AMP's own future may not be so bright

Defying its motto "creating a future you can look forward to", the firm warned that 2003 would be another loss-making year if market falls continued.

"We are not expecting better markets in the short term," chief executive Andrew Mohl said.

"In the medium term our business portfolio and strategic positioning will improve and we remain focused on achieving long term shareholder value."

The financial outlook for AMP's Financial Services division in Britain was described as "very uncertain".

Shares in record low

But Mr Mohl said all of its British life insurance units now exceeded the minimum regulatory capital requirements set by the UK's Financial Services Authority.

The company reported write downs and restructuring costs of $1.57bn in 2002 after laying-off half of its global workforce last year.

Mr Mohl, who replaced Paul Batchelor five months ago in a boardroom clearout, has not ruled out further job cuts.

Shares in AMP fell by 2.7% to a record close of Aus$7.71 in Sydney.

The firm's market value has fallen by 60% over the past year.