23 Results 2012 worldwide  Aegon’s 2012 net income of EUR 1,582 million and underlying earnings before  tax of EUR 1,851 million were higher than in 2011, as a result of business growth,  implemented cost reduction programs, the non-recurrence of certain charges in  the United Kingdom, and favorable markets. Sales and deposits increased  compared to 2011 despite repricing and product changes made to reflect the  continued low interest rate environment. Growth was driven mostly by pensions,  variable annuities, mortgages, and asset management. Aegon has continued to  maintain a strong capital position while maintaining its commitment to delivering  sustainable earnings growth with an improved risk-return profile. Net income increased to EUR 1,582 million, driven by higher  underlying earnings, more favorable results on fair value items,  lower impairments, and lower other charges. These were only  partly offset by higher tax charges and lower realized gains. program and the non-recurrence of charges and execution  expenses related to a program to correct historical issues within  customer policy records, partly offset by the benefit of changes  to employee benefit plans recorded in 2011. Earnings were  negatively impacted in 2012 by additional DPAC amortization  related to adverse persistency and investments in new  propositions in the pension business. Underlying earnings before tax from New Markets increased  10% to EUR 274 million as higher earnings from Aegon Asset  Management and Asia more than offset lower underlying  earnings from Spain and Central & Eastern Europe. Results in  Spain were impacted by the divestment of the joint venture  with Banca Cívica and the exclusion of results from Aegon’s  partnership with CAM pending the exit from this joint venture. Aegon’s underlying earnings before tax increased 20% to  EUR 1,851 million in 2012. This was the result of business  growth, implemented cost reduction programs, the non- recurrence of certain charges in the United Kingdom, and  favorable equity markets and currency movements. Underlying earnings before tax from the Americas rose to  EUR 1,366 million. The 6% increase compared to 2011 was  mainly due to growth of the business and a strengthening of  the US dollar against the euro. The positive effects of business  growth and favorable equity markets were partly offset by lower  fixed annuity earnings (as the product was de-emphasized)  and lower Life & Protection earnings, mostly the result of the  non-recurrence of favorable items in 2011, recurring charges  for Corporate Center expenses implemented in 2012, higher  performance-related expenses, and an increase in employee  benefit expenses. For the holding, underlying earnings before tax amounted  to a loss before tax of EUR 224 million. This EUR 79 million  improvement compared to 2011 was driven mostly by lower  expenses as Aegon’s Corporate Center expenses were now being  charged, in part, to operating units. These charges reflected  the services and support provided to operating units by the  Corporate Center and amounted to EUR 64 million in 2012.  Funding costs were also lower in 2012. In the Netherlands, underlying earnings before tax increased to  EUR 325 million. The 9% increase compared to 2011 was mainly  due to cost savings, lower funding costs, and the wind up of  several contracts in Pensions, partly offset by a higher claim ratio  and investments in banking activities. Higher earnings in Life &  Savings driven by lower funding costs on its growing mortgage  portfolio more than offset lower earnings in Pensions and Non- life, mostly driven by unfavorable claim experience. In the United Kingdom, underlying earnings before tax increased  to EUR 110 million. This improvement in earnings compared to  2011 was driven by the implementation of the cost reduction  Results from fair value items amounted to a gain of  EUR 11 million, driven by positive results on the guarantee  portfolio in the Netherlands, partially offset by negative results  in the Americas and in the United Kingdom on hedges, due to  higher equity markets. Realized gains on investments amounted to EUR 407 million  and were mainly the result of asset liability management and  normal activity in the investment portfolio in a low interest rate  environment. Realized gains on investments Fair value items Underlying earnings before tax Net income