Loews Reports 1Q Loss Investment, Property Charges

NEW YORK (AP) — Diversified holding company Loews Corp. said Monday it recorded a first-quarter loss because of mounting investment losses in its majority-owned insurance subsidiary and charges tied to gas and oil properties at another unit.

Loews lost $647 million, or $1.49 per share, during the first quarter, compared with earnings of $662 million, or $1.05 per share, during the same quarter last year.

The holding company was hurt by mounting realized investment losses at insurer CNA Financial. Loews owns a 90 percent stake in CNA Financial.

Because of those mounting investment losses, which nearly all insurers have faced in recent quarters, CNA Financial reported a first-quarter loss of $195 million, or 84 cents per share.

Loews' first-quarter results were also hurt by a $1 billion noncash pretax impairment charge on the value of natural gas and oil properties at wholly owned subsidiary HighMount Exploration & Production LLC. The after-tax charge totaled $660 million.

Total revenue for Loews fell 16 percent to $3.02 billion in the first quarter from $3.61 billion during the year-ago period, primarily because of the realized investment losses at CNA Financial.