Hartford CEO: Seeing Signs Of 'Gradual Economic Recovery'
Date : 02/09/2010 @ 10:07AM
Source : Dow Jones News
Stock : Hartford Financial Services Group Inc. (HIG) http://ih.advfn.com/p.php?pid=nmona&cb=1265731761&article=41456876&symbol=NY^HIG
Hartford Financial Services Group Inc. (HIG) is seeing signs of a gradual economic recovery, as midterm policy cancellations have stabilized and, if the trends hold, could see a "modest top-line benefit in 2010," said Liam McGee, Hartford's chief executive, during the company's earnings conference call Tuesday.
He said in April, at its investors meeting, the company will outline its capital plan for repaying the $3.4 billion in government assistance it received through the Capital Purchase Program.
"We recognize that the government's preferred stock is not permanent capital, and we will repay it," McGee said. "But as I have said previously, we will be prudent" in repaying it.
He said the company would balance the company's capital resources, shareholder dilution, the future impact on its business and the views of regulators.
Hartford posted a fourth-quarter profit of $557 million, or $1.19 a share, compared with a year-earlier loss of $806 million, or $2.71 a share.
Core earnings, excluding net realized and unrealized investment gains and losses, were $1.51 a share, compared with a year-earlier loss of 72 cents. Last month, Hartford said it expected $1.45 to $1.60, up from its November view.
The company said its guidance doesn't include potential changes in reserves from previous years, or changes in charges related to acquisition costs.