Desjardins Financial Security continues to grow its business coast to coast,
with reported net income of $190.5M at the end of third quarter of 2010

Individual insurance product sales up 24.2%
Total savings product sales up 12.8%
Individual savings product sales up 11.0%
Insurance premiums up 5.6%
Net income of $190.5 million
Return on shareholder's equity of 27.3%

LÉVIS, QC, Nov. 30 /CNW Telbec/ - Desjardins Financial Security announced net income of $190.5M for the nine-month period ending September 30, 2010, compared to $150.9M over the same period in 2009. Insurance premium income for this subsidiary of Desjardins Group specializing in life and health insurance and retirement savings, stood at $2,141.2M, up 5.6% for the same period a year ago. Insurance sales totalled $156.8M, while savings product sales stood at $1,426.9M, for an increase of $161.4M compared to 2009.

The share of the Company's income attributable to the shareholder, the Desjardins caisses, was $192.2M, up $45.7M. Return on shareholder equity was 27.3%, compared to 26.3% in 2009, one of the best in the financial services industry. These solid results are due to excellent claims experience and strict control over the company's operating expenses.

Desjardins Financial Security's financial stability is excellent. Assets under management and administration stood at $25.5B, compared to $21.9B over the same period a year ago.

Third Quarter Results

For the period from July 1 to September 30, 2010, net income was $70.1M, compared to $67.6M in 2009. Insurance sales stood at $46.5M compared to $44.2M last year. Insurance premiums totalled $726.6M, versus $682.4M in 2009. Savings product sales were $308.3M.

Commenting on these results, Ms. Monique F. Leroux, Chair of the Board, President and Chief Executive Officer of Desjardins Group and Chief Executive Officer of Desjardins Financial Security, said she was very satisfied with the Company's performance. "I am very pleased to once again see that Desjardins Financial Security continues to grow its business while remaining extremely profitable. With results like these, the Company is also a major contributor to the overall performance of Desjardins Group," she indicated.

Mr. Richard Fortier, President and Chief Operating Officer of Desjardins Financial Security, also said he was very pleased with the Company's results. "Our product and service know-how, combined with our drive, our commitment to growing our business and our disciplined management approach, keeps us among the leaders in the Canadian life and health insurance and financial services industry. These exciting results are driving our business growth across the country, with the same client focus and same commitment to maintaining our profitability," he said.

Sector results

In group insurance, premiums from groups and businesses and plans offered through financial institutions, including the Desjardins caisses, stood at $1,737.1M on September 30, 2010, for an increase of $86.6M over the same period a year earlier. Sales to groups and businesses totalled $114.2M.

In individual insurance, premiums stood at $404.1M for the first nine months of 2010, versus $376.8M last year, for a 7.2% increase. Total sales recorded by the financial security advisors assigned to the Desjardins caisses, the Desjardins Financial Security Independent Network and the network of SFL financial centres stood at $42.6M, compared to $34.3M, for an increase of 24.2% over the same period a year ago.

In group retirement savings, sales stood at $242.8M. In individual savings, sales totalled $805.4M, compared to $725.4M as at September 30, 2009, for an increase of 11.0%. Mutual fund sales were $378.7M, versus $230.7M for the same period a year earlier.

About Desjardins Financial Security

Desjardins Financial Security, a subsidiary of Desjardins Group, the largest cooperative financial group in Canada, specializes in providing life insurance, health insurance and retirement savings products to individuals and groups. Every day, over five million Canadians rely on Desjardins Financial Security to ensure their financial security. Desjardins Financial Security employs some 3,800 people and administers over $25.5 billion in assets from offices in several cities across the country, including Vancouver, Calgary, Winnipeg, Toronto, Ottawa, Montreal, Quebec City, Lévis, Halifax and St. John's. For more information, visit our website at www.desjardinsfinancialsecurity.com.

For further information:

Source (for journalists only):
Sarah Twomey
Media Relations Advisor
Desjardins Group
416-926-2700 or 1-877-906-5551, ext. 2015
[email protected]