Zavarovalnica Triglav dd : Business Plan of the Triglav Group for 2018

In accordance with the Ljubljana Stock Exchange Rules and the applicable legislation, ZAVAROVALNICA TRIGLAV d.d. hereby publishes the following notice:

In 2018, the Triglav Group, the leading insurance/financial group in Slovenia and the Adria region, will continue to consistently implement the guidelines of the 2017-2020 Strategy. The Group's insurance operations are expected to be affected by the improved macroeconomic conditions in the region. These favourable conditions are expected to give rise to even fiercer competition in insurance markets. According to projections, the unfavourable situation on financial markets marked by low interest rates will continue in 2018.

The Group's operations in 2018 will remain financially sound and profitable. The existing high 'A' credit ratings assigned by both renowned rating agencies are planned to be maintained. The Group's profit before taxis budgeted between EUR 80 and 90 million (2017 plan: between EUR 70 and 80 million).

In the insurance business, the Group will further enhance its strong comparative advantages, implement an appropriate market strategy and adapt its sales activities and sales channels to the customers' needs and the specificities of individual markets. In 2018, the Triglav Group plans to charge over EUR 1 billion in consolidated gross written premium (2017 plan: around EUR 930 million). Mass loss events are expected to show a similar trend as in recent years, so it is important that the Group maintains adequate reinsurance coverage for such losses. The combined ratio of the Groupis projected to be favourable at around 95%, at the level of its average target strategic value. Given the unfavourable financial environment, the Group projects a lower return on its bond investment portfolio. The investment policy of the Triglav Group remains virtually unchanged, its basic emphasis being on ensuring the safety and liquidity of investments while achieving adequate profitability.

In asset management, the strategic objectives will be to increase the volume of assets under management (AUM) from non-compulsory saving and ensure an effective management of assets at the level of the entire Group.

Andrej Slapar, President of the Management Board of Zavarovalnica Triglav d.d.: 'We have set ambitious goals for 2018, projecting a higher premium and profit before tax than planned for 2017. We have taken due account of the anticipated developments in our business environment and are counting on the collective energy of the Triglav Group team of more than 5,000 co-workers that is committed to a consistent implementation of the whole range of strategic activities planned by 2020. We view the coming year as an important step towards realising our vision, which is to dynamically develop new ways of doing business as the foundation of the Group's responsible long-term development, while at the same time operating profitably and safely.'

The Business Plan of the Triglav Group for 2018 is in the attachment.

This information will be published on the website of Zavarovalnica Triglav d.d. at www.triglav.eu as of 21 December 2017 and will remain available on the Company's public website for a period of at least five years.