19th May 2005 07:30
Prudential PLC19 May 2005 EMBARGO: 07.30 Thursday 19 May 2005 JACKSON NATIONAL LIFE COMPLETES PURCHASE OF LIFE OF GEORGIA Jackson National Life Insurance Company ("JNL"), an indirect wholly-ownedsubsidiary of Prudential plc, confirms today that it has completed the purchaseof Life Insurance Company of Georgia ("LOG") from ING Groep, NV. Details of thepurchase agreement were announced on 18 November 2004. JNL paid £142 million in cash for the business, subject to any post-closingadjustments under the terms of the stock purchase agreement. - ENDS - Enquiries to: Media Investors/AnalystsClare Staley 020 7548 3719 Marina Lee-Steere 020 7548 3511Joanne Davidson 020 7548 3708 Jackson National LifeTim Padot +1 517 702 2425 Notes to Editors: 1. As explained in the announcement of 18 November 2004, the purchase of LOG adds scale to JNL's operating platform and expands its agency distribution. As a result of the transaction, JNL has gained an additional 1.6 million life policies, which doubles the total number of life insurance and annuity policies in force. 2. The net increase in the purchase price principally reflects excess capital remaining in the company since the initial transaction announcement partially offset by a lower price for the business resulting from the 2005 earnings retained by the seller. 3. The purchase has been fully funded from JNL's internal resources and maintains JNL's capital base. Jackson National Life Jackson National Life Insurance Company, headquartered in Lansing, Michigan, isa leading life insurance company in the United States. With over $60 billion inassets (US GAAP), JNL is an industry leader in the areas of fixed, fixed indexedand variable annuities, and also sells life insurance and institutionalproducts. The company markets its products in 49 states and the District ofColumbia through independent insurance producers, financial institutions andbroker-dealers. In addition, JNL's subsidiary, Jackson National Life InsuranceCompany of New York, similarly markets products in the state of New York. As at December 31, 2004, JNL had $61.6 billion (US GAAP) in assets, $53.6billion (US GAAP) in policy reserves and variable annuity liabilities, more than$3.5 billion (US GAAP) in total revenue, and $630.5 million (US GAAP) in netincome. Life Insurance Company of Georgia Life Insurance Company of Georgia is headquartered in the United States inAtlanta, Georgia. LOG has long been a well-established life insurance company inGeorgia, and currently operates in ten additional states in the southeasternUnited States - Alabama, Arkansas, Florida, Kentucky, Louisiana, Mississippi,North Carolina, South Carolina, Tennessee and Virginia. As at December 31, 2004, LOG had $1.9 billion in statutory assets, $1.6 billionin statutory policy reserves, $234.5 million in total statutory revenue, and$8.2 million in statutory net income. *Jackson National Life Insurance Company is a wholly-owned indirect subsidiaryof Prudential plc, a company incorporated and with its principal place ofbusiness in the United Kingdom. Prudential plc and its affiliated companiesconstitute one of the world's leading financial services groups. It providesinsurance and financial services directly and through its subsidiaries andaffiliates throughout the world. It has been in existence for over 150 years andhas £187 billion in assets under management, as at 31 December 2004. Prudentialplc is not affiliated in any manner with Prudential Financial, Inc, a companywhose principal place of business is in the United States of America. Forward-Looking Statements This statement may contain certain "forward-looking statements" with respect tocertain of Prudential's plans and its current goals and expectations relating toits future financial condition, performance, results, strategy and objectives.Statements containing the words "believes", "intends", "expects", "plans","seeks" and "anticipates", and words of similar meaning, are forward-looking. Bytheir nature, all forward-looking statements involve risk and uncertaintybecause they relate to future events and circumstances which are beyondPrudential's control including among other things, UK domestic and globaleconomic and business conditions, market related risks such as fluctuations ininterest rates and exchange rates, and the performance of financial marketsgenerally; the policies and actions of regulatory authorities, the impact ofcompetition, inflation, and deflation; experience in particular with regard tomortality and morbidity trends, lapse rates and policy renewal rates; thetiming, impact and other uncertainties (i) associated with the integration ofLOG into JNL, and (ii) of future acquisitions or combinations within relevantindustries; and the impact of changes in capital, solvency or accountingstandards, and tax and other legislation and regulations in the jurisdictions inwhich Prudential and its affiliates operate. This may for example result inchanges to assumptions used for determining results of operations orre-estimations of reserves for future policy benefits. As a result, Prudential'sactual future financial condition, performance and results may differ materiallyfrom the plans, goals, and expectations set forth in Prudential'sforward-looking statements. Prudential undertakes no obligation to update theforward-looking statements contained in this statement or any otherforward-looking statements it may make. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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