26 Capital position AEGON’s core capital position improved considerably  during the year to EUR 18.7 billion, as a result of a  further increase in the value of the company’s  investments and the inclusion of 2010 net income. These  positive effects were partly offset by the repayment of  EUR 500 million to the Dutch State, as well as coupon,  premium and dividend payments on AEGON securities.  At the end of 2010, AEGON’s excess capital above AA  capital adequacy requirements totaled EUR 3.8 billion.  During the year, AEGON businesses generated  EUR 2.7 billion of cash flows, while the company invested  EUR 1.3 billion in new business and upstreamed EUR 1.3  billion to the holding company. AEGON’s solvency ratio  under the EU Insurance Group Directive remained strong  and amounted to 198%$^{ 1}$ at year-end 2010. Net income In EUR million 1,760 204 10 09 Underlying earnings before tax In EUR million 1,972 1,185 10 09 New life sales In EUR million 2,213 2,100 10 09 Gross deposits  (excluding run-off business) In EUR billion 32.6 27.6 10 09 Operating expenses In EUR million 3,397 3,292 10 09 Revenue-generating investments In EUR million 413 363 10 09 Value of new business (VNB) In EUR million 555 767 10 09 In EUR million 2010  2009 Americas 1,598 817 The Netherlands 385 398 United Kingdom 72 52 New Markets 200 170 Holding and other activities (283) (252) UNDERLYING EARNINGS BEFORE TAX 1,972 1,185 Underlying earnings geographically AEGON worldwide 1 Please refer to note 46 of the consolidated fi nancial statements.