Genworth Aims to Line Up Backup Financing Options
May 13, 2020 by Allison Bell
Genworth Financial Inc. hopes to be part of China Oceanwide Holdings Group Co. Ltd. of Beijing by June 30, but it intends to shop for other sources of financing, just in case.
Tom McInerney, the chief executive officer of the Richmond, Virginia-based insurer, talked about the company’s contingency planning today, during a conference call the company held to go over its first-quarter earnings with securities analysts.
Genworth was a major issuer of life insurance, annuities and long-term care insurance, and it continues to be a major player in the mortgage insurance markets in the United States and Australia.
Genworth reported a $66 million net loss for the quarter on $1.8 billion in revenue, and economic turmoil has rocked its investment portfolio. The level of risk-based capital at the company’s U.S. life subsidiaries fell to 195% of the company action level March 31. That’s the same as it was a year earlier, but down from 213% Dec. 31, 2019.