Carlos Rodríguez - CFO Línea Directa en MERCADO ABIERTO

Well, that question has two answers. The first one has to be answered more by Bankinter than by Línea Directa. And on the Línea Directa side, as I said this morning, it is a natural move for a company that already has a very solid balance sheet of 1.5 billion euros, a profit and loss account with revenues of 900 million euros, 2,500 employees. I mean, it is a robust company. I believe that when you are a robust company and you have to keep growing, the next natural move is to go public, and that's what we did this morning.

Well, it brings us... it makes us bigger, and secondly, I believe it brings us, logically, the ability to access other opportunities that arise. Moreover, I think what it truly brings to the shareholders and stakeholders of the company is putting Línea Directa after 26 years on the stock market. I think it is important for the company, for the shareholders, and for the rest of the stakeholders with this operation, which has ultimately been a listing, a distribution of shares among the shareholders of

Well, not right now. In the very short term, we have not been very focused on the stock market listing; we have been very focused on managing the company in such difficult times as we are experiencing, and we don't have that in mind. If the company at some point had a profitable opportunity, then the company would logically see how to finance it, ultimately to finance that opportunity. Today we are focused on what we are doing: going public, managing the business, which has been complicated in 2020 and 2021 as well. And then, well, over time we will see.

Well, I think that Bankinter... and it is more a question for Bankinter, which is the one that set up the structure, let's say, of the stock market listing. What they wanted to do, as their CFO said the other day, is to return the share premium to the shareholders, the first issuance after 2009 when they bought 50% of Bankinter. And I think they have done that. And also, from the point of view of Línea Directa, I think Bankinter did not want to go through all that process that an IPO entails, etc. I think they feel comfortable doing a listing, returning the share premium, and I think it is a good structure. Not different, but a good structure.

Well, because I believe that in Línea Directa, if we look at the company and look at the numbers, we will see a more predictable company. And I think that is very important on the stock market. We are a company with a recurrence of results, very stable growth. And if we compare it with the rest of the sector, in that sense we are the first of the class. And then because I think that in terms of valuation, the company has room. I think you have to capture the tangible part but also the intangible part of how we do things. Therefore, I believe that bringing Línea Directa to the market is a good thing for anyone looking for a value in the market.

Well, giving a number is complicated because it depends on the evolution of the company, the needs of the company, especially in a situation like the one we are still immersed in, in COVID. What I am clear about is that the company has always had in its DNA the remuneration of the shareholder, as long as capital is guaranteed. We have stable capital, we have a very good return on capital, and what we have to do is remunerate the shareholders. Where we will be, that has to be said by the governing bodies. But we will surely be the company that distributes the most dividends of all non-life insurance companies listed in Spain.

Well, that is very simple. That is because logically we also have subsidiaries that also generate profits. We have a roadside assistance business that generates profits. And well, we do not include in the group dividend every year the profit; it includes it over x years. So the year we pay, plus the profit of the subsidiary, we pay a little more. It is very simple.

No, the company has never paid more than... I insist, it is a technical mechanism of dividend distribution. The company is going to remunerate the shareholder. We have set a floor of 70%. But I think the important thing is that this 70% we are talking about is much more than what the sector pays in Spain. The sector is around 40% payout. So, I repeat, we would be the insurance company that pays the most dividends. How much will it be? Between 70% and 100% will be determined by the passage of time, the business, and above all the governing bodies of the company.

It's hard for me to make one. On the past, if we take 2019, because 2020 has been very exceptional, we have a dividend yield a little above 7%.

Well, effectively, Bankinter keeps that 17.4%. The Cartival group, which is a shareholder of Bankinter, also keeps approximately 20%. And the Masaveu group, which also manages the client, is created with about 4%. It is important to convey to the listeners that the reference shareholders of Línea Directa are the ones who have truly always been the sponsors of Línea Directa. Therefore, I think it is a stable core, and we are delighted that they are in the company's capital.

I cannot answer that question on behalf of Bankinter. It is a question for Bankinter. I think that over 26 years they have demonstrated the support they have for this business, which for them is a financial investment, let's not forget, they always consider it a financial investment. But that question is more for Bankinter. What I can tell you is that we are delighted that Bankinter has 17.4%.

It is not an objective, but I think we all want to play in the Champions League, and we put it in... we are talking about football. I think any company wants to reach that Ibex objective, but we do not have it as an objective. We are a company that does things carefully, with rigor. And now what we have to do is go little by little. This morning we started trading, and what we have to do is work, generate demand for our share, explain to the investment community the virtues of the company. And then, well, time will tell.

No, our objective is to do things well in the business. Because I, who have many years in stock market matters, the stock market reflects how well things are done from a business point of view.