Sompo Japan Insurance and Nipponkoa Insurance are merging

The merger, which is expected in 2010, is likely to generate consolidated profit of 160 billion JPY(1. 848 billion USD) in 2014. The non-life class of business (Japanese business) is to contribute with 56% in profit while life (Japanese business) account for 31%. Foreign operations account for just 10% of profit. Both companies will be joined into the newly established NKSJ holding. Capitalization amounts to 100 billion JPY (1.155 billion USD). The new group's strategy is to refocus on the Japanese market.