Lincoln National Corporation · NYSE:LNC
Lincoln National — IPO Roadshow (June 2010)
9 slides from Lincoln National's IPO roadshow presentation, Jun 14, 2010
Slide 1: Equity Offering for CPP Repurchase
Filed pursuant to Rule 433 Registration number 333-157822 June 14, 2010 Equity Offering for CPP Repurchase June 14, 2010
Slide 2: Safe Harbor
Safe Harbor Certain statements made in these materials and in other written or oral statements made by Lincoln or on Lincoln's behalf are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 ("PSLRA"). A forward-looking statement is a statement that
Slide 3: Safe Harbor (contd.)
Safe Harbor (contd.) •The cost and other consequences of our participation in the U.S. Department of the Treasury’s, or the “U.S. Treasury,” Troubled Asset Relief Program, or “TARP,” Capital Purchase Program, or “CPP,” certain requirements of which may continue to apply to us so long as the warrant
Slide 4: Safe Harbor (contd.)
Safe Harbor (contd.) •Lowering of one or more of our debt ratings issued by nationally recognized statistical rating organizations and the adverse impact such action may have on our ability to raise capital and on our liquidity and financial condition; •Lowering of one or more of the insurer financi
Slide 5: Legend
Legend The issuer has filed a registration statement (including a prospectus) with the Securities and Exchange Commission (SEC) for the offerings to which this communication relates. Before you invest, you should read the prospectus in that registration statement and other documents the issuer has f
Slide 6: Executive Summary
Executive Summary · Since applying for CPP, Lincoln has taken actions to strengthen its capital and liquidity position by $3.4bn · Lincoln's core business operating model and franchise continues to strengthen with strong market positions and solid deposit net flows · Sustained operating earnings pow
Slide 7: Objectives and Stress Testing Assumptions
Objectives and Stress Testing Assumptions Objectives Assumptions – Maintain Life company Risk Based Capital ratio of 400% under base case assumptions and 325% under severe stress case – Provide ample holding company liquidity under severe stress scenario – Defend strong financial strength ratings in
Slide 8: Capital Levels Under Severe Stress Scenario
Capital Levels Under Severe Stress Scenario 2010-2011 Capital Sources 2010-2011 Capital Uses Severe Stress Scenario Severe Stress Scenario Capital Above Target Levels1 $3.3bn Investment Related Impact $1.3bn (+) VA Impact2 $0.47bn (+) Insurance Statutory Earnings $1.6bn (+) Earnings & one-off items
Slide 9: Significant Deleveraging Following Capital Raise
Significant Deleveraging Following Capital Raise ($ in billions) Note: Rating agency metrics reflect S&P methodology 1 Pro forma for TARP repay on 3/31/2010 2 Excludes $373mm of senior notes, which is net of unamortized discount, issued in October 2007 to support life insurance reserves. 3 Represent