Unum Group (NYSE: UNM) today reported net income of $233.9 million ($0.85 per diluted common share) for the fourth quarter of 2012, compared to a net loss of $369.0 million ($1.26 per diluted common share) for the fourth quarter of 2011.
Included in the results for the fourth quarter of 2012 is a net after-tax gain of $8.9 million ($0.03 per diluted common share) resulting from the combined impact of net realized investment gains and the amortization of prior period actuarial losses on the Company’s pension plan. This compares to a net after-tax loss of $0.3 million (less than a penny per diluted common share) in the fourth quarter of 2011. Results for the fourth quarter of 2011 also included net after-tax losses of $619.6 million ($2.12 per diluted common share) related to the actions taken by the Company related to its long-term care and individual disability closed blocks. Additionally, the results for the fourth quarter of 2011 include net tax benefits of $22.7 million ($0.08 per diluted common share) related to an IRS settlement, net of taxes related to subsidiary dividends.
Adjusting for these items, income on an after-tax basis was $225.0 million ($0.82 per diluted common share) in the fourth quarter of 2012, compared to $228.2 million ($0.78 per diluted common share) in the fourth quarter of 2011.
“I am pleased with the solid financial and operating results we produced in the fourth quarter and the growth in operating earnings per share for the full year 2012. We continued to generate solid results across much of the Company and showed modest improvement in those areas which had been operating below our expectations,” said Thomas R. Watjen, president and chief executive officer. “While there are still challenges ahead, we are well positioned entering 2013 to create value for our shareholders by remaining disciplined, maintaining our financial flexibility, and continuing to return excess capital to our shareholders through share repurchases and dividend increases.”