MMI HOLDINGS LIMITED - MMI Interim Results to 31 December 2012 - press release

MMI Interim Results to 31 December 2012 - press release

MMI Holdings Limited
Incorporated in the Republic of South Africa
Registration Number: 2000/031756/06
JSE share code: MMI
NSX share code: MIM
ISIN: ZAE000149902
("MMI" or "the company")



MMI interim results to 31 December 2012 show strong growth

MMI Holdings Limited (MMI) released its interim results today for the six months
to 31 December 2012, showing strong growth in core headline earnings of 16% to 
R1 501 million. The group declared an interim dividend of 51 cents per share, 
representing a 16% increase compared to the previous half year.

MMI remains on a growth path, with its embedded value having increased to 
R33.4 billion and having delivered an annualised return on embedded value of 20% 
over the six months. The return on embedded value was boosted by strong operating 
performance across the group, as well as the positive impact of the growth in the 
investment markets during the six months.

Nicolaas Kruger, MMI CEO, said that he is pleased with the strong set of results, 
particularly the healthy contributions made by all six operating divisions.

MMI is on track with meeting the R500 million annual merger-savings target, having
thus far realised merger savings of R256 million. `We are very pleased with the 
progress we have made with the merger so far. Although the successful completion of
the integration process remains important, we are shifting our strategic focus from
integration to growth initiatives,' said Kruger.

MMI divisions continue to focus on acquiring good quality new business. The value 
of new business increased by 18% to R340 million, supported by an improvement in the
overall new business margin from 1.9% to 2.0%. This was achieved in challenging
market conditions, characterised by weak economic growth, declining employment 
numbers and labour unrest.

`Three strategic investments - the acquisition of a controlling stake in Eris Property
Group; the remaining 50% of Momentum Short-term Insurance and the remaining stake 
in Momentum Namibia - have already started to show benefits and are contributing
positively to the earnings of MMI,' said Kruger.

`Africa remains a very important market to fast-track the growth of the group,' 
said Kruger. MMI has earmarked R500 million for further investments in the 12 African 
countries outside South Africa where it already has a presence. MMI's capital buffer
remained at a healthy R3.8 billion at 31 December 2012.

MMI is in the process of applying for the amalgamation of its main long-term insurance
licences, Momentum Group and Metropolitan Life, into MMI Group. This application 
process is due to be finalised in May 2013 and will add further efficiencies to the 
group's operating model. `The Metropolitan and Momentum brands will remain intact and
continue to service its respective groups of policyholders, who will not be impacted
by the amalgamation of our insurance licences,' said Kruger.

`We are increasing our strategic focus on client-centricity, to ensure that we are on
track to realise our vision which is to become a leader in meeting the financial services
needs of our clients,' concluded Kruger.

Ends

6 March 2013

Issued by:     Redline
Contact:       Mandy Laemmle
Tel:           082 822 2494
Email:         mandy@fcbredline.co.za

On behalf of:  MMI Holdings
Contact:       Lerato Mametse
Telephone:     012 671 8818 / 084 406 8272
Email:         lerato.mametse@mmiholdings.co.za

Sponsor: Merrill Lynch South Africa (Pty) Ltd
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