Danamon and Manulife Collaborate to Grow Bancassurance in Indonesia

Insurance and wealth management solutions offered to wide range of customer segments.

Strong sales and fee-based income potential for Danamon and Manulife Indonesia.

TORONTO / JAKARTA, Oct. 19, 2011 /PRNewswire/ - PT Bank Danamon Indonesia Tbk ("Danamon") and PT Asuransi Jiwa Manulife Indonesia (Manulife Indonesia) have announced the signing of a strategic partnership. This collaboration will enhance their joint offerings of banking, insurance and wealth management products to a broad base of Danamon customers, including microfinance, commercial and corporate customers.  The partnership will be effective from July 1, 2012.

"Danamon and Manulife Indonesia share the vision that the benefits of insurance and investment management products should be a lot more accessible to many people across the country," stated Henry Ho, Danamon's President Director. "The partnership forged today is what the bancassurance industry needs to make it happen. The unique position of Danamon as a truly universal bank and Manulife's expertise and experience in Indonesia in addition to a solid global reputation combined will enable a broad base of our customers to mitigate risks, as well as to make available investment opportunities in planning for their lives and careers," continued Henry.

As a truly universal bank, Danamon serves all customer segments in Indonesia. It extends micro loans to individual customers averaging around 20 million rupiah; as well as middle-income customers, and small and medium sized enterprises. Danamon is also among the most prominent providers of commercial and corporate sized loans to companies and businesses in Indonesia.

Alan Merten, Chief Executive Officer and President Director, Manulife Indonesia commented, "The collaboration between Danamon and Manulife Indonesia is an exciting milestone in our 26-year history in Indonesia. It is another pivotal step that we are taking in Indonesia to realize our vision to be the most professional financial services organization in the country, providing strong, reliable, trustworthy, and forward-thinking solutions for our clients' most significant financial decisions." Mr. Merten continued, "Danamon's position as a universal bank, serving a wide range of customer segments, and Manulife Indonesia's comprehensive range of reliable products is a forward-thinking partnership to better serve the growing insurance and wealth management needs of the Indonesian community."

"We are confident that through this collaboration we can fulfill the wide range of banking, insurance and wealth management needs of our customers, deepening our relationship with them, and becoming their preferred bank," remarked Michellina Triwardhany, Danamon's Director for Consumer Banking. In addition, the collaboration has strong potential to contribute to the Bank's non interest incomes. "We foresee a significant growth of our fee-based incomes in the medium to long term from this strategic partnership with Manulife Indonesia," Ms. Triwardhany added.

"This partnership is also clearly aimed at achieving increased sales growth for Manulife Indonesia, and we believe the competitive advantage Danamon and Manulife Indonesia both have places us well to achieve this," remarked Hans de Waal, Senior Vice President and Head, Partnership Business of Manulife Indonesia. "Besides creating job opportunities, we also see the success of this partnership leading to the improvement of insurance penetration rates in Indonesia," added Mr. De Waal.

Supporting education in Indonesia

At the signing ceremony, Danamon donated approximately 2000 personal computers to the Surya Institute, which will distribute them for education purposes to school-age children in homes across the country. Manulife also took part in this community project by donating IDR 100 million in cash to support the education of around 400 teachers from all parts of Indonesia as part of Surya Institute programs to increase the quality of education in Indonesia.

Surya Institute was founded in 2006 by Prof. Yohanes Surya, Ph.D. with a mission to reform Science and Math education in Indonesia. The institute's efforts promote Science and Math learning as fun, easy and meaningful, so what the students learn become life skills and prepare them to excel in the workforce. Surya Institute believe that through the advancement of science and mathematics education, Indonesia will have a highly skilled workforce that will significantly contribute to both local and international communities. In addition to researching and developing materials and teaching methods, Surya Institute also works together with regional and national governments and schools to train teachers across Indonesia (source: http://www.suryainstitute.org)

About Danamon:

PT Bank Danamon Indonesia Tbk. was established in 1956 and as of June 30, 2011 operates over 2,300 branches and points of sales, including its Danamon Simpan Pinjam (DSP) and Syariah units as well as its subsidiaries branches. As of June 30, 2011 Danamon provides its customers with access to over 25,000 ATMs, including through its association with ATM Bersama and ALTO, in all 33 provinces in Indonesia and supported by approximately 59,411 permanent and non permanent employees (including subsidiaries).

Danamon recently was awarded "The Best of Indonesia Service to Care Champion 2011" under the category "Conventional Bank with Assets above Rp 65 Trillion" from MarkPlus Insight and Marketeers Magazine, and also received recognition as one of the "Best Local Cash Management Banks in Indonesia" in the Asiamoney Cash Management Poll 2010.

Danamon received awards for Best Mobile Banking, Best SMS Banking, Best Internet Banking and was positioned among the "Top 10 Most Consistent Bank in Service Excellence" in the 2010 Banking Service Excellence Awards by InfoBank and Marketing Research Indonesia.

Danamon was named among the "Best Performance Banks 2010 in ABFI Banking" in the category of "Private Bank with Large Scale Assets", initiated by ABFI Institute and PERBANAS, and was announced as one of 10 "Prestigious Companies from Indonesia" by The Forbes Global 2000, an annual ranking of the top 2,000 public listed companies in the world.

Danamon is the sole issuer and acquirer of American Express^® cards in Indonesia under an independent operator agreement which allows it to issue American Express cards to individual and corporate clients. Danamon is also the only bank which provides services to local merchants who accept American Express Cards and for signing up new merchant partners in Indonesia.

One of the Danamon subsidiaries, PT Adira Dinamika Multi Finance Tbk (Adira), the automotive financing company, operates an extensive branch network in more than 260 cities in Indonesia.

As of June 30, 2011, Danamon was 67.37% owned by Asia Financial (Indonesia) Pte. Ltd., 5.75% by JPMCB-Franklin Templeton Inv. and 26.88% by the public.

Manulife Indonesia

PT Asuransi Jiwa Manulife Indonesia offers the most comprehensive products and services in the Indonesian financial services industry through life insurance and employee benefits and through mutual funds and asset management services from its affiliated company, PT Manulife Aset Manajemen Indonesia.  Headquartered in Jakarta, Manulife Indonesia operates through a network of marketing offices in 24 cities across the country, supported by more than 7,900 employees and professional agents and has approximately 1.5 million in-force policies.

Manulife Indonesia has earned several prestigious awards in 2011:

• The 1^st Best Life Insurance Company in 2011 for two years in a row from ABAI (Asosiasi Broker Asuransi & Reasuransi Indonesia - Indonesian Insurance & Reinsurance Brokers Association)
• "Very Good" rating for the 6^th time from Infobank magazine in the life insurance company category with gross premium income above IDR 1 trillion in 2010
• The Best Customer Choice of Health Insurance, The Best Customer Choice of Unit Link Insurance, and The Most Popular Brand of Health Insurance categories at Indonesia Brand Champion 2011, which was initiated by MarkPlus Inc.
• Service Quality Award 2011 with "Gold" rating for Health Insurance Service category from the Service Excellence magazine, Marketing magazine and Carre - Center for Customer Satisfaction & Loyalty (Carre - CCSL)
• The Best Insurance of the Year at the ASEAN Business & Company Award 2011, which was initiated by the International Achievement Foundation (IAF)

SOURCE Manulife Financial