Web-only circular At its Board meeting in Paris 9 May 2019, the Board reviewed the policy years for the Association and decided on release calls for the open years. At the Committee meeting 14 June 2019, the Committee made a recommendation to close the 2016 policy year. Policy Year 2016 The Policy year 2016 has developed as per expectation and is in balance. The Board and the Committee decided to recommend to the Annual General Meeting to close the 2016 policy year without further calls. Review of Open Policy years Skuld will apply its internal risk model to calculate the risk of deterioration for each policy year. In contrast to Solvency II where the risk horizon is the next 12 months, the risk of deterioration is calculated for the full development of the individual policy year. The risk model takes into consideration: • premium risk • reserve risk • market risk • counterparty risk • operational risk Further, Skuld will apply the value at risk (VaR) with a confidence interval of 99.5% when assessing the risk of deterioration. For current policy years, all risk factors mentioned are relevant. For old policy years, only reserve risk, counterparty risk and operational risk are relevant. Policy Year 2017 The Policy year is assessed according to the model described above and due to its maturity the relevant risks are reserve risk, counterparty risk and operational risk. The Board decided to reduce the release call to 3%, applicable from AGM 5 September 2019. Policy Year 2018 The Policy year is assessed according to the model described above and due to its medium maturity the relevant risks are reserve risk, counterparty risk and operational risk. The Board decided to reduce the release call to 7.5%, applicable from AGM 5 September 2019. Policy Year 2019 The Policy year is assessed according to the model described above and since this is the running Policy year all the risk factors above have been taken into consideration. The Board decided to maintain the release call