RICHMOND, Va., Oct. 21, 2013 /PRNewswire/ -- Genworth
Financial, Inc. (NYSE:GNW) today announced that Patrick B. Kelleher, the company's executive
vice president and chief executive officer of the U.S. Life
Insurance division, is leaving Genworth effective December 31, 2013. Tom McInerney, Genworth president and chief
executive officer, will work closely with Pat to transition
responsibilities and will serve as CEO for the U.S. Life Insurance
division in the interim, until a search is conducted and a
replacement named to fill the role.
"On behalf of the Board and the employees at Genworth, I'd like
to thank Pat for his dedication to Genworth and valuable
contributions over the years and wish him well for the future,"
said Tom McInerney, president and
chief executive officer. "Under Pat's leadership as CFO
during the financial crisis and more recently as chief executive
officer of the U.S. Life Insurance division, Genworth has made
progress building financial flexibility, improving capital ratios,
and repositioning the long term care insurance business--through
important steps such as implementing appropriate levels of rate
actions on our in-force business. We remain on track to
achieve the 2013 goals and milestones for the U.S. Life Insurance
division set out earlier this year and feel good about the
strategic progress, financial position, and performance of the
business, enabling a transition to a more significant business
development and distribution focus."
About Genworth Financial
Genworth
Financial, Inc. (NYSE: GNW) is a leading Fortune 500 insurance
holding company dedicated to helping people secure their financial
lives, families and futures. Genworth has leadership positions in
offerings that assist consumers in protecting themselves, investing
for the future and planning for retirement -- including life
insurance, long term care insurance, and financial protection
coverages -- and mortgage insurance that helps consumers achieve
home ownership while assisting lenders in managing their risk and
capital.
Genworth operates through three divisions: U.S. Life Insurance,
which includes life insurance, long term care insurance and fixed
annuities; Global Mortgage Insurance, containing U.S. Mortgage
Insurance and International Mortgage Insurance segments; and the
Corporate and Other division, which includes the International
Protection and Runoff segments. Products and services are offered
through financial intermediaries, advisors, independent
distributors and sales specialists. Genworth, headquartered in
Richmond, Virginia, traces its
roots back to 1871 and became a public company in 2004. For more
information, visit genworth.com. From time to time, Genworth
releases important information via postings on its corporate
website. Accordingly, investors and other interested parties are
encouraged to enroll to receive automatic email alerts and Really
Simple Syndication (RSS) feeds regarding new postings. Enrollment
information is found under the "Investors" section of
genworth.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains certain "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Forward-looking statements may be identified by words such
as "expects," "intends," "anticipates," "plans," "believes,"
"seeks," "estimates," "will" or words of similar meaning and
include, but are not limited to, statements regarding the outlook
for the company's future business and financial performance.
Forward-looking statements are based on management's current
expectations and assumptions, which are subject to inherent
uncertainties, risks and changes in circumstances that are
difficult to predict. Actual outcomes and results may differ
materially due to global political, economic, business,
competitive, market, regulatory and other factors and risks,
including, but not limited to, the following:
- Risks relating to the company's businesses, including
downturns and volatility in global economies and equity and credit
markets; downgrades or potential downgrades in the company's
financial strength or credit ratings; interest rate fluctuations
and levels; adverse capital and credit market conditions; the
valuation of fixed maturity, equity and trading securities;
defaults, downgrades or other events impacting the value of the
company's fixed maturity securities portfolio; defaults on the
company's commercial mortgage loans or the mortgage loans
underlying our investments in commercial mortgage-backed securities
and volatility in performance; goodwill impairments; defaults by
counterparties to reinsurance arrangements or derivative
instruments; an adverse change in risk-based capital and other
regulatory requirements; insufficiency of reserves and required
increases to reserve liabilities; legal constraints on dividend
distributions by the company's subsidiaries; competition;
availability, affordability and adequacy of reinsurance; loss of
key distribution partners; regulatory restrictions on the company's
operations and changes in applicable laws and regulations; legal or
regulatory investigations or actions; the failure of or any
compromise of the security of our computer systems and confidential
information contained therein; the occurrence of natural or
man-made disasters or a pandemic; the effect of the enactment of
the Dodd-Frank Wall Street Reform and Consumer Protection Act;
changes in accounting and reporting standards issued by the
Financial Accounting Standards Board or other standard-setting
bodies and insurance regulators; impairments of or valuation
allowances against the company's deferred tax assets; changes in
expected morbidity or mortality rates; accelerated amortization of
deferred acquisition costs and present value of future profits;
ability to increase premiums on certain in-force and future
long-term care insurance products by enough or quickly enough,
including the current rate actions and any future rate actions;
medical advances, such as genetic research and diagnostic imaging,
and related legislation; unexpected changes in persistency rates;
ability to continue to implement actions to mitigate the impact of
statutory reserve requirements; the failure of demand for long-term
care insurance to increase; political and economic instability or
changes in government policies; fluctuations in foreign exchange
rates and international securities markets; unexpected changes in
unemployment rates; unexpected increases in international mortgage
insurance default rates or severity of defaults; the significant
portion of high loan-to-value insured international mortgage loans
which generally result in more and larger claims than lower
loan-to-value ratios; competition with government-owned and
government-sponsored enterprises (GSEs) offering mortgage
insurance; changes in international regulations reducing demand for
mortgage insurance; increases in U.S. mortgage insurance default
rates; failure to meet, or have waived to the extent needed, the
minimum statutory capital requirements and hazardous financial
condition standards; uncertain results of continued investigations
of insured U.S. mortgage loans; possible rescissions of coverage
and the results of objections to the company's rescissions; the
extent to which loan modifications and other similar programs may
provide benefits to the company; unexpected changes in unemployment
and underemployment rates in the United
States; further deterioration in economic conditions or a
further decline in home prices in the
United States; problems associated with foreclosure process
defects in the United States that
may defer claim payments; changes to the role or structure of
Federal National Mortgage Association (Fannie Mae) and Federal Home
Loan Mortgage Corporation (Freddie Mac); competition with
government-owned and government-sponsored enterprises offering U.S.
mortgage insurance; changes in regulations that affect the
company's U.S. mortgage insurance business; the influence of Fannie
Mae, Freddie Mac and a small number of large mortgage lenders and
investors; decreases in the volume of high loan-to-value mortgage
originations or increases in mortgage insurance cancellations in
the United States; increases in
the use of alternatives to private mortgage insurance in
the United States and reductions
by lenders in the level of coverage they select; the impact of the
use of reinsurance with reinsurance companies affiliated with the
company's U.S. mortgage lending customers; legal actions under the
Real Estate Settlement Procedures Act of 1974 (RESPA); potential
liabilities in connection with the company's U.S. contract
underwriting services; and the impact on the statutory capital and
risk-to-capital ratios of the U.S. mortgage insurance business from
variations in the valuation of affiliate investments;
- Other risks, including the risk that the company's
strategy may not be successfully implemented; the company's Capital
Plan may not achieve its anticipated benefits; adverse market or
other conditions might delay or impede the minority sale of the
company's mortgage insurance business in Australia; the possibility that in certain
circumstances we will be obligated to make payments to General
Electric Company (GE) under the tax matters agreement with GE even
if the company's corresponding tax savings are never realized and
payments could be accelerated in the event of certain changes in
control; provisions of our certificate of incorporation and bylaws
and the tax matters agreement with GE may discourage takeover
attempts and business combinations that stockholders might consider
in their best interests; and the impact of the expense reduction
announced on June 6, 2013 is not as
anticipated and the company may lose key personnel related to
actions like this as well as general uncertainty in the timing of
the company's turnaround; and
- Risks relating to the company's common stock, including
the suspension of dividends and stock price fluctuations.
The company undertakes no obligation to publicly update any
forward-looking statement, whether as a result of new information,
future developments or otherwise.
SOURCE Genworth Financial, Inc.