investor-relations

Share:

Principal Financial Group Declines Funding from U.S. Treasury Capital Purchase Program

06/11/2009

DES MOINES, Iowa--(BUSINESS WIRE)--Jun. 11, 2009-- The Principal Financial Group® (NYSE: PFG) today announced that the company has decided to decline participation in the U.S. Treasury Department’s Capital Purchase Program (CPP). The Principal® announced on May 15 that its application had received preliminary approval.

“We have decided not to participate in the CPP due to the stabilization of the credit and financial systems in the U.S. and the further strengthening of our already solid financial and capital position,” said Larry Zimpleman, chairman, president and chief executive officer. “We applied for the program in November 2008, when credit markets were inactive. CPP was intended to boost capital among healthy banks and insurance companies to encourage lending, but the economic conditions have now changed. We’re seeing the capital markets in the U.S. returning to more normal functioning. In addition, The Principal has taken a number of important steps to strengthen its capital base, including our recent $1.15 billion secondary equity offering and $750 million debt offering. Continued prudent management of the business through challenging economic times has allowed us to continue to deliver solid business performance, achieve a strong liquidity and capital position, maintain strong financial ratings and sustain a high quality investment portfolio.”

About the Principal Financial Group
The Principal Financial Group® (The Principal ®)1 is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance, and banking through its diverse family of financial services companies. A member of the Fortune 500, the Principal Financial Group has $236.6 billion in assets under management2 and serves some 18.8 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG. For more information, visit www.principal.com.

1 "The Principal Financial Group" and “The Principal” are registered service marks of Principal Financial Services, Inc., a member of the Principal Financial Group.
2 As of March 31, 2009

 

Source: Principal Financial Group

Principal Financial Group
Media Contact:
Susan Houser, 515-248-2268
houser.susan@principal.com
or
Investor Relations Contact:
Tom Graf, 515-235-9500
investor-relations@principal.com

Have a question? Call us at 1.800.986.3343

Connect with us: Facebook    Twitter    Principal® Mobile

Copyright © , Principal Financial Services, Inc.
Disclosures and Terms of Use | Products and Services Disclosures | Privacy and Security
Securities offered through Princor Financial Services Corporation, member SIPC