EXHIBIT 99.2
ITEM 6. SELECTED FINANCIAL DATA.
The selected financial data should be read in conjunction with the section entitled “Management's Discussion and Analysis of Financial Condition and Results of Operations” and the consolidated and combined financial statements and accompanying notes included elsewhere in this report.
The selected historical income statement data may not be indicative of the revenues and expenses that would have existed or resulted if we had operated independently of Citi. Similarly, the selected historical balance sheet data as of and prior to December 31, 2009 may not be indicative of the assets and liabilities that would have existed or resulted if we had operated independently of Citi. The selected historical financial data are not necessarily indicative of the financial position or results of operations as of any future date or for any future period.
Our corporate reorganization has resulted and will continue to result in financial performance that is materially different from that reflected in the historical financial data that appear elsewhere in this report. Due to the timing of our corporate reorganization and its impact on our financial position and results of operations, year-over-year comparisons of our financial position and results of operations will reflect significant non-comparable accounting transactions and account balances. See “Management's Discussion and Analysis of Financial Condition and Results of Operations – The Transactions.”
 
Year ended December 31,
 
2011
 
2010
 
2009
 
2008 (2)
 
2007
 
(In thousands, except per-share amounts)
Statements of income data
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
 
Direct premiums
$
2,229,467

 
$
2,181,074

 
$
2,112,781

 
$
2,092,792

 
$
2,003,595

Ceded premiums
(1,703,075
)
 
(1,450,367
)
 
(610,754
)
 
(629,074
)
 
(535,833
)
Net premiums
526,392

 
730,707

 
1,502,027

 
1,463,718

 
1,467,762

Commissions and fees
412,979

 
382,940

 
335,986

 
466,484

 
545,584

Net investment income
108,601

 
165,111

 
351,326

 
314,035

 
328,609

Realized investment gains (losses), including other-than-temporary impairment losses
6,440

 
34,145

 
(21,970
)
 
(103,480
)
 
6,527

Other, net
48,681

 
48,960

 
53,032

 
56,187

 
41,856

Total revenues
1,103,093

 
1,361,863

 
2,220,401

 
2,196,944

 
2,390,338

Benefits and expenses:
 
 
 
 
 
 
 
 
 
Benefits and claims
242,696

 
317,703

 
600,273

 
938,370

 
557,422

Amortization of deferred policy acquisition costs
104,034

 
147,841

 
352,257

 
127,922

 
295,437

Sales commissions
191,722

 
180,054

 
162,756

 
248,020

 
296,521

Insurance expenses
89,192

 
105,132

 
179,592

 
173,341

 
163,888

Insurance commissions
38,618

 
48,182

 
50,750

 
33,081

 
35,643

Interest expense
27,968

 
20,872

 
—

 
—

 
—

Goodwill impairment
—

 
—

 
—

 
194,992

 
—

Other operating expenses
164,954

 
180,610

 
132,978

 
152,773

 
136,634

Total benefits and expenses
859,184

 
1,000,394

 
1,478,606

 
1,868,499

 
1,485,545

Income before income taxes
243,909

 
361,469

 
741,795

 
328,445

 
904,793

Income taxes
86,718

 
129,013

 
259,114

 
177,051

 
317,436

Net income
$
157,191

 
$
232,456

 
$
482,681

 
$
151,394

 
$
587,357

Earnings per share - basic
$
2.11

 
$
3.09

(1)
n/a

 
n/a

 
n/a

Earnings per share - diluted
$
2.08

 
$
3.06

(1)
n/a

 
n/a

 
n/a

Dividends per common share
$
0.10

 
$
0.02

 
n/a

 
n/a

 
n/a


EX 99.2-1


 
December 31,
 
2011
 
2010
 
2009
 
2008 (2)
 
2007
 
(In thousands)
Balance sheet data
 
 
 
 
 
 
 
 
 
Investments
$
2,021,504

 
$
2,153,584

 
$
6,471,448

 
$
5,355,458

 
$
5,494,495

Cash and cash equivalents
136,078

 
126,038

 
602,522

 
302,354

 
625,350

Due from reinsurers
3,855,318

 
3,731,002

 
851,635

 
825,791

 
822,750

Deferred policy acquisition costs, net
904,485

 
738,946

 
2,520,251

 
2,478,565

 
2,282,434

Total assets
9,851,820

 
9,769,409

 
13,429,883

 
11,253,055

 
12,778,607

 
 
 
 
 
 
 
 
 
 
Future policy benefits
4,614,860

 
4,409,183

 
4,197,454

 
4,023,009

 
3,650,192

Note payable
300,000

 
300,000

 
—

 
—

 
—

Total liabilities
8,525,170

 
8,412,881

 
8,662,612

 
7,303,772

 
8,147,447

Stockholders' equity
1,326,650

 
1,356,528

 
4,767,271

 
3,949,283

 
4,631,160

____________________
(1)
Calculated on a pro forma basis using weighted-average shares, including the shares issued or issuable upon lapse of restrictions following our April 1, 2010 corporate reorganization as though they had been issued and outstanding on January 1, 2010.
(2)
Includes a $207.5 million pre-tax charge due to a change in our DAC and reserve estimation approach implemented as of December 31, 2008.


EX 99.2-2