Royal & SunAlliance has announced that it will classify its US operations as ‘held for sale' in its 2006 results, in line with International Financial Reporting Standard (IFRS) 5. The US operation will therefore be written down to fair value less any disposal costs.
The write down and the loss for the year are together expected to total approximately £480m.
They will appear on the insurer's 2006 preliminary announcement as ‘discontinued operations', which are outside the group's operating result.
