29.01.2008
With-profits bonus announcement



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As a result of this bonus declaration there will be an increase in values and payouts across all types of withprofits
plans. In summary:

  • Year on year increases in payout values across all types of with-profits plans
  • An estimated £800 million of bonuses to be added to with-profits plans
  • Annual bonus rates maintained or increased for unitised with-profits plans
  • Further reduction in the number of plans subject to Market Value Adjustments
  • MVA free income levels increased for With Profits Bonds
  • Continued distribution of Inherited Estate through enhanced payouts

Jim Black, Actuarial Director, Standard Life Assurance Limited, said:

“2007 has been a difficult year for financial markets, particularly over the second half as the global credit
crisis began to take hold. In spite of this volatile background, payout values for all types of with-profits
plans have increased over the last year. This demonstrates the benefits of being invested in with-profits
which, through the smoothing of investment returns, can help to shield customers from the worst impact
of short-term market upheaval. With-profits customers are also benefiting from continued distributions from
the Inherited Estate in the form of enhanced payouts for those plans which are eligible. Consequently, all
types of with-profits plans have benefited from positive returns during 2007. For example, maturing
endowment plans achieved an average investment return of 10% over the past year.”

Sample with-profits payouts

A 20-year savings endowment plan taken out by a man aged 29 for £50 per month would have grown in
value from £19,957 on 1 February 2007 to a maturity value today of £22,724.

A 20-year individual pension plan taken out by a man retiring at age 65 for £200 per month would have
grown in value from £81,907 on 1 February 2007 to a retirement value today of £92,735.

An investment of £10,000 in a With Profits Bond on 1 February 2003 would have grown in value from
£14,099 on 1 February 2007 to a cash-in value today of £15,833.

The figures shown refer to the past. Past performance is not a reliable guide to future performance. Further
information regarding this announcement is contained in the full press release below.

jeff_newton@standardlife.com

Jo Scully
Direct: 0131 245 3947
Mobile: 0770 108 3937
Email: joanne_scully@standardlife.com


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