DOW JONES NEWSWIRES 
 

Ameriprise Financial Inc. (AMP) swung to a fourth-quarter loss as the company continued to feel the effects of the financial crisis, with a 39% decline in total revenue.

"The deteriorating market and economic conditions in the fourth quarter had a significant impact on our results," said Chairman and Chief Executive Jim Cracchiolo. "In response, we took prudent action to ensure the company is well positioned for the current environment. We continue to maintain strong liquidity and excess capital, even after making important all-cash acquisitions and returning capital to shareholders."

The provider of financial planning said its net loss was $369 million, or $1.69 a share, compared with net income of $255 million, or $1.08 a share, a year earlier.

The company said it has begun a goodwill analysis that it expects to complete next month that could result in more fourth-quarter charges.

Core operating earnings, which exclude losses from the credit-market dislocation, fell to 80 cents a share from $1.11, reflecting a decline in fee revenue resulting from market depreciation and a shift in clients away from traditional investment activities.

Total revenue fell to $1.4 billion. Core total revenue fell 21% to $1.82 billion.

A Thomson Reuters analyst poll projected earnings of 25 cents a share on total revenue of $1.75 billion.

Ameriprise ended the year with about $700 million of excess capital, short of the $1 billion projection in October. The company's debt-to-capital ratio was 24.7%.

Though the turmoil hasn't been good for Ameriprise's bottom line, it did help the company pick up some businesses on the cheap, with the purchases of H&R Block Inc.'s (HRB) brokerage business for $315 million and asset-management firm J&W Seligman & Co. for $440 million.

For 2009, Ameriprise is planning to cut $80 million in pretax expenses, with annual run-rate savings of over $130 million.

In after-hours trading, the company's shares were unchanged at $22.12. The shares are off more than 60% from their 52-week high nearly a year ago.

-By Jay Miller, Dow Jones Newswires; 201-938-2331; jay.miller@dowjones.com

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