ING Direct 2011 Annual Report Download - page 168

Notes to the consolidated annual accounts of ING Group continued
Disposals occured in 2012
ING Direct USA
In June 2011 ING announced that it reached an agreement to sell ING Direct USA to Capital One Financial Corporation, a leading US-based
financial holding company. In February 2012 ING announced that the transaction closed. Total proceeds of the transaction are approximately
USD 9.0 billion (or approximately EUR 6.9 billion), including USD 6.3 billion in cash and USD 2.7 billion in the form of 54.0 million shares in
Capital One, based on the share price of USD 49.29 at closing on 16 February 2012. These shares represented a 9.7% stake in Capital One
at closing. The transaction has resulted in a positive result after tax of approximately EUR 0.5 billion.
In 2011 ING Direct USA is still included in the segment ING Direct. After this sale ING Direct USA will no longer be consolidated.
In connection with the divestment of ING Direct USA, ING also completed the adjustment of the agreement with the Dutch State
concerning the structure of the Illiquid Assets Back-up Facility (IABF) which was also announced on 16 June 2011. The amendment serves
to de-link the IABF from ING Direct USA by putting ING Bank in its place as counterparty for the Dutch State. The IABF is further amended
to ensure a continued alignment between ING and the State regarding exposure to the Alt-A portfolio. Only the part of the IABF covering
ING Direct USA, currently approximately 85% of the total IABF-portfolio, is adjusted in the amendment. The ING Insurance part of the
IABF remains unaltered. Reference is made to Note 33 ‘Related parties’ for details on the original agreement and the amendments made.
Most significant companies disposed in 2011
Clarion Partners
Clarion Real
Estate securities
ING REIM Asia
and Europe ING Car Lease
Pacific Antai
Life Insurance
Company Ltd
Latin American
pensions, life
insurance and
investment
management
operations Total
General
Primary line of business Bank Bank Bank Bank Insurance Insurance
Sales proceeds
Cash proceeds (1) 69 224 365 696 82 2,572 4,008
Sales proceeds 69 224 365 696 82 2,572 4,008
Assets
Cash assets 7 80 87
Investments 146 644 790
Loans and advances to customers 1 104 54 6165
Amounts due from banks 1 3 94 103 201
Financial assets at fair value
through profit and loss 5 10 679 694
Property and equipment 3,275 3,275
Miscellaneous other assets 20 44 82 341 48 1,491 2,026
Liabilities
Insurance and investment contracts 205 715 920
Amounts due to banks 101 101
Customer deposits and other funds
on deposit 3,028 66 3,094
Miscellaneous other liabilities 10 19 116 333 14 563 1,055
Net assets 16 28 61 361 46 1,556 2,068
% disposed 100% 100% 100% 100% 80% Various (2)
Net assets disposed 16 28 61 361 37 1,478 1,981
Gain/loss on disposal (3) 39 182 245 347 28 995 1,836
(1) Cash outflow/inflow on group companies in the cash flow statement includes cash outflows/inflows on individually immaterial disposals in addition
to the cash flows presented.
(2) Comprises various entities as explained in the description of the disposal.
(3) The gain/loss on disposal comprises the sales proceed, the net assets disposed, the expenses directly related to the disposal and the realisation
of unrealised reserves.
166 ING Group Annual Report 2011