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Archive for October, 2012

31 October
Comments Off on Substantial Beat for CNO Financial – Analyst Blog

Substantial Beat for CNO Financial – Analyst Blog

CNO Financial Group Inc.

(
CNO

) reported third-quarter 2012 adjusted operating earnings of 26
cents per share, substantially surpassing the Zacks Consensus
Estimate of 19 cents. Results were a penny lower from 16 cents
earned in the year-ago quarter. Adjusted operating income
in the quarter was $53.1 million, down 18% from $32.8 million in
the third quarter of 2011.

Adverse impact of review of actuarial assumptions and an increase
to litigation reserves weighed on the numbers.

Including the charges due to the review of actuarial assumptions
of $27.5 million, net realized investment gains of $4.8 million,
fair value changes in embedded derivative liabilities of $2.0
million, loss on extinguishment of debt of $176.4 million and
decrease in valuation allowance for deferred tax assets of $143
million, the company reported net loss of $5.0 million or 2 cents
per share, comparing unfavorably with net income of $179.5
million or 61 cents.

CNO Financials revenues increased 10.1% to $1.1 billion from
$0.9 billion in the prior-year quarter. Total revenue also
surpassed the Zacks Consensus Estimate of $1.03 billion. Total
new annualized premium increased 1% year over year to $94.1
million. Total benefits and expenses escalated 34.5% year over
year to $1.3 billion.

Segment Update

Pre-tax operating earnings in the
Bankers Life

segment improved 1.5% year over year to $80.6 million in the
reported quarter. The improvement stemmed from higher earnings
from annuity business driven by favorable investment spreads and
higher account values. It was, however, partially offset by
higher benefit ratios in the long-term care block.

Washington National

s pre-tax operating earnings were $33.9 million in the quarter,
surging 60% from the year-ago quarter. Favorable benefit ratios
in the supplemental health and Medicare supplement blocks fueled
the increase.

Pre-tax operating loss of
Colonial Penn

increased to $2.6 million from $1.3 million in the comparable
quarter last year.

Other CNO Business

reported pre-tax operating loss of $53.6 million in the quarter
compared with earnings of $2.6 million in the year-ago quarter.

Corporate Operations

, which includes investment advisory subsidiary and corporate
expenses, narrowed pre-tax loss to $6.7 million from $27.5
million in the year-ago quarter.

Financial Update

During the reported quarter, the consolidated statutory
risk-based capital ratio of CNO Financials insurance
subsidiaries decreased 8 percentage points sequentially to 361%,
driven by statutory earnings of $60.3 million.

In addition, unrestricted cash and investments held by CNO
Financials non-insurance subsidiaries increased to $313.6
million as of September 30, 2012 from $197.7 million as of June
30, 2012.

CNO Financial bought back 12.9 million shares for $99.5 million
in the first nine months of 2012 and as of September 30, 2012,
had $130.7 million remaining under its existing share repurchase
program. The company expects to repurchase shares near the high
end of the $150-170 million range.

As of September 30, 2012, debt-to-total capital ratio, excluding
accumulated other comprehensive income (loss), increased 300
basis points over 2011 end to 21.3%. Book value per common share,
excluding accumulated other comprehensive income (loss),
increased to $16.70 as of September 30, 2012 from $15.88 as of
December 31, 2011.

As of September 30, 2012, CNO Financial had total assets worth
$34.0 billion and shareholders equity stood at $5.3 billion.

Peer Comparison

Aflac Inc

. (
AFL

), a competitor of CNO Financial, reported third-quarter 2012
operating earnings per share of $1.77, modestly exceeding the
Zacks Consensus Estimate of $1.66 and the year-ago quarters
earnings of $1.65. A slightly weak yen/dollar exchange rate had
no impact on the operating earnings.

Torchmark Corp

. (
TMK

) reported third-quarter 2012 net operating income of $1.29 per
share, up 10.3% year over year. The earnings increase was due to
higher premium revenue as well as increased insurance
underwriting income. Lower share count compared with the year-ago
period, owing to share repurchases, also buoyed the bottom line.

Zacks Rank

We retain our Outperform recommendation on CNO Financial. The
quantitative Zacks #2 Rank for the company indicates a short-term
Buy rating.

AFLAC INC (AFL): Free Stock Analysis Report

CNO FINL GRP (CNO): Free Stock Analysis
Report

TORCHMARK CORP (TMK): Free Stock Analysis
Report

To read this article on Zacks.com click here.

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Research

31 October
Comments Off on DineEquity, Inc. Provides Updated Financial Guidance for Fiscal 2012

DineEquity, Inc. Provides Updated Financial Guidance for Fiscal 2012

DineEquity, Inc. Provides Updated Financial Guidance for Fiscal 2012

GLENDALE, Calif.–(BUSINESS WIRE)– DineEquity, Inc. (NYS: DIN) , the parent company of Applebees Neighborhood Grill amp; Bar and IHOP Restaurants, today updated financial guidance for fiscal 2012, reflecting significant one-time effects from the Companys completion of its Applebees refranchising program earlier this month.

DineEquity provided fiscal 2012 guidance on the following key financial performance metrics:

  • Reiterated Applebees domestic system-wide same-restaurant sales performance to range between 0.5% and 2.5%.
  • Reiterated IHOPs domestic system-wide same-restaurant sales performance to trend toward the low end of the range between negative 1.5% and positive 1.5%.
  • Reiterated Applebees franchisees to develop between 30 and 40 new restaurants, approximately half of which are expected to be opened in the US
  • Reiterated IHOP franchisees and its area licensees to develop between 45 and 55 new restaurants, the majority of which are expected to be opened in the US
  • Revised consolidated cash from operations, significantly due to the one-time impact of the completed sales of 137 Applebees company-operated restaurants, to range between $43 and $55 million. This reflects a reduction from previous expectations of $110 to $122 million. The reduction in consolidated cash from operations relates primarily to the increase in cash taxes to be paid on refranchising proceeds, the net working capital impact from the sale of 137 Applebees company-operated restaurants as discussed in our previously issued press releases, a non-recurring litigation settlement, and, as expected, lower segment profit due to refranchising. (See Non-GAAP Financial Measures and 2012 Financial Performance Guidance Tables below.)
  • Reiterated consolidated capital expenditures to range between $18 and $20 million.
  • Revised consolidated free cash flow, significantly due to the one-time impact of the completed sales of 137 Applebees company-operated restaurants, to range between $36 and $50 million. This reflects a reduction from previous expectations of $103 to $117 million. The reduction in consolidated free cash flow relates primarily to the increase in cash taxes to be paid on refranchising proceeds, the net working capital impact from the sale of 137 Applebees company-operated restaurants as discussed in our previously issued press releases, a non-recurring litigation settlement, and, as expected, lower segment profit due to refranchising. (See Non-GAAP Financial Measures and 2012 Financial Performance Guidance Tables below.)
  • Reiterated approximately $13 million is expected to be generated from the structural run-off of the Companys long-term receivables.
  • Revised consolidated general and administrative expense, due to a significant non-recurring litigation settlement, to range between $164 and $167 million, including non-cash stock-based compensation expense and depreciation of approximately $18 million. This reflects an increase from previous expectations of $155 and $158 million. The increase in consolidated general amp; administrative expense is primarily due to a non-recurring litigation settlement accrued for in the third quarter of 2012 that commenced prior to the acquisition of Applebees in 2007.
  • Revised consolidated interest expense to range between $115 and $118 million, of which approximately $6 million is expected to be non-cash interest expense. This reflects a reduction from previous expectations of $120 to $124 million. The reduction in consolidated interest expense is primarily due to the reduction of long-term debt and the decrease of financing obligations as a result of refranchising.
  • Revised Federal income tax rate to be approximately 35%. This reflects a reduction from previous expectations of approximately 36% due to favorable state tax benefits as a result of the refranchising of 137 Applebees company-operated restaurants in the third and fourth quarters of 2012.
  • Reiterated weighted average diluted shares outstanding to be approximately 18.5 million shares.

The Companys fiscal 2012 financial performance guidance reflects the full-year impact of Applebees company-operated restaurants refranchised in 2011 and 2012. In addition to the 2012 financial performance guidance provided in this news release, DineEquity has provided supplemental guidance information regarding the expected financial impact from refranchising on the Companys long-term financial performance. This information can be accessed by visiting the Calls amp; Presentations section of DineEquitys Investor Relations website at http://investors.dineequity.com.

Investor Conference Call Today

The Company will host an investor conference call today (Tuesday, October 30, 2012, at 11:00 am Eastern Time / 8:00 am Pacific Time) to discuss its third quarter results. To participate on the call, please dial (888) 679-8038 and reference pass code 80617185. International callers, please dial (617) 213-4850 and reference pass code 80617185. Participants may also pre-register to obtain a unique pin number to join the live call without operator assistance by visiting the following Web site: https://www.theconferencingservice.com/prereg/key.process?key=PXPLWDFMU

A live webcast of the call will be available on DineEquitys Web site at www.dineequity.com, and may be accessed by visiting Calls amp; Presentations under the sites Investor Information section. Participants should allow approximately ten minutes prior to the calls start time to visit the site and download any streaming media software needed to listen to the webcast. A telephonic replay of the call may be accessed through 11:59 pm Eastern Time (8:59 pm Pacific Time) on November 6, 2012 by dialing (888) 286-8010 and referencing pass code 77612832. International callers, please dial (617) 801-6888 and reference pass code 77612832. An online archive of the webcast also will be available on the Investor Information section of DineEquitys Web site.

About DineEquity, Inc.

Based in Glendale, California, DineEquity, Inc., through its subsidiaries, franchises and operates restaurants under the Applebees Neighborhood Grill amp; Bar and IHOP brands. With more than 3,500 restaurants combined in 18 countries, over 400 franchisees and approximately 200,000 team members (including franchisee- and company-operated restaurant employees), DineEquity is one of the largest full-service restaurant companies in the world. For more information on DineEquity, visit the Companys Web site located at www.dineequity.com.

Forward-Looking Statements

Statements contained in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify these forward-looking statements by words such as may, will, should, expect, anticipate, believe, estimate, intend, plan and other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results to be materially different from those expressed or implied in such statements. These factors include, but are not limited to: the effect of general economic conditions; the Companys substantial indebtedness; risk of future impairment charges; the Companys results in any given period differing from guidance provided to the public; the highly competitive nature of the restaurant business; the Companys business strategy failing to achieve anticipated results; risks associated with the restaurant industry; shortages or interruptions in the supply or delivery of food; changing health or dietary preferences; our dependence upon our franchisees; our engagement in business in foreign markets; harm to our brands reputation; litigation; environmental liability; liability relating to employees; failure to comply with applicable laws and regulations; failure to effectively implement restaurant development plans; concentration of Applebees franchised restaurants in a limited number of franchisees; credit risk from IHOP franchisees operating under our previous business model; termination or non-renewal of franchise agreements; franchisees breaching their franchise agreements; insolvency proceedings involving franchisees; changes in the number and quality of franchisees; inability of franchisees to fund capital expenditures; third-party claims with respect to intellectual property assets; heavy dependence on information technology; failure to protect the integrity and security of individually identifiable information; failure to execute on a business continuity plan; inability to attract and retain talented employees; risks associated with retail brand initiatives; failure of our internal controls; and other factors discussed from time to time in the Companys Annual and Quarterly Reports on Forms 10-K and 10-Q and in the Companys other filings with the Securities and Exchange Commission. The forward-looking statements contained in this release are made as of the date hereof and the Company assumes no obligation to update or supplement any forward-looking statements.

Non-GAAP Financial Measures

This news release includes references to the Companys non-GAAP financial measures adjusted net income available to common stockholders (adjusted EPS), EBITDA, free cash flow, and segment EBITDA. Adjusted EPS is computed for a given period by deducting from net income (loss) available to common stockholders for such period the effect of any impairment and closure charges, any gain or loss related to debt extinguishment, any intangible asset amortization, any non-cash interest expense, any debt modification costs, any one-time litigation settlement charges, any general and administrative restructuring costs, net of savings, any gain or loss related to the disposition of assets, and any state income tax impact of deferred taxes due to refranchising incurred in such period. This is presented on an aggregate basis and a per share (diluted) basis. The Company defines EBITDA for a given period is defined as income before income taxes less interest expense, loss on retirement of debt, depreciation and amortization, impairment and closure charges, non-cash stock-based compensation, gain/loss on disposition of assets and other charge backs as defined by its credit agreement. Free cash flow for a given period is defined as cash provided by operating activities, plus receipts from notes and equipment contracts receivable (long-term notes receivable), less dividends paid and capital expenditures. Segment EBITDA for a given period is defined as gross segment profit plus depreciation and amortization as well as interest charges related to the segment. Management utilizes EBITDA for debt covenant purposes and free cash flow to determine the amount of cash remaining for general corporate and strategic purposes after the receipts from long-term notes receivable, and the funding of operating activities, capital expenditures and preferred dividends. Management believes this information is helpful to investors to determine the Companys adherence to debt covenants and the Companys cash available for these purposes. Adjusted EPS, EBITDA, free cash flow and segment EBITDA are supplemental non-GAAP financial measures and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with United States generally accepted accounting principles.

(See the following 2012 Financial Performance Guidance Tables below)

31 October
Comments Off on Financial Markets Calm Despite New York Shutdown

Financial Markets Calm Despite New York Shutdown

Financial markets around the world arent reacting much to the disaster in New York on Tuesday morning, either confident that the long-term economic impact will be negligible — or because of pure shock.

30 October
Comments Off on Heartland Financial USA 3rd-qtr profit nearly doubles

Heartland Financial USA 3rd-qtr profit nearly doubles

Heartland Financial USA on Tuesday reported a third-quarter net profit nearly what it earned in the same quarter of 2011.

The Dubuque-based corporate parent of Dubuque Bank and Trust Co., posted net income of $13.6 million, or 75 cents per share, for the quarter that ended on Sept. 30, up 85 percent from $7.4 million, or 20 cents per share, in the third quarter of 2011.

Net income recorded for the first nine months of 2012 was $37.4 million, or $2.24 per share, compared with $15.2 million, or 92 cents per share, during the first nine months of 2011.

Earnings for the quarter and the first nine months of 2012 were affected by the continued expansion of mortgage operations in new and existing markets, coupled with increased net interest income, reductions in provision for loan and lease losses, and increased securities gains.

Net charge-offs on loans during the third quarter were $536,000, down significantly from $4.1 million during the third quarter of 2011.

Lynn Fuller, Heartland Financials chairman, president and CEO, said solid loan growth has been an important contributor to the companys performance this year.

Our growth strategy emphasizes proactive business development, calling on potential new commercial, agri-business and  small business clients, Fuller said. Its also worth noting that we have nearly achieved our lending goal of approximately $92 million with respect to the US Treasurys Small Business Lending Fund.

Nonperforming loans were $40.7 million, or 1.54 percent, of total loans and leases on Sept. 30, compared with $57.4 million, or 3.06 percent, of total loans and leases on Sept. 30, 2011.

Approximately 44 percent, or $17.9 million, of Heartlands nonperforming loans have individual loan balances exceeding $1 million. These nonperforming loans, involving nine borrowers, are primarily concentrated in Heartlands banks serving the Western states.

Heartland Financial also owns Citizens Finance, with offices in Cedar Rapids, Davenport and Dubuque.

30 October
Comments Off on Regional Planning Company: Infrastructure Demands More Financing

Regional Planning Company: Infrastructure Demands More Financing

With I-95 requiring the $22 billion remodeling and SEPTA requiring $5 billion dollars to have the method inside excellent repair, transport structure charges listed below are anticipated to surge greatly.

At the same time, people who pay tax are usually increasingly unwilling — or perhaps unable : to spend a lot more in the typical taxation and charges to repair connections, roads, and flow.

Its a realistic assessment, stated Barry Seymour, exec overseer in the DVRPC, which usually funnels federal money to area transport projects as well as units priorities which is why projects have completed.

Choices have. Seriously, people never be adequate funds to accomplish everything everyone would like to see completed. The time and energy to require a reasonable check out exactly where had been advancing.

The report has been introduced Thursday night for the DVRPC table, composed of associates of each and every in the 9 counties, and also regional, state, and also federal government vehicles companies.

The actual record looks at three feasible scenarios with regard to transport financing throughout the subsequent quarter-century, as the DVRPC prepares its long range plan via 2040.

The particular investing does not include running or routine service expenses; somewhat, the regarding such big-ticket expenditures as replacing and also repairing bridges, repaving as well as broadening highways, and changing transit automobiles and energy substations.

The money situations are usually branded reduced, method, and large, nevertheless they should be: can happen, desire about, and terrible freezes over.

The reduced scenario anticipates funds shelling out regarding $48. 8 billion dollars in between 2014 as well as 2040 for highways, links, as well as transit. Thats any 20 percent trim from present federal spending levels and might keep the nine-county Philly area along with closures associated with 99,9 state-maintained links, much more highway congestion, as well as reduced transportation service.

of individuals

Striving greater

28 October
Comments Off on McLaren Bono Medical Center Financing Safe

McLaren Bono Medical Center Financing Safe

Health Ressortchef (umgangssprachlich) David Slope met the particular hostipal wards leader, CHIEF EXECUTIVE OFFICER and also panel people today to talk about the particular Aldersey Saint web site.

The future of a healthcare facility has been in indeterminatezza given that a private record simply by advisor KPMG advised within July the State Government reduce its $1. 4 million yearly financing.

A government speaker said nowadays the particular financing was today assured until the end of the monetary yr.

Clinic CEO Jesse Fechner welcomed the news.

I delightful the Ministers deal with the hospital and appear toward working with SOCIAL FEAR Wellness to offer the finest outcomes unattractive clinic and also our local community, he or she said.

Clinic chairman Bryan Hearn mentioned the actual board has been right now assured regarding the future of a healthcare facility which financing would certainly continue beyond the coming year.

of individuals

24 October
Comments Off on University Table Applicants Discuss Funding, Trainer Pay

University Table Applicants Discuss Funding, Trainer Pay

Regarding 40 citizens as well as family members took in as well as questioned questions to candidates Joe Beck, Frank Hackett, Phillip T. Craver, John Feezor, Vicki Path, as well as Computer chip Vanderzee for about an hour or so. Candidate J. Frank Whitaker could hardly attend the particular community forum as a result of loved ones matter.

3 chairs are open up around the five-member table. Beck may be the only incumbent.

In the community forum, applicants had been allowed to talk for three minutes on the candidacy and also were given two minutes System.Drawing.Bitmap questions. Many concerns were focused to two or perhaps three from the applicants.

Funding as well as cost management had been prevalent topics through the entire discussion board.

One of the primary problems at this time is the budget, mentioned Hackett, a 39-year-old Midway citizen who additionally ran for your table in 2010. It wont improve anytime soon, however hopefully it is going to. Were likely to need to have the table that is ready to sit down and check out each and every small line item, no matter how small or even big, to figure out how to spend less.

College panels across the state had to cope with consecutive state slashes in operational funding in recent years. The story is no various this season, since local school panel users still cope with less cash through the state, as well as dwindling federal resources.

One query focused on federal government funding sources, requesting many candidates if Davidson Region Schools must continue getting those allocations.

I actually do not want to always rely on the us government to bail me personally out, when they will requirement we do X, Y as well as Z then I recommend we all make cash, stated Vanderzee, a 43-year-old who will be used using the Associated with Higher Point. When had been going to also consider not really getting those federal bucks, we need to have a intend to transition from that.

Dialogue also hovered close to exactly what applicants considered suitable pay for educators and also managers.

The greatest property we have are usually the instructors, said Path, the 67-year-old Denton resident who works as a dental care hygienist and it is a coach for Towns In Universities. They may be our greatest asset. They may be hard-working, and i believe they need spend boosts. I think we have to cut spending where we are able to reduce spending to offer the educators the money they will are worthy of.

All the applicants echoed Trails reaction in some type or perhaps fashion, voicing assistance for the countys teachers. Whenever requested exactly how educators as well as managers must be paid and examined for function, Craver mentioned the worth pay program could be considered.

It will be some thing we could look at, stated Craver, forty five, who has proved helpful for the NC Division associated with Transportation because 1993. The actual educators carry out deserve good incomes. I believe they should not be evaluated through the end-of-grade tests.

One citizen also inquired about teacher pay, particularly focusing on instructor health supplements. This individual requested when the applicants would certainly support an increase in instructor supplements, that are provided locally.

We now have among the lowest product pays in the condition, stated Beck, 70, that has offered 3 terms around the board. In this industry, we have been not really carrying out what we could. Yes, I actually do need health supplements as well as indeed, all of us carry out ask them on their behalf. I will inquire further once again.

A single topic barely mentioned during the community forum has been combination. Still community forum moderator Dwight Story do ask 2 candidates regarding programs.

I think we need to have a great little bit of flexibility when it comes to the programs, Feezor stated, incorporating the panel ought to customize them to particular towns and also localized issues. Feezor, 37, mentioned he is the only real applicant ahead from your educational background, educating agriculture from Eastern Davidson Senior high school to get a a bit more compared to six years.

Earlier voting started Thursday in Lexington. Upon Monday, subs earlier voting sites opened through the entire county. For many voting info, visit www.votedavidsoncountync.com.

Nash Dunn could be attained at 249-3981, ext. 227, or at nash. dunn@the-dispatch. com.

22 October
Comments Off on Judge Obstructs Az Legislation That Pubs Financing To Be Able To Organized Motherhood

Judge Obstructs Az Legislation That Pubs Financing To Be Able To Organized Motherhood

PHOENIX ARIZONA (Reuters) — Analysis assess obstructed Az upon Comes to an end coming from applying a new law which pubs Planned Motherhood clinics from getting money with the express to offer health care because the womens health organization also works abortions.

District Court Judge Neil Wake issued a short lived injunction following Planned Parenthood sued over the legislation, which will possess stop Medical aid money for family planning and well being providers shipped simply by businesses giving abortions. Medical planning is really a joint federal-state system that delivers medical care insurance coverage for low-income individuals.

21 October
Comments Off on Latest Federal Katrina Funding Goes To Sewerage & Drinking Water Board

Latest Federal Katrina Funding Goes To Sewerage & Drinking Water Board

Washington — In the most recent inflow regarding government support with regard to Natural disaster Katrina, the particular Federal government Crisis Administration Company released $37 , 000, 000 this week for the New Orleans Sewerage as well as Water Panel. The money may help finance remaining fixes with regard to injury to the actual citys sewerage and drinking water program caused by trouble and also hit a brick wall federal levees.