Aviva Plc Reaches Settlement With Bankia S.A For EUR608 Million

Aviva Plc announced that it has reached a settlement with Bankia S.A ("Bankia") by which Aviva will transfer its entire holding in Spanish joint venture Aseval to Bankia for EUR608 million (GBP494 million) in cash, which will be held in escrow. The transfer of Aseval shares to Bankia is subject to customary regulatory approvals and release of the cash proceeds to Aviva is expected no later than April 30, 2013. As a result of the settlement, Aviva and Bankia have applied to the Arbitration Court in Madrid, Spain, to terminate the legal proceedings between the parties and issue an award which reflects the settlement agreed. Cash proceeds will increase Aviva's central group liquidity by EUR608 million (GBP494 million) and be used for general corporate purposes.