Protective Agreement to Acquire The Bank of Bonifay Terminated
April 01 2009 - 4:30PM
Business Wire
Protective Life Corporation (NYSE:PL)
On April 1, 2009, Bonifay Holding Company and its subsidiary,
The Bank of Bonifay (collectively, �The Bank of Bonifay�),
terminated their agreement (the �Agreement�) with Protective Life
Corporation (�Protective�) under which Protective would acquire The
Bank of Bonifay. The Agreement gave either party the option of
terminating the Agreement if the acquisition was not completed by
March 31, 2009, and The Bank of Bonifay elected to exercise this
right of termination.
One of the conditions of closing Protective�s acquisition of The
Bank of Bonifay was the receipt by Protective of approval from the
U.S. Treasury Department to participate in the Capital Purchase
Program on terms acceptable to Protective. Protective understands
that the Treasury Department has not yet acted on any pending
insurer applications for participation in its Capital Purchase
Program and has not specified a timetable for such action.
Protective understands that in light of this uncertainty, The Bank
of Bonifay determined that termination of the Agreement was in its
best interest. Under current guidance from the Treasury Department,
a life insurance company participating in the Capital Purchase
Program must own a bank or thrift. Protective does not own a bank
or thrift and does not have a current plan to acquire one.
Protective remains well capitalized with ample liquidity and
will continue to focus on its mission of providing quality products
and services to its customers.
About Protective Life Corporation
Protective Life Corporation provides financial services through
the production, distribution and administration of insurance and
investment products throughout the United States. It has annual
revenues of approximately $2.5 billion and as of December 31, 2008
had assets of approximately $39.6 billion.
FORWARD-LOOKING STATEMENTS
This release includes �forward-looking statements� which express
expectations of future events and/or results. All statements based
on future expectations rather than on historical facts are
forward-looking statements that involve a number of risks and
uncertainties, and the Company cannot give assurance that such
statements will prove to be correct. The factors which could affect
the Company�s future results include, but are not limited to,
general economic conditions and the following known risks and
uncertainties: the Company is exposed to the risks of natural
disasters, pandemics, malicious and terrorist acts that could
adversely affect the Company�s operations; the Company operates in
a mature, highly competitive industry, which could limit its
ability to gain or maintain its position in the industry and
negatively affect profitability; a ratings downgrade or other
negative action by a ratings organization could adversely affect
the Company; the Company�s policy claims fluctuate from period to
period resulting in earnings volatility; the Company�s results may
be negatively affected if actual experience differs from
management�s expectations, including, but not limited to,
expectations of mortality, morbidity, casualty losses, persistency,
lapses, customer mix and behavior, and projected level of used
vehicle values; the Company�s results may be negatively affected
should actual experience differ from management�s assumptions and
estimates which by their nature are imprecise and subject to
changes and revision over time; the use of reinsurance, and any
change in the magnitude of reinsurance, introduces variability in
the Company�s statements of income; the Company could be forced to
sell investments at a loss to cover policyholder withdrawals;
interest rate fluctuations could negatively affect the Company�s
spread income or otherwise impact its business, including, but not
limited to, the volume of sales, the profitability of products,
investment performance, and asset liability management; equity
market volatility could negatively impact the Company�s business,
particularly with respect to the Company�s variable products,
including an increase in the rate of amortization of DAC and
estimated cost of providing minimum death benefit and minimum
withdrawal benefit guarantees relating to the variable products;
insurance companies are highly regulated and subject to numerous
legal restrictions and regulations, including, but not limited to,
restrictions relating to premium rates, reserve requirements,
marketing practices, advertising, privacy, policy forms,
reinsurance reserve requirements, acquisitions, and capital
adequacy, and the Company cannot predict whether or when regulatory
actions may be taken that could adversely affect the Company or its
operations; changes to tax law or interpretations of existing tax
law could adversely affect the Company, including, but not limited
to, the demand for and profitability of its insurance products and
the Company�s ability to compete with non-insurance products; the
Company may be required to establish a valuation allowance against
its deferred tax assets, which could materially adversely affect
the Company�s results of operations, financial condition and
capital position; financial services companies are frequently the
targets of litigation, including, but not limited to, class action
litigation, which could result in substantial judgments, and the
Company, like other financial services companies, in the ordinary
course of business is involved in litigation and arbitration;
publicly held companies in general and the financial services
industry in particular are sometimes the target of law enforcement
investigations and the focus of increased regulatory scrutiny; the
Company�s ability to maintain competitive unit costs is dependent
upon the level of new sales and persistency of existing business,
and a change in persistency may result in higher claims and/or
higher or more rapid amortization of deferred policy acquisition
costs and thus higher unit costs and lower reported earnings; the
Company�s investments, including, but not limited to, the Company�s
invested assets, derivative financial instruments and commercial
mortgage loan portfolio, are subject to market, credit, and
regulatory risks, and these risks could be heightened during
periods of extreme volatility or disruption in financial and credit
markets; the Company may not realize its anticipated financial
results from its acquisitions strategy, which is dependent on
factors such as the availability of suitable acquisitions, the
availability of capital to fund acquisitions and the realization of
assumptions relating to the acquisition; the Company may not be
able to achieve the expected results from its recent acquisition;
the Company is dependent on the performance of others, including,
but not limited to, distributors, third-party administrators, fund
managers, reinsurers and other service providers, and, as with all
financial services companies, its ability to conduct business is
dependent upon consumer confidence in the industry and its
products; the Company�s reinsurers could fail to meet assumed
obligations, increase rates, or be subject to adverse developments
that could affect the Company, and the Company�s ability to compete
is dependent on the availability of reinsurance, which has become
more costly and less available in recent years, or other substitute
capital market solutions; the success of the Company�s captive
reinsurance program and related marketing efforts is dependent on a
number of factors outside the control of the Company, including,
but not limited to, continued access to capital markets, a
favorable regulatory environment, and the overall tax position of
the Company; computer viruses or network security breaches could
affect the data processing systems of the Company or its business
partners, and could damage the Company�s business and adversely
affect its financial condition and results of operations; the
Company�s ability to grow depends in large part upon the continued
availability of capital, which has been negatively impacted by
regulatory action and the volatility and disruption in the capital
and credit markets, and may be negatively impacted in the future by
an increase in guaranteed minimum death and withdrawal benefit
related policy liabilities in variable products resulting from
negative performance in the equity markets, and future marketing
plans are dependent on access to the capital markets through
securitization; and new GAAP and statutory accounting rules or
changes to existing GAAP and statutory accounting rules could
negatively impact the Company; the Company�s risk management
policies and procedures may leave it exposed to unidentified or
unanticipated risk, which could negatively affect our business or
result in losses; capital and credit market volatility or
disruption could adversely impact the Company�s financial condition
or results from operations in several ways, including but not
limited to the following: causing market price and cash flow
variability in the Company�s fixed income portfolio, defaults on
principal or interest payments by issuers of the Company�s fixed
income investments, other than temporary impairments of the
Company�s fixed income investments; adversely impacting the
Company�s ability to efficiently access the capital markets to
finance its reserve, capital and liquidity needs; difficult
conditions in the economy generally, including severe or extended
economic recession, could adversely affect the Company�s business
and results from operations; and there can be no assurance that the
actions of the U.S. Government or other governmental and regulatory
bodies for the purpose of stabilizing the financial markets will
achieve their intended effect. Please refer to the Company�s most
recent Form 10-K/10-Q for more information about these factors
which could affect future results.
Planet Labs PBC (NYSE:PL)
Historical Stock Chart
From May 2024 to Jun 2024
Planet Labs PBC (NYSE:PL)
Historical Stock Chart
From Jun 2023 to Jun 2024