STOCKHOLM, Sweden, Feb. 12, 2003 (PRIMEZONE) -- Lars Ramqvist has informed Skandia's Nominating Committee that he wishes to leave the Board in connection with the Annual General Meeting this spring.
The Nominating Committee expects to be able to present its recommendations to this year's Annual General Meeting in connection with the notice to attend the meeting.
The members of the Nominating Committee are Tor Marthin (AMF Pension), Carl-Olof By (Industrivarden), Peter Fagernas (Pohjola), Per Lofqvist (Skandia Shareholders' Association), and Lars Oberg (representative of the life assurance policyholders).
Commenting on his decision, Lars Ramqvist said: "2002 was the third year in a row in which we experienced a sharp, international decline in the stock markets. The worst stock market decline since the 1930s is thus now a matter of record. 2002 was a difficult year for Skandia as well as for insurance and savings companies around the world. Skandia's U.S. operation encountered problems. As a result of the stock market decline, American Skandia's product portfolio, which was developed and designed during the 1990s, became unprofitable. Facing a continued uncertain market, the Board made the judgement that a sale was clearly the best alternative from the shareholders' perspective. Through the sale of American Skandia, Skandia will be essentially debt-free. This sets Skandia apart from many of its competitors, which have found themselves compelled to turn to their owners in request of more money.
"The break-off of the U.S. operation and freedom from debt now open up new, strategic opportunities for Skandia to develop its future business in the expanding international insurance and savings markets.
"In this situation, where Skandia can once again begin to look forward, it feels entirely right for me to leave my assignment as Chairman and allow new strengths to take over."
Skandia's other directors have issued the following statement:
We regret that Lars Ramqvist has decided to leave Skandia's board, but we respect his decision. As Chairman of the Board, Lars Ramqvist has in an exemplary and professional manner led the Board's work in a difficult time for Skandia. In recent years, the markets that are relevant for Skandia have had their worst development in many decades, which has caused problems for the industry that have been difficult to foresee. Through the actions taken during the past year, which have been strongly moved forward by Lars Ramqvist, these problems have been addressed. The Board stands unanimously behind these measures, which enable Skandia now to stand strong going forward.
The Nominating Committee will now be working thoroughly and swiftly to come up with a recommendation to complement the Board.
The Committee's result will be announced in connection with the notice to attend the Annual General Meeting which, according to the company's Articles of Association, shall be sent out well in advance -- approximately 4 weeks -- of the AGM. Skandia's board has decided that the AGM will be held on April 15.
Aside from what has been stated above, Skandia's Chairman, Lars Ramqvist, the chairman of the nominating committee, Tor Marthin, and the other members of the Nominating Committee do not have any comment on this matter or on the Committee's ongoing work.
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