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07-22-2011

MAPFRE achieved in the first half a net attributable result of 543.2 million euros, an 8.6% increase

Revenues increased by 6% (11,625.7 million euros)

- Excellent development of the international business, with a 12.5% increase in premiums volume

- Success of the sales initiatives implemented in Spain and the favourable performance of the Motor, Home and Life-Protection lines

- Increase in equity of nearly 1,200 million euros (+15%) and reduction of debt levels by 185 million euros in the six first months of the year

- Start-up of the operations with BANCO DO BRASIL, under the name GRUPO SEGURADOR BANCO DO BRASIL & MAPFRE

MAPFRE achieved in the first half of the year a net attributable result of 543.2 million euros, 8.6% more than in the same period of the previous year, due to the extraordinary growth of results in the international business and the excellent performance of businesses in Spain where, excluding capital gains and extraordinary expenses, net results grew by 16.8%.

Likewise, the net results of the Group¿s insurance business increased 11.3%, to 630.1 million euros. The excellent trend in the loss experience has mitigated the impact of the earthquakes in Japan and New Zealand. Moreover, in Spain, the combined ratio recorded a decrease of 2.7 percentage points compared to the same period of the previous year.

Consolidated revenues (11,625.7 million euros) exceeded 6% those for the first half of the previous year. Direct insurance and accepted reinsurance premiums amounted to 9,724.6 million euros, a 6.7% rise.

1.- Business development:

In Spain, total premiums from Direct Insurance and Accepted Reinsurance amounted to 4,323.6 million euros, 0.7% less than in the six first months of the previous year.

- Premiums at MAPFRE FAMILIAR amounted to 2,344.8 million euros, a figure equivalent to that recorded in 2010. The growth of the Motor insurance (+0.1%, compared to the 1.7% decline of the sector) and Home insurance (+9.2%) should be underscored.

- Life Assurance premiums reached 1,592.5 million euros (-1.1%) due to the differences in the schedule of sales campaigns in the bancassurance channel with respect to the previous year. The increases in Life-Protection insurance (+9.3%) should be noted. Technical reserves increased 17,701.3 million euros (+10.7%). Pension funds under management have risen 41.8%, to 5,144.7 million euros.

- Premiums from Commercial Insurance stood at 386.3 million euros (-2.7%), as a result of the contraction in the TPL and Engineering lines resulting from the low level of activity in the construction sector.

The international business, which represents 58.2% of the Group's total premiums, has grown 12.5%, reaching 6,038.1 million euros.

- Premiums at MAPFRE AMÉRICA exceeded 2,936.5 million euros, a 19.9% rise compared to the first half of 2010, and noteworthy growth in Brazil, Colombia and Mexico. The development of premiums reflects the consolidation of the joint venture with BANCO DO BRASIL and the growth of the Motor, Property and Life Assurance lines, as a result of various distribution agreements.

On 31^st May, the joint venture with BANCO DO BRASIL started to operate, under the name GRUPO SEGURADOR BANCO DO BRASIL & MAPFRE. This compay will become one of the largest insurance groups in that country.

- Premiums at MAPFRE INTERNACIONAL (USA, Portugal, Turkey and the Philippines) reached 950.9 million euros, a figure 1% lower than that for the same period of 2010, stemming from the depreciation of the US Dollar and the Turkish Lira. Worthy of mention is the business growth in the USA (to 712.3 million euros) and Turkey (to 147.4 million euros), with increases of 6.8% and 18.4% respectively, in local currency.

- Premiums at MAPFRE GLOBAL RISKS and its subsidiary MAPFRE CAUCIÓN Y CRÉDITO increased 9.4%, to 534.5 million euros, reflecting the strong growth of the international Fire and Property lines, especially in Latin America.

MAPFRE and EULER HERMES have signed a memorandum of understanding for the establishment of a strategic alliance aimed at jointly developing their Credit and Surety businesses in Spain, Portugal and Latin America.

- Accepted premiums at MAPFRE RE reached 1,329.6 million euros, a 6% rise. The favourable business development reflects, among others, the good performance of the renewal campaign, especially in Europe and Latin America.

- Revenues from MAPFRE ASISTENCIA (premiums and income from the sale of services) increased 28.4%, to 365.4 million euros.

2.- Additional information on SISTEMA MAPFRE

Mr. Alberto Manzano Martos has been appointed Chairman of the Board of Trustees of FUNDACIÓN MAPFRE, replacing Mr. José Manuel Martínez, who will continue to be the Chairman of MAPFRE S.A. and SISTEMA MAPFRE, which integrates MAPFRE S.A. and FUNDACIÓN MAPFRE.

SISTEMA MAPFRE has participated in the Initial Public Offering (IPO) of Bankia with a total investment of 280 million euros, equivalent to 4.11% of the total, 160 million eurosof which have been subscribed by MAPFRE S.A. and 120 million euros by CARTERA MAPFRE S.L., the subsidiary that manages the investments of FUNDACIÓN MAPFRE.

MAPFRE REPRESENTATIVES