Slide 1: Second Quarter 2009 Financial and Operating Results
Second Quarter 2009 Financial and Operating Results For the period ended June 30, 2009 Conseco, Inc. August 5, 2009
Slide 2: Forward-Looking Statements
Forward-Looking Statements Cautionary Statement Regarding Forward-Looking Statements. Our statements, trend analyses and other information contained in these materials relative to markets for Conseco’s products and trends in Conseco’s operations or financial results, as well as other statements, con
Slide 3: Non-GAAP Measures
Non-GAAP Measures This presentation contains the following financial measures that differ from the comparable measures under Generally Accepted Accounting Principles (GAAP): operating earnings measures; book value, excluding accumulated other comprehensive income (loss) per share; operating return m
Slide 4: Q2 2009 Summary
Q2 2009 Summary CNO Second consecutive profitable quarter EBIT of $86.7 million, up 47% over Q2 2008 Continued profitability in all three insurance segments Net income of $27.6 million Core sales* of $91.8 million, down 1% from Q2 2008 Trailing four-quarter premium up 8% over a year ago Agent recrui
Slide 5: Q2 2009 Summary
Q2 2009 Summary CNO Net realized investment losses of $13.2 million Total other-than-temporary impairment losses of $53.7 million $36.6 million recorded in earnings $17.1 million recorded in accumulated other comprehensive loss Accumulated other comprehensive loss improved by $793.6 million, to $(1,
Slide 6: Collected Premiums
Collected Premiums CNO ($ millions) Collected Premiums-Trailing 4 Quarters Slight decline at Bankers Q4 2008 Q1 2009 Q2 2009 due to termination of Q2 2008 Q3 2008 $4,524.9 $4,549.3 $4,494.9 $4,167.3 $4,275.1 PFFS group quota share contracts Consistent growth at CIG Colonial Penn CP Slight decline at
Slide 7: Q2 2009 Summary of Results
Q2 2009 Summary of Results CNO ($ millions, except per-share amounts) Pre-Tax After Tax EPS Bankers Life $63.3 Colonial Penn 11.0 Conseco Insurance Group 21.2 Corporate operations and interest expense (32.7) Income before net realized investment losses* $62.8 $40.8 $0.22 Net realized investment loss
Slide 8: Q2 Earnings Consolidated
Q2 Earnings CNO Consolidated ($ millions) Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Bankers Life $34.6 $67.8 $40.0 $44.7 $63.3 Colonial Penn 8.3 6.5 6.7 5.1 11.0 Conseco Insurance Group 32.3 34.2 31.5 31.2 21.2 Corporate operations, excluding interest expense (16.2) (3.7) (0.1) (8.7) (8.8) Total EBIT*
Slide 9: Operating ROE
Operating ROE CNO Operating ROE*, Trailing 4 Quarters Operating ROE (Before Annuity Coinsurance Transaction)**, Trailing 4 Quarters *Operating return excludes net realized **Operating return, as calculated and defined on investment gains (losses), valuation allowance the left side of this page, but
Slide 10: Operating EPS
Operating EPS* CNO Seasonality of Q2 Q3 Q4 Q1 Q2 Operating EPS** 20-25% 23-28% 26-31% 17-22% 20-25% *Operating earnings per share exclude net realized investment gains (losses), valuation allowance related to deferred tax assets and discontinued operations. See Appendix for corresponding GAAP measur
Slide 11: Key Debt Covenants
Key Debt Covenants CNO ($ millions) Q4 2008 Q1 2009 Q2 2009 Covenant Margins as of 6/30/09* Bank Covenant Debt/Capital Ratio** Covenant Maximum 30.0% 32.5% 32.5% Reduction to shareholders’ equity of approximately $807 million or Actual 28.3% 27.9% 27.0% additional debt of $389 million. Interest Cove
Slide 12: Liquidity Projection For Remainder of 2009
Liquidity Projection For Remainder of 2009 CNO ($ millions) Cash Balance 6/30/09 $78.9 Sources Dividends $25.0 Surplus Debenture Interest 17.5 Management and Investment Fees 30.0 Total Sources $72.5 Uses Interest $36.7 Debt Repayments: Senior Credit Facility 4.4 Senior Health Note 25.0 Holding Compa
Slide 13: Consolidated RBC Ratio
Consolidated RBC Ratio* CNO Q2 2009 positive impacts: Mortgage Experience Adjustment Factor relief (29 pts) Statutory operating results (14 pts) Q2 2009 negative impacts: Credit rating migration (20 pts) Net statutory capital losses (7 pts) *Risk-Based Capital (“RBC”) requirements provide a tool for
Slide 14: Consolidated RBC Ratio – Changes Over Last Four Quarters
Consolidated RBC Ratio – Changes Over Last Four Quarters CNO +5% 6/30/08 +2% +9% RBC +7% 6/30/09 +9% 271% +11% RBC -59% -9% 247% +39% -38% 14
Slide 15: Capital and Risk Management Initiatives
Capital and Risk Management Initiatives CNO Reinsure inforce business – Wilton Re – pro forma +8 pts RBC Reinsure new business (focus on Bankers) Modified RGA agreement to increase Bankers LTC reinsurance to 70% on 2009 business Manage investment portfolio to mitigate RBC impact of ratings migration
Slide 16: Capital Structure
Capital Structure CNO ($ millions) 12/31/08 3/31/09 6/30/09 Credit Facility (10/2013) $856.8 $853.4 $854.6 Revolving Credit Facility (6/2009) 55.0 55.0 0.0 6% Senior Note ($25 million/year beginning 11/2009) 125.0 125.0 125.0 3.5% Convertible Debentures (9/2010) 293.0 293.0 293.0 Unamortized Discoun
Slide 17: Q2 Summary Bankers
Q2 Summary Bankers Earnings of $63.3 million, up 83% over Q2 2008: Higher LTC margins (+$18 million) Higher Medicare Supplement margins (+$7 million) Lower benefit ratio Improved persistency Increase in COLI surrender value (+$4 million), plus death benefit recognized (+$3 million) Continued strong
Slide 18: NAP Results Bankers
NAP Results Bankers ($ millions) Quarterly Core NAP (Excludes PFFS) Core NAP up 6% vs Q2 2008 Strong sales of Annuities (+14%) and Med Supp (+13%), partially offset by lower sales of LTC (-8%) and flat Life sales PFFS: Q2 2008 sales reflect chargebacks YTD 2009 sales down 24% due to changes in consu
Slide 19: Q2 2009 Sales and Distribution Results Bankers
Q2 2009 Sales and Distribution Results Bankers Continued growth in agent force Average agent count YTD 5,183, up 11% vs. first six months of 2008 Coventry’s decision to exit PFFS for 2010 not expected to disrupt distribution During Q2 2009, announced strategic alliance with Humana to begin selling t
Slide 20: Medicare Advantage Bankers
Medicare Advantage Bankers As previously announced, Coventry is exiting PFFS business effective 12/31/09 PFFS relationship terminates; affects approximately 55,000 Bankers-sold PFFS members, partially reinsured by Bankers PDP relationship (distribution and reinsurance) remains unchanged Entered dist
Slide 21: Annuity Sales Bankers
Annuity Sales Bankers ($ millions) Annuities – NAP* Annuity sales up 14% vs Q2 2008 SEC designation of indexed Q4 2008 annuities as securities (Rule 151A) $24.4 not expected to significantly impact Q3 2008 Bankers total annuity sales $19.4 Q1 2009 Q2 2009 $18.2 $17.8 Majority of Bankers branch offic
Slide 22: Annuity Surrenders Bankers
Annuity Surrenders Bankers IA Surrenders Indexed Annuity surrenders (annualized quarterly rate) higher Non-IA surrenders stable Average account value: IAs - $41,000 Non-IAs - $35,000 Non-IA Surrenders Over 89% of our annuities are (annualized quarterly rate) still in surrender charge period: IAs – 9
Slide 23: LTC Update Bankers
LTC Update Bankers Rate increases ahead of schedule (2008 round – policies issued prior to 2002); expect to exceed original goals Filed $102.5 million of rate increases = 100% of original goal As of 6/30/09: Approvals = $70.9 million, 100% of original goal Projected financial impact = $53.2 million,
Slide 24: Q2 Earnings Bankers
Q2 Earnings Bankers ($ millions) Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Insurance policy income $543.4 $537.7 $531.8 $491.5 $497.6 Net investment income 135.2 138.3 155.4 142.2 163.6 Fee revenue and other income 2.1 3.1 4.2 1.4 1.6 Total revenues 680.7 679.1 691.4 635.1 662.8 Insurance policy benef
Slide 25: Q2 Summary Colonial Penn
Q2 Summary Colonial Penn Earnings of $11.0 million, up 33% over Q2 2008 Increase primarily driven by distributions from a terminated reinsurance pool (+$3 million) Life sales of $10.6 million, down 27% from Q2 2008 Consistent with cost reductions undertaken earlier this year as part of our capital m
Slide 26: Q2 Earnings Colonial Penn
Q2 Earnings Colonial Penn ($ millions) Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Insurance policy income $47.5 $46.4 $46.5 $47.1 $52.7 Net investment income 10.1 10.1 10.2 9.8 9.8 Fee revenue and other income 0.5 0.5 0.5 0.2 0.2 Total revenues 58.1 57.0 57.2 57.1 62.7 Insurance policy benefits 35.5 33
Slide 27: Q2 Summary CIG
Q2 Summary CIG Earnings of $21.2 million, down 34% vs Q2 2008: Lower Annuity results due to higher surrenders (-$10 million) Lower LTC margins (-$4 million) Lower Specified Disease margins (-$2 million) Partially offset by higher Life margins due to favorable mortality (+$7 million) Continued strong
Slide 28: Q2 2009 Sales and Distribution Results CIG
Q2 2009 Sales and Distribution Results CIG ($ millions) Specified Disease sales up 18% over Q2 2008 Worksite sales continue strong momentum, up 13% YTD Strong recruiting results, with 126 new recruits for PMA and 502 for CIG Sales Decrease in Annuity sales, consistent with CIG’s re-focus Q2 2008 Q2
Slide 29: Annuity Surrenders CIG
Annuity Surrenders CIG IA Surrenders IA surrenders slightly down from Q1 (annualized quarterly rate) 2009, but up significantly over 2008 due to market value adjustment feature included in some products Non-IA surrenders stable Average account value:* IAs - $44,700 Non-IAs - $20,500 Non-IA Surrender
Slide 30: Q2 Earnings CIG
Q2 Earnings CIG ($ millions) Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Insurance policy income $239.1 $237.7 $238.4 $244.2 $241.0 Net investment income 138.7 134.0 143.7 134.3 141.1 Fee revenue and other income 0.5 0.1 0.3 0.7 0.4 Total revenues 378.3 371.8 382.4 379.2 382.5 Insurance policy benefits
Slide 31: Q2 2009 Net Realized Losses
Q2 2009 Net Realized Losses CNO ($ millions) Amount Recognized through Accumulated Gross Other Comprehensive Amount Recognized Amounts Income through Net Income Gains on sales $83.6 - $83.6 Losses on sales (63.3) - (63.3) Losses due to recognition of other- than-temporary impairments (53.7) $(17.1)
Slide 32: Q2 2009 Downgrades from Investment Grade to Below Investment Grade
Q2 2009 Downgrades from Investment Grade to Below Investment Grade CNO ($ millions) Effect of Statutory Book Downgrades on Type Value # Issues RBC Ratio* IG Corporates $98.6 7 (0.9%) Financials 81.7 6 (0.8%) Alt-A 13.2 1 (0.1%) Prime Jumbo 176.6 8 (5.4%) Other 46.6 2 (2.3%) Total $416.7 24 (9.5%) *I
Slide 33: Q2 2009 Impairment Losses
Q2 2009 Impairment Losses CNO ($ millions) Amount Recognized through Accumulated Gross Other Comprehensive Amount Recognized Amounts Income through Net Income Below-Investment Grade Corporates $1.9 $0.0 $1.9 Financials* 17.3 0.0 17.3 Subprime 6.7 6.0 0.7 Alt-A 9.3 8.2 1.1 CMBS 1.7 1.6 0.1 Commercial
Slide 34: Investment Quality: Fixed Maturities
Investment Quality: Fixed Maturities* CNO Actively Managed Fixed Maturities by Rating at 6/30/09 (Market Value) Investment-grade bonds at 91%, unchanged from 3/31/09: Sales of below investment- <BBB AAA grade bonds offset the 9% 14% AA 6% negative impact of credit cycle-related ratings migration BBB
Slide 35: Asset Allocation at 6/30/09
Asset Allocation at 6/30/09* CNO ($ millions) MTM reflects generally tighter spreads during Q2 2009 *Excludes investments from a variable interest entity which we consolidate under GAAP (the related liabilities are non-recourse to Conseco). 35
Slide 36: Alt-A at 6/30/09
Alt-A at 6/30/09 CNO ($ millions) Market Book % of Avg. Avg. Avg. 60+ Avg. Accum. % of Rating Value (mil.) Value (mil.) Alt-A* FICO Support Delinq. Loss Portfolio* AAA $7.0 $8.8 3.5% 691 12.8% 10.5% 0.07% 0.03% AA $45.8 $55.5 23.0% 729 8.9% 6.7% 0.41% 0.23% A $6.7 $10.0 3.3% 691 11.8% 13.3% 0.77% 0.
Slide 37: Sub-Prime ABS at 6/30/09
Sub-Prime ABS at 6/30/09 CNO ($ millions) Market Book % of Avg. Avg. Avg. 60+ % of Rating Value (mil.) Value (mil.) Subprime* FICO Support Delinq. Portfolio* AAA $15.6 $21.9 40.3% 633 34.6% 16.2% 0.08% AA $7.6 $13.7 19.6% 632 23.5% 13.4% 0.04% A $5.2 $17.2 13.4% 662 21.8% 9.9% 0.03% BBB $6.8 $13.3 1
Slide 38: CMBS by Vintage at 6/30/09
CMBS by Vintage at 6/30/09 CNO (GAAP book value - $ millions) Our CMBS exposure is heavily weighted toward securities with high ratings and seasoned vintages with relatively stronger qualitative characteristics AAA AA A BBB <BBB Pre-2004 $206.6 $34.2 $42.3 $12.0 $0.0 2004 $153.2 $3.0 $16.5 $19.6 $0.
Slide 39: CMBS at 6/30/09
CMBS at 6/30/09 CNO ($ millions) Market Book % of Avg. Avg. 60+ Avg. Cum. % of Rating Value (mil.) Value (mil.) CMBS* Support Del. & FCR Loss Portfolio* AAA $540.2 $600.1 79.9% 27.3% 1.2% 0.41% 2.71% AA $35.7 $54.1 5.3% 26.0% 0.4% 0.09% 0.13% A $53.7 $106.4 7.9% 6.9% 0.9% 0.11% 0.27% BBB $27.6 $111.
Slide 40: CMBS by Collateral Type at 6/30/09
CMBS by Collateral Type at 6/30/09 CNO Our CMBS are backed by a diverse pool of underlying collateral – $87 billion, from more than 7,900 commercial mortgage loans 40
Slide 41: Commercial Mortgage Loans at 6/30/09
Commercial Mortgage Loans at 6/30/09 CNO By Vintage By Property Type LTV of approximately 64% Debt Service Coverage Ratio relatively stable at underwritten levels of approximately 1.45 Emphasis on reducing overall allocation via prepayments, etc. 41
Slide 42: Summary
CNO Summary CNO Second consecutive quarter of net income Seasonality has historically produced stronger earnings in second half of year Core sales continue to improve in declining market Capital and risk management remain our top priorities Convertible debentures due September 2010 Continue to evalu
Slide 43: Questions and Answers
S CONSECO Questions and Answers
Slide 44: Appendix
S CONSECO. Appendix
Slide 45: Book Value Per Share
Book Value Per Share* CNO Increase from Q1 2009 due to Q2 2009 net income *Book value excludes accumulated other comprehensive income (loss). See Appendix for corresponding GAAP measure. 45
Slide 46: Net Investment Income
Net Investment Income CNO ($ millions) General Account Investment Income Decreases in 2009 primarily due to increase in cash and short-term investment balances compared to prior periods Yield: 5.82% 5.91% 5.93% 5.67% 5.65% 46
Slide 47: Expenses
Expenses CNO ($ millions) Adjusted Operating Expenses* Approximately $20 million in savings from back-office consolidation realized in 2007 and 2008; remaining $5 million expected in 2009 Q4 2008 reflects increased investment in business growth at Bankers Q2 2009 reflects the impact of business grow
Slide 48: Segment Performance Bankers
Segment Performance Bankers ($ millions) Pre-Tax Operating Income* Earnings up 83% vs Q2 2008 Earnings positively affected by: Higher LTC margins Higher Life margins Higher Med Supp margins Offset by: FAS 133 accounting PTOI-Trailing 4 Quarters: $189.5 $189.8 $171.5 $187.1 $215.8 Revenues-Quarterly:
Slide 49: Premiums – Medicare Supplement Bankers
Premiums – Medicare Supplement Bankers Medicare Supplement – First-Year Premiums ($ millions) First-year premiums up 9% vs Q2 2008 Med. Supp. First-Year Prems.-Tr. 4 Qtrs: $78.8 $79.3 $81.3 $81.9 $83.6 Med. Supp. Total Premiums-Quarterly: $150.6 $153.8 $172.3 $155.8 $155.2 Med. Supp. NAP-Quarterly:
Slide 50: Premiums – Long-Term Care Bankers
Premiums – Long-Term Care Bankers ($ millions) Long-Term Care – First-Year Premiums* Quarterly first-year premium declines due to new business reinsurance Q1 2009 Q2 2009 (Direct) (Direct) NAP decline attributable to three $8.6 $9.1 main factors: Overall industry sales decline Agent force shift towa
Slide 51: Premiums – Life Insurance Bankers
Premiums – Life Insurance Bankers ($ millions) Life – First-Year Premiums Fluctuations in first-year Q2 2008 $22.5 Q4 2008 Q3 2008 premiums primarily reflect $19.5 $20.2 Q2 2009 $19.4 Q1 2009 variance in sales of single- SPWL $9.4 $16.8 premium policies $7.5 $8.2 $7.8 $6.2 Non-SPWL premiums down 11%
Slide 52: Premiums – Annuity Bankers
Premiums – Annuity Bankers ($ millions) Annuity – First-Year Premiums Annuity first-year premiums up 6% over Q2 2008 First-Year Prems.-Tr. 4 Qtrs: $959.4 $1,031.3 $1,220.6 $1,294.1 $1,308.7 Total Premiums-Quarterly: $261.1 $323.1 $411.2 $302.1 $275.4 52
Slide 53: Benefit Ratio – PDP Bankers
Benefit Ratio* – PDP Bankers Up 2% vs Q2 2008 Impacted by true-up to previous quarter estimate *We calculate benefit ratios by dividing insurance policy benefits by insurance policy income. 53
Slide 54: Benefit Ratio – PFFS Individual Business Bankers
Benefit Ratio* – PFFS Individual Business Bankers Q2 2009 vs Q2 2008 comparison impacted by prior- year IBNR strengthening *We calculate benefit ratios by dividing insurance policy benefits by insurance policy income. 54
Slide 55: Interest-Adjusted Benefit Ratio – Long Term Care Bankers
Interest-Adjusted Benefit Ratio* – Long Term Care Bankers Q2 2009 positively impacted by continued stabilization of incurred claims and excess terminations Completed Round Three re-rates on legacy block; expect $50 million annual financial impact Began implementation of premium re-rates (Round Two)
Slide 56: Segment Performance Colonial Penn
Segment Performance Colonial Penn ($ millions) Pre-Tax Operating Income* Q2 2008 to Q2 2009 change affected by: $3 million reinsurance termination Q1 2009 to Q2 2009 change affected by: $3 million reinsurance termination Favorable mortality rates on core life Lower amortization costs due to favorabl
Slide 57: Premiums – Life Insurance Colonial Penn
Premiums – Life Insurance Colonial Penn ($ millions) Life – First-Year Premiums NAP: Trailing 4 quarters relatively flat 2009 levels consistent with capital management efforts Premium: Recent sales growth reflected in premium development First-Year Prems.-Tr. 4 Qtrs: $32.3 $33.7 $35.0 $35.8 $35.3 To
Slide 58: Segment Performance CIG
Segment Performance CIG ($ millions) Pre-Tax Operating Income* Lower Specified Disease margin due to higher incurred claims Lower Medicare Supplement margin driven by lower premium Lower LTC margin due to higher home health care costs Unlocking adjustment negatively impacting Indexed Annuity block d
Slide 59: Premiums - Medicare Supplement CIG
Premiums - Medicare Supplement CIG ($ millions) Medicare Supplement – First-Year Premiums NAP lower vs Q2 2008: Continue to focus on the sale of profitable product lines, rather than increasing overall sales First-Year Prems.-Tr. 4 Qtrs: $12.7 $10.6 $9.6 $8.3 $7.9 Total Premiums-Quarterly: $49.6 $48
Slide 60: Premiums – Specified Disease CIG
Premiums – Specified Disease CIG ($ millions) Specified Disease – First-Year Premiums NAP up 18% from Q2 2008: Increased PMA focus on Specified Disease products Increased recruitment of Health IMOs Momentum increasing in Worksite market First-Year Prems.-Tr. 4 Qtrs: $35.6 $37.6 $39.4 $40.2 $41.5 Tot
Slide 61: Premiums – Annuity CIG
Premiums – Annuity CIG ($ millions) Annuity – First-Year Premiums First-year collections down 40% from Q2 2009: Discontinuance of products due to an annuity coinsurance transaction Focus on profitable products (i.e., Specified Disease) First-Year Prems.-Tr. 4 Qtrs: $203.4 $155.3 $119.9 $98.5 $84.7 T
Slide 62: Benefit Ratio – Medicare Supplement CIG
Benefit Ratio* – Medicare Supplement CIG In line with expectations and recent trends Stable persistency Trailing 4 Quarter Avg.: 68.0% 69.1% 68.4% 68.8% 68.6% *We calculate benefit ratios by dividing insurance policy benefits by insurance policy income. 62
Slide 63: Interest-Adjusted Benefit Ratio – Specified Disease CIG
Interest-Adjusted Benefit Ratio* – Specified Disease CIG Q4 2008 included recognition of deferred ROP adjustment related to prior periods Q2 2009 recognized higher incurred claims Trailing 4 Quarter Avg.: 47.6% 47.4% 43.3% 41.8% 42.6% Qtrly. non-int. adjusted: 80.4% 82.6% 63.8% 76.0% 83.3% *We calcu
Slide 64: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures The following provides additional information regarding certain non-GAAP measures used in this presentation. A non-GAAP measure is a numerical measure of a company’s performance, financial position, or cash flows that excludes or includes am
Slide 65: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures A reconciliation of net income applicable to common stock to net operating income (and related per-share amounts) is as follows (dollars in millions, except per-share amounts): Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Net income (loss) applic
Slide 66: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures Book value, excluding accumulated other comprehensive income, per share This non-GAAP financial measure differs from book value per diluted share because accumulated other comprehensive income has been excluded from the book value used to de
Slide 67: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures Operating return measures Management believes that an analysis of return before net realized gains or losses, discontinued operations and increases to our valuation allowance for deferred tax assets (“net operating income,” a non-GAAP financ
Slide 68: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures A reconciliation of return on common equity to operating return on common equity (excluding accumulated other comprehensive income (loss) and net operating loss carryforwards) is as follows (dollars in millions, except per share amounts): Q2
Slide 69: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures A reconciliation of pretax operating earnings (a non-GAAP financial measure) to segment operating income (loss) and consolidated net income (loss) for the six months ended June 30, 2009, is as follows (dollars in millions): CIG Bankers Colon
Slide 70: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures A reconciliation of common shareholders’ equity, excluding accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure) to common shareholders’ equity at June 30, 2009, is as follows (doll
Slide 71: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures A reconciliation of average common shareholders’ equity, excluding accumulated other comprehensive income (loss) and net operating loss carryforwards (a non-GAAP financial measure) to average common shareholders’ equity at June 30, 2009, is
Slide 72: Information Related to Certain Non-GAAP Financial Measures
Information Related to Certain Non-GAAP Financial Measures Debt to capital ratio, excluding accumulated other comprehensive income (loss) This non-GAAP financial measure differs from the debt to capital ratio because accumulated other comprehensive income has been excluded from the value of capital