“Additionally, Spectrum Brands announced this week the initiation of a dividend program that underscores its strong and sustainable free cash flow generation and its focus on delivering solid returns to its shareholders. Achieving this milestone is a significant accomplishment for Spectrum Brands, and we applaud their management team for their hard work and financial discipline that has enabled the company to make significant strides in value creation and long-term growth for its shareholders. Given Spectrum Brands’ strong performance, they now have the capacity to pay a one-time special dividend of $1.00 per common share and begin a recurring, quarterly dividend program of $0.25 per common share. The dividend’s yield today is approximately 2.8%, and in future years Spectrum Brands will consider the opportunity to increase the dividend in line with the growth of their free cash flow.”
“Our leading market position today in the insurance business is a reflection of our strong management team and the power of our insurance franchise. Additionally, we continue to see opportunities to grow the business given FGL’s significant sales growth and excess levels of cash.”
“Salus Capital Partners, our asset-based lender, closed seven new asset-backed loan transactions and was net income positive for the month of June. Our financial position remains strong and we continue to evaluate opportunities to create value for our shareholders.”
HGI's consolidated revenues for its third quarter of Fiscal 2012 were $1.01 billion, compared to $1.03 billion for the same period in Fiscal 2011. Consumer Products revenues of $825 million were up 3% from $805 million in the same period last year. The Insurance and Financial Services group contributed $187 million to HGI’s revenues in the Fiscal 2012 third quarter compared to $230 million in the same period last year. The revenues from FGL’s strong product sales in the third quarter, which contributed to growth in FGL’s assets under management, will be reflected in future periods.