-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, V9lN4vT6hz+1vw9MT2ZUNuuRAYY9Xqw92Km8WIIlDp9GCQfLDn14V9KZNp4fGLCG k4Y+K73k7/sGN1KFUUAvnQ== 0000086312-94-000013.txt : 19940729 0000086312-94-000013.hdr.sgml : 19940729 ACCESSION NUMBER: 0000086312-94-000013 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19940725 ITEM INFORMATION: Other events FILED AS OF DATE: 19940728 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ST PAUL COMPANIES INC /MN/ CENTRAL INDEX KEY: 0000086312 STANDARD INDUSTRIAL CLASSIFICATION: 6331 IRS NUMBER: 410518860 STATE OF INCORPORATION: MN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-10898 FILM NUMBER: 94540440 BUSINESS ADDRESS: STREET 1: 385 WASHINGTON ST CITY: SAINT PAUL STATE: MN ZIP: 55102 BUSINESS PHONE: 6122217911 FORMER COMPANY: FORMER CONFORMED NAME: SAINT PAUL COMPANIES INC DATE OF NAME CHANGE: 19900730 8-K 1 8-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ----------------------- FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 --------------------------- Date of Report (Date of earliest event reported): July 25, 1994 THE ST. PAUL COMPANIES, INC. ------------------------------------------------------ (Exact name of Registrant as specified in its charter) Minnesota 0-3021 41-0518860 --------------- -------------------- --------------------- (State of (Commission File (I.R.S. Employer Incorporation) Number) Identification No.) 385 Washington St., St. Paul, MN 55102 - -------------------------------- ---------- (Address of principal (Zip Code) executive offices) (612) 221-7911 ---------------------------------- (Registrant's telephone number, including area code) N/A - ------------------------------------------------------------ (Former name or former address, if changed since last report) Item 5. Other Events. ------------ Filed herewith is a press release dated July 25, 1994, of the registrant relating to its results for the quarter ended June 30, 1994, which will be superseded by the registrant's Quarterly Report on Form 10-Q for such period. The results for an interim period are not necessarily indicative of the results for a full year. Item 7. Financial Statements, Pro Forma Financial Information and Exhibits. --------------------------------------------------------- An Exhibit Index is set forth as the next page in this report. Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. THE ST. PAUL COMPANIES, INC. By /s/ Bruce A. Backberg --------------------- Bruce A. Backberg Vice President and Corporate Secretary Date: July 28, 1994 EXHIBIT INDEX ------------- How Exhibit Filed - ------- ----- (99) Additional exhibits . . . . . . . . . . . . . . . (1) (1) Filed electronically under the EDGAR Operational Program. EX-99 2 EXHIBIT 99 Exhibit 99 July 25, 1994 - THE ST. PAUL COMPANIES REPORTS STRONG SECOND-QUARTER EARNINGS St. Paul, Minn. - The St. Paul Companies (NYSE:SPC) reported second-quarter 1994 operating earnings of $117.3 million, or $1.31 per share, compared with last year's second-quarter operating earnings of $91.9 million, or $1.02 per share. Net income for second-quarter 1994 was $127.8 million, or $1.43 per share, compared with $108.5 million, or $1.21 per share, for the second quarter of 1993. Second-quarter 1994 net income included after-tax realized investment gains of $10.5 million, or $0.12 per share, compared with $16.6 million, or $0.19 per share, for the second quarter of 1993. Per share figures reflect a two-for-one common stock split on June 6, 1994. "We had a very good second quarter," said Douglas W. Leatherdale, chairman and chief executive officer. "Our underwriting operations performed well, in part because there were few catastrophes in the quarter, a welcome respite from record first-quarter catastrophe losses. "Our reinsurance operation performed especially well, aided by the lack of catastrophes and fundamental improvement in its business." Six-months results - ------------------ For the first six months of 1994, operating earnings were $166.9 million, or $1.85 per share, compared with $171.8 million, or $1.91 per share, for the first six months of 1993. Net income for the first half of 1994 was $192.2 million, or $2.14 per share, compared with $196.5 million, or $2.18 per share for the first half of 1993. Net income for the first six months of 1994 included after-tax realized investment gains of $25.3 million, or $0.29 per share, compared with $24.7 million, or $0.27 per share, for the first six months of 1993. Underwriting Operations - ----------------------- "Second-quarter premium volume was 21 percent higher than last year's second quarter due to the inclusion of results from Economy Fire & Casualty Company, which we acquired last year in the third quarter, and growth in our reinsurance operation," Leatherdale said. THE ST. PAUL COMPANIES SECOND-QUARTER UNDERWRITING OPERATIONS HIGHLIGHTS Three months ended June 30 1994 1993 - -------------------------- ---- ---- Written premiums $921,119,000 $759,597,000 Underwriting loss ($13,544,000) ($41,636,000) Net investment income $164,461,000 $163,474,000 Pretax operating earnings* $145,565,000 $118,996,000 Combined ratio 100.2 103.7 *excluding realized investment gains THE ST. PAUL COMPANIES SIX-MONTHS UNDERWRITING OPERATIONS HIGHLIGHTS Six months ended June 30 1994 1993 - ------------------------ ---- ---- Written premiums $1,725,690,000 $1,520,749,000 Underwriting loss ($96,601,000) ($101,852,000) Net investment income $328,986,000 $325,304,000 Pretax operating earnings* $214,877,000 $220,469,000 Combined ratio 105.2 106.4 *excluding realized investment gains Insurance Brokerage Operations - ------------------------------ For the second quarter of 1994, The Minet Group, The St. Paul's London-based insurance brokerage operation, had a pretax loss of $4.6 million, compared with a pretax loss of $9.3 million for the same 1993 period. For the first six months of 1994, Minet had a pretax loss of $13.6 million, compared with a pretax loss of $17.1 million for the first half of 1993. "Minet's revenues grew 13 percent over last year's second quarter, indicating that new initiatives instituted over the last year are beginning to take hold," Leatherdale said. The John Nuveen Company - ----------------------- The St. Paul's portion of The John Nuveen Company's second-quarter 1994 pretax operating earnings totaled $17.9 million, compared with pretax operating earnings of $20.7 million for the same period in 1993. The St. Paul owns 76 percent of Nuveen. For six-months 1994, The St. Paul's portion of Nuveen's pretax operating earnings was $35.2 million, compared with $41.1 million for the first half of 1993. "Nuveen's earnings, while not as strong as last year's, were very good, given the turmoil in the municipal bond market," Leatherdale said. Consolidated Financial Position - ------------------------------- Consolidated assets of The St. Paul Companies as of June 30, 1994, were $16.96 billion, compared with $17.15 billion as of Dec. 31, 1993. Common shareholders' equity was $2.68 billion at the end of the second quarter, compared with $3.0 billion on Dec. 31, 1993. Book value per common share on June 30, 1994, was $31.88, compared with $35.47 on Dec. 31, 1993. Assets and common shareholders' equity were down from year-end due to the decrease in the market value of The St. Paul's bond portfolio. At the end of 1993, The St. Paul adopted Statement of Financial Accounting Standards No. 115, which results in its bond portfolio being reported at estimated market value, with the corresponding unrealized appreciation (net of taxes) recorded in common shareholders' equity. The St. Paul Companies, headquartered in Saint Paul, Minn. is a group of companies that provides property-liability insurance underwriting and insurance brokerage products and services throughout the world. THE ST. PAUL COMPANIES SECOND-QUARTER RESULTS 1994 1993 ---- ---- Revenues $1,165,149,000 $1,069,338,000 Operating Earnings $117,279,000 $91,929,000 Per Common Share (Fully Diluted)* $1.31 $1.02 Realized Investment Gains, Net of Taxes $10,483,000 $16,568,000 Per Common Share (Fully Diluted) $0.12 $0.19 Net Income $127,762,000 $108,497,000 Per Common Share (Fully Diluted)* $1.43 $1.21 THE ST. PAUL COMPANIES SIX-MONTHS RESULTS 1994 1993 ---- ---- Revenues $2,328,924,000 $2,183,366,000 Operating Earnings $166,851,000 $171,839,000 Per Common Share (Fully Diluted)* $1.85 $1.91 Realized Investment Gains, Net of Taxes $25,348,000 $24,689,000 Per Common Share (Fully Diluted) $0.29 $0.27 Net Income $192,199,000 $196,528,000 Per Common Share (Fully Diluted)* $2.14 $2.18 * The per-share figures above are fully diluted. Primary earnings per common share are: Second Quarter Six Months -------------- ------------ 1994 1993 1994 1993 ---- ---- ---- ---- Primary operating earnings per common share $1.36 $1.06 $1.92 $1.97 Primary net income per common share $1.49 $1.25 $2.22 $2.26 -----END PRIVACY-ENHANCED MESSAGE-----