Aviva 2009 Annual Report Download - page 5

03
Performance review
Aviva plc Chairman’s statement
Annual Report and Accounts 2009
Corporate responsibility
Governance
Shareholder information
Financial statements IFRS
Financial statements MCEV
Other information
In good shape for
the new decade
Lord Sharman of Redlynch OBE
Chairman
It is traditional for the Chairman to close his statement by formally thanking
employees. This year, however, I think it’s more appropriate to begin by saying that
our strong results for 2009 are due to the extraordinary efforts made by the executive
team and our people throughout the Aviva group.
A strong, single brand name is essential for us to compete effectively in the
global insurance marketplace so the launch of the Aviva name worldwide in 2009
was fundamental. This was just one of a number of key deliverables during the year
including: a successful partial sale of our Dutch business, Delta Lloyd, and the
distribution of monies to our policyholders from the UK inherited estate.
In a year of ‘business as usual’, these would have been great achievements, so I am
extremely proud that, through 2009’s adverse conditions, at Aviva we have remained
strong, resolute and on track. 2010 is unlikely to be any easier but we’re now in an even
better position to take advantage of new opportunities, and of achieving our vision for
‘One Aviva, Twice the Value’.
Dividend
I am pleased to announce that the final dividend for 2009 will be 15 pence, bringing
the total dividend to 24 pence. This follows our decision last year to reduce the
dividend to a sustainable level, from which Aviva can grow over time. Our dividend
policy remains unchanged and the final dividend cover of 1.8 times remains within
the 1.5 to 2.0 times target range, which is based on IFRS operating earnings after tax.
Changes to the Board
I would like to thank Philip Scott, who retired from his role as chief financial officer
(CFO) at the end of 2009 with an impressive 36 years’ service with Aviva. With his
knowledge of the insurance industry, he has successfully navigated us through some
difficult market conditions. In February 2010, we welcomed Patrick Regan as our new
CFO. He joined us from Willis Group Holdings in the US where he was group chief
operating officer and CFO.
We further strengthened our Board with the appointment of Andrea Moneta,
chief executive of Aviva Europe, Middle East and Africa, in September 2009.
Other Board changes include: the retirement after nearly ten years of our senior
independent non-executive director, Wim Dik; the resignation of Nikesh Arora,
due to relocation to the United States; the appointment of new independent non-
executive directors, Leslie Van de Walle, former chief executive officer of Rexam plc,
who joined us in May 2009 and, from January 2010, Michael Hawker, who was
previously chief executive and managing director of Insurance Australia Group.
Looking forward
As a realist, I am sure that 2010 will not be an easy year for the financial markets
but there may be some cause for optimism as the year progresses. I am particularly
pleased at how well we have reorganised the business and are ready to take full
advantage of the upturn when it arrives.
Lord Sharman of Redlynch OBE
Chairman