November 12, 2007, Hong Kong – American International Assurance Company (Bermuda) Limited (AIA) launched a brand new investment-linked whole life insurance plan, 'Treasure Master'. This new plan is designed to help customers increase the potential of their capital return by contributing a single premium as well as top-up premiums to global financial markets. In addition, the 'Dollar Cost Averaging Facility' may help customers alleviate the investment risk of a large lump sum investment by turning it into monthly investments.

Mr. Thomas Lee, Vice President and Assistant General Manager of AIA said, "Hong Kong is now facing the threat of inflation which will erode the value of savings. In view of this, more and more people have explored the opportunity of investing their savings for a higher rate of return. To cater to the market demand, AIA has launched the 'Treasure Master' plan. It enables customers to invest in the world's financial markets through more than 90 funds managed by professional investment experts to capture the growth potential. This is complemented by the advantages of dollar cost averaging and life insurance protection."

'Treasure Master' is equipped with various features and specifically designed for people who are seeking a long-term investment opportunity. Policyholders may start this plan with a minimum initial single premium of US$15,000, and expand their investment portfolios according to their own financial situation with top-up premiums as low as US$4,000.

For the purposes of diversifying investment risk, the 'Dollar Cost Averaging Facility' is provided by dividing a lump sum investment into monthly investments. This may help safeguard the investment from short-term market volatility. With this facility, customers may guard the investment against any market drawback that may arise shortly after making a single investment but they may also experience a lower potential return in a rising market. Policyholders can designate the whole or part of their premium contribution to the facility. The initial 'Dollar Cost Averaging Monthly Contribution' will be allocated to the fund options policyholders selected, while the balance will be placed in a money market fund in US dollar to earn interest. Each subsequent 'Dollar Cost Averaging Monthly Contribution' will then be switched to the fund options every month. The amount and the fund allocation of the 'Dollar Cost Averaging Monthly Contribution' may be changed or this facility may be discontinued at any time without charge.

The plan offers access to more than 90 funds managed by investment experts, ranging from low-risk money market funds to growth-type equity funds and other alternative investments. Policyholders are free to switch fund and tailor-make their own investment portfolios in accordance with their individual financial needs and risk profile. Currently, there is no switching fee and the allocation spread is waived for most of the fund options.

After the fifth anniversary of the policy, a monthly 'Loyalty Bonus' will be payable to policyholders to increase the investment return of their capital. The amount of 'Loyalty Bonus' is based on the average account value of the policy in the previous 60 months and respective bonus rates. The higher the average account value, the greater the bonus amount.

In addition, policyholders may withdraw part of the account value to accommodate changes brought about by life events. The minimum partial withdrawal amount is US$600 and the remaining account value after the partial withdrawal cannot be less than the greater of US$3,000 or 110 percent of the surrender charge for surrender.

In the unfortunate event of death, a death benefit will be paid to the beneficiary. The amount is equivalent to the account value plus the lower of US$50,000 or 1 percent of the account value.

Investment involve risks. Past fund performance are not indicative of future performance as investment performance and returns may go up as well as down. Please refer to the Principal Brochure for product details.

AIA is one of the largest life insurers in Southeast Asia, with branch offices, subsidiaries and affiliated companies located in countries and jurisdictions including Mainland China, Hong Kong, Macau, Taiwan, Australia, Brunei, Guam, India, Indonesia, Japan, Malaysia, New Zealand, the Philippines, Singapore, South Korea, Thailand and Vietnam. AIA markets a full line of life insurance products through a multi-channel distribution system, whose core franchise is an extensive agency force.

AIA is a wholly-owned subsidiary of American International Group, Inc. (AIG). AIG, world leaders in insurance and financial services, is the leading international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional and individual customers through the most extensive worldwide property-casualty and life insurance networks of any insurer. In addition, AIG companies are leading providers of retirement services, financial services and asset management around the world. AIG's common stock is listed on the New York Stock Exchange, as well as the stock exchanges in Paris, Switzerland and Tokyo.