Allianz Life Reports Financial Results for 2012

  Allianz Life Reports Financial Results for 2012

Strong profit report reflects disciplined pricing, growing assets, and expense

Business Wire

MINNEAPOLIS -- February 21, 2013

Minneapolis-based Allianz Life Insurance Company of North America (Allianz
Life) today reported operating profit of $586 million for its 2012 financial
year, an increase of 37% from $428 million in 2011. Growth in operating profit
was driven by disciplined pricing, a growing asset base, a commitment to
expense management, and realized gains on the company’s conservative and
stable investment portfolio. Operating profit is reported on the International
Financial Reporting Standards basis and includes earnings from recurring
business operations.

In addition, Allianz Life also improved its capital position, reporting a 16
percentage point increase in regulatory risked-based capital (RBC) ratio –
from 361% in 2011 to 377% in 2012.

Allianz Life reported total premium (new sales and recurring premiums) of $9.4
billion for 2012, down 14% from the prior year total of $10.8 billion. Fixed
annuity sales declined 16% to $5.5 billion in 2012 compared to $6.5 billion of
premium in 2011. Variable annuity sales decreased 12% to $3.3 billion of
premium in 2012 compared to $3.8 billion in 2011. Life insurance sales
increased 75% from $37 million in 2011 to $65 million in 2012. Sales results
reflected the impact of market conditions, pricing discipline, and an
increasingly focused distribution strategy.

At the close of 2012, Allianz Life’s assets under management increased 8% to
$102.9 billion, compared with $95.3 billion at the end of 2011.

“Allianz Life is financially strong, which is what Americans expect when
working with us to help grow and protect their retirement savings. We posted
very strong operating profits and continued to deliver innovative products,
despite low interest rates,” said Allianz Life President & CEO Walter White.
“Our focus on financial strength, as demonstrated by our improved capital
ratio, places us as one of the strongest financial companies in our

U.S. rating agencies recognized Allianz Life’s commitment to strengthening its
capital base. The agencies sustained the company's high financial strength
ratings throughout 2012, which have remained unchanged throughout and after
the 2008-2009 financial crisis. In October 2012, Standard & Poor’s affirmed
Allianz Life’s rating as AA (very strong); this is the third highest out of 21
possible ratings. On Oct. 4, 2012, Standard & Poor’s affirmed the financial
strength rating of Allianz SE of “AA” with a “negative outlook” which applies
to Allianz SE and other entities, including Allianz Life Insurance Company of
North America. Allianz SE remains one of the highest rated insurance companies
in the world.

In addition to the solid 2012 financial results, the company earned
distinction as:

  *#1 FIA Leader – Allianz Life was named the top seller of fixed index
    annuities for 13 consecutive quarters (based on sales), according to, Indexed Sales & Market Report, 3Q 2012;
  *FORTUNE Magazine Best Places to Work For – Named to FORTUNE magazine’s
    “100 Best Companies to Work For” list, ranking 59^th as one of only two
    Minnesota companies to earn this distinction;
  *Superior Service – Awarded 2012 Excellence in Sales Support because of the
    company provided “far superior” sales support compared to others in the
    financial services industry by DALBAR, the nation’s leading financial
    services market research and consulting firm;
  *Top Workplace – Allianz Life received the Minneapolis Star Tribune Top
    Workplace award (June 2012) and the Minneapolis/St. Paul Business Journal
    Best Places to Work award (August 2012);
  *Financial Literacy Focus – Received the Humanitarian Award in January 2012
    by BestPrep for the company’s commitment to promoting financial literacy;
  *Community Giving – Donated $1.8 million to local organizations in 2012
    primarily focused on senior services and financial literacy programs; and
  *Retirement Leader – Continued thought leadership in baby boomer retirement
    insights through a 2012 update to the Allianz American Legacies Study.

About Allianz Life
Allianz Life Insurance Company of North America, one of FORTUNE’s 100 Best
Companies to Work For in 2013, has been keeping its promises since 1896.
Today, it carries on that tradition, helping Americans achieve their
retirement income and protection goals with a variety of annuities and life
insurance products. As a leading provider of fixed index annuities, Allianz
Life is part of Allianz SE, a global leader in the financial services industry
with 142,000 employees worldwide. More than 78 million private and corporate
customers rely on Allianz knowledge, global reach, and capital strength to
help them make the most of financial opportunities.

Allianz Life Insurance Company of North America offers insurance and annuities
in all states except New York. In New York, products are issued by Allianz
Life Insurance Company of New York.

"Guarantees are backed by the financial strength and claims-paying ability of
the issuing insurance company."

*For a full description of how Standard & Poor's® Insurer Financial Strength
Rating categories are assigned and to obtain current ratings refer to

A Standard & Poor's Insurer Financial Strength Rating is a current opinion of
the financial security characteristics of an insurance organization with
respect to its ability to pay under its insurance policies and contracts in
accordance with their terms. Insurer Financial Strength Ratings are based on
information furnished by rated organizations (or obtained by Standard & Poor's
from other sources it considers reliable). Insurers rated AA have Very Strong
financial security characteristics.


Allianz Life Insurance Company of North America
Sara Thurin Rollin, 763-765-6703
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