This document is a free translation into English of the French Annual Report (Document de Référence) and is being furnished for information purposes only. Only the original version in the French language has legal force.
Please refer to Part 3 – “Risk factors, certain disclosures about market risks and related matters” of this Annual Report for a description of certain important factors, risks and uncertainties that may affect AXA’s business and/or results of operations.
has paid aggregate dividends in a general range of 40% to 50% of this amount. While management currently intends to maintain this dividend policy over the long-term, the dividend proposed by management in any particular year depends on a variety of factors (including the Company’s performance, prevailing fi nancial market conditions and the general economic environment) and, consequently, may fall outside the target 40%-50% range in certain years. In assessing the dividend to be paid in any given year, management tries to strike the appropriate balance between (i) prudent capital management,
AXA (i) acquired a 90% stake in Kyobo Auto (now called
(t) Holding company that owns 100% of AXA Hayat Sigorta AS and 72.55% of AXA Sigorta AS.
Assets backing contracts with fi nancial risk borne by policyholders (unit-linked) 149,066 155,457
Fees and charges relating to investment contracts with no participating feature 518 547
(c) AXA’s ranking and market share are based on updated December 2009 fi gures.
(a) The assets and liabilities of the Australian and New Zealand operations (including local holdings) are classifi ed as held for sale separately from other assets and liabilities in the consolidated balance sheet, but are included in the following table as gross insurance liabilities for €10.1 billion.
The split of distribution channels used by AXA’s principal Life & Savings operations, based on consolidated gross revenues for the years ended December 31, 2010 and 2009, is presented below: BASED ON GROSS REVENUES IN 2010
For more details on market description, refer to “Part 1.3 – Activity Report”, section “Insurance and Asset Management Markets”.
Total gross premiums ceded by AXA’s Property & Casualty operations to third party reinsurers in 2010 amounted to €1,390 million (2009: €1,356 million).
Property & Casualty Global Business line is responsible for defi ning common P&C strategy, accelerating effi ciency gains, building common platforms and leveraging global technical expertise.
AXA Group insurance companies after a selection of third party reinsurers. AXA Global P&C activity is mainly driven by its
The table below summarizes AXA’s consolidated gross revenues and gross insurance liabilities (gross of reinsurance) for the
The bank’s product offer consists of savings accounts, term deposits and pension savings accounts. These products are distributed through AXAs tied agents network and the direct channel (internet). The bank had more than 26,850 clients at year-end 2010.
• regulation of hedge funds, mortgage brokers, non-bank lenders and other participants in the “shadow” fi nancial systems,
The Company’s insurance subsidiaries are subject to regulatory capital requirements in the jurisdictions where they do business, which are designed to monitor capital adequacy and to protect policyholders. While the specifi c regulatory capital requirements (including defi nition of admitted assets and methods of calculation) vary between jurisdictions, an insurer’s required capital can be impacted by a wide variety of factors including, but not limited to, business mix, product design, sales volume, invested assets, liabilities, reserves and movements in the capital markets, including interest rates and equity markets. Regulatory capital requirements may increase, possibly signifi cantly, during periods of declining equity markets and/or lower interest rates such as those experienced during 2008 and parts of 2009.
Company’s year-end 2010 solvency margin is signifi cantly higher than its consolidated solvency margin at December 31, 2009
deemed a fi nancial conglomerate within the meaning of this legislation by the French insurance regulator, there can be no assurance that it will not become (or be deemed)
SST is a precursor of the Solvency II framework in the EU
AXA’s European insurance subsidiaries, and the European insurance sector more generally, including the following: • the regulatory reform initiatives referred to above,
which was scheduled to come into force in April 2011 (albeit has since been delayed). The Act includes wide-ranging provisions with signifi cant extra-territorial reach aimed at the prosecution of corruption and bribery related offences. The
These laws and regulations impose increasingly complex compliance requirements on international groups such as AXA and prohibit the Group from doing business with certain countries, individuals or organizations; ■ Certain European jurisdictions have enacted legislation that impacts investment of the Group’s proprietary assets and may also affect the Group’s asset management activities for third-party clients in those jurisdictions, including by restricting investment in fi nancial instruments issued by companies engaged in certain activities. These types of legislation, which often vary from one jurisdiction to another, increase compliance costs and risks for the Group in the various European jurisdictions where it operates; ■ In France and in certain other EU jurisdictions, there are continuing discussions concerning implementation of a
(7) Source: Insurance Research Institute (excluding Kampo Life), and fi nancial statements of the companies. Premiums are for the twelve months ended September 30, 2010.
Switzerland (6). The market in 2010 benefi ted from the economic recovery translating into a 1.4% growth. Group Life premiums increased by 4.2% driven by a strong increase in number of newly created companies, revived transfers in pension market, after the standstill in 2009 due to fi nancial crisis and underfunding of pension institutions, as well as higher switches from small and medium enterprise clients to a fully fi nanced foundations set up by Life insurers. AXA achieved a growth rate of 5.1% and confi rmed its leader position in Group Life with a market share remaining above 30%. Individual Life market decreased by 4.5% refl ecting the current environment of low interest rates level. The trend towards unit-linked products, especially with guarantees, continued but at a moderate level.
On October 14, 2010, AXA announced the acquisition of a majority stake (51%) in the Azeri insurance company MBASK, one of the country’s top 10 insurers, in operation since 1992.
On January 6, 2009, the purchase of the last tranche of 8.16 million AllianceBernstein units was completed at $18.3 per unit for a total price of $150 million pursuant to the fi nal installment of the put agreement exercised by the certain former shareholders of Sanford C. Bernstein. This resulted in an increase in AXA’s ownership which was mainly offset by the issuance of 8.3 million restricted units in December 2009 to fund deferred compensation plans which were previously granted through mutual funds. These 2009 restricted unit awards vest over four years.
The purchase price received by AXA corresponds to 0.86x full year 2009 Embedded Value (£3.2 billion) of the sold business adjusted for AXA APH shares. After the buy-back of €0.9 billion of AXA APH shares currently held by AXA Life UK, net cash proceeds are €1.7 billion for the AXA Group. Proceeds are dedicated to funding the further development of the UK
(iv) on March 8, 2011, a copy of the Court’s orders has been lodged with the Australian Securities and Investments
(b) Excluding net realized capital gains and change in fair value of assets under fair value option and derivatives, net banking revenues and total consolidated revenues would respectively amount to €444 million and €90,964 million for the period ending December 31, 2010, €392 million and €90,128 million for the period ending December 31, 2009.
International Insurance revenues remained stable at €2,847 million or were down 3% on a comparable basis mainly driven by (i) AXA Corporate Solutions Assurance (down 3% to €1,931 million) driven by portfolio selection focused on profi tability (Aviation (-15%), Financial lines (-30%), Property
Change in unearned premium reserves net of unearned revenues and fees (510) (238)
Property & Casualty underlying earnings amounted to €1,692 million. On a constant exchange rate basis, Property
Germany partly offset by lower fi nancial charge mainly driven by lower interest rates.
Group Protection, (iii) €-68 million non-repeat of 2009 positive prior year reserve developments in Group Retirement.
capitalization) increased by €47 million (+5%) to €-1,102 million mainly due to higher asset based commission expenses; DAC amortization decreased by €557 million (-77%) to €-176 million, primarily due to the decrease in GMxB margins, and the non-repeat of higher lapses rate adjustment on Variable
Amortization of VBI increased by €13 million (+34%) to €-52 million. On a constant exchange rate basis, amortization of VBI increased by €11 million (+28%) refl ecting revised projections of future profi ts on MONY in-force contracts.
Net technical margin decreased by €177 million (-73%) to €65 million. On a constant exchange rate and comparable scope basis, net technical margin decreased by €166 million
Fees & revenues increased by €30 million (+2%) to €1,356 million. On a constant exchange rate basis, fees & revenues declined by €54 million (-4%) mainly due to €23 million lower URR (Unearned Revenue Reserve) amortization on
Income tax expenses increased by €114 million to €-211 million. On a constant exchange rate basis, income tax expenses increased by €101 million due to higher pre-tax underlying earnings and a non-recurring positive tax one-off in 2009 (€30 million).
Investment margin decreased by €34 million (-29%) to €84 million due to higher investment income allocated to policyholders partly offset by an increasing investment income as a result of a change in asset allocation towards fi xed income assets and higher asset base.
On a constant exchange rate basis, income tax expenses increased by €28 million (+94%) mainly driven by €21 million positive one-off impact in 2009.
Investment margin increased by €33 million (+15%) to €262 million mainly as a result of a decrease of the average crediting rate, a higher asset base and a change of asset allocation towards fi xed income partly offset by interest arrears received on a tax benefi t in 2009 (€-14 million).
Protection reserves (€-16 million) in 2010; ■ Expenses increased by €144 million (+26%) to €-690 million.
Poland (€+34 million or +30%), and to a lower extent Hungary
Underlying earnings decreased by €8 million (-48%) to €9 million. On a constant exchange rate basis, underlying earnings decreased by €8 million (-51%) due to higher volumerelated costs and administrative expenses partly offset by higher fees and revenues and net technical margin.
of a 2009 positive one-off impact on employee pension scheme (+0.9 point) together with IT investments in UK Direct
Non-Motor (+3%) and Motor (+2%) following tariff increases partly offset by portfolio decrease; ■ Commercial lines (49% of gross revenues) were down 5%
On a constant exchange rate basis, net investment result decreased by €25 million due to lower realized and unrealized gains on investments related to deferred compensation obligations, offset in general expenses.
Profi t or loss on fi nancial assets (under FV option) & derivatives 20 29
Adjusted earnings decreased by €50 million (-29%) to €120 million. On a constant exchange rate basis, adjusted earnings decreased by €51 million (-30%). Excluding the €66 million net provision related to the AXA Rosenberg coding error (1), adjusted earnings increased by €15 million (+9%)
(2) In half year 2010, net reserve related to AXA Rosenberg coding error was presented in AXA SA earnings and booked in full year 2010 at AXA IM.
(Consolidated Financial Statements as of December 31, 2010). To neutralize the dilutive impact of the 2017 convertible bonds, AXA has purchased from a banking counterparty call options on the AXA ordinary share with an automatic exercise feature. This feature is such that one call option is automatically exercised upon each conversion of a convertible bond. Consequently, each issuance of a new ordinary share resulting from the conversion of a bond will be offset by the delivery to AXA of an ordinary share under the call option
and less the net consolidated book value of its equity interests in credit institutions, investment companies and other fi nancial institutions: €4.3 billion (€4.4 billion at
The terms and conditions of the EUR 1.3 billion dated subordinated note issued in April 2010 have been designed to comply with the future Solvency II capital eligibility criteria.
These developments could have a material adverse effect on our business, liquidity position, results of operations, revenues and fi nancial condition by, for example, increasing our need for cash in order to meet increased surrender requests and/
Financière Norbert Dentressangle 30 bis, rue Sainte-Hélène 69287 Lyon Cedex 02 - France
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The Coca-Cola Company 27, rue Camille Desmoulins 92784 Issy-les-Moulineaux Cedex 9 - France
(1) Except otherwise stated, the following information concerning the members of the Board of Directors is updated as of December 31, 2010.
Secretary for Tax Policy for the French Ministry of Finance and, in 1991, he was appointed Corporate Secretary of
Mr. Ezra Suleiman is a graduate of Harvard University and of Columbia University. In 1973, he started his career as a
including extensions of credit, purchases of securities (for their own account or for third parties), underwriting of securities and/or furnishing of other types of services or goods.
■ Composition of the Board and its Committees; ■ Independence of the members of the Board; ■ Self-assessment of the Board of Directors; ■ Directors’ training; ■ Corporate responsibility.
Committee; ■ Directors’ fees for Board members; ■ The Leadership framework (Group evaluation process with regards to Group Senior Executives).
In 1999, he became Chief Executive Offi cer of AXA Assurances.
The table below sets forth the number of salaried employees of the AXA Group over the past two years broken down by line of business and geographic region: Salaried employees (full time equivalent) At December 31, 2009 At December 31, 2010 - Belgium (Including AXA Bank Belgium) (e) 5,514 5,350 - Mediterranean and Latin American Region 12,807 12,533 - Other countries and transversal entities 10,681 12,663
For other members of the Management Committee (or previously Management Board), the variable compensation is also determined on the basis of an individually predefi ned target amount and includes three factors: ■ Group performance, as measured by the underlying earnings per share, Return on Equity, New Business Value in Life &
Due to substantial differences in the tax systems to which members of the Management Committee (or previously
Nicolas Moreau Chief Executive Offi cer of AXA France France 364,632 729,265 0 0 37,813 1,131,710
Board of Directors to the various advisory Committees and distributed among their members in proportion to the number of Committee meetings attended by each member, the Chairmen of the Committees receiving a double fee.
Committee, approves the grant of a global option pool. The pool of options allocated to each business unit is essentially determined on the basis of their contribution to the Group fi nancial results during the previous year.
Executive Committee, as well as to benefi ciaries receiving a minimum of 5,000 options or more.
09/05/2003 30/05/2003 27/02/2004 14/03/2005 14/03/2005 02/04/2005 09/05/2011 30/05/2011 27/02/2012 14/03/2013 14/03/2013 02/04/2013
Chairman & Chief Executive Offi cer 19/03/2010 subscription or purchase 19/03/2020 100% of options: EuroStoxx Insurance index
• for the AXA Group performance: underlying earnings per share, P&C revenues and new business value in Life &
Committee approves a global Performance Shares pool to be granted. The annual grants of Performance Shares are generally made simultaneously with the granting of stock options.
The numbers of Performance Units indicated from the April 1st, 2008 plan onwards (excluding the March 19, 2010 plan) have been adjusted to take into account the impact of the share capital increase with preferential subscription rights of December 4, 2009.
The settlement of 50% of the units actually granted will be deferred and subject to the benefi ciary being an employee of the AXA Group.
Executive Offi cers must, at every share acquisition date, hold in registered form at least 25% of the Performance Shares acquired during the whole term of offi ce of the Executive
December 31, 2010, the number of AXA shares or ADS indicated in the table below.
I Transactions involving Company securities completed in 2010 by Management Board and Supervisory Board members until April 29, 2010 and then by the members of the Board of Directors as from this date
(Messrs. Henri de Castries and Denis Duverne) participate, as all other executive employees (directeurs) of AXA Group entities in France, in a supplementary pension scheme with defi ned benefi ts.
These shares are owned through Mutual funds or directly either in the form of ordinary shares or ADSs.
TREASURY SHARES (HELD DIRECTLY BY THE COMPANY OR OWNED BY COMPANY SUBSIDIARIES) AS OF JANUARY 31, 2011
(comité de coordination stratégique) composed of certain directors from their respective Boards. The strategy committee elects a chairman from among its members (who, at present, is Claude Bébéar) and is generally consulted on all signifi cant matters relating to the Mutuelles AXA including their collective shareholding in and overall relationship with AXA.
This broad-based grant to all employees having at least 3 months of service as of July 1st, 2007, regardless of their position or compensation level, was designed to underline the important role that all Group employees have in helping the
During 2010, these commitments applied to Messrs. Henri de Castries, Denis Duverne and François Pierson (members of the
In France, the Company’s ordinary shares are included in the principal index published by Euronext Paris (the “CAC 40 Index”). The
regulations, a consolidated solvency margin ratio which represents the Company’s total available capital as compared to its required regulatory capital. Under applicable French regulations, 100% is the minimum required consolidated solvency margin for the Company. As at December 31, 2010 the Company’s consolidated solvency margin was 182%
Market conditions and other factors could adversely affect the carrying value of our goodwill, cause us to accelerate amortization of our DAC and VBI and/or to derecognize deferred tax assets and deferred policyholders participation assets which could have a material adverse effect on our consolidated results of operations and fi nancial position
Certain of our investment assets, for which there is no active trading market or other observable market data, are valued using models and methodologies that involve estimates, assumptions and signifi cant management judgment. During periods of market disruption of the type we have experienced over the past three years, an increasing portion of our investment assets may be valued using these models and methodologies as a result of less frequent trading or less observable market data with respect to certain asset classes that were previously actively traded in liquid markets. There can be no assurance that our valuations on the basis of these models and methodologies represent the price for which a security may ultimately be sold or for which it could be sold at any specifi c point in time. Use of different models, methodologies and/or assumptions may have a material impact on the estimated fair value amounts and could have a material adverse effect on our results of operations and fi nancial condition. In addition, rapidly changing and unprecedented credit and equity market conditions could materially impact the valuation of securities as reported in our consolidated fi nancial statements. Decreases in value may have a material adverse effect on our results of operations and fi nancial position.
Company and the amounts available for distribution as dividends to its shareholders because unrealized exchange rate gains and losses under these derivatives are recognized in the Company’s income statement. These factors may adversely impact the Company’s liquidity position and capacity to pay dividends on its ordinary shares. For further details, see the Section “Liquidity and capital resources” included in
In accordance with industry practices and accounting and regulatory requirements, we establish reserves for claims and claims expenses related to our Property & Casualty and
Our business depends signifi cantly on effective information systems, and we have many different information systems for our various businesses. We must commit signifi cant resources to maintain and enhance our existing information systems, and develop new ones in order to keep pace with the evolving information technology, industry and regulatory standards and customer preferences. If we do not maintain adequate information systems, we may not be able to gather and rely on adequate information to base our pricing, underwriting and reserving decisions. We may also have diffi culties in attracting new customers and preserving our existing customer base.
Federal Reserve to regulate consumer fi nancial products and services offered primarily for personal, family or household purposes. The BCFP will have signifi cant authority to implement and enforce Federal consumer fi nancial laws, including the new protections established under Dodd-Frank, as well as the authority to identify and prohibit unfair and deceptive acts and practices. In addition, the BCFP will have broad supervisory, examination and enforcement authority over certain consumer products, such as mortgage lending. Insurance products and services are not within the BCFP’s general jurisdiction, and brokerdealers and investment advisers are not subject to the
(both class actions and individual lawsuits) and involved in various regulatory investigations and examinations and may be involved in more in the future. These actions arise in various contexts including in connection with our activities as an insurer, securities issuer, employer, investment advisor, investor and taxpayer. Any one or a combination of these lawsuits or regulatory investigations could have a material adverse effect on our fi nancial condition or results of operations or cause us signifi cant reputational harm, which could seriously harm our business. Certain of these lawsuits and investigations seek signifi cant or unspecifi ed amounts of damages, including punitive damages, and certain of the regulatory authorities involved in these proceedings have substantial powers over
made after December 31, 2012 (or such later date as may be permitted under IRS guidance) to non-U.S. fi nancial institutions (including non-U.S. investment funds and certain other non-U.S. fi nancial entities) that fail to provide certain information regarding their U.S. accountholders and/or certain
Potential changes to International Financial Reporting Standards as adopted by the European Union may adversely affect our consolidated results of operations and fi nancial condition
US dollars may affect the value of AXA ADSs. Specifi cally, as the relative value of the Euro against the US dollar declines, each of the following values will also decline: ■ The US dollar equivalent of the Euro trading price of AXA
AXA has delisted the AXA ADSs from the New York Stock Exchange, potentially reducing liquidity in the AXA ADSs
OTC markets have become more sophisticated and liquid in recent years, no assurance can be given as to the liquidity of the OTC market for AXA ADSs or that persons wanting to buy or sell AXA ADSs will at all times be able to fi nd a willing seller or buyer at an acceptable price and volume. Illiquidity in the over-the-counter market for the AXA ADSs could adversely affect the price of the AXA ADSs relative to that of AXA ordinary shares on Euronext Paris, and could compel holders wanting to sell AXA ADSs to cancel them in exchange for ordinary shares that are tradeable on Euronext Paris.
Management Department and supported by other central departments (DCFG, PBRC and GIA). The missions of Risk
Local operating units have the primary responsibility for managing their fi nancial risks (market risk, credit risk, liquidity risk), while abiding by the risk framework defi ned at Group level in terms of limits/thresholds and standards. This approach allows operating units to react swiftly in an accurate and targeted manner to changes in fi nancial markets, political and economic environment in which they operate.
Annuity products and decrease the Embedded Value; ■ A change on the foreign-exchange rates would have limited impact for the operating units since foreign-currency commitments are matched to a large extent by assets in the same currencies, but it could affect the earnings contribution in euros.
IFRS shareholders’ equity at December 31 41,502 8,196 49,698 38,018 8,211 46,229
Mark to Market debt 870 870 1,389 1,389 unrealized capital gains projected in VIF & other stat-GAAP adjustments (2,935) (5) (2,940) (2,687) (2,687)
Group assets at December 31, 2010 (90% in 2009), assets and liabilities with foreign currency exposure were generally matched or hedged.
In respect of the Swiss business, in the form of derivatives
Credit risks in the banks may be split between: ■ Retail credit risk, resulting from the commercial activity - sales of mortgages and other type of loans to retail clients and small enterprises. Credit risk management is done through careful risk selection (‘Internal Rating
These reserves are measured individually for each fi le by the claims departments. Additional reserves for incurred but not reported (IBNR) claims, along with reserves for incurred but not enough reported (IBNER) claims are also booked.
AXA Group, is also subject to extensive regulation as a result of its listing on Euronext Paris and its interest in numerous regulated insurance and asset management subsidiaries.
RISK FACTORS 3 3.2 QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK AND RISK FACTORS
(j) AXA Japan’s 2008 accounts (closed at September 30) were adjusted for consolidation purpose by €-106 million with the provisional loss refl ecting the further increase of the credit spreads from October to December 2008. This adjustment was reversed in 2009. No adjusment was required in 2010 accounts.
Notably relution impact of AllianceBernstein units internal sales transactions (€+62 million group share, offset in minority interests) and the dilution impact on 2010 AllianceBernstein deferred compensation plans (€-186 million group share, offset in minority interests).
(l) Assets and liabilities related to the Australian and New Zealand operations, and some UK Life & Savings portfolios for which the disposal process is not fi nalized as of December 31, 2010 are classifi ed as held for sale. This classifi cation already applied for Australian and New Zealand operations as of December 31, 2009 (see Note 5.3).
Investment in real estate properties (excluding investment in real estate properties totally or partially backing liabilities arising from contracts where the fi nancial risk is borne by policyholders and from “with-profi t” contracts) is recognized at cost. The properties components are depreciated over their estimated useful lives, also considering their residual value if it may be reliably estimated.
Investment in real estate properties that totally or partially back liabilities arising from contracts where the fi nancial risk is borne by policyholders is recognized at fair value with changes in fair value through profi t or loss. Until the sale operation on the UK
“savings contracts” in AXA’s accounting principles) that carry low mortality and morbidity risk are calculated using a prospective approach based on discount rates set at inception
Defined contribution plans: payments are made by the employer to a third party (e.g. pension trusts). These payments free the employer of any further commitment, and the obligation to pay acquired benefi ts to the employees is transferred. The contributions paid by the employer are recorded as an expense in the income statement and no liability needs to be recorded once contributions are made.
It is amortized on a straight-line basis over the average vesting period. The impact in the income statement mainly relates to the service cost (annually accruing employee benefi t) and the interest cost (unwinding of discount applied to the liability), reduced by the expected return on assets dedicated to the plan. Past service costs, settlements and curtailments also have an impact in the income statement.
Revenues from other activities mainly include: ■ insurance companies revenues from non insurance activities, notably commissions received on sales or distribution of fi nancial products; ■ commissions received and fees for services relating to asset management activities; and
“Investments from banking and other activities” and to the new “Liabilities arising from banking activities” aggregates. A
AXA Poland Pension Funds Minority interests buyout 100.00 100.00 70.00 70.00
As of December 31, 2010, real estate companies accounted for using the equity method represented total assets of €392 million (€371 million at the end of 2009) and investment funds accounted for using the equity method represented total assets of €3,559 million (€3,824 million at the end of 2009), mainly in the United States, the United Kingdom, Germany and
Net consolidated income – Minority interests 246 39 3 79 2 (27) - 342
Please refer to pages 215 to 225 of the “Quantitative and
On November 29, 2010, AXA announced that the transaction is expected to complete shortly after the AXA APH shareholders’
(b) Applicable to Life & Savings insurance contracts and investment contracts with discretionary participation features according to IFRS 4. Amounts are net of accumulated amortization.
Non controlled investment funds designated as at fair value through profi t or loss (b) 4,267 4,267 0.76%
Debt instruments (at cost) that are not quoted in an active market (d) 1,758 1,804 0.32%
Investment in real estate properties include buildings owned directly and through real estate subsidiaries.
(b) Mainly includes change in scope and the effect of changes in exchange rates.
Debt instruments designated as at fair value through profi t or loss(b) 898 892 4,450 6,240
Excluding the effect of derivatives (detailed in Note 20.3) and equity instruments of real estate companies, the breakdown by industry of equity instruments (including Private Equity instruments) owned across the Group is as follows: (in Euro million) Finance
Sub-total: Equity instruments held directly 7,473 2,140 1,623 970 2,517 867 1,264 1,298 1,143 19,294
(c) The carrying value of non controlled investment funds – Equity method is disclosed in the fair value column.
Valuation techniques are subjective in nature and signifi cant judgment is involved in establishing fair values for fi nancial assets. They include recent arm’s length transactions between knowledgeable willing parties on similar assets if available and representative of fair value and involve various assumptions regarding the underlying price, yield curve, correlations, volatility, default rates and other factors. Unlisted equity instruments are based on cross checks using different methodologies such as discounted cash fl ows techniques, price earning ratios multiples, adjusted net asset values, taking into account recent transactions on instruments which are substantially the same if concluded at arm’s length between knowledgeable willing parties, if any. The use of valuation techniques and assumptions could produce different estimates of fair value. However, valuations are determined using generally accepted models (discounted cash fl ows,
Assets such as certain unquoted debt instruments, instruments issued on private markets such as Private Equity instruments or private loans were always considered as not quoted in active markets as an inherent characteristic of these investments and were included as Assets not quoted in active markets/No active markets in all periods presented. Valuations are based either on external pricing providers or internal models using techniques commonly used by market participants. Valuation teams make the maximum use of current transaction prices if any and observable data but some of the underlying sectors to which the investment relate may be so particular that signifi cant adjustments are performed or unobservable data are used.
As the end of 2010, Neufl ize Vie’s fi nancial information was as follows (on a 100% basis): ■ total assets: €9,313 million (€8,422 million as of December 31, 2009); ■ total liabilities (excluding shareholders’ equity): €9,178 million
Receivables arising from direct insurance and inward reinsurance operations 13,765 (387) 13,378 13,378 13,063 (376) 12,687 12,687
Regarding the consolidated statement of cash fl ows, net cash provided by operating activities totaled €19,103 million in 2010, as compared to €16,474 million in 2009.
The following table shows reconciliation between gross unrealized gains and losses on available for sale fi nancial assets and the corresponding reserve recognized in shareholders’ equity: (in Euro million)
UNREALIZED GAINS AND LOSSES (NET OF TAX) – 100% – TOTAL 6,651 4,687
Unrealized gains and losses (net of tax) – Assets available for sale 1,773 57 981
The total impact of foreign exchange rate movements was €+1,262 million (of which group share was €+1,000 million and minority interests was €+262 million) as of December 31, 2010.
As of December 31, 2009, investment liabilities relating to UK with-profi t investment contracts excluding the FFA (Fund for Future
During the year, AXA incurred losses and loss expenses of €4 million net of reinsurance in respect of asbestos. This was signifi cantly lower than last year (€82 million) as the last year incurred was impacted by the implementation of the revised market model for estimating the future costs of our asbestos claims in the United Kingdom, in accordance to the Asbestos
There can be no insurance that ultimate experience will not differ from management’s estimates. In addition to providing for risk through establishing reserves, AXA also manages these risks through asset-liability management programs including interest rate fl oors to protect against a decline in interest rates.
Other liabilities arising from banking activities - - 599 599 - - - -
(b) Restructuring provisions driven by the partial disposal of UK Life & Savings operations in 2010.
Partly offset by: iii. €1,070 million decrease in the Company refl ecting repayment of a US registered redeemable subordinated debt; iv. €546 million decrease in the United States refl ecting two
Minority interests of controlled investment funds and other puttable instruments held by minority interest holders 4,855 6,516
Movements in the “Minority interests in controlled investment funds and other puttable instruments held by minority interest holders” caption depend on: ■ changes in minority interests in controlled investment funds and changes in their fair value. An identical change in invested assets held by these funds is also recorded; ■ buyouts of minority interests for which the Group holds an unconditional commitment and changes in value of related puttable instruments. Entries balancing these movements are recorded in goodwill.
ERIV: amortizing loan – Euribor 3M + 145 bps, due 2011 186 199
(a) Derecognition of DTA (Deferred Tax Assets) arising on tax losses is shown in “Tax losses impact”.
Annuity products; (v) France Life & Savings (notional amount of €4,921 million versus €4,794 million at the end of 2009) mainly to adjust the duration of its fi xed income portfolio (notional amount of €2,290 million versus €2,273 million at the end of 2009), as well as to get long term variable interest rate bonds
(€602 million at the end of 2009) mainly to hedge convexity risk associated with Variable Annuity guarantees, and (v) in
This strategy consisted in purchasing (i) corporate debt instruments and (ii) CDS with the same name, maturity and seniority so as to lock associated liquidity premium.
Debt instruments (at cost) that are not quoted in an active market 5,346 - - 5,346
Liabilities arising from insurance contracts where the fi nancial risk is borne by policyholders 108,587 - (136) 108,450 103,281 - (30) 103,250
Fees, commissions and other revenues 1,444 - - 1,174 - -
Net investment result (excluding fi nancing expenses) from the fi nancial assets of insurance companies and companies in other business segments (excluding revenues from the fi nancial assets of banks included in net revenues from banking activities) was as follows: (in Euro million)
Net realized investment gains and losses relating to investment at cost and at fair value through shareholders’
States and included income and expenses relating to hedging derivative instruments on fi nancing debt, mainly in the Company
DBO attributable to one year of additional service); ■ interest cost (cost of one year less discounting); ■ employee contributions;
As of January 1, 2009, in Switzerland, a part of AXA Winterthur general account assets was reclassifi ed as plan assets and the plan for the active employees is now an autonomous foundation with its own assets.
Net transfer In/(Out) (including acquisitions and disposals) (a) (b) (c) 40 924 (27) (811) 3,220 - - - (3) -
Net transfer In/(Out) (including acquisitions and disposals) (a) (b) (32) 983 107 (2,280) (485) - 0 (11) (20) (8)
Adjustment due to separate assets (70) (41) 15 (23) (232) - - - - -
The estimated amount of 2011 employer contributions for pension benefi ts is €569 million (€474 million estimated in 2009 for 2010) and for other benefi ts is €1 million (€1 million estimated in 2009 for 2010). These amounts are subject to uncertainty as they will be driven by economics of future years and are cash contributions with no direct link to the pension and other benefi ts expense under IFRS.
Net position (excluding separate assets) (a) (8,440) (7,952) (7,501) (6,319) (7,025)
(€2.4 million for the 2006 grants, €5.8 million for the 2007 grants, €5.1 million for the 2008 grants, €3.2 million for the 2009 grants, €3.5 million for the 2010 grants and €8.3 million relating to AXA SA ordinary share options granted to AXA
At the end of the 5 years restricted period, the employees can, depending on their residence country, do any one of the following: (1) receive the cash value of their assets; (2) receive the value of their assets in the form of AXA shares; or (3)
transfer their assets invested in the leveraged plan into the traditional sub-fund.
The total cost of Performance Shares was €19.6 million in 2010.
Moreover, options to acquire AllianceBernstein Units were granted as follows: 387,661 options were granted in 2010; 6,565,302 options in 2009.
The 2010 total cost amounted to €117.5 million (100%, gross of tax).
Weighted average number of ordinary shares (net of treasury shares) – opening 2,264 2,108
The Mutuelles AXA and certain of the Company’s French insurance subsidiaries, AXA France IARD and AXA France Vie, are parties to a management agreement pursuant to which these subsidiaries provide management services to manage the insurance operations and portfolios of the Mutuelles. This management agreement includes provisions designed to ensure the legal independence and protection of the respective clients’ portfolios of the Mutuelles and the subsidiaries. The
To the best of the Company’s knowledge, based on information reported to it: ■ as of December 31, 2010, there were no loans outstanding from the Group to any member of AXA’s executive offi cers or members of its Board of Directors; ■ various members of the Company’s Board of Directors as well as various other executive offi cers and directors of other
The €1,884 million increase in other commitments received was mainly due to €+2,227 million increase in AXA Bank Europe, partly offset by €-543 million decrease on commitments to real estate funds in France Life & Savings.
In the United States, certain AXA subsidiaries are involved in a number of lawsuits (both class actions and individual litigations), investigations and other actions in various states and jurisdictions where they do business. A detailed description of these matters involving AXA Financial, Inc.
United States involving insurers’ sales practices, alleged agent misconduct or misrepresentation, alleged failure to properly supervise agents, compensation of intermediaries as well as numerous other matters. Some of these actions have resulted in the award of substantial judgments against insurers (including material amounts of punitive damages) or in substantial settlements. In certain jurisdictions, juries have substantial discretion in awarding punitive damages. AXA’s United States subsidiaries are involved in these types of litigations as well as in a wide variety of other matters including regulatory inquiries, investigations and/or actions, in connection with the ownership and/or management of real estate, asset management activities, corporate transactions, employee benefi t disputes, alleged discrimination in employment practices, as well as other matters. For additional details on these matters, please see the Subsidiary SEC Reports.
Although the outcome of any lawsuit cannot be predicted with certainty, particularly in the early stages of an action, management believes that the ultimate resolution of the matters described above should not have a material adverse effect on the consolidated fi nancial position of AXA, taken as a whole. However, due to the nature of such lawsuits and investigations and the frequency of large damage awards in certain jurisdictions (particularly the United States) that bear little or no relation to actual economic damages incurred by plaintiffs, AXA’s management cannot make an estimate of loss, if any, or predict whether or not these matters will have a material adverse effect on AXA’s consolidated results of operations in any particular period.
Asian businesses to AXA has given the necessary approval by the Deputy Prime Minsiter and Federal Treasurer ; (ii) on March 2, 2011, the AXA APH shareholders approved all resolutions in relation to the proposed merger of AXA APH’s
For additional information concerning the powers of the Board of Directors, please see Part 2 – “Corporate governance, executive compensation, major shareholders and related matters” of this Annual Report.
AXA Shareholders’ Meeting, subject to the provisions concerning double voting rights described below. As a result of the decision of the Shareholders’ Meeting of the Company held on May 26, 1977, each ordinary share fully paid and held in registered form by the same person for at least two full fi scal years entitles its holder to double voting rights with respect to such share at any Ordinary or Extraordinary Shareholders’
There are no French anti-takeover statutes similar to the antitakeover statutes enacted by certain states in the United States.
I Part 1 Conditions of preparation and organization of the Board of Directors’ work
The scope of the Audit Committee’s responsibilities is set forth in the Audit Committee Charter, approved by the Board of
AXA currently has a 7-member Management Committee which is an internal committee having the main mission to assist the Chief Executive Offi cer and the Deputy Chief Executive
For more information about the Management Committee including its composition, please see Section 2.1 “Directors, senior management and employees” of the Group’s 2010
These QBRs were introduced in 2000 to provide Management with a clear and consistent framework for: (1) reviewing operational performance and monitoring the progress of key projects using quantifi able standards of measurement defi ned in collaboration with Management Committee; (2) assessing the status of Group transversal projects; and (3) exchanging ideas and information on key Group strategic orientations.
PBRC Department is also responsible for controls relating to the preparation and processing of accounting and fi nancial information.
Organization, the Group General Counsel has established and chairs a Global Legal Steering Group composed of the
recommendations, including the recommendations on the compensation of executive offi cers dated October 2008, as
PricewaterhouseCoopers Audit Mazars 63, rue de villiers 61, rue Henri Regnault 92208 Neuilly-sur-Seine Cedex 92400 Courbevoie
The professional standards require that we perform procedures to assess the fairness of the information on internal control and risk management procedures relating to the preparation and processing of fi nancial and accounting information set out in the Chairman’s report. These procedures mainly consisted of: ■ obtaining an understanding of the internal control and risk management procedures relating to the preparation and processing of fi nancial and accounting information on which the information presented in the Chairman’s report is based, and of the existing documentation; ■ obtaining an understanding of the work performed to support the information given in the report and of the existing documentation;
As at December 31, 2010, total assets amounted to €67,948 million, versus €64,668 million as at December 31, 2009.
Provisions for contingent liabilities amounted to €5,429 million, and mainly consisted of €3,560 million of currency risk provisions, €807 million for redemption premiums on subordinated bonds, €214 million in provisions corresponding to the mark-to-market revaluation of an intra-
In 2010, AXA did not acquire any signifi cant equity interests in accordance with Article L.233-6 of the French Commercial
(a) For Insurance companies: gross written premiums. For real estate companies: rental revenues. For holding companies: dividends. For fi nancial services companies: gross banking revenues.
(a) Of which: ■ the capital injection of €646 million in Beaujon to enable it to buy out minority interests in the Hungarian, Czech and Polish units held by the European Bank for Reconstruction and Development and, secondly, equity interests previously held by AXA Leben AG (Switzerland) in these units,
Amounted to €667 million, up €432 million, of which €260 million related to the deferred recognition of exchange rate losses in line with the principles of hedge accounting, and the depreciation of the Euro against the Australian dollar, which reduced the value of the deeply subordinated notes by €103 million. This item refl ects unrealized losses on assets and liabilities denominated in foreign currencies arising from their revaluation at the balance sheet closing exchange rate.
Internal group guarantees and securities Commitments to buy back shares and bonds from Group entities Other commitments: of which fi nancial guarantees given to Group entities
Life & Savings IFRS shareholders’ equity with the following main adjustments: ■ Addition of unrealized capital gains/losses not included in shareholders’ equity; ■ Elimination of the value of intangible assets; ■ Elimination of unrealized capital gains/losses included in the projection of future cash-fl ows (VIF); ■ Adjustment for the differences between AXA’s consolidated accounting basis and local regulatory bases.
Closing Life & Savings EEV of €40,476 million is the total value at the end of the year, representing the prior year balance plus opening adjustments, plus total return, plus capital fl ows, plus EEV of acquired/disinvested business and the exchange rate impact.
Downward parallel shift of 100 basis points in reference interest rates (2,440) (77)
These shares may be acquired for the purpose of: a) optimizing the liquidity of the AXA share, in particular to foster regular and liquid trading in the securities through a liquidity contract that complies with the Association française des marchés fi nanciers (AMAFI) Code of Ethics approved by the Autorité des marchés fi nanciers (AMF), b) (i) hedging stock options offered to some or all employees or eligible executive offi cers of the
The Board of Directors recommends that this authorization, which replaces and renders null and void the unused portion of the authorization granted by the shareholders at their
V – Authorizations granted to the Board of Directors to increase the share capital
The shareholders have the right to exercise, under the conditions provided by law, their preferential subscription rights in order to subscribe to the shares or securities issued, on the basis of their exact right and as of right, if applicable and provided for by the Board of Directors.
Pursuant to this fi nancial authorization, the Board of Directors will determine the category of the securities issued and set their subscription price, with or without payment of a premium, the form in which they shall be paid up, the date
In order to be able to seize the opportunities offered on the market and to optimize the Company’s own-fund raising, your
In the fi fteenth resolution, the Board of Directors requests from your General Shareholders’ Meeting a delegation of authority to issue ordinary shares of the Company and/or securities giving a claim to ordinary shares of the Company, in the event of a public exchange offer initiated by the Company for securities of another company listed on one of the regulated markets of any State that is a party to the agreement on the
These supplemental compensation mechanisms are often used by international companies and have become a critical element of compensation, effective in attracting and keeping the most talented elements in our sector of activity. In the absence of such measures, AXA would have to replace them with much more costly measures.
Company or to purchase existing shares acquired through share repurchase programs carried out by the Company in accordance with applicable legal provisions.
The date of establishment of the increase in share capital is set for December 3, 2010.
The total nominal amount of capital increases that may be carried out, immediately or in the future, shall not exceed: ■ €2 billion for capital increases by issue of ordinary shares or securities giving a claim on ordinary shares, with preferential subscription rights (10th resolution); ■ €1 billion for capital increases by issue of ordinary shares or securities giving a claim on ordinary shares, without preferential subscription rights of shareholders, provided that this upper limit is common to the issues that may be carried out pursuant to the 11th to 17th resolutions and is deducted from the upper limit of €2 billion provided for in the 10th resolution.
The nominal amount for which all the aforementioned securities may be issued may not exceed €2 billion provided that this maximum nominal amount is independent from the amount of any debt instruments that would be issued by virtue of the 10th to 16th resolutions and that any redemption premiums above the nominal value shall be added to this amount.
The Board of Directors’ report specifi es that this maximum amount (€150 million) is common to the capital increases that may be carried out pursuant to this resolution and the 20th resolution
Notwithstanding subsequent review of the terms and conditions under which any of these capital increases may be decided, we have nothing to report concerning the methods used to set the issue price of securities to be issued, as disclosed in the Board of
In our capacity as Statutory Auditors of AXA and in accordance with Article R.225-116 of the French Commercial Code, we hereby present a complementary report to our special report dated March 16, 2010 related to the issue of shares, without preferential subscription rights, reserved to (i) current or former employees, executive offi cers and general insurance agents enrolled in the
meetings, and having reviewed the Board of Directors’ report, re-appoint Mr. Jean-Martin Folz as director, for a term of four years, in accordance with Article 10 of the Company’s
Directors, with the right to sub-delegate as provided by law, in order to, in accordance with applicable legal and regulatory provisions, carry out all allowed reallocations of repurchased shares for the purposes of the program or any of its objectives, or their assignment, on or off market, it being specifi ed that such reallocations and assignments may apply to shares repurchased upon authorizations concerning prior programs.
The total nominal amount of the capital increases that may be carried out by virtue of this delegation shall not exceed €2 billion, i.e., for information purposes only, approximately 38% of the Company’s share capital as of February 3, 2011, it being specifi ed that the nominal amount of the capital increases that may result from this resolution and the eleventh through the seventeenth resolutions submitted to this General
The nominal amount of the debt instruments that may be issued by virtue of this delegation shall not exceed €6 billion, or the equivalent amount in another currency or any other monetary unit established by reference to several currencies. This amount shall be deducted from the upper limit set forth in paragraph 2) of the tenth resolution herein. These debt instruments shall have the same forms and characteristics as those referred to in the tenth resolution hereinabove.
Company’s capital or the capital of any company of which it owns directly or indirectly more than half of the capital (a “Subsidiary”), subject to authorization by the extraordinary shareholders’ meeting of the Subsidiary in which the rights are exercised, in the amount and on the date it considers appropriate, in euros, foreign currency
• enter into all agreements, especially in order to ensure the furtherance of all issues, to complete, in one or several offerings, the aforementioned issues, in such amounts and at such times as it deems appropriate, in France and/or abroad, if applicable, or to postpone such,
This authorization is granted for a period of 26 months from the date of this Shareholders’ Meeting.
meetings, and having reviewed the Board of Directors’ report and the Statutory Auditors’ special report and pursuant to the provisions of Articles L.225-129 to L.225-129-6, L.225-148,
meetings, having reviewed the Board of Directors’ report and the Statutory Auditors’ special report, drawn up in compliance with the law, and in particular with the provisions of Articles L.225-129 et seq, L.225-138 I and II and L.225138 -1 of the French Commercial Code and Articles L.3332-1 et seq of the French Labor Code, 1) Decide on the principle of the capital increase and delegate to the Board of Directors, with the right to sub-delegate as provided by law, the power to increase the share capital, in one or several times, within the timeframe, conditions and proportions it will determine at its own discretion, through the issue of ordinary shares or securities giving a claim to the Company’s ordinary shares reserved to current or former employees, executive offi cers and general insurance agents of the
• record the completion of the capital increase to be carried out, within the limit of the number of shares or other securities giving a claim to the capital to be subscribed and amend the Bylaws accordingly; • at its sole discretion and as it deems appropriate, charge the expenses related to the capital increases to the amount of the resulting premiums, and deduct from this amount the sums required to bring the legal reserve to one-tenth of new share capital after each increase; • carry out all formal, legal and other requirements and obtain all authorizations necessary to the completion and the proper execution of such issues.
6) Resolve that the Board of Directors will determine the conditions under which such options will be granted, provided that each attribution of options to the executive offi cers of the Company must be subject in full to one or several quantitative performance conditions established by the Board of Directors.
• determine the date the options become exercisable and the other terms and conditions applicable to the exercise of the options,
• determine if the shares freely granted are shares to be issued or existing shares and, in the event of newly issued shares, increase the capital through capitalization of reserves, earnings or premiums, determine the nature and the amounts of the reserves, earnings or
In accordance with legal requirements, the Board of Directors will inform the shareholders every year at an Ordinary General
3) Resolve that the grant of the shares to the respective benefi ciaries shall become defi nitive as follows: i) for all or part of the shares so allocated, at the expiration of a minimum acquisition period of four years; or ii) at the expiration of a minimum acquisition period of two years.
5) Grant to the Board of Directors, with the right to subdelegate as provided by law, all powers to implement this resolution, within the limits set forth above, and specifi cally to: • set the list of benefi ciaries of the allocation of the shares and the number of shares to be allocated to each of them, it being specifi ed that each benefi ciary of the shares allocated pursuant to this authorization must be allocated the same number of shares as the other benefi ciaries,
The online completion and signature of these forms could be done directly on the secured website that has been set up to centralize the management of Shareholders’ Meetings, via a secure username (log-in) and password system, compliant with the fi rst sentence of the second point of Article 1316-4 of the French Civil Code (Code Civil), if the Board of Directors so decides at the time of the notice of meeting. The proxy or voting forms completed electronically prior to the meeting, as well as the acknowledgement of receipt that will be given in reply, will be considered as irrevocable and opposable written proofs. Notwithstanding the foregoing, in the event shares are sold or otherwise legally transferred before the third business day preceding the Shareholders’ Meeting at 0.00 am Paris time, the Company shall invalidate or modify accordingly, as the case may be, the proxy or voting form completed online prior to the meeting.”
Mr. Giuseppe Mussari is a graduate in Law of the University of Siena (Barrister registered in the Rolls of the Court of Siena since 1993). In 1998, he became Deputy Chairman of the
Criminal Section of the Court of Siena and then in 2000 Chairman of the Criminal Section of the Court of Siena. In July 2001, he was appointed Chairman of the Monte dei Paschi di Siena
The total numbers of departures decreased by 6% reaching back its 2008 level. While non-sales forces departures increased by 16.3%, the strong decrease in the salaried sales force category, 20.9%, led to this global trend. However, the global employee turnover rate of the salaried sales force remains rather high at 59.9% mainly driven by high-growth markets (even though it represented an important decrease compared to 77.6% in 2009). The increased number of nonsales force departures is also related to jobs or activities transferred, in 2010 mainly in the UK (workforce that has left
AXA will include possible alternative solutions if relevant; ■ Factoring in the interests of its employees, clients and shareholders, AXA undertakes to maximize any opportunities for internal and external redeployments, when applicable, for all AXA employees affected by possible employment issues; ■ AXA will do its utmost to prevent compulsory redundancies and other collective transfers, by pursuing other approaches whenever possible. More specifi cally, AXA endeavours to: 1) seize the opportunities offered by natural headcount attrition to facilitate employment issues; 2) make every effort to help employees, analyse their skills and career paths and offer them training and reassignment opportunities, when feasible; 3) give priority to voluntary departures and redeployments instead of redundancies and other forms of collective transfers; and 4) deal with decisions of international transfer of business (for example in the case of offshoring)
applying the principles of social dialogue explained in this text to the European countries involved; ■ When geographic mobility is necessary, it must be offered as a matter of priority to employees who volunteer to move, with this process managed with a view to enabling their integration into a new environment under the best possible conditions; ■ AXA pledges to recognize staff representatives and uphold their freedoms, rights and functions, in line with national legislation and, where relevant, agreements in force in local business units; ■ Aware that training represents a major investment both for the Group and for its employees, AXA is committed to developing a continuous learning culture; ■ AXA will not discriminate against its staff on the basis of their gender, race, colour, ethnic origin, genetic makeup, disabilities, sexual orientation, language, religion, personal convictions, union membership or political opinions.
Several local AXA entities have started to include environmental considerations in their profi t sharing agreement. For example,
Submissions addressed 6 diversity and inclusion categories, which were gender, work-life, multi-generational, disability, race/ethnicity, and sexual orientation.
In 2010, these CR-related objectives have been extended to all procurement management, alongside objectives related to ethics and the “Corporate Responsibility Clause”. This clause requires suppliers to make a formal commitment to uphold ILO
The Group’s social, societal and community performance is also evaluated by many players, including rating agencies serving the research needs of the socially responsible investment (SRI)
FTE of salaried workforce (non sales and sales force, open-ended contract only)
■ Number of entries following mergers and acquisitions 8 emp. 28 emp.
■ Proportion of fi xed pay (related to wages) 84,1 % 82,8 %
■ Proportion of fi xed pay (related to wages) 87,3 % 86,4 %
Percentage of salaried workforce having received at least one training course 75,8 % 6,7% 80,9 %
In order to facilitate the environmental data collection process, the AXA Group developed an internal reporting tool that centralizes the collection, consolidation and analysis of local environmental data. Only sites featuring more than 50 FTEs are included in the targeted scope (data centers with fewer FTEs are however included). It now embraces 41 countries over fi ve continents. The scope of the 2010 annual environmental reporting remains stable compared to 2009 (including 268 operating sites, covering 79% of the AXA employees, which is considered adequate to represent the Group’s overall performance), with much effort focused on improving data collection accuracy through new tools that enable better data analysis.
emissions related to commuting from home to work, included all countries in the reporting scope and was available in 20 languages. In order to increase the educational component of the survey, a personalised results page was developed to provide employees with a comparison of their annual work-place commuting CO
Climate Change. Since 1997, AXA Switzerland covers a part of its power requirements with wind power from a wind power station. The entity also reuses its data centre’s waste energy since 1993 to heat 3 of its offi ce buildings. Over 5 years (20042008 ), 1.093 tons of fuel oil have been saved. AXA Germany’s headquarters in Cologne also re-uses heat produced by the central IT system for central heating, while in the summertime the central ventilation is cooling the offi ce areas. AXA Business
Services (India) uses compact fl uorescent lamps and motion sensors to control lighting and appliances, and has installed solar panels on its buildings. AXA MPS has been certifi ed as a company that supports energy production from renewable sources, with the possibility to use the brand “Energia Pura”
in their Total Cost of Ownership calculations. The Guidelines also feature vehicle security standards and promote employee access to “safe and green driving” courses. Regarding business travel, train and economy travel is encouraged (rail is to be chosen over air for short distances when available, and business class fl ights may be used only for long haul fl ights).
This trend is partly attributable to the increased reliance on centralised printers (vs individual printers) and a reduction in paper-based marketing campaigns.