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## 12 Other assets 

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The accounts receivable on direct insurance business stated under other assets and accounts receivable on reinsurance business are due within 1 year. Other receivables stated under other assets due within 1 year amount to ¤ 7,299 (2002: 4,881) mn, those due after more than 1 year total ¤ 9,297 (2002: 6,211) mn. 

During 2003, the subsidiary Allianz Life Insurance Company of North America, Minneapolis (AZ Life), made the decision to exit the traditional life reinsurance business. As a result of this decision, ef- fective July 1, 2003, the Company entered into a 100 % coinsurance agreement with Reinsurance Group of America, Inc., to coinsure this block of business. In connection with this agreement, the Company recognized a recoverable on future policy benefit reserves of USD 425,684, received a ceding commission of USD 310,000, and trans- ferred net assets of USD 129,283. The resulting gain of USD 264,095 was deferred and will be amortized into operations over the reve- nue-producing period of the related reinsured policies. During 2003, USD 18,223 was recognized as income. 

## Real estate used by Allianz for its own activities 

The gross capitalized values totaled ¤ 6,854 mn at the beginning of the year and ¤ 6,543 mn at the end of the year. Accumulated depre- ciation amounted to ¤ 1,422 mn at the beginning of the year and ¤ 1,523 mn at the end of the year. Assets pledged as security and other restrictions on title amount to ¤ 28 (2002: 30) mn. 

As in the previous year, no impairments were recorded in 2003. 

At the balance sheet date, commitments outstanding to purchase real estate amounted to ¤ 39 (2002: 28) mn. 

The market value of real estate used by Allianz for its own activ- ities amounted to ¤5,741 ( 2002: 6,245 ) mn. 

## Changes in the total carrying value of real estate owned by Allianz Group and used for its own activities 

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## Equipment and inventories 

The gross capitalized values totaled ¤ 6,658 mn at the beginning of the year and ¤ 6,919 mn at the end of the year. Accumulated depre- ciation amounted to ¤ 4,706 mn at the beginning of the year and ¤ 5,293 mn at the end of the year. 

At the balance sheet date, commitments outstanding to purchase items of equipment and inventories amounted to ¤ 111 (2002: 22) mn. Depreciation is apportioned between the relevant cost headings in the income statement for insurance companies. Reversals of impair- ments are credited to “Other income”. 

## Accounts receivable on direct insurance business 

These amount to ¤ 4,349 (2002: 5,114) mn for policyholders and ¤ 3,747 (2002: 3,732) mn for agents. 

## Other receivables 

These include tax refunds amounting to ¤ 2,381 (2002: 2,484) mn, in- terest and rental receivables amounting to ¤ 5,394 (2002: 3,496) mn, and accounts receivable on banking and asset management business amounting to ¤ 348 (2002: 327) mn. Of the tax refunds, ¤ 1,821 (2002: 2,011) mn are attributable to tax on income. 

## Other assets 

These include non-trading derivatives used for hedging totaling ¤ 868 (2002: 815) mn. 

