Reinsurance Group of America has reported a net income $158.53m,or, $2.15 per diluted share for the fourth quarter of 2011, compared to $196.71m, or $2.62 per diluted share for the same period in 2010.
Operating income for the fourth quarter of 2011 declined to $140.73m, or $1.91 per diluted share, compared to $161.4 2m, or $2.15 per diluted share for the same period in 2010.
Consolidated net premiums increased 13% to $2.03bn from $1.8bn for the same period in the previous year.
Investment income decreased 14% to $304.5m from $355.2m for the same period in the prior year including a $51m decline in fair value of option contracts, which includes, funds withheld at interest and support equity-indexed annuities.
Reinsurance Group president and CEO Greig Woodring said that their annualized operating return on equity was 13% for the quarter and year, and operating income per diluted share was up 8% year over year.
Woodring also added that operating return on equity has averaged 13% over the past five years, RGA’s balance sheet and capitalization remain strong even in the global market and economic disruptions.