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## 32 NET INCOME UNCONSOLIDATED GROUP COMPANIES TRANSAMERICA NON-INSURANCE BUSINESSES 

Transamerica Finance Corporation (TFC) conducts business in commercial lending, intermodal leasing and real estate information services operations. Due to their dissimilarity in operations in relation to the operations of AEGON, these group companies have not been consolidated. 

The commercial lending operation makes commercial loans through four businesses: distribution finance, business capital, equipment financial services and specialty finance. It has offices in the United States, Mexico, Canada, Europe and India. The intermodal leasing operation provides service, rentals and term operating leases through a worldwide network of offices, third party depots and other facilities. The intermodal leasing operation offers a wide variety of equipment used in international and domestic commerce around the world. Its fleet consists of over 637,000 marine containers (consisting of units that are either owned or managed for and leased from others) and over 18,000 European trailers. Real estate information services provides property tax payment and reporting, flood certification and other real estate information services to its customers. 

On August 5, 2003 AEGON announced an agreement to sell most of the commercial lending business of TFC to GE Commercial Finance. The sale price of approximately USD 5.4 billion resulted in an after-tax book gain of around USD 200 million. On January 14, 2004, the transaction was closed and the book gain will be added directly to shareholders’ equity in 2004. Therefore the 2003 annual accounts fully include on a non-consolidated basis the assets, liabilities and results for these businesses. 

On October 2, 2003, AEGON completed the sale of TFC’s real estate tax services and flood hazard certification businesses to The First American Corporation for a total cash sale price of EUR 354 million (USD 400 million). As part of the transaction, TFC’s real estate tax service subsidiary has distributed assets valued at EUR 217 million (USD 246 million) to TFC. The sale of the two TFC subsidiaries, combined with the asset distribution transaction, resulted in an after-tax book gain of EUR 307 million (USD 347 million), which was added directly to AEGON shareholders’ equity against the invested capital charged earlier to equity as goodwill. In 2003, these units had contributed EUR 75 million, USD 85 million (2002: EUR 42 million, USD 40 million) to AEGON’s net income before funding costs on the related raised debt. 

The remaining businesses of TFC will primarily consist of maritime container and European trailer leasing, which will be consolidated as of the first quarter 2004. 

Following are the consolidated balance sheets, consolidated income statements and notes thereto of Transamerica Finance Corporation, established in Delaware and operating from Chicago, Illinois, USA. In addition, the statements include allocated expenses and financing costs from associated non-insurance companies. The statements have been prepared in accordance with Dutch accounting principles. 

## CONSOLIDATED BALANCE SHEETS AT DECEMBER 31 OF TRANSAMERICA FINANCE CORPORATION 

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