DES MOINES, Iowa--(BUSINESS WIRE)--May. 4, 2009--
Principal Financial Group, Inc. (NYSE: PFG) today announced net income
available to common stockholders for the three months ended March 31,
2009, of $112.8 million, or $0.43 per diluted share compared to $174.2
million, or $0.67 per diluted share for the three months ended March 31,
2008. The company reported operating earnings of $164.0 million for
first quarter 2009, compared to $258.4 million for first quarter 2008.
Operating earnings per diluted share (EPS) for first quarter 2009 were
$0.63 compared to $0.99 for the same period in 2008.1 The
declines from a year ago reflect lower asset valuations, including the
impact of significant equity market declines, as represented by a 41
percent decline in the S&P 500 daily average comparing first quarter
2009 to first quarter 2008. This reduced total company assets under
management (AUM) by 22 percent from a year ago, to $236.6 billion as of
March 31, 2009, compared to $304.2 billion as of March 31, 2008. In
addition, poor market performance in 2008 resulted in higher costs for
employee pension and other post-retirement benefits2 in first
quarter 2009 than first quarter 2008 of $0.08 on an EPS basis.
Business Highlights:
-
Strong sales: the company’s three key retirement and investment
products generated $6.0 billion of sales, on a combined basis in first
quarter 2009, despite a difficult sales environment, with $2.8 billion
of sales for full service accumulation, $2.1 billion for Principal
Funds, and $1.0 billion for individual annuities.
-
Expense management: management action reduced compensation and
other expenses by $86 million, or 15 percent, compared to first
quarter 2008.
-
Capital and liquidity management: the company increased its
position in highly liquid assets 76 percent from a year ago to $5.8
billion at March 31, 2009, increasing cash and cash equivalent
holdings by 141 percent to $2.7 billion as of March 31, 2009, and
increasing government-backed securities by 43 percent from a year ago
to $3.1 billion as of March 31, 2009. Strong liquidity enabled the
company to continue scaling back on the Investment Only business,
reducing the block by $1.5 billion during the first quarter from
year-end levels.
-
Distribution enhancements: the company expanded its
distribution relationship with BofA/Merrill Lynch to cover defined
contribution (DC) plans, gaining access to a market leader with 15,000
advisors focused on the small to midsize DC market.
“Operating earnings for the quarter were solid, as our expense
initiatives helped to offset some of the decline in revenues caused by
reduced asset valuations,” said Larry D. Zimpleman, president and chief
executive officer. “Our investment portfolio continued to perform well,
resulting in a manageable level of capital losses. And we continued to
demonstrate our ability to attract and retain customers.”
“Our asset management and accumulation growth engines delivered $4.6
billion of net cash flows3, including near-record flows for
full service accumulation,” said Zimpleman. “This strong result
demonstrates our focus on meeting customer needs, which is also
reflected in recent recognition by Pensions and Investments, for
excellence in investment education; and in a Chatham Partners survey,
where our client loyalty scores beat the benchmark by double-digit
percentages. We were also extremely proud to recently be named one of
the 'World's Most Ethical Companies' by the Ethisphere Institute, for
the third year in a row. The Principal was one of only three in the
financial services industry to make the prestigious list this year. We
believe this recognition demonstrates to customers and investors alike
that The Principal remains a company they can count on during uncertain
times.”
Added Zimpleman, “During the quarter, we continued to invest new cash
into high quality, liquid assets. We moved cash to the holding company
from the life company, positioning the holding company to meet its
obligations in 2009, while continuing to maintain strong life company
capital ratios4. We reduced our exposure to BBB bonds,
selling approximately $340 million of these securities during the
quarter. And as we’ve scaled back our Investment Only business, we’ve
reduced our weighting to commercial real estate, with approximately $240
million of commercial mortgages and CMBS paying off at maturity during
the first quarter.”
Net Income
Net income available to common stockholders of $112.8 million for first
quarter 2009 reflects net realized capital losses of $50.9 million,
which includes: $66.5 million of losses related to sales and other than
temporary impairment of fixed maturity securities; $16.1 million of
losses related to deferred policy acquisition costs; $16.4 million of
losses on bridge and mezzanine loans held in the Global Asset Management
segment; $29.6 million of gains on bonds sales; and $15.3 million of
gains on mark to market of fixed maturity securities held as trading.
Net income also includes a $0.3 million net loss from other after-tax
adjustments. Excluding the impact of early adopting new FASB
requirements for measuring and presenting other-than-temporary
impairment charges on available for sale securities, which is discussed
in this release after Segment Highlights, losses on available for sale
fixed maturity securities would have been $28.5 million higher,
after-tax, reducing net income in the same amount.
Segment Highlights
U.S. Asset Accumulation
Segment operating earnings for first quarter 2009 were $93.1 million,
compared to $139.1 million for the same period in 2008. The variance
primarily reflects lower revenues due to the impact on account values of
significant equity market declines over the trailing twelve-month
period. The decline also reflects the impact of higher costs for
employee pension and other post-retirement benefits in first quarter
2009 than first quarter 2008, which reduced segment operating earnings
by $8.5 million. Full service accumulation earnings were $51.1 million
for first quarter 2009, compared to $68.1 million in first quarter 2008,
reflecting a 22 percent decline in average account values. Individual
annuities earnings were $5.3 million in first quarter 2009 compared to
earnings of $16.8 million for first quarter 2008. Earnings from the
fixed annuity business improved 10 percent compared to the year ago
quarter to $16.9 million reflecting growth in account values. The
decline reflects the impact of unfavorable equity markets on the
variable annuity business, which resulted in a true-up of deferred
policy acquisition costs during first quarter 2009, a decrease in
separate account asset fees, and an increase in guaranteed minimum death
benefit reserves and claims. Principal Funds’ earnings were $1.8 million
for first quarter 2009, compared to $8.1 million in first quarter 2008,
reflecting a 34 percent decline in average account values.
Operating revenues for the first quarter were $1,007.5 million, compared
to $1,204.7 million for the same period in 2008. The decline primarily
reflects lower net investment income in the Investment Only business due
to lower yields on a smaller base of account values, and lower fees in
the full service accumulation and mutual fund businesses resulting from
the negative impact of markets on account values.
Segment assets under management were $133.9 billion as of March 31,
2009, compared to $170.9 billion as of March 31, 2008.
Global Asset Management
Segment operating earnings for first quarter 2009 were $6.8 million,
compared to $19.8 million in the prior year quarter, reflecting a 20
percent decline in average assets under management and lower fees due to
a slowdown in the real estate market. The decline also reflects the
impact of higher costs for employee pension and other post-retirement
benefits in first quarter 2009 than first quarter 2008, and severance
costs in first quarter 2009, which in total reduced segment operating
earnings by $5.4 million.
Operating revenues for first quarter were $104.4 million, compared to
$139.6 million for the same period in 2008.
Third party assets under management were $64.8 billion as of March 31,
2009, compared to $86.6 billion as of March 31, 2008, reflecting
primarily the impact of market performance.
International Asset Management and Accumulation
Segment operating earnings for first quarter 2009 were $17.0 million
compared to $31.7 million for the same period in 2008, primarily due to
macroeconomic conditions: deflation in Chile in first quarter 2009
reduced earnings by $7.0 million; and weakening of Latin American
currencies relative to the U.S. dollar reduced earnings by $6.5 million.
Operating revenues were $64.0 million for first quarter 2009, compared
to $183.7 million for the same period last year. The decline primarily
reflects lower investment income in Chile, which declined $96.3 million
compared to first quarter 2008 as that country moved from an
inflationary environment to a deflationary environment in first quarter
2009.
Segment assets under management were $23.5 billion as of March 31, 2009,
compared to $30.2 billion as of March 31, 2008, reflecting a $6.7
billion decline due to foreign currency.
Life and Health Insurance
Segment operating earnings for first quarter 2009 were $71.8 million,
compared to $79.2 million for the same period in 2008. The variance
reflects higher costs for employee pension and other post-retirement
benefits in first quarter 2009 than first quarter 2008, which reduced
segment earnings by $8.8 million. It also reflects the impact of
favorable reserve adjustments in the individual disability line and in
the health division, which resulted in an $8.1 million after-tax net
benefit in first quarter 2008. Excluding these items, segment earnings
increased 14 percent.
Operating revenues were $1,131.0 million, compared to $1,187.6 million
for the same period a year ago. The decline was primarily due to a $30.4
million drop in Health division premiums, which primarily reflects a
decline in covered members.
Corporate
Operating losses for first quarter 2009 were $24.7 million, compared to
operating losses of $11.4 million for the same period in 2008. First
quarter 2008 results included favorable state tax items of $13.7 million.
Other-than-temporary impairments for first quarter 2009
On April 9, 2009, the Financial Accounting Standards Board established
new requirements for measuring and presenting other-than-temporary
impairment charges on available for sale securities, which the Company
adopted for first quarter 2009 reporting. Based on the new requirements,
on a pre-tax basis, total other than temporary impairment losses on
available for sale securities were $146.6 million and the noncredit
portion of loss recognized in other comprehensive income was $50.6
million. Net impairment losses on available for sale securities of $96.0
million for first quarter 2009 primarily reflect the following:
-
Deterioration in expected cash flows resulted in a $26.6 million net
impairment charge on CMBS collateralized debt obligations and a $15.5
million net impairment charge on non-agency residential mortgage
backed securities.
-
Sales of previously impaired securities and other credit impairments
resulted in a $47.3 million net impairment charge.
Cash and cash equivalents
Cash and cash equivalents at the holding company level (Principal
Financial Group, Inc. and Principal Financial Services, Inc.) were
approximately $850 million as of March 31, 2009. This amount is
sufficient to meet holding company needs for 2009, primarily senior debt
maturing in August, of which $441 million remains outstanding. The
holding company also maintains access to a $579 million credit facility.
The company currently estimates cash needs at the holding company in
2010 of approximately $80 million.
The increase in holding company cash from December 31, 2008 is primarily
attributable to $645 million of ordinary dividends from the life company
(Principal Life Insurance Company), pursuant to statutory authority. The
company estimates the risk based capital ratio for the life company to
be in the range of 350 to 375 percent as of March 31, 2009.
Total company cash and cash equivalents were approximately $2.7 billion
as of March 31, 2009.
Forward looking and cautionary statements
This press release contains forward-looking statements, including,
without limitation, statements as to operating earnings, net income
available to common stockholders, net cash flows, realized and
unrealized losses, capital and liquidity positions, sales and earnings
trends, and management's beliefs, expectations, goals and opinions. The
company does not undertake to update or revise these statements, which
are based on a number of assumptions concerning future conditions that
may ultimately prove to be inaccurate. Future events and their effects
on the company may not be those anticipated, and actual results may
differ materially from the results anticipated in these forward-looking
statements. The risks, uncertainties and factors that could cause or
contribute to such material differences are discussed in the company's
annual report on Form 10-K for the year ended December 31, 2008, filed
by the company with the Securities and Exchange Commission, as updated
or supplemented from time to time in subsequent filings. These risks and
uncertainties include, without limitation: adverse capital and credit
market conditions that may significantly affect the company’s ability to
meet liquidity needs, access to capital and cost of capital; difficult
conditions in the global capital markets and the general economy, which
the company does not expect to improve in the near future, that may
materially adversely affect the company’s business and results of
operations; the actions of the U.S. government, Federal Reserve and
other governmental and regulatory bodies for purposes of stabilizing the
financial markets might not achieve the intended effect; the risk from
acquiring new businesses, which could result in the impairment of
goodwill and/or intangible assets recognized at the time of acquisition;
impairment of other financial institutions that could adversely affect
the company; investment risks which may diminish the value of the
company’s invested assets and the investment returns credited to
customers, which could reduce sales, revenues, assets under management
and net income; requirements to post collateral or make payments related
to declines in market value of specified assets may adversely affect
company liquidity and expose the company to counterparty credit risk;
changes in laws, regulations or accounting standards that may reduce
company profitability; fluctuations in foreign currency exchange rates
that could reduce company profitability; Principal Financial Group,
Inc.’s primary reliance, as a holding company, on dividends from its
subsidiaries to meet debt payment obligations and regulatory
restrictions on the ability of subsidiaries to pay such dividends;
competitive factors; volatility of financial markets; decrease in
ratings; interest rate changes; inability to attract and retain sales
representatives; international business risks; a pandemic, terrorist
attack or other catastrophic event; and default of the company’s
re-insurers.
Use of Non-GAAP Financial Measures
The company uses a number of non-GAAP financial measures that management
believes are useful to investors because they illustrate the performance
of normal, ongoing operations, which is important in understanding and
evaluating the company’s financial condition and results of operations.
They are not, however, a substitute for U.S. GAAP financial measures.
Therefore, the company has provided reconciliations of the non-GAAP
measures to the most directly comparable U.S. GAAP measure at the end of
the release. The company adjusts U.S. GAAP measures for items not
directly related to ongoing operations. However, it is possible
these adjusting items have occurred in the past and could recur in the
future reporting periods. Management also uses non-GAAP measures for
goal setting, as a basis for determining employee and senior management
awards and compensation, and evaluating performance on a basis
comparable to that used by investors and securities analysts.
Earnings Conference Call
At 9:00 A.M. (CST) tomorrow, President and Chief Executive Officer Larry
Zimpleman and Senior Vice President and Chief Financial Officer Terry
Lillis will lead a discussion of results during a live conference call,
which can be accessed as follows:
-
Via live Internet webcast. Please go to www.principal.com/investor
at least 10-15 minutes prior to the start of the call to register, and
to download and install any necessary audio software.
-
Via telephone by dialing 800-374-1609 (U.S. and Canadian callers) or
706-643-7701 (International callers) approximately 10 minutes prior to
the start of the call. The call leader's name is Tom Graf.
-
Replays of the earnings call are available at: www.principal.com/investor
or by dialing 800-642-1687 (U.S. and Canadian callers) or 706-645-9291
(International callers). The access code is 91753676. Replays will be
available beginning approximately two hours after the completion of
the live earnings call through the end of day May 12, 2009.
The company's financial supplement for first quarter 2009 is currently
available at www.principal.com/investor,
and may be referred to during the call.
About the Principal Financial Group
The Principal Financial Group® (The Principal ®)5
is a leader in offering businesses, individuals and institutional
clients a wide range of financial products and services, including
retirement and investment services, life and health insurance, and
banking through its diverse family of financial services companies. A
member of the Fortune 500, the Principal Financial Group has $236.6
billion in assets under management6 and serves some 18.8
million customers worldwide from offices in Asia, Australia, Europe,
Latin America and the United States. Principal Financial Group, Inc. is
traded on the New York Stock Exchange under the ticker symbol PFG. For
more information, visit www.principal.com.
1 Use of non-GAAP financial measures is discussed in this
release after Segment Highlights.
2 SFAS 87 Pension Expense and SFAS 106 Other Post-Retirement
Benefits
3 Full Service Accumulation, Principal Funds, Individual
Annuities, Principal International and Principal Global Investors
non-affiliated net cash flows.
4 Cash and cash equivalents discussed in more detail in this
release after Segment Highlights.
5 “The Principal Financial Group” and “The Principal” are
registered service marks of Principal Financial Services, Inc., a member
of the Principal Financial Group.
6 As of March 31, 2009
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Summary of Segment and Principal Financial Group, Inc.
Results
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Segment
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Operating Earnings (Loss)*
in millions
|
|
|
Three Months Ended,
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|
3/31/09
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3/31/08
|
|
U.S. Asset Accumulation
|
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$93.1
|
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$139.1
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|
Global Asset Management
|
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6.8
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19.8
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International Asset Management and Accumulation
|
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17.0
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|
31.7
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Life and Health Insurance
|
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71.8
|
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|
79.2
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|
Corporate and Other
|
|
(24.7)
|
|
|
(11.4)
|
|
|
Operating Earnings
|
|
164.0
|
|
|
258.4
|
|
|
Net realized capital losses, as adjusted
|
|
(50.9)
|
|
|
(74.7)
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|
Other after-tax adjustments
|
|
(0.3)
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|
|
(9.5)
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|
Net income available to common stockholders
|
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$112.8
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$174.2
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Per Diluted Share
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Three Months Ended,
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3/31/09
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3/31/08
|
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Operating Earnings
|
|
$0.63
|
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|
$0.99
|
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|
Net realized capital losses, as adjusted
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(0.20)
|
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|
(0.28)
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Other after-tax adjustments
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(0.00)
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|
(0.04)
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|
Net income available to common stockholders
|
|
$0.43
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|
|
$0.67
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Weighted-average diluted common shares outstanding
|
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260.5
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|
261.3
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*Operating earnings versus U.S. GAAP (GAAP) net income
available to common stockholders
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Management uses operating earnings, which excludes the effect of
net realized capital gains and losses, as adjusted, and other
after-tax adjustments, for goal setting, as a basis for
determining employee compensation, and evaluating performance on a
basis comparable to that used by investors and securities
analysts. Segment operating earnings are determined by adjusting
U.S. GAAP net income available to common stockholders for net
realized capital gains and losses, as adjusted, and other
after-tax adjustments the company believes are not indicative of
overall operating trends. Note: it is possible these adjusting
items have occurred in the past and could recur in future
reporting periods. While these items may be significant components
in understanding and assessing our consolidated financial
performance, management believes the presentation of segment
operating earnings enhances the understanding of results of
operations by highlighting earnings attributable to the normal,
ongoing operations of the company’s businesses.
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Principal Financial Group, Inc.
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Results of Operations
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(in millions)
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Three Months Ended,
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3/31/09
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3/31/08
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Premiums and other considerations
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$
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949.9
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$
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1,053.0
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Fees and other revenues
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473.5
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|
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613.4
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Net investment income
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828.5
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960.3
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Net realized capital gains (losses), excluding impairment losses on
available-for-sale securities
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32.7
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(58.5)
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Total other-than-temporary impairment losses on available-for-sale
securities
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(146.6)
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(67.5)
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Portion of impairment losses on fixed maturities, available-for-sale
recognized in other comprehensive income
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50.6
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|
|
|
|
-
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Net impairment losses on available-for-sale securities
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(96.0)
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|
|
|
(67.5)
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Net realized capital losses
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|
|
|
|
(63.3)
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(126.0)
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Total revenues
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2,188.6
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|
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2,500.7
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Benefits, claims, and settlement expenses
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1,306.6
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1,472.0
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Dividends to policyholders
|
|
|
|
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63.5
|
|
|
|
|
70.8
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|
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Operating expenses
|
|
|
|
|
688.4
|
|
|
|
|
750.7
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Total expenses
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|
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2,058.5
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|
|
|
2,293.5
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|
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Income before income taxes
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|
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130.1
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207.2
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Income taxes
|
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|
|
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7.5
|
|
|
|
|
29.6
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|
|
Net income
|
|
|
|
|
122.6
|
|
|
|
|
177.6
|
|
|
Net income (loss) attributable to noncontrolling interest
|
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|
|
|
1.6
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|
|
|
|
(4.8)
|
|
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Net income attributable to Principal Financial Group, Inc.
|
|
|
|
|
121.0
|
|
|
|
|
182.4
|
|
|
Preferred stock dividends
|
|
|
|
|
8.2
|
|
|
|
|
8.2
|
|
|
Net income available to common stockholders
|
|
|
$
|
|
112.8
|
|
|
$
|
|
174.2
|
|
|
|
|
|
|
|
|
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|
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Less:
|
|
|
|
|
|
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|
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Net realized capital losses, as adjusted
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|
|
|
|
(50.9)
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|
|
|
(74.7)
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Other after-tax adjustments
|
|
|
|
|
(0.3)
|
|
|
|
|
(9.5)
|
|
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Operating earnings
|
|
|
$
|
|
164.0
|
|
|
$
|
|
258.4
|
|
|
|
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Selected Balance Sheet Statistics
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Period Ended,
|
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3/31/09
|
12/31/08
|
3/31/08
|
|
Total assets (in billions)
|
|
|
$ 123.2
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|
|
$ 128.2
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|
|
$ 152.0
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|
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Total common equity (in millions)
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|
|
$ 2,086.6
|
|
|
$ 1,930.8
|
|
|
$ 6,300.1
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|
|
Total common equity excluding accumulated other comprehensive
income (in millions)
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$ 6,927.7
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|
|
$ 6,842.4
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|
|
$ 6,659.2
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|
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End of period common shares outstanding (in millions)
|
|
|
260.0
|
|
|
259.3
|
|
|
258.6
|
|
|
Book value per common share
|
|
|
$ 8.03
|
|
|
$ 7.45
|
|
|
$ 24.36
|
|
|
Book value per common share excluding accumulated other
comprehensive income
|
|
|
$ 26.65
|
|
|
$ 26.39
|
|
|
$ 25.75
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Principal Financial Group, Inc.
|
|
Reconciliation of Non-GAAP Financial Measures to U.S. GAAP
|
|
(in millions, except as indicated)
|
|
|
|
|
|
|
|
Three Months Ended,
|
|
|
|
03/31/09
|
|
03/31/08
|
|
Diluted Earnings Per Common Share:
|
|
|
|
|
|
|
|
|
|
Operating Earnings
|
|
|
0.63
|
|
|
|
0.99
|
|
|
Net realized capital losses
|
|
|
(0.20)
|
|
|
|
(0.28)
|
|
|
Other after-tax adjustments
|
|
|
(0.00)
|
|
|
|
(0.04)
|
|
|
Net income available to common stockholders
|
|
|
0.43
|
|
|
|
0.67
|
|
|
|
|
|
|
|
|
|
|
|
|
Book Value Per Common Share Excluding Accumulated Other
Comprehensive Income:
|
|
|
|
|
|
|
|
|
|
Book value per common share excluding accumulated other
comprehensive income
|
|
|
26.65
|
|
|
|
25.75
|
|
|
Net unrealized capital losses
|
|
|
(15.90)
|
|
|
|
(2.01)
|
|
|
Foreign currency translation
|
|
|
(0.60)
|
|
|
|
0.38
|
|
|
Net unrecognized post-retirement benefit obligations
|
|
|
(2.12)
|
|
|
|
0.24
|
|
|
Book value per common share including accumulated other
comprehensive income
|
|
|
8.03
|
|
|
|
24.36
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Revenues:
|
|
|
|
|
|
|
|
|
|
USAA
|
|
|
1,007.5
|
|
|
|
1,204.7
|
|
|
GAM
|
|
|
104.4
|
|
|
|
139.6
|
|
|
IAMA
|
|
|
64.0
|
|
|
|
183.7
|
|
|
Life and Health
|
|
|
1,131.0
|
|
|
|
1,187.6
|
|
|
Corporate and Other
|
|
|
(45.7)
|
|
|
|
(55.3)
|
|
|
Total operating revenues
|
|
|
2,261.2
|
|
|
|
2,660.3
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
Net realized capital losses and related adjustments
|
|
|
(72.5)
|
|
|
|
(138.3)
|
|
|
Terminated commercial securities issuance operation
|
|
|
(0.1)
|
|
|
|
(21.3)
|
|
|
Total GAAP revenues
|
|
|
2,188.6
|
|
|
|
2,500.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating Earnings:
|
|
|
|
|
|
|
|
|
|
USAA
|
|
|
93.1
|
|
|
|
139.1
|
|
|
GAM
|
|
|
6.8
|
|
|
|
19.8
|
|
|
IAMA
|
|
|
17.0
|
|
|
|
31.7
|
|
|
Life and Health
|
|
|
71.8
|
|
|
|
79.2
|
|
|
Corporate and Other
|
|
|
(24.7)
|
|
|
|
(11.4)
|
|
|
Total operating earnings
|
|
|
164.0
|
|
|
|
258.4
|
|
|
Net realized capital losses
|
|
|
(50.9)
|
|
|
|
(74.7)
|
|
|
Other after-tax adjustments
|
|
|
(0.3)
|
|
|
|
(9.5)
|
|
|
Net income available to common stockholders
|
|
|
112.8
|
|
|
|
174.2
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Realized Capital Gains (losses):
|
|
|
|
|
|
|
|
|
|
Net realized capital gains losses, as adjusted
|
|
|
(50.9)
|
|
|
|
(74.7)
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
Periodic settlements and accruals on non-hedge derivatives
|
|
|
7.7
|
|
|
|
8.8
|
|
|
Amortization of DPAC and sale inducement costs
|
|
|
24.8
|
|
|
|
(13.5)
|
|
|
Certain market value adjustments of embedded derivatives
|
|
|
(4.0)
|
|
|
|
-
|
|
|
Capital gains distributed
|
|
|
(6.7)
|
|
|
|
(9.3)
|
|
|
Tax impacts
|
|
|
(36.8)
|
|
|
|
(34.1)
|
|
|
Noncontrolling interest capital gains (losses)
|
|
|
1.1
|
|
|
|
(6.7)
|
|
|
Less related fee adjustments:
|
|
|
|
|
|
|
|
|
|
Certain market value adjustments to fee revenues
|
|
|
(1.5)
|
|
|
|
(3.5)
|
|
|
GAAP net realized capital losses
|
|
|
(63.3)
|
|
|
|
(126.0)
|
|
|
|
|
|
|
|
|
|
|
|
|
Other After Tax Adjustments:
|
|
|
|
|
|
|
|
|
|
Change in estimated loss related to a prior year legal contingency
|
|
|
-
|
|
|
|
7.6
|
|
|
Terminated commercial securities issuance operation
|
|
|
(0.3)
|
|
|
|
(17.1)
|
|
|
Total other after-tax adjustments
|
|
|
(0.3)
|
|
|
|
(9.5)
|
|
|
|
|
|
|
|
|
|
|
|
Source: Principal Financial Group, Inc.
Principal Financial Group, Inc.
MEDIA CONTACT:
Susan
Houser, 515-248-2268
Houser.Susan@principal.com
or
INVESTOR
RELATIONS CONTACT:
Tom Graf, 515-235-9500
investor-relations@principal.com
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