Reinsurance Group of America, Incorporated

Good day and welcome to the Reassurance Group of America First Quarter 2021 Results Conference Call. Today's call is being recorded. At this time, I'd like to introduce Mr. Todd Larson, Senior Executive Vice President and Chief Financial Officer, and Anna Manning, President and Chief Executive Officer. Please go ahead, Mr. Larson.

Thank you. Good morning and welcome to RGA's First Quarter 2021 Conference Call. With me this morning on the call is Anna Manning, RGA's President and Chief Executive Officer, Elaine Nehme, Chief Operating Officer, Leslie Barbee, our Chief Investment Officer, Jonathan Porter, Chief Risk Officer, and Jeff Hobson, Head of Investor Relations. We will discuss the first quarter results after a quick reminder about forward-looking information and non-gap financial measures. Following our prepared remarks, we will be happy to take your questions. Some of our comments or answers to your questions may contain forward-looking statements. Actual results could differ materially from expected results. Please refer to the earnings release we issued yesterday for a list of important factors that could cause actual results to differ materially from expected results. Additionally, during the course of this call, information we provide may include non-GAAP financial measures. Please see our earnings release, earnings presentation, quarterly financial supplement, and our website for discussion of these terms and reconciliations to GAAP measures. And now, I'll turn the call over to Anna for her comments.

Thank you, Todd. Good morning, everyone. And thank you for joining our call today. Last night, we reported a loss of $1.24 in adjusted operating EPS, which included $474 million in COVID-19 impacts, or $5.31 per share. In the context of a quarter that saw pandemic-related deaths reach their highest peak in some of our markets, this was obviously a challenging quarter for us. But if I take a step back, our core business performed well overall, and we consider this another solid order, further demonstrating the resilience of our global business platform and franchise. Both our Asia traditional and financial solutions businesses had excellent results. U.S. group and individual health performed well, and Australia was break-even. During the quarter, we completed a number of in-force transactions deploying $100 million in capital, which will further add value to our underlying earnings engine. The transaction pipeline remains very good with opportunities in all our regions. Our approach to capital deployment during this crisis remains balanced and disciplined as we seek opportunities to deliver long-term value. I'm also proud to announce that for the 10th consecutive year, RGA has been ranked number one for business capabilities on a global basis by NMG in their 2020 Global Reinsurance Report. Leveraging our capabilities and being a trusted partner as well as a thought leader has allowed us to deliver value to our clients throughout the past year. A point of personal pride in this organization and a tribute to all our employees and our culture of client centricity. Results in our US mortality business were significantly impacted by the COVID-19 claims seen in the first three months of the year. Considering the elevated level of population deaths, these results are not unexpected. Our large claim experience was in line this quarter after being very favorable in the previous two quarters. And our mortality performance over the past 12 months after adjusting for COVID-19 claims has been in line with our expectations. Todd and Jonathan will provide additional information on COVID-19 impacts for all our businesses. As we look forward, there's reason for optimism, as increasing vaccination rates in the US, UK, and Canada should reduce the level of COVID-19 deaths through the remainder of the year. and other markets should follow as vaccine availability continues to expand. RGA's business fundamentals are strong, our business prospects are robust, and we are taking appropriate actions to protect our business and position RGA for profitable growth. As a final point, it is worth reflecting that through the end of the first quarter, RGA has incurred over $1.2 billion in COVID-19 claims since the pandemic began. Our ability to absorb these claims is a testament to our financial strength, but it also serves as a reminder of the important purpose that our industry and RGA play in helping millions of families around the world who have been affected by this pandemic. Thank you for your interest in RGA. And I hope you all remain safe and stay well. Let me now turn it over to Todd to go over the detailed financial results.