F&G Annuities & Life Declares Dividends on Common and Preferred Shares

Rhea-AI Summary

F&G Annuities & Life, Inc. (FG) declares quarterly cash dividends for common shares and Series A Mandatory Convertible Preferred Stock. Common shareholders will receive $0.21 per share, payable on March 29, 2024, while Series A holders will receive $0.8976 per share, payable on April 15, 2024.

Financial Analyst

The announcement of F&G Annuities & Life's quarterly cash dividend of $0.21 per common share is a reflection of the company's current financial health and its ability to generate sufficient cash flow. Dividends are often seen as a sign of corporate stability and confidence in future earnings. Investors typically view such declarations positively, as they provide a direct income stream. Moreover, the consistency of dividend payments can be an indicator of a company's commitment to shareholder returns.

However, it is essential to analyze the dividend yield, which is the dividend per share divided by the stock price. If the yield is significantly higher than the industry average, it could signal that the stock price is undervalued or that investors are requiring a higher yield due to perceived risks. Conversely, a lower yield might indicate overvaluation or investor confidence in potential capital gains. The payout ratio, which is the proportion of earnings paid as dividends, is also crucial to assess sustainability. A high payout ratio may not be sustainable in the long term, whereas a low ratio suggests room for future dividend increases.

Market Research Analyst

The declared dividend on the 6.875% Series A Mandatory Convertible Preferred Stock, amounting to $0.8976 per share, highlights a different aspect of F&G Annuities & Life's financial mechanisms. Mandatory Convertible Preferred Stocks are hybrid securities with features of both debt and equity. They are designed to convert into a predetermined number of common shares at a specified date, thus the 'mandatory' aspect. This type of security is attractive to investors who seek higher income than common dividends and are willing to participate in the potential upside of equity conversion.

The market's reception of this dividend declaration will depend on the terms of conversion and the current performance of the common stock. If the underlying common stock has appreciated, the conversion feature becomes more valuable. However, if the stock has depreciated, investors might be concerned about dilution of their investment upon conversion. The timing and the market conditions at the point of conversion will be critical factors for investors holding these securities.

DES MOINES, Iowa, Feb. 15, 2024 /PRNewswire/ -- F&G Annuities & Life, Inc. (NYSE: FG) today announced that its Board of Directors has declared a quarterly cash dividend of $0.21 per common share. Dividends on the common stock are payable on March 29, 2024, to stockholders of record as of March 15, 2024. 

The Board of Directors has also declared a quarterly cash dividend of $0.8976 per share on the company's 6.875% Series A Mandatory Convertible Preferred Stock for the period from January 12, 2024 to and excluding April 15, 2024, to be paid on April 15, 2024, to Series A record holders as of April 1, 2024.

About F&G

F&G Annuities and Life, Inc. is committed to helping Americans turn their aspirations into reality. F&G is a leading provider of insurance solutions serving retail annuity and life customers and institutional clients and is headquartered in Des Moines, Iowa. For more information, please visit fglife.com.   

Forward-Looking Statements and Risk Factors

This press release contains forward-looking statements that are subject to known and unknown risks and uncertainties, many of which are beyond our control. Some of the forward-looking statements can be identified by the use of terms such as "believes", "expects", "may", "will", "could", "seeks", "intends", "plans", "estimates", "anticipates" or other comparable terms. Statements that are not historical facts, including statements regarding our expectations, hopes, intentions or strategies regarding the future are forward-looking statements. Forward-looking statements are based on management's beliefs, as well as assumptions made by, and information currently available to, management. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. We undertake no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. The risks and uncertainties which forward-looking statements are subject to include, but are not limited to: general economic conditions and other factors, including prevailing interest and unemployment rate levels and stock and credit market performance; natural disasters, public health crises, international tensions and conflicts, geopolitical events, terrorist acts, labor strikes, political crisis, accidents and other events; concentration in certain states for distribution of our products; the impact of interest rate fluctuations; equity market volatility or disruption; the impact of credit risk of our counterparties; changes in our assumptions and estimates regarding amortization of our deferred acquisition costs, deferred sales inducements and value of business acquired balances; regulatory changes or actions, including those relating to regulation of financial services affecting (among other things) underwriting of insurance products and regulation of the sale, underwriting and pricing of products and minimum capitalization and statutory reserve requirements for insurance companies, or the ability of our insurance subsidiaries to make cash distributions to us; and other factors discussed in "Risk Factors" and other sections of F&G's Form 10-K and other filings with the Securities and Exchange Commission (SEC).

Contact:
Lisa Foxworthy-Parker
SVP of Investor & External Relations
Investor.relations@fglife.com
515.330.3307

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SOURCE F&G Annuities & Life, Inc.

What is the dividend amount declared for F&G Annuities & Life, Inc. (FG) common shares?

The dividend amount declared for FG common shares is $0.21 per share.

When will the dividends for FG common shares be payable?

The dividends for FG common shares will be payable on March 29, 2024.

What is the dividend amount declared for FG's 6.875% Series A Mandatory Convertible Preferred Stock?

The dividend amount declared for FG's Series A Mandatory Convertible Preferred Stock is $0.8976 per share.

When will the dividends for FG's Series A Mandatory Convertible Preferred Stock be payable?

The dividends for FG's Series A Mandatory Convertible Preferred Stock will be payable on April 15, 2024.