UNIPOLSAI: APPROVAL OF CONSOLIDATED RESULTS AT 30 SEPTEMBER 2017

PRESS RELEASE

UNIPOLSAI: APPROVAL OF CONSOLIDATED RESULTS AT 30 SEPTEMBER 2017

• Consolidated net income, after the effects of the banking sector restructuring plan, amounted to €430m (€427m in the first nine months of 2016).

• Direct insurance income at €7.8bn (€9bn in the first nine months of 2016)

  Non-Life: €5.1bn (in line with the first nine months of 2016)

  Life: €2.7bn (down 31.4%)

• Combined ratio after reinsurance at 97.3%

• Profitability of financial investments at 4.0%

• Separate solvency ratio at 243%1

• Consolidated solvency ratio based on economic capital equal to 206%2

1Figure calculated on the Partial Internal Model to be understood as preliminary as the final figure will be disclosed to the Supervisory Authority according to the timeline set out in the applicable legislation.

2Economic capital is the measure of absorbed capital calculated on the basis of the principles and models applied in the Partial Internal Model and having operational value.

The Board of Directors of UnipolSai Assicurazioni S.p.A. approved the consolidated results at 30 September 2017.

At 30 September 2017, the UnipolSai Group reported a consolidated net income of €430m (€427m at 30 September 2016) despite the effects, already apparent at 30 June 2017, of the start of the Unipol Group's banking sector restructuring plan. The plan resulted in significant adjustments to the coverage of non-performing loans of Unipol Banca, which had a negative impact of €105m on UnipolSai.

Not including such impact, the consolidated net profit of UnipolSai was €536m (up 25.5% compared to the first nine months of 2016).

During the reporting period, the insurance direct income, gross of reinsurance cessions, stood at

€7,783m (€9,040m at 30 September 2016, down 13.9%).

Non-Life Insurance

Direct income in the Non-Life business at 30 September 2017 amounted to €5,109m (€5,141m at 30 September 2016, down 0.6%). Premium income in the MV segment dropped to €2,932m (down 3.0%) due to the ongoing pressure on rates. The non-MV segment posted premiums of €2,177m with a growth of 2.8%.

UnipolSai reported direct Non-Life income of €4,870m (€4,951m at 30 September 2016, down 1.6%).

the same period in 2016.

The loss ratio stood at 70.3% (68.6% at 30 September 2016), while the expense ratio was 27.1% (27.4% at 30 September 2016). Higher claims due to weather events for a substantial amount had an incidence of approximately 1.8 percentage points on the loss ratio.

The pre-tax result of the Non-Life business was a profit of €369m. Not including the impact of the banking sector restructuring, this result would have been €455m (€381m at 30 September 2016).

Life Insurance

In the Life business, in a market environment that continued to be characterised by very low or negative short-term interest rates, the strategic decision to limit the flows of traditional products with returns linked to segregated funds was confirmed, directing the supply towards multi-branch and unit-linked products.

Direct income, amounting to €2,674m, recorded a decrease of 31.4% (€3,899m at 30 September 2016), largely due to the sharp decline in the income of Popolare Vita (down 64.5%), the bancassurance company that distributes policies through the Banco BPM.

UnipolSai achieved direct income of €2,029m (down 8.2%), where multi-branch and unit-linked products were highly appreciated by the market.

The pre-tax result in the Life business was a profit of €251m. Not including the impact of the banking sector restructuring, this result would have been €271m (€252m at 30 September 2016).

Real Estate Sector

The real estate management continued to be focused on the renovation of certain property units, especially in the Milan area. Sales of property units, or portions thereof, located in various areas of Italy, were finalised in the period under consideration.

Other Activities

The operations of companies belonging to the other sectors in which the Group operates continued to be focused on the development of commercial activities and, as regards the hotel industry in particular, on the completion of the integration of the Atahotels and Una Hotels facilities.

3Combined ratio after reinsurance and with expense ratio calculated on net premiums for the year.

€28m at 30 September 2016).

Financial Management

With regard to financial management, the gross profitability of the Group's insurance investment portfolio achieved a particularly significant yield in the period under consideration, i.e. 4.0% of invested assets (3.7% at 30 September 2016), which includes 3.5% relating to the component of coupons and dividends.

Capital

At 30 September 2017, consolidated shareholders' equity amounted to €6,653m (€6,535m at 31 December 2016), including €6,338m attributable to the Group.

At 30 September 2017, the separate solvency ratio was 243%4of required capital (unchanged compared to 31 December 2016).

At 30 September 2017, the consolidated solvency ratio based on Economic Capital was 206%5of required capital (212% at 31 December 2016).

Corporate Governance Appointment of a New Director

Following the 5 October announcement regarding the resignation of Director Milva Carletti, please be informed that the Board of Directors - pursuant to Article 2386, first paragraph, of the Italian Civil Code and the By-Laws in force - has appointed Ms Cristina De Benetti as a non-executive and independent Director of the Company, replacing Ms Carletti.

It should be recalled that Ms Carletti, who was not a member of any Committees, had been appointed by the Company's General Meeting of Shareholders on 27 April 2016 from the list presented by the majority shareholder Unipol Gruppo S.p.A. that came first by number of votes cast and contained 18 candidates, 17 of whom were elected together with the first candidate from the list that came second by number of votes cast. Ms Cristina De Benetti, who accepted the office, was the 18thcandidate on such majority list.

The newly appointed Director will remain in office until the next General Meeting of Shareholders.

4Figure calculated based on the Partial Internal Model to be understood as preliminary as the final figure will be disclosed to the Supervisory Authority according to the timeline set out in the applicable legislation.

5Economic capital is the measure of absorbed capital calculated on the basis of the principles and models applied in the Partial Internal Model and having operational value.