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<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: 18pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 16pt" lang=EN-US color=windowtext face="times new roman">SECURITIES AND EXCHANGE COMMISSION</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">Washington, D.C. 20549</FONT></B></P>

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<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 12pt 0in 0pt"><B><FONT style="LINE-HEIGHT: 20pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 16pt" lang=EN-US color=windowtext face="times new roman">FORM 8-K</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 12pt 0in 0.25in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">CURRENT REPORT</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 12pt 0in 0pt"><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">Pursuant to Section 13 or 15(d) of the</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">Securities Exchange Act of 1934</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; TEXT-DECORATION: none" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">Date of Report:&nbsp; </FONT><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">April 26, 2012</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 6pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">(Date of earliest event reported)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 6pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 10pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 16pt" lang=EN-US color=windowtext face="times new roman">PRINCIPAL FINANCIAL GROUP, INC.</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">(Exact name of registrant as specified in its charter)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman"></FONT></B>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 12pt 0in 0pt" align=left><B><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delaware&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 1-16725&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp; 42-1520346</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(State or other jurisdiction&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (Commission file number)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(I.R.S. Employer</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: normal; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; of incorporation)&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Identification Number)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp; </FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 10pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">711 High Street, Des Moines, Iowa 50392</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">(Address of principal executive offices)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><B><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 10pt" lang=EN-US color=windowtext face="times new roman">(515) 247-5111</FONT></B></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">(Registrant&#8217;s telephone number, including area code)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">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:</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman"></FONT>&nbsp;</P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">[&nbsp;&nbsp;&nbsp;&nbsp; ]&nbsp;&nbsp;&nbsp;&nbsp; Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">[&nbsp;&nbsp;&nbsp;&nbsp; ]&nbsp;&nbsp;&nbsp;&nbsp; Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">[&nbsp;&nbsp;&nbsp;&nbsp; ]&nbsp;&nbsp;&nbsp;&nbsp; Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act </FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (17 CFR 240.14d-2(b))</FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">[&nbsp;&nbsp;&nbsp;&nbsp; ]&nbsp;&nbsp;&nbsp;&nbsp; Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act </FONT></P>

<P style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: left; TEXT-INDENT: 0.5in; MARGIN: 0in 0in 0pt" align=left><FONT style="LINE-HEIGHT: 14pt; LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt; FONT-WEIGHT: normal" lang=EN-US color=windowtext face="times new roman">(17 CFR 240.13e-4(c))</FONT></P>

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<P style="PAGE-BREAK-AFTER: avoid; MARGIN: 0in 0in 0pt"><B><FONT style="TEXT-AUTOSPACE: ideograph-numeric; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">Item 2.02.&nbsp; Results of Operations and Financial Condition</FONT></B></P>

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<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">On April 26, 2012, Principal Financial Group, Inc. publicly announced information regarding its results of operations and financial condition for the quarter ended March 31, 2012.&nbsp; The text of the announcement is included herewith as Exhibit 99.</FONT></P>

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<P style="PAGE-BREAK-AFTER: avoid; MARGIN: 0in 0in 0pt"><B><FONT style="TEXT-AUTOSPACE: ideograph-numeric; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">Item 9.01 Financial Statements and Exhibits</FONT></B></P>

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<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">99&nbsp;&nbsp;&nbsp; First Quarter 2012 Earnings Release</FONT></P>

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<P style="MARGIN: 0in 0in 0pt"><B><FONT style="FONT-SIZE: 12pt" color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SIGNATURE</FONT></B></P>

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<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 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 thereunto duly authorized.</FONT></P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PRINCIPAL FINANCIAL GROUP, INC.</FONT></P>

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<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; By:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; ___</FONT><U><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">/s/ Terrance J. Lillis&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT></U></P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Name:&nbsp; Terrance J. Lillis</FONT></P>

<P style="TEXT-INDENT: -0.5in; MARGIN: 0in 0in 0pt 3.5in"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Title: &nbsp;&nbsp;&nbsp; Senior Vice President and Chief Financial Officer</FONT></P>

<P style="TEXT-INDENT: 0.5in; MARGIN: 0in 0in 0pt 3in"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;</FONT></P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="times new roman">Date:&nbsp;&nbsp;&nbsp; April 26, 2012</FONT></P>

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<P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</FONT><B><FONT style="FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">EXHIBIT 99</FONT></B></P>

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<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">Release:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; On receipt, April 26, 2012&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><FONT style="FONT-SIZE: 11pt" lang=EN-US color=blue face="Times New Roman">&nbsp;&nbsp;</FONT></P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">Media contact:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Susan Houser, 515-248-2268, houser.susan@principal.com</FONT></P>

<H1 style="PAGE-BREAK-AFTER: avoid; MARGIN: 0in 0in 0pt"><FONT style="FONT-STYLE: normal; FONT-SIZE: 11pt; FONT-WEIGHT: normal" color=windowtext face="Times New Roman">Investor contact:&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; John Egan, 515-235-9500, egan.john@principal.com </FONT></H1>

<H2 style="PAGE-BREAK-AFTER: avoid; MARGIN: 0in 0in 0pt"><FONT style="FONT-STYLE: normal; FONT-SIZE: 10.5pt; FONT-WEIGHT: normal; TEXT-DECORATION: none" color=windowtext face="Times New Roman"></FONT>&nbsp;</H2>

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<H2 style="PAGE-BREAK-AFTER: avoid; TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-STYLE: normal; FONT-SIZE: 14pt; TEXT-DECORATION: none" color=windowtext face="times new roman bold">Principal Financial Group, Inc. Announces First Quarter 2012 Results</FONT></B></H2>

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<P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0pt 0.75in"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face=symbol>&#183;</FONT><FONT style="FONT-SIZE: 7pt" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">First quarter 2012 operating earnings<SUP>
<A href="#_ftn1" name=_ftnref1><FONT><FONT></FONT></FONT></A></SUP></FONT></B>
<A href="#_ftn1" name=_ftnref1><FONT style="VERTICAL-ALIGN: super"><FONT style="VERTICAL-ALIGN: super"><B><U><FONT style="FONT-SIZE: 11pt" lang=EN-US color=blue face="times new roman">[1]&nbsp;</FONT></U></B></FONT></FONT></A><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman"> of $213.0 million, a decrease of 3 percent compared to first quarter 2011.</FONT></B></P>

<P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0pt 0.75in"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face=symbol>&#183;</FONT><FONT style="FONT-SIZE: 7pt" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">Net income available to common stockholders of $201.5 million, an increase of 11 percent compared to first quarter 2011.&nbsp; </FONT></B></P>

<P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0pt 0.75in"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face=symbol>&#183;</FONT><FONT style="FONT-SIZE: 7pt" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">Record assets under management of $364.1 billion, an increase of 11 percent compared to first quarter 2011.</FONT></B></P>

<P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0pt 0.75in"><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face=symbol>&#183;</FONT><FONT style="FONT-SIZE: 7pt" lang=EN-US color=windowtext face="times new roman">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; </FONT><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">Book value per share, excluding AOCI</FONT></B><SUP>
<A href="#_ftn2" name=_ftnref2><SUP><SUP><B><U><FONT style="FONT-SIZE: 11pt" lang=EN-US color=blue face="times new roman">[2]</FONT></U></B></SUP></SUP></A></SUP><SUP><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman"> </FONT></B></SUP><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">increased to $27.70, up 5 percent over first quarter 2011.</FONT></B></P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 6pt 0.25in"><FONT style="LINE-HEIGHT: 150%; LETTER-SPACING: -0.1pt; FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">(Des Moines, Iowa) &#8211; Principal Financial Group, Inc. (NYSE: PFG) today announced results for first quarter 2012.&nbsp; The company reported operating earnings of $213.0 million for first quarter 2012, compared to $219.8 million for first quarter 2011.&nbsp; Operating earnings per diluted share (EPS) were $0.70 for first quarter 2012, compared to $0.68 for first quarter 2011. The company reported net income available to common stockholders of $201.5 million, or $0.66 per diluted share for first quarter 2012, compared to $182.0 million, or $0.56 per diluted share for first quarter 2011. Operating revenues for first quarter 2012 were $2,107.4 million compared to $2,047.5 million for the same period last year.</FONT></P>

<P style="TEXT-INDENT: 45pt; MARGIN: 0in 0in 0pt 0.25in"><FONT style="LINE-HEIGHT: 150%; FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">&#8220;The Principal<SUP>&#174;</SUP> ended the first quarter with record assets under management, contributing to a solid start to 2012.&nbsp; We had strong investment performance and impressive sales and net cash flows across Full Service Accumulation, Principal Funds, Principal International and Principal Global Investors.&#8221; said Larry D. Zimpleman, chairman, president and chief executive officer of Principal Financial Group, Inc. &#8220;We continue to invest in our businesses, both organically and through strategic acquisitions, in order to grow in the right markets that position us for the long term.&nbsp; </FONT><FONT style="LINE-HEIGHT: 150%; LETTER-SPACING: -0.2pt; FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">I am more confident today than ever that The Principal<SUP> </SUP>has the right business mix and the right global footprint to fulfill our strategy of being a global investment management leader.&#8221;</FONT></P>

<P style="TEXT-INDENT: 45pt; MARGIN: 0in 0in 0pt 0.25in"><FONT style="LINE-HEIGHT: 150%; LETTER-SPACING: -0.2pt; FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">Added Terry Lillis, senior vice president and chief financial officer, &#8220;In the first quarter we announced the acquisition of a majority stake in Claritas, a leading retail mutual fund and asset management company based in Brazil, which was our fourth international acquisition in the last 12 months. &nbsp;Additionally in the first quarter, we authorized a $100 million share repurchase and paid our first quarterly dividend to shareholders.&nbsp; With $1.6 billion of excess capital at the end of first quarter, an improving investment portfolio and strong ongoing capital generation, we continue to have financial flexibility to invest in our businesses and return more capital to shareholders.&#8221; </FONT></P>

<P style="TEXT-INDENT: 45pt; MARGIN: 0in 0in 0pt 0.25in"><FONT style="LINE-HEIGHT: 150%; LETTER-SPACING: -0.2pt; FONT-SIZE: 10.5pt" lang=EN-US color=red face="Times New Roman"></FONT>&nbsp;</P>

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<P style="MARGIN: 0in 0in 0pt">
<A href="#_ftnref1" name=_ftn1><FONT style="VERTICAL-ALIGN: super"><FONT style="VERTICAL-ALIGN: 0px"><FONT style="FONT-SIZE: 10pt" lang=EN-US color=blue face="times new roman">[1]</FONT></FONT></FONT></A><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman"> Use of non-GAAP financial measures is discussed in this release after Segment Highlights</FONT></P><FONT lang=EN-US></FONT></DIV>

<DIV id=ftn2><FONT lang=EN-US></FONT>

<P style="MARGIN: 0in 0in 0pt">
<A href="#_ftnref2" name=_ftn2><FONT style="VERTICAL-ALIGN: super"><FONT style="VERTICAL-ALIGN: 0px"><FONT style="FONT-SIZE: 10pt" lang=EN-US color=blue face="times new roman">[2]</FONT></FONT></FONT></A><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman"> Accumulated Other Comprehensive Income</FONT></P><FONT lang=EN-US></FONT></DIV>

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</DIV>
<p style="margin:0in;margin-bottom:.0001pt;"><b><i><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;">&#160;</font></i></b><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Key Highlights</font></b></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:11.0pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Strong sales in the company&#8217;s
three key U.S. Retirement and Investor Services Accumulation products in the
first quarter, with $3.2 billion for Full Service Accumulation, a record $3.7
billion for Principal Funds and $587 million for Individual Annuities.</font></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:11.0pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Net cash flows of </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">$2.0 billion for Full Service Accumulation and a
record $1.5 billion for Principal Funds.</font></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;letter-spacing:-.1pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Un</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">affiliated net cash flows of $3.3 billion contributed
to record unaffiliated assets under management of $90.7 billion for Principal
Global Investors.</font></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;letter-spacing:-.1pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">Principal
International reported record net cash flows of $2.3 billion and record assets
under management of $59.2 billion (excluding $7.3 billion of assets under
management in our asset management joint venture in China, which are not
included in reported assets under management).&#160; </font></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:11.0pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Continued momentum in Individual
Life with the business market representing 57 percent of total sales.</font></p>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:11.0pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Specialty Benefits had solid
premium and fees growth of 5 percent over first quarter 2011 and a continued
stable loss ratio.&#160; </font></p>

<ul type=disc style="margin-bottom:0in;margin-top:0in;">
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">Strong
     capital position with an estimated risk based capital ratio of 440 percent
     at quarter-end and $1.6 billion of excess capital.<sup><a href="#_ftn3" name="_ftnref3"><font style=""><font style=""></font></font></a></sup></font><a href="#_ftn3" name="_ftnref3"><font style="vertical-align:super;"><font style="vertical-align:super;"><u><font color=blue face="times new roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">[3]&nbsp;</font></u></font></font></a></li>
</ul>

<p style="margin-bottom:.0001pt;margin-left:.5in;margin-right:0in;margin-top:0in;text-indent:-.25in;"><font color=windowtext face=symbol lang=EN-US style="font-size:10.5pt;">&#183;</font><font color=windowtext face="times new roman" lang=EN-US style="font-size:7.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Moved from an annual to a
quarterly dividend and paid our first quarterly dividend of $0.18 per common
share on March 30, 2012.</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;"><b><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;">&nbsp;</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;"><b><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Net Income </font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Net income available to
common stockholders of $201.5 million for first quarter 2012 reflects net
realized capital losses of $10.0 million, which includes:</font></p>

<ul type=disc style="margin-bottom:0in;margin-top:0in;">
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">$18.7 million of net losses
     related to sales and permanent impairments of fixed maturity securities,
     including $14.3 million of losses on commercial mortgage backed
     securities; and</font></li>
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">$2.8 million of losses on
     commercial mortgage whole loans.</font></li>
</ul>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><b><i><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Segment Highlights</font></i></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Retirement and
Investor Services</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;">Segment
operating earnings for first quarter 2012 were $143.6 million, compared to $154.1
million for the same period in 2011. Full Service Accumulation earnings decreased
4 percent from the year ago quarter to $69.6 million, reflecting lower net
investment income and fee revenue.&#160; Principal Funds earnings decreased 3
percent from a year ago to $11.6 million primarily due to higher compensation
and sales-related expenses.&#160; Individual Annuities earnings were $33.0 million
compared to $35.9 million for first quarter 2011, which reflects lower
investment income and a higher tax rate.&#160; Bank and Trust Services earnings decreased
to $6 million, primarily due to a legal settlement in the current quarter. The
guaranteed businesses, which consist of Investment Only and Full Service Payout,
earned $23.4 million in the first quarter 2012 compared to $25.3 million in the
first quarter of 2011. The difference was primarily due to lower variable
investment income and a decline in average account values.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Operating revenues for
the first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> quarter 2012 </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">were $1,055.1
million compared to $1,017.9 million for the same period in 2011 primarily due
to higher premiums and fees, which were partially offset by lower net
investment income. </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Segment assets under
management were a record $194.0 billion as of March 31, 2012, compared to $181.5
billion as of March 31, 2011.</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:12.0pt;line-height:150%;">&nbsp;</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:12.0pt;line-height:150%;">&#160;&nbsp;</font></p>


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</font><p style="margin:0in;margin-bottom:.0001pt;"><a href="#_ftnref3" name="_ftn3"><font style="vertical-align:super;"><font style="vertical-align:0;"><font color=blue face="times new roman" lang=EN-US style="font-size:10.0pt;">[3]</font></font></font></a><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">
</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;letter-spacing:-.1pt;">Excess</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;"> capital includes cash at the
holding company and capital at the life company above that needed to maintain a
350 percent NAIC risk based capital ratio for the life company.</font></p><font lang=EN-US>

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<p style="margin-bottom:0in;margin-left:.25in;margin-right:0in;margin-top:0in;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">Principal Global Investors</font></b></p>

<p style="margin-bottom:0in;margin-left:.25in;margin-right:0in;margin-top:0in;text-indent:.5in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">Segment operating
earnings for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;letter-spacing:-.1pt;line-height:150%;"> quarter 2012 </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">were $16.2 million, compared to $16.6
million in the prior year quarter, reflecting higher compensation costs as we
increase distribution and investment staff to support growth.&#160; </font></p>

<p style="margin-bottom:0in;margin-left:.25in;margin-right:0in;margin-top:0in;text-indent:.5in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">Operating revenues for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;letter-spacing:-.1pt;line-height:150%;"> quarter </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">were $138.1 million, compared to $125.3
million for the same period in 2011, reflecting higher management fees due to
growth in assets under management and higher</font><font color=#7030a0 face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;"> </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">borrower
transaction fees.</font></p>

<p style="margin-bottom:0in;margin-left:.25in;margin-right:0in;margin-top:0in;text-indent:.5in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">Unaffiliated assets under management
were a record $90.7 billion as of March 31, 2012, compared to $78.0 billion as
of March 31, 2011.</font></p>

<p style="margin-bottom:0in;margin-left:.25in;margin-right:0in;margin-top:7.5pt;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;layout-grid-mode:line;line-height:150%;">Principal International</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Segment operating
earnings were $41.8 million in first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> quarter
2012, compared to $27.8 million in the prior year quarter. The improvement was
primarily due to an increase in assets under management. A $5 million negative
impact to earnings from regulatory changes in Mexican AFORE assigned lives was
partially offset by delayed expenses in our Latin American operations.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.2pt;line-height:150%;">Operating
revenues were $262.5 million for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> quarter 2012</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.2pt;line-height:150%;">, compared to $206.1
million for the same period last year, primarily due to 22 percent growth in
assets under management.</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Segment assets under
management were a record $59.2 billion as of March 31, 2012, up $10.7 billion
over $48.5 billion as of March 31, 2011.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">&nbsp;</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">U.S. Insurance
Solutions</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Segment operating
earnings for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> quarter 2012 </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">were
$50.2 million, compared to $53.4 million for the same period in 2011. Individual
Life earnings were $31.7 million in the first quarter compared to $30.9 million
in first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> quarter 2011. Operating earnings in
first quarter 2012 benefitted by $3 million from a prescribed accounting
practice change in the </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">amortization basis for certain individual life policies.</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;">&#160; </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Specialty Benefits earnings were $18.5
million in first quarter 2012, down from $22.5 million in the same period a
year ago primarily due to stronger than normal net investment income in first quarter
2011.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.0pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Segment operating
revenues for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">quarter 2012 were $697.0
million compared to $732.0 million for the same period a year ago as fees and
other revenue were negatively impacted from the change in the amortization basis.
</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">&nbsp;</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Corporate </font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;">Operating
losses for first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;"> quarter
2012</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;"> were $38.8 million compared to
operating losses of $32.1 million in first</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;"> quarter </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;line-height:150%;">2011. </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Current quarter results reflect
higher tax and legal expenses.</font><font color=#7030a0 face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">&#160; &nbsp;</font></p>

<p style="margin:0in;margin-bottom:.0001pt;"><font color=red face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">&nbsp;</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:justify;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Accounting Changes </font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">New accounting guidance,
which modifies the definition of types of costs incurred by insurance entities
that can be capitalized in the successful acquisition of new or renewal
insurance contracts, became effective on January 1, 2012.&#160; We retrospectively
applied this accounting guidance.&#160;&#160;&#160; </font></p>


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<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">In
addition, we voluntarily changed our method of accounting for the cost of
reinsurance within our Individual Life division.&#160; One impact of this voluntary
accounting change is that any difference between actual and expected
reinsurance cash flows is recognized in earnings immediately instead of being
deferred and amortized over the life of the underlying policies.&#160; We adopted
the new method because we believe that it better reflects the economics of our
reinsurance transactions by accounting for direct claims and related
reinsurance recoveries in the same period. In addition, the new method is
consistent with management's intent in purchasing reinsurance to protect the
Company against large and unexpected claims.</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:45.35pt;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Comparative amounts from
prior periods have been adjusted to apply the new deferred policy acquisition
cost guidance and the voluntary reinsurance accounting change retrospectively.&#160;
Historical periods reflecting these changes are disclosed on our Investor Relations
website.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-indent:.5in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;page-break-after:avoid;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Forward
looking and cautionary statements</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;">This press release contains forward-looking statements, including,
without limitation, statements as to operating earnings, net income available
to common stockholders, net cash flows, realized and unrealized gains and
losses, capital and liquidity positions, sales and earnings trends, and
management's beliefs, expectations, goals and opinions. The company does not
undertake to update these statements, which are based on a number of
assumptions concerning future conditions that may ultimately prove to be
inaccurate. Future events and their effects on the company may not be those
anticipated, and actual results may differ materially from the results
anticipated in these forward-looking statements. The risks, uncertainties and
factors that could cause or contribute to such material differences are
discussed in the company's annual report on Form 10-K for the year ended Dec.
31, 2011, filed by the company with the Securities and Exchange Commission, as
updated or supplemented from time to time in subsequent filings. These risks
and uncertainties include, without limitation:&#160; </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">adverse capital and credit market conditions may
significantly affect the company&#8217;s ability to meet liquidity needs, access to
capital and cost of capital; continued difficult conditions in the global
capital markets and the economy generally; continued volatility or further
declines in the equity markets; changes in interest rates or credit spreads;
the company&#8217;s investment portfolio is subject to several risks that may
diminish the value of its invested assets and the investment returns credited
to customers; the company&#8217;s valuation of securities may include methodologies,
estimations and assumptions that are subject to differing interpretations; the
determination of the amount of allowances and impairments taken on the
company&#8217;s investments requires estimations and assumptions that are subject to
differing interpretations; gross unrealized losses may be realized or result in
future impairments;&#160; competition from companies that may have greater financial
resources, broader arrays of products, higher ratings and stronger financial
performance; a downgrade in the company&#8217;s financial strength or credit ratings;
inability to attract and retain sales representatives and develop new distribution
sources; international business risks; the company&#8217;s actual experience could
differ significantly from its pricing and reserving assumptions; the company&#8217;s
ability to pay stockholder dividends and meet its obligations may be
constrained by the limitations on dividends or distributions Iowa insurance
laws impose on Principal Life; the pattern of amortizing the company&#8217;s DPAC and
other actuarial balances on its universal life-type insurance contracts,
participating life insurance policies and certain investment contracts may
change; the company may need to fund deficiencies in its &#8220;Closed Block&#8221; assets
that support participating ordinary life insurance policies that had a dividend
scale in force at the time of Principal Life&#8217;s 1998 conversion into a stock
life insurance company; the company&#8217;s reinsurers could default on their
obligations or increase their rates; risks arising from acquisitions of
businesses; </font><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;">changes in laws,
regulations or accounting standards; a computer system failure or security
breach could disrupt the company&#8217;s business, and damage its reputation; results
of litigation and regulatory investigations; f</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">rom time to time the company may become subject to tax audits, tax
litigation or similar proceedings, and as a result it may owe additional taxes,
interest and penalties in amounts that may be material;</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;"> fluctuations in foreign currency exchange rates; and applicable laws
and the company&#8217;s stockholder rights plan, certificate of incorporation and
by-laws may discourage takeovers</font><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;"> and business
combinations that some stockholders might consider in their best interests.&#160; </font></p>

<p style="margin:0in;margin-bottom:.0001pt;page-break-after:avoid;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">&nbsp;</font></b></p>

<p style="margin-bottom:.0001pt;margin-left:.25in;margin-right:0in;margin-top:0in;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">Use
of Non-GAAP Financial Measures</font></b></p>

<p style="margin-bottom:.0001pt;margin-left:.25in;margin-right:0in;margin-top:0in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">The company uses a number of non-GAAP financial measures
that management believes are useful to investors because they illustrate the
performance of normal, ongoing operations, which is important in understanding
and evaluating the company&#8217;s financial condition and results of operations.&#160;
They are not, however, a substitute for U.S. </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">GAAP
financial measures.&#160; Therefore, the company has provided reconciliations of the
non-GAAP measures to the most directly comparable U.S. GAAP measure at the end
of the release.&#160; The company adjusts U.S. GAAP measures for items not directly
related to</font><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;"> </font></b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;letter-spacing:-.1pt;">ongoing operations.&#160; However, it is possible these adjusting
items have occurred in the past and could recur in the future reporting
periods.&#160; Management also uses </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;">non-GAAP measures </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;">for goal setting, as a basis for determining employee and senior
management awards and compensation, and evaluating performance on a basis
comparable to that used by investors and securities analysts.</font></p>
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<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;page-break-after:avoid;"><b><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">&nbsp;</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;page-break-after:avoid;"><b><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:10.5pt;line-height:150%;">Earnings Conference Call</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">On Friday, April 27, 2012 at 10:00 a.m.
(ET), Chairman,
President and Chief Executive Officer Larry Zimpleman and Senior Vice President
and Chief Financial Officer Terry Lillis will lead a discussion of results,
asset quality and capital adequacy during a live conference call, which can be
accessed as follows:</font></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.5in;text-indent:-.25in;"><font color=black face=symbol lang=EN-US style="font-size:10.5pt;line-height:150%;">&#183;</font><font color=black face="times new roman" lang=EN-US style="font-size:7.0pt;line-height:150%;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
</font><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Via
live Internet webcast. Please go to www.principal.com/investor
at least 10-15 minutes prior to the start of the call to register, and to
download and install any necessary audio software. </font></p>

<ul type=disc style="margin-bottom:0in;margin-top:0in;">
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Via telephone by dialing
     800-374-1609 (U.S. and Canadian callers) or 706-643-7701 (International
     callers) approximately 10 minutes prior to the start of the call. The
     access code is 66987871. </font></li>
</ul>

<ul type=disc style="margin-bottom:0in;margin-top:0in;">
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Replay of the earnings call via
     telephone is available by dialing 855-859-2056 (U.S. and Canadian callers)
     or 404-537-3406 (International callers). The access code is 66987871. This replay will be available
     approximately two hours after the completion of the live earnings call
     through the end of day May 4</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">, 2012.</font><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;"> &nbsp;</font></li>
 <li style="margin:0in;margin-bottom:.0001pt;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">Replay of the earnings call via webcast as
     well as a transcript of the call will be available after the call at: www.principal.com/investor.</font></li>
</ul>

<p style="margin-bottom:.0001pt;margin-left:.25in;margin-right:0in;margin-top:0in;"><font color=black face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">&nbsp;</font></p>

<p style="margin-bottom:.0001pt;margin-left:.25in;margin-right:0in;margin-top:0in;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;line-height:150%;">The company's
financial supplement and additional investment portfolio detail for first
quarter 2012 is currently available at </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;line-height:150%;">www.principal.com/investor</font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;line-height:150%;">,
and may be referred to during the call. Slides related
to the call will be available at www.principal.com/investor
approximately one-half hour prior to call start time. </font></p>

<p style="margin:0in;margin-bottom:.0001pt;"><b><i><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.5pt;">&nbsp;</font></i></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;page-break-after:avoid;"><b><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:10.5pt;line-height:150%;">About the Principal
Financial Group</font></b></p>

<p style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;page-break-after:avoid;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">The Principal Financial Group</font><sup><font color=windowtext face=symbol lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">&#210;</font></sup><sup><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;"> </font></sup><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">(The Principal <sup>&#174;</sup>)</font><sup><a href="#_ftn4" name="_ftnref4"><sup><sup><u><font color=blue face="times new roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">[4]</font></u></sup></sup></a></sup><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;"> is a global
investment management leader including retirement services, insurance solutions
and asset management. The Principal offers businesses, individuals and
institutional clients a wide range of financial products and services,
including retirement, asset management and insurance through its diverse family
of financial services companies. Founded in 1879 and a</font><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;"> member of the
FORTUNE 500<sup>&#174;</sup>, the Principal Financial Group has $364.1 billion in
assets under management</font><sup><a href="#_ftn5" name="_ftnref5"><sup><sup><u><font color=blue face="times new roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">[5]</font></u></sup></sup></a></sup><sup><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;"> </font></sup><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">and serves some 17.3 million
customers</font><font color=red face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;"> </font><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">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 </font><u><font color=blue face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">www.principal.com</font></u><font color=windowtext face="Times New Roman" lang=EN-GB style="font-size:11.0pt;layout-grid-mode:line;line-height:150%;">.&nbsp;</font></p>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">&nbsp;</font></p>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">&nbsp;</font></p>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">&nbsp;</font></p>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">###</font></p>

<p align=center style="margin:0in;margin-bottom:.0001pt;margin-left:.25in;text-align:center;"><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:10.0pt;">&nbsp;</font></p>


<hr align=left size=1 width="33%">
<div id=ftn4><font lang=EN-US>

</font><p style="margin:0in;margin-bottom:.0001pt;"><a href="#_ftnref4" name="_ftn4"><font style="vertical-align:super;"><font style="vertical-align:0;"><font color=blue face="times new roman" lang=EN-US style="font-size:8.5pt;">[4]</font></font></font></a><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:8.5pt;"> </font><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:8.5pt;layout-grid-mode:line;">&#8220;The Principal
Financial Group&#8221; and &#8220;The Principal&#8221; are registered service marks of Principal
Financial Services, Inc., a member of the Principal Financial Group.</font></p><font lang=EN-US>

</font></div>
<div id=ftn5><font lang=EN-US>

</font><p style="margin:0in;margin-bottom:.0001pt;"><a href="#_ftnref5" name="_ftn5"><font style="vertical-align:super;"><font style="vertical-align:0;"><font color=blue face="times new roman" lang=EN-US style="font-size:8.5pt;">[5]</font></font></font></a><font color=windowtext face="Times New Roman" lang=EN-US style="font-size:8.5pt;"> As of March 31, 2012.</font></p><font lang=EN-US>

</font></div>

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<P style="MARGIN: 0in 0in 0pt"><B><I><FONT style="FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman">Summary of Segment and Principal Financial Group, Inc. Results</FONT></I></B></P>

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   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Segment</FONT></I></B></P></TD>

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   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="35%" colSpan=2>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Operating Earnings</FONT></B></P>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">(Loss)<SUP>
   <A href="#_ftn6" name=_ftnref6><FONT><FONT></FONT></FONT></A></SUP></FONT></B>
   <A href="#_ftn6" name=_ftnref6><FONT style="VERTICAL-ALIGN: super"><FONT style="VERTICAL-ALIGN: super"><B><U><FONT style="FONT-SIZE: 11.5pt" color=blue face="times new roman">[6]&nbsp;</FONT></U></B></FONT></FONT></A></P>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">in millions</FONT></I></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

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   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Three Months Ended,</FONT></I></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid; HEIGHT: 13.9pt">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 13.9pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="18%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">3/31/12</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 13.9pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="17%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">3/31/11</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Retirement and Investor Services</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 143.6 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 154.1</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Principal Global Investors</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">16.2 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">16.6 </FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Principal International</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">41.8 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">27.8 </FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">U.S. Insurance Solutions</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">50.2 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">53.4 </FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Corporate</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(38.8)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(32.1)</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Operating Earnings</FONT></I></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 213.0 </FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 219.8 </FONT></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Net realized capital losses, as adjusted</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(10.0)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(54.9)</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Other after-tax adjustments</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(1.5) </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">17.1 </FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Net income available to common stockholders</FONT></I></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 201.5 </FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 182.0 </FONT></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BACKGROUND: #a6a6a6; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="100%" colSpan=3>

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top rowSpan=3 width="65%">

   <P style="TEXT-ALIGN: justify; MARGIN: 0in 0in 0pt"><B><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

   <P style="TEXT-ALIGN: justify; MARGIN: 0in 0in 0pt"><B><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman"></FONT></I></B>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="35%" colSpan=2>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Per Diluted Share</FONT></B></P></TD></TR>

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   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="35%" colSpan=2>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Three Months Ended,</FONT></I></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="18%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">3/31/12</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="17%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">3/31/11</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Operating Earnings </FONT></I></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 0.70 </FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 0.68 </FONT></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Net realized capital losses, as adjusted</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(0.04)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">(0.17)</FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Other after-tax adjustments</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">0.00 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">0.05 </FONT></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Net income available to common stockholders </FONT></I></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 0.66 </FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">$ 0.56 </FONT></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid; HEIGHT: 15.7pt">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; BORDER-LEFT: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.7pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="65%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><B><I><FONT style="FONT-SIZE: 11.5pt" color=windowtext face="Times New Roman">Weighted-average diluted common shares outstanding</FONT></I></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.7pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11.05pt; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">304.7 </FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.7pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="17%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 11.05pt; MARGIN: 0in 0in 0pt" align=right><B><FONT style="FONT-SIZE: 11pt" color=windowtext face="Times New Roman">324.7 </FONT></B></P></TD></TR></TABLE></DIV>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<HR align=left SIZE=1 width="33%">



<DIV id=ftn6><FONT lang=EN-US></FONT>

<P style="MARGIN: 0in 0in 0pt">
<A href="#_ftnref6" name=_ftn6><FONT style="VERTICAL-ALIGN: super"><FONT style="VERTICAL-ALIGN: 0px"><FONT style="FONT-SIZE: 12pt" lang=EN-US color=blue face="times new roman">[6]</FONT></FONT></FONT></A><FONT style="FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"> </FONT><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman">Operating earnings versus U.S. GAAP (GAAP) net income available to common stockholders</FONT></B></P><FONT lang=EN-US></FONT>

<P style="MARGIN: 0in 0in 0pt"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman">Management uses operating earnings, which excludes the effect of net realized capital gains and losses, as adjusted, and other after-tax adjustments, for goal setting, as a basis for determining employee compensation, and evaluating performance on a basis comparable to that used by investors and securities analysts.&nbsp; Segment operating earnings are determined by adjusting U.S. GAAP net income available to common stockholders for net realized capital gains and losses, as adjusted, and other after-tax adjustments the company believes are not indicative of overall operating trends.&nbsp; Note: it is possible these adjusting items have occurred in the past and could recur in future reporting periods.&nbsp; While these items may be significant components in understanding and assessing our consolidated financial performance, management believes the presentation of segment operating earnings enhances the understanding of results of operations by highlighting earnings attributable to the normal, ongoing operations of the company&#8217;s businesses.</FONT></P><FONT lang=EN-US></FONT>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P><FONT lang=EN-US></FONT></DIV>

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<DIV style="PAGE-BREAK-BEFORE: always">&nbsp;</DIV>

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<a name="_bclHeader9"></a><DIV>

<P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" lang=EN-US face="Times New Roman"></FONT>&nbsp;</P></DIV>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 8.5pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></B>&nbsp;</P>

<P style="MARGIN: 0in 0in 0pt"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 8.5pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

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<DIV align=left>

<TABLE style="BORDER-BOTTOM: medium none; BORDER-LEFT: medium none; WIDTH: 365.399pt; BORDER-COLLAPSE: collapse; MARGIN-LEFT: 0.2in; BORDER-TOP: medium none; BORDER-RIGHT: medium none" border=0 cellSpacing=0 cellPadding=0>



<TR style="PAGE-BREAK-INSIDE: avoid; HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT></I>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="38%" colSpan=2>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Three Months Ended,</FONT></B></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/12</FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/11</FONT></B></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Premiums and other considerations</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 677.1 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 571.2</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Fees and other revenues</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">582.7 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">594.5</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">Net investment income</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">847.6</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">881.8</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

<H5 style="PAGE-BREAK-AFTER: avoid; MARGIN: 0in 0in 0pt"><I><FONT style="FONT-SIZE: 10pt; FONT-WEIGHT: normal" color=windowtext face="Times New Roman">Total operating revenues</FONT></I></H5></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">2,107.4 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">2,047.5</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Benefits, claims and settlement expenses</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1,216.2 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1,020.5</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Dividends to policyholders</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">50.3</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">53.6</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Commissions</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">159.8</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">146.9</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Capitalization of DPAC</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(101.0)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(82.7)</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Amortization of DPAC</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(105.4)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">53.9</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Depreciation and amortization</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">23.5</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">20.0</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Interest expense on corporate debt</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">31.1</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">30.5</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Compensation and other</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">546.7 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">504.5</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Total expenses</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1,821.2 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1,747.2</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 11.7pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -17.1pt; MARGIN: 0in 0in 0pt 17.1pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Operating earnings before tax, noncontrolling interest and preferred stock dividends</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">286.2 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">300.3</FONT></P></TD></TR>

<TR style="HEIGHT: 11.7pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -17.1pt; MARGIN: 0in 0in 0pt 17.1pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Less:</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 11.7pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -17.1pt; MARGIN: 0in 0in 0pt 17.1pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Income tax</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">63.9</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">71.2</FONT></P></TD></TR>

<TR style="HEIGHT: 11.7pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -17.1pt; MARGIN: 0in 0in 0pt 17.1pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Operating earnings attributable to noncontrolling interest</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1.1</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 11.7pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">1.1</FONT></P></TD></TR>

<TR style="HEIGHT: 15.3pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.3pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Preferred stock dividends</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.3pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">8.2 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 15.3pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">8.2</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0pt 0.25in"><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Operating earnings</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-INDENT: 0.8pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 213.0</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 0.8pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 219.8</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT></I>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 0.2in">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -17.1pt; MARGIN: 0in 0in 0pt 17.1pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Net realized capital losses, as adjusted</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(10.0)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(54.9)</FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Other after-tax adjustments</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">(1.5) </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">17.1 </FONT></P></TD></TR>

<TR style="HEIGHT: 8.8pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Net income available to common stockholders</FONT></I></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 201.5 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 8.8pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 182.0 </FONT></P></TD></TR></TABLE></DIV>

<P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

<P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><I><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman">Selected Balance Sheet Statistics</FONT></I></B></P>

<P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><I><FONT style="FONT-SIZE: 10pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></I></B>&nbsp;</P>

<DIV align=left>

<TABLE style="BORDER-BOTTOM: medium none; BORDER-LEFT: medium none; WIDTH: 494.099pt; BORDER-COLLAPSE: collapse; MARGIN-LEFT: 13.1pt; BORDER-TOP: medium none; BORDER-RIGHT: medium none" border=0 cellSpacing=0 cellPadding=0>



<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top rowSpan=2 width="42%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><I><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT></I>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="58%" colSpan=3>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Period Ended,</FONT></B></P></TD></TR>

<TR style="PAGE-BREAK-INSIDE: avoid; HEIGHT: 13.9pt">

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 13.9pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="20%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/12</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 13.9pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="20%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 10pt" color=windowtext face="Times New Roman">12/31/11</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 13.9pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="18%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/11</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Total assets (in billions)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 153.7 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 147.4 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 146.5</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Total common equity (in millions)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 8,822.9 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 8,475.9 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 9,058.9</FONT></P></TD></TR>

<TR style="HEIGHT: 0.2in">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="TEXT-INDENT: -18.4pt; MARGIN: 0in 0in 0pt 18.4pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Total common equity excluding accumulated other comprehensive income (in millions)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 8,334.8 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 8,217.9 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 0.2in; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 8,492.9</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="TEXT-INDENT: -18.4pt; MARGIN: 0in 0in 0pt 18.4pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">End of period common shares outstanding (in millions)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">300.9 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">301.1 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">321.3</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Book value per common share</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 29.32 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 28.15 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 28.19</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="42%">

   <P style="TEXT-INDENT: -13.9pt; MARGIN: 0in 0in 0pt 13.9pt"><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Book value per common share excluding accumulated other comprehensive income</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 27.70 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="20%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 27.29 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="18%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 10pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman"></FONT></P>

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">$ 26.43</FONT></P></TD></TR></TABLE></DIV>

<P style="MARGIN: 0in 0in 0pt"><FONT style="LINE-HEIGHT: 150%; FONT-SIZE: 11pt" lang=EN-US color=windowtext face="Times New Roman">&nbsp;&nbsp;</FONT></P>

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<P style="MARGIN: 0in 0in 0pt"><B><I><FONT style="FONT-SIZE: 10.5pt" lang=EN-US color=windowtext face="Times New Roman"></FONT></I></B>&nbsp;</P>

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<TR style="PAGE-BREAK-INSIDE: avoid">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="38%" colSpan=2>

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">Three Months Ended,</FONT></B></P></TD></TR>

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   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/12</FONT></B></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; BORDER-RIGHT: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: center; MARGIN: 0in 0in 0pt" align=center><B><FONT style="FONT-SIZE: 10pt" color=windowtext face="Times New Roman">3/31/11</FONT></B></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Diluted Earnings Per Common Share:</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Operating earnings</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 0.70 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 0.68 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net realized capital </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">losses&nbsp;</FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"> &nbsp;</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(0.04)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(0.17)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Other after-tax adjustments</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%" align=right>

   <P style="MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">-</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">0.05 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net income available to common stockholders</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 0.66 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 0.56 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Book Value Per Common Share Excluding Accumulated Other Comprehensive Income:</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0in 0.25in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Book value per common share excluding accumulated</FONT><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"> </FONT></B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">other comprehensive income</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 27.70 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 26.43 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net unrealized capital gains</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">2.94 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">2.03</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Foreign currency translation</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(0.15)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">0.16</FONT></P></TD></TR>

<TR style="HEIGHT: 7.65pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in 0in 0pt"><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net unrecognized postretirement benefit obligations</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(1.17)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(0.43)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0in 0.25in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Book value per common share including accumulated</FONT><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"> </FONT></B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">other comprehensive income</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 29.32</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 28.19</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%" align=right>

   <P style="MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=#ff0000 face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%" align=right>

   <P style="MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=#ff0000 face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Operating Revenues:</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%" align=right>

   <P style="MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=#ff0000 face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%" align=right>

   <P style="MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=#ff0000 face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">RIS</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 1,055.1 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 1,017.9 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">PGI</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">138.1 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">125.3 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">PI</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">262.5 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">206.1 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">USIS</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">697.0 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">732.0 </FONT></P></TD></TR>

<TR style="HEIGHT: 9.75pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 9.75pt; PADDING-TOP: 0in" vAlign=bottom width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Corporate</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 9.75pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(45.3)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 9.75pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(33.8)</FONT></P></TD></TR>

<TR style="HEIGHT: 3.5pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 3.5pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Total operating revenues</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 3.5pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">2,107.4 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 3.5pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">2,047.5 </FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0in 0.25in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net realized capital </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">losses </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">and related adjustments</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(30.4)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(80.5)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0in 0.25in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Terminated businesses</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">18.9 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">254.9</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Total GAAP revenues</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 2,095.9</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%" align=right>

   <P style="MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 2,221.9</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Operating Earnings:</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">RIS</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 143.6 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 154.1</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">PGI</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">16.2 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">16.6</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">PI</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">41.8 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">27.8</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">USIS</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">50.2 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">53.4</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Corporate</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(38.8)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(32.1)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Total operating earnings</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">213.0 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">219.8</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net realized capital </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">losses&nbsp;</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(10.0)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(54.9)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Other after-tax adjustments</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(1.5)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 1pt solid; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">17.1</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net income available to common stockholders</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 201.5 </FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 182.0</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net Realized Capital Gains </FONT></B><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">(Losses)</FONT></B><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">:&nbsp;</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 6.3pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 6.3pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net realized capital </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">losses</FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">, as adjusted</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 6.3pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (10.0)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 6.3pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (54.9)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Certain derivative and hedging-related adjustments</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">23.3 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">22.3</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Amortization of DPAC and sale inducement costs</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(32.9) </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(20.6)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Certain market value adjustments of embedded derivatives</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">1.9</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(3.8)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Capital gains distributed </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">7.5 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">8.7</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Tax impacts</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(4.9)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(27.5)</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Noncontrolling interest capital gains </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">8.1 </FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">17.5</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Recognition of front-end fee revenues</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">0.4</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">0.2</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Net realized capital gains (losses) associated with exited group</FONT></P>

   <P style="TEXT-INDENT: -0.25in; MARGIN: 0in 0in 0in 0.5in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">medical insurance business</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">(0.1)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; TEXT-INDENT: 9pt; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">0.1</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">GAAP net realized capital </FONT><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9.5pt" color=windowtext face="Times New Roman">losses&nbsp;</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (6.7)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=bottom width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in 0in 0pt" align=right><FONT style="FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (58.0)</FONT></P></TD></TR>

<TR style="HEIGHT: 7.65pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 7.65pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR style="HEIGHT: 4pt">

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><B><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Other After-Tax Adjustments:</FONT></B></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; HEIGHT: 4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=red face="Times New Roman"></FONT>&nbsp;</P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Earnings (losses) associated with exited businesses</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (1.5)</FONT></P></TD>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 17.1</FONT></P></TD></TR>

<TR>

   <TD style="PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; PADDING-TOP: 0in" vAlign=top width="62%">

   <P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">Total other after-tax adjustments</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ (1.5)</FONT></P></TD>

   <TD style="BORDER-BOTTOM: windowtext 2pt double; PADDING-BOTTOM: 0in; PADDING-LEFT: 5.4pt; PADDING-RIGHT: 5.4pt; BORDER-TOP: windowtext 1pt solid; PADDING-TOP: 0in" vAlign=top width="19%">

   <P style="TEXT-ALIGN: right; MARGIN: 0in" align=right><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 9pt" color=windowtext face="Times New Roman">$ 17.1</FONT></P></TD></TR></TABLE></DIV>

<P style="MARGIN: 0in"><FONT style="LAYOUT-GRID-MODE: line; FONT-SIZE: 12pt" lang=EN-US color=windowtext face="Times New Roman"></FONT>&nbsp;</P>

<DIV><FONT lang=EN-US><BR clear=all>

<HR align=left SIZE=1 width="33%">

</FONT><U></U><U></U><U></U>&nbsp; <U></U>&nbsp; <U></U><U></U></DIV></DIV>

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[{"type": "8-K", "sequence": "1", "filename": "firstqtrer2012.htm", "description": "FIRST QUARTER ER 2012", "secsgml_size_bytes": 187362}]
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firstqtrer2012.htm - Generated by SEC Publisher for SEC Filing
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:
April 26, 2012
(Date of earliest event reported)
PRINCIPAL FINANCIAL GROUP, INC.
(Exact name of registrant as specified in its charter)
Delaware                          1-16725                                     42-1520346
(State or other jurisdiction         (Commission file number)              (I.R.S. Employer
of incorporation)                                                                  Identification Number)
711 High Street, Des Moines, Iowa 50392
(Address of principal executive offices)
(515) 247-5111
(Registrant's telephone number, including area code)
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:
[     ]     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 2.02.  Results of Operations and Financial Condition
On April 26, 2012, Principal Financial Group, Inc. publicly announced information regarding its results of operations and financial condition for the quarter ended March 31, 2012.  The text of the announcement is included herewith as Exhibit 99.
Item 9.01 Financial Statements and Exhibits
99    First Quarter 2012 Earnings Release
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 thereunto duly authorized.
PRINCIPAL FINANCIAL GROUP, INC.
By:      ___
/s/ Terrance J. Lillis
Name:  Terrance J. Lillis
Title:     Senior Vice President and Chief Financial Officer
Date:    April 26, 2012
EXHIBIT 99
Release:                        On receipt, April 26, 2012
Media contact:              Susan Houser, 515-248-2268, houser.susan@principal.com
Investor contact:            John Egan, 515-235-9500, egan.john@principal.com
Principal Financial Group, Inc. Announces First Quarter 2012 Results
·
First quarter 2012 operating earnings
[1]
of $213.0 million, a decrease of 3 percent compared to first quarter 2011.
·
Net income available to common stockholders of $201.5 million, an increase of 11 percent compared to first quarter 2011.
·
Record assets under management of $364.1 billion, an increase of 11 percent compared to first quarter 2011.
·
Book value per share, excluding AOCI
[2]
increased to $27.70, up 5 percent over first quarter 2011.
(Des Moines, Iowa) – Principal Financial Group, Inc. (NYSE: PFG) today announced results for first quarter 2012.  The company reported operating earnings of $213.0 million for first quarter 2012, compared to $219.8 million for first quarter 2011.  Operating earnings per diluted share (EPS) were $0.70 for first quarter 2012, compared to $0.68 for first quarter 2011. The company reported net income available to common stockholders of $201.5 million, or $0.66 per diluted share for first quarter 2012, compared to $182.0 million, or $0.56 per diluted share for first quarter 2011. Operating revenues for first quarter 2012 were $2,107.4 million compared to $2,047.5 million for the same period last year.
"The Principal
®
ended the first quarter with record assets under management, contributing to a solid start to 2012.  We had strong investment performance and impressive sales and net cash flows across Full Service Accumulation, Principal Funds, Principal International and Principal Global Investors." said Larry D. Zimpleman, chairman, president and chief executive officer of Principal Financial Group, Inc. "We continue to invest in our businesses, both organically and through strategic acquisitions, in order to grow in the right markets that position us for the long term.
I am more confident today than ever that The Principal
has the right business mix and the right global footprint to fulfill our strategy of being a global investment management leader."
Added Terry Lillis, senior vice president and chief financial officer, "In the first quarter we announced the acquisition of a majority stake in Claritas, a leading retail mutual fund and asset management company based in Brazil, which was our fourth international acquisition in the last 12 months.  Additionally in the first quarter, we authorized a $100 million share repurchase and paid our first quarterly dividend to shareholders.  With $1.6 billion of excess capital at the end of first quarter, an improving investment portfolio and strong ongoing capital generation, we continue to have financial flexibility to invest in our businesses and return more capital to shareholders."
[1]
Use of non-GAAP financial measures is discussed in this release after Segment Highlights
[2]
Accumulated Other Comprehensive Income
Key Highlights
·
Strong sales in the company's
three key U.S. Retirement and Investor Services Accumulation products in the
first quarter, with $3.2 billion for Full Service Accumulation, a record $3.7
billion for Principal Funds and $587 million for Individual Annuities.
·
Net cash flows of
$2.0 billion for Full Service Accumulation and a
record $1.5 billion for Principal Funds.
·
Un
affiliated net cash flows of $3.3 billion contributed
to record unaffiliated assets under management of $90.7 billion for Principal
Global Investors.
·
Principal
International reported record net cash flows of $2.3 billion and record assets
under management of $59.2 billion (excluding $7.3 billion of assets under
management in our asset management joint venture in China, which are not
included in reported assets under management).
·
Continued momentum in Individual
Life with the business market representing 57 percent of total sales.
·
Specialty Benefits had solid
premium and fees growth of 5 percent over first quarter 2011 and a continued
stable loss ratio.
Strong
     capital position with an estimated risk based capital ratio of 440 percent
     at quarter-end and $1.6 billion of excess capital.
[3]
·
Moved from an annual to a
quarterly dividend and paid our first quarterly dividend of $0.18 per common
share on March 30, 2012.
Net Income
Net income available to
common stockholders of $201.5 million for first quarter 2012 reflects net
realized capital losses of $10.0 million, which includes:
$18.7 million of net losses
     related to sales and permanent impairments of fixed maturity securities,
     including $14.3 million of losses on commercial mortgage backed
     securities; and
$2.8 million of losses on
     commercial mortgage whole loans.
Segment Highlights
Retirement and
Investor Services
Segment
operating earnings for first quarter 2012 were $143.6 million, compared to $154.1
million for the same period in 2011. Full Service Accumulation earnings decreased
4 percent from the year ago quarter to $69.6 million, reflecting lower net
investment income and fee revenue.  Principal Funds earnings decreased 3
percent from a year ago to $11.6 million primarily due to higher compensation
and sales-related expenses.  Individual Annuities earnings were $33.0 million
compared to $35.9 million for first quarter 2011, which reflects lower
investment income and a higher tax rate.  Bank and Trust Services earnings decreased
to $6 million, primarily due to a legal settlement in the current quarter. The
guaranteed businesses, which consist of Investment Only and Full Service Payout,
earned $23.4 million in the first quarter 2012 compared to $25.3 million in the
first quarter of 2011. The difference was primarily due to lower variable
investment income and a decline in average account values.
Operating revenues for
the first
quarter 2012
were $1,055.1
million compared to $1,017.9 million for the same period in 2011 primarily due
to higher premiums and fees, which were partially offset by lower net
investment income.
Segment assets under
management were a record $194.0 billion as of March 31, 2012, compared to $181.5
billion as of March 31, 2011.
[3]
Excess
capital includes cash at the
holding company and capital at the life company above that needed to maintain a
350 percent NAIC risk based capital ratio for the life company.
Principal Global Investors
Segment operating
earnings for first
quarter 2012
were $16.2 million, compared to $16.6
million in the prior year quarter, reflecting higher compensation costs as we
increase distribution and investment staff to support growth.
Operating revenues for first
quarter
were $138.1 million, compared to $125.3
million for the same period in 2011, reflecting higher management fees due to
growth in assets under management and higher
borrower
transaction fees.
Unaffiliated assets under management
were a record $90.7 billion as of March 31, 2012, compared to $78.0 billion as
of March 31, 2011.
Principal International
Segment operating
earnings were $41.8 million in first
quarter
2012, compared to $27.8 million in the prior year quarter. The improvement was
primarily due to an increase in assets under management. A $5 million negative
impact to earnings from regulatory changes in Mexican AFORE assigned lives was
partially offset by delayed expenses in our Latin American operations.
Operating
revenues were $262.5 million for first
quarter 2012
, compared to $206.1
million for the same period last year, primarily due to 22 percent growth in
assets under management.
Segment assets under
management were a record $59.2 billion as of March 31, 2012, up $10.7 billion
over $48.5 billion as of March 31, 2011.
U.S. Insurance
Solutions
Segment operating
earnings for first
quarter 2012
were
$50.2 million, compared to $53.4 million for the same period in 2011. Individual
Life earnings were $31.7 million in the first quarter compared to $30.9 million
in first
quarter 2011. Operating earnings in
first quarter 2012 benefitted by $3 million from a prescribed accounting
practice change in the
amortization basis for certain individual life policies.
Specialty Benefits earnings were $18.5
million in first quarter 2012, down from $22.5 million in the same period a
year ago primarily due to stronger than normal net investment income in first quarter
2011.
Segment operating
revenues for first
quarter 2012 were $697.0
million compared to $732.0 million for the same period a year ago as fees and
other revenue were negatively impacted from the change in the amortization basis.
Corporate
Operating
losses for first
quarter
2012
were $38.8 million compared to
operating losses of $32.1 million in first
quarter
2011.
Current quarter results reflect
higher tax and legal expenses.
Accounting Changes
New accounting guidance,
which modifies the definition of types of costs incurred by insurance entities
that can be capitalized in the successful acquisition of new or renewal
insurance contracts, became effective on January 1, 2012.  We retrospectively
applied this accounting guidance.
In
addition, we voluntarily changed our method of accounting for the cost of
reinsurance within our Individual Life division.  One impact of this voluntary
accounting change is that any difference between actual and expected
reinsurance cash flows is recognized in earnings immediately instead of being
deferred and amortized over the life of the underlying policies.  We adopted
the new method because we believe that it better reflects the economics of our
reinsurance transactions by accounting for direct claims and related
reinsurance recoveries in the same period. In addition, the new method is
consistent with management's intent in purchasing reinsurance to protect the
Company against large and unexpected claims.
Comparative amounts from
prior periods have been adjusted to apply the new deferred policy acquisition
cost guidance and the voluntary reinsurance accounting change retrospectively. 
Historical periods reflecting these changes are disclosed on our Investor Relations
website.
Forward
looking and cautionary statements
This press release contains forward-looking statements, including,
without limitation, statements as to operating earnings, net income available
to common stockholders, net cash flows, realized and unrealized gains and
losses, capital and liquidity positions, sales and earnings trends, and
management's beliefs, expectations, goals and opinions. The company does not
undertake to update these statements, which are based on a number of
assumptions concerning future conditions that may ultimately prove to be
inaccurate. Future events and their effects on the company may not be those
anticipated, and actual results may differ materially from the results
anticipated in these forward-looking statements. The risks, uncertainties and
factors that could cause or contribute to such material differences are
discussed in the company's annual report on Form 10-K for the year ended Dec.
31, 2011, filed by the company with the Securities and Exchange Commission, as
updated or supplemented from time to time in subsequent filings. These risks
and uncertainties include, without limitation:
adverse capital and credit market conditions may
significantly affect the company's ability to meet liquidity needs, access to
capital and cost of capital; continued difficult conditions in the global
capital markets and the economy generally; continued volatility or further
declines in the equity markets; changes in interest rates or credit spreads;
the company's investment portfolio is subject to several risks that may
diminish the value of its invested assets and the investment returns credited
to customers; the company's valuation of securities may include methodologies,
estimations and assumptions that are subject to differing interpretations; the
determination of the amount of allowances and impairments taken on the
company's investments requires estimations and assumptions that are subject to
differing interpretations; gross unrealized losses may be realized or result in
future impairments;  competition from companies that may have greater financial
resources, broader arrays of products, higher ratings and stronger financial
performance; a downgrade in the company's financial strength or credit ratings;
inability to attract and retain sales representatives and develop new distribution
sources; international business risks; the company's actual experience could
differ significantly from its pricing and reserving assumptions; the company's
ability to pay stockholder dividends and meet its obligations may be
constrained by the limitations on dividends or distributions Iowa insurance
laws impose on Principal Life; the pattern of amortizing the company's DPAC and
other actuarial balances on its universal life-type insurance contracts,
participating life insurance policies and certain investment contracts may
change; the company may need to fund deficiencies in its "Closed Block" assets
that support participating ordinary life insurance policies that had a dividend
scale in force at the time of Principal Life's 1998 conversion into a stock
life insurance company; the company's reinsurers could default on their
obligations or increase their rates; risks arising from acquisitions of
businesses;
changes in laws,
regulations or accounting standards; a computer system failure or security
breach could disrupt the company's business, and damage its reputation; results
of litigation and regulatory investigations; f
rom time to time the company may become subject to tax audits, tax
litigation or similar proceedings, and as a result it may owe additional taxes,
interest and penalties in amounts that may be material;
fluctuations in foreign currency exchange rates; and applicable laws
and the company's stockholder rights plan, certificate of incorporation and
by-laws may discourage takeovers
and business
combinations that some stockholders might consider in their best interests.
Use
of Non-GAAP Financial Measures
The company uses a number of non-GAAP financial measures
that management believes are useful to investors because they illustrate the
performance of normal, ongoing operations, which is important in understanding
and evaluating the company's financial condition and results of operations. 
They are not, however, a substitute for U.S.
GAAP
financial measures.  Therefore, the company has provided reconciliations of the
non-GAAP measures to the most directly comparable U.S. GAAP measure at the end
of the release.  The company adjusts U.S. GAAP measures for items not directly
related to
ongoing operations.  However, it is possible these adjusting
items have occurred in the past and could recur in the future reporting
periods.  Management also uses
non-GAAP measures
for goal setting, as a basis for determining employee and senior
management awards and compensation, and evaluating performance on a basis
comparable to that used by investors and securities analysts.
Earnings Conference Call
On Friday, April 27, 2012 at 10:00 a.m.
(ET), Chairman,
President and Chief Executive Officer Larry Zimpleman and Senior Vice President
and Chief Financial Officer Terry Lillis will lead a discussion of results,
asset quality and capital adequacy during a live conference call, which can be
accessed as follows:
·
Via
live Internet webcast. Please go to www.principal.com/investor
at least 10-15 minutes prior to the start of the call to register, and to
download and install any necessary audio software.
Via telephone by dialing
     800-374-1609 (U.S. and Canadian callers) or 706-643-7701 (International
     callers) approximately 10 minutes prior to the start of the call. The
     access code is 66987871.
Replay of the earnings call via
     telephone is available by dialing 855-859-2056 (U.S. and Canadian callers)
     or 404-537-3406 (International callers). The access code is 66987871. This replay will be available
     approximately two hours after the completion of the live earnings call
     through the end of day May 4
, 2012.
Replay of the earnings call via webcast as
     well as a transcript of the call will be available after the call at: www.principal.com/investor.
The company's
financial supplement and additional investment portfolio detail for first
quarter 2012 is currently available at
www.principal.com/investor
,
and may be referred to during the call. Slides related
to the call will be available at www.principal.com/investor
approximately one-half hour prior to call start time.
About the Principal
Financial Group
The Principal Financial Group
Ò
(The Principal
®
)
[4]
is a global
investment management leader including retirement services, insurance solutions
and asset management. The Principal offers businesses, individuals and
institutional clients a wide range of financial products and services,
including retirement, asset management and insurance through its diverse family
of financial services companies. Founded in 1879 and a
member of the
FORTUNE 500
®
, the Principal Financial Group has $364.1 billion in
assets under management
[5]
and serves some 17.3 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
.
###
[4]
"The Principal
Financial Group" and "The Principal" are registered service marks of Principal
Financial Services, Inc., a member of the Principal Financial Group.
[5]
As of March 31, 2012.
Summary of Segment and Principal Financial Group, Inc. Results
Segment
Operating Earnings
(Loss)
[6]
in millions
Three Months Ended,
3/31/12
3/31/11
Retirement and Investor Services
$ 143.6
$ 154.1
Principal Global Investors
16.2
16.6
Principal International
41.8
27.8
U.S. Insurance Solutions
50.2
53.4
Corporate
(38.8)
(32.1)
Operating Earnings
$ 213.0
$ 219.8
Net realized capital losses, as adjusted
(10.0)
(54.9)
Other after-tax adjustments
(1.5)
17.1
Net income available to common stockholders
$ 201.5
$ 182.0
Per Diluted Share
Three Months Ended,
3/31/12
3/31/11
Operating Earnings
$ 0.70
$ 0.68
Net realized capital losses, as adjusted
(0.04)
(0.17)
Other after-tax adjustments
0.00
0.05
Net income available to common stockholders
$ 0.66
$ 0.56
Weighted-average diluted common shares outstanding
304.7
324.7
[6]
Operating earnings versus U.S. GAAP (GAAP) net income available to common stockholders
Management uses operating earnings, which excludes the effect of net realized capital gains and losses, as adjusted, and other after-tax adjustments, for goal setting, as a basis for determining employee compensation, and evaluating performance on a basis comparable to that used by investors and securities analysts.  Segment operating earnings are determined by adjusting U.S. GAAP net income available to common stockholders for net realized capital gains and losses, as adjusted, and other after-tax adjustments the company believes are not indicative of overall operating trends.  Note: it is possible these adjusting items have occurred in the past and could recur in future reporting periods.  While these items may be significant components in understanding and assessing our consolidated financial performance, management believes the presentation of segment operating earnings enhances the understanding of results of operations by highlighting earnings attributable to the normal, ongoing operations of the company's businesses.
Three Months Ended,
3/31/12
3/31/11
Premiums and other considerations
$ 677.1
$ 571.2
Fees and other revenues
582.7
594.5
Net investment income
847.6
881.8
Total operating revenues
2,107.4
2,047.5
Benefits, claims and settlement expenses
1,216.2
1,020.5
Dividends to policyholders
50.3
53.6
Commissions
159.8
146.9
Capitalization of DPAC
(101.0)
(82.7)
Amortization of DPAC
(105.4)
53.9
Depreciation and amortization
23.5
20.0
Interest expense on corporate debt
31.1
30.5
Compensation and other
546.7
504.5
Total expenses
1,821.2
1,747.2
Operating earnings before tax, noncontrolling interest and preferred stock dividends
286.2
300.3
Less:
Income tax
63.9
71.2
Operating earnings attributable to noncontrolling interest
1.1
1.1
Preferred stock dividends
8.2
8.2
Operating earnings
$ 213.0
$ 219.8
Net realized capital losses, as adjusted
(10.0)
(54.9)
Other after-tax adjustments
(1.5)
17.1
Net income available to common stockholders
$ 201.5
$ 182.0
Selected Balance Sheet Statistics
Period Ended,
3/31/12
12/31/11
3/31/11
Total assets (in billions)
$ 153.7
$ 147.4
$ 146.5
Total common equity (in millions)
$ 8,822.9
$ 8,475.9
$ 9,058.9
Total common equity excluding accumulated other comprehensive income (in millions)
$ 8,334.8
$ 8,217.9
$ 8,492.9
End of period common shares outstanding (in millions)
300.9
301.1
321.3
Book value per common share
$ 29.32
$ 28.15
$ 28.19
Book value per common share excluding accumulated other comprehensive income
$ 27.70
$ 27.29
$ 26.43
Three Months Ended,
3/31/12
3/31/11
Diluted Earnings Per Common Share:
Operating earnings
$ 0.70
$ 0.68
Net realized capital
losses
(0.04)
(0.17)
Other after-tax adjustments
-
0.05
Net income available to common stockholders
$ 0.66
$ 0.56
Book Value Per Common Share Excluding Accumulated Other Comprehensive Income:
Book value per common share excluding accumulated
other comprehensive income
$ 27.70
$ 26.43
Net unrealized capital gains
2.94
2.03
Foreign currency translation
(0.15)
0.16
Net unrecognized postretirement benefit obligations
(1.17)
(0.43)
Book value per common share including accumulated
other comprehensive income
$ 29.32
$ 28.19
Operating Revenues:
RIS
$ 1,055.1
$ 1,017.9
PGI
138.1
125.3
PI
262.5
206.1
USIS
697.0
732.0
Corporate
(45.3)
(33.8)
Total operating revenues
2,107.4
2,047.5
Net realized capital
losses
and related adjustments
(30.4)
(80.5)
Terminated businesses
18.9
254.9
Total GAAP revenues
$ 2,095.9
$ 2,221.9
Operating Earnings:
RIS
$ 143.6
$ 154.1
PGI
16.2
16.6
PI
41.8
27.8
USIS
50.2
53.4
Corporate
(38.8)
(32.1)
Total operating earnings
213.0
219.8
Net realized capital
losses
(10.0)
(54.9)
Other after-tax adjustments
(1.5)
17.1
Net income available to common stockholders
$ 201.5
$ 182.0
Net Realized Capital Gains
(Losses)
:
Net realized capital
losses
, as adjusted
$ (10.0)
$ (54.9)
Certain derivative and hedging-related adjustments
23.3
22.3
Amortization of DPAC and sale inducement costs
(32.9)
(20.6)
Certain market value adjustments of embedded derivatives
1.9
(3.8)
Capital gains distributed
7.5
8.7
Tax impacts
(4.9)
(27.5)
Noncontrolling interest capital gains
8.1
17.5
Recognition of front-end fee revenues
0.4
0.2
Net realized capital gains (losses) associated with exited group
medical insurance business
(0.1)
0.1
GAAP net realized capital
losses
$ (6.7)
$ (58.0)
Other After-Tax Adjustments:
Earnings (losses) associated with exited businesses
$ (1.5)
$ 17.1
Total other after-tax adjustments
$ (1.5)
$ 17.1