Matt Rider: So on the first how much more is there? How many other pockets of surplus capital do we have in any units? I think TLB was a very unique case. There again, we had a transaction that we were thinking about potentially doing there. We recognized that that was not the optimal way to go and then we go through a reinsurance solution. But in this case, we had flagged the idea of optimizing TLB either through some kind of a transaction or making it a financial asset as we have done. So, I would say that is sort of a unique circumstance. I think more to the point though is what you are seeing is active capital management, especially on the financial assets. Duncan had rolled through earlier all the actions that we had taken in the US with respect to the VA business with respect to long-term care, with respect to the life block, and we will continue to prosecute this.
This is something that is a fundamental part of our DNA is to maximize the value of those financial assets. On capital volatility still the biggest area that we have for volatility of capital remains with the equity side of the balance sheet. So, really we took action within the — we’ve just taken action to reduce the volatility going forward. We’re establishing the voluntary reserve on the VA book. But we’d rather do that than to hedge the risk, equity risk in the base fees. So on that point, that still remains the biggest area of sensitivity, but you can see we’ve taken real actions here to reduce the level of sensitivity of our capital ratios to the financial markets. That’s a fundamental part of what we’re trying to achieve make the quality of capital to be better over time.
: Thank you.
Operator: Thank you for your question. We are now taking our next question. The question from Steven Haywood for HSBCIB.
Steven Haywood: Good morning and thank you. Just two questions. You mentioned earlier about the liquidity the €8 billion of bond sales required to fund the collateral in the nine-month stage. Could you give a split of that between the US and the Netherlands to help with what sort of hedging policies you have in place? And also, could you tell us if there’s any impact to your OCG or your operating earnings from the reduction in coupons from investment income from this bond? And then secondly, the €400 million expense savings that you have, can you tell us how much of this is for the Dutch operations please? Thank you.
Matt Rider: Over to you question liquidity and the impact and OCG. Okay. I don’t have it handy in front of me the breakdown of the liquidity needs within the Netherlands versus the US, but it would be heavily weighted towards the Netherlands in this case. But we can come back to you with more detail on that. And in terms of the impact on OCG, it does vary. So in the case of sale of let’s say corporate bonds we end up with releasing required capital and that goes into OCG. However, we are losing, let’s say, coupon income on that. So it is a bit of a mixed bag. It’s not popping up as, let’s say, in our over under OCG walk. It’s not popping up on the — on let’s say, a delta. The one thing I would mention in the Netherlands is that like in the life company today we have seen an uptick in our run rate OCG.
It currently stands at about €260 million, which is an increase of about €20 million from the last quarter, but that’s largely a consequence of a lower UFR drag that we have seen. So it’s not a part — it’s not really part of the liquidity management. It’s more of a consequence of the now higher interest rates.
Lard Friese: Okay. When it comes to the questions about expenses it’s about one-third and that’s in line with the size of the business that was in scope for the addressable spend base.
