Pozavarovalnica Sava, d. d. Analyst Meeting Business Results of Sava Reinsurance Company FIRST QUARTER 2011 Maj 2011

Major events  Recapitalisation of the subsidiary company Sava životno osiguranje EVENTS IN THE FIRST QUARTER 2011 EVENTS AFTER THE REPORTING DATE  On 3 March 2011, Mateja Treven starts her five-year term of office as Member of the Management Board  Request by the Securities Market Agency relating to a potential takerover bid for POSR shares  Election of Supervisory Board member in regular annual meeting  Claim from designers of Sava Re’s former logo  Decision on the recapitalisation of the subsidiary company Sava Tabak adopted  Decision on the recapitalisation of the subsidiary company Velebit usluge adopted 1

1Q 2011 results versus 2011 plan 2 KEY FEATURES OF FIRST QUARTER 2011 RESULTS: Gross premiums written of over 25% of budgeted premium; premium volume shrank year-on-year as a result of both the strategy of lowering Sava's dependence on the Slovenian market and of increased selectivity in reinsurance underwriting in European markets (focus on profitable business) Favourable movement in combined ratio (good results on both the domestic and foreign-sourced portfolio) Ordinary first quarter movements in unearned premiums Negative impact from impairment losses on equities (EUR 0,9m)

Key items of the income statement 3 Drop in premiums planned to decrease Slovenian premium Effect of capital gains in prior year Effect of movements in the US dollar Sava Reinsurance Company Index 2011/2010 (EUR) 124=2/1 Net earned premiums ,5 Investment income ,8 Other technical income ,3 Net claims incurred ,0 Net operating expenses ,3 Investment expenses ,2 Other technical expenses ,0 Net profit/loss for the period ,7 Favourable claims development Gross expenses in line with premium income; negative impact from deferred acquisition costs Effect of impairment losses on investments of EUR 0,9m strongest in the first quarter Effect of movements in the US dollar

Premiums earned and claims incurred 4 Sava Re (EUR) Index 2011/2010 Gross premiums written ,2 Net premiums written ,9 Change in net unearned premiums ,3 Net premiums earned ,5 Sava Re (EUR) Index 2011/2010 Gross claims paid ,3 Net claims paid ,3 Change in the net claims provision ,3 Net claims incurred ,0 The gross claims provision grew by 2,2%, of this 17,9% relates to the reinsurers' share, which explains the low figure for the change in the net claims provision.

Reinsurance business: Domestic premium Aircraft hull 0,2%0,1% Liability 3,4%3,6% Credit 1,1%0,9% Marine hull 1,1%1,3% Motor casco 24,2%25,5% MTPL 27,8%26,6% Accident and life 9,6%9,4% Non-life 32,6%32,5% Total 100,0% Gross premiums written EUR 85mEUR 71m

Reinsurance business: Foreign-sourced premium Aircraft hull 1,0%0,6% Liability 1,5%1,3% Credit 0,1% Marine hull 6,4%7,2% Motor casco 4,5%4,0% MTPL 5,3%5,2% Accident and life 5,4%4,9% Non-life 75,9%76,7% Total 100,0% Gross premiums written EUR 62mEUR 71m

Key ratios for reinsurance business – complete portfolio 7 The gross incurred loss ratio includes apart from claims and premiums, the change in unearned premiums and in the claims provision. The gross expense ratio includes apart from commissions and premiums, the change in deferred acquisition costs and in unearned premiums (excluding administrative expenses). Net ratios include the effects of Sava Re's reinsurance coverage (showing the net account).

1Q Results: Operating expenses 8 (v EUR) Index 2011/2010 NET DEFERRED ACQUISITION COSTS ,8 Acquisition costs including change in deferred acquisition costs ,7 Gross deferred acquisition costs ,2 Gross change in deferred acquisition costs ,4 Income from reinsurance commission and reinsurance contract profit participation ,7 ADMINISTRATIVE EXPENSES ,2 Depreciation of operating assets ,4 Labour costs ,2 Costs of services by natural persons not performing business, incl. contributions ,0 Other operating expenses ,3 NET OPERATING EXPENSES ,3

1Q Results: Investment structure 9 (EUR)31 Dec Mar 2011 Deposits and CDs Bonds Shares Mutual funds Strategic shares Other Total

1Q Results: Net investment income 10 (EUR) Index 2011/2010 Investment income ,8 Investment expenses ,2 Net investment income ,4 Comprehensive income ,9 Impairment losses on quoted equities already valued at fair value through the fair value reserve Impacts on the investment portfolio: - Settlement of consideration for Zav. Illyria of EUR 8,5m. - Cash flows from reinsurance operations of EUR 1,8m and fair- value revaluation of investments amounting to EUR 0,3m. Impact: - Impairment losses on the equity portfolio

1Q Results: Statement of financial position 11 EQUITY AND LIABILITIES (31 Mar 2011) = EUR 423,7m Structure 31 Dec 2010 Structure 31 Dec 2011 Equity 37,3%37,0% Technical provisions 41,6%44,4% Liabilities from operating activities 7,6%7,1% Other 13,5%11,5% EQUITY (31 Mar 2011) = EUR 156,9m 31 Dec Dec 2011Index Share capital ,0 Share premium ,0 Profit reserves ,6 Fair value reserve ,8 Net profit/loss for the period ,0 TR = EUR 188,2m31 Dec Mar 2011Index Unearned premiums ,3 Claims provision ,2 Other TP ,9 (EUR) Available solvency margin Required solvency margin Surplus of available over required