We have therefore made an offer last week

Jean Azéma persists and signs. While the major European insurers say support the project for the Solvency II directive, CEO of Groupama also Chairman of the FFSAM, the mutual insurance arm of the French Federation of insurance (FFSA) companies left in campaign to try to prevent its adoption. Taking the opposite position step road the. The position of the French insurers seem weakened by these internal dissonances, the facts may give reason: the 27 Member States are struggling to find a consensus and the schedule is very tight. Finance Ministers should, logically, validate at the Ecofin Council on 2 December the French presidency compromise adopted informally last week ("Les Echos" from November 21). That would boost the political negotiations stormy between the Council and the European Parliament. Recalling that "Groupama could adapt to the device", Jean Azéma believes that the current crisis does not call into question the objective to integrate, in the term, the Top 10 of the European insurers.

You have recently taken a position against Solvency II, which must calibrate future prudential requirements for insurers. The directive would pose problems to Groupama

Groupama could adapt to the device, it is not the subject. Recent impact studies show an increase in our solvency requirements, although it is largely related to the structure of the Group and an above-average hold shares. All things that can be build. Our position on solvency II which is the FFSAM is known: the basic idea is smart calibrate own funds according to the calculation of risk but, upon arrival, the model of computation is not at all appropriate.

Why

The system is based on assumptions that do not take the road. It penalizes long risks, such as civil liability, whereas it is vital for the economy. Reasoning on a horizon of one year sanctions the detention in shares, at a time where public authorities require insurers to play their role of investors. The combination of IFRSs and prudential rules has obviously pro-cyclical in nature, as it is unable to operate all of the insurance with a concept of "fair" value, since there is no market for the liabilities of insurance value. Finally, the idea that one can model all of the business of insurance and, from there, evaluate own funds, was beaten in the face by the crisis: extreme situations are not available for modelling.

What remedy do you recommend

It is urgent to wait and not promulgate the text. What has happened in the banking world requires to be taken one or two years longer to resume the debate on new bases to well to adapt the regulation to a globalised economy. What is at the bottom Solvency II A to allow, in some cases, reduce the capital requirements. It cannot be said that the timetable is really appropriate.

Is it not too late to pull the alarm

No, I do not feel the soul of a Don Quixote and I believe that wisdom will prevail and that this text will not be enacted, because there is still no consensus on a draft directive.

The crisis questioned objectives for the strategic plan of Groupama 2009

When the stock assets fall, insurers suffer the consequences without that give this subject our strength. So far, 2008 has been a very good year in terms of growth we anticipate 4.5 to perimeter and exchange rates constant and 10 overall and of loss experience. However, the level of recovery of assets at December 31 will no doubt impact on supplies to pass and thus on our net income. We already said, regarding the plan 2007-2009, that we would be slightly below the target. On average, the growth of turnover over the period will be from 4 to 5 per year, rather than the targeted 7. But the rebalancing of our development to urban areas, investment in the Bank and the international diversification will have been achieved as expected.

An international, you have done 7 acquisitions in less than two years, but not the large-scale operation that would justify the rating.

We built exactly what we wanted in terms of implementation. But we have actually done so the transform operation that we would be among the 10 first European insurers. The crisis does us not change course, even if it can be done, in the short term, a little less acquisitions. We study a few records, but the crisis did not yet lower prices in the insurance industry! One thing is certain, we have the means to fund walking still to cross.

Is rating project still relevant

Not be rated allows us to cross the current with more serenity period, even if this does not call into question the usefulness of the financial markets. The company, its employees, its elected officials, are in phase with the idea of funding growth through an introduction on the stock exchange. Internal is rather reassured to see that we do what we say to expect an operation more than 3 billion euros to open the capital of the group.

In France, told you interested in the acquisition of Natixis Assurances.

An insurer must be strong in its domestic market, even though it diversifies international. We have therefore made an offer last week. The Banques Populaires and Groupama have close governance modes, enough additional clients. We can offer a partnership that goes beyond life insurance.

Groupama is also one of the three candidates vying to become the partner of La Banque Postale in damage insurance. How you stand on this issue

The Banque Postale presents a good distribution network, complementary of Groupama which account 2,500 agencies. For us, such a partnership would offer potential for development in urban areas and complementarity in terms of customer.

The development of your banking subsidiary you satisfied it

We now expect client Interamericano, and some 280,000 accounts current. The Bank moved into the network, with a certainly slower rise than expected but regular. She won roughly 38,000 new clients this year. The dead should be achieved in 2010. We are one of the most competitive players in the market. We think also to insert a banking offer in Amaguiz.

Do you have launched a campaign of pre-booking for the booklet, whose distribution will be opened to competition in early 2009

Only for our clients in portfolio. We will not operation to the general public, because it is not with the booklet that Groupama Bank will gain market share.

As an institutional investor, how analyze you the sharp drop in stock market of Société Générale, which you are a shareholder Could you increase your participation

The course is below the fundamental value of the company. Accordingly, we do not exclude to strengthen us.