Skandia initiates expense reduction program in the US

Skandia initiates expense reduction program in the US American Skandia today announced that it will begin an operating expense reduction program to better align its operating infrastructure with the current investment environment. The planned moves will include a reduction of approximately 150 positions representing 13 per cent of its workforce, reductions in wages as well as administrative expenses in general. The majority of the workforce reductions will be at corporate office in Shelton, CT. As a result of this, total annual savings are estimated to exceed MUSD 35. "The continuing turbulence and pullback of the stock market have led us to these decisions," said Wade Dokken, Chief Executive Officer of American Skandia. "As we look ahead, we remain optimistic about the future. Our asset base continues to expand and we are using this opportunity to rationalise our infrastructure for sustained future growth. The steps we are taking will not curtail our ability to grow our business, our broad product strategy remains unchanged and we remain committed to making our planned investments in technology and product development, Wade Dokken said." American Skandia is a subsidiary of Skandia and one of the leading providers of variable annuities, mutual funds and other long-term savings products in the US. Please contact: Harry Vos, Head of Investor Relations, Skandia, tel +46-8-788 3643 Timothy J Klahs, Investor Relations American Skandia, tel +1-203- 944- 7530 ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2001/03/23/20010323BIT00920/bit0002.doc http://www.bit.se/bitonline/2001/03/23/20010323BIT00920/bit0002.pdf