Reuters logo
BRIEF-Novae Group expects discount rate change to impact 2016 results
February 27, 2017 / 9:06 AM / 10 months ago

BRIEF-Novae Group expects discount rate change to impact 2016 results

Feb 27 (Reuters) - Novae Group Plc -

* Statement in response to the lord chancellor’s review of the discount rate for personal injury claims

* This change will have an impact on results of company for FY 2016 primarily as a result of its exposure to motor reinsurance business

* Board will also be considering impact of this announcement when assessing appropriateness of a final dividend

* Given non-recurring nature of this charge company expects no significant impact on profitability of ongoing business

* Given company’s strong reserving position, it holds sufficient reserve margin to absorb this impact

* Has decided to defer its preliminary results announcement to 9 March 2017 to allow orderly update of audited results

* Expect effect of rate change will be met in part through release of reserve margin and in part through a reduction in profits for 2016 Source text for Eikon: Further company coverage:

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below