Form 8-K/A Fidelity & Guaranty Life For: Nov 20
Tweet
Share
E-mail�
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
�
�
FORM 8-K/A
�
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 20, 2014
FIDELITY & GUARANTY LIFE
(Exact name of registrant as specified in its charter)
Delaware | 001-36227 | 46-3489149 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||
1001 Fleet Street, 6th Floor, Baltimore, Maryland | 21202 | |||
(Address of principal executive offices) | (Zip Code) | |||
Registrant's telephone number, including area code: (410) 895-0100
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o | Written communications pursuant to Rule�425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule�14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule�14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule�13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item�2.02. | Results of Operations and Financial Condition. |
�
Fidelity & Guaranty Life is filing this Amendment to Form 8-K to correct a typographical error in the companys Financial Supplement, which was furnished as Exhibit 99.2 to the companys Current Report on Form 8-K filed on November 19, 2014. On page 12 of the Financial Supplement in the Annuity Account Balance Rollforward table, the company reported (in millions) $117.1 for Premium and interest bonuses and $22.5 for Fixed interest credited and index credits. The corrected numbers are $7.5 and $132.1 respectively.
A copy of the corrected financial supplement is furnished as Exhibit 99.1 to this report.�
Item�9.01 | Financial Statements and Exhibits. |
�
(d) Exhibits
�
Exhibit No. | Description | |
99.1 | Financial Supplement dated November 19, 2014 | |
�
SIGNATURES
�
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
�
� | FIDELITY & GUARANTY LIFE | � | |
� | � | � | � |
� | /s/�Eric L. Marhoun | ||
� | Name:� Eric L. Marhoun | � | |
� | Title:����Executive Vice President, General Counsel and Secretary | ||
� | � | ||
Dated: November 20, 2014
Exhibit 99.1
Investor Supplement
Fourth Fiscal Quarter 2014
(Fiscal Year Ended September 30, 2014)
The financial statements and financial exhibits included herein are unaudited. These financial statements and exhibits should be read in conjunction with the Company's periodic reports on Form 10-K, Form 10-Q and Form 8-K. The results of operations for interim periods should not be considered indicative of results to be expected for the full year.
Non-GAAP Financial Measures
This document contains non-GAAP financial measures to analyze the Company's operating performance for the periods presented. Because the Company's calculation of these measures may differ from similar measures used by other companies, investors should be careful when comparing the Company's non-GAAP financial measures to those of other companies.
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement
September 30, 2014
Page | |
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Immaterial Revision to Previously Issued Financial Statements
In 2014, Fidelity & Guaranty Life (the Company ) corrected an immaterial error related to a consolidating elimination entry impacting the Consolidated Balance Sheet and Consolidated Statement of Changes in Shareholders Equity as of and for the year ended September 30, 2013.� Intangible assets and retained earnings were decreased by $40.5 and $26.3, respectively and deferred tax assets were increased by $14.2 by this change. This immaterial revision had no impact in the Consolidated Statements of Operations or Comprehensive Income or the Consolidated Statement of Cash Flows.��For more information about this change refer to Note 2 of our Consolidated Financial Statements included in our Form 10-K.
����
Any prior period balances or ratios impacted by this revision have been denoted with an (*) tickmark.
3
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Consolidated Financial Highlight
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||
September 30, 2014 | June 30, 2014 | March 31, 2014 | December 31, 2013 | September 30, 2013 | September 30, 2014 | September 30, 2013 | |||||||||||||||||||||
(Dollars in millions) | |||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||
Premiums | $ | 14.2 | $ | 13.1 | 14.6 | 13.7 | 11.8 | $ | 55.6 | $ | 58.7 | ||||||||||||||||
Net investment income | 200.6 | 191.2 | 184.3 | 183.4 | 185.2 | 759.5 | 708.0 | ||||||||||||||||||||
Net investment gains | 40.0 | 145.0 | (1.7 | ) | 123.4 | 106.2 | 306.7 | 517.7 | |||||||||||||||||||
Insurance and investment product fees and other | 17.0 | 18.6 | 17.1 | 15.6 | 17.1 | 68.3 | 61.7 | ||||||||||||||||||||
Total revenues | 271.8 | 367.9 | 214.3 | 336.1 | 320.3 | 1,190.1 | 1,346.1 | ||||||||||||||||||||
Adjusted operating income ("AOI") | $ | 27.9 | $ | 35.2 | $ | 47.8 | $ | 25.0 | $ | 79.7 | 135.9 | 138.3 | |||||||||||||||
Net income | $ | 38.7 | $ | 56.5 | $ | 24.8 | $ | 42.7 | $ | 110.7 | $ | 162.7 | $ | 347.7 | |||||||||||||
Per unrestricted common shares amounts: | |||||||||||||||||||||||||||
Basic: | |||||||||||||||||||||||||||
AOI | $ | 0.48 | $ | 0.60 | $ | 0.82 | $ | 0.51 | $ | 1.70 | $ | 2.43 | $ | 2.94 | |||||||||||||
Net income | $ | 0.66 | $ | 0.97 | $ | 0.43 | $ | 0.87 | $ | 2.36 | $ | 2.91 | $ | 7.40 | |||||||||||||
Diluted: | |||||||||||||||||||||||||||
AOI | $ | 0.48 | $ | 0.60 | $ | 0.82 | $ | 0.51 | $ | 1.70 | $ | 2.43 | $ | 2.94 | |||||||||||||
Net income | $ | 0.66 | $ | 0.97 | $ | 0.42 | $ | 0.87 | $ | 2.36 | $ | 2.90 | $ | 7.40 | |||||||||||||
Dividends paid to shareholders per share | $ | 0.065 | $ | 0.065 | $ | 0.065 | $ | 0.915 | $ | $ | 1.11 | $ | 1.99 | ||||||||||||||
At Period End | |||||||||||||||||||||||||||
Cash and cash equivalents | $ | 576.4 | $ | 818.3 | $ | 701.5 | $ | 759.5 | $ | 1,204.3 | $ | 576.4 | $ | 1,204.3 | |||||||||||||
Total investments | $ | 18,801.5 | $ | 18,370.7 | $ | 17,814.6 | $ | 17,225.6 | $ | 16,222.5 | $ | 18,801.5 | $ | 16,222.5 | |||||||||||||
Total assets (*) | $ | 24,152.7 | $ | 23,838.9 | $ | 23,356.1 | $ | 22,919.4 | $ | 22,402.8 | $ | 24,152.7 | $ | 22,402.8 | |||||||||||||
Contractholder funds | $ | 16,463.5 | $ | 16,217.9 | $ | 15,998.3 | $ | 15,519.7 | $ | 15,248.2 | $ | 16,463.5 | $ | 15,248.2 | |||||||||||||
Future policy benefits | $ | 3,504.3 | $ | 3,516.1 | $ | 3,533.7 | $ | 3,545.9 | $ | 3,556.8 | $ | 3,504.3 | $ | 3,556.8 | |||||||||||||
Long term debt | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | |||||||||||||
Total equity (*) | $ | 1,659.2 | $ | 1,676.6 | $ | 1,496.4 | $ | 1,305.5 | $ | 1,138.6 | $ | 1,659.2 | $ | 1,138.6 | |||||||||||||
Total equity excluding accumulated other comprehensive income ("AOCI") (*) | $ | 1,309.6 | $ | 1,274.0 | $ | 1,220.9 | $ | 1,199.4 | $ | 1,025.7 | $ | 1,309.6 | $ | 1,025.7 | |||||||||||||
Common shares issued and outstanding | 58.44 | 58.44 | $ | 58.44 | $ | 58.27 | $ | 47.00 | $ | 58.44 | $ | 47.00 | |||||||||||||||
Book value per share (*) | $ | 28.39 | $ | 28.69 | $ | 25.61 | $ | 22.40 | $ | 24.23 | $ | 28.39 | $ | 24.23 | |||||||||||||
Book value per share excluding AOCI (*) | 22.41 | 21.80 | 20.89 | 20.58 | 21.82 | 22.41 | 21.82 | ||||||||||||||||||||
Debt to total capitalization (*) | 18.6 | % | 19.1 | % | 19.7 | % | 20.0 | % | 22.6 | % | 18.6 | % | 22.6 | % | |||||||||||||
Return on average shareholder's equity excluding AOCI (*) | 12.0 | % | 18.1 | % | 8.2 | % | 15.4 | % | 41.5 | % | 13.5 | % | 34.9 | % | |||||||||||||
4
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(In millions, except per share data)
September�30, 2014 | June 30, 2014 | March 31, 2014 | December 31, 2013 | September�30, 2013 | |||||||||||||||
ASSETS | |||||||||||||||||||
Investments: | |||||||||||||||||||
Fixed maturities securities, available-for-sale, at fair value (amortized cost: 2014 - $16,691.9; 2013 - $15,301.6) | $ | 17,434.6 | $ | 17,007.4 | $ | 16,865.1 | $ | 16,327.6 | $ | 15,541.4 | |||||||||
Equity securities, available-for-sale, at fair value (cost: 2014 - $679.0; 2013 - $274.6) | 697.7 | 698.4 | 353.1 | 286.9 | 271.1 | ||||||||||||||
Derivative investments | 296.3 | 324.7 | 273.0 | 294.5 | 221.8 | ||||||||||||||
Other invested assets | 372.9 | 340.2 | 323.4 | 316.6 | 188.2 | ||||||||||||||
Total investments | 18,801.5 | 18,370.7 | 17,814.6 | 17,225.6 | 16,222.5 | ||||||||||||||
Related party loans | 112.7 | 124.1 | 145.7 | 96.4 | 119.0 | ||||||||||||||
Cash and cash equivalents | 576.4 | 818.3 | 701.5 | 759.5 | 1,204.3 | ||||||||||||||
Accrued investment income | 181.8 | 157.2 | 178.7 | 157.8 | 159.3 | ||||||||||||||
Reinsurance recoverable | 3,664.8 | 3,675.4 | 3,694.0 | 3,723.7 | 3,728.6 | ||||||||||||||
Intangibles, net (*) | 515.0 | 455.7 | 499.8 | 561.0 | 523.3 | ||||||||||||||
Deferred tax assets (*) | 137.4 | 109.5 | 187.4 | 240.1 | 240.6 | ||||||||||||||
Other assets | 163.1 | 128.0 | 134.4 | 155.3 | 205.2 | ||||||||||||||
Total assets (*) | $ | 24,152.7 | $ | 23,838.9 | $ | 23,356.1 | $ | 22,919.4 | $ | 22,402.8 | |||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||
Contractholder funds | $ | 16,463.5 | $ | 16,217.9 | $ | 15,998.3 | $ | 15,519.7 | $ | 15,248.2 | |||||||||
Future policy benefits | 3,504.3 | 3,516.1 | 3,533.7 | 3,545.9 | 3,556.8 | ||||||||||||||
Funds withheld for reinsurance liabilities | 1,330.8 | 1,339.3 | 1,362.3 | 1,381.2 | 1,407.7 | ||||||||||||||
Liability for policy and contract claims | 58.1 | 61.0 | 60.5 | 60.3 | 51.5 | ||||||||||||||
Long-term debt | 300.0 | 300.0 | 300.0 | 300.0 | 300.0 | ||||||||||||||
Other liabilities | 836.8 | 728.0 | 604.9 | 806.8 | 700.0 | ||||||||||||||
Total liabilities | 22,493.5 | 22,162.3 | 21,859.7 | 21,613.9 | 21,264.2 | ||||||||||||||
Shareholders' equity: | |||||||||||||||||||
Preferred stock ($.01 par value, 50,000,000 shares authorized, no shares issued at September 30, 2014) | |||||||||||||||||||
Common stock ($.01 par value, 500,000,000 shares authorized, 58,442,721 shares issued and outstanding at September 30, 2014; 47,000,000 shares issued and outstanding at September 30, 2013) | 0.6 | 0.6 | 0.6 | 0.6 | |||||||||||||||
Additional paid-in capital | 702.1 | 701.4 | 701.1 | 700.5 | 527.1 | ||||||||||||||
Retained earnings (*) | 606.9 | 572.0 | 519.2 | 498.3 | 498.6 | ||||||||||||||
Accumulated other comprehensive income | 349.6 | 402.6 | 275.5 | 106.1 | 112.9 | ||||||||||||||
Total shareholders' equity (*) | 1,659.2 | 1,676.6 | 1,496.4 | 1,305.5 | 1,138.6 | ||||||||||||||
Total liabilities and shareholders' equity (*) | $ | 24,152.7 | $ | 23,838.9 | $ | 23,356.1 | $ | 22,919.4 | $ | 22,402.8 | |||||||||
5
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Quarterly Summary - Most Recent 5 Quarters
Three Months Ended | Twelve Months Ended | ||||||||||||||||||||||||||
September�30, 2014 | June 30, 2014 | March 31, 2014 | December 31, 2013 | September 30, 2013 | September 30, 2014 | September 30, 2013 | |||||||||||||||||||||
(Dollars in millions) | |||||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||||
Traditional life insurance premiums | $ | 10.9 | $ | 11.2 | $ | 12.4 | $ | 11.4 | $ | 11.2 | $ | 45.9 | $ | 51.6 | |||||||||||||
Life contingent immediate annuity | 3.3 | 1.9 | 2.2 | 2.3 | 0.6 | 9.7 | 7.1 | ||||||||||||||||||||
Net investment income | 200.6 | 191.2 | 184.3 | 183.4 | 185.2 | 759.5 | 708.0 | ||||||||||||||||||||
Net investment gains | 40.0 | 145.0 | (1.7 | ) | 123.4 | 106.2 | 306.7 | 517.7 | |||||||||||||||||||
Surrender charges | 5.1 | 5.8 | 4.7 | 5.6 | 9.4 | 21.2 | 20.7 | ||||||||||||||||||||
Cost of insurance fees and other income | 11.9 | 12.8 | 12.4 | 10.0 | 7.7 | 47.1 | 41.0 | ||||||||||||||||||||
Total revenues | 271.8 | 367.9 | 214.3 | 336.1 | 320.3 | $ | 1,190.1 | 1,346.1 | |||||||||||||||||||
Benefits and expenses: | |||||||||||||||||||||||||||
Traditional life insurance policy benefits and change in future policy benefits | 17.7 | 19.0 | 15.7 | 16.3 | 16.9 | 68.7 | 71.4 | ||||||||||||||||||||
Life contingent immediate annuity benefits and changes in future policy benefits | 16.3 | 10.2 | 17.1 | 10.5 | 15.2 | 54.1 | 78.9 | ||||||||||||||||||||
Interest sensitive and index product benefits and changes in future policy benefits | 115.2 | 213.3 | 146.1 | 190.1 | 69.1 | 664.7 | 382.6 | ||||||||||||||||||||
General expenses | 21.1 | 22.3 | 29.3 | 27.3 | 23.0 | 100.0 | 97.8 | ||||||||||||||||||||
Acquisition expenses | 60.8 | 51.0 | 60.1 | 46.7 | 45.1 | 218.6 | 141.8 | ||||||||||||||||||||
Deferred acquisition costs | (61.1 | ) | (50.4 | ) | (57.4 | ) | (48.0 | ) | (34.3 | ) | (216.9 | ) | (129.8 | ) | |||||||||||||
Amortization of intangibles | 40.7 | 14.7 | 11.3 | 22.9 | 21.4 | 89.6 | 184.5 | ||||||||||||||||||||
Total benefits and expenses | 210.7 | 280.1 | 222.2 | 265.8 | 156.4 | 978.8 | 827.2 | ||||||||||||||||||||
Operating income (loss) | 61.1 | 87.8 | (7.9 | ) | 70.3 | 163.9 | 211.3 | 518.9 | |||||||||||||||||||
Interest expense | (5.6 | ) | (5.7 | ) | (5.6 | ) | (5.6 | ) | (5.6 | ) | (22.5 | ) | (11.5 | ) | |||||||||||||
Income before income taxes | 55.5 | 82.1 | (13.5 | ) | 64.7 | 158.3 | 188.8 | 507.4 | |||||||||||||||||||
Income tax expense (benefit) | 16.8 | 25.6 | (38.3 | ) | 22.0 | 47.6 | 26.1 | 159.7 | |||||||||||||||||||
Net income | $ | 38.7 | $ | 56.5 | $ | 24.8 | $ | 42.7 | $ | 110.7 | $ | 162.7 | $ | 347.7 | |||||||||||||
Net income per common share: | |||||||||||||||||||||||||||
Basic | $ | 0.66 | $ | 0.97 | $ | 0.43 | $ | 0.87 | $ | 2.36 | $ | 2.91 | $ | 7.40 | |||||||||||||
Diluted | $ | 0.66 | $ | 0.97 | $ | 0.42 | $ | 0.87 | $ | 2.36 | $ | 2.90 | $ | 7.40 | |||||||||||||
Weighted average common shares used in computing net income per common share: | |||||||||||||||||||||||||||
Basic | 58.27 | 58.27 | 58.27 | 49.14 | 47.00 | 55.97 | 47.00 | ||||||||||||||||||||
Diluted | 58.36 | 58.47 | 58.45 | 49.26 | 47.00 | 56.01 | 47.00 | ||||||||||||||||||||
6
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Reconciliation from Net Income (Loss) to Adjusted Operating Income ("AOI ")
All amounts are net of offsets related to value of business acquired ("VOBA") and deferred acquisition cost ("DAC") amortization and income taxes.
Three Months Ended | Twelve Months Ended | |||||||||||||||||||||||||||
September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | September�30, 2014 | September�30, 2013 | ||||||||||||||||||||||
(Dollars in millions, except per share data) | ||||||||||||||||||||||||||||
Net Income | $ | 38.7 | $ | 56.5 | $ | 24.8 | $ | 42.7 | $ | 110.7 | $ | 162.7 | $ | 347.7 | ||||||||||||||
Adjustments to arrive at AOI: | ||||||||||||||||||||||||||||
Effect of investment (gains) losses, net of offsets | (5.5 | ) | (39.5 | ) | (3.6 | ) | (6.4 | ) | (33.9 | ) | (55.0 | ) | (167.9 | ) | ||||||||||||||
Effect of change in FIA embedded derivative discount rate, net of offsets | 0.7 | 8.1 | 10.4 | (13.9 | ) | 3.4 | 5.3 | (34.8 | ) | |||||||||||||||||||
Effect of change in fair value of reinsurance related embedded derivative, net of offsets | (6.0 | ) | 10.2 | 15.1 | 2.6 | (2.2 | ) | 21.9 | (2.2 | ) | ||||||||||||||||||
Effects of class action litigation reserves, net of offsets | (0.1 | ) | 1.1 | 1.0 | ||||||||||||||||||||||||
Residual net income of distributed subsidiaries | 1.7 | (4.5 | ) | |||||||||||||||||||||||||
AOI | $ | 27.9 | $ | 35.2 | $ | 47.8 | $ | 25.0 | $ | 79.7 | $ | 135.9 | $ | 138.3 | ||||||||||||||
Per diluted common share: | ||||||||||||||||||||||||||||
Net income | $ | 0.66 | $ | 0.97 | $ | 0.42 | $ | 0.87 | $ | 2.36 | $ | 2.90 | $ | 7.40 | ||||||||||||||
Adjustments to arrive at AOI: | ||||||||||||||||||||||||||||
Effect of investment (gains) losses, net of offsets | (0.09 | ) | (0.68 | ) | (0.06 | ) | (0.13 | ) | (0.72 | ) | (0.97 | ) | (3.57 | ) | ||||||||||||||
Effect of change in FIA embedded derivative discount rate, net of offsets | 0.01 | 0.14 | 0.18 | (0.28 | ) | 0.07 | 0.09 | (0.74 | ) | |||||||||||||||||||
Effect of change in fair value of reinsurance related embedded derivative, net of offsets | (0.10 | ) | 0.17 | 0.26 | 0.05 | (0.05 | ) | 0.39 | (0.05 | ) | ||||||||||||||||||
Effects of class action litigation reserves, net of offsets | 0.02 | 0.02 | ||||||||||||||||||||||||||
Residual net income of distributed subsidiaries | 0.04 | (0.10 | ) | |||||||||||||||||||||||||
AOI per diluted share | $ | 0.48 | $ | 0.60 | $ | 0.82 | $ | 0.51 | $ | 1.70 | $ | 2.43 | $ | 2.94 | ||||||||||||||
NON-GAAP FINANCIAL MEASURES
AOI is a non-GAAP economic measure we use to evaluate financial performance each period for the periods subsequent to the FGLH Acquisition. AOI is calculated by adjusting net income to eliminate (i)�the impact of net investment gains including OTTI losses recognized in operations, but excluding gains and losses on derivatives, (ii) the effect of changes in the rates used to discount the FIA embedded derivative liability, (iii) the effect of change in fair value of reinsurance related embedded derivative, (iv) the effect of class action litigation reserves and (v) residual net income of distributed subsidiaries we no longer own. All adjustments to AOI are net of the corresponding VOBA, DAC and income tax impact related to these adjustments as appropriate. While these adjustments are an integral part of the overall performance of FGL, market conditions impacting these items can overshadow the underlying performance of the business. Accordingly, we believe using a measure which excludes their impact is effective in analyzing the trends of our operations. Our non-GAAP measures may not be comparable to similarly titled measures of other organizations because other organizations may not calculate such non-GAAP measures in the same manner as we do.
7
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
In the second quarter of 2014, we revised our definition of AOI from a pre-tax basis to an after-tax basis to better reflect the basis on which the performance of our business is internally assessed. AOI now includes interest expense and an effective tax rate of 35% is now applied to reconciling items made to net income. All prior periods presented have been revised to reflect this new definition. Additionally, during the second quarter of 2014 we revised our definition of AOI to exclude the effect of class action litigation reserves, net of the corresponding VOBA, DAC and income tax impact related to these adjustments. This change has been reflected in the current period calculation. Lastly, during the second quarter of 2014 we revised our definition of AOI to exclude residual net income of distributed subsidiaries; specifically the portion of Front Street Re income not already accounted for in the AOI adjustments above. From the inception of the reinsurance treaty on December 31, 2012 through August 9, 2013, Front Street Re was a fully consolidated subsidiary of FGL. On August 9, 2013 in preparation for the IPO, FGL distributed this subsidiary to its parent company. Adjusting for this distribution provides a better view of the underlying performance of FGL as it is now structured post-IPO.
Together with net income we believe AOI provide meaningful financial metrics that help investors understand our underlying results and profitability. Our AOI may not be comparable to similarly titled measures of other organizations because other organizations may not calculate AOI in the same manner as we do.
Summary of Adjustments to Arrive at AOI (Unaudited)
Three Months Ended | Twelve Months Ended | |||||||||||||||||||||||||||
September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | September�30, 2014 | September�30, 2013 | ||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||
Revenue: | ||||||||||||||||||||||||||||
Net investment gains (a) | $ | (22.7 | ) | $ | (51.5 | ) | $ | 22.3 | $ | (7.5 | ) | $ | (67.6 | ) | $ | (59.4 | ) | $ | (349.4 | ) | ||||||||
(Decrease) increase in total revenues | (22.7 | ) | (51.5 | ) | 22.3 | (7.5 | ) | (67.6 | ) | (59.4 | ) | (349.4 | ) | |||||||||||||||
Benefits and expenses: | ||||||||||||||||||||||||||||
Benefits and other changes in policy reserves (b) | 1.0 | 20.5 | 25.8 | (34.3 | ) | 2.5 | 13.0 | (96.8 | ) | |||||||||||||||||||
Acquisition and operating expenses, net of deferrals (c) | 0.7 | 2.3 | 3.0 | |||||||||||||||||||||||||
Amortization of intangibles | 5.3 | (2.7 | ) | (15.0 | ) | 14.6 | 14.8 | 2.2 | 131.0 | |||||||||||||||||||
Increase (decrease) in total benefits and expenses | 6.3 | 18.5 | 13.1 | (19.7 | ) | 17.3 | 18.2 | 34.2 | ||||||||||||||||||||
(Decrease) increase in pre-tax operating income | (16.4 | ) | (33.0 | ) | 35.4 | (27.2 | ) | (50.3 | ) | (41.2 | ) | (315.2 | ) | |||||||||||||||
Increase (decrease) in income tax expense (benefit) | 5.6 | 11.7 | (12.4 | ) | 9.5 | 17.6 | 14.4 | 110.3 | ||||||||||||||||||||
Increase (decrease) due to residual net income of distributed subsidiaries | 1.7 | (4.5 | ) | |||||||||||||||||||||||||
Increase (decrease) in net income (loss) | $ | (10.8 | ) | $ | (21.3 | ) | $ | 23.0 | $ | (17.7 | ) | $ | (31.0 | ) | $ | (26.8 | ) | $ | (209.4 | ) | ||||||||
(a) Net investment gains: includes the effects of investment gains and change in fair value of the reinsurance related embedded derivative.
(b) Benefits and other changes in policy reserves: includes the effects of the change in fair value of the reinsurance related embedded derivative discount rate.
(c) Acquisition and operating expenses: includes the effects of the class action litigation reserve.
8
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Capitalization/Book Value per Share
September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | |||||||||||||||
(Dollars in millions, except per share data) | |||||||||||||||||||
Capitalization: | |||||||||||||||||||
Long-term debt | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | $ | 300.0 | |||||||||
Total debt | 300.0 | 300.0 | 300.0 | 300.0 | 300.0 | ||||||||||||||
Total shareholders' equity (*) | 1,659.2 | 1,676.6 | 1,496.4 | 1,305.5 | 1,138.6 | ||||||||||||||
Total capitalization | 1,959.2 | 1,976.6 | 1,796.4 | 1,605.5 | 1,438.6 | ||||||||||||||
AOCI | 349.6 | 402.6 | 275.5 | 106.1 | 112.9 | ||||||||||||||
Total capitalization excluding AOCI (a), (*) | $ | 1,609.6 | $ | 1,574.0 | $ | 1,520.9 | $ | 1,499.4 | $ | 1,325.7 | |||||||||
Total shareholders' equity (*) | 1,659.2 | 1,676.6 | 1,496.4 | 1,305.5 | 1,138.6 | ||||||||||||||
AOCI | 349.6 | 402.6 | 275.5 | 106.1 | 112.9 | ||||||||||||||
Total shareholder's equity excluding AOCI (a), (*) | $ | 1,309.6 | $ | 1,274.0 | $ | 1,220.9 | $ | 1,199.4 | $ | 1,025.7 | |||||||||
Common shares outstanding | 58.44 | 58.44 | 58.44 | 58.27 | 47.00 | ||||||||||||||
Book Value per Share: (b) | |||||||||||||||||||
Book value per share including AOCI (*) | 28.4 | 28.7 | 25.6 | 22.4 | 24.2 | ||||||||||||||
Book value per share excluding AOCI (a), (*) | 22.4 | 21.8 | 20.9 | 20.6 | 21.8 | ||||||||||||||
Twelve months ended | |||||||||||||||||||
Twelve Month Rolling Average Return on Equity ("ROE") | September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | ||||||||||||||
Return on Shareholder's Equity (c) | |||||||||||||||||||
Return on average shareholder's equity, excluding AOCI (c), (*) | 13.5 | % | 20.1 | % | 20.7 | % | 26.3 | % | 34.9 | % | |||||||||
Return on Shareholder's Equity - AOI (d) | |||||||||||||||||||
Adjusted Operating ROE, excluding AOCI (d), (*) | 11.3 | % | 16.1 | % | 14.9 | % | 13.0 | % | 13.9 | % | |||||||||
Three months ended | |||||||||||||||||||
Quarterly Average ROE | September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | ||||||||||||||
Return on average shareholder's equity, excluding AOCI (c), (*) | 12.0 | % | 18.1 | % | 8.2 | % | 15.4 | % | 41.5 | % | |||||||||
Adjusted Operating ROE, excluding AOCI (d), (*) | 8.6 | % | 11.3 | % | 15.8 | % | 9.0 | % | 29.9 | % | |||||||||
Debt-to-Capital Ratios: (e) | |||||||||||||||||||
Long-term debt/Total capitalization excluding AOCI (*) | 18.6 | % | 19.1 | % | 19.7 | % | 20.0 | % | 22.6 | % | |||||||||
9
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
(a) Total capitalization, total stockholders equity and book value per share excluding AOCI (a non-GAAP financial measure) are based on stockholders equity excluding the effect of AOCI. Since AOCI fluctuates from quarter to quarter due to unrealized changes in the fair value of available for sale investments, we believe these non-GAAP financial measures provide useful supplemental information.
(b) Book value per share including and excluding AOCI is calculated as total stockholders equity and total stockholders equity excluding AOCI divided by the total number of shares of common stock outstanding.
(c) Return on Equity, excluding AOCI is a non-GAAP measure. It is calculated by dividing net income by total average equity excluding AOCI. Average equity excluding AOCI for the twelve months rolling, is the average of 5 points throughout the period and for the quarterly average equity is calculated using the beginning and ending equity for the period. For periods less than a full fiscal year, amounts disclosed in the table are annualized.
(d) Adjusted Operating ROE, excluding AOCI is a non-GAAP measure. It is calculated by dividing AOI by total average equity excluding AOCI. Average equity excluding AOCI for the twelve months rolling, is the average of 5 points throughout the period and for the quarterly average equity is calculated using the beginning and ending equity for the period. For periods less than a full fiscal year, amounts disclosed in the table are annualized.
(e) Debt-to-capital ratios are computed using total capitalization excluding AOCI. Adjusted debt includes the total senior unsecured debentures.
Financial Strength Ratings
S&P | A.M. Best | Moody's | Fitch | |||||
As of Date of Financial Supplement | ||||||||
Fidelity and Guaranty Life Insurance Company | BBB- | B++ | Baa3 | BBB | ||||
Fidelity and Guaranty Life Insurance Company of New York | BBB- | B++ | Baa3 | BBB | ||||
Rating Agency Outlook | Stable | Stable | Stable | Stable | ||||
10
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Net Investment Spread Results
(Dollars in millions) | Three Months Ended September 30, | Twelve Months Ended September 30, | |||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
Yield on average assets under management "AAUM" (at amortized cost) | 4.78 | % | 4.58 | % | 4.64 | % | 4.31 | % | |||||||
Less: Interest credited and option cost | 2.94 | % | 3.07 | % | 2.94 | % | 3.00 | % | |||||||
Total net investment spread - All product lines | 1.84 | % | 1.51 | % | 1.70 | % | 1.31 | % | |||||||
FIA net investment spread | 3.01 | % | 2.42 | % | 2.84 | % | 2.42 | % | |||||||
Investment book yield - bonds purchased during the period | 4.92 | % | 2.94 | % | 4.87 | % | 2.93 | % | |||||||
AAUM (a) | $ | 16,799.0 | $ | 15,528.6 | $ | 16,354.4 | $ | 16,311.9 | |||||||
AAUM excluding FSR (b) | N/A | $ | 15,528.6 | N/A | $ | 15,709.0 | |||||||||
(a) AAUM is the sum of (i) total invested assets at amortized cost, excluding derivatives; and including (ii) related party loans and investments and (iii) cash and cash equivalents at the end of each month in the period divided by the number of months in the period.
(b) AAUM excluding FSR, removes the impact of the Front Street Re funds withheld assets in the prior year AAUM calculation.
Sales Results by Product
Three Months Ended | Twelve Months Ended | |||||||||||||||||||||||||||
September 30, 2014 | June 30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | September�30, 2014 | September�30, 2013 | ||||||||||||||||||||||
Fixed index annuities | 454.6 | 378.6 | 318.2 | 300.7 | 237.6 | 1,452.1 | 983.1 | |||||||||||||||||||||
Fixed rate annuities | 47.0 | 13.0 | 409.4 | 239.7 | 9.4 | 709.1 | 24.9 | |||||||||||||||||||||
Index universal life | 5.6 | 5.9 | 4.8 | 5.0 | 4.7 | 21.3 | 18.8 | |||||||||||||||||||||
All other products | 8.3 | 7.6 | 4.2 | 1.6 | 3.4 | 21.7 | 12.1 | |||||||||||||||||||||
Total Sales | $ | 515.5 | $ | 405.1 | $ | 736.6 | $ | 547.0 | $ | 255.1 | $ | 2,204.2 | $ | 1,038.9 | ||||||||||||||
11
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Annuity Account Balance Rollforward (a)
Three months ended | ||||||||||||||||||||
September�30, 2014 | June�30, 2014 | March�31, 2014 | December�31, 2013 | September�30, 2013 | ||||||||||||||||
Account balances at beginning of period: | $ | 12,330.0 | $ | 12,144.7 | $ | 11,626.0 | $ | 11,339.0 | $ | 12,411.6 | ||||||||||
Net deposits | 500.3 | 392.3 | 721.3 | 545.4 | 250.1 | |||||||||||||||
Premium and interest bonuses | 7.5 | 9.0 | 8.4 | 7.5 | 6.7 | |||||||||||||||
Fixed interest credited and index credits | 132.1 | 128.4 | 119.8 | 124.7 | 113.3 | |||||||||||||||
Guaranteed product rider fees | (4.8 | ) | (5.7 | ) | (5.9 | ) | (4.1 | ) | (2.5 | ) | ||||||||||
Surrenders, withdrawals, deaths, etc. | (322.0 | ) | (338.7 | ) | (324.9 | ) | (386.5 | ) | (323.7 | ) | ||||||||||
FSR initial ceded balance | (1,116.5 | ) | ||||||||||||||||||
Account balance at end of period | $ | 12,643.1 | $ | 12,330.0 | $ | 12,144.7 | $ | 11,626.0 | $ | 11,339.0 | ||||||||||
(a) The rollforward reflects the account balance of our fixed index annuities and fixed rate annuities.
12
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Annuity Deposits by Product Type
Three Months Ended September 30, | Twelve Months Ended September 30, | |||||||||||||||
Product Type | 2014 | 2013 | 2014 | 2013 | ||||||||||||
(Dollars in millions) | ||||||||||||||||
Fixed Index Annuities: | ||||||||||||||||
Index Strategies | $ | 393.0 | $ | 186.2 | $ | 1,233.3 | $ | 735.0 | ||||||||
Fixed Strategy | 62.2 | 51.6 | 220.1 | 250.4 | ||||||||||||
455.2 | 237.8 | 1,453.4 | 985.4 | |||||||||||||
Fixed Rate Annuities: | ||||||||||||||||
Single-Year Rate Guaranteed | 7.0 | 11.2 | 39.3 | 25.4 | ||||||||||||
Multi-Year Rate Guaranteed | 53.8 | 1.9 | 684.4 | 13.3 | ||||||||||||
Total before coinsurance ceded | 516.0 | 250.9 | 2,177.1 | 1,024.1 | ||||||||||||
Coinsurance ceded | 15.7 | 0.8 | 17.8 | 0.8 | ||||||||||||
Net after coinsurance ceded | $ | 500.3 | $ | 250.1 | $ | 2,159.3 | $ | 1,023.3 | ||||||||
Surrender Charge Protection and Account Values by Product Type
Annuity Surrender Charges and Account Values (net of reinsurance) at September 30, 2014:
Surrender Charge | Net Account Value | |||||||||||||
Product Type | Avg. Years at Issue | Avg. Years Remaining | Avg. % Remaining | Dollars in millions | % | |||||||||
Fixed Index Annuities | 11.7 | 6.1 | 9.1 | % | $ | 9,851.5 | 77.9 | % | ||||||
Single-Year Rate Guaranteed | 11.7 | 0.8 | 1.0 | % | 672.9 | 5.3 | % | |||||||
Multi-Year Rate Guaranteed | 5.6 | 3.4 | 7.6 | % | 2,118.7 | 16.8 | % | |||||||
Total | $ | 12,643.1 | 100.0 | % | ||||||||||
13
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Annuity Liability Characteristics
Fixed Annuities Account Value | Fixed Index Annuities Account Value | |||||||
(Dollars in millions) | ||||||||
SURRENDER CHARGE PERCENTAGES: | ||||||||
No surrender charge | $ | 646.5 | $ | 1,023.1 | ||||
0.0% < 2.0% | 48.4 | 69.3 | ||||||
2.0% < 4.0% | 127.4 | 655.7 | ||||||
4.0% < 6.0% | 241.8 | 954.5 | ||||||
6.0% < 8.0% | 675.4 | 980.0 | ||||||
8.0% < 10.0% | 1,006.0 | 1,170.3 | ||||||
10.0% or greater | 46.1 | 4,998.6 | ||||||
$ | 2,791.6 | $ | 9,851.5 | |||||
Fixed and Fixed Index Annuities Account Value | Weighted Average Surrender Charge | ||||||
(Dollars in millions) | |||||||
SURRENDER CHARGE EXPIRATION BY YEAR: | |||||||
Out of Surrender Charge | $ | 1,738.3 | % | ||||
2014 | 174.0 | 4.4 | % | ||||
2015-2016 | 1,780.0 | 4.7 | % | ||||
2017-2018 | 2,774.5 | 8.1 | % | ||||
2019-2020 | 1,711.1 | 10.4 | % | ||||
Thereafter | 4,465.2 | 12.1 | % | ||||
$ | 12,643.1 | ||||||
14
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Fixed Annuities Account Value | Fixed Index Annuities Account Value | |||||||
(Dollars in millions) | ||||||||
CREDITED RATE (INCLUDING BONUS INTEREST) VS. ULTIMATE MINIMUM GUARANTEED RATE DIFFERENTIAL: | ||||||||
No differential | $ | 1,168.8 | $ | 880.4 | ||||
0.0% - 1.0% | 487.7 | 1,043.4 | ||||||
1.0% - 2.0% | 207.0 | 144.7 | ||||||
2.0% - 3.0% | 695.4 | 15.8 | ||||||
3.0% - 4.0% | 232.6 | 0.4 | ||||||
4.0% - 5.0% | 0.1 | |||||||
Allocated to index strategies | 7,766.8 | |||||||
$ | 2,791.6 | $ | 9,851.5 | |||||
����
FIXED INDEX ANNUITIES ACCOUNT VALUE - INDEX STRATEGIES
Monthly Average, Point to Point and Gain Trigger Strategies with Cap
Minimum Guaranteed Cap | ||||||||||||||||
1% | 3% | 5% | 6% | |||||||||||||
Current Cap | ||||||||||||||||
At minimum | $ | $ | 501.4 | $ | 955.0 | $ | ||||||||||
�2-3% | 34.3 | |||||||||||||||
�3-4% | 142.4 | 419.9 | ||||||||||||||
�4-5% | 114.9 | 886.3 | ||||||||||||||
�5-6% | 21.6 | 718.3 | 77.6 | |||||||||||||
�6-7% | 1.8 | 222.3 | 25.1 | 2.4 | ||||||||||||
�7% + | 0.8 | 108.5 | 5.8 | 55.1 | ||||||||||||
�Total | $ | 315.8 | $ | 2,856.7 | $ | 1,063.5 | $ | 57.5 | ||||||||
����
15
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Monthly Point-to-Point with Cap
Minimum Guaranteed Cap 1% | ||||
Current Cap | (Dollars in millions) | |||
At minimum | $ | 6.6 | ||
�1% to 2% | 1,915.8 | |||
�2% to 3% | 886.2 | |||
�3% + | 422.5 | |||
�Total | $ | 3,231.1 | ||
3 Year Step Forward with Cap
Minimum Guaranteed Cap 5% | ||||
Current Cap | (Dollars in millions) | |||
At minimum | $ | 16.9 | ||
�5% to 7% | 42.2 | |||
�7% to 9% | 58.1 | |||
�9% to 11% | 26.2 | |||
�11% to 13% | 13.9 | |||
�13% + | 0.5 | |||
�Total | $ | 157.8 | ||
There is an additional $84.4 million Account Value allocated to strategies not listed above. Of this $84.4 million, $23.4 million is at the guaranteed rates.
16
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Summary of Invested Assets
(dollars in millions) | September�30, 2014 | September�30, 2013 | ||||||||||||||||||||
Amortized Cost | Fair Value | Percent | Amortized Cost | Fair Value | Percent | |||||||||||||||||
Fixed maturity securities, available for sale: | ||||||||||||||||||||||
����United States Government full faith and credit | $ | 291.0 | $ | 296.0 | 1.6 | % | $ | 998.5 | $ | 1,001.8 | 6.2 | % | ||||||||||
����United States Government sponsored entities | 104.3 | 107.3 | 0.6 | % | 96.5 | 98.6 | 0.6 | % | ||||||||||||||
����United States municipalities, states and territories | 1,149.9 | 1,259.8 | 6.7 | % | 998.8 | 1,007.0 | 6.2 | % | ||||||||||||||
Corporate securities: | ||||||||||||||||||||||
����Finance, insurance and real estate | 4,485.0 | 4,743.0 | 25.2 | % | 4,637.6 | 4,742.4 | 29.2 | % | ||||||||||||||
����Manufacturing, construction and mining | 871.3 | 882.9 | 4.7 | % | 781.5 | 757.3 | 4.7 | % | ||||||||||||||
����Utilities and related sectors | 1,822.2 | 1,922.4 | 10.2 | % | 1,702.5 | 1,746.2 | 10.8 | % | ||||||||||||||
����Wholesale/retail trade | 1,046.3 | 1,087.5 | 5.8 | % | 818.1 | 829.5 | 5.1 | % | ||||||||||||||
����Services, media and other | 1,104.3 | 1,143.6 | 6.1 | % | 1,025.4 | 1,016.9 | 6.3 | % | ||||||||||||||
Hybrid securities | 1,279.1 | 1,316.1 | 7.0 | % | 762.2 | 754.8 | 4.6 | % | ||||||||||||||
Non-agency residential mortgage backed securities | 1,880.5 | 2,006.7 | 10.6 | % | 1,304.0 | 1,368.1 | 8.4 | % | ||||||||||||||
Commercial mortgage backed securities | 617.6 | 636.9 | 3.4 | % | 431.3 | 454.3 | 2.8 | % | ||||||||||||||
Asset backed securities | 2,040.4 | 2,032.4 | 10.8 | % | 1,745.2 | 1,764.5 | 10.9 | % | ||||||||||||||
Equity securities (a) | 679.0 | 697.7 | 3.7 | % | 274.6 | 271.1 | 1.7 | % | ||||||||||||||
Other (primarily derivatives, policy loans and commercial mortgage loans) | 551.1 | 669.2 | 3.6 | % | 329.9 | 410.0 | 2.5 | % | ||||||||||||||
Total | $ | 17,922.0 | $ | 18,801.5 | 100.0 | % | 15,906.1 | $ | 16,222.5 | 100.0 | % | |||||||||||
Credit Quality of Fixed Maturity Securities - September 30, 2014
NAIC Designation | Fair Value | Percent | Rating Agency Rating | Fair Value | Percent | |||||||||||
(Dollars in millions) | (Dollars in millions) | |||||||||||||||
1 | $ | 9,861.2 | 56.6 | % | AAA | $ | 1,753.5 | 10.1 | % | |||||||
2 | 6,578.7 | 37.7 | % | AA | 1,909.2 | 11.0 | % | |||||||||
3 | 575.3 | 3.3 | % | A | 3,873.0 | 22.2 | % | |||||||||
4 | 318.9 | 1.8 | % | BBB | 7,042.1 | 40.4 | % | |||||||||
5 | 100.5 | 0.6 | % | BB (a) | 785.5 | 4.5 | % | |||||||||
6 | % | B and below (b) | 2,071.3 | 11.8 | % | |||||||||||
$ | 17,434.6 | 100.0 | % | $ | 17,434.6 | 100.0 | % | |||||||||
17
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Summary of Residential Mortgage Backed Securities
Collateral Type | Amortized Cost | Fair Value | ||||||
(Dollars in millions) | ||||||||
Total by collateral type | ||||||||
Government agency | $ | 143.3 | $ | 146.2 | ||||
Prime | 245.1 | 260.6 | ||||||
Subprime | 514.1 | 548.5 | ||||||
Alt-A | 665.7 | 695.8 | ||||||
Option arm | 416.60 | 462.90 | ||||||
$ | 1,984.8 | $ | 2,114.0 | |||||
Total by NAIC designation | ||||||||
1 | $ | 1,944.3 | $ | 2,072.3 | ||||
2 | 20.5 | 23.0 | ||||||
3 | 18.1 | 16.8 | ||||||
4 | 1.9 | 1.9 | ||||||
5 | ||||||||
6 | ||||||||
$ | 1,984.8 | $ | 2,114.0 | |||||
18
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Top 10 Holdings by Issuers
September 30, 2014 | |||||||
Issuer (a): | Fair Value | Percentage | |||||
JP Morgan Chase & Co. | $ | 176.6 | 0.9 | % | |||
Wells Fargo & Company | 175.9 | 0.9 | % | ||||
Goldman Sachs Group, Inc. | 153.1 | 0.8 | % | ||||
Metropolitan Transportation Authority (NY) | 132.9 | 0.7 | % | ||||
Bank of America Corp. | 125.0 | 0.7 | % | ||||
General Electric Company | 125.0 | 0.7 | % | ||||
MetLife Inc. | 115.1 | 0.6 | % | ||||
Prudential Financial Inc. | 94.0 | 0.5 | % | ||||
Exelon Corporation | 86.4 | 0.5 | % | ||||
Nationwide Financial | 86.1 | 0.5 | % | ||||
(a) Issuers excluding U.S. Governmental securities, and any securities held in our funds withheld portfolio.
19
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Reinsurance Counterparty Risk (a)
Financial Strength Rating | ||||||||||
Top 5: Parent Company/Principal Reinsurers | Reinsurance Recoverable | AM Best | S&P | Moody's | ||||||
Wilton Reinsurance | $ | 1,508.8 | A | Not Rated | Not Rated | |||||
Front Street Re | 1,267.2 | Not Rated | Not Rated | Not Rated | ||||||
Security Life of Denver | 171.8 | A | A- | A3 | ||||||
Scottish Re | 139.1 | Not Rated | Not Rated | Not Rated | ||||||
London Life | 109.8 | A | Not Rated | Not Rated | ||||||
(a) Reinsurance recoverables do not include unearned ceded premiums that would be recovered in the event of early termination of certain traditional life policies.
20
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Shareholder Information
Corporate Offices:
Fidelity & Guaranty Life
1001 Fleet Street, 6th Floor
Baltimore, MD
Investor Contact:
Molly Carman
Fidelity & Guaranty Life
410-895-1008
Media Contact:
Sard Verbinnen & Co
Jamie Tully or David Millar, 212-687-8080
Common stock and Dividend Information:
New York Stock Exchange symbol: "FGL"
High | Low | Close | Dividend Declared | |||||||||||||
FY2014 | ||||||||||||||||
First Quarter | $ | 19.10 | $ | 18.80 | $ | 18.94 | $ | 0.915 | ||||||||
Second Quarter | $ | 23.91 | $ | 22.28 | $ | 23.60 | $ | 0.065 | ||||||||
Third Quarter | $ | 24.10 | $ | 23.72 | $ | 23.94 | $ | 0.065 | ||||||||
Fourth Quarter | $ | 21.60 | $ | 21.21 | $ | 21.35 | $ | 0.065 | ||||||||
Transfer Agent
American Stock Transfer & Trust
59 Maiden Lane, Plaza Level
New York, NY 10038
Phone: (800) 937-5449
Fax: (718) 236-2641
http://www.amstock.com
21
FIDELITY & GUARANTY LIFE AND SUBSIDIARIES
Financial Supplement - September 30, 2014
(unaudited)
Research Analyst Coverage
Thomas Gallagher
Credit Suisse
(215) 538-2010
Eric Berg
RBC Capital Markets
(212) 618-7593
Jimmy Bhullar
J.P. Morgan
(212) 622-6397
jimmy.s.bhullar@jpmorgancom
Sean Dargan
Macquarie Capital (USA) Inc.
212-231-0663
22
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Founder Group wins $1.4M solar contract for Kedah shrimp farm
- Founder Group Limited Secures Second Aquaculture Contract, a US$1.4 million 1.78 MW rooftop system for a Kedah shrimp Farm
- Founder Group Limited Secures First Aquaculture Contract, a US$1.2 million 1.4 MW rooftop system for a Terengganu shrimp farm
Create E-mail Alert Related Categories
SEC FilingsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
