SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the month of January, 2003
PRUDENTIAL PUBLIC LIMITED COMPANY
(Translation of registrant's name into English)
LAURENCE POUNTNEY HILL,
LONDON, EC4R 0HH, ENGLAND
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports
under cover Form 20-F or Form 40-F.
Form 20-F X Form 40-F
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes No X
If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82-
Enclosure: Distribution Agreement announcement released on 24 January 2003
Friday 24 January 2003
Prudential UK and Zurich Financial services enter into strategic alliance
Prudential UK and Zurich Financial Services have today announced that they have
entered into a strategic alliance which will give Zurich customers access to a
range of Prudential's market leading products. The alliance will take advantage
of the proposed changes to the polarisation rules which will allow Zurich's tied
distribution arm, the Zurich Advice Network (ZAN), to "gap-fill" with other
companies' regulated products.
The companies have signed an agreement to offer Zurich customers with maturing
pensions an annuity provided by Prudential, post-depolarisation.
Both companies are also actively discussing ways in which ZAN can utilise
Prudential's other market leading products including with-profit bonds.
Prudential is a recognised market leader in annuities and with-profits bonds.
Zurich's 3,500-strong network of fully qualified financial advisers is the
largest network of its type in the UK offering face-to-face advice.
The benefits of the agreement post-depolarisation will be:
- Zurich customers with maturing pension funds (current brands include
Zurich Life, Allied Dunbar and Eagle Star) will be offered an annuity
provided by Prudential, a market leader in the annuity market.
- The arrangements are expected to produce new annuity premiums in excess of
GBP 1 billion to Prudential over the next five years.
- Zurich Advice Network financial advisers will have an enhanced proposition
drawing on Prudential's range of products and will be able to offer
face-to-face advice on a wider range of competitive products.
This year, before depolarisation takes place, almost all Zurich customers will
benefit from improved annuity rates through a reassurance arrangement between
Zurich and Prudential.
Commission will be paid in line with structures that are in force for leading
Independent Financial Advisers.
The annuity agreement is a five-year arrangement between Zurich and Prudential
and covers all conventional pension annuities* offered by Prudential. Zurich and
Prudential are free to seek further distribution arrangements for these and
other products.
Andy Briggs, Partnerships Director Prudential UK, said: "We are committed to
offering the Prudential range of financial products and services through a
multi-channel distribution strategy. This agreement will give Zurich's customers
the opportunity to purchase an annuity from a market leading annuity provider.
We are continuing to develop other opportunities over the coming months as the
marketplace evolves."
Kevin Ronaldson, Marketing, Customer and Communication Director of Zurich's Life
business said: "Zurich is committed to offering our customers choice and a full
range of competitive products. This will include 'gap-fill' products from major
brands where we choose not to be the product manufacturer. The combination of a
Prudential annuity and guaranteed face-to-face advice from the Zurich Advice
Network is a compelling proposition for customers and we are looking forward to
developing similar opportunities with Prudential over the coming months".
ENDS
NOTES TO EDITORS:
1. * Zurich customers will be able to benefit from a full range of conventional
annuities, although the agreement does not cover impaired life annuities,
temporary annuities and flexible annuities and some guaranteed annuities.
2. Prior to depolarisation, the products will be branded Zurich, and afterwards
they will be branded Prudential.
3. This agreement builds on Prudential's current agreements with Abbey
National, Bradford and Bingley and Woolwich IFAs (WIFAS) who are major
distributors of Prudential products.
Media Enquiries to:
James Murray Sandra Paul
Media Relations Media Relations
Prudential UK Zurich Financial Services
020 7150 2654 01793 505120
Clare Staley
Group Media Relations
Prudential plc
020 7548 3719
Investor Relations Enquiries to:
Rebecca Burrows
Group Investor Relations
Prudential plc
020 7548 3537
Website address:
www.prudential.co.uk
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Date 24 January 2003
PRUDENTIAL PUBLIC LIMITED COMPANY
By: /s/ Steve Colton
Steve Colton
Head of Media Relations