133 ANNUAL REPORT 2010 Prepayments remain at historically low levels. Due to the weak  fundamental situation, reduced liquidity, and the requirement  for higher yields due to market uncertainty, credit spreads  remain elevated across the asset class. In addition, a high  percentage of the RMBS portfolio is comprised of floating  rate securities, which has resulted in higher unrealized losses  relative to fixed rate securities but not necessarily in higher  default losses. The unrealized loss on RMBS is EUR 457 million which relates  to positions of AEGON USA. The pace of deterioration continued  in early 2009, but began to stabilize in late 2009 and continued  to stabilize in 2010. Even with the stabilization, fundamentals  in RMBS securities continue to be weak which impacts the  magnitude of the unrealized loss. Delinquencies and severities  in property liquidations remain at an elevated level.  AAA AA A BBB <BBB Total  amortized cost Total fair value GSE guaranteed 1,859 – – – – 1,859 1,884 Prime Jumbo 122 22 120 13 177 454 418 Alt-A 71 12 – 27 619 729 701 Negative amortization fl oaters 171 49 43 66 865 1,194 821 Reverse mortgage fl oaters 103 – – 239 – 342 297 AT DECEMBER 31, 2010 2,326 83 163 345 1,661 4,578 4,121 Of which insured – – – 1 10 11 11 SSNR   1 SNR   2 MEZZ   3 SSUP   4 Total  amortized cost Total fair value GSE guaranteed – 1,859 – – 1,859 1,884 Prime Jumbo 196 230 19 9 454 418 Alt-A 493 233 2 1 729 701 Negative amortization fl oaters 1,140 24 7 23 1,194 821 Reverse mortgage fl oaters – 342 – – 342 297 AT DECEMBER 31, 2010 1,829 2,688 28 33 4,578 4,121 Of which insured – 1 – 10 11 11 AAA AA A BBB <BBB Total  amortized cost Total fair value GSE guaranteed 1,464  – – – – 1,464 1,487 Prime Jumbo 281 16 10 6 203 516 404 Alt-A 151 12 17 – 682 862 667 Negative amortization fl oaters 283 44 62 91 882 1,362 722 Reverse mortgage fl oaters 350  – – – – 350 292 AT DECEMBER 31, 2009 2,529 72 89 97 1,767 4,554 3,572 Of which insured – – 13 1 30 44 8 1  SSNR – super senior 2  SNR – senior 3  MEZZ – mezzanine 4  SSUP – senior support SHARPENING OUR FOCUS