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Press Release
Santander and Zurich form alliance
to strengthen insurance in Latin America
! The alliance will combine Banco Santander’s commercial strength in the region
with Zurich’s experience and leadership in developing and managing insurance
products.
! The bank will distribute the Santander-Zurich alliance’s insurance products in
Brazil, Chile, Mexico, Argentina and Uruguay through its network of more than
5,600 branches.
! Santander will create a holding company for its insurance subsidiaries in the five
markets; Zurich will acquire a 51% stake and manage the companies.
Madrid, February 22, 2011 - Banco Santander and insurer Zurich Financial Services Group
have signed a Memorandum of Understanding to form a strategic alliance to strengthen
insurance distribution in five of the Group’s key markets in Latin America, Brazil, Chile,
Mexico, Argentina and Uruguay.
The alliance combines the experience and leadership of Zurich in the development and
management of insurance products with the strong distribution capacity of Banco Santander,
the region’s leading financial franchise. Through this, Banco Santander will enhance its offer
of life, pension, credit insurance and general insurance products, through its network of more
than 5,600 branches in these five markets. The alliance is expected to significantly increase
the bank’s revenue from insurance distribution, which came to US$972 million in 2010.
“With this alliance, Banco Santander customers will benefit from a broader, more innovative
range of insurance products, managed by a global leader. The agreement will allow us to
grow the insurance Business more rapidly by combining the strength of each partner,” said
Javier Marín, Banco Santander senior executive vice president and head of Global Private
Banking, Asset Management and Insurance.
Santander will create a holding company made up of its insurance units in Latin America.
Zurich will acquire 51% of the company and will manage the companies. Santander will retain
a 49% stake and will enter into an agreement to distribute the alliance’s insurance products in
each country for 25 years.
Banco Santander’s insurance units in the five relevant markets generated premium revenue
of $4.243 billion from life insurance policies and $574 million from non-life policies in 2010.
Zurich’s operations in the same countries had premium income $670 million in life and $1.376
billion in non-life policies.
Comunicación Externa.
Ciudad Grupo Santander Edificio Arrecife Pl. 2
28660 Boadilla del Monte (Madrid) Telf.: 34 91 289 52 11

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The Santander insurance units included in the transaction would be valued at $3.275 billion.
Zurich will pay Santander 51% of that amount, $1.670 billion, at the close of the transaction.
In addition, during the 25 years of the distribution agreements, there is an earn-out
mechanism for achieving specific profit performance targets and a mechanism that would
protect against possible underachievement.
Through these aforementioned payments, this transaction, which is subject to the approvals
of various regulators, will generate a capital gain of $1.210 billion for Banco Santander, which
will be used to strengthen the Bank’s balance sheet.
About Santander
Banco Santander (SAN.MC, STD.N, BNC.LN) is a retail and commercial bank, based in
Spain, with a presence in 10 main markets. At the end of 2010, Santander was the largest
bank in the euro zone and 10th in the world by market capitalization. Founded in 1857,
Santander had at year-end EUR 1,362 billion in managed funds, more than 95 million
customers, 14,082 branches – more than any other international bank – and 179,000
employees. It is the largest financial group in Spain and Latin America. Furthermore, it has
relevant positions in the United Kingdom, Portugal, the U.S. northeast and, through its
Santander Consumer Finance arm, in Germany and Poland. Santander registered €8,181
million in net attributable profit in 2010.
For more information, see www.santander.com.
Comunicación Externa.
Ciudad Grupo Santander Edificio Arrecife Pl. 2
28660 Boadilla del Monte (Madrid) Telf.: 34 91 289 52 11