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FOR IMMEDIATE RELEASE
Lafayette Life to Join Western & Southern Financial
Group
LAFAYETTE, Ind. – June 17, 2004 – Western & Southern Financial Group and The
Lafayette Life Insurance Company announced today that their parent organizations
have agreed to form a strategic alliance under which Lafayette Life will become
part of Western & Southern Financial Group.
The boards of directors of Lafayette Life MIHC, Inc., and Western & Southern
Mutual Holding Company have approved the terms of a merger agreement whereby Lafayette
Life MIHC, Inc., would merge with Western & Southern Mutual Holding Company.
As a result of the merger, the subsidiaries of Lafayette Life MIHC, Inc., including
The Lafayette Life Insurance Company, would become affiliates of Western & Southern
Financial Group. Members of Lafayette Life MIHC, Inc., would become members of Western
& Southern Mutual Holding Company.
“This alliance will provide opportunities for each company to leverage its respective
strengths to the enhancement of both organizations,” said John F. Barrett, chairman,
president and chief executive officer of Western & Southern Financial Group.
“There are tremendous synergies between our two companies. The core values of our
organizations, including the high value we place on our customers and our associates,
result in very compatible cultures. Ultimately, our current and future customers
will benefit from this alliance.”
“We are very pleased to form a strategic alliance with Western & Southern Financial
Group, a proven leader in the financial services market,” said Bob Gibbons, chairman,
and chief executive officer of Lafayette Life. “With Standard & Poor’s AAA ratings,
Western & Southern has superior financial strength, and we anticipate additional
opportunities for our policyholders, agents and employees. This alliance will provide
Lafayette Life additional scale and strength. The combined organization will
be a true market leader.”
Gibbons continued, “Western & Southern Financial Group is committed to retaining
Lafayette Life’s corporate name, home office operations, separate
corporate identity and jobs in Lafayette, Ind., for a period of at least three to
five years following the merger. In addition, Western & Southern will fund the
establishment of a charitable foundation principally for the benefit of the greater
Lafayette, Ind., community.”
Officials stated that this transaction will not affect premiums or change policy
benefits, guaranteed values or other policy obligations for Lafayette Life policyholders.
In addition, policy dividends will continue to be paid as declared annually, although,
as always, policyholder dividends are not guaranteed and may vary from year to year.
As an added layer of protection, the agreement establishes that certain assets of
Lafayette Life will be set aside in a “closed block” to provide for the payment
of benefits and dividends on participating policies owned by eligible individual
policyholders.
Officials of both companies expect the transaction to close before the end of the
year, subject to approval by eligible members of Lafayette Life MIHC, Inc. and Western
& Southern Mutual Holding Company, and by the Department of Insurance of Indiana
and of Ohio.
About Western & Southern Financial Group
Western & Southern Financial Group is a FORTUNE 500 company ranked eighth among
mutual life and health insurance companies in the country. The Cincinnati-based,
diversified family of financial services companies has in excess of $32 billion
in assets owned and under management, and is one of only eight life insurance groups
in the world to earn Standard & Poor’s AAA rating. Western & Southern also
is consistently recognized by A.M. Best, Moody’s and Fitch for financial strength
and sound management. With a heritage dating to 1888, the group’s affiliates include
The Western and Southern Life Insurance Company, Western-Southern Life Assurance
Company, IFS Financial Services Inc., Columbus Life Insurance Company, Integrity
Life Insurance Company, Fort Washington Investment Advisors, Inc.,
Fort Washington Trust Company, Eagle Realty
Group LLC, Touchstone Securities, Inc. and Integrated
Fund Services, Inc. For more information, please visit
www.westernsouthern.com.
About The Lafayette Life Insurance Company
Founded in 1905, The Lafayette Life Insurance Company offers a broad range of financial
and insurance planning products and services. With $1.6 billion in total assets,
Lafayette Life ranks among the top 200 life insurance companies in the United States.
The company is currently rated “A” (excellent) by A.M. Best, “A” by Fitch,
and “A” (strong) by Standard and Poor’s. These ratings reflect the company’s
history of financial success. For more information, please visit www.llic.com.
For additional information, please click
here.
For more information about the rating agencies' positive reactions
S & P, Fitch, and
A.M. Best.
For questions, please contact us at
wolds@llic.com.
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