FINANCIAL STATEMENTS
 
  REPORT ON GROUP EMBEDDED VALUE  
 
at 31 December 2008
 
 
EMBEDDED VALUE ATTRIBUTABLE TO GROUP
    Net asset   Value of   Embedded value  
    value  
Rm  
in-force  
Rm  
2008  
Rm  
2007  
Rm  
 
Covered business              
Metropolitan Life     4 142   3 567   7 709   8 769    
Metropolitan Odyssey     35   –   35   34    
Union Life     34   11   45   41    
International     525   583   1 108   981    
Metropolitan Life International     58   –   58   50    
Metropolitan Namibia     169   299   468   417    
Metropolitan Botswana     125   69   194   178    
Metropolitan Lesotho     113   202   315   307    
Metropolitan Kenya     13   3   16   17    
Metropolitan Ghana     –   8   8   12    
Metropolitan Swaziland     12   –   12   –    
Metropolitan Nigeria     35   2   37   –    
             
Total covered business     4 736   4 161   8 897   9 825    
Non-covered business              
Asset management     97   280   377   394    
Metropolitan Health Group     259   664   923   831    
Metropolitan Holdings (after consolidation adjustments)    1 479   (346)  1 133   1 387    
    1 835   598   2 433   2 612    
             
Diluted embedded value     6 571   4 759   11 330   12 437    
Diluted net asset value – non-covered business     (1 835)         
Disregarded assets     177          
Reporting excess – long-term insurance business     4 913          
             
  • The embedded value of the Metropolitan Health Group was net of R54 million for 2007, being the total liability of the option held by the management of the group. The liability was settled during February 2008.
  • Embedded value is net of minority interest.