KD Group, finančna družba, d.d., Dunajska cesta 63, Ljubljana (hereinafter: KD Group), as the company responsible for calculations and reports under the Financial Conglomerates Act, hereby informs the public that on 5 April 2013 it received a decision from the Insurance Supervision Agency (hereinafter: AZN), whereby the AZN granted the request of KD Group and KD, a financial company, d.d., Dunajska cesta 63, Ljubljana (hereinafter: KD) to extend the deadline for rectifying the infringements (as specified in the AZN Order of 11 April 2012) and extended the deadline for rectifying the infringement, which had originally been set for 12 April 2013, by a period of nine months, i.e. until 12 January 2014.
As published on SEOnet and on the websites on 24 September 2010, the KD Group constitutes a financial conglomerate under the Financial Conglomerates Act. As part of the supervisory process, on 11 April 2012 the AZN issued an order to KD Group and KD to remedy the breach, with a deadline of 12 April 2013, as KD Group and KD, based on the calculation of capital and supplementary capital requirements at the level of the KD – AS financial conglomerate, had reported capital at the financial conglomerate level that was lower than the capital requirements, calculated in accordance with the Rules on the calculation of supplementary capital requirements for supervised entities and on the calculation of adjusted capital requirements for unsupervised entities within a financial conglomerate. The total shortfall thus arose in the calculation of the capital of KD and KD Group, whilst all subsidiaries operating within the KD Group are capital-adequate and fully compliant with the regulations under which they operate. The operations and capital adequacy of individual subsidiaries within the KD Group were not, and are not, the subject of proceedings before the AZN, the capital of individual subsidiaries within the KD Group exceeds the prescribed level in all cases. The companies are operating normally and in accordance with their plans, and neither their operations nor the security of investors and policyholders is in any way at risk.
As is also evident from the explanatory notes to the AZN’s decision, KD Group and KD have, over the past year, taken steps on the basis of which the financial conglomerate KD-AS reduce the scope of activities within the KD Group which, under the Financial Conglomerates Act, fall within the banking sector, to a level below the threshold at which the KD Group would no longer meet the conditions for being classified as a financial conglomerate. The KD Group is successfully implementing its set objectives and strategy under the current business conditions.
This notice will also be published on the company’s website,
www.kd-group.com, under ‘Public Announcements’, from 5 April 2013 onwards.
KD Group d.d.
KD Group, d.d.
KD Group d.d.
