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FBD HOLDINGS PLC

2006 INTERIM RESULTS

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Forward Looking Statements

This presentation contains certain forward-looking statements. Actual results may differ materially from those projected or implied in such forward-looking statements. Such forward-looking information involves risks and uncertainties that could affect expected results

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Introduction to FBD Holdings plc

• Insurance underwriting……… our primary business

– leading position in target markets– strong brand identity

• Non – underwriting

– property/leisure

– financial services

• Excellent growth record.

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Operational Highlights of 2006 to date

Underwriting

• Strong new business volumes more than offset reduced premium rates.

• Policy count at 30th June 2006 up 7% on December 2005.

• Branch network enhanced and Dublin personal lines unit strengthened.

• Growth in Dublin market continuing

• Increased investment in infrastructure and people - VOIP/Business Support Centre – (Mullingar) - Workflow systems to enhance efficiency - New off-site IT availability for resilience/flexibility

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Operational Highlights of 2006 to date

Non-Underwriting

La Cala

• Conditional agreement to sell 96 hectares of development land at La Cala entered into on 23rd February 2006 for a total consideration of €201m in phased cash payments, apportioned between two tranches of land.

• Initial consideration payment of €100m arising on the Tranche I land was received on 22nd June 2006. Balance of Tranche I consideration of €21m due on 30th June 2007.

• Profit before tax of €83.6m on Tranche I land recognised.

• Caracala Spa opened at La Cala resort.

Sunset/Tower

• Improvement in visitor numbers

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Operational Highlights of 2006 to date

Corporate

• Farmer Business Developments plc reduces shareholding from 34% to 24.8% via placing of 4.5m shares. (11.6% of share capital).

– FBD partakes in the placing…….buys back 3.8m shares (10% of share capital) for €129m….. shares cancelled.

– Free float moves to 67%

• Special dividend of €1.60 per share declared on foot of receipt of consideration for tranche I land at La Cala – total of €55m paid 11th August 2006.

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Financial Highlights

H1 2006 H1 2005 %

€000s €000s

Gross written premiums 203,996 192,360 +6.0%

Net earned premiums 173,166 164,515 +5.3%

Underwriting result 41,649 52,044 -20.0%

Operating profit 75,721 86,849 -12.8%

Profit on sale of land at La Cala 83,626 - -

Profit before taxation 157,445 106,769 +47.5%

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Financial Highlights Contd

H1 2006 H1 2005

Cent Cent

Operating earnings per share 173.11 192.07 -9.9%

Interim dividend proposed per share 24.00 20.00 +20.0%

Special dividend paid per share – La Cala land sale 160.00 - -

% %

Return on equity 26% 23%

31/12/05

Net asset value per share 1,311.35 1,250.62 +4.9%

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2006 Interim ResultsIncome Statement

H1 2006 H1 2005

€000s €000s %

Gross written premiums 203,996 192,360 +6.0%

Net earned premiums 173,166 164,515 +5.3%

Net claims incurred (108,558) (91,727) +18.3%

Net operating expenses (22,959) (20,744) +10.7%

Underwriting Result 41,649 52,044 -20.0%

Loss Ratio 62.7% 55.8%

Net Expense Ratio

Combined Ratio

13.2%

75.9%

12.6%

68.4%

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2006 Interim ResultsIncome Statement … Contd

H1 2006

€000s

H1 2005

€000s

%

Underwriting Result 41,649 52,044 -20.0%

Longer term investment return 23,773 21,781 +9.1%

Non underwriting operating income 10,299 13,024 -20.9%

Operating profit 75,721 86,849 -12.8%

Operating profit by activity:

Insurance underwriting 65,422 73,825

Non-underwriting

- Property/leisure 3,728 6,355

- Financial services 2,740 2,521

- Capital fund 3,831 10,299 4,148 13,024

75,721 86,849

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2006 Interim ResultsIncome Statement … Contd

H1 2006 H1 2005

€000s €000s

Operating profit 75,721 86,849

Profit on sale of land at La Cala 83,626 -

Short term fluctuation in investment return 318 21,738

Finance costs (2,220) (1,818)

Profit before tax 157,445 106,769

Income tax expense (34,845) (12,849)

Profit for the year 122,600 93,920

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2006 Interim ResultsBalance Sheet - Assets

30/6/06

€000s

31/12/05

€000s

Property & Equipment

Hotels/golf 170,876 168,258

Property – own use 28,723 28,665

Fixtures & Fittings 13,759 213,358 13,302 210,225

Investments

Property 59,916 48,856

Financial 1,115,867

1,061,846

Reinsurers’ share of technical provisions

79,494 66,034

Other receivables/DAC’s 104,385 73,058

Other Assets

Development land 27,723 36,163

Work-in-Progress 31,761 26,333

Cash 37,747 97,231 41,897 104,393

Total Assets 1,670,251

1,564,412

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2006 Interim ResultsBalance Sheet - Liabilities

Equity

30/6/06

€000s

31/12/05

€000s

Share Capital 21,277 23,557

Reserves 429,317 452,570

Shareholders’ funds – equity interests

450,594 476,127

Preference Shareholders 2,923 2,923

Minority Interests 6,424 6,423

Total equity 459,941 485,473

Liabilities

Technical provisions

- Unearned premiums 196,150 188,953

- Claims 725,738 921,888 699,397

888,350

Deferred tax 32,077 33,873

Creditors

- Loans 100,803 99,831

- Other 155,542 256,345 56,885 156,716

Total Liabilities 1,670,251 1,564,412

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2006 Interim ResultsStatement of Changes in Equity

30/6/06 30/6/05

€000s €000s

Balance at 1st January 485,473 425,709

Profit for the period 122,600 93,920

Buyback of own shares (129,212) (81,238)

Dividends paid (14,277) (10,298)

Available-for-sale investments (6,325) 861

Purchase of minority interests - (9,956)

Other 1,682 2,152

Balance at 30th June 459,941 421,150

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2006 Interim ResultsCash Flow Statement

30/6/06 30/6/05

€000s €000s

Net Cash from operating activities 129,963 58,589

From investing activities 10,438 10,846

Used in financing activities (144,217) (85,639)

Net decrease in cash and cash equivalents (3,816) (16,204)

Cash and cash equivalents at the beginning of the period 41,897 51,362

Effect of foreign exchange rate changes (334) 1,395

Cash and cash equivalents at the end of the period 37,747 36,553

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Financial History

2001 2002 2003 2004 2005 H1 2005 H1 2006

€000s €000s €000s €000s €000s €000s €000s

Gross written premiums 247,959 325,809 368,619 351,448 389,472 192,360 203,996

Net earned premiums 192,864 240,325 290,320 296,237 332,371 164,515 173,166

Underwriting result (15,088) (5,266) 60,967 65,939 90,450 52,044 41,649

Operating profit 30,184 37,531 110,456 124,724 162,624 86,849 75,721

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Financial History

2001 2002 2003 2004 2005 H1 2005 H1 2006

% % % % % % %

Loss ratio 94.9 91.8 66.5 66.7 60.9 55.8 62.7

Net expense ratio 12.9 10.4 12.5 11.0 11.9 12.6 13.2

Combined ratio 107.8 102.2 79.0 77.7 72.8 68.4 75.9

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Financial History

2001 2002 2003 2004 2005 H1 2005 H1 2006

Cent Cent Cent Cent Cent Cent Cent

Operating earnings per share

59.59 75.34 227.38 256.18 363.54 192.07 173.11

Dividend per share 19.50 22.00 27.50 40.00 57.50 20.00 24.00

Net asset value per share 483.11 510.13 701.94 969.64 1,250.62 1,087.21 1,311.35

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Return on equity

2003 2004 2005 H1 2005 H1 2006

Underwriting 50.75% 43.78% 53.08% 31.44% 23.36%

Non underwriting 13.68% 8.63% 11.63% 6.79% 30.0%

Total 35.09% 31.61% 36.53% 22.90% 26.46%

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Market Share – Gross Written Premium – 2005 (IIF) All Business

5.0%

10.4%

5.0%

8.7%

11.1%

7.1%

11.7%

5.7%

14.9%

4.5%

12.3%

10.7%

10.2%

9.3%

8.8%

21.1%

13.2%

8.7%

14.1%

9.0%

21.8%

12.8%

6.4%

8.2%

21.7%

8.7%9.4%

13.3%

Others(15)AIGEagle StarFBDR.S.A.AXAQuinnAllianzHibernian

2005

2004

20032002

Total Market 2005 - €3,841m: 2004 - €3,957m : 2003 - €4,239m : 2002 - €3,955mFBD Premium 2005 - €389m : 2004 - €351m. : 2003 - €369m : 2002 - €326m

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OUTLOOKGroup

• On schedule to deliver a full year operating performance which will fulfil expectations.

Underwriting

• Price competition and discounting continuing and will continue to impact margins into the future.

• Further volume growth targeted.

• Further infrastructural and people investment planned.

• Recent Government initiatives – outcome awaited.

• Claims reserving policy under ongoing review.

• Combined ratio to gravitate to European norms.

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OUTLOOK…Contd.Non-Underwriting

• Property/Leisure

- Businesses to deliver improved performances in challenging environment.

- Operational plans being implemented/ modified to further improve returns.

• Financial Services

- Falling commercial premiums will impact income of general insurance brokerage. - Impact to be mitigated by excellent retention levels and activity in other financial services businesses.

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OUTLOOK…Contd.

Capital

• Proactive approach to capital management confirmed. - Share buyback in June 2006

- Distribution of proceeds of La Cala land sale.

• Dividend payout to continue to increase.

• Continuing assessment of opportunities to invest in core/related financial businesses with a view to maximising shareholder returns

• ……. Meanwhile, prudent investment.