UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of Earliest Event Reported): September 17, 2008
REINSURANCE GROUP OF AMERICA, INCORPORATED
(Exact Name of Registrant as Specified in its Charter)
MISSOURI 1-11848 43-1627032
(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification Number)
1370 TIMBERLAKE MANOR PARKWAY, CHESTERFIELD, MISSOURI 63017
(Address of Principal Executive Office)
Registrant's telephone number, including area code: (636) 736-7000
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of
the following provisions (see General Instruction A.2. below):
/ / Written communications pursuant to Rule 425 under the Securities Act
(17 CFR 230.425)
/ / Soliciting material pursuant to Rule 14a-12 under the Exchange Act
(17 CFR 240.14a-12)
/ / Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
/ / Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
ITEM 7.01 REGULATION FD DISCLOSURE
In light of recent events surrounding Lehman Brothers Holdings Inc.
(Lehman) and American International Group, Inc. (AIG), Reinsurance Group of
America, Incorporated (RGA) is providing its exposure to each of these
companies as of September 16, 2008.
RGA currently owns Lehman's senior and subordinated notes and
preferred securities. These securities are classified as available-for-sale on
the Company's balance sheet. RGA's investment in the senior notes totals
approximately $9.9 million at amortized cost. These notes have recently traded
at approximately 30-33 percent of par value. RGA's investment in the
subordinated notes totals approximately $12.0 million, and its investment in
the preferred securities totals approximately $8.5 million, on an amortized
cost basis. These securities have recently traded at less than 4 percent of
par value. In addition, the Company's funds withheld portfolio includes
approximately $1.4 million in preferred Lehman securities. Securities held in
the Company's funds withheld portfolio are not legally owned by RGA, but the
investment performance of those securities affects RGA's investment income.
RGA currently owns senior and subordinated notes of AIG and several
of its subsidiaries. Theses securities are classified as available-for-sale on
the Company's balance sheet. RGA's investment in senior notes totals
approximately $31.4 million at amortized cost. These notes have recently
traded at 52-60 percent of par value. RGA's investment in the subordinated
securities totals approximately $24.5 million at amortized cost. These
securities have recently traded at approximately 21-29 percent of par value.
In addition, the Company's funds withheld portfolio includes approximately
$5.8 million in subordinated AIG securities. The trading values indicated
above were prior to the U.S. government's announcement that the Federal
Reserve will provide AIG with a 2-year $85 billion credit facility.
The Company continually evaluates all of its investment holdings for
other-than-temporary impairments of value, and an impairment charge relative
to some or all of the securities noted above is likely to be included in RGA's
third quarter results of operations. However, any such charge is not expected
to have a material adverse effect on the Company's financial condition or
liquidity.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
REINSURANCE GROUP OF AMERICA,
INCORPORATED
Date: September 17, 2008 By: /s/ Jack B. Lay
-----------------------------------
Jack B. Lay
Senior Executive Vice President and
Chief Financial Officer