Exhibit 99.2
TABLE OF CONTENTS
The following information should be read in
conjunction with the financial information of the
Company, which has been filed with the Securities
and Exchange Commission.
All amounts included herein are unaudited. Certain
total amounts herein cannot be recalculated due to
rounding.
Wall Street Analyst Coverage Data 2
Corporate Offices, Principal Subsidiaries and Ratings 3
Summary Financial Information 4-5
Consolidated Results
Exhibit 1 Consolidated Income Statement Data 6
Protection Products Segment
Exhibit 2 Protection Products Segment Description 7
Exhibit 3 Protection Income Statement Data 8
Exhibit 4A Group Pension Data 9
Exhibit 4B Closed Block Data 10
Exhibit 4C Fixed Maturities by Credit Quality - Closed Block 11
Exhibit 5 Premiums and Inforce 12
Exhibit 6 Statutory Direct Premiums 13
Accumulation Products Segment
Exhibit 7 Accumulation Products Segment Description 14
Exhibit 8 Accumulation Income Statement Data 15
Exhibit 9 Accumulation Assets Under Management 16
Retail Brokerage and Investment Banking
Exhibit 10 Retail Brokerage and Investment Banking Segment Description 17
Exhibit 11 Retail Brokerage and Investment Banking Income Statement Data 18
Exhibit 12 Income Statement Detail and Advest Data 19
Other Product/Reconciling Segment
Exhibit 13 Other/Reconciling Products Segment Description 20
Exhibit 14 Other/Reconciling Income Statement Data 21
Investments
Exhibit 15 Investments 22
Exhibit 16 Invested Assets 23
Exhibit 17 Investment Results 24
Exhibit 18A Fixed Maturities by Credit Quality 25
Exhibit 18B Fixed Maturities by Industry 26
Exhibit 18C Venture Capital Partnership Investments 27
Exhibit 19 Mortgages at Carrying Value 28
Exhibit 20A Equity Real Estate 29
Exhibit 20B Mortgages and Real Estate 30
Historical
Exhibit 21 Quarterly Earnings 31
Expenses
Exhibit 22 Statutory Expense Ratios 32
WALL STREET ANALYST COVERAGE DATA
Brokerage Analyst Telephone
Credit Suisse First Boston ..... Caitlin Long ..... (212) 325-2165
Deutsche Bank Securities Inc. ..... Vanessa Wilson ..... (212) 469-7351
Dowling & Partners Securities, LLC ..... Paul Goulekas ..... (860) 676-8600
Fox-Pitt, Kelton, Inc. ..... Ronald McIntosh ..... (212) 687-1105
Goldman Sachs ..... Joan Zief ..... (212) 902-6778
Keefe, Bruyette & Woods, Inc. ..... Jeffrey Schuman ..... (860) 722-5902
Langen McAlenney ..... Robert Glasspiegel ..... (860) 724-1203
Lehman Brothers Inc. ..... E. Stewart Johnson ..... (212) 526-8190
Philo Smith & Co., Inc. ..... James Inglis ..... (203) 348-7365
Putnam Lovell NOF ..... Al Capra ..... (212) 546-7640
SalomonSmithBarney ..... Colin Devine ..... (212) 816-1682
Sandler O'Neil & Partners, L.P. ..... Nick Pirsos ..... (212) 466-7929
Investor Information Line
Contact: Jay Davis
Tel (212) 708-2917
E-mail jdavis@mony.com
Visit our internet site at www.mony.com
2
CORPORATE OFFICES, PRINCIPAL SUBSIDIARIES
MONY Life Insurance Company Trusted Securities Advisors Corp.
1740 Broadway 7760 France Avenue South, Suite 420
New York, NY 10019 Minneapolis, MN 55435
MONY Life Insurance Company of America The Advest Group, Inc.
1740 Broadway 90 State House Square
New York, NY 10019 Hartford, CT 06103
U.S. Financial Life Insurance Company Matrix Capital Markets Group Inc.
10290 Alliance Road 11 South 12th Street
Cincinnati, OH 45242 Suite 325
Richmond, VA 23219
Enterprise Capital Management, Inc.
3343 Peachtree Road, NE, Suite 450 Lebenthal & Co., Inc.
Atlanta, GA 30326 120 Broadway
New York, NY 10271
MONY Securities Corporation
1740 Broadway
New York, NY 10019
CORPORATE RATINGS
CLAIMS PAYING ABILITY/ SENIOR DEBT
FINANCIAL STRENGTH RATINGS (1) RATINGS (2)
Standard Standard
& Poors & Poors
A+ BBB+
A.M. (3) A.M.
Best Best
A a-
Moody's Moody's
A2 Baa2
Fitch Fitch
A+ BBB+
(1) MONY Life Insurance Company and MONY Life Insurance Company of America
(2) The MONY Group
(3) MONY Life Insurance Company, MONY Life Insurance Company of America, and
U.S. Financial Life Insurance Company
3
(Unaudited)
SUMMARY FINANCIAL INFORMATION
- ---------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions, except per share amounts)
- ----------------------------------------------------------------------------------------------------------------------------
CONSOLIDATED INCOME STATEMENT DATA:
Net (loss)/income $ (30.2) (8.7) $ (26.9) $ 26.9
Net realized losses/(gains) on
investments (after-tax) 23.4 1.4 39.7 (0.8)
-------------- -------------- -------------- --------------
Operating (loss)/income: (6.8) (7.3) 12.8 26.1
Litigation related charges (after-tax) - - 4.5 -
Venture capital loss/(income) (after-tax) 5.1 10.1 4.9 9.1
-------------- -------------- -------------- --------------
Operating (loss)/income, excluding venture capital and
litigation related charges: $ (1.7) 2.8 $ 22.2 $ 35.2
============== ============== =============== ===============
PER SHARE CALCULATIONS:
NET (LOSS)/INCOME PER SHARE:
Basic $ (0.64) $ (0.18) $ (0.56) $ 0.55
Diluted $ (0.64) $ (0.18) $ (0.56) $ 0.53
OPERATING (LOSS)/INCOME PER SHARE:
Basic (0.15) $ (0.15) $ 0.27 $ 0.53
Diluted $ (0.15) $ (0.15) $ 0.27 $ 0.52
OPERATING (LOSS)/INCOME, EXCLUDING VENTURE CAPITAL
INCOME AND LITIGATION RELATED CHARGES:
Basic $ (0.04) $ 0.06 $ 0.46 $ 0.72
Diluted $ (0.04) $ 0.06 $ 0.46 $ 0.70
Share Data
Weighted-average shares outstanding used in
basic per share calculations 47,414,250 48,642,274 47,804,872 48,915,523
Plus: Incremental shares from assumed conversion of
dilutive securities (1) - - - 1,597,601
-------------- -------------- -------------- --------------
Weighted-average shares used in diluted
per share calculations 47,414,250 48,642,274 47,804,872 50,513,124
============== ============== =============== ===============
OTHER DATA:
Employee count 3,498 3,800
Career agent count (Domestic and International) 1,631 2,176
US Financial Life Brokerage General Agencies 224 236
Trusted Advisors Registered Representatives 511 472
Active Enterprise Selling Agreements 452 448
Advest Financial Advisors 518 472
(1) 587,795; 1,315,776; and 1,634,471 shares from assumed conversion of dilutive
securities were not included in the computation of per share amounts for the
three and nine-months periods ended September 30, 2002 and for the three-month
period ended September 30, 2001, respectively because to do so would be
antidilutive.
4
(Unaudited)
SUMMARY FINANCIAL INFORMATION - CONTINUED
- -------------------------------------------------------------------------------------------------------------------------
September 30, December 31,
2002 2001
---- ----
($ millions)
- -------------------------------------------------------------------------------------------------------------------------
CONSOLIDATED BALANCE SHEET DATA
Invested assets (including cash and cash equivalents) $ 12,769.8 $ 11,826.5
Assets transferred in Group Pension Transaction 4,641.5 4,650.4
Separate accounts assets 4,018.6 5,195.2
Other assets 2,911.9 3,984.5
------------- ------------
Total Assets $ 24,341.8 $ 25,656.6
Policyholders' liabilities $ 10,806.1 $ 10,488.2
Liabilities transferred in Group Pension Transaction 4,562.8 4,597.1
Separate account liabilities 4,015.8 5,192.3
Short term debt 7.0 320.0
Long term debt 883.2 583.1
Other liabilities 1,998.5 2,423.7
------------- ------------
Total Liabilities 22,273.4 23,604.4
Equity 1,958.9 2,014.1
Accumulated comprehensive income (ACI) 109.5 38.1
------------- ------------
Total Shareholders' Equity 2,068.4 2,052.2
------------- ------------
Total Liabilities and Shareholders' Equity $ 24,341.8 $ 25,656.6
============= ============
SHARE DATA:
Diluted book value per share $ 43.81 $ 41.55
Diluted book value per share (excluding accumulated comprehensive income) $ 41.49 $ 40.78
CAPITALIZATION:
Long-term debt $ 883.2 $ 583.1
Shareholders' Equity (Excluding ACI) 1,958.9 2,014.1
------------- ------------
Total capitalization $ 2,842.1 $ 2,597.2
============= ============
Debt as Percent of Total Capitalization 31.1% 22.5%
============= ============
STATUTORY DATA:
Capital and Surplus $ 726.5 $ 917.4
Asset Valuation Reserve (AVR) 217.9 201.0
------------- ------------
Total Capital and Surplus plus AVR $ 944.4 $ 1,118.4
============= ============
5
Exhibit 1
(Unaudited)
CONSOLIDATED INCOME STATEMENT DATA (1)
- -----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- -----------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 160.5 $ 162.0 $ 494.8 $ 500.5
Universal life and investment-type product policy fees 54.6 50.1 156.1 152.1
Net investment income 170.1 172.9 541.7 546.1
Net realized (losses)/gains on investments (41.2) 0.5 (69.1) 6.0
Group Pension Profits 6.8 8.0 22.0 27.2
Retail Brokerage and Investment Banking 109.1 82.1 297.5 253.0
Other income 24.9 21.8 92.4 93.8
--------------- -------------- --------------- ---------------
484.8 497.4 1,535.4 1,578.7
--------------- -------------- --------------- ---------------
BENEFITS AND EXPENSES:
Benefits to policyholders 195.3 203.9 585.5 596.1
Interest credited to policyholders account balances 30.0 27.9 85.8 83.2
Amortization of deferred policy acquisition costs 49.6 32.9 120.5 98.4
Dividends to policyholders 53.4 54.5 171.8 169.7
Other operating costs and expenses 202.9 190.0 613.2 591.0
--------------- -------------- --------------- ---------------
531.2 509.2 1,576.8 1,538.4
--------------- -------------- --------------- ---------------
(Loss)/Income before income tax (46.4) (11.8) (41.4) 40.3
Income tax (benefit)/expense (16.2) (3.1) (14.5) 13.4
--------------- -------------- --------------- ---------------
Net (Loss)/Income $ (30.2) $ (8.7) $ (26.9) $ 26.9
=============== ============== =============== ===============
- -----------------------------------------------------------------------------------------------------------------------------------
(1) These income statements present the consolidated results of operations of
the Company for the periods indicated as will be reported on the Company's
filings with the Securities and Exchange Commission.
6
Exhibit 2
PROTECTION PRODUCTS SEGMENT
- --------------------------------------------------------------------------------
The "Protection Products" segment represents a wide range of individual
life insurance products, including whole life, term life, universal life,
variable universal life, last survivor variable life and group universal life.
Also included in the Protection Products segment are the: (i) assets and
liabilities transferred pursuant to the Group Pension Transaction, as well as
the Group Pension Profits, (ii) the Closed Block assets and liabilities, as well
as the contribution from the Closed Block, and (iii) the Company's disability
income insurance business which was transferred in the DI Transaction.
- --------------------------------------------------------------------------------
7
Exhibit 3
(Unaudited)
PROTECTION PRODUCTS SEGMENT (1)
INCOME STATEMENT DATA
- --------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- --------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 155.9 $ 159.1 $ 480.8 $ 490.5
Universal life and investment-type product policy fees 42.9 38.4 118.4 110.0
Net investment income 146.0 138.1 445.1 437.5
Group Pension Profits 6.8 8.0 22.0 27.2
Other income (11.2) (5.7) (8.0) 0.7
-------- -------- -------- --------
Total revenues 340.4 337.9 1,058.3 1,065.9
-------- -------- -------- --------
BENEFITS AND EXPENSES:
Benefits to policyholders 174.5 191.3 534.0 558.6
Interest credited to policyholder account balances 15.8 15.5 46.2 45.6
Amortization of deferred policy acquisition costs 32.4 25.7 89.6 80.9
Dividends to policyholders 52.8 53.9 170.0 167.8
Other operating costs and expenses 42.6 44.2 152.3 162.4
-------- -------- -------- --------
Total benefits and expenses 318.1 330.6 992.1 1,015.3
-------- -------- -------- --------
Pre-tax operating income 22.3 7.3 66.2 50.6
Net realized (losses)/gains on investments (31.3) 1.3 (49.9) 5.4
-------- -------- -------- --------
Pre-tax (loss)/income $ (9.0) $ 8.6 $ 16.3 $ 56.0
======== ======== ======== ========
OPERATING INCOME RECONCILIATION:
Pre tax operating income $ 22.3 $ 7.3 $ 66.2 $ 50.6
Policyholder dividends resulting from closed
block realized (losses)/gains (5.1) 2.7 (8.0) 4.7
-------- -------- -------- --------
Operating Income $ 17.2 $ 10.0 $ 58.2 $ 55.3
======== ======== ======== ========
- --------------------------------------------------------------------------------------------------------------------------------
(1)These income statements present the consolidated results of operations of the
Company for the periods indicated as will be reported on the Company's filings
with the Securities and Exchange Commission.
Three-Months Ended Nine-Months Ended
September 30, September 30,
($ millions) 2002 2001 2002 2001
--------- --------- --------- ---------
Operating Income $ 17.2 $ 10.0 $ 58.2 $ 55.3
Litigation related charges - - 5.5 -
Venture Capital losses 6.5 11.3 6.2 10.3
--------- --------- --------- ---------
Operating Income excluding venture
capital and litigation related charges $ 23.7 $ 21.3 $ 69.9 $ 65.6
========= ========= ========= =========
8
Exhibit 4A
(Unaudited)
GROUP PENSION PROFIT
SUMMARY INCOME STATEMENT
- --------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
INCOME STATEMENT DATA: 2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- --------------------------------------------------------------------------------------------------------
REVENUES:
Policy product fees $ 4.4 $ 4.8 $ 13.7 $ 14.3
Net investment income 21.8 25.0 67.6 78.0
Net realized (losses)/gains on investments (0.3) 1.3 (0.2) 4.9
------- ------- -------- --------
Total revenues 25.9 31.1 81.1 97.2
------- ------- -------- --------
BENEFITS AND EXPENSES:
Interest credited to policyholder account balances 15.8 19.1 48.2 56.2
Other operating costs and expenses 3.3 4.0 10.9 13.8
------- ------- -------- --------
Total benefits and expenses 19.1 23.1 59.1 70.0
------- ------- -------- --------
Group Pension Profits $ 6.8 $ 8.0 $ 22.0 $ 27.2
======= ======= ======== ========
ASSETS AND LIABILITIES TRANSFERRED IN GROUP PENSION TRANSACTION
- -------------------------------------------------------------------------------------------
September 30, December 31,
2002 2001
---- ----
($ millions)
- -------------------------------------------------------------------------------------------
BALANCE SHEET DATA:
Assets:
General Account
Fixed maturities $ 1,406.1 $ 1,400.5
Mortgage loans on real estate - 26.5
Cash and cash equivalents 23.0 19.4
Other Assets 21.9 24.5
----------- -----------
Total general account assets 1,451.0 1,470.9
Separate account assets 3,190.5 3,179.5
----------- -----------
Total Assets $ 4,641.5 $ 4,650.4
=========== ===========
Liabilities:
General Account
Policyholder account balances and
other liabilities $ 1,372.3 $ 1,417.6
Separate account liabilities 3,190.5 3,179.5
----------- -----------
Total Liabilities $ 4,562.8 $ 4,597.1
=========== ===========
9
Exhibit 4B
(Unaudited)
CLOSED BLOCK INCOME STATEMENT
- ----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- ----------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 119.4 $ 129.8 $ 367.4 $ 397.3
Net investment income 101.0 100.0 297.7 299.0
Net realized (losses)/gains on investments (5.1) 2.7 (8.0) 4.7
Other income 0.7 0.5 1.6 1.5
----------- ----------- ---------- ----------
Total revenues 216.0 233.0 658.7 702.5
----------- ----------- ---------- ----------
BENEFITS AND EXPENSES:
Benefits to policyholders 135.9 151.7 410.7 445.1
Interest credited to policyholders
account balances 2.1 2.3 6.3 6.5
Amortization of deferred policy
acquisition costs 12.9 13.9 37.1 46.1
Dividends to policyholders 54.0 53.9 170.2 167.3
Operating costs and expenses 1.4 1.6 4.5 5.7
----------- ----------- ---------- ----------
Total benefits and expenses 206.3 223.4 628.8 670.7
----------- ----------- ---------- ----------
Closed Block Profit $ 9.7 $ 9.6 $ 29.9 $ 31.8
=========== =========== ========== ==========
CLOSED BLOCK ASSETS AND LIABILITIES
- -------------------------------------------------------------------------------------------
September 30, December 31,
2002 2001
---- ----
($ millions)
- -------------------------------------------------------------------------------------------
BALANCE SHEET DATA:
Assets:
General Account
Fixed maturities $ 4,257.2 $ 3,868.9
Mortgage loans on real estate 556.7 622.1
Real estate to be disposed of 8.1 -
Amounts due from broker 1.0 6.2
Policy loans 1,114.6 1,144.3
Cash and cash equivalents 39.6 56.2
Premiums receivable 6.8 12.5
Deferred policy acquisition costs 445.6 500.6
Other assets 224.6 219.3
----------- ----------
Total closed block assets $ 6,654.2 $ 6,430.1
=========== ==========
Liabilities:
General Account
Future policy benefits $ 6,886.3 $ 6,869.8
Policyholders' account balances 290.9 292.9
Other policyholders' liabilities 158.8 162.2
Other liabilities 366.6 163.9
----------- ----------
Total closed block liabilities $ 7,702.6 $ 7,488.8
=========== ==========
10
Exhibit 4C
(Unaudited)
FIXED MATURITIES BY CREDIT QUALITY - CLOSED BLOCK
PUBLIC FIXED MATURITIES BY CREDIT QUALITY
- ------------------------------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions)
- ------------------------------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 1,666.1 74.4% $ 1,815.2 $ 1,589.1 76.7% $ 1,631.6
2 Baa 457.5 19.9% 484.5 391.3 18.8% 399.6
3 Ba 118.2 4.7% 112.8 93.1 4.1% 86.2
4 B 36.9 0.9% 21.6 5.0 0.2% 4.9
5 Caa and lower 0.0% 5.0 0.2% 5.1
6 In or near default 3.1 0.1% 3.5 0.6 0.0% 0.5
---------- ----- ---------- ---------- ----- ----------
Subtotal 2,281.8 100.0% 2,437.6 2,084.1 100.0% 2,127.9
Redeemable preferred stock - 0.0% - - 0.0% -
---------- ----- ---------- ---------- ----- ----------
Total Public Fixed
Maturities $ 2,281.8 100.0% $ 2,437.6 $ 2,084.1 100.0% $ 2,127.9
========== ===== ========== ========== ===== ==========
PRIVATE FIXED MATURITIES BY CREDIT QUALITY
- ------------------------------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions) ($ millions)
- ------------------------------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 746.1 44.5% $ 809.0 $ 845.3 50.3% $ 875.1
2 Baa 732.7 43.8% 797.5 742.5 43.6% 759.5
3 Ba 155.8 8.7% 157.6 83.6 4.8% 83.3
4 B 38.9 2.0% 36.5 17.8 1.0% 17.1
5 Caa and lower 16.0 0.5% 9.5 7.5 0.3% 6.0
6 In or near default 10.8 0.5% 9.5 - 0.0% -
---------- ----- ---------- ---------- ----- ----------
Subtotal 1,700.3 100.0% 1,819.6 1,696.7 100.0% 1,741.0
Redeemable preferred stock - 0.0% - - 0.0% -
---------- ----- ---------- ---------- ----- ----------
Total Private Fixed
Maturities $ 1,700.3 100.0% $ 1,819.6 $ 1,696.7 100.0% $ 1,741.0
========== ===== ========== ========= ===== ==========
TOTAL FIXED MATURITIES BY CREDIT QUALITY
- ------------------------------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions) ($ millions)
- ------------------------------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 2,412.2 61.6% $ 2,624.2 $ 2,434.4 64.8% $ 2,506.7
2 Baa 1,190.2 30.1% 1,282.0 1,133.8 29.9% 1,159.1
3 Ba 274.0 6.4% 270.4 176.7 4.4% 169.5
4 B 75.8 1.4% 58.1 22.8 0.6% 22.0
5 Caa and lower 16.0 0.2% 9.5 12.5 0.3% 11.1
6 In or near default 13.9 0.3% 13.0 0.6 0.0% 0.5
---------- ----- ---------- ---------- ----- ----------
Subtotal 3,982.1 100.0% 4,257.2 3,780.8 100.0% 3,868.9
Redeemable preferred stock - 0.0% - - 0.0% -
---------- ----- ---------- ---------- ----- ----------
Total Fixed
Maturities $ 3,982.1 100.0% $ 4,257.2 $ 3,780.8 100.0% $ 3,868.9
========== ===== ========== ========== ===== ==========
- ------------------------------------------------------------------------------------------------------------------------------------
11
Exhibit 5
(Unaudited)
PROTECTION PRODUCTS SEGMENT
NEW ANNUALIZED AND SINGLE PREMIUMS AND INFORCE
- ---------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 20001
---- ---- ---- -----
($ millions) ($ millions)
- ---------------------------------------------------------------------------------------------------------------------
PROTECTION BUSINESS SALES:
Traditional life $ 1.7 $ 0.9 $ 3.3 $ 1.9
Term 10.8 10.7 32.2 29.1
Universal life 8.5 8.3 27.5 20.7
Variable universal life 9.0 15.0 29.7 43.8
Corporate owned life insurance 78.2 19.6 124.7 55.4
Group universal life 0.5 0.3 1.3 1.0
----------- ----------- ----------- -----------
Total $ 108.7 $ 54.8 $ 218.7 $ 151.9
=========== =========== =========== ===========
- ---------------------------------------------------------------------------------------------------
As of
September 30, December 31,
2002 2001
---- ----
- ---------------------------------------------------------------------------------------------------
Insurance In Force ($ in millions except number of policies)
- ---------------------------------------------------------------------------------------------------
Traditional Life (1):
Number of policies (in thousands) 841.2 857.3
GAAP life reserves $ 7,433.8 $ 7,374.8
Face amounts $ 79,568.8 $ 73,678.2
Universal Life:
Number of policies (in thousands) 73.8 74.7
GAAP life reserves $ 747.3 $ 711.2
Face amounts $ 10,844.9 $ 10,843.6
Variable Universal Life:
Number of policies (in thousands) 67.6 65.9
GAAP life reserves $ 811.9 $ 772.0
Face amounts $ 18,720.8 $ 18,231.2
Group Universal Life:
Number of policies (in thousands) 42.1 43.9
GAAP life reserves $ 68.6 $ 66.7
Face amounts $ 1,494.7 $ 1,571.4
Total:
Number of policies (in thousands) 1,024.7 1,041.8
GAAP life reserves $ 9,061.6 $ 8,924.7
Face amounts $ 110,629.2 $ 104,324.4
- ---------------------------------------------------------------------------------------------------
(1) Consists of whole life and term policies
12
Exhibit 6
(Unaudited)
PROTECTION PRODUCTS SEGMENT
STATUTORY DIRECT PREMIUMS BY PRODUCT
- -------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions)
- -------------------------------------------------------------------------------------------------------------------
LIFE INSURANCE:
Traditional Life (1):
First year & single $ 42.4 $ 45.2 $ 126.7 $ 132.5
Renewal 116.9 113.5 359.3 351.5
------- ------- ------- -------
Total $ 159.3 $ 158.7 $ 486.0 $ 484.0
======= ======= ======= =======
Universal Life:
First year & single $ 9.4 $ 8.8 $ 27.1 $ 20.3
Renewal 24.3 22.9 71.9 71.7
------- ------- ------- -------
Total $ 33.7 $ 31.7 $ 99.0 $ 92.0
======= ======= ======= =======
Variable Universal Life:
First year & single $ 10.5 $ 17.6 $ 37.2 $ 52.2
Renewal 28.0 24.3 81.5 68.9
------- ------- ------- -------
Total $ 38.5 $ 41.9 $ 118.7 $ 121.1
======= ======= ======= =======
Corporate Sponsored Variable Universal Life:
First year & single $ 70.5 $ 23.7 $ 101.8 $ 49.8
Renewal 4.7 13.4 27.2 42.0
------- ------- ------- -------
Total $ 75.2 $ 37.1 $ 129.0 $ 91.8
======= ======= ======= =======
Group Universal Life:
First year & single $ 0.3 $ 0.4 $ 1.1 $ 1.5
Renewal 2.6 2.6 7.9 8.0
------- ------- ------- -------
Total $ 2.9 $ 3.0 $ 9.0 $ 9.5
======= ======= ======= =======
Total life insurance $ 309.6 $ 272.4 $ 841.7 $ 798.4
======= ======= ======= =======
- -------------------------------------------------------------------------------------------------------------------
(1) Consists of whole life and term policies
13
Exhibit 7
ACCUMULATION PRODUCTS SEGMENT
- -------------------------------------------------------------------------------
The Accumulation Products segment represents fixed annuities, single premium
deferred annuities, immediate annuities, flexible payment variable annuities and
proprietary retail mutual funds.
- -------------------------------------------------------------------------------
14
Exhibit 8
(Unaudited)
ACCUMULATION PRODUCTS SEGMENT
INCOME STATEMENT DATA
- -----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- -----------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 2.3 $ 1.0 $ 7.1 $ 3.4
Universal life and investment-type
product policy fees 11.6 12.5 36.3 42.0
Net investment income 18.4 18.6 60.1 56.9
Other income 21.6 23.5 73.2 76.7
-------------------- -------------------- ------------------- -------------------
Total revenues 53.9 55.6 176.7 179.0
-------------------- -------------------- ------------------- -------------------
BENEFITS AND EXPENSES:
Benefits to policyholders 10.8 7.3 29.4 19.1
Interest credited to policyholder
account balances 12.0 10.4 33.2 31.0
Amortization of deferred policy
acquisition costs 17.2 7.2 30.9 17.5
Dividends to policyholders 0.4 0.5 1.0 1.2
Other operating costs and expenses 29.0 29.6 88.4 86.9
-------------------- -------------------- ------------------- -------------------
Total benefits and expenses 69.4 55.0 182.9 155.7
-------------------- -------------------- ------------------- -------------------
Pre-tax operating (loss)/income (15.5) 0.6 (6.2) 23.3
Net realized (losses)/gains
on investments (7.3) 0.1 (14.5) 2.3
-------------------- -------------------- ------------------- -------------------
Pre-tax (loss)/income $ (22.8) $ 0.7 $ (20.7) $ 25.6
==================== ==================== =================== ===================
- -----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
($ millions) 2002 2001 2002 2001
==================== ==================== =================== ===================
Operating (loss)/income $ (15.5) $ 0.6 $ (6.2) $ 23.3
Litigation related charges - - 1.0 -
Venture Capital losses 1.1 2.2 1.1 1.9
-------------------- -------------------- ------------------- -------------------
Operating (loss)/income excluding
venture capital and litigation
related charges $ (14.4) $ 2.8 $ (4.1) $ 25.2
==================== ==================== =================== ===================
15
Exhibit 9
(Unaudited)
ACCUMULATION PRODUCTS SEGMENT
ASSETS UNDER MANAGEMENT
- -----------------------------------------------------------------------------------------------------------------------------------
September 30, September 30, December 31,
2002 2001 2001
($ billions)
- -----------------------------------------------------------------------------------------------------------------------------------
ACCUMULATION SEGMENT:
Assets under management
Individual variable annuities $ 3.1 $ 3.5 $ 3.9
Individual fixed annuities 0.7 0.7 0.7
Proprietary retail mutual funds 3.5 4.0 4.4
---------------------- -------------------- --------------------
$ 7.3 $ 8.2 $ 9.0
====================== ==================== ====================
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ billions) ($ billions)
RECONCILIATION IN ACCOUNT VALUE:
VARIABLE ANNUITY:
Beginning account value $ 3.5 $ 4.0 $ 3.9 $ 4.4
Sales 0.1 0.1 0.3 0.3
Market appreciation (0.3) (0.5) (0.7) (0.8)
Mortality and expense (0.0) (0.0) (0.0) (0.0)
Surrenders and withdrawals (0.1) (0.1) (0.3) (0.3)
---------------------- -------------------- -------------------- -----------------
$ 3.1 $ 3.5 $ 3.1 $ 3.5
====================== ==================== ==================== =================
ENTERPRISE GROUP OF FUNDS:
Beginning account value $ 4.0 $ 4.5 $ 4.4 $ 4.8
Sales 0.2 0.3 0.9 1.0
Dividends reinvested 0.0 0.0 0.0 0.0
Market appreciation (0.5) (0.6) (1.0) (1.0)
Redemptions (0.3) (0.3) (0.9) (0.9)
---------------------- -------------------- -------------------- -----------------
Ending account value $ 3.5 $ 4.0 $ 3.5 $ 4.0
====================== ==================== ==================== =================
16
Exhibit 10
RETAIL BROKERAGE AND INVESTMENT BANKING
- -------------------------------------------------------------------------------
The Retail Brokerage and Investment Banking segment is comprised of results of
the Company's subsidiaries, The Advest Group, Inc. ("AGI"), Matrix Capital
Markets Group ("Matrix") and MONY Securities Corp. ("MSC"). AGI through its
subsidiaries, provides diversified financial services including securities
brokerage, trading, investment banking, trust and asset management. Matrix is a
middle market investment bank specializing in merger and acquisition services
for a middle market client base. MSC is a broker dealer which transacts customer
trades primarily in securities and mutual funds. In addition to selling the
Company's proprietary investment products, MSC provides customers of the
Company's protection and accumulation products access to other non-proprietary
investment products (including stocks, bonds, limited partnership interests,
tax-exempt unit investment trusts and other investment securities).
- -------------------------------------------------------------------------------
17
Exhibit 11
(Unaudited)
RETAIL BROKERAGE AND INVESTMENT BANKING
INCOME STATEMENT DATA
- -------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- -------------------------------------------------------------------------------------------------------------------------
REVENUES:
Net investment income $ (5.1) $ 2.1 $ 0.3 $ 5.2
Retail brokerage and investment banking 109.1 82.1 297.5 253.0
Other income (0.3) - 0.7 -
-------------- -------------- -------------- --------------
Total revenues 103.7 84.2 298.5 258.2
-------------- -------------- -------------- --------------
BENEFITS AND EXPENSES:
Other operating costs and expenses 102.2 93.5 297.1 271.3
-------------- -------------- -------------- --------------
Total benefits and expenses 102.2 93.5 297.1 271.3
-------------- -------------- -------------- --------------
Pre-tax operating income/(loss) 1.5 (9.3) 1.4 (13.1)
Net realized losses on investments - - - (0.2)
-------------- -------------- -------------- ---------------
Pre-tax income/(loss) $ 1.5 $ (9.3) $ 1.4 $ (13.3)
============== ============== ============== ===============
18
Exhibit 12
(Unaudited)
RETAIL BROKERAGE AND INVESTMENT BANKING
INCOME STATEMENT DETAIL
Three-Months Ended Nine-Months Ended
September 30, September 30,
---------------------------- ---------------------------
REVENUES: 2002 2001 2002 2001
------- ------- -------- --------
($ millions) ($ millions)
Commissions $ 39.3 $ 35.7 $ 124.7 $ 103.1
Interest 9.0 13.9 27.1 46.5
Principal transactions 31.7 17.2 79.0 55.2
Asset management and administration 6.8 12.8 32.9 35.2
Investment banking 16.0 2.9 30.0 12.2
Other 0.9 1.7 4.8 5.8
------- ------- -------- --------
Total revenues 103.7 84.2 298.5 258.0
------- ------- -------- --------
EXPENSES:
Compensation 56.7 48.7 167.5 136.6
Interest 5.7 9.6 16.2 32.1
Goodwill and other intangible amortization 1.0 3.4 3.1 9.2
Other 38.8 31.8 110.3 93.4
------- ------- -------- --------
Total expenses 102.2 93.5 297.1 271.3
------- ------- -------- --------
Pre-tax income/(loss) $ 1.5 $ (9.3) $ 1.4 (13.3)
======= ======= ======== ========
- ----------------------------------------------------------------------------------------------------------
ADVEST - NET INTEREST ADVEST - NET INTEREST
Three-Months Ended Nine-Months Ended
September 30, 2002 September 30, 2001 September 30, 2002 September 30, 2001
----------------------- ---------------------- ----------------------- --------------------
($ millions) ($ millions)
------------ ------------
Net Interest Income -
Interest Income:
Brokerage customers (1) $ 3.6 40.0% $ 6.8 48.9% $ 11.7 43.2% $ 20.9 44.9%
Stock borrowed (1) 1.2 13.2% 5.4 38.8% 3.6 13.3% 19.0 40.9%
Investments 0.1 1.1% 0.2 1.4% 0.2 0.7% 0.5 1.2%
Security inventory 3.3 36.7% 2.0 14.4% 8.5 31.3% 4.8 10.3%
Other 0.8 9.0% (0.5) -3.5% 3.1 11.5% 1.3 2.7%
----------------------- ---------------------- ----------------------- ------------------
$ 9.0 100.0% $ 13.9 100.0% $ 27.1 100.0% $ 46.5 100.0%
----------------------- ---------------------- ----------------------- ------------------
Interest Expense:
Stock loaned (1) 3.8 66.7% 5.9 61.5% 9.9 61.1% 19.4 60.4%
Brokerage customers 1.6 28.1% 0.7 7.3% 4.7 29.0% 2.9 9.0%
Borrowings 0.3 5.2% 3.0 31.2% 1.3 8.0% 9.6 30.0%
Other - 0.0% - 0.0% 0.3 1.9% 0.2 0.6%
----------------------- ---------------------- ----------------------- ------------------
5.7 100.0% 9.6 100.0% 16.2 100.0% 32.1 100.0%
----------------------- ---------------------- ----------------------- ------------------
Net interest income $ 3.3 36.7% $ 4.3 30.9% $ 10.9 40.2% $ 14.4 31.0%
======================= ====================== ======================= ==================
(1) The decrease in interest income from 2001 to 2002 reflected in the line
items above entitled "Brokerage customers" and "Stock borrowed", as well as the
decrease in interest expense from 2001 to 2002 reflected in the line item "Stock
loaned" resulted from the outsourcing of Advest's clearing operation to Wexford
which was completed in early 2002. In connection with the outsourcing, Advest
entered into an interest-sharing agreement with Wexford which has resulted in
lower net interest profits in the current year.
- --------------------------------------------------------------------------------
ADVEST STATISTICAL DATA
As of
September 30, 2002
--------------------
Client Assets ( in millions) * $ 30,849.2
Number of Client Accounts (in thousands) 276
* Includes assets managed under fee-based programs of approximately $5,714
million.
19
Exhibit 13
OTHER PRODUCTS SEGMENT
- -------------------------------------------------------------------------------
The Company's Other Products segment primarily consists of an insurance
brokerage operation and the Run-Off businesses. The insurance brokerage
operation provides the Company's career agency sales force with access to
non-variable life, annuity, small group health and specialty insurance products
written by other carriers to meet the insurance and investment needs of its
customers. The Run-Off Businesses primarily consist of group life and health
insurance as well as the group pension business that was not included in the
Group Pension Transaction.
- -------------------------------------------------------------------------------
RECONCILING AMOUNTS
- -------------------------------------------------------------------------------
The reconciling amounts include certain benefits for the Company's benefit
plans, the results of the holding companies and certain non-recurring items.
- -------------------------------------------------------------------------------
20
Exhibit 14
(Unaudited)
OTHER/RECONCILING PRODUCTS SEGMENT
INCOME STATEMENT DATA
- -----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
2002 2001 2002 2001
---- ---- ---- ----
($ millions) ($ millions)
- -----------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 2.3 $ 1.9 $ 6.9 $ 6.6
Universal life and investment-type product policy fees 0.1 (0.8) 1.4 0.1
Net investment income 10.8 14.1 36.2 46.5
Other income 14.8 4.0 26.5 16.4
----------- ----------- ----------- -----------
Total revenues 28.0 19.2 71.0 69.6
----------- ----------- ----------- -----------
BENEFITS AND EXPENSES:
Benefits to policyholders 10.0 5.3 22.1 18.4
Interest credited to policyholder account balances 2.2 2.0 6.4 6.6
Dividends to policyholders 0.2 0.1 0.8 0.7
Other operating costs and expenses 29.1 22.7 75.4 70.4
----------- ----------- ----------- -----------
Total benefits and expenses 41.5 30.1 104.7 96.1
----------- ----------- ----------- -----------
Pre-tax operating loss (13.5) (10.9) (33.7) (26.5)
Net realized losses on investments (2.6) (0.9) (4.7) (1.5)
----------- ----------- ----------- -----------
Pre-tax loss $ (16.1) $ (11.8) $ (38.4) $ (28.0)
=========== =========== =========== ===========
- -----------------------------------------------------------------------------------------------------------------------------------
Three-Months Ended Nine-Months Ended
September 30, September 30,
($ millions) 2002 2001 2002 2001
----------- ----------- ----------- -----------
Operating Loss $ (13.5) $ (10.9) $ (33.7) $ (26.5)
Litigation related charges - - 0.3 -
Venture Capital losses 0.3 2.0 0.3 1.8
----------- ----------- ----------- -----------
Operating Loss excluding venture capital $ (13.2) $ (8.9) $ (33.1) $ (24.7)
=========== =========== =========== ===========
21
INVESTMENTS
ALL INVESTMENT DATA PRESENTED IN THE FOLLOWING SECTION
INCLUDES INVESTED ASSETS IN THE CLOSED BLOCK
22
Exhibit 16
(Unaudited)
CONSOLIDATED GAAP INVESTED ASSETS
- -------------------------------------------------------------------------------------------------------------------------------
As of As of
September 30, 2002 December 31, 2001
Carrying % of Carrying % of
Value Total Value Total
----- ----- ----- -----
INVESTED ASSETS ($ Millions)
- -------------------------------------------------------------------------------------------------------------------------------
Fixed Maturities, Available for Sale $ 7,913.6 66.4% $ 6,976.0 62.8%
Fixed Maturities, Held to Maturity 0.1 0.0% 0.1 0.0%
Equity Securities, Available for Sale 252.4 2.1% 299.2 2.7%
Mortgage Loans on Real Estate 1,741.3 14.6% 1,809.7 16.3%
Policy Loans 1,206.7 10.1% 1,229.0 11.1%
Real Estate to be Disposed Of 158.8 1.3% 172.3 1.6%
Real Estate Held for Investment 54.3 0.5% 58.5 0.5%
Other Invested Assets 140.5 1.2% 116.7 1.0%
Cash and Cash Equivalents 451.1 3.8% 441.0 4.0%
--------------------------------------------------------------------------
Invested Assets, excluding Trading Securities $11,918.8 100.0% $11,102.5 100.0%
==========================================================================
The Exhibit above includes invested assets in the Closed Block and excludes
Trading Securities in Advest.
23
Exhibit 17
(Unaudited)
INVESTMENT RESULTS BY ASSET CATEGORY-COMBINED BASIS
- ---------------------------------------------------------------------------------------------------------------------------
Three Months Ended Three Months Ended Nine Months Ended
September 30, 2002 September 30, 2001 September 30, 2002
Yield (2) Amount Yield (2) Amount Yield (1) Amount
--------- ------ --------- ------ --------- ------
($ millions) ($ millions) ($ millions) ($ millions)
- ---------------------------------------------------------------------------------------------------------------------------
FIXED MATURITIES (4)
Investment Income 6.6% $ 120.4 7.6% $ 124.8 6.9% $ 369.5
Realized Gains (losses) -0.3% (4.9) 0.3% 4.9 -0.3% (16.6)
Total 6.3% $ 115.5 7.9% $ 129.7 6.6% $ 352.9
---------------------------- --------------------------- ----------------------------
Ending Assets $ 7,429.5 $ 6,568.6 $ 7,429.5
---------------------------- --------------------------- ----------------------------
EQUITY SECURITIES
Investment Income -10.8% $ (7.3) -18.5% $ (14.7) -2.9% $ (5.9)
Realized Gains (losses) -24.6% (16.7) -2.3% (1.8) -10.7% (22.2)
Total -35.4% $ (24.0) -20.8% $ (16.5) -13.6% $ (28.1)
---------------------------- --------------------------- ----------------------------
Ending Assets $ 252.4 $ 310.5 $ 252.4
---------------------------- --------------------------- ----------------------------
MORTGAGE LOANS 7.7% $ 33.8 8.0% $ 35.5 7.8% $ 103.5
Realized Gains (losses) 0.6% 2.8 -0.1% (0.4) 0.1% 1.2
Total 8.3% $ 36.6 7.9% $ 35.1 7.9% $ 104.7
---------------------------- --------------------------- ----------------------------
Ending Assets $ 1,741.3 $ 1,814.5 $ 1,741.3
---------------------------- --------------------------- ----------------------------
REAL ESTATE (3)
Investment Income 3.5% $ 2.0 6.0% $ 3.3 7.8% $ 13.0
Realized Gains (losses) -41.1% (23.4) -1.2% (0.6) -20.3% (33.7)
Total -37.6% $ (21.4) 4.8% $ 2.7 -12.5% $ (20.7)
---------------------------- --------------------------- ----------------------------
Ending Assets $ 213.1 $ 223.7 $ 213.1
---------------------------- --------------------------- ----------------------------
POLICY LOANS
Investment Income 6.9% $ 20.7 7.1% $ 22.0 7.0% $ 63.6
Realized Gains (losses) 0.0% - 0.0% $ - 0.0% -
Total 6.9% $ 20.7 7.1% $ 22.0 7.0% $ 63.6
---------------------------- --------------------------- ----------------------------
Ending Assets $ 1,206.7 $ 1,244.8 $ 1,206.7
---------------------------- --------------------------- ----------------------------
CASH AND CASH EQUIVALENTS
Investment Income 2.6% $ 2.8 4.1% $ 6.9 2.2% $ 7.6
Realized Gains (losses) 0.0% (0.0) 0.0% $ 0.0 0.0% (0.0)
Total 2.6% $ 2.8 4.1% $ 6.9 2.2% $ 7.6
---------------------------- --------------------------- ----------------------------
Ending Assets $ 451.1 $ 618.7 $ 451.1
---------------------------- --------------------------- ----------------------------
OTHER INVESTED ASSETS
Investment Income 9.8% $ 3.2 9.1% $ 3.4 12.6% $ 12.1
Realized Gains (losses) 2.8% 0.9 -4.0% $ (1.5) 2.3% 2.2
Total 12.6% $ 4.1 5.1% $ 1.9 14.9% $ 14.3
---------------------------- --------------------------- ----------------------------
Ending Assets $ 140.5 $ 142.1 $ 140.5
---------------------------- --------------------------- ----------------------------
TOTAL BEFORE INVESTMENT EXPENSES
Investment Income 6.2% $ 175.6 6.6% $ 181.1 6.7% $ 563.4
Realized Gains (losses) -1.4% (41.2) 0.0% 0.5 -0.8% (69.1)
Total 4.8% $ 134.4 6.6% $ 181.6 5.9% $ 494.3
---------------------------- --------------------------- ----------------------------
Ending Assets $ 11,434.6 $ 10,923.0 $ 11,434.6
---------------------------- --------------------------- ----------------------------
Other Fee Income 0.1% $ 2.2 0.1% $ 1.4 0.1% $ 6.5
Investment expense -0.3% $ (7.6) -0.4% $ (9.6) -0.3% $ (28.1)
TOTAL AFTER INVESTMENT EXPENSES
Investment Income 6.0% $ 170.1 6.3% $ 173.0 6.5% $ 541.7
Realized Gains (losses) -1.4% (41.2) 0.0% 0.5 -0.8% (69.1)
Total 4.5% $ 128.9 6.3% $ 173.5 5.7% $ 472.6
---------------------------- --------------------------- ----------------------------
Ending Assets 11,434.6 10,923.0 11,434.6
---------------------------- --------------------------- ----------------------------
Net unrealized gains (losses)
on fixed maturities 484.2 221.2 484.2
---------------------------- --------------------------- ----------------------------
Total invested assets $ 11,918.8 $ 11,144.2 $ 11,918.8
============================ =========================== ============================
- --------------------------------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------
Nine Months Ended Year Ended
September 30, 2001 December 31, 2001
Yield (1) Amount Yield (1) Amount
--------- ------ --------- ------
($ millions) ($ millions)
- --------------------------------------------------------------------------------------------
FIXED MATURITIES (4)
Investment Income 7.5% $ 372.6 7.3% $ 492.5
Realized Gains (losses) 0.2% 12.4 0.0% (2.6)
Total 7.7% $ 385.0 7.3% $ 489.9
---------------------------- ---------------------------
Ending Assets $ 6,568.6 $ 6,833.0
---------------------------- ---------------------------
EQUITY SECURITIES
Investment Income -5.4% $ (13.0) -10.8% $ (33.9)
Realized Gains (losses) -3.0% (7.1) -2.5% (7.8)
Total -8.4% $ (20.1) -13.3% $ (41.7)
---------------------------- ---------------------------
Ending Assets $ 310.5 $ 299.2
---------------------------- ---------------------------
MORTGAGE LOANS 7.8% $ 104.9 7.8% $ 139.8
Realized Gains (losses) 0.4% 4.7 0.5% 9.3
Total 8.2% $ 109.6 8.3% $ 149.1
---------------------------- ---------------------------
Ending Assets $ 1,814.5 $ 1,809.7
---------------------------- ---------------------------
REAL ESTATE (3)
Investment Income 6.5% $ 10.6 4.3% $ 9.5
Realized Gains (losses) -1.9% (3.2) -2.4% (5.2)
Total 4.6% $ 7.4 1.9% $ 4.3
---------------------------- ---------------------------
Ending Assets $ 223.7 $ 230.8
---------------------------- ---------------------------
POLICY LOANS
Investment Income 6.9% $ 65.0 6.9% $ 86.5
Realized Gains (losses) 0.0% - 0.0% -
Total 6.9% $ 65.0 6.9% $ 86.5
---------------------------- ---------------------------
Ending Assets $ 1,244.8 $ 1,229.0
---------------------------- ---------------------------
CASH AND CASH EQUIVALENTS
Investment Income 4.9% $ 26.4 4.4% $ 29.3
Realized Gains (losses) 0.0% 0.0 -0.1% (0.8)
Total 4.9% $ 26.4 4.3% $ 28.5
---------------------------- ---------------------------
Ending Assets $ 618.7 $ 441.0
---------------------------- ---------------------------
OTHER INVESTED ASSETS
Investment Income 7.8% $ 7.1 8.4% $ 9.1
Realized Gains (losses) -1.0% (0.9) -4.7% (5.1)
Total 6.8% $ 6.2 3.7% $ 4.0
---------------------------- ---------------------------
Ending Assets $ 142.1 $ 116.7
---------------------------- ---------------------------
TOTAL BEFORE INVESTMENT EXPENSES
Investment Income 6.9% $ 573.5 6.6% $ 732.8
Realized Gains (losses) 0.1% 6.0 -0.1% (12.3)
Total 7.0% $ 579.5 6.5% $ 720.5
---------------------------- ---------------------------
Ending Assets $ 10,923.0 $ 10,959.4
---------------------------- ---------------------------
Other Fee Income 0.0% $ 3.6 0.0% $ 5.3
Investment expense -0.4% $ (31.0) -0.4% $ (46.1)
TOTAL AFTER INVESTMENT EXPENSES
Investment Income 6.6% $ 546.1 6.2% $ 692.1
Realized Gains (losses) 0.1% 6.0 -0.1% (12.3)
Total 6.7% $ 552.1 6.1% $ 679.8
---------------------------- ---------------------------
Ending Assets 10,923.0 10,959.4
---------------------------- ---------------------------
Net unrealized gains (losses)
on fixed maturities 221.2 143.1
---------------------------- ---------------------------
Total invested assets $ 11,144.2 $ 11,102.5
============================ ===========================
- --------------------------------------------------------------------------------------------
(1) Yields are based on annual average asset carrying values, excluding
unrealized gains (losses) in the fixed maturity asset category.
(2) Yields are based on quarterly average asset carrying values, excluding
unrealized gains (losses) in the fixed maturity asset category.
(3) Equity real estate income is shown net of operating expenses, depreciation
and minority interest.
(4) Trading portfolio balances of $851 million and results are excluded from the
yield calculation.
24
Exhibit 18A
(Unaudited)
FIXED MATURITIES BY CREDIT QUALITY
PUBLIC FIXED MATURITIES BY CREDIT QUALITY
- ----------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
- ------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions)
- ----------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 3,175.6 73.1% $ 3,433.8 $ 2,730.4 73.8% $ 2,806.4
2 Baa 903.0 20.4% 958.8 769.5 20.6% 784.9
3 Ba 215.7 4.5% 209.3 161.9 4.1% 155.3
4 B 83.8 1.3% 58.9 37.9 1.1% 40.8
5 Caa and lower 6.0 0.1% 6.1 15.5 0.4% 15.0
6 In or near default 5.3 0.1% 5.6 1.8 0.0% 1.9
--------- ----- --------- --------- ----- ---------
Subtotal 4,389.4 99.5% 4,672.5 3,717.0 100.0% 3,804.3
Redeemable preferred stock 23.6 0.5% 25.7 1.0 0.0% 0.9
--------- ----- --------- --------- ----- ---------
Total Public Fixed
Maturities $ 4,413.0 100.0% $ 4,698.2 $ 3,718.0 100.0% $ 3,805.2
========= ===== ========= ========= ===== =========
PRIVATE FIXED MATURITIES BY CREDIT QUALITY
- ----------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
- ------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions) ($ millions)
- ----------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 1,000.6 33.7% $ 1,087.1 $ 1,077.5 35.1% $ 1,113.7
2 Baa 1,520.9 51.0% 1,641.0 1,620.7 51.9% 1,645.8
3 Ba 351.2 11.0% 352.6 270.6 8.5% 269.3
4 B 73.1 2.2% 69.5 63.2 1.9% 62.0
5 Caa and lower 16.4 0.3% 9.8 20.2 0.6% 18.6
6 In or near default 22.4 0.7% 21.2 4.5 0.2% 5.7
--------- ----- --------- --------- ----- ---------
Subtotal 2,984.6 98.9% 3,181.2 3,056.7 98.2% 3,115.1
Redeemable preferred stock 32.0 1.1% 34.3 54.6 1.8% 55.8
--------- ----- --------- --------- ----- ---------
Total Private Fixed
Maturities $ 3,016.6 100.0% $ 3,215.5 $ 3,111.3 100.0% $ 3,170.9
========= ===== ========= ========= ===== =========
TOTAL FIXED MATURITIES BY CREDIT QUALITY
- ----------------------------------------------------------------------------------------------------------------
As of Year Ended
September 30, 2002 December 31, 2001
NAIC Rating Agency Amortized % of Estimated Amortized % of Estimated
Rating Equivalent Designation Cost Total Fair Value Cost Total Fair Value
- ------ ---------------------- ---- ----- ---------- ---- ----- ----------
($ millions) ($ millions)
- ----------------------------------------------------------------------------------------------------------------
1 Aaa/Aa/A $ 4,176.2 57.1% $ 4,520.9 $ 3,807.9 56.2% $ 3,920.1
2 Baa 2,423.9 32.9% 2,599.8 2,390.2 34.8% 2,430.7
3 Ba 566.9 7.1% 561.9 432.5 6.1% 424.6
4 B 156.9 1.6% 128.4 101.1 1.5% 102.8
5 Caa and lower 22.4 0.2% 15.9 35.7 0.5% 33.6
6 In or near default 27.7 0.3% 26.8 6.3 0.1% 7.6
--------- ----- --------- --------- ----- ---------
Subtotal 7,374.0 99.2% 7,853.7 6,773.7 99.2% 6,919.4
Redeemable preferred stock 55.6 0.8% 60.0 55.6 0.8% 56.7
--------- ----- --------- --------- ----- ---------
Total Fixed
Maturities $ 7,429.6 100.0% $ 7,913.7 $ 6,829.3 100.0% $ 6,976.1
========= ===== ========= ========= ===== =========
- ----------------------------------------------------------------------------------------------------------------
The Exhibit above includes invested assets in the Closed Block and excludes
Trading Securities in Advest.
25
Exhibit 18B
(Unaudited)
FIXED MATURITIES BY INDUSTRY
- --------------------------------------------------------------------------------
As of September 30, 2002
------------------------
($ millions)
- ---------------------------------------------------------------------------------------------------------------------------
Industry Public % Private % Total %
- -------- ------ - ------- - ----- -
Consumer Goods & Services $ 588.7 12.5% $ 800.1 25.1% $ 1,388.8 17.6%
Other Manufacturing 182.8 3.9% 653.6 20.4% 836.4 10.7%
Government & Agency 820.6 17.5% 0.0 0.0% 820.6 10.4%
Non-Government- Asset/Mortgage Backed 528.9 11.3% 264.5 8.2% 793.4 10.0%
Public Utilities 484.6 10.3% 277.1 8.6% 761.7 9.6%
Financial Services 251.5 5.4% 350.2 10.9% 601.7 7.6%
Banks 501.8 10.7% 45.5 1.4% 547.3 6.9%
Transportation/Aerospace 331.2 7.0% 178.2 5.5% 509.4 6.4%
Energy 254.2 5.4% 224.0 7.0% 478.2 6.0%
Mortgage Backed-Government & Agency 347.5 7.4% 1.0 0.0% 348.5 4.4%
Nat/Res/Manuf(non-energy) 119.4 2.5% 219.6 6.8% 339.0 4.3%
Media/Adver/Printing 50.0 1.1% 110.8 3.4% 160.8 2.0%
Other 133.8 2.8% 16.9 0.5% 150.7 1.9%
Telecommunications 87.3 1.9% 14.0 0.4% 101.3 1.3%
Cable Television 15.9 0.3% 33.0 1.0% 48.9 0.6%
Bank Holding Companies 0.0 0.0% 27.0 0.8% 27.0 0.3%
---------------------------------------------------------------- ------
Total $ 4,698.2 100.0% $ 3,215.5 100.0% $ 7,913.7 100.0%
================================================================ ======
As of December 31, 2001
-----------------------
($ millions)
- ---------------------------------------------------------------------------------------------------------------------------
Industry Public % Private % Total %
- -------- ------ - ------- - ----- -
Consumer Goods & Services $ 463.6 12.2% $ 761.5 24.0% $ 1,225.1 17.7%
Other Manufacturing 523.4 13.8% 269.7 8.5% 793.1 11.4%
Government & Agency 436.4 11.4% 303.4 9.6% 739.8 10.6%
Non-Government- Asset/Mortgage Backed 168.0 4.4% 504.8 15.9% 672.8 9.6%
Public Utilities 222.5 5.8% 372.0 11.7% 594.5 8.5%
Financial Services 467.8 12.3% 42.4 1.3% 510.2 7.3%
Banks 303.4 8.0% 198.5 6.3% 501.9 7.2%
Transportation/Aerospace 199.9 5.3% 229.0 7.2% 428.9 6.1%
Energy 406.5 10.7% 0.1 0.0% 406.6 5.8%
Mortgage Backed-Government & Agency 95.1 2.5% 282.7 8.9% 377.8 5.4%
Nat/Res/Manuf(non-energy) 293.9 7.7% 1.0 0.0% 294.9 4.2%
Media/Adver/Printing 26.7 0.7% 106.2 3.3% 132.9 1.9%
Other 100.4 2.6% 20.3 0.7% 120.7 1.7%
Telecommunications 94.3 2.5% 16.6 0.6% 110.9 1.6%
Cable Television 1.1 0.0% 33.3 1.1% 34.4 0.5%
Bank Holding Companies 2.2 0.1% 29.4 0.9% 31.6 0.5%
---------------------------------------------------------------- ------
Total $3,805.2 100.0% $ 3,170.9 100.0% $ 6,976.1 100.0%
================================================================ ======
The Exhibit above includes invested assets in the Closed Block.
Excludes Trading Portfolio Assets.
26
Exhibit 18C
(Unaudited)
VENTURE CAPITAL PARTNERSHIP INVESTMENTS
VENTURE CAPITAL PARTNERSHIP INVESTMENTS (1):
- ------------------------------------------------------------------------------------------------------------------------------------
As of As of
September 30, 2002 December 31, 2001
------------------ -----------------
($ in millions) ($ in millions)
====================================================================================================================================
Equity Method
Public common stock $ 10.8 $ 9.0
Private common stock 72.8 83.6
------- ------
Sub-total 83.6 92.6
------- ------
Cost Method
Public common stock 19.8 22.0
Private common stock 89.6 115.1
------- ------
Sub-total 109.4 137.1
------- ------
Total Venture Capital Partnership Investments $ 193.0 $229.7
======= ======
(1) Includes other net assets included on partnerships financial statements
(e.g. cash, receivables, misc. payables, etc.)
VENTURE CAPITAL PARTNERSHIP INVESTMENTS BY SECTOR:
- ------------------------------------------------------------------------------------------------------------------------------------
As of As of
September 30, 2002 December 31, 2001
------------------ -----------------
($ Millions) % ($ Millions) %
====================================================================================================================================
Information Technology $ 94.0 48.7% $107.5 46.8%
Domestic LBO 44.8 23.2% 50.4 22.0%
Life Sciences 6.0 3.1% 20.0 8.7%
Telecommunications 13.3 6.9% 8.6 3.7%
International LBO 4.3 2.2% 14.0 6.1%
Merchant Banking 13.2 6.8% 11.9 5.2%
Other 17.4 9.1% 17.3 7.5%
------ ------ ------ ------
Total Venture Capital Partnership Investments by Sector $193.0 100.0% $229.7 100.0%
====== ====== ====== ======
27
Exhibit 19
(Unaudited)
PROBLEM, POTENTIAL PROBLEM AND RESTRUCTURED COMMERCIAL
MORTGAGES AT CARRYING VALUE
====================================================================================================
As of As of
September 30, December 31,
2002 2001
---- ----
($ millions)
====================================================================================================
Total Commercial Mortgages $ 1,433.3 $ 1,507.7
========= =========
Problem commercial mortgages (1) - 16.3
Potential problem commercial mortgages 50.2 64.5
Restructured commercial mortgages 24.0 57.9
--------- ---------
Total problem, potential problem and restructured
commercial mortgages $ 74.2 $ 138.7
========= =========
Total problem, potential problem and restructured
commercial mortgages as % of
total commercial mortgages 5.2% 9.2%
==== ====
Valuation allowances/writedowns (2)
Problem loans $ - $ 4.6
Potential problem loans 6.5 8.4
Restructured loans 4.5 4.7
--------- ---------
Total valuation allowances/writedowns $ 11.0 $ 17.7
========= =========
Total valuation allowances as a percent of
problem, potential problem and restructured
commercial mortgages at carrying value before
valuation allowances and writedowns 12.9% 11.3%
===== =====
====================================================================================================
(1) Problem commercial mortgages include delinquent loans and mortgage loans in
foreclosure.
(2) Includes impairment writedowns recorded prior to adoption of SFAS No. 114,
Accounting by Creditors for Impairment of a Loan.
The Exhibit above includes invested assets in the Closed Block.
28
Exhibit 20A
(Unaudited)
EQUITY REAL ESTATE
================================================================================
As of As of
----- -----
September 30, December 31,
2002 2001
---- ----
($ millions)
================================================================================
TYPE
Real estate $ 170.5 $ 186.5
------- -------
Subtotal 170.5 186.5
Foreclosed 42.6 44.3
------- -------
Total $ 213.1 $ 230.8
======= =======
29
Exhibit 20B
(Unaudited)
MORTGAGES AND REAL ESTATE
==================================================================================================
As of As of
September 30, 2002 December 31, 2001
------------------ -----------------
($ millions) ($ millions)
==================================================================================================
Geographic Region
Southeast $ 436.3 22.2% $ 449.1 22.0%
West 350.9 18.0% 361.6 17.7%
Northeast 236.5 12.1% 274.1 13.4%
Mountain 374.9 19.2% 414.2 20.3%
Midwest 335.5 17.2% 336.2 16.5%
Southwest 220.3 11.3% 205.3 10.1%
-------- ----- -------- -----
$1,954.4 100% $2,040.5 100%
======== ===== ======== =====
As of As of
September 30, 2002 December 31, 2001
------------------ -----------------
($ millions) ($ millions)
==================================================================================================
Property Type:
Office Buildings $ 815.5 41.7% $ 873.3 42.8%
Agricultural 309.4 15.8% 304.9 14.9%
Hotel 279.2 14.3% 297.8 14.6%
Retail 147.9 7.6% 138.8 6.8%
Industrial 159.1 8.1% 156.6 7.7%
Other 120.4 6.2% 135.1 6.6%
Apartment Buildings 122.9 6.3% 134.0 6.6%
-------- ----- -------- -----
$1,954.4 100% $2,040.5 100%
======== ===== ======== =====
The Exhibit above includes invested assets in the Closed Block.
30
Exhibit 21
(Unaudited)
HISTORICAL QUARTERLY DATA
- --------------------------------------------------------------------------------------------------------------------------------
Q3'02 Q2'02 Q1'02 2001
($ millions, except per share amounts)
- --------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums 160.5 $ 169.9 $ 164.4 $ 695.3
Universal life and investment-type product policy fees 54.6 52.5 49.0 207.2
Net investment income 170.1 181.9 189.7 692.1
Net realized (losses)/gains on investments (41.2) (25.5) (2.4) (12.3)
Group pension profits 6.8 7.5 7.7 30.7
Retail brokerage and investment banking 109.1 97.6 90.8 343.5
Other income 24.9 29.3 38.2 147.1
----------------------------------------------------------
Total revenues 484.8 513.2 537.4 2,103.6
----------------------------------------------------------
BENEFITS AND EXPENSES:
Benefits to policyholders 195.3 199.5 190.7 814.7
Interest credited to policyholder account balances 30.0 27.9 27.9 110.5
Amortization of deferred policy acquisition costs 49.6 38.0 32.8 158.8
Dividends to policyholders 53.4 56.8 61.5 236.6
Other operating costs and expenses 202.9 207.1 203.4 876.4
----------------------------------------------------------
Total benefits and expenses 531.2 529.3 516.3 2,197.0
----------------------------------------------------------
(Loss)/Income before income taxes and extraordinary item (46.4) (16.1) 21.1 (93.4)
Income tax (benefit)/expense (16.2) (5.1) 6.8 (32.6)
----------------------------------------------------------
Net (loss)/income $ (30.2) $ (11.0) $ 14.3 $ (60.8)
==========================================================
Net (loss)/income $ (30.2) $ (11.0) $ 14.3 $ (60.8)
Realized losses included in the 4th quarter charge - - - 13.1
Net realized losses/(gains) on investments (after-tax) 23.4 15.5 0.9 (1.2)
----------------------------------------------------------
Operating (loss)/income (6.8) 4.5 15.2 (48.9)
Other Charges - 4.5 - 81.9
Venture capital loss/(income) 5.1 3.0 (3.3) 9.1
----------------------------------------------------------
Operating (loss)/income as adjusted: $ (1.7) $ 12.0 $ 11.9 $ 42.1
==========================================================
Number of Shares Used in Per Share Calculations:
BASIC 47,414,250 47,994,628 48,012,310 48,608,378
DILUTED 47,414,250 47,994,628 49,737,205 48,608,378
Net (Loss)/Income Per Share:
BASIC $ (0.64) $ (0.23) $ 0.30 $ (1.25)
DILUTED $ (0.64) $ (0.23) $ 0.29 $ (1.25)
Operating (loss)/income
BASIC $ (0.14) $ 0.09 $ 0.32 $ (1.01)
DILUTED $ (0.14) $ 0.09 $ 0.31 $ (1.01)
Operating (loss)/income as adjusted:
BASIC $ (0.04) $ 0.25 $ 0.25 $ 0.87
DILUTED $ (0.04) $ 0.25 $ 0.24 $ 0.87
HISTORICAL QUARTERLY DATA
- --------------------------------------------------------------------------------------------------------------------------------
Q4'01 Q3'01 Q2'01 Q1'01
($ millions, except per share amounts)
- --------------------------------------------------------------------------------------------------------------------------------
REVENUES:
Premiums $ 194.8 $ 162.0 $ 173.4 $ 165.1
Universal life and investment-type product policy fees 55.1 50.1 52.3 49.7
Net investment income 146.0 172.9 189.5 183.7
Net realized gains on investments (18.3) 0.5 3.0 2.5
Group pension profits 3.5 8.0 9.3 9.9
Retail Brokerage and Investment Banking 90.5 82.1 99.8 71.1
Other income 53.3 21.8 41.7 30.3
----------------------------------------------------------
Total revenues 524.9 497.4 569.0 512.3
----------------------------------------------------------
BENEFITS AND EXPENSES:
Benefits to policyholders 218.6 203.9 194.5 197.7
Interest credited to policyholder account balances 27.3 27.9 27.0 28.3
Amortization of deferred policy acquisition costs 60.4 32.9 28.3 37.2
Dividends to policyholders 66.9 54.5 60.6 54.6
Other operating costs and expenses 285.4 190.0 226.8 174.2
----------------------------------------------------------
Total benefits and expenses 658.6 509.2 537.2 492.0
----------------------------------------------------------
Income/(Loss) before income taxes and extraordinary item (133.7) (11.8) 31.8 20.3
Income tax (benefit)/expense (46.0) (3.1) 9.5 7.0
----------------------------------------------------------
Net (loss)/income $ (87.7) $ (8.7) $ 22.3 $ 13.3
==========================================================
Net (loss)/income $ (87.7) $ (8.7) $ 22.3 $ 13.3
Realized losses included in the 4th quarter charge 13.1 - - -
Net realized gains/(losses) on investments (after-tax) (0.4) 1.4 (0.6) (1.6)
----------------------------------------------------------
Operating income/(loss) (75.0) (7.3) 21.7 11.7
Other Charges 81.9 - - -
Venture capital loss/(income) - 10.1 (4.1) 3.1
----------------------------------------------------------
Operating income as adjusted: $ 6.9 $ 2.8 $ 17.6 $ 14.8
==========================================================
Number of Shares Used in Per Share Calculations:
BASIC 47,786,913 48,642,274 49,363,512 48,720,335
DILUTED 47,786,913 48,642,274 50,913,099 50,314,782
Net (Loss)/Income Per Share:
BASIC $ (1.84) $ (0.18) $ 0.45 $ 0.27
DILUTED $ (1.84) $ (0.18) $ 0.44 $ 0.26
Operating income/(loss)
BASIC $ (1.57) $ (0.15) $ 0.44 $ 0.24
DILUTED $ (1.57) $ (0.15) $ 0.43 $ 0.23
Operating income as adjusted:
BASIC $ 0.14 $ 0.06 $ 0.36 $ 0.30
DILUTED $ 0.14 $ 0.06 $ 0.35 $ 0.29
31
Exhibit 22
STATUTORY EXPENSE RATIOS
=======================================================================================================================
Three Months Ending Nine Months Ending
September 30, September 30, As of December 31,
------------ ------------
2002 2001 2002 2001 2001 2000 1999 1998 1997
---- ---- ---- ---- ---- ---- ---- ---- ----
PREMIUMS AND
DEPOSITS(1)(6)(8):
MONY Life
Insurance Company $188.5 $209.2 $ 559.6 $ 613.4 $ 860.2 $1,126.8 $ 900.0 $ 919.8 $1,003.0
MONY Life
Insurance Company
of America 279.3 228.0 714.8 678.1 910.5 1,549.7 1,361.0 774.3 770.6
------ ------ -------- -------- -------- -------- -------- -------- --------
Total $467.8 $437.2 $1,274.4 $1,291.5 $1,770.7 $2,676.5 $2,261.0 $1,694.1 $1,773.6
====== ====== ======== ======== ======== ======== ======== ======== ========
GENERAL EXPENSES
(2)(4)(5)(7):
MONY Life
Insurance Company $ 48.5 $ 56.2 $ 161.5 $ 174.8 $ 240.4 $ 261.1 $ 247.8 $ 308.2 $ 355.9
MONY Life
Insurance Company
of America 37.3 32.5 102.3 97.0 129.7 117.9 106.7 86.7 65.1
------ ------ -------- -------- -------- -------- -------- -------- --------
Total $ 85.8 $ 88.7 $ 263.8 $ 271.8 $ 370.1 $ 379.0 $ 354.5 $ 394.9 $ 421.0
====== ====== ======== ======== ======== ======== ======== ======== ========
LESS REAL ESTATE
EXPENSES(3):
MONY Life
Insurance Company $ 4.9 $ 2.6 $ 13.4 $ 7.4 $ 9.9 $ 22.5 $ 34.9 $ 56.3 $ 86.2
MONY Life
Insurance Company
of America 0.7 0.7 2.2 2.0 2.6 2.7 2.8 3.2 5.4
------ ------ -------- -------- -------- -------- -------- -------- --------
Total $ 5.6 $ 3.3 $ 15.6 $ 9.4 $ 12.5 $ 25.2 $ 37.7 $ 59.5 $ 91.6
====== ====== ======== ======== ======== ======== ======== ======== ========
Expenses (excluding
real estate
expenses) $ 80.2 $ 85.4 $ 248.2 $ 262.4 $ 357.6 $ 353.8 $ 316.8 $ 335.4 $ 329.4
====== ====== ======== ======== ======== ======== ======== ======== ========
Expenses (excluding
real estate expenses)
to Net Premiums and
Deposits 17.1% 19.5% 19.5% 20.3% 20.2% 13.2% 14.0% 19.8% 18.6%
======================================================================================================================
(1) Full Year Results from Annual Statement Page 4, Line 1 for 2001. And Lines
1 and 1a for the years of 1997 to 2000.
(2) Full Year Results from Annual Statement Exhibit 5, Line 10
(3) Full Year Results from Annual Statement Exhibit 5, Line 9.1
(4) 1998 General Expenses Exclude Year to date Disbursements of $20 million and
quarter to date disbursements of $5.1 million for Y2K and other strategic
items
(5) 1999 Excludes $59.7 million of early retirement and realignment charge
(6) Includes transfers to new products series of $19 million and $37 for three
month ended September 30, 2002 and 2001 respectively, $52 million and $180
million for nine month period ended September 30, 2002 and 2001
respectively, $208 million, $998 million, and $742 million for the years
ended December 31, 2001, 2000 and 1999 respectively,
(7) Adjusted to exclude Reorganization and Other Charges of $24.3 million for
the year ended December 31, 2001.
(8) Beginning in 2001, contributions relating to contracts issued by an insurer
that do not incorporate mortality or morbidity risk (deposit-type
contracts) are not reported as premium and deposits, but are accounted for
as deposit liabilities. In prior years these amounts were reported as
premium and deposits. Contributions for deposit-type contracts of $73.9
million for the year ended December 31, 2001, $60.8 million and $67.2
million for the nine months ended September 30, 2002 and 2001,
respectively, and $27.0 million and $24.7 million for the three months
September 30, 2002 and 2001, respectively, have been included as premiums
and deposits for purposes of the presentation above.
32