AXA Chairman Rules Out Capital Increase

October 7, 2002

In an interview with the French financial journal La Tribune, AXA’s CEO, Henri de Castries indicated the company had no plans to raise additional capital and had sufficient funds on hand to continue its development.

AXA, along with a number of other insurers, has been hit by the downward slide in equity values. It announced a Euro 225 million ($221 million) downward readjustment in the value of its investment portfolio last month, while reporting a 32 percent drop in net earnings, due to declines in its life and asset management operations.

De Castries statement reaffirms a company announcement, that accompanied the earnings report, that AXA had no plans to raise new capital. He also indicated that the company had more than $8 billion in equity above local regulatory requirements.

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