Investors Look Forward to a Decision on the Merits Following the Resolution of MCS Holders to Extend the Maturity Date Until December 7, 2030

BRUSSELS, Nov. 8, 2010 /PRNewswire/ -- Earlier today, at a meeting of holders (the "Holders") of the Fortis euro 2,000,000,000 8.75% Mandatory Convertible Securities due 2010 (the "MCS"), Holders representing over 89% of all outstanding MCS resolved unanimously to extend the maturity date of the MCS from December 7, 2010 to December 7, 2030.

QVT Financial LP and Third Point LLC (together with certain funds managed by them, the "Investors") had requested the meeting of Holders.  Whether the meeting could be held had been the subject of an urgent summary proceeding brought by Ageas last week before the President of the Brussels Commercial Court.  In such proceeding, Ageas had sought to prevent the meeting from being held.  The Investors are pleased that earlier today, the President of the Brussels Commercial Court ruled against Ageas in this respect, and decided that the meeting of Holders could proceed.  

Also, pursuant to the above-mentioned judgment, the effect of the resolution is suspended until a decision on the merits is issued by the Brussels Commercial Court in the legal action commenced by the Investors on October 1st, 2010. In order to comply with the terms of the summary judgment, the Investors today announce "that they will not oppose the conversion of the MCS on their maturity date, i.e. on December 7, 2010." The Investors point out, however, that included in such summary judgment is an acknowledgment that the conversion can be annulled at a later stage following a favorable decision on the merits.

The Investors intend to pursue the action commenced in the Brussels Commercial Court and look forward to a decision on the merits.  The Investors continue to reserve all their legal rights.

SOURCE QVT Financial LP and Third Point LLC