Ilmarinen interim financial report Q1/2008

Ilmarinen's investment income during 1 January–31 March 2008, calculated on the basis of fair values, was -4.0 percent. Income from investments in different types of assets developed as follows: Interest rate investments were 1.1 percent, investments in shares were -11.0 percent, property investments were 1.0 percent, and other investments were 4.3 percent. At the end of March, the total market value of the company's investments stood at EUR 25.4 billion.

At the end of March, Ilmarinen's solvency capital was EUR 5.0 billion. It was 25.5 percent of technical provisions and 1.8 times the solvency limit. Due to the unfavourable development of investment markets solvency capital in relation to technical reserves fell by 7 percentage points from the beginning of the year. Despite this Ilmarinen's solvency has remained high both in absolute terms and in relation to the company's investment risks.

Mikko Mursula, Head of Listed Securities, comments on the results as follows:

"The long-term success of Ilmarinen's investment operations has been based on seeking high yields, which has meant allocating a large proportion of our investments to shares. Investments in shares are often subject to larger fluctuations than other asset classes, and market conditions were particularly difficult during the early part of the year.  There is also a great deal of uncertainty about the direction of the future development of the market and as a result Ilmarinen has reduced the portion of its portfolio allocated to shares. The weighting of listed shares fell as a result of both the market movement and reduction in share risk from 40.7 percent at the beginning of the year to 34 percent."

These figures are unaudited.

For additional information, please contact:

Satu Mehtälä, Senior Vice-President, Corporate Communications, tel. +358 10 284 3590, +358 50 539 8590

Mikko Mursula, Head of Listed Securities, tel. +358 10 284 3969, +358 50 3803016

E-mail: firstname.lastname@ilmarinen.fi

Attachments:

Investments grouped according to risk and monitoring of solvency (pdf)