Withdrawal of Original Protected Funds, Jun 2009

Withdrawal of the original range of Protected Fund Links

When we contacted you in February to announce the launch of the new Multi-Asset Protector Fund Links we advised you that Hansard had liquidated the underlying assets of most of the original range of protected fund links (except Nomura DTI which is still available). At that time we expected this range of fund links to remain open for a period during which time policyholders or their advisors could decide which of the options offered to them in writing were suitable.

Now the process of managing the withdrawal of these fund links as a continuing option has begun and is scheduled to conclude on or after 25 June 2009.

We will shortly be writing to the policyholders who are linked to the original Hansard range of protected fund links again. The letter to policyholders will reiterate the option to switch into any of the other fund links currently offered. However, in the event that no switch instructions are received within 30 days of the delivery of the letter, units held by policyholders will be automatically switched into a currency-matching deposit fund at no additional charge. (Please note that Belgian policy holdings in these protected fund links will not be automatically switched and their fund link will remain open).

The letter recommends that policyholders should discuss options with their financial advisors before taking any action in relation to their contract. Copies of all of the letters sent will be made available on Hansard OnLine through the copy correspondence facility.