FBL Financial Group Finalizes Coinsurance Agreement with American Equity.Business Editors WEST DES MOINES West Des Moines (də moin`), city (1990 pop. 31,702), Polk co., S central Iowa, a growing suburb W of Des Moines; inc. 1893 as Valley Junction, renamed 1938. Products manufactured there include cement, metal items, and pumps. , Iowa--(BUSINESS WIRE)--Jan. 5, 2004 FBL FBL Full Bell Lines (coin grading) FBL Fly by Light FBL FIATA Bill of Lading FBL Functional Baseline FBL Foundation for a Better Life FBL Federal Barge Lines, Inc. Financial Group, Inc. (NYSE NYSE See: New York Stock Exchange :FFG FFG Forschungsförderungsgesellschaft (German: Austrian research promotion agency) FFG Flash Flood Guidance FFG Guided Missile Frigate FFG Fall from Grace (band) FFG Fast Frigates FFG Freeware Flight Group ) today announced the renewal of its coinsurance A provision of an insurance policy that provides that the insurance company and the insured will apportion between them any loss covered by the policy according to a fixed percentage of the value for which the property, or the person, is insured. agreement with American Equity Investment Life Insurance Company, the partial redemption Partial Redemption An investment-transaction classification that refers to the withdrawal of a portion of a security's value by the owner. Rather than withdrawing the entire amount of his or her security's value from the account, an investor may prefer to keep a portion of the of its Series C preferred stock and $40 million funding agreement with the Federal Home Loan Bank of Des Moines. American Equity Coinsurance Agreement Extension. FBL Financial Group and American Equity Investment Life Insurance Company have finalized and extended their coinsurance relationship. Effective January 1, 2004, FBL's subsidiary, EquiTrust Life Insurance Company, now assumes 20 percent of certain American Equity fixed and equity-indexed annuities with a cap on annual premiums assumed. The cap will become effective at the end of any month in which the annual premiums assumed for the year exceed $500 million. The agreement will renew automatically every two years unless either party gives written notification to terminate the agreement. FBL's previous coinsurance agreement with American Equity expired effective December 31, 2003. Debt Transactions. As scheduled, FBL redeemed 49.5% of it Series C preferred stock at par value ($45.3 million) on January 2, 2004. This partial redemption was funded with a draw on FBL's new $60 million line of credit. Additionally, FBL has entered into a $40 million funding agreement with the Federal Home Loan Bank of Des Moines (FHLB FHLB Federal Home Loan Bank ). This funding agreement replaces FBL's $40 million note payable to the FHLB. FBL Financial Group ( www.fblfinancial.com ) is a holding company whose primary operating subsidiaries are Farm Bureau Life Insurance Company and EquiTrust Life Insurance Company. FBL underwrites, markets and distributes life insurance, annuities and mutual funds to individuals and small businesses. In addition, FBL manages all aspects of three Farm Bureau affiliated property-casualty insurance companies for a management fee. FBL's three-pronged growth strategy includes (1) internal growth within its traditional Farm Bureau distribution network, (2) alliances and other distribution channels and (3) consolidations. |
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