AEGON CONTINUES STRONG OPERATIONAL PERFORMANCE AND ANNOUNCES EUR 1 BILLION SHARE REPURCHASE PROGRAM

BUSINESS GROWTH AND INVESTMENT PERFORMANCE DRIVE EARNINGS GROWTH:
Net operating earnings up 22%, on pro forma basis, to EUR 570 million*
Net underlying operating earnings up 9%, on pro forma basis, to EUR 532 million*

NET INCOME DOWN 24% TO EUR 655 MILLION:
Decrease mainly in the Netherlands due to release of guarantee provisions in second quarter 2006 and declining fair value of derivatives in second quarter 2007
Recent change in Dutch hedging and investment strategy is expected to limit derivatives impact on net income going forward

STRONG INCREASE IN NEW LIFE SALES AND TOTAL DEPOSITS

CONTINUED PROFITABLE GROWTH IN VALUE OF NEW BUSINESS

AEGON ENHANCES SHAREHOLDER RETURN**:
Intention to repurchase EUR 1 billion of common shares by end 2007
Increase in interim dividend by 25% to EUR 0.30 per share


CHAIRMAN'S OVERVIEW
"The increases we are reporting today in net operating earnings, new life sales, value of new business and continued improvement in our internal rate of return, indicate that AEGON's businesses performed well during the second quarter.

"The 22% increase in net operating earnings for the quarter reflects growth across all geographies and most lines of business. This growth was partially offset by a weaker US dollar. The strong performance of AEGON's investment portfolio, as well as the organic growth of our business contributed to the increase in our earnings.

"The value of new business generated for the Group increased 28% in the quarter with all AEGON's country units contributing to the increase.

"A record quarter in the United Kingdom helped the Group achieve sales growth of 9% in the second quarter, as did continued strong sales in Poland and the bank partnerships in Spain. In Taiwan, we also experienced strong sales of unit-linked products, continuing our successful shift away from more traditional life products.

"In the Americas, we were pleased by the 12% increase in variable annuity sales during the quarter, with May being the highest since 2003. Retail sales increased 11% in the second quarter, helped by particularly strong sales within our agency channel, continuing a trend first seen in the fourth quarter of last year.

"Due primarily to higher pension sales, new life sales in the Netherlands showed a 6% increase. Late last month, we announced a change in accounting principles with regard to the valuation of guarantees on certain products in the Netherlands, ensuring that our financial statements better reflect the economic matching of assets and liabilities.

"Within AEGON UK, new life sales increased 9% over the year-ago period, resulting in another record quarter for our UK business. The increase reflects strong growth across most product lines, including continued increases in pension sales post-A day.

"Given continuing concerns over investments backed by sub-prime mortgages in the United States, it is worth emphasizing that our portfolio has been structured to weather a stressful credit environment. The majority of our sub-prime exposure is backed by fixed-rate mortgages and is rated triple-A. None of our holdings was included in the recent rating agency downgrades. We have insignificant exposure to subprime Collateralized Debt Obligations (CDOs). AEGON will continue to closely monitor developments in this market, but does not expect material impairments to its holdings."

"We have also enhanced shareholder return with a EUR 1 billion share buy-back and an increased interim dividend. The return of excess capital to shareholders will not hamper AEGON's ability to invest in the growth of its businesses or to accomplish add-on acquisitions.

"In summary, our businesses in the Americas, Europe, and Asia achieved further progress toward the goal we outlined last year to double the value of new business by 2010. Improvements in earnings, sales and profitability indicate that the performance of AEGON's businesses remains strong."