MS&AD_en

3/22 Financial Results for First Half FY2012: Impact of Major Natural Catastrophes

• 00:03:39.0   Please turn to page 2, and I will describe the effect of natural catastrophes in the first half of FY2012. The upper table, titled "Impact of Major Natural Catastrophes" shows the effects on results in the first half of the fiscal year of the domestic natural catastrophes that occurred this fiscal year and the Thai flooding and Great East Japan Earthquake that occurred in or before the previous fiscal year. Claims payments associated with major natural catastrophes, excluding those for residential earthquake insurance, rose ￥58.1 billion year on year, to ￥84.5 billion, reflecting the occurrence of domestic natural catastrophes early on in the fiscal year, which I mentioned earlier, and the payments associated with the Thai flooding. Incurred losses from the domestic natural catastrophes that occurred in FY2012 stood at ￥49.1 billion, which is more than that in typical years. Meanwhile, incurred losses associated with the Thai floods were negative ￥17.7 due to the effect of exchange rates and the progress of payments. As a result, the effect of major natural catastrophes, excluding the effect on residential earthquake insurance, came to ￥31.5 billion, down ￥0.7 billion year on year. The lower table gives a breakdown of the effects of the domestic natural catastrophes that occurred in the fiscal year and the flooding in Thailand. Up till now we have paid approximately 60% of the claims associated with the Thai floods. We will pay over 80% of these claims before the end of this fiscal year.