ING Restructures U.S. Asset Management Operations; Announces Joint Venture with ANZ

May 3, 2002

Holland’s ING Group announced that it is combining parts of its U.S. asset management businesses, including the ING Aeltus Group, into ING Investment Management (IIM), its global asset management group, and is restructuring its U.S. business into four divisions as follows:

–ING Investment Management’s existing unit, based in Atlanta and Minneapolis, will provide investment services to ING insurance affiliates and other institutions in the US.

Aeltus Investment Management, based in Hartford, will provide investment management services for institutional clients and subadvised mutual funds.

ING Managed Accounts and Furman Selz Capital Management, based in New York, will offer a complete line of separate account disciplines through major wire houses, regional broker dealers and third party sponsors.

ING Alternative Assets (formerly ING Furman Selz Asset Management), based in New York, will manage hedge funds, private equity funds, and structured products (including high yield investments) that will be distributed through IIM’s broad institutional network and private banking access.

Alexander Rinnooy Kan, Executive Board Member of ING Group and Chairman of ING Asset Management indicated that the integration will create several synergy opportunities: “By combining these four US businesses into ING Investment Management’s worldwide organisation, we create a truly global and powerful investment, marketing and service organisation. Clients around the world will benefit from broader asset management expertise, enhanced service capabilities and greater breadth of products and services.”

ING also announced that it had set up a joint venture with the insurance and financial services group ANZ for funds management and life insurance in Australia and New Zealand. “The joint venture, known as ING Australia Limited, commenced operations on 1 May 2002. ING Australia Limited is owned 51% by ING Group and 49% by ANZ, said the announcement.”

The joint venture business is valued at € 2.2 billion ($2 billion). ANZ made a capital contribution of € 600 million, which was distributed to ING to reflect the relative value of the business each partner contributed. ING announced that it has realized a capital gain on the transaction of €500 million($453 million) which will be “accounted for as non- operational, non-distributable profit in the second quarter of 2002,” and will be used to fund acquisitions.

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