Press Releases
Pan-American Life Insurance Company Reports 2005 Results
NEW ORLEANS 3/16/2006 12:00:00 AM
Overcomes challenges from Hurricane Katrina to accomplish major corporate goals
NEW ORLEANS – (March 16, 2006) – Pan-American Life Insurance Company, a leading international insurance company providing life insurance, group life and health, and worksite benefits, today reported 2005 statutory revenues of $242.3 million and a net loss of $4.5 million. This includes a $5.2 million business recovery expense related to Hurricane Katrina and a one-time restructuring charge of $9.4 million.
"Pan-American Life Insurance Company ended 2005 with a strong sense of pride and accomplishment,” said José S. Suquet, President and Chief Executive Officer of Pan-American. “After facing one of the biggest natural disasters in United States history, we emerged stronger and strategically positioned for a groundbreaking road ahead.”
In addition, the Company strengthened the Board of Directors with the election of two senior industry executives, as well as its management team with seven seasoned insurance executives, divested non-core businesses, and restructured its operations in New Orleans to 347 employees from 481 in 2004, a 38% reduction.
Additional key highlights in 2005:
- Pan-American reinvigorated its worksite business by increasing collected premiums by 22% over 2004 levels.
- Total sales were up 1% despite minor service interruptions due to Hurricane Katrina.
- The Company completed a $50 million private placement surplus note increasing adjusted surplus to $287 million from $247 million in 2004.
- FSC Securities Corporation (FSC) assumed full responsibility of all Pan-American Financial Advisers (PAFA) account assets - an important step in Pan-American’s continued efforts to focus on core lines of business.
About Pan-American Life
The Pan-American Life Insurance Group is a leading provider of insurance and financial services serving nearly half a million customers throughout the Americas. New Orleans-based Pan-American Life Insurance Company, the Group's flagship member, has been delivering trusted financial services since 1911, employing more than 700 worldwide, providing top-rated life and health insurance, worksite benefits and financial services in 47 states, the District of Columbia (DC) and Puerto Rico. The Group’s member companies offer individual and/or group life and health insurance throughout Latin America. The Group has branches and affiliates in Costa Rica, Colombia, Ecuador, El Salvador, Guatemala, Honduras, Panama, Puerto Rico, and the Cayman Islands. For more information, visit the Pan-American Life Web site at www.panamericanlife.com
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