The Phoenix Companies — Phoenix Companies — Q3 2015 Earnings Presentation
18 slides from The Phoenix Companies's earnings presentation, Nov 9, 2015
Slide 1: Earnings Review Third Quarter 2015
Earnings Review Third Quarter 2015 Sy PHOENIX November 9, 2015
Slide 2: Important Disclosures
Important Disclosures Sy PHOENIX stg na huss cesses esa i a eee ‘Shntng cn nana mage ene ha oon Bo
Slide 3: 3Q15 Overview
3Q15 Overview Sy PHOENIX > Third quarter 2015 GAAP net loss driven by: * Decline in equity markets + Dectining but stil elevated financial reporting expenses * Unfavorable mortality experience 2 41,2018, extraordinary dividend of PHLVIC, PLAC and APLAR trom PLIC to Phoenix 2015
Slide 4: GAAP Results
3Q15 GAAP Results Sy PHOENIX PNX Net Income (Loss) rer cn By PAX tices) ot Sar ee ne ee) | OterCompetenivelnce ew)(OC) 73} SSS) ‘Toa Stctelde’ Equity Atibtable PH. “ota Stetaldry’ Eauly Exng AOC Primary Drivers: spproumately $10 millon comperedto expecatons Sinton cet peste anouis
Slide 5: PLIC Mortality Results
3Q15 PLIC Mortality Results Sy PHOENIX Toa PLIC Net Desth Claims Closed Block Net Death Claims 0 a 30 #100 0 | ae $100 3 — $100 mr ‘$00 $60) a $40 | 0 é = > = 2 : : fas 20s ais rats 2o18 2018, sclesedBcck Open Back + Closed block net aims were $31 millon higher than expected + Open block net claims
Slide 6: PHLVIC Mortality Results
3Q15 PHLVIC Mortality Results Sy PHOENIX Toa PHC Het eth hime Pr U Net Beth chine ‘$60 ‘60 = 2 = = ts — & S os S s = f = S 2 = E ‘: 3! 5 — 1015 2015 3015 bled ead bei
Slide 7: Consolidated Mortality Results
3Q15 Consolidated Mortality Results Sy eHoenix Total Net Death Claims (pen Block Net Death Claims So sn saan $180, E ve - so | if 3 Seo 0 = na im 2 t © 1ar4 2014 sare 4ar4 1015 2015 3015 oven eck meconatleck espe Net cine > 918 notcltins wore $38 milon favorable compara with expectations * Opentiock
Slide 8: Long-Term Mortality Results Remain Favorable
Long-Term Mortality Results Remain Favorable Sy PHOENIX Net Death Claims ~ Cumulative Quarterly Actual versus Expectations > Cumulative actual net claims cted remain favorable over periods since 2010 > No change in future mortality > UL cumulative net claims also remained favorable over periods sinc
Slide 9: Net Investment Income
3Q15 Net Investment Income Sy PHOENIX (i ineedimariiicome: Sources of Net Investment Income $227.5 ‘Long Term Debt $1458 $2049 Prato Equity 82 Mezzanine Funds 63 Posy Loans 223 otner 23 > Higher bond balances drove an increase in long term debt net investment income > Private equity and mezzanine fu
Slide 10: Investment Impairments
3Q15 Investment Impairments Sy PHOENIX GAAP Impairments ‘Stuctred Bonds $ S- $02 8 Pate Corporate Public Corporate 32st Total Credit impairments 2B ‘Total Equity Impairments 07028 “otal impairments we 0 > Investment impairments remain at historically low levels
Slide 11: Portfolio Quality
Portfolio Quality Sy PHOENIX Investment Grads Bonds 1 18% 2, 3% Below nvesiment Grade (BIG) Bonds 8.1% BZ 71% OT Ferconiage of BIG in NAIC 8 Bea ea Bae aw Percentage of BIG in NAIC 46 2% 50% AS43588 > 10% -A5 pocontt encom Long Tom, hot Tem. Pree Scere Eau)
Slide 12: PLIC Statutory Results
3Q15 PLIC Statutory Results Sy PHOENIX Phoenix Life (PLIC) > Year-to-date decrease in statutory surplus ang AVR ven by he de-stachig one bg ie Insurance company subst + $228.2 milion corny cers Of PHLVIC, PLAC PLIC 0 Ph Related $34 0 milion DTA reduction 337% 334% lized capital loss impact ofthe d 2
Slide 13: PHLVIC Statutory Results
3Q15 PHLVIC Statutory Results Sy PHOENIX PHL Variable (PHLVIC) > Supe was fa lative to yearn 2014 reflecting the benefit ofthe 20 rea (aortas bo = ‘adverse mortal in the first half of 2015 > 3015 net loss from operations of $7.4 millon, year-to-date 2015 net gain from 209% operations of $4.5 milion
Slide 14: Holding Company Liquidity
Holding Company Liquidity Sy PHOENIX Holding Company Cash & Debt Securities’ Tend in Holding Company Cash & Debt Secu Ending Balance at 5071885 Aso 12306 As of 95016 $04 visends 30 Projected 123016 Net Taxes ° 10 > Total dividends of $58.9 milion paid in 2015; $30 Total Sources #40 ‘company in July
Slide 15: Life and Annuity Sales
Life and Annuity Sales Sy PHOENIX Annuity Deposits s7709 $0829 ssa1 $5080 20132014 YTDBONE YTD SONS Life Premium ‘i 48 219 20t8 sia6 323 YTD anit YTD 99015 ‘he hia quaner > Life sles volume cortinuesto be diven by erm sales
Slide 16: Growth at Saybrus
Growth at Saybrus Sy PHOENIX Saybrus Revenue ‘Saybrus EBITDA 375 11%, pan — s03 sora 1m, $63 suo 755 E | i aos” aota yTDazana Yrogeans 212” 2014 yrDaona vTD aeons Sionion > Saybrus continued to grow tid party business
Slide 17: Nassau Transaction
Nassau Transaction Sy PHOENIX > On September 29, 2015, P (Nassau) ‘completing the transaction, + Phoenix fled a FINRA with respect tots two broker dealers and the Federal 2015 > In aston,
Slide 18: Phoenix
Sy PHOENIX