Net income attributable to
Book value per share excluding accumulated other comprehensive income (AOCI) increased to
CONSOLIDATED HIGHLIGHTS
(In millions, except per share data) |
June 30, |
|||
Three Months |
Six Months |
|||
2014 |
2013 |
2014 |
2013 |
|
Income before net investment gains (losses) |
$ 312 |
$ 269 |
$ 553 |
$ 579 |
Net investment gains (losses) |
(9) |
(8) |
15 |
4 |
Income from continuing operations |
303 |
261 |
568 |
583 |
Discontinued operations, net (a) (b) |
(187) |
8 |
(393) |
(72) |
Net income attributable to Loews Corporation |
$ 116 |
$ 269 |
$ 175 |
$ 511 |
Net income per share: |
||||
Income from continuing operations |
$ 0.79 |
$ 0.67 |
$ 1.47 |
$ 1.49 |
Discontinued operations, net |
(0.49) |
0.02 |
(1.02) |
(0.18) |
Net income per share |
$ 0.30 |
$ 0.69 |
$ 0.45 |
$ 1.31 |
June 30, |
Year Ended |
||
2014 |
2013 |
||
Book value per share |
$ 51.85 |
$ 49.36 |
$ 50.25 |
Book value per share excluding AOCI |
49.74 |
49.26 |
49.38 |
(a) Includes an impairment loss of
(b) Includes an impairment loss of
Three Months Ended
Income from continuing operations increased primarily due to higher earnings at CNA and increased parent company investment income as a result of improved performance of the trading portfolio. These increases were partially offset by lower earnings at
CNA's earnings were impacted by improved current accident year underwriting results substantially offset by unfavorable net prior year development. Additionally, CNA's earnings increased due to a curtailment gain of
Net income decreased primarily due to the loss from discontinued operations attributable mainly to the impairment loss at HighMount, partially offset by the increase in income from continuing operations as discussed above.
Six Months Ended
Income from continuing operations decreased primarily due to lower earnings at
CNA's earnings increased primarily due to the reasons discussed in three month comparison above, partially offset by lower net investment income as a result of reduced limited partnership income, and higher catastrophe losses.
Net income decreased primarily due to the loss from discontinued operations attributable mainly to the impairment losses at HighMount and CNA as well as the decrease in income from continuing operations as discussed above.
SHARE REPURCHASES
At
CONFERENCE CALLS
A conference call to discuss the second quarter results of
A conference call to discuss the second quarter results of CNA has been scheduled for
A conference call to discuss the second quarter results of
A conference call to discuss the second quarter results of
ABOUT
FORWARD-LOOKING STATEMENTS
Statements contained in this press release which are not historical facts are "forward-looking statements" within the meaning of the federal securities laws. Forward-looking statements are inherently uncertain and subject to a variety of risks that could cause actual results to differ materially from those expected by management of the Company. A discussion of the important risk factors and other considerations that could materially impact these matters as well as the Company's overall business and financial performance can be found in the Company's reports filed with the
Loews Corporation and Subsidiaries |
|||||
Selected Financial Information |
|||||
June 30, |
|||||
(In millions) |
Three Months |
Six Months |
|||
2014 |
2013 |
2014 |
2013 |
||
Revenues: |
|||||
CNA Financial |
$ 2,454 |
$ 2,464 |
$ 4,875 |
$ 4,900 |
|
Diamond Offshore |
701 |
760 |
1,411 |
1,492 |
|
Boardwalk Pipeline |
295 |
304 |
652 |
633 |
|
Loews Hotels |
112 |
101 |
217 |
195 |
|
Investment income and other |
45 |
1 |
98 |
9 |
|
3,607 |
3,630 |
7,253 |
7,229 |
||
Investment gains (losses) - CNA Financial |
(14) |
(14) |
28 |
5 |
|
Total |
$ 3,593 |
$ 3,616 |
$ 7,281 |
$ 7,234 |
|
Income (Loss) Before Income Tax: |
|||||
CNA Financial (a) |
$ 379 |
$ 286 |
$ 638 |
$ 617 |
|
Diamond Offshore |
112 |
257 |
280 |
462 |
|
Boardwalk Pipeline (b) |
54 |
67 |
77 |
166 |
|
Loews Hotels |
9 |
2 |
14 |
2 |
|
Investment income, net |
46 |
1 |
97 |
8 |
|
Other (c) |
(40) |
(33) |
(74) |
(57) |
|
560 |
580 |
1,032 |
1,198 |
||
Investment gains (losses) - CNA Financial |
(14) |
(14) |
28 |
5 |
|
Total |
$ 546 |
$ 566 |
$ 1,060 |
$ 1,203 |
|
Net Income (Loss) Attributable to Loews Corporation: |
|||||
CNA Financial (a) |
$ 244 |
$ 180 |
$ 420 |
$ 386 |
|
Diamond Offshore |
42 |
87 |
111 |
169 |
|
Boardwalk Pipeline (b) |
17 |
22 |
(1) |
55 |
|
Loews Hotels |
5 |
1 |
8 |
1 |
|
Investment income, net |
30 |
1 |
64 |
6 |
|
Other (c) |
(26) |
(22) |
(49) |
(38) |
|
312 |
269 |
553 |
579 |
||
Investment gains (losses) - CNA Financial |
(9) |
(8) |
15 |
4 |
|
Income from continuing operations |
303 |
261 |
568 |
583 |
|
Discontinued operations, net (d) (e) |
(187) |
8 |
(393) |
(72) |
|
Net income attributable to Loews Corporation |
$ 116 |
$ 269 |
$ 175 |
$ 511 |
|
(a) |
Includes an $86 million curtailment gain ($50 million after tax and noncontrolling interests) related to a negative plan amendment and the re-measurement of postretirement benefit obligations at CNA for the three and six months ended June 30, 2014. |
||||
(b) |
Includes a loss of $94 million ($55 million after tax and noncontrolling interests) for the six months ended June 30, 2014 to write off all previously capitalized costs incurred related to the Bluegrass project. |
||||
(c) |
Consists primarily of corporate interest expense and other unallocated expenses. |
||||
(d) |
Includes an impairment loss of $167 million for the three and six months ended June 30, 2014 related to the excess carrying value of HighMount over the estimated fair value, less costs to sell. |
||||
(e) |
Includes an impairment loss of $193 million for the six months ended June 30, 2014 related to the sale of CNA's annuity and pension deposit business. |
Loews Corporation and Subsidiaries |
|||||
Consolidated Financial Review |
|||||
June 30, |
|||||
(In millions, except per share data) |
Three Months |
Six Months |
|||
2014 |
2013 |
2014 |
2013 |
||
Revenues: |
|||||
Insurance premiums |
$ 1,811 |
$ 1,800 |
$ 3,617 |
$ 3,564 |
|
Net investment income |
597 |
535 |
1,174 |
1,134 |
|
Investment gains |
(14) |
(14) |
28 |
5 |
|
Contract drilling revenues |
650 |
745 |
1,335 |
1,445 |
|
Other |
549 |
550 |
1,127 |
1,086 |
|
Total |
3,593 |
3,616 |
7,281 |
7,234 |
|
Expenses: |
|||||
Insurance claims & policyholders' benefits |
1,441 |
1,485 |
2,887 |
2,881 |
|
Contract drilling expenses |
395 |
369 |
765 |
744 |
|
Other (a) (b) |
1,211 |
1,196 |
2,569 |
2,406 |
|
Total |
3,047 |
3,050 |
6,221 |
6,031 |
|
Income before income tax |
546 |
566 |
1,060 |
1,203 |
|
Income tax expense |
(145) |
(163) |
(248) |
(323) |
|
Income from continuing operations |
401 |
403 |
812 |
880 |
|
Discontinued operations, net of income tax (c) (d) |
(186) |
9 |
(413) |
(70) |
|
Net income |
215 |
412 |
399 |
810 |
|
Amounts attributable to noncontrolling interests |
(99) |
(143) |
(224) |
(299) |
|
Net income attributable to Loews Corporation |
$ 116 |
$ 269 |
$ 175 |
$ 511 |
|
Net income attributable to Loews Corporation: |
|||||
Income from continuing operations |
$ 303 |
$ 261 |
$ 568 |
$ 583 |
|
Discontinued operations, net (c) (d) |
(187) |
8 |
(393) |
(72) |
|
Net income |
$ 116 |
$ 269 |
$ 175 |
$ 511 |
|
Diluted income per share: |
|||||
Income from continuing operations |
$ 0.79 |
$ 0.67 |
$ 1.47 |
$ 1.49 |
|
Discontinued operations, net |
(0.49) |
0.02 |
(1.02) |
(0.18) |
|
Diluted income per share attributable to Loews Corporation |
$ 0.30 |
$ 0.69 |
$ 0.45 |
$ 1.31 |
|
Weighted diluted number of shares |
386.37 |
389.62 |
387.21 |
390.88 |
|
(a) |
Includes an $86 million curtailment gain ($50 million after tax and noncontrolling interests) related to a negative plan amendment and the re-measurement of postretirement benefit obligations at CNA for the three and six months ended June 30, 2014. |
||||
(b) |
Includes a loss of $94 million ($55 million after tax and noncontrolling interests) for the six months ended June 30, 2014 to write off all previously capitalized costs incurred related to the Bluegrass project. |
||||
(c) |
Includes an impairment loss of $167 million for the three and six months ended June 30, 2014 related to the excess carrying value of HighMount over the estimated fair value, less costs to sell. |
||||
(d) |
Includes an impairment loss of $193 million for the six months ended June 30, 2014 related to the sale of CNA's annuity and pension deposit business. |
||||
SOURCE
David B. Edelson, Chief Financial Officer, (212) 521-2439, Mary Skafidas, Investor and Public Relations, (212) 521-2788