Intends to split up its banking and insurance operations

ING has declared its intentions to separate its banking and insurance operations, clarifying the strategic direction for the bank and the insurance company going forward.

This leads to changes in the structure and composition of the respective Management Boards.

The insurance business will focus on its long-term structural leadership positions in life and retirement services. The key building blocks will include the insurance operations in the Benelux, US, Central Europe, Latin America and Asia/Pacific as well as the global Investment Management operations.

Since announcing the Back to Basics strategy, ING has made progress on bringing focus to its regional insurance business by lowering costs, reducing risk and divesting non-core businesses.

In addition to his role as CEO of Commercial Banking, Eric Boyer de la Giroday will become vice-chairman of the Management Board Banking with day-to-day responsibility for managing all aspects of the banking business. The Management Board Banking will include the newly created positions of CEO Retail Banking Benelux and CEO Retail Banking Direct and International.

Hans van der Noordaa, currently responsible for Insurance Europe and Asia/Pacific will take up the position of CEO Retail Banking Benelux. Eli Leenaars, currently responsible for Retail Banking, will take up the position of CEO Retail Banking Direct and International.

The customer value proposition will focus on financial education, simple products, easy service and low costs. ING investment management will continue to be part of Insurance, consisting of three regional organisations and Real Estate Investment Management.

Jacques de Vaucleroy has decided to leave ING to pursue other interests. He will step down from the management board Insurance with immediate effect but will remain an advisor to the management board until 1 January 2010 to ensure a smooth transition.

In light of the strategic decisions regarding the insurance operations as well as the departure from the management board insurance of Jacques de Vaucleroy and Hans van der Noordaa, the governance structure will be adapted.

Tom McInerney, currently responsible for Insurance Americas, will take up the role of chief operating officer Insurance on the management board insurance, having responsibility for all day-to-day insurance and investment management activities. Matt Rider, currently CFO for ING’s global insurance operations, will join the management board insurance and become chief administrative officer with a broad finance responsibility.

The appointments announced today are subject to approval by the Dutch Central Bank.