Aviva PLC 2016 Results

2016 Results
Disclaimer
Cautionary statements:
This should be read in conjunction with the documents distributed by Aviva plc (the Company or Aviva) through The Regulatory News Service (RNS). This presentation contains, and
we may make other verbal or written forward-looking statements with respect to certain of Avivas plans and current goals and expectations relating to future financial condition,
performance, results, strategic initiatives and objectives. Statements containing the words believes, intends, expects, projects, plans, will, seeks, aims, may, could,
outlook, likely, target, goal, guidance, trends, future, estimates, potential and anticipates, and words of similar meaning, are forward-looking. By their nature, all forward-
looking statements involve risk and uncertainty. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in these
statements. Aviva believes factors that could cause actual results to differ materially from those indicated in forward-looking statements in the presentation include, but are not limited to:
the impact of ongoing difficult conditions in the global financial markets and the economy generally; the impact of simplifying our operating structure and activities; the impact of various
local and international political, regulatory and economic conditions; market developments and government actions (including those arising from the referendum on UK membership of the
European Union); the effect of credit spread volatility on the net unrealised value of the investment portfolio; the effect of losses due to defaults by counterparties, including potential
sovereign debt defaults or restructurings, on the value of our investments; changes in interest rates that may cause policyholders to surrender their contracts, reduce the value of our
portfolio and impact our asset and liability matching; the impact of changes in short or long term inflation; the impact of changes in equity or property prices on our investment portfolio;
fluctuations in currency exchange rates; the effect of market fluctuations on the value of options and guarantees embedded in some of our life insurance products and the value of the
assets backing their reserves; the amount of allowances and impairments taken on our investments; the effect of adverse capital and credit market conditions on our ability to meet
liquidity needs and our access to capital; changes in, or restrictions on, our ability to initiate capital management initiatives; changes in or inaccuracy of assumptions in pricing and
reserving for insurance business (particularly with regard to mortality and morbidity trends, lapse rates and policy renewal rates), longevity and endowments; a cyclical downturn of the
insurance industry; the impact of natural and man-made catastrophic events on our business activities and results of operations; our reliance on information and technology and third-
party service providers for our operations and systems; the inability of reinsurers to meet obligations or unavailability of reinsurance coverage; increased competition in the UK and in
other countries where we have significant operations; regulatory approval of extension of use of the Groups internal model for calculation of regulatory capital under the European
Unions Solvency II rules; the impact of actual experience differing from estimates used in valuing and amortising deferred acquisition costs (DAC) and acquired value of in-force
business (AVIF); the impact of recognising an impairment of our goodwill or intangibles with indefinite lives; changes in valuation methodologies, estimates and assumptions used in the
valuation of investment securities; the effect of legal proceedings and regulatory investigations; the impact of operational risks, including inadequate or failed internal and external
processes, systems and human error or from external events (including cyber attack); risks associated with arrangements with third parties, including joint ventures; our reliance on third-
party distribution channels to deliver our products; funding risks associated with our participation in defined benefit staff pension schemes; the failure to attract or retain the necessary key
personnel; the effect of systems errors or regulatory changes on the calculation of unit prices or deduction of charges for our unit-linked products that may require retrospective
compensation to our customers; the effect of fluctuations in share price as a result of general market conditions or otherwise; the effect of simplifying our operating structure and activities;
the effect of a decline in any of our ratings by rating agencies on our standing among customers, broker-dealers, agents, wholesalers and other distributors of our products and services;
changes to our brand and reputation; changes in government regulations or tax laws in jurisdictions where we conduct business, including decreased demand for annuities in the UK due
to proposed changes in UK law; the inability to protect our intellectual property; the effect of undisclosed liabilities, integration issues and other risks associated with our acquisitions; and
the timing/regulatory approval impact, integration risk, and other uncertainties, such as non-realisation of expected benefits or diversion of management attention and other resources,
relating to announced acquisitions and pending disposals and relating to future acquisitions, combinations or disposals within relevant industries; the policies, decisions and actions of
government or regulatory authorities in the UK, the EU, the US or elsewhere, including the implementation of key legislation and regulation. For a more detailed description of these risks,
uncertainties and other factors, please see Other information Shareholder Information Risks relating to our business in Avivas most recent Annual Report. Aviva undertakes no
obligation to update the forward looking statements in this presentation or any other forward-looking statements we may make. Forward-looking statements in this presentation are
current only as of the date on which such statements are made.
2
#AvivaResults
MARK WILSON
GROUP CHIEF EXECUTIVE OFFICER
Performance and delivery
Operating profit Capital Cash Dividend
3,010m Solvency II ratio 23.3p per share

189%3,4 1,805m cash +12%
+12%1,2
remittances
Operating EPS Capital Generation +20% 46% pay-out ratio
+3%1,2 3.5bn +4pp
4
All footnotes on page 33
Operating profit
Operating profit: +12% Operating EPS: +3%
3,010m 51.1p
2,688m 49.0p 49.7p
2,097m 2,238m
44.2p
2013 20141 20151,2 20162 2013 20141 20151,2 20162
5
Operating profit key drivers
Operating profit: +12%

1
Growth consistent with

strategy
Strong growth performance in

AI, Canada and the UK
32%
26%
23%
Resilient performance in
10%
7% Europe
(4)%
Aviva
Investors
Canada UK & Ireland
GI & Health2,5
Europe UK &
Ireland Life1
Asia
Asia: disruption play
6
Life insurance sustained growth
Value of new business6 Operating profit
1,352m 2,642m
2,442m
1,192m
1,949m 2,044m
1,005m
899m
2013 2014 2015 2016 2013 20141 20151 2016
7
General insurance returned to growth
Net written premiums Operating profit
LTIR & other

Underwriting result
806m
694m 691m
595m
8,211m
7,758m
7,372m
7,171m
2013 2014 20152 20162 20135 20145 20152,5 20162
8
Fund management strong flows, higher margins
Growing AuM Positive net flows
bn bn
56.6
2.9
43.7
48.1 45.5 (0.3)

(1.3) (1.8) (1.9)
288.0
246.2
192.4 200.4 (4.8)
(3.7) (3.2)
2013 2014 2015 2016 2013 2014 20157 20167
External Internal External Internal
9
UK Digital an insurance disruptor
Infrastructure Users Sales
Customer systems 75% MyAviva 47% new business sales

connected satisfaction score8 to existing customers9
Single customer view Aviva registrations Direct policy sales
14.6m 5.0m 1,122k

1,022k
8.3m 8.6m 3.0m 931k
2.3m
4.5m 1.8m
2014 2015 HY16 Current 2014 2015 HY16 Current 2014 2015 Current
10
Capital above working range
SII cover ratio3,4 SII capital generation
189%
3.5bn
180%
180%
174%
150%
Planning additional capital

returns during 2017
FY15 HY16 FY16
11
Oaks, acorns and apple trees
Oaks Acorns Apple trees
UK: TCC organisation Aviva Investors: AIMS AuM Italy: strong results
x3 to 9bn
France: Antarius sale for Spain: examining capital
500m UKD: registrations x2 to 5m
withdrawal
Canada: RBCI acquisition, Singapore: 450-strong FA FPI: under strategic review
delivering ahead of business network
case Taiwan: under strategic
Hong Kong: digital disruptor
review
JV with Hillhouse/Tencent
12
Cash remittances
Cash remittances: +20% Friends Life integration

additional dividend in 2016
250m
1,805m
1,507m
1,269m
1,431m
Target 2016-18
201310 2014 2015 2016

7bn
13
Dividend 46% pay-out ratio
Total dividend
Up 12% to 23.3p
23.3p
20.8p
18.1p
15.0p
2013 2014 2015 2016

50% pay-out ratio target
2017
14
Checklist
Grow operating profit 12% growth
Strong capital 189%, planning capital returns for 2017
Grow dividend 12% growth, 46% pay-out ratio
Friends Life Integration Integration complete, more cash and capital to come
Digital Infrastructure built, user numbers growing
15
#AvivaResults
TOM STODDARD
CHIEF FINANCIAL OFFICER
Growing operating profit
Operating profit (m) FY15 FY16 Change
UK & Ireland life1 1,455 1,555 7% Operating profit

3,010m
1,2
UK & Ireland general insurance & health2,5
Up 12%
384 471 23%
Aviva Investors 105 139 32%
Canada 214 269 26%
Europe 880 964 10%
Asia 238 228 (4)% Operating EPS

51.1p
1,2
Corporate costs, non insurance & other (179) (205) (14)%
Group debt & other interest costs5 (409) (411) - Up 3%

Operating profit1,2 2,688 3,010 12%
17
NAV up 6% driven by operating profit & FX
Opening NAV per share

390p
at 1 January 20161
51p
Integration & restructuring
Operating profit
costs
Ogden
Down 44%
(9)p
Dividends (22)p
Investment variances
(8)p
& economic assumptions
Pension movement 6p
Foreign exchange 23p
AVIF amortisation (11)p

Basic EPS: 15.3p
Integration
& restructuring
Other (2)p
(4)p
Down 34%
Closing NAV per share 414p
at 31 December 2016
18
UK Life discipline and growth
Life operating profit Operating expenses
11
FL 1Q15
132m
1,431m 1,523m
788m 827m
FY151 FY16 FY15 FY16
12
Value of new business6 Cash remittance
671m 1,096m
609m
138 Long term FL integration
97 250m additional
savings
remittance
Annuities & 667m
330 314
equity release
Protection 846m
156 189
Health & other
26 30
FY15 FY16 FY15 FY16
19
UK Life profit drivers
Operating profit
FY151 FY16 FY16 Bps / Bps / Margin
Target Range
m m Margin basis
Long Term Savings (79) (77) n/a New business strain (90)-(100)
New Business
Annuities & Equity Release 292 305 11% PVNBP 7.5-8.5%
Protection 70 118 54% APE 40-50%
Long Term Savings 181 219 25 bps Opening assets 25-30bps

Existing Business
Annuities & Equity Release 227 351 67 bps Opening assets 55-70bps
Protection 89 124 8% In-force premiums 7.5-8.5%

Legacy 341 332 40 bps Opening assets 35-40bps
Other13 310 151
Total 1,431 1,523
20
Friends Life integration complete more cash to come
270m run rate synergies delivered 223m P&L benefits
12m 21m
34m 14m
51m
83m
223m
270m
186m
92m
FY15 UK Life Asset Mgt PLC / other FY16

UK Life Asset Mgt International PLC FY16 realised realised
Capital benefits delivered Special remittances
0.2bn
0.6bn 750m
1.2bn 1.0bn
0.4bn 250m
0m
2015 2016 2017-18 Target 2015 2016 2017-18 Target
21
Aviva Investors a breakout year
Operating profit AIMS accelerating: 9.0bn AUM
9.0bn
10 Net flows
target income
8
Net flows
6 target return
139m 3.0bn
105m 4
2 Closing AUM -
0.4bn
total AIMS
0
FY15 FY16 FY14 FY15 FY16
Positive cost-income jaws AUM up 19% to 345bn

500
450 Operating income 14bn

4bn 40bn
3bn
Operating expenses
400 345bn
6bn
290bn
350
300 FY15 External Internal Internal Market FL assets FY16

FY14 FY15 FY16 AUM net flows core legacy & other transferred AUM
net flows net flows
22
UK & Ireland GI returned to growth
Operating profit Combined operating ratio
433m FY15 FY16
352m Reported COR 95.0% 94.9%
174m
Prior year development +2.4% +2.1%
189m LTIR & other
14
Underwriting Weather -0.2% +2.3%
259m
163m Normalised AY COR 97.2% 99.3%
Normalised AY COR excl. Flood Re, HS & Ogden 97.2% 97.7%

FY152,5 FY162
Net written premiums Cash remittance

3,967m 4,308m
915
826
UK Direct/Digital
351m
3,141 3,393 Non Direct/Digital
91m
FY152 FY162 FY15 FY16
23
Canada consistent strength
Operating profit Combined operating ratio
269m FY15 FY16
214m Reported COR 93.8% 94.6%
101m
LTIR & other
94m
Underwriting Prior year development +4.4% +5.4%
168m
120m Weather14 +0.7% -0.7%
FY15 FY16 Normalised AY COR 98.9% 99.3%
Net written premiums Cash remittance

2,453m
1,992m 255
RBC
2,198 Aviva
130m
6m
FY15 FY16 FY15 FY16
24
Europe resilient in a challenging environment
Operating profit Combined operating ratio & growth
964m
880m 6 FY15 FY16
11 107
92
140 Turkey Net written premiums 1,200m 1,438m
139
212 Spain
172 Reported COR 95.4% 95.8%
Poland
Italy Prior year development +2.7% +2.5%
466 499 France
Weather14 +0.1% -0.6%
FY15 FY16 Normalised AY COR 98.2% 97.7%

480m
25
400m 42 Turkey
27 65
31 Spain
65
124 Poland
79 431m 449m
Italy
France
198 224
FY15 FY16 FY15 FY16

25
Asia investing in disruption
Operating profit Operating expenses
238m 228m
151m 140m
FPI
177m
141m
87m 88m
FY15 FY16 FY15 FY16

151m 148m
28m
DBS
123m
21m
FY15 FY16 FY15 FY16
26
Strong capital generation drives increased coverage ratio
Actions include (bn):
Operating capital FL integration synergies 0.6

Underlying generation UKL assumption changes 0.2
capital 3.5bn France assumption changes 0.2
generation UKL and Spain model 0.4
1.7bn Other actions 0.4
189%
1.8bn (1.2)bn
(0.5)bn (1.0)bn
0.3bn
180% 2.2bn
11.3bn
9.7bn
31-Dec-15 BU underlying Debt & Other capital Market, FX Net M&A and Dividend 31-Dec-16
generation centre costs actions and changes financing
to tax rules actions
27
Sensitivities remain resilient to stresses
Group SII ratio Equities

movement Interest
Corporate
bond GI Longevity
FY16: 189% (decrease) rates spreads shock* shock**
coverage ratio Capital redeployment -10% -25% -25bps +100bps
188% 185% 184% 188%

186% 178%
Working range
Excess capital provides flexibility to consider:

Risk reduction
100% Solvency
Capital Requirement
(SCR)
Organic growth - capital to support distribution;
Bolt-on acquisitions - strengthen core markets;

Minimum Capital
requirement
(MCR) Share re-purchase program or special dividend; and
Paying down hybrid debt obligations

Not to scale
* 5% increase in gross loss ratio ** 5% decrease in mortality rates for annuity business
28
Capital strength supportive of growth
Extended pipeline of capital capacity
Existing surplus Capital generation Optimisation Strategic choices

189% S2 ratio Organic generation Business/product mix Capital reallocation
1.8bn centre cash Capital actions Model refinements Simplify and strength
Capital Investment - organic and bolt-on Capital Management - equity & debt
UK & Ireland GI (NWP) Canada (NWP) 892m Restricted tier 1

Tier 2
Homeserve RBCI 465m
TSB 4,308 2,453 526m 7.875% 500m
4,101 2,250
3,935 3,967 2,104
1,992 427m 210m
8.25% 6.875% 6.875% 5.9021%
2013 2014 2015 2016 2013 2014 2015 2016 2017 2018 2019 2020
29 All debt instruments have been presented at optional first call dates at nominal
values converted to GBP using 31 December 2016 rates.
Performance and delivery
Operating profit Capital Cash Dividend
3,010m Solvency II ratio 23.3p per share

189%3,4 1,805m cash +12%
+12%1,2
remittances
Operating EPS Capital Generation +20% 46% pay-out ratio
+3%1,2 3.5bn +4pp
30
#AvivaResults
MARK WILSON
GROUP CHIEF EXECUTIVE OFFICER
Q&A
Footnotes
1. Following a correction to accounting and modelling for annual management charge rebates in UK Life, prior year comparatives have been restated. This has led to an increase in operating profit and
profit before tax of 23m for 2015 and an increase in opening retained earnings for 2015 of 20 million with an increase in equity at 31 December 2015 of 38m. See note B2 of the preliminary
results for details.
2. 2016 and 2015 exclude the impact from an outward quota share reinsurance agreement written in 2015 and completed in 2016 in Aviva Insurance Limited (AIL) and the effects of Ogden in 2016.
3. The estimated Solvency II position includes an estimated adverse impact of a notional reset of the transitional measure on technical provisions (TMTP) to reflect interest rates at 31 December 2016.
Removing this notional reset of TMTP would increase the estimated Solvency II surplus by 0.4 billion. Amortisation of TMTP since 1 January 2016 is also reflected. Also included are the proforma
impacts of the disposal of Avivas 50% shareholding in Antarius to Sogecap expected to complete on 1 April 2017 (0.2 billion increase to surplus) and a future change to UK tax rules restricting the
tax relief that can be claimed in respect of tax losses (0.4 billion decrease to surplus).
4. The estimated solvency II ratio represents the shareholder view. This excludes the contribution to Group Solvency Capital Requirement (SCR) and Group Own Funds of fully ring fenced with-profits
funds of 2.9 billion (2015: 2.7 billion) and staff pension schemes in surplus 1.1 billion (2015: 0.7 billion) these exclusions have no impact on Solvency II surplus.
5. General insurance & health operating profit rebased for the reduction in the AGH loan
6. On an MCEV basis
7. Excludes transfers from Friends Life
8. Proportion of customers scoring 8 10 in our online MyAviva survey in response to being asked: how satisfied are you with your online experience today?
9. Proportion of Aviva motor and home sales to existing direct customers
10. Dividends only, does not include interest remitted
11. Unaudited management information using Aviva methodology
12. Includes remittances from Ireland following the transfer of ALPI into the UK business
13. Other represents changes in assumptions and modelling, other non-recurring product specific items, and non product specific items.
14. (Over)/under long term average
15. 2015 comparatives have been restated to exclude c.0.9 billion of goodwill which does not support the general insurance and health business for capital purposes and is included in Corporate and
Other Business. There is no impact on Group return on equity as a result of this restatement.
33
Appendix
Life
Operating profit snapshot (Global Life)
% Change
NB Income 1,252 15%
Underwriting margin 625 10%
Life operating profit

Investment Return 2,645 16%
2,642
2,442
Total income 4,522 15% 2,044
1,949
Acquisition expenses (828) 7%
Admin expenses (1,268) 16%
FY13 FY141 FY151 FY16

DAC, AVIF & Other 216 (40)%
OPBT 2,642 8%
36
Profit drivers (Global life)
Underwriting margin New business (PVNBP)
4.1% 4.0%
625m 3.9% 3.9%
555m 569m
NB margin
463m
2.9% Acq. Margin
2.6% 2.6%
2.4%
29,765m 34,967m
24,418m 24,407m
FY13 FY14 FY15 FY16 FY13 FY14 FY15 FY16
Investment return (AUM / margin) Admin expenses & unit cost

84bps 39bps
83bps
38bps
77bps 78bps 37bps 37bps

339.7bn 1,268m
296.5bn 1,091m
233.2bn 228.6bn 910m 867m

37
Investment margin (Global life)
Investment mix Unit linked (reserves/AMC)
2,645
2,287 166 103bps
185 289 102bps
1,967 1,901
215
264 204 734 Expected return
207 187 619 98bps 96bps
Spread
611 624 152.0bn
Participating 129.8bn
1,268 1,456 Unit linked 86.4bn 85.8bn
885 886
2013 2014 2015 2016 2013 2014 20151 2016
Participating (reserves/bonus) Spread (reserves/margin)

65bps 43bps
45bps 39bps
61bps 61bps 37bps
57bps
58.6bn 67.7bn
108.1bn 120.1bn 46.4bn 47.4bn
100.4bn 95.4bn
2013 2014 2015 2016 2013 2014 2015 2016
38
Life operating profit snapshot (UK & Ireland)
% Change
NB Income 801 13%
Life operating profit

1,555
1,455
Total income 2,479 13% 1,074

967
Acquisition expenses (396) (3)%
Admin expenses (652) 12%

FY13 FY141 FY151 FY16
OPBT 1,555 7%
39
Life profit drivers (UK & Ireland )
3.8% 3.9%
326m 3.7% 3.7%
279m NB margin
198m Acq. Margin
175m 2.4%
2.3% 2.2%
2.1%
16,797m 18,801m
12,393m 12,444m

63bps 32bps
62bps 60bps 30bps

29bps
58bps 224.5bn
196.4bn
29bps 584m
652m
123.8bn 126.3bn 390m 364m

40
Life investment margin (UK & Ireland)
1,352
88bps 87bps
1,208 62
95 269
198 Expected return
782 195
738 152
143 74
Spread 83bps
142 136 Participating 110.1bn
86 94 826
763 Unit linked
434 46.9bn 49.8bn 92.2bn 75bps
411
2013 2014 2015 2016 2013 2014 20151 2016

38bps 42bps
31bps
36bps
27bps 35bps
23bps 49.5bn 51.1bn 32bps 63.3bn
54.6bn
36.6bn 34.4bn 40.3bn 42.1bn
2013 2014 2015 2016 2013 2014 2015 2016

41
Life operating profit snapshot (Europe)
% Change
NB income 267 17%
Operating profit
884 882 844
766
Total income 1,624 14%
Acquisition expenses (274) 13%

FY13 FY14 FY15 FY16
OPBT 844 10%
42
Life profit drivers (Europe)
4.7%
305m 4.4%
4.2%
230m 3.8% NB margin
223m
208m Acq. Margin
2.9% 2.9%
3.5% 2.5%
9,228m 10,975m
8,558m 8,498m

113bps
107bps 110bps
51bps
111bps 48bps
46bps 48bps
104.8bn 98.3bn 102.1bn 520m
482m 467m 434m
90.0bn

43
Life investment margin (Europe)
155bps
1,122 1,113 1,134 140bps
109 118 989 11 81
28 25 126bps
7 77 Expected return 119bps
524 Spread
531 531 470
Participating 38.3bn
34.8bn 33.4bn
Unit linked
31.0bn
454 439 435 518
2013 2014 2015 2016 2013 2014 2015 2016

90bps
67bps 60bps
65.5bn
85bps 84bps
3.1bn 3.2bn
80bps
4.2bn 4.2bn
62.3bn 59.3bn 23bps 34bps
55.9bn
2013 2014 2015 2016 2013 2014 2015 2016

44
Operating profit snapshot (Asia life)
% Change
NB income 184 21%
Underwriting margin 76 (7)%
Investment Return 159 77% Operating profit

244 241
Total income 419 29%
Acquisition expenses (158) 24% 96 87

FY13 FY14 FY15 FY16
OPBT 241 (1)%
45
General insurance
& health
General insurance and health (Group)
Operating profit Net written premium
833 9,134
721 719 8,720
645 8,300 8,090
20135 20145 20152,5 20162 2013 2014 20152 20162
GI Combined operating ratio Investments

Average assets LTIR %
97.3% 95.7% 94.6% 95.2% 3.0%
2.8%
32.8% 31.7% 30.1% 31.9% 2.6%
C&E ratio
Loss ratio 2.4%
18,434 17,200
64.5% 64.0% 64.5% 63.3% 15,268 14,369
2013 2014 2015 2016 2013 2014 2015 2016

47
General insurance and health (UK & Ireland)
471 4,871
412 4,736
384 4,546 4,581
337
20135 20145 20152,5 20162 2013 2014 20152 20162

Average assets LTIR %
97.2% 94.9% 95.0% 94.9% 3.0% 2.7% 2.7%
35.1% 33.5% 30.1% 33.3% 2.4%
C&E ratio
Loss ratio
64.9% 11,559 10,592
62.1% 61.4% 61.6% 8,911 7,308
2013 2014 2015 2016 2013 2014 2015 2016

48
General insurance and health (Canada)
269 2,453
246
214 2,250
189 2,104
1,992
2013 2014 2015 2016 2013 2014 2015 2016
Combined operating ratio Investments

LTIR %
94.6% 96.1% 93.8% 94.6% Average assets
3.5% 3.1%
31.4% 30.6% 30.5% 31.1% 2.7% 2.5%
C&E ratio
Loss ratio
3,786 4,192
3,650 3,578
63.2% 65.5% 63.3% 63.5%
2013 2014 2015 2016 2013 2014 2015 2016

49
General insurance and health (Europe)
113 114 120 1,673
112 1,601
1,556
1,410
2013 2014 2015 2016 2013 2014 2015 2016

LTIR %
98.1% 97.7% 95.4% 95.8% Average assets
28.5% 28.0% 2.7% 2.8%

29.2% 29.1%
C&E ratio 2.1% 2.1%
Loss ratio
69.6% 69.7% 66.2% 66.7% 2,757 2,685 2,535 2,640
2013 2014 2015 2016 2013 2014 2015 2016

50
Earnings per
share
Operating earnings per share
FY15 FY16
Group operating profit 2,668 3,010
Less operating tax (603) (706)
Minority Interest (152) (147)
DCI and fixed rate tier 1 notes (57) (68)
Preference shares (17) (17)
Total operating earnings after tax, MI & DCI and preference shares 1,859 2,072
Weighted average number of shares 3,741 4,051
Operating earnings per share 49.7p 51.1p
52
Basic earnings per share
FY15 FY16
Operating profit attributable to shareholders 1,859 2,072
Investment return variances and economic assumption changes on long-term business (37) 270
Short-term fluctuation in return on investments backing non long-term business (62) (398)
Economic assumption changes on GI & Health business (80) (193)
Impairment of goodwill, joint ventures and associates and other amounts expensed (22) -
Amortisation and impairment of intangibles (121) (137)
Amortisation and impairment of acquired value of in-force business (376) (455)
Profit on disposal and remeasurement of subsidiaries, JVs and associates 2 (16)
Impact of Ogden - (380)
Integration and restructuring costs and other (301) (145)
Profit attributable to ordinary shareholders 862 618
Weighted average number of shares 3,741 4,051
Basic earnings per share 23.1p 15.3p
53
Returns
Operating return on total capital employed
30.1%
24.4%
23.2%
22.0%
16.1% 15.6% 16.2% 15.7%

14.4% 14.2% 14.0%
13.0% 12.7% 13.1%
11.2%
10.2%
9.0% 9.4%
UK & I Life UK & I GI15 Europe Canada Asia FM
FY14 FY15 FY16
2015 and 2016 reflect the adverse the impact from the higher weighted average shareholder
equity following the acquisition of the Friends Life business on 10 April 2015.
55 1. Following a correction to accounting and modelling for annual management charge rebates in UK Life, prior year comparatives have been restated
Operating return on total capital employed & return on equity
Group return on capital employed Group return on equity
11.4% 16.2%
10.8%
9.7% 14.1%
12.5%
FY14 FY15 FY16 FY14 FY15 FY16
2015 and 2016 reflect the adverse the impact from the higher weighted average shareholder
equity following the acquisition of the Friends Life business on 10 April 2015.
56
Analysis of operating return on equity
Operating return
Weighted average
m Before tax After tax shareholders funds including Return on Equity %
non-controling interests
UK & Ireland Life 1,555 1,262 11,218 11.2%
UK & Ireland GI and Health 471 380 2,431 15.6%
Europe 964 674 5,160 13.1%
Canada 269 197 1,256 15.7%
Asia 228 216 1,548 14.0%
Fund management 138 104 426 24.4%
Corporate and Other Business (227) (219) 4,850 n/a
Return on total capital employed 3,398 2,614 26,889 9.7%
Subordinated debt (387) (309) (6,907) 4.5%
Senior debt (1) (1) (869) 0.1%
Return on total equity 3,010 2,304 19,113 12.1%
Less: Non-controlling interests (147) (1,279) 11.5%
Direct capital instrument and tier 1 notes (68) (1,123) 6.1%
Preference capital (17) (200) 8.5%
Return on equity shareholders funds 2,072 16,511 12.5%

57
Capital &
cash flows
Solvency II own funds by tier
Regulatory view* Shareholder view

FY16 bn % of SCR % of own funds
Tier 1 21.8 132% 77%

Regulatory view adjusted by
4bn due to with-profits funds,
T1 unrestricted 18.8 114% 66% pension scheme and other
T1 restricted 3.0 18% 11% pro-forma adjustments
Tier 2 6.3 38% 22%
Tier 3 0.4 3% Shareholder view coverage
1%
ratio of 189%
28.5 173% 100%
*Estimated, subject to publication in May 2017
59
Solvency II sensitivities
Impact on Solvency cover ratio (SCR)
31/12/2016 SCR : 189%
25bps increase in interest rate 4%
100bps increase in interest rate 18%
25bps decrease in interest rate (5)%
50bps decrease in interest rate (11)%
10% increase in market value of equity 2%
10% decrease in market value of equity (1)%
25% decrease in market value of equity (4)%
50bps increase in Corporate Bond spread 0%
100bps increase Corporate Bond spread (1)%
50bps decrease in Corporate Bond spread (2)%
10% increase in maintenance and investment expenses (7)%
10% increase in lapse rates (1)%
5% increase in mortality / morbidity rates life assurance (1)%
5% decrease in mortality rates annuity business (11)%
5% increase in gross loss ratios (3)%
60
Subordinated
External debtDebt
aProfile
balanced maturity profile
1,300m
Restricted Tier 1
Tier 2
Tier 3
892m 884m 800m 12.000%

768m
700m
465m
7.875%
450m
6.125%
598m 600m
555m
526m
500m
400m 400m
7.875% 162m
8.25%
210m 500m 6.625%
427m
6.875% 6.875% 5.9021%
272m
8.250% 6.875% 6.875% 5.902% 8.250%
2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2029 2030 2038
All debt instruments have been presented at optional first call dates at nominal values converted to GBP using 31 December 2016 rates.
61
2016 excess centre cash flow
1,805m (540)m
(85)m
(251)m
929m 871m
Cash remitted External interest Internal interest Central spend & other FY16 Excess Dividend cost
to Group centre cash flow (calendar year)
62
Balance
sheet
Total managed assets
Assets by liabilities covered Participating assets by type

133,535
m 346,216 119,874
307,951 62,366 76,863

Euro-style
133,535 UK With-profits
57,508 56,672
style
119,874
Participating funds FY15 FY16
Policyholder funds
Shareholder funds Shareholder assets by type
132,901 79,780
117,941 70,136
Annuity &
non-profit
65,628 GI, Health
58,586
& other
70,136 79,780
11,550 14,152
FY15 FY16 FY15 FY16
64
Shareholder assets
Shareholder assets by type Corporate debt by rating

m 79,780 Total: 28,133m
9%
70,136 8% 13% 42% 27%
22,883 1%
18,755
Government debt AAA A Less than BBB
Corporate bonds AA BBB Non-rated
28,133
26,402 Other debt
Mortgage loans Government debt by rating
2,699 Other Total: 22,883m
2,779
18,133 6%
20% 68%
16,954 6%
5,246 7,932
FY15 FY16 AAA A Less than BBB

AA BBB Non-rated
65
Shareholder assets
Corporate bonds by industry Loans by type

Total: 21,362m
3%
7% 2% 20% 1% 12%
4%
7%
9% 12%
19%
20% 85%
Financials - Banks Communications Loans & advances to banks

Financials - Insurance & other Real estate Healthcare, Infrastructure & PFI other loans
Utilities Oil & gas Mortgage loans
Consumer services Other Other
Industrial
66
Shareholder assets Mortgage loans
Mortgage loans Commercial real estate portfolio
Total: 18,133m Commercial: 6,651m
102%
18% 95%
83% 85%
61% 58%
LTV
1,583
37% m 1,492
Loans
in arrears 418 446
45% 9 0
2.05x 2.18x
Loan 1.32x 1.4x 1.4x 1.47x
interest
Healthcare, infrastructure & PFI cover
Commercial FY11 FY12 FY13 FY14 FY15 FY16
Securitised mortgage loans & equity release
67
Other
France Antarius pro-forma
Key metrics France adjusted for Antarius
m FY16 FY16 (excl. Antarius)
Operating profit before tax (gross of tax & MI) 481 403
Net profit after tax (after tax & MI) 200 174
Value of new business (MCEV basis) 224 192
69
Estimated amortisation of acquired value of in-force
600m
500m FPI
FL UK
Other Aviva businesses
400m
300m
200m
100m
0m
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
This is our current estimated projection and is subject to a variety of factors including the effects of markets.
70
Footnotes
1. Following a correction to accounting and modelling for annual management charge rebates in UK Life, prior year comparatives have been restated. This has led to an increase in operating profit and
profit before tax of 23m for 2015 and an increase in opening retained earnings for 2015 of 20 million with an increase in equity at 31 December 2015 of 38m. See note B2 of the preliminary
results for details.
2. 2016 and 2015 exclude the impact from an outward quota share reinsurance agreement written in 2015 and completed in 2016 in Aviva Insurance Limited (AIL) and the effects of Ogden in 2016.
3. The estimated Solvency II position includes an estimated adverse impact of a notional reset of the transitional measure on technical provisions (TMTP) to reflect interest rates at 31 December 2016.
Removing this notional reset of TMTP would increase the estimated Solvency II surplus by 0.4 billion. Amortisation of TMTP since 1 January 2016 is also reflected. Also included are the proforma
impacts of the disposal of Avivas 50% shareholding in Antarius to Sogecap expected to complete on 1 April 2017 (0.2 billion increase to surplus) and a future change to UK tax rules restricting the
tax relief that can be claimed in respect of tax losses (0.4 billion decrease to surplus).
4. The estimated solvency II ratio represents the shareholder view. This excludes the contribution to Group Solvency Capital Requirement (SCR) and Group Own Funds of fully ring fenced with-profits
funds of 2.9 billion (2015: 2.7 billion) and staff pension schemes in surplus 1.1 billion (2015: 0.7 billion) these exclusions have no impact on Solvency II surplus.
5. General insurance & health operating profit rebased for the reduction in the AGH loan .
6. On an MCEV basis.
7. Excludes transfers from Friends Life.
8. Proportion of customers scoring 8 10 in our online MyAviva survey in response to being asked: how satisfied are you with your online experience today?
9. Proportion of Aviva motor and home sales to existing direct customers.
10. Dividends only, does not include interest remitted.
11. Unaudited management information using Aviva methodology.
12. Includes remittances from Ireland following the transfer of ALPI into the UK business.
13. Other represents changes in assumptions and modelling, other non-recurring product specific items, and non product specific items.
14. (Over)/under long term average.
15. 2015 comparatives have been restated to exclude c.0.9 billion of goodwill which does not support the general insurance and health business for capital purposes and is included in Corporate and
Other Business. There is no impact on Group return on equity as a result of this restatement.
71

Aviva PLC 2016 Results

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Aviva PLC 2016 Results

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2016 Results

Operating profit Capital Cash Dividend

3,010m Solvency II ratio 23.3p per share

Operating profit: +12% Operating EPS: +3%

2013 20141 20151,2 20162 2013 20141 20151,2 20162

Operating profit: +12%

Growth consistent with

Strong growth performance in

Value of new business6 Operating profit

2013 2014 2015 2016 2013 20141 20151 2016

Net written premiums Operating profit

LTIR & other

2013 2014 20152 20162 20135 20145 20152,5 20162

Growing AuM Positive net flows

48.1 45.5 (0.3)

2013 2014 2015 2016 2013 2014 20157 20167

External Internal External Internal

Infrastructure Users Sales

Customer systems 75% MyAviva 47% new business sales

Single customer view Aviva registrations Direct policy sales

14.6m 5.0m 1,122k

SII cover ratio3,4 SII capital generation

Planning additional capital

Oaks Acorns Apple trees

Cash remittances: +20% Friends Life integration

201310 2014 2015 2016

2013 2014 2015 2016

Grow operating profit 12% growth

Strong capital 189%, planning capital returns for 2017

Grow dividend 12% growth, 46% pay-out ratio

Digital Infrastructure built, user numbers growing

Operating profit (m) FY15 FY16 Change

UK & Ireland life1 1,455 1,555 7% Operating profit

UK & Ireland general insurance & health2,5

Aviva Investors 105 139 32%

Canada 214 269 26%

Europe 880 964 10%

Asia 238 228 (4)% Operating EPS

Corporate costs, non insurance & other (179) (205) (14)%

Group debt & other interest costs5 (409) (411) - Up 3%

Opening NAV per share

Foreign exchange 23p

AVIF amortisation (11)p

FY151 FY16 FY15 FY16

Annuities & Equity Release 292 305 11% PVNBP 7.5-8.5%

Protection 70 118 54% APE 40-50%

Long Term Savings 181 219 25 bps Opening assets 25-30bps

Protection 89 124 8% In-force premiums 7.5-8.5%

Other13 310 151

Total 1,431 1,523

FY15 UK Life Asset Mgt PLC / other FY16

Capital benefits delivered Special remittances

Positive cost-income jaws AUM up 19% to 345bn

450 Operating income 14bn

300 FY15 External Internal Internal Market FL assets FY16

Normalised AY COR excl. Flood Re, HS & Ogden 97.2% 97.7%

Net written premiums Cash remittance

FY152 FY162 FY15 FY16

FY15 FY16 Normalised AY COR 98.9% 99.3%

Net written premiums Cash remittance

FY15 FY16 Normalised AY COR 98.2% 97.7%

Value of new business6 Cash remittance

FY15 FY16 FY15 FY16