At the Unum Group (NYSE:UNM) annual meeting today, President and CEO
Thomas R. Watjen told shareholders that the company is poised to realize
unparalleled market potential.
“Throughout our entire history we have built a tremendous franchise and
legacy, and I’ve never been more optimistic about our prospects for
growth or more confident in our ability to capitalize on the
opportunities that lie ahead,” Watjen said.
With Unum’s disciplined dedication to its risk and financial objectives,
Watjen’s confidence remains steady in the face of the slow economic
recovery.
“We have shown that we can effectively operate in this environment by
staying disciplined and focused on our business plan, while also taking
the actions needed to capitalize on what we believe is unprecedented
opportunity in our industry,” he added, noting nearly 70 percent of
Americans and 90 percent of British workers, many of whom live
paycheck-to-paycheck, lack adequate financial protection benefits.
Watjen made mention of other strengths that align the company for
growth, such as high customer satisfaction, a strong brand reputation
and nationally recognized corporate citizenship efforts, all backed by
the daily commitment of nearly 10,000 employees across the globe.
“We take great pride in the difference we make in peoples’ lives by
protecting them when they need it most, but with it comes the
responsibility of maintaining the financial strength to meet these
obligations,” he said.
Last year, Unum paid $6.5 billion in benefits to help protect the future
of workers and their families and helped more than 230,000 people return
to work and a productive lifestyle. While doing so, the company advanced
its position in its markets, growing operating earnings per share, for
the eighth consecutive year, by 5.4 percent. Total return on equity
across all business lines was 11.4 percent.
Executive Vice President and CFO Richard P. McKenney reported that
through an emphasis on strategic investments and sound risk management,
the company has created steady value for shareholders and will be able
to continue this over the long term.
“Our disciplined approach to our business has enabled us to generate
solid margins and excess capital over the last several years,” McKenney
said. “We have been able to channel this into investments in our
business and the return of capital to our shareholders.”
The company repurchased $318 million of its stock in 2013 and increased
its dividend by 11.5 percent, the fifth consecutive year of double-digit
increases. Since 2007, the company has repurchased $2.5 billion in stock
and increased its dividend 120 percent.
“We see this approach continuing to provide us with a strong financial
foundation, and giving us flexibility for sustainable capital management
and the pursuit of our growth objectives,” McKenney said.
Also at today’s meeting, Unum shareholders voted to re-elect four
directors for terms expiring in 2015: Timothy F. Keaney, vice chairman
and CEO of BNY Mellon; Gloria C. Larson, president of Bentley
University; William J. Ryan, chairman of the board of Unum Group and
former chairman, president and CEO of TD Banknorth; and Thomas R.
Watjen, president and CEO of Unum Group. Michael Passarella, chairman of
the Audit Committee, has reached mandatory retirement age and is
retiring from the board effective at the end of the day.
Additionally, shareholders approved the company’s executive compensation
and ratified the appointment of Ernst & Young LLP as the company’s
independent registered public accounting firm.
ABOUT UNUM GROUP
Unum Group (www.unum.com)
is a leading provider of financial protection benefits in the United
States and the United Kingdom. Its primary businesses are Unum US,
Colonial Life and Unum UK. Unum’s portfolio includes disability, life,
accident and critical illness coverage, which help protect millions of
working people and their families in the event of an illness or injury.
The company reported revenues of $10.35 billion in 2013, and provided
$6.5 billion in benefits last year.
For more information visit us at www.unum.com
or connect with us at www.facebook.com/unumbenefits,
www.twitter.com/unumnews
and www.linkedin.com/company/unum
Copyright Business Wire 2014