NEW YORK,
Net income for the six months ended
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 | |||
2013 |
2012 |
2013 |
2012 | |
Income before net investment gains (losses) and impairment charges |
$ 277 |
$ 186 |
$ 597 |
$ 562 |
Non-cash ceiling test impairment charges |
(142) |
(92) |
(170) | |
Net investment gains (losses) |
(8) |
12 |
6 |
31 |
Net income attributable to Loews Corporation |
$ 269 |
$ 56 |
$ 511 |
$ 423 |
Net income per share |
$ 0.69 |
$ 0.14 |
$ 1.31 |
$ 1.06 |
June 30, |
Year Ended | |||
2013 |
2012 | |||
Book value per share |
$ 49.36 |
$ 49.31 |
$ 49.67 | |
Book value per share (excluding AOCI) |
49.26 |
47.42 |
47.94 |
Three Months Ended
Income before net investment gains (losses) and impairment charges increased in 2013 as compared to 2012. This increase is primarily due to higher earnings at CNA and improved investment income at the parent company. These increases were partially offset by lower earnings at
CNA's earnings increased primarily from higher net investment income due to increased limited partnership results and improved non-catastrophe current accident year underwriting results. These increases were partially offset by lower favorable net prior year development and reduced results from the Life & Group Non-Core segment as a result of unfavorable morbidity in the long term care business.
Six Months Ended
Income before net investment gains and impairment charges increased in 2013 as compared to 2012. The increase is primarily due to the reasons discussed in the three month comparison above for CNA and the parent company.
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 LOEWS CORPORATION
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 | ||||
2013 |
2012 |
2013 |
2012 | |||
Revenues: |
||||||
CNA Financial |
$ 2,507 |
$ 2,224 |
$ 4,986 |
$ 4,593 | ||
Diamond Offshore (a) |
760 |
793 |
1,492 |
1,589 | ||
Boardwalk Pipeline |
304 |
277 |
633 |
591 | ||
HighMount |
66 |
69 |
134 |
145 | ||
Loews Hotels |
101 |
94 |
195 |
174 | ||
Investment income (loss) and other |
1 |
(89) |
9 |
(12) | ||
3,739 |
3,368 |
7,449 |
7,080 | |||
Investment gains (losses): |
||||||
CNA Financial |
(14) |
22 |
10 |
54 | ||
Corporate and other |
(2) |
(2) | ||||
(14) |
20 |
10 |
52 | |||
Total |
$ 3,725 |
$ 3,388 |
$ 7,459 |
$ 7,132 | ||
Income (Loss) Before Income Tax: |
||||||
CNA Financial |
$ 292 |
$ 211 |
$ 632 |
$ 545 | ||
Diamond Offshore (a) |
257 |
246 |
462 |
498 | ||
Boardwalk Pipeline |
67 |
66 |
166 |
158 | ||
HighMount |
||||||
Operations |
9 |
5 |
15 |
15 | ||
Ceiling test impairment charge |
(222) |
(145) |
(266) | |||
Loews Hotels |
2 |
11 |
2 |
18 | ||
Investment income (loss), net |
1 |
(85) |
8 |
(9) | ||
Other (b) |
(33) |
(38) |
(57) |
(56) | ||
595 |
194 |
1,083 |
903 | |||
Investment gains (losses): |
||||||
CNA Financial |
(14) |
22 |
10 |
54 | ||
Corporate and other |
(2) |
(2) | ||||
(14) |
20 |
10 |
52 | |||
Total |
$ 581 |
$ 214 |
$ 1,093 |
$ 955 | ||
Net Income (Loss) Attributable to Loews Corporation: |
||||||
CNA Financial |
$ 183 |
$ 138 |
$ 395 |
$ 345 | ||
Diamond Offshore (a) |
87 |
94 |
169 |
181 | ||
Boardwalk Pipeline (c) |
22 |
25 |
55 |
60 | ||
HighMount |
||||||
Operations |
5 |
3 |
9 |
9 | ||
Ceiling test impairment charge |
(142) |
(92) |
(170) | |||
Loews Hotels |
1 |
6 |
1 |
10 | ||
Investment income (loss), net |
1 |
(56) |
6 |
(6) | ||
Other (b) |
(22) |
(24) |
(38) |
(37) | ||
277 |
44 |
505 |
392 | |||
Investment gains (losses): |
||||||
CNA Financial |
(8) |
13 |
6 |
32 | ||
Corporate and other |
(1) |
(1) | ||||
(8) |
12 |
6 |
31 | |||
Net income attributable to Loews Corporation |
$ 269 |
$ 56 |
$ 511 |
$ 423 | ||
(a) |
Includes a $51 million gain ($23 million after tax and noncontrolling interests) and a $76 million gain ($32 million after tax and noncontrolling interests) for the three and six months ended June 30, 2012 related to the sale of jack-up rigs. | ||||||
(b) |
Consists primarily of corporate interest expense and other unallocated expenses. | ||||||
(c) |
Represents a 54.3% , 61.2%, 54.9% and 61.5% ownership interest in Boardwalk Pipeline for the respective periods. | ||||||
Loews Corporation and Subsidiaries |
|||||||
Consolidated Financial Review |
|||||||
June 30, |
|||||||
(In millions, except per share data) |
Three Months |
Six Months |
|||||
2013 |
2012 |
2013 |
2012 |
||||
Revenues: |
|||||||
Insurance premiums |
$ 1,800 |
$ 1,668 |
$ 3,564 |
$ 3,317 |
|||
Net investment income |
579 |
386 |
1,220 |
1,112 |
|||
Investment gains (losses) |
(14) |
20 |
10 |
52 |
|||
Contract drilling revenues |
745 |
726 |
1,445 |
1,481 |
|||
Other |
615 |
588 |
1,220 |
1,170 |
|||
Total |
3,725 |
3,388 |
7,459 |
7,132 |
|||
Expenses: |
|||||||
Insurance claims & policyholders' benefits |
1,521 |
1,348 |
2,950 |
2,729 |
|||
Contract drilling expenses |
369 |
405 |
744 |
802 |
|||
Other (a) |
1,254 |
1,421 |
2,672 |
2,646 |
|||
Total |
3,144 |
3,174 |
6,366 |
6,177 |
|||
Income before income tax |
581 |
214 |
1,093 |
955 |
|||
Income tax expense |
(169) |
(16) |
(283) |
(238) |
|||
Net income |
412 |
198 |
810 |
717 |
|||
Amounts attributable to noncontrolling interests |
(143) |
(142) |
(299) |
(294) |
|||
Net income attributable to Loews Corporation |
$ 269 |
$ 56 |
$ 511 |
$ 423 |
|||
Diluted income per share attributable to Loews Corporation |
$ 0.69 |
$ 0.14 |
$ 1.31 |
$ 1.06 |
|||
Weighted diluted number of shares |
389.62 |
397.13 |
390.88 |
397.30 |
|||
(a) |
Includes non-cash impairment charges of $222 million ($142 million after tax) for the three months ended June 30, 2012 and $145 million and $266 million ($92 million and $170 million after tax) for the six months ended June 30, 2013 and 2012 related to the carrying value of HighMount's natural gas and oil properties. |
SOURCE
Peter W. Keegan, Chief Financial Officer, (212) 521-2950, or Mary Skafidas, Investor and Public Relations, (212) 521-2788