WASHINGTON (dpa-AFX) - Disability insurance provider Unum Group (UNM), Monday posted a fourth-quarter loss, hurt mainly by hefty charges following the exit from long-term care business. Nonetheless, operating profit for the quarter improved driven by more-than-expected revenues and surpassed estimates. The Chattanooga, Tennessee-based company's net loss for the quarter was $425.4 million or $1.45 per share, compared to a net income of $225.8 million or $0.71 per share last year. Loss in the fourth-quarter was due mainly to a charge of $561.2 million following its decision to discontinue new group long-term care sales. Unum also took a tax reserve charge of $119.3 million in the individual disability closed block. Chief Executive Thomas Watjen said, 'The decision to discontinue new sales of group long term care policies and move this business to our closed block allows us to further refine our focus on the markets that provide the greatest long-term opportunity for our company and create maximum value for Unum shareholders. We are well positioned financially to take this action, and this decision does not impact the general financial guidance we have provided for 2012.' Operating income, which excludes unusual gains and charges, improved to $227.6 million $0.78 per share from $208.6 million or $0.66 per share last year. On average, 15 analysts polled by Thomson Reuters expected earnings of $0.75 per share for the quarter. Analysts' estimates typically exclude one-time items. Unum's revenues for the quarter grew to $2.60 billion from $2.59 billion last year. Seven Street analysts on consensus estimated revenues of $2.59 billion for the quarter. U.S. segment, Unum's biggest, saw a 7.5 percent increase in operating income to $208.6 million, while its UK segment operating income rose 11.6 percent to $53.7 million. Colonial Life operating income for the quarter improved 11.2 percent to $67.6 million from last year. Operating loss of Closed Block segment, which now includes closed blocks of individual disability, long-term care, and other closed blocks previously reported in the Corporate and Other segment, was $1.01 billion compared to operating income of $29.0 million last year. Looking forward, Unum continues to anticipate operating income per share growth for full year 2012 to be in the range of six to twelve percent, including the effect of expected share repurchases. Book value as of December 31, 2011 was $29.30 per share compared to $28.25 per common share at December 31, 2010. UNM closed Monday's trading at $23.65, down $0.14 or 0.59%, on a volume of 2.1 million shares.
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