Aflac Completes Acquisition of Continental American Insurance Company
October 01 2009 - 7:30AM
PR Newswire (US)
COLUMBUS, Ga., Oct. 1 /PRNewswire-FirstCall/ -- Aflac Incorporated
(NYSE: AFL) announced today that it has completed its acquisition
of Continental American Insurance Company (CAIC). The purchase of
CAIC for $100 million was funded with internal capital. Regarding
this acquisition, President of Aflac and Chief Operating Officer of
Aflac U.S. Paul S. Amos II said: "For nearly three decades, CAIC
has developed an innovative product line that complements our
current products very well. By adding CAIC's group policies to our
roster of individually underwritten insurance offerings, we have
positioned our sales force to serve a wider variety of customers
and brokers with more choices than ever before. "I'm looking
forward to working with Chris Goodall. As CEO of CAIC, Chris has
provided focused leadership that has benefited CAIC's employees and
customers, and we believe his leadership will continue to benefit
us as CAIC and Aflac join forces. CAIC shares Aflac's strong set of
values, corporate culture and commitment to service. We anticipate
a smooth transition, and once fully integrated, we expect that this
purchase will modestly benefit 2010 consolidated earnings." About
CAIC Originally founded as Carolina Continental Insurance Company
in 1980, CAIC specializes in offering voluntary group insurance
products that are distributed by insurance brokers at the worksite.
CAIC is rated A- (Excellent) by A.M. Best. Based on statutory
accounting statements filed with the state insurance departments,
CAIC produced total revenues of $79 million and net income of $7
million in 2008. At the end of 2008, CAIC's admitted assets were
$104 million and capital and surplus was $33 million. For reporting
purposes under U.S. generally accepted accounting principles
(GAAP), CAIC's future financial results will be consolidated into
the Aflac U.S. reporting segment for Aflac Incorporated and
subsidiaries. About Aflac For more than 50 years, Aflac products
have given policyholders the opportunity to direct cash where it is
needed most when a life-interrupting medical event causes financial
challenges. As the number one provider of guaranteed-renewable
insurance in the United States and the number one insurance company
in terms of individual insurance policies in force in Japan, Aflac
insurance products provide protection to more than 40 million
people worldwide. Aflac has been recognized by Ethisphere magazine
as one of the World's Most Ethical Companies for three consecutive
years and was also named by the Reputation Institute as the Most
Reputable Company in the Global Insurance Industry for two
consecutive years. In 2009 Fortune magazine recognized Aflac as one
of the 100 Best Companies to Work For in America for the eleventh
consecutive year. Fortune magazine also ranked Aflac No. 1 on its
global list of the Most Admired Companies in the Life and Health
Insurance category. Aflac appears on Hispanic Enterprise magazine's
list of the 50 Best Companies for Supplier Diversity and on Black
Enterprise magazine's list of the 40 Best Companies for Diversity.
Aflac was also named by Forbes magazine as America's Best-Managed
Company in the Insurance category. Aflac Incorporated is a Fortune
500 company listed on the New York Stock Exchange under the symbol
AFL. To find out more about Aflac, visit aflac.com. (Logo:
http://www.newscom.com/cgi-bin/prnh/20090422/CL03654LOGO) Analyst
and investor contact - Kenneth S. Janke Jr., 800.235.2667 - option
3, FAX: 706.324.6330, or Media contact - Laura Kane, 706.596.3493,
FAX: 706.320.2288, or
http://www.newscom.com/cgi-bin/prnh/20090422/CL03654LOGODATASOURCE:
Aflac Incorporated CONTACT: Analyst and investor contact: Kenneth
S. Janke Jr., +1-800-235-2667 - option 3, FAX: +1-706-3246330, or ;
or Media contact - Laura Kane, 706.596.3493, FAX: 706.320.2288, or
Web Site: http://www.aflac.com/
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