Operating income of $2.07 per share compares to a Sandy-related $0.16 a year ago. Net premiums written of $3B up 4% Y/Y. Excluding the impact of catastrophes, the combined ratio deteriorated to 83.4% from 81.5%.
P&C investment income of $284M falls 4% from a year ago.
3.5M shares repurchased at an average cost of $93.72. Book value per share of $64.38 compares to $60.45 at the end of 2012. The board approves a new $1.5B share repurchase program. The previous $1.3B program is complete.
Q1 2014 results are expected to be adversely affected by the severe winter - 2 declared catastrophes thus far encompassing 19 states. The preliminary estimate is $150M-$200M pre-tax, or $0.39-$0.52 per share.
Full year 2014 operating income is expected at $7.10-$7.40 per share on an increase of 2-4% in net written premiums and catastrophe losses having a negative impact of 500 basis points on the combined ratio. P&C investment income is expected to decline 4-6%.
CC at 5 ET
CB no trades AH