hilden, acquired 50% of the shares of Credit Life International Services GmbH, Neuss, from Rheinland Versicherungs AG for a purchase price of EUR 13 thousand. The acquisition took place with retroactive effect from 1 January 2010. Owing to the merger of Proactiv Holding AG into Talanx Deutschland AG (TD), these shares are currently held by TD. Prior to acquisition the acquired company did not conduct any form of business activity whatsoever. The business object of Credit Life International Services GmbH is the mediation of insurance products with and without underwriting, collection and loss adjustment powers as well as the provision of consulting services for companies. Since TD and Rheinland Versicherungs AG, Neuss, each hold a 50% interest in the share capital of EUR 25 thousand, Credit Life International Services GmbH is included in the consolidated financial statement for the first time from the third quarter of 2010 onwards as a joint venture on a proportionate basis.

There are no contingent liabilities or capital commitments whatsoever on the part of TD with respect to Credit Life International Services GmbH. Of the company consolidated on a proportionate basis, current and non-current assets and liabilities as well as income and expenses in amounts of EUR 2 million each are attributable to the Group share. Goodwill did not arise in the context of this transaction. At the time of its acquisition the joint venture was of subordinate importance from the standpoint of the Talanx Group.