DES MOINES, Iowa, Dec 01, 2010 (BUSINESS WIRE) --
Principal Financial Group, Inc. (NYSE:PFG) today announced that the
company expects 2011 operating earnings per diluted share (EPS) to range
from $2.80 to $3.00.1,2
Guidance for 2011 incorporates certain assumptions including:
-
An average S&P 500 Index of 1,250 in 2011, resulting in a 9 to 10
percent increase in average assets under management in 2011 compared
to 2010
-
Operating losses for the Corporate segment of $100 million to $120
million
-
A diluted weighted average number of common shares outstanding ranging
from 315 - 319 million
Conference call information
There
is a 30-minute conference call at 9 a.m. ET on Dec. 2, 2010.
Company senior leaders will provide additional detail on current
performance and 2011 EPS guidance and answer questions. Slides will be
available at www.principal.com/investor
approximately one-half hour prior to the start of the call.
The call can be accessed the following ways:
-
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 access code is 26701500.
-
Replay of the guidance call via telephone is available by dialing
800-642-1687 (U.S. and Canadian callers) or 706-645-9291
(International callers). The access code is 26701500. This replay will
be available approximately two hours after the completion of the live
guidance call through the end of day Dec. 9, 2010.
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, 2009, and in the company's
quarterly report on Form 10-Q for the quarter ended September 30, 2010,
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;
a continuation of difficult conditions in the global capital markets and
the general economy 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.
About the Principal Financial Group
The Principal Financial
Group(R) (The Principal (R))3 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 $305.7 billion in assets under
management4 and serves some 18.9 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 Guidance speaks only as of the date it is made. The company
does not undertake to update annual guidance during the year, but may do
so if significant changes occur in general business conditions or
company operations.
2 EPS, which is not measured in accordance with U.S.
generally accepted accounting principles (U.S. GAAP), should not be
viewed as a substitute for net income available to common stockholders
(net income) per diluted share determined in accordance with U.S. GAAP.
EPS is calculated by dividing operating earnings by weighted average
shares outstanding. Operating earnings are determined by adjusting net
income for the effect of net realized capital gains and losses, as
adjusted, and other after-tax adjustments. After-tax adjustments have
occurred in the past and could recur in future reporting periods. While
these items may be significant components in understanding and assessing
the company's consolidated financial performance, management believes
the presentation of operating earnings per diluted share enhances the
understanding of results of operations by highlighting earnings
attributable to the normal, ongoing operations of the company's
businesses.
3 "The Principal Financial Group" and "The Principal" are
registered service marks of Principal Financial Services, Inc., a member
of the Principal Financial Group.
4 As of September 30, 2010
SOURCE: Principal Financial Group, Inc.
Principal Financial Group, Inc.
Media Contact:
Susan Houser, 515-248-2268
houser.susan@principal.com
or
Investor Relations Contact:
John Egan, 515-235-9500
egan.john@principal.com
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