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Update for Kaupthing Singer & Friedlander (Isle of Man) Limited Depositors

• SoA letter to Policyholders
• Royal Skandia Affidavit
• Statement of liquidator's recoverable assets
• Details of Early Payment Scheme
• Impact of charges

Kaupthing Singer & Friedlander (Isle of Man) Limited – update

In our most recent communications regarding Kaupthing Singer & Friedlander (Isle of Man) Limited (KSFIOM), we confirmed that KSFIOM was placed into liquidation on 27 May 2009.

The liquidator has now convened a creditors' meeting to be held on 7 July 2009, during which a committee to represent all creditors' interests will be elected.

As a creditor, Royal Skandia will be present on behalf of its policyholders and will vote at the meeting in its capacity as an asset holder.

Further details regarding dividend payments are likely to be announced at that meeting. We also expect the liquidator to ask for approval to make the first interim dividend of at least 14.5%, net of any payments already received via the Isle of Man Government's Early Payment Schemes, by 28 August 2009.

For reference, all payments from the liquidator will be in Sterling; however, we will write to all non-Sterling based policyholders before the end of June detailing the options available to them regarding currency conversions.

No further details are available in respect of the liquidation; however, we will issue a further update after 7 July.

In the meantime, if you have any questions on this or any other KSFIOM matter we would recommend that in the first instance you refer to the Isle of Man Government's website www.gov.im/cso/faq_gfs.xml or contact our dedicated customer helpdesk at RSKFMCustomerHelpdesk@RoyalSkandia.com or by telephone +44 1624 655465

Last updated 18 June 2009