For the three months ended
Book value per share increased to
CONSOLIDATED HIGHLIGHTS
|
|||||||||||||||||||||||
(In millions, except per share data) | December 31, | ||||||||||||||||||||||
Three Months | Years Ended | ||||||||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||||||||
Income before net investment gains (losses) and ceiling test impairment charges |
$ |
67 |
$ |
311 |
$ |
968 |
$ |
1,093 |
|||||||||||||||
Non-cash ceiling test impairment charges | (97 | ) | (433 | ) | |||||||||||||||||||
Net investment gains (losses) | (2 | ) | (40 | ) | 33 | (31 | ) | ||||||||||||||||
Net income (loss) attributable to Loews Corporation | $ | (32 | ) | $ | 271 | $ | 568 | $ | 1,062 | ||||||||||||||
Net income (loss) per share | $ | (0.08 | ) | $ | 0.68 | $ | 1.43 | $ | 2.62 | ||||||||||||||
Book value per share at: | |||||||||||||||||||||||
December 31, 2012 | $ | 49.67 | |||||||||||||||||||||
December 31, 2011 | 47.33 | ||||||||||||||||||||||
Three Months Ended
Income before net investment losses and ceiling test impairment charges
in 2012 was
CNA’s earnings declined due to higher catastrophe losses of
Diamond Offshore’s earnings decreased primarily due to an impairment charge related to the carrying value of three semisubmersible rigs and lower average daily revenue partially offset by an overall increase in utilization and lower contract drilling expense.
Boardwalk Pipeline’s earnings increased primarily due to the contributions from recent acquisitions and lower general and administrative expenses.
Year Ended
Income before net investment gains and ceiling test impairment charges
in 2012 was
CNA’s earnings decreased primarily due to the reasons discussed in the three month comparison above.
Boardwalk Pipeline’s earnings increased primarily due to the reasons discussed in the three month comparison above as well as lower impairment charges in 2012.
SHARE REPURCHASES
At
CONFERENCE CALLS
A conference call to discuss the fourth quarter results of
A conference call to discuss the fourth quarter results of CNA has been
scheduled for
A conference call to discuss the fourth quarter results of
A conference call to discuss the fourth 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 | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
(In millions) | Three Months | Years Ended | |||||||||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
CNA Financial | $ | 2,437 | $ | 2,294 | $ | 9,487 | $ | 8,982 | |||||||||||||||||
Diamond Offshore (a) | 753 | 752 | 3,072 | 3,334 | |||||||||||||||||||||
Boardwalk Pipeline | 325 | 301 | 1,187 | 1,144 | |||||||||||||||||||||
HighMount | 78 | 93 | 297 | 390 | |||||||||||||||||||||
Loews Hotels | 125 | 86 | 397 | 337 | |||||||||||||||||||||
Investment income (loss) and other | (11 | ) | 22 | 55 | (6 | ) | |||||||||||||||||||
3,707 | 3,548 | 14,495 | 14,181 | ||||||||||||||||||||||
Investment gains (losses): | |||||||||||||||||||||||||
CNA Financial | (2 | ) | (33 | ) | 60 | (19 | ) | ||||||||||||||||||
Corporate and other | (34 | ) | (3 | ) | (33 | ) | |||||||||||||||||||
(2 | ) | (67 | ) | 57 | (52 | ) | |||||||||||||||||||
Total | $ | 3,705 | $ | 3,481 | $ | 14,552 | $ | 14,129 | |||||||||||||||||
Income (Loss) Before Income Tax: | |||||||||||||||||||||||||
CNA Financial (b) | $ | (31 | ) | $ | 274 | $ | 820 | $ | 898 | ||||||||||||||||
Diamond Offshore (a) (c) | 185 | 203 | 917 | 1,177 | |||||||||||||||||||||
Boardwalk Pipeline (d) | 88 | 70 | 304 | 211 | |||||||||||||||||||||
HighMount | |||||||||||||||||||||||||
Operations | 16 | 21 | 44 | 99 | |||||||||||||||||||||
Ceiling test impairment charge | (153 | ) | (680 | ) | |||||||||||||||||||||
Loews Hotels | (3 | ) | 4 | 14 | 17 | ||||||||||||||||||||
Investment income (loss), net | (9 | ) | 24 | 61 | 1 | ||||||||||||||||||||
Other (e) | (56 | ) | (47 | ) | (138 | ) | (125 | ) | |||||||||||||||||
37 | 549 | 1,342 | 2,278 | ||||||||||||||||||||||
Investment gains (losses): | |||||||||||||||||||||||||
CNA Financial | (2 | ) | (33 | ) | 60 | (19 | ) | ||||||||||||||||||
Corporate and other | (34 | ) | (3 | ) | (33 | ) | |||||||||||||||||||
(2 | ) | (67 | ) | 57 | (52 | ) | |||||||||||||||||||
Total | $ | 35 | $ | 482 | $ | 1,399 | $ | 2,226 | |||||||||||||||||
Net Income (Loss) Attributable to Loews Corporation: | |||||||||||||||||||||||||
CNA Financial (b) | $ | (5 | ) | $ | 195 | $ | 535 | $ | 567 | ||||||||||||||||
Diamond Offshore (a) (c) | 73 | 88 | 337 | 451 | |||||||||||||||||||||
Boardwalk Pipeline (d) (f) | 31 | 21 | 111 | 77 | |||||||||||||||||||||
HighMount | |||||||||||||||||||||||||
Operations | 9 | 12 | 26 | 62 | |||||||||||||||||||||
Ceiling test impairment charge | (97 | ) | (433 | ) | |||||||||||||||||||||
Loews Hotels | (2 | ) | 5 | 7 | 13 | ||||||||||||||||||||
Investment income (loss), net | (6 | ) | 16 | 41 | 3 | ||||||||||||||||||||
Other (e) | (33 | ) | (26 | ) | (89 | ) | (80 | ) | |||||||||||||||||
(30 | ) | 311 | 535 | 1,093 | |||||||||||||||||||||
Investment gains (losses): | |||||||||||||||||||||||||
CNA Financial | (2 | ) | (19 | ) | 35 | (10 | ) | ||||||||||||||||||
Corporate and other | (21 | ) | (2 | ) | (21 | ) | |||||||||||||||||||
(2 | ) | (40 | ) | 33 | (31 | ) | |||||||||||||||||||
Net income (loss) attributable to Loews Corporation | $ | (32 | ) | $ | 271 | $ | 568 | $ | 1,062 |
(a) | Includes a $76 million gain ($32 million after tax and noncontrolling interests) for the year ended December 31, 2012 related to the sale of jack-up rigs. | |||
(b) | Includes catastrophe losses of $268 million and $391 million ($171 million and $243 million after tax and noncontrolling interests) for the three months and year ended December 31, 2012 primarily related to Storm Sandy. | |||
(c) | Includes an impairment charge of $62 million ($19 million after tax and noncontrolling interests) for the three months and year ended December 31, 2012 related to the carrying value of three semisubmersible rigs. | |||
(d) | Includes an impairment charge of $29 million ($11 million after tax and noncontrolling interests) for the year ended December 31, 2011 related to the carrying value of steel pipe materials. | |||
(e) | Consists primarily of corporate interest expense and other unallocated expenses. | |||
(f) | Represents a 55.5%, 64.0%, 59.3% and 64.7% ownership interest in Boardwalk Pipeline for the respective periods. |
Loews Corporation and Subsidiaries | |||||||||||||||||||||||||
Consolidated Financial Review | |||||||||||||||||||||||||
December 31, | |||||||||||||||||||||||||
(In millions, except per share data) | Three Months | Years Ended | |||||||||||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
Insurance premiums | $ | 1,784 | $ | 1,661 | $ | 6,882 | $ | 6,603 | |||||||||||||||||
Net investment income | 555 | 550 | 2,349 | 2,063 | |||||||||||||||||||||
Investment gains (losses) | (2 | ) | (67 | ) | 57 | (52 | ) | ||||||||||||||||||
Contract drilling revenues | 741 | 734 | 2,936 | 3,254 | |||||||||||||||||||||
Other | 627 | 603 | 2,328 | 2,261 | |||||||||||||||||||||
Total | 3,705 | 3,481 | 14,552 | 14,129 | |||||||||||||||||||||
Expenses: | |||||||||||||||||||||||||
Insurance claims & policyholders’ benefits | 1,732 | 1,358 | 5,896 | 5,489 | |||||||||||||||||||||
Contract drilling expenses | 377 | 407 | 1,537 | 1,549 | |||||||||||||||||||||
Other (a) | 1,561 | 1,234 | 5,720 | 4,865 | |||||||||||||||||||||
Total | 3,670 | 2,999 | 13,153 | 11,903 | |||||||||||||||||||||
Income before income tax | 35 | 482 | 1,399 | 2,226 | |||||||||||||||||||||
Income tax (expense) benefit | 48 | (70 | ) | (289 | ) | (532 | ) | ||||||||||||||||||
Net income | 83 | 412 | 1,110 | 1,694 | |||||||||||||||||||||
Amounts attributable to noncontrolling interests | (115 | ) | (141 | ) | (542 | ) | (632 | ) | |||||||||||||||||
Net income (loss) attributable to Loews Corporation | $ | (32 | ) | $ | 271 | $ | 568 | $ | 1,062 | ||||||||||||||||
Diluted income (loss) per share attributable to Loews Corporation | $ | (0.08 | ) | $ | 0.68 | $ | 1.43 | $ | 2.62 | ||||||||||||||||
Weighted diluted number of shares | 392.85 | 397.31 | 395.87 | 405.32 |
(a) | Includes non-cash impairment charges of $153 million ($97 million after tax) and $680 million ($433 million after tax) for the three months and year ended December 31, 2012 related to the carrying value of HighMount's natural gas and oil properties. | ||
Source:
Loews Corporation
Peter W. Keegan, 212-521-2950
Chief
Financial Officer
or
Mary Skafidas, 212-521-2788
Investor
and Public Relations