Market positions USA Brazil Mexico Canada Overview  Operating expenses Sales and deposits Underlying earnings before tax Value of new business Net income SHARPENING OUR FOCUS Revenue-generating investments Value of new business in the Americas declined 26% to  USD 304 million. The decline was due mostly to lower  life reinsurance sales and lower fixed annuity deposits.  The internal rate of return amounted to 13% in 2010.  Revenue-generating investments increased 4% to  USD 320 billion. This increase was the result of  significant improvements in bond, credit and equity  markets, partly offset by a decline in run-off assets. Net income from the Americas more than doubled  compared with 2009 to USD 1.5 billion. This was mainly  the result of higher underlying earnings and realized  gains on investments, a better performance from fair  value items and fewer impairments. The result was only  partly offset by higher charges that were mainly related  to restructuring, the settlement of a dispute related to a  bank-owned life insurance policy in the United States  and losses from the run-off businesses.  AEGON experienced a 4% increase in new life sales in  the Americas during the course of 2010. Strong retail  new life sales in the United States and Latin America  were partly offset by lower life reinsurance sales.  Gross deposits – excluding run-off businesses – increased  3% to USD 27.8 billion in 2010. Continued strong growth  in variable annuity, retail mutual fund and pension  deposits was offset by a decline in fixed annuity deposits  as sales of this product are de-emphasized. One of AEGON’s chosen markets and key growth drivers,  the company’s retirement businesses in the United States,  experienced a record year with more than USD 8 billion  of net deposits for 2010. Total net deposits, excluding the  run-off businesses, declined to USD 1.6 billion during the  year, mainly due to the decision to de-emphasize sales of  fixed annuities and stable value solutions outflows. Underlying earnings before tax increased 84% during the  year to USD 2.1 billion. Earnings from life and protection  remained stable as cost savings were offset by lower  margins. Individual savings and retirement products  returned to profit, mainly as a result of higher account  balances driven by a recovery in financial markets and  the absence of reserve strengthening. Earnings from  employer solutions and pensions increased as a result of  continued strong growth of the business as well as an  improvement in the financial markets. AEGON’s businesses in the Americas showed a strong  increase in underlying earnings and net income mainly  as a result of improved market conditions in 2010.  During the year, AEGON announced that it would explore  strategic options regarding its life reinsurance business,  Transamerica Reinsurance. This followed the  restructuring process started in 2009 and the company’s  announcement in 2010 that it would sharpen its focus on  its core businesses. AEGON also decided to discontinue  its small bank BOLI and COLI businesses in the  United States and to pursue further operational and cost  efficiencies by consolidating operations currently based  in Louisville, Kentucky with other existing locations. Operating expenses declined 15% compared with 2009  to USD 2 billion, mainly as a result of significant cost  reductions, lower restructuring charges, a decrease in  employee benefit plan expenses and the transfer of  asset management activities to AEGON Asset  Management. # 3 Term life  # 4 Universal life  # 10 Variable annuities # 13 Pensions # 5 Universal life  # 6 Term life  # 6 Segregated funds  # 13 Life insurance # 9 Life insurance ANNUAL REPORT 2010   OUR BUSINESSES  AMERICAS 31