RICHMOND, Va., April 24, 2018 /PRNewswire/ -- Genworth
Financial, Inc. (NYSE: GNW) and China Oceanwide Holdings Group Co., Ltd. (Oceanwide) today reported that they have withdrawn and
re-filed their joint voluntary notice with the Committee on Foreign Investment in the United
States (CFIUS) to provide CFIUS additional time to review and discuss the proposed transaction between Genworth and
Oceanwide contemplated under the merger agreement entered into by the parties on October 21,
2016.
In connection with this re-filing, CFIUS has agreed to proceed directly to a 45-day investigation period following a one-day
review period. Additional information about the CFIUS review process can be found in the definitive proxy statement filed
by Genworth with the Securities and Exchange Commission on January 25, 2017.
"The refiling provides additional time for us to continue ongoing, productive conversations with CFIUS about the additional
data security risk mitigation proposal that we presented to CFIUS in February," said Tom
McInerney, president and CEO of Genworth. "We believe our mitigation plan, which involves a U.S. third-party service
provider, offers an effective solution for safeguarding the personal data of our policyholders."
There can be no assurances that CFIUS will ultimately agree to clear the transaction. In addition to CFIUS clearance, the
closing of the proposed transaction remains subject to other conditions, including the receipt of required regulatory approvals
in the U.S., China, and other international jurisdictions.
"Genworth is fully committed to closing the transaction because it is the best option for our shareholders," McInerney said.
"This transaction will allow Genworth to remain a viable and strengthened competitor in the long term care and mortgage insurance
industries."
Added LU Zhiqiang, chairman of China Oceanwide Group, "We also remain committed to this transaction, which will enable us to
bring Genworth's expertise in long term care and mortgage insurance to China as well as bring financial stability to Genworth and
its businesses in the U.S."
About Genworth Financial
Genworth Financial, Inc. (NYSE: GNW) is a Fortune 500 insurance holding company committed to helping families achieve
the dream of homeownership and address the financial challenges of aging through its leadership positions in mortgage insurance
and long term care insurance. Headquartered in Richmond, Virginia, Genworth traces its
roots back to 1871 and became a public company in 2004. For more information, visit genworth.com.
From time to time, Genworth releases important information via postings on its corporate website. Accordingly, investors and
other interested parties are encouraged to enroll to receive automatic email alerts and Really Simple Syndication (RSS) feeds
regarding new postings. Enrollment information is found under the "Investors" section of genworth.com. From time to time, Genworth's publicly traded subsidiaries, Genworth MI Canada Inc. and Genworth
Mortgage Insurance Australia Limited, separately release financial and other information about their operations. This information
can be found at http://genworth.ca and http://www.genworth.com.au.
About Oceanwide
Oceanwide is a privately held, family owned international financial holding group founded by LU Zhiqiang.
Headquartered in Beijing, China, Oceanwide's well-established and diversified businesses include
operations in financial services, energy, culture and media, and real estate assets globally, including in the United States.
Oceanwide is the controlling shareholder of the Shenzhen-listed Oceanwide Holdings Co., Ltd.
and Minsheng Holdings Co. Ltd.; the Hong Kong-listed China Oceanwide Holdings Limited; the
privately-held Minsheng Securities, Minsheng Trust, and Asia Pacific Property & Casualty Insurance; and it is the single
largest shareholder of Australia-listed CuDECO Ltd. China Oceanwide also is a minority investor
in Shanghai-listed China Minsheng Bank and Hong Kong-listed Legend Holdings. In the United States, Oceanwide has real
estate investments in New York, California, and Hawaii. Businesses controlled by Oceanwide have more than 10,000 employees globally.
Cautionary Note Regarding Forward-Looking Statements
This communication includes certain statements that may constitute "forward-looking statements" within the meaning of the
federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. Forward-looking statements may be identified by words such as "expects," "intends,"
"anticipates," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning and include, but are not limited to,
statements regarding the outlook for the company's future business and financial performance. Forward-looking statements are
based on management's current expectations and assumptions, which are subject to inherent uncertainties, risks and changes in
circumstances that are difficult to predict. Actual outcomes and results may differ materially from those in the forward-looking
statements and factors that may cause such a difference include, but are not limited to, risks and uncertainties related to:
(i) the risk that the transaction may not be completed in a timely manner or at all, which may adversely affect Genworth's
business and the price of Genworth's common stock; (ii) the parties' inability to find suitable mitigation options to
address CFIUS's interest and obtain regulatory approvals, or the possibility that regulatory approvals may further delay the
transaction or will not be received prior to July 1, 2018 (and either or both of the parties may
not be willing to further waive their End Date termination rights beyond July 1, 2018) or that
materially burdensome or adverse regulatory conditions may be imposed in connection with any such regulatory approvals, including
any mitigation approaches that may be necessary to obtain CFIUS approval (including those conditions that either or both of the
parties may be unwilling to accept); (iii) the risk that a condition to closing of the transaction may not be satisfied;
(iv) potential legal proceedings that may be instituted against Genworth following announcement of the transaction;
(v) the risk that the proposed transaction disrupts Genworth's current plans and operations as a result of the announcement
and consummation of the transaction; (vi) potential adverse reactions or changes to Genworth's business relationships with
clients, employees, suppliers or other parties or other business uncertainties resulting from the announcement of the transaction
or during the pendency of the transaction, including but not limited to such changes that could affect Genworth's financial
performance; (vii) certain restrictions during the pendency of the transaction that may impact Genworth's ability to pursue
certain business opportunities or strategic transactions; (viii) continued availability of capital and financing to Genworth
before the consummation of the transaction; (ix) further rating agency actions and downgrades in Genworth's financial
strength ratings; (x) changes in applicable laws or regulations; (xi) Genworth's ability to recognize the anticipated
benefits of the transaction; (xii) the amount of the costs, fees, expenses and other charges related to the transaction;
(xiii) the risks related to diverting management's attention from Genworth's ongoing business operations; (xiv) the
impact of changes in interest rates and political instability; and (xv) other risks and uncertainties described in the
Definitive Proxy Statement, filed with the SEC on January 25, 2017, and Genworth's Annual Report on Form 10-K, filed with
the SEC on February 28, 2018. Unlisted factors may present significant additional obstacles to the realization of
forward-looking statements. Consequences of material differences in results as compared with those anticipated in the
forward-looking statements could include, among other things, business disruption, operational problems, financial loss, legal
liability to third parties and similar risks, any of which could have a material adverse effect on Genworth's consolidated
financial condition, results of operations, credit rating or liquidity. Accordingly, forward-looking statements should not be
relied upon as representing Genworth's views as of any subsequent date, and Genworth does not undertake any obligation to update
forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new
information, future events or otherwise, except as may be required under applicable securities laws.
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SOURCE Genworth Financial, Inc.