UnumProvident to Cut Profit for Last 3 Years
UnumProvident Corp. reduced its earnings for the last three years by $29.1 million to resolve a regulatory review of the disability insurer’s junk-bond holdings.
The restatement will increase 2002 profit by $34.2 million and cut 2001 and 2000 earnings by a total of $63.3 million. The restatement clears the way for the Securities and Exchange Commission to approve the company’s request to sell shares and shore up its capital, analysts said. Its shares lost half their value this year on concern about the SEC review, which focused on junk-bond accounting and intercompany loans.
UnumProvident’s stock fell 55 cents to $8.33 on the NYSE.